Leading

g the change
g at MCM Corporation
p
- some notes -

Leonardo Caporarello
1 1
1. What are the key challenges facing John Red as he
assumes the presidency of MCM Corporation?

 MCM’s sales, cash flow, and earnings before taxes

were all in decline

 Employees overall satisfaction score at 54%

 Relations between management and hourly

employees were beginning to fray

 Management communication needed to be improved

 Union-organized campaign

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 2. How would you prioritize them?

 Management communication

 Employees
p y overall satisfaction

 Union-organized
g campaign
p g

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3. What actions would you suggest he take in the first 90
days and how would you obtain buy-in from the
employees?
1. Spent
p time on the shop p floor to understand employee
p y issues,, seek
input, be visible, and share his views on the damage to
competitiveness that a union would cause:

1. Painted the factory floor because it was needed, but also used it
to symbolize that change would occur.

2. Created an employee “voice board” for posting policy

changes, and asked for written employee input before final
adoption of any policy change.
change

3. Held an all-employee meeting to explain his views after 10 weeks,

using current financial
f l situation to stress the
h need
d ffor change.
h

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3. What actions would you suggest he take in the first 90
days and how would you obtain buy-in from the
employees?

2
2. Developed a statement of values for MCM MCM, focused on solicited
feedback, first from his senior team, and then from other employees.

3. It also ga
gavee meaning to everyone’s role and clarified
cla ified ho
how e
everyone’s
e one’s
actions at work would affect their future (if the company did not grow
profitability, future prospects would be uncertain).

4. Initiated all-employee meetings three times a year to share

results, talk about the company, and answer questions.

5. Working with Jem Consulting, devised a new skill-based pay plan,

p g employee
which was critical to improving p y satisfaction.

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3. What actions would you suggest he take in the first 90
days and how would you obtain buy-in from the
employees?

6
6. Conducted a series of regional “distributor
distributor summits”
summits aimed at
understanding the perspectives of MCM’s distributors and soliciting
their input.

7. Sponsored a two-day workshop

8. Worked with outside consultant to run a series of strategy workshops

for the global management team that focused on training as well as
developing a shared strategy/outlook with a set of priorities.

9. Always attempted to be as direct and authentic as possible in every

communication.