The case study focuses on the organizational culture of General Motors (GM) and its failures that eventually led to the GM ignition switch recall crisis and resulted in 13 deaths. Multiple violations of safety regulations, a lack of accountability from senior managers, and conflicting communication within the company were key attributes of the poor culture. Nevertheless, the case study revealed several strengths, such as the competencies of engineers and the desire to make a positive change in the company. Ultimately, the organizational culture examined in the study is flawed and requires an urgent transformation.
Current Organizational Model
The current behavioral organizational model is characterized by a lack of accountability on multiple levels of management. It resembles an autocratic model due to people shifting the responsibility to seniors, who, in theory, should have sufficient competencies to resolve the problem (Mamgain, 2022). However, the organizational culture is flawed, leading to a dysfunctional cycle of complaints and a lack of action. As the case study shows, this problem persisted for more than eleven years until it eventually resulted in an accident (Kuppler, 2014). In summary, the current behavioral model mostly resembles an autocratic model, but it fails due to cultural flaws within the company.
Other Models
Some of the other models in the automobile industry prioritize collaboration, teamwork, and focus on customers. For instance, custodial, supportive, and collegial frameworks are systems that focus more on the well-being of employees, stimulating accountability (Mamgain, 2022). These models are extensively used in the automobile and related industries. For instance, Toyota is one of the leading manufacturers globally that practice lean management with an emphasis on effective communication between managers and employees (Yamamoto et al., 2019). This approach heavily resembles a collegial model – it prioritizes customer value and unites all stakeholders with a common objective.
Differences
Different models might be effective depending on the company’s objective and established organizational culture. GM’s crisis was a result of deeply rooted cultural problems, but this approach was an intentional decision of senior management. In general, autocratic models emerge from the desire for complete control of all operations. Hence, the primary reason for selecting this approach over others was the initiative of senior management and their desire for authority.
Culture Impact
GM’s autocratic model could have been effective in the past, but it had a notable adverse impact on organizational culture. A lack of accountability on all management levels negatively affects employees’ autonomy and motivation (Yamamoto et al., 2019). However, based on the case study, GM’s CEO, Mary Barra, is attempting to change the organizational culture (Kuppler, 2014). If she succeeds, it might have a positive impact on the current organizational behavior, and people will be more likely to be held accountable for their decisions.
Unique Organizational Models
One of the unique organizational models that emerged in the automobile industry is lean management. This model prioritizes customer value and effective communication on all management levels to achieve the set objectives (Yamamoto et al., 2019). GM is not following these major principles, which is evident from the safety violations and conflicting statements of senior managers. Hence, the company should assess the frameworks used by its rivals in the industry and reconsider its organizational culture.
Motivational Models and Conclusion
The motivational models have changed after the investigation and Barra’s supervision. The trend toward more detailed safety regulations and additional accountability is a positive sign for GM’s organizational culture, but it is uncertain whether the changes are sufficient. The company will have to adopt new managerial styles that emphasize effective communication and reward systems to motivate employees. Ultimately, GM is making a positive change in its organizational culture with associated changes in motivational models and behavior theories.
References
Kuppler, T. (2014). The GM culture crisis: What leaders must learn from this culture case study. WebArchive. Web.
Mamgain, G. (2022). Model of organizational behavior: Autocratic, custodial. Edukedar. Web.
Yamamoto, K., Milstead, M., & LIoyd, R. (2019). A review of the development of lean manufacturing and related lean practices: The case of Toyota Production System and managerial thinking. International Management Review, 15(2), 21-90.
