The Treadway Tire

Company: Job
Dissatisfaction and High
Turnover at the Lima Tire
Plant
Team 4
Eric Gomez, Rokas Cepulis, Damien
Brenard, Clayton Lassiter, Tania
Sepulveda

Background
The Treadway Tire Co. is a supplier of tires to
major car companies like Ford, GM, Chrysler.
They have almost 9,000 employees in North
America
Treadway Tire Company only has one
current operating manufacturing plant in
North America
Located in Lima, Ohio
There was a second plant in Greenville, SC
which closed in 2006 due to financial
reasons

The Problem
High Turnover
Out of a total of 50 foreman, 23 had turn
over in 2007
Turnover rate was higher at the Lima
plant than any other plant in the division
Rising cost of raw materials
Price of oil went from $25/barrel in 2003
to $92 in 2007
Raw materials represent 55% of the
cost to produce a tire

Taking Action
Transferred Ashley Wall, Director
of human Resources to the Lima
plant
Main priority was lower the high
turnover rate and job
dissatisfaction
Lima plant could be Treadways
#1 plant in productivity and low
cost producer in North America

Underlying Cause
Morale issues
Job dissatisfaction
Lack of communication
Lack of managements support
Lack of authority
Tongue lashing

Specific Issues at the Plant

Work overload
Working 12 hours shifts with 2 breaks
per shift and 30 min. for meals
Too much on foremens plate
Foremen do not get along with the
hourly employees
Poor training
No social interaction

EVLN Model
The EVLN model identifies four ways
that employees respond to
dissatisfaction
Exit the dissatisfying situation
Change rather than escape the
dissatisfying situation

Patiently wait for the dissatisfying

situation to get resolved
Disregard work and reduce work effort

Stress
Sink or swim attitude toward new
foremen

let them know who is boss

Strenuous 12 hour shifts
Various responsibilities and duties

General Adaptation Syndrome

Organizational Commitment
Employees are identified,
involved, and engaged with the
organization.
Emotional attachment starts to
settle in.
Feeling of Loyalty

Building Organizational Commitment

Justice and Support

Ex. Holding management
accountable

Employee Involvement

Emotional intelligence
Emotion has an important effect at
work.
Can significantly improve
effectiveness.
Self-awareness and Selfmanagement.
Foremen need emotional intelligence
while talking to their workers.

Improve emotional
intelligence
Part of emotional intelligence is
genetic.
Company sometimes apply training
programs.
Personal coaching, monitoring
programs, and current feedback.
Us versus Them

Solutions to the Case

1. Shift Changes

Changing work shifts from 12 hours to 8 hours

2. New training program for Foreman

Help foreman be adequately trained for the skills

necessary for the job

3. Plant Advisory Board

Would include hourly wage workers, foreman, and

executives

4. Put more responsibilities on upper level

managers
Unnecessary paperwork
Health and Safety regulations
Negotiations with the Union

its a jungle in
here.

Bibliography
David G. Myers. Image exploring psychology 7th edition
page 398
Michael OMalley Ph.D. Creating Commitment: How to
Attract and Retain Talented Employees by Building
Relationships that Last.
Skinner, Wickham and Beckham, Heather. The Treadway
Tire Company: Job Dissatisfaction and High Turnover at the
Lima Tire Plant.
L. McShane, Steve and Von Glinow, Mary Ann.
Organizational Behavior. 2nd edition