“Engstrom Auto Mirror Plant” Discussion Questions
1. Describe the Scanlon Plan from four perspectives — that of the company, the managers, the union
leaders, and the workers – in terms of pros and cons. What are the understood goals of the Plan
from each viewpoint? What are the understood pitfalls?
2. What are the three components of the Scanlon Plan? How well were each of these executed?
Where were opportunities missed to capitalize on the framework?
3. Why do you think enthusiasm waned and dissatisfaction grew at Engstrom? Is the root the Scanlon
plan, or what other factors do you see as directly impacting the workers’ experience? Could the
situation have been avoided or do you see it as the natural life cycle of an initiative?
4. From your textbook reading, what do you see as the probable and/or potential impact factors of
these formerly extrinsically satisfied but now dissatisfied workers on the future of Engstrom? What
type of behaviors do you consider as likely to be linked to employees’ dissatisfaction with the
Scanlon plan?
5. What could Bent have done in answer to the employees’ grievances about Scanlon? Be specific in
your recommendations.
6. How may the Scanlon plan’s bonus calculations have been streamlined for better employee
understanding and/or communicated in a more transparent manner to increase the perception of
equitability?
7. Drawing from the textbook and class, what are your recommendations for motivating a workforce
such as Engstrom’s? Do you feel employee incentive plans work, and are they enough? What value
do you place on extrinsic versus intrinsic motivators?