Management

Case Study

US AUTOMOBILE MANUFACTURING COMPANY IN 21ST CENTURY

Answer:- There are different issues related to the human resource are discussed in this case study one of which is the aging of baby boomers. The baby boomers reached their age of mid forties and they were expected to save more. Although this senior aged workforce was beneficial for the U.S manufacturing firms as their saving was expected to serve as major source of funding for the new plants and equipments that are very useful for U.S manufacturing to be competitive in the global market.

Secondly the resistance of human resources due to their gradual displacement in automobile manufacturing businesses is related to the issues in the industry in the future.

Human resource displacement results from two economic trends:-

* One is increasing outsourcing of manufacturing activities to developing countries offering more competitive labor prices and plan establishment costs.

* The other is technological innovations in manufacturing processes such as the development of highly intelligent computer systems to operate plant equipment minimizing the number of needed human labor and shifting labor demand to highly skilled workers for highly technical work.

These developments in the industry are likely to heighten resistance of employees and workers to displacement in the industry particularly due to the lifetime employment agreements with manufacturing companies.

Answer#2:- Employee skill requirements for the industry would likely shift to high level of knowledge and skills in information technology and allied applications specifically developed for the automobile industry. It is noticed that the employee skills needed to change with the changes of time in all regions. Different era require different skills set in the employees. As in the previous eras industries were not so innovative and do not require much skills to understand the critical situation as compared with the today’s...