nucor corporation case study answers
Nucor steel is a most successful company of US, it provide to their employees an effective motivation that increase the productivity of the employees. It encourage to their employees with the performance-based pay system. The employees of Nucor are awarded according to their work done. To gain high return they worked effectively and efficiently. However, the basic pay of the employee were very low as compare to it counter-parent companies but company also pay out the profit sharing, company also provided the weekly bounces in response to every order. The bounces they received had tripled their salaries.
For example, a worker in 2005 of Nucor earned 79, 000 dollar plus 2,000 dollar from special bonus and 18,000 from the profit sharing. According to the Maslow’s need theory, Nucor fulfills the basic need of the employees, in its response, it increases the motivation level of the employees, and they work hard for the growth of the organization. It also decreases the conflicts among the employees because everyone works of their own benefit. They work to achieve the goal and objective of the company because they know if they work efficiently then they will be awarded.
No, this pay system will not be effective if the Nucor will not give the empowerment opportunity to their employees. If the employees have no empowered to make their decision and wait for the order of their supervisor or manager it increase the fustian level of the employees. It also decreases the motivation of the employees. Performance effective pay system and empowerment have direct relationship.
Assignment on Case Study: Motivating Employees at the Nucor Corporation Submitted By ABC Date Question 1: Nucor steel is a most successful company of US, it provide to their employees an effective motivation that increase the productivity of the employees. It encourage to their employees with the performance-based pay system. The employees of Nucor are awarded according to their work done. To gain high return they worked effectively and efficiently. However, the basic pay of the employee were very low as compare to it counter-parent companies but company also pay out the profit sharing, company also provided the weekly bounces in response to every order. The bounces they received had tripled their salaries. For example, a worker in 2005 of Nucor earned 79, 000 dollar plus 2,000 dollar from special bonus and 18,000 from the profit sharing. According to the Maslow’s need theory, Nucor fulfills the basic need of the employees, in its response, it increases the motivation level of the employees, and they work hard for the growth of the organization. It also decreases the conflicts among the employees because everyone works of their own benefit. They work to achieve the goal and objective of the company because they know if they work efficiently then they will be awarded. No, this pay system will not be effective if the Nucor will not give the empowerment opportunity to their employees. If the employees have no empowered to make their decision and wait for the order of their supervisor or manager it increase the fustian level of the employees. It also decreases the motivation of the employees. Performance effective pay system and empowerment have direct relationship. Question 2: Supervisors can contribute to increase the motivation level of the employees. Supervisors said that employees work effectively if they are awarded high pay. The supervisor can increase the motivation level by increasing empowerment of the employees. For example, a supervisor of Nucor said; if there is any bottleneck, we all go there and work on it like a team. Supervises make the decision for plant manager more typically. Question 3: I think would feel motivated in Nucor company. Nucor gives all necessary facilities to their employees. It fulfills the basic need of the employees and there is a fair distribution pay system. However, the basic salary but it provides additional incentives and bounces that increase the pay more than triple times. All employees work as a team and it give high chance to growth. It also motivates the employees to take part in decision-making process. It has decentralized structure that every employee is accountable for his action and work. The Maslow hierarchy needs theory best fits in this scenario. It fulfills the basic nee of the employees; also provide them safety about the future and employees have the right to make decisions. It provides the freedom to their employees.
