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Step 2B: Problems and Illustration
Problems
1. Decline in quality and productivity
2. Management issues within the company
3. Lack of proper accounting
4. Customer service and social media management
5. Loyalty to the customer
Facts and Causes:
Decline in quality and productivity
– lack of communication between management and employees
– absenteeism
– work overload
– low employee morale
– lack of delegation

Impacts and Effects:
The investigation carried out at the Roanoke branch of the Phoenix Advertising company exposed issues with management and employee relations that caused work ethic and performance to be significantly affected.
Employees found themselves working on average, a 12 hour longer week trying to meet deadlines. Complaints were also made of the workload placed on the employees due to the lack of a full work force and delegation. This resulted in a drop in morale and production and an increase in sick days. Projects took longer due to lack of communication and morale dropped because employees felt drained and uncompensated. The employees, both new and old, showed a huge decrease in their enthusiasm to work, which saw the decline of performance quality and the work they produced.
New management has not been trained accordingly, hence they have not been following standard procedures with staff administration

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