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Case Study

1) Lloyd's Register Group (LRG) faces organizational problems like employees' individual strategies not aligning with company standards and a decision-making system that leaves employees unsatisfied. 2) To address this, LRG should empower employees by increasing satisfaction and career development opportunities. They should also use check sheets to establish performance metrics for employees. 3) Adopting ISO 9000 can contribute to improved organizational performance and competitiveness through better management control and continual process improvement.

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Pamela Luna Mañozo
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6K views3 pages

Case Study

1) Lloyd's Register Group (LRG) faces organizational problems like employees' individual strategies not aligning with company standards and a decision-making system that leaves employees unsatisfied. 2) To address this, LRG should empower employees by increasing satisfaction and career development opportunities. They should also use check sheets to establish performance metrics for employees. 3) Adopting ISO 9000 can contribute to improved organizational performance and competitiveness through better management control and continual process improvement.

Uploaded by

Pamela Luna Mañozo
Copyright
© © All Rights Reserved
We take content rights seriously. If you suspect this is your content, claim it here.
Available Formats
Download as DOCX, PDF, TXT or read online on Scribd
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Mañozo, Pamela L.

BSA-1A
11 Task Performance 1
BACKGROUND
Lloyd’s Register Group (LRG) is a business established on the year 1760, that provides
independent assurance for quality to companies operating high-risk, capital-intensive assets in
the energy and transportation sectors, to enhance the safety of life, property, and the
environment. Even though they have a well-defined mission and objectives, LRG wasn’t able to
escape organizational problem. The individual strategies of the employees do not follow a system
or a specific metric, that also reflects on the executive performance reviews. Another issue is the
decision making system of the company causes the employee to feel unsatisfied.

STATEMENT OF THE PROBLEM


A. How can Lloyd’s Register Group align the individual business strategies of the employees with
the company’s established standards through employee empowerment? (Refer to Page 1 of 05
Handout 1.)
B. What type of total quality tool/continuous improvement method should Lloyd’s Register Group
employ in order to establish a performance metric for the employees? (Refer to Pages 1-14 of 09
Handout 1.)
C. How can ISO 9000 contribute to the overall improvement of Lloyd’s Register Group’s
organizational performance? (Refer to Page 1 of 11 Handout 1.)

AREAS OF CONSIDERATION
The company noticed that individual strategies of the employees do not follow a system or a
specific metric and does not have a significant connection to the operational performance of the
entire company. The business strategies of the employees are solely based on a general course
instead of a specific course of action required in a specific situation. Which can also be observed
in the executive performance reviews. Also the “closed-loop top management system” that the
company practices where decisions are centralized to the top management, this had caused the
employees to lose their voice in the continual improvement of the different processes of the
company.

ALTERNATIVE COURSES OF ACTION


A. Employee Empowerment can help Lloyd’s Register Group align individual business strategies
of the employees with the company’s established standards, first is through Increasing of
Employee Satisfaction by eliminating the “closed-loop top management system” that the
company practices, and let employees take part, because an employee finds his/ her job
satisfying when he/she has a voice in the execution of their tasks. Or second action can be Career
Development by providing opportunities for the employees to develop their skills and take on
greater challenges.
B. The type of total quality tool or continuous improvement method that Lloyd’s Register Group
should employ to establish a performance metric for the employees is either Pareto Charts or
Check Sheets. Pareto charts or a bar chart wherein the factors or the specific factors to need to
be measured to analyze the performance of each employees are plotted along the horizontal axis
in decreasing order of frequency. It follow the pareto principle or the 80-20 rule, on which the
20% is the factors need to be measure and 80% is the performance level of an employee. While
check sheets is a structured form for collecting and analyzing data. It is an easy way of collecting
and presenting a data for a specific purpose.
C. ISO 9000 can contribute in the overall improvement of Lloyd’s Register Group by achieving
continual improvement of organizational performance and competitiveness because ISO 9000
will lead LRG to a better management control that directs employees to stay focus on the
company’s goal. It can also helps to continually improvement organizational process, products,
and services because the certification will improve internal communication in the organization.

RECOMMENDATION
A. Lloyd’s Register Group should employee empowerment in order for to align the individual
business strategies of the employees with the company’s established standards. Through
increasing employee satisfaction by changing the “closed-loop top management system” that the
company practices where decisions are centralized to the top management of the company. LRG
should let their employees take part on the continual improvement of different processes,
because an employee finds his or her job satisfying when he or she has a voice in the execution of
their tasks.
B. In order to establish a performance metric for the employees the total quality tool or
continuous improvement method that Lloyd’s Register Group should employ is Check Sheets. It is
a structured form for collecting and analyzing data. With the ease of collecting data, LRG will have
more time in analyzing and interpreting the data collected.
C. The contribution that ISO 9000 can do on the overall improvement of Lloyd’s Register Group’s
is achieving continual improvement of organizational performance and competitiveness. ISO
9000 will direct LRG to a better management control that will lead the employees to become
goal-oriented and well-disciplined reflecting it on the process, services and performance.

MANAGEMENT LESSONS LEARNED


After Lloyd’s Register Group had gone through several organizational problems they just
proved that there is no perfect organization, no matter how clear their goals and objectives are,
and no matter how good they are on the field they are in. There will be a time where problems
and issues will occur. In LRG’s case they had been blinded by their competitiveness, thinking that
they had established the right system because of their success. LRG centralized decision making
on the top management that causes feeling of being disregarded to the employees, with their
thought that they don’t have voice to take part on the continual improvement process. Which
caused the individual strategies of the employees to be insignificant to the operational
performance of the entire company because employees’ business strategies are solely based on a
general course instead of a specific course of action required in a specific situation. In order for
LRG to avoid being on the same situation again they must empowered their employees. By giving
them opportunities, trainings, and rewards as they implement their plans to set quantifiable
targets and goals that will measure the individual performance of the employees. For them to
have more competitive employees who knows how to take initiative, think critically and build
consensus for solutions. That’ll LRG to trust their employees and remove the centralization of
decision making.

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