answer question 6 & 7 fully .

Read the passage below and answer the questions Workers and management at Whirlpool Appliance's Benton Harbour plant in Michigan have set an example of how to achieve productivity gains, which has benefited not only the company and its stockholders, but Whirlpool customers, and the workers themselves. Things weren't always rosy at the plant. Productivity and quality weren't good. Neither were labour-management relations. Workers hid defective parts so management wouldn't find them, and when machines broke down, workers would simply sit down until sooner or later someone came to fix it. All that changed in the late 1980s. Faced with the possibility that the plant would be shut down, management and labour worked together to find a way to keep the plant open. The way was to increase productivity-producing more without using more resources. Interestingly, the improvement in productivity didn't come by spending money on fancy machines. Rather, it was accomplished by placing more emphasis on quality. That was a shift from the old way, which emphasized volume, often at the expense of quality. To motivate workers, the company agreed to gain sharing, a plan that rewarded workers by increasing their pay for productivity increases The company overhauled the manufacturing process and taught its workers how to improve quality. As quality improved, productivity went up because more of the output are good and cost went down because of fewer defective parts that had to be scrapped or reworked. Cost of inventory also decreased, because fewer spare parts were needed to replace defective output, both at the factory and for warranty repairs. And workers have been able to see the connection between their efforts to improve quality and productivity and they pay. Not only was Whirlpool able to use the productivity gains to increase workers' pay, it was also able to hold the lid on price increases and to funnel some of the saving into research, which added to cost savings and quality improvement. QUESTIONS 6. Briefly explain two (2) key factors that Whirlpool management did in order to achieve the productivity gains. (10 marks) 7. The management of Whirlpool decided to change the manufacturing process and taught the workers on how to improve quality. Briefly outline the results of these initiatives and how does it affect the workers. (10 marks)