In one of the plants, there was a practice of giving sweets for Diwali. After some years
Question:
In one of the plants, there was a practice of giving sweets for Diwali. After some years of this customary practice, the union in the plant demanded that they be given a voucher worth the value of sweets given, and sweets packets need not be distributed. This was a tradeoff that the union thought was fair and reasonable. Some managers in the plant also thought that it was fair offer and proposed to the corporate management we should as a company go ahead with this proposal. The considerations put forth by the corporate management was that during Diwali, it was customary to give sweets as a part of the celebrations and that this practice is a healthy practice and that the plant should reconsider their proposal. However, looking at the administrative hassles of distribution and complaints from some corners about the quality of sweets, the plant management reiterated their proposal once again. The Corporate Office was not too happy and felt this was a retrograde step. The factory personnel felt that the Corporate did not understand the grass root realities and that every year the sweets distribution was causing a lot of issues like wastage of time in selecting sweets, union officials having a strong say and coming with complaints, and several meetings and outings to see vendors. The Corporate is adamant. You are the General Manager at the factory and you are sandwiched between the people in the factory and the Corporate Office
Answer questions below:
a. What are the various issues and line of thinking that you will consider to decide the matter?
b. What are the various implications considering what the factory feels and what the Corporate office feels?
c. Come out with your recommendations looking fully at the implications of what are being put forth before you.
d. What are the pros and cons in continuing with the sweets or giving vouchers instead of sweets.