The issues identified within XYZ Manufacturing have significant consequences for both the organization and its workers. Low employee morale and motivation contribute to decreased productivity and efficiency, leading to missed deadlines and quality issues in production. This can ultimately result in increased costs and decreased profitability for the company.

Moreover, disengaged employees are more likely to seek opportunities elsewhere, leading to higher turnover rates and increased recruitment and training costs for XYZ Manufacturing. The loss of skilled workers further exacerbates productivity challenges and disrupts team dynamics, affecting overall organizational performance.