Interviews

Contents
Brian Johnson 1
Jennifer Smith 2
Maurice Gagnon 3
Guy Tremblay 4
Ann Price 5
Cheryl Stewart 6
Fred Williams 7
Cathy Lalonde 8
Roger Thomas 9
Sam Seto 10
John Simons 11
Scott Bell 12
Ganesh Seth 13
James Clarke 14
Ginny Lee 15
Richard Wright 16
Ralphy Jones 17
Jane Cowan 18
Rob Brown 19
© ExperiencePoint Inc.
[email protected]
Version: January 23, 2017
Brian Johnson, President
The Solution
What’s not in the cards is a radical organization shakeup.
Too costly. What we need is ad hoc, maybe even semi-
permanent teams, working across departments. But they
have to have real decision-making powers in order to
affect the bottom-line.

Thoughts on Teams
Teams can break down walls between departments and
force us to communicate. And if that happens, everyone
should have a solid understanding of just how desperate
our situation is.

Obstacles to Change
The union. Brown has everyone convinced we’re
Company History swimming in cash and that the only reason I brought
you in was to get concessions in the next round of
I’m proud that the ideas I had and hard work I put in
negotiations in four months. Yeah, Rob Brown is the
paid off. We’re global and we’ve avoided the trap of just
single greatest threat to our future.
being local.
Supporters of Change
Consultants
Jennifer Smith is my strongest ally. She’s the only other
Having you here is an admission that I’ve failed. I should’ve
person who can see the big picture. That’s why I got her
moved us to a commercial focus. I couldn’t.
out of R&D and created the Executive VP Technology role.
The Problem
Your Future Plans
We have exceptional departmental strength: got cutting-
Before I retire I’m going to make damn certain we’re not
edge R&D, high-quality Manufacturing, and recently,
in crisis and everyone knows GlobalTech has a great
Sales and Marketing has improved. But our biggest
future. And we do.
liability? Communication between the teams. And when
that doesn’t work, all hell breaks loose.

1
Jennifer Smith, VP Technology
The Problem
I could go on and on about this but here it is in a nut-
shell. R&D is designing what Manufacturing can’t build
and what the customer doesn’t want. Classic. Every-
body is isolated from everybody else. Even where they’re
located adds to the problem – each in their own building,
heads down, doing what they think is best. So it’s easy for
departments to get caught up in their own importance
and lose sight of the big picture.

The Solution
It sounds simpler than it is, I know that. But we have to
get people face-to-face communicating and solving
problems that matter. Yes, departmental teams and
cross-functional teams. Teams work. But to do that
we have to do a comprehensive re-think of how we’re
Your Role
organized here.
Here’s what Brian, Brian Johnson, told me when he
created the position: one, develop quality products Management Team
quickly so the pipeline is full and two, integrate the
Would I call us a team? In the past. Maybe. Now we have
efforts of R&D, Marketing, and Manufacturing. What do I
weekly management meetings that are so tense all
really do? Mediate fire-fights between the departments.
people do is report and run.
Sad but true.
Obstacles to Change
Your Background
If you ask Brian, he says it’s the union: Rob Brown in
I was lured to GlobalTech by Brian three years ago to
particular. In the years I’ve been here I’ve seen some
head up R&D. He wanted someone with business savvy
pretty nasty stuff go down. It’s more complex than just
to move that group to a more commercial focus. That’s
that. I’m not sure we have the support of the senior
more or less what happened.
managers. We’re not all on the same page.
Thoughts on Teams
Departmental Relations
My experience in R&D has taught me that teams are
Here’s what it’s come to in the past few months: I’m like a
crucial to development. And in the past few months,
“special envoy” going back and forth between Marketing
I’ve become more passionate about how teams, cross-
and Manufacturing because they won’t sit face-to-face to
functional teams, are critical to our success. If we can
get resolution. I know, I know, it sounds crazy.
get them to work, I can stop fire-fighting and do what I
should be doing.

2
Maurice Gagnon, Chair of Board
Company’s New Direction
The market forced us. We had no choice. But we should
be doing better. We’ve got good people, great people.
Dedicated. Smart. And second-to-none technology. We
should be a market leader.

Consultants
Are you going to be able to help us? A few years ago
we spent six figures to have someone come in to tell
us time on our own watch. We need more action and
fewer reports.

Company History
When I founded the company we were a small electronics
assembly operation, 5, 6 employees. I hired Brian for his
technical know-how and now we’re global. There are lots
Management Team
who would like to have our problems.
To say I’m a bit worried would be a big understatement.
We’re not there. The management team, it’s not, not The Solution
gelling. Frankly? I’m a bit disappointed in how Brian is
We should’ve created a commercial products division
handling things and so the team wanders. Not focused
years ago. So let’s do it now, do it right, and see it as an
like they should be. Well not focused the way I think they
investment. With two divisions – commercial, military –
should be. Maybe I should take a more active role in the
they could each have their own autonomy and work to
day-to-day running of the company.
be leaders in their own market.

The Problem
Your Role
Credit where credit is due. The company has grown
I’ve been watching from the sidelines since I was
since Brian took over the presidency. We’ve had great
President and CEO. I was content to do that as long as
prosperity. But I’m afraid it has left us soft and so when
Brian was growing the business. But lately …?
changes need to be made we can’t or won’t do them.
Probably a bit of both. We’ve got good talent here. He Obstacles to Change
should be pushing them more, expect more. You expect
Brian has to deal with the unions. I’m glad it’s him and
more, you get more. And on his cost containment
not me. Rob Brown is a real thorn in our side. The unions
initiatives … I’m there. I think it’s the right thing to do.
create a lot of noise anytime we have to make a change.
Give me a secure job but please don’t make me change.

3
Guy Tremblay, VP Human Resources
Management Team
Everyone at the table is talented and can make
outstanding contributions. But we all talk by each other
and argue about what doesn’t matter. So there’s no
alignment. I’m not saying this as a judgement; but we’re
missing opportunities. Tons.

HR Department
We were 12 and now we are three. Cutbacks. Like
everyone else we were expected to contribute to cost-
containment efforts. But no one has cut back on what
they expect from HR. People still want us to do Learning
and Development, Employee Engagement, Succession
Planning, and so on. What we can do is the transactional
stuff of HR. That’s it.

The Challenge Ahead Your Role

We’ve all been under some stress lately. Who isn’t though? I’m the chief negotiator so I’m prepping for the next
It just means that people might not like what they see round of labor talks in a few months. Brian Johnson is
coming for us. I’m with Brian on this; we need some fresh, a reasonable guy on an individual basis and so is Rob
unbiased perspectives around here. Good luck. Brown. But put them together in the same room and the
sparks fly. It might take a while but eventually we’ll get a
Thoughts on Teams deal done.
Cross-functional teams have got to be the way we work
in the future; so we get more collaboration. Teams need Obstacles to Change
to help us with the complexity we face and get buy-in on There’s not one person who’s a problem. Everybody has
the decisions we make. strong ideas, biases, opinions. That’s a good thing. But
there’s no glue holding us together, no mission, no vision,
The Problem and so everyone is just protecting their own turf. We’re
Problems not problem. Take your pick: Marketing, just people being people.
Manufacturing, R&D, Johnson, Smith. Everybody’s
got their own opinions. And the blame-placing is The Solution
counterproductive. If we put that much energy into the We should integrate the teams with something like
customer, we’d own the market. a matrix structure. That would allow us to focus on
individual products as well as on functional structures. I
think we could do it. We have bright people here.

4
Anne Price, HR Manager
GlobalTech’s New Direction
I get it; focus on commercial. And you get it. But the
people working in the plant, they don’t. They see change
and they want to know why. So they ask me. “You’re in
HR, you should know.” I know some things, but not the
details. So when information is not shared by managers,
they listen to the union. I’m just saying.

The Union
In HR we have a healthy relationship with the union:
because Guy works there. There’re a few hassles, there is
anywhere, but we work through it.

The Problem
Morale is a huge problem. People aren’t involved in
the problem solving or the planning so they think that
Your Role
nobody cares and if they don’t care why should I care.
I oversee hiring, firing, compensation, performance But really people just want to help if they can. We have to
management, and … that’s it. No, I forgot. I organize a find a way to mine that group gold. Guy says that: group
few training programs, not many, and anything else Guy gold. Cute.
asks me to do. That’s enough.
The Solution
Response to Cutbacks
Go to the front-line and involve them in the decision-
Well, we now outsource payroll and training, and if you making process. The person in the boat with you is
ask me, and I know nobody has, it’s not such a good idea. not going to bore a hole in it. Engagement, that’s it.
It’s not a bad idea but it’s not a good idea either. When Better engagement.
you outsource training, it makes it easy to cut and that
has a huge effect on employee morale. Training Programs
A few years ago, we had a commitment to training. Not
Budget Cuts
now. We’re not investing in the future and that scares me
Some say we’re getting ‘leaner and meaner.” Meaner but we need to build a competent and committed group
for sure. And that has a negative effect on employees of employees in order to succeed. Does that make sense?
because they think we’re all about cutting … and they
know where that leads.

5
Cheryl Stewart, VP Finance
Finance Department
There are three staff to handle routine, transactional tasks.
I focus on the numbers and trends and look for where
costs might be spiraling out of control. When I find that, I
try to do something about it.

The Solution
We do a lot of things right – like redefining ourselves
as a commercial player. And Marketing has reorganized
around product lines. All good. The best thing to do now
is to sit tight and wait for these initiatives take hold. I
know, tough to do when revenue’s dropping.

The Challenge Ahead

While we’re not doing great, there are some positive
signs. Decisions made to expire most of our long-term
Commercial Market
debt have helped. And cost-cutting has happened too,
Before entering the commercial market, we did extensive otherwise we would be facing much tougher times. We
research which told us that superior technology would are not sitting on a pile of cash anymore and so the banks
make us a premium producer with margins 25% higher are hesitant to extend our operational financing until
than our competitors. However, what we learned is that they see a more certain future for us.
users value features such as ease of use and aesthetics,
which makes our competitors’ products more popular. Management Team
Brian is now finally paying attention to the warnings I’ve
Military vs. Commercial
been giving in the last two years about shrinking margins
Military markets offer bigger margins because they and lower revenues. In the past our voice wasn’t heard.
reward research and development; commercial margins But now R&D, Marketing, and Manufacturing are giving
reward only development. us the attention we deserve.

The Problem Financial Situation

There is no single problem in this company; there are a I figure at the current production and cost levels, we can
series of compounding problems. First of all, R&D and operate for another 18 months, max. And if we wait for
Marketing aren’t communicating. Second, Manufacturing tougher cost controls, it will be too late to save ourselves.
has failed to address the cost issues, despite my efforts.
They have to change their mindset from quality at all cost
to quality at a set cost.

6
Fred Williams, Accounting Staff
Finance Department
We collect and report financial performance. We’re small
… small in size and in our ability to influence. But lately
with the company’s poor financials, we’ve had a seat at
the table and a chance to demonstrate our value.

Financial Situation
Cheryl and I are on the same page on this one. Given
our current expense and income trends, we’ve got 24
months, at most. That’s right, 24 months.

Military vs. Commercial

Either we make a complete transition to developing and
manufacturing world-class commercial products or we
turn out the lights.

Your Role Influential Personnel

I manage receivables and accounts payable. And ever The head of R&D has always exerted a great deal of
since our cash flow tightened, I’ve been aggressive, influence here. Scott Bell is no exception. Brian Johnson,
really aggressive, with receivables and I’ve stretched out the CEO, has a lot of formal power and Jennifer Smith’s
payables. You’re right, I’m not making too many friends. influence is because of her position, expertise, and her
ability to connect.
The Problem
We have weak information systems. In this place Budget Cuts
information is like gold; we hoard it and build power bases Last year, we made some pretty major budget cuts.
out of it. I don’t even know if people in Manufacturing, Without doing that, we’d be in deeper trouble than we are
R&D, or Marketing even know the spot we’re in. now. The budget cuts are a positive thing because they
have made departments identify and eliminate waste.
The Solution
My boss, Cheryl, likes to sit tight. But I prefer a more
aggressive approach. I think if we made even a modest
investment in an MIS system to track something as
simple as real-time costs, we’d see a significant payback
in two years.

7
Cathy Lalonde, VP Sales & Marketing
The Problem
Our biggest problem? Biggest? Hmmm. The R&D
department in general and Scott Bell in particular. They
have a big ‘R’, little ‘d’ focus. The commercial market needs
us to be small ‘r’ and big ‘D’. That’s where our future is.

Commercial Market
Our current commercial customers are extreme users.
They want the most technologically advanced product
on the market (which ours is) and they will put up with
quirky interfaces (which we have) and they don’t care if
it looks ugly (which many of our products do). But the
extreme users are a small segment. What we have doesn’t
cut it for the majority of commercial users.

Competitors
Marketing Department
They’re smart. They’ve mimicked our technology and
My first priority when I arrived at GlobalTech was repackaged it for the commercial market. We still have
reorganizing Marketing along product lines: Commercial a significant technological advantage but our two major
as well as Military. We finished doing that three months competitors have designed sexy products with many
ago. We’re still experiencing growing pains. Fingers new features being added all the time. Many of those
crossed we’ll get past it and see the opportunities that features we’ve suggested to R&D and … nothing.
are there.
Obstacles to Change
Military vs. Commercial
Scott Bell. He’s old school, not used to the commercial
We’ve been an R&D-driven company. That’s been a result landscape … which is where we have to be if we’re going
of our history of developing state-of-the-art technology to survive. His perception is that the military market
for the military market. Today’s opportunities are not the is stable and they give us the opportunity to do basic
same as we move to the commercial space and develop research, which he loves.
aesthetic and user-friendly features that customers value.
Your Future Plans
Department Relations
If we don’t get a big shakeup in the next few months, I’m
In a word, not good. Two words actually. We have a going to respond more positively to the calls I’m getting
confrontational relationship with many departments. from recruiters and go elsewhere. I like the company,
Especially R&D. They’ve experienced cutbacks; we believe in its potential, but …
haven’t. We’ve hired a lot of young and talented people
lately and I think they resent it. And they hate hearing
from a 30-something that their product isn’t cutting it.

8
Roger Thomas, Military Sales
The Problem
R&D does what they think is best.

The Solution
You know as well as I do; change takes time. This is no
different. Marketing and Sales have done the right thing
and we just need a minute to settle in to the new way …
and then sales should start to pick up. But if Scott keeps
working against the move to commercialization, the R&D
team will do the same. Someone’s got to get Scott in line.

Military Market
The truth is we can get the odd military contract these
days – more often than not, upgrades to existing
products. In the past few years, they’ve kept us afloat. But
the military market isn’t going to improve anytime soon.
Marketing Department
At this stage in the product lifecycle the technological
I’m the veteran on the sales team. Have you seen some improvements are incremental, not significant.
of the new hires? They’re barely old enough to drive, let
alone negotiate contracts. But who am I to say? Lalonde Cathy Lalonde
has a plan and the kids are ambitious. She’s doing a good job, sure. Values my input; that counts.
I’d say she’s liked, not well liked, but liked.
Your Role
I’m the key military sales guy. It’s not glamorous but I’ve Your Future Plans
won and kept dozens of military contracts, which isn’t Time is running out for me. I’m no longer at the top on
easy when our side of the business is slowing down. But the sales team. Look around, things are changing here.
hey, I’m still working here and the relationships I’ve built
still matter.

Departmental Relations
Here’s how it used to work. I’d win the contract and turn
it over to R&D who would deal directly with the customer
and they’d do all the yadda-yadda on technical issues. We
were support for R&D. Today, we deal with the customer
and then translate what’s been said for R&D. You guessed
it: R&D doesn’t like it. They say it’s like shaking hands with
gloves on.

9
Sam Seto, Commercial Sales
Management Team
I don’t have line of sight to that but they’re acting more
like a high-tech company. There’s a sense of urgency,
almost borderline panic. Which is good, don’t get me
wrong … as long as everybody gets it.

Commercial Customers
In the commercial space, we’ve got the early adopters,
techies who love technology and don’t care how friendly
it is. With a new product release, they’re the first in line.
Unfortunately they’re a small share of the commercial
market.

Marketing Department
We’re turning it around. We’ve got the right structure
to deal with the overall market, so I hope you’re not
GlobalTech’s New Direction
planning to touch that, know what I mean?
It was a great play to shift from a territory focus to a
product focus. Kudos to Cathy for that. I can better Commercial Market
understand and focus on my segment this way. You know They’re a bunch of users who are tech-dependent and
I’m in the commercial space? Okay I didn’t know what love to have sexy products but they aren’t tech-savvy.
you knew. About 90% of the technology is the same. It’s They’re a tough sell for us. They value appearance, ease of
the segment which is different. You get to know it and use, the kind of stuff our competitors have but we don’t.
it’s way easier. Opportunity analysis is just one example. We could learn from them.

Cathy Lalonde The Solution

In the last year, you can tell who’s in charge. She gets Make R&D more accountable to the rest of the business.
pressure from Johnson, she’s got new people in new Listening to us in Sales and Marketing is a good start.
roles and she stepped up. Cathy motivates, ask anybody When R&D’s on board, Manufacturing will follow. What
on the team. Everybody’s working hard, engagement’s I’m saying is that it has to be a total team effort.
good and that’s not easy to get when the rest of the
company is running around like a headless chicken.

R&D Department
The engineers in R&D, who develop new products and
features, they work in a cocoon. Almost arrogant. They
don’t have a clue that they’re missing the mark.

10
John Simons, Marketing Manager
Commercial Market
The commercial market is the only hope for growth: in
particular, the potential in the medical sector. I hope we
are around when that market starts to take off.

Marketing Department
Sales and Marketing, that’s one of the bright spots here.
Brian Johnson made a great decision in hiring Catherine
Lalonde. She looks toward the future and she also
provides our team with the direction we need.

R&D Department
I hate to have to admit it, but it’s a real mess over there.
There seems to be a power struggle between commercial
and military. They find it tough to ‘play well with others’…
like Marketing … like Manufacturing … like Finance.
The Problem
I communicate new market information, new Military vs. Commercial
opportunities, and areas of interest to both the military The potential growth in the military market is limited;
and the commercial sector. I think we do a good job, but commercial is still in the early stages of growth. Yes,
that’s just me. However, for the rest of the company, the we lag the competitors in the commercial side but we
frequency and the quality of that communication, there’s have an excellent opportunity to redefine ourselves in a
lots of room for improvement. potentially huge market.

The Solution Roger Thomas and Sam Seto

If communication is the problem, then obviously we have Roger has had a long and successful career here, but he
to bring people in to talk. For starters, I would suggest knows that the military market is limited. The younger
organizing a corporate retreat for all senior and middle members of the team on the commercial side draw on
managers. I’ve had success with that in the past. his experience … people like Sam. He’s committed, he’s
driven and he’s essential to our commercial success.
Your Role
I own three core responsibilities. One, I provide market
support for the military and commercial groups; two,
I coordinate resources for marketing activities like
advertising and promotion; and three, I keep my eyes
open for new opportunities.

11
Scott Bell, VP R&D
The Problem
The management team. We used to get together, argue
and toss ideas around. But five months ago Johnson
blows a fuse about the company’s flagging performance
and now we come to meetings and nod our heads. So
the solution being floated is cross-functional teams. If we
can’t get things done as a management team how are
cross-functional teams going to work?

The Solution
The ultimate cross-functional team in any company is the
leadership team. That’s the group with the expertise and
the big picture view. But at best our leadership team is a
reporting team: here’s what we’ve done, here’s what we
are doing next month, here’s what we’re going to cut. So
the first job is to get the leadership team back on track.
Your Motivation
I like new ideas and pushing the limits of technology. And The Challenge Ahead
I like the fact that my name’s on over a dozen patents It’s not complicated. There are only a couple of people
from the work I’ve done here. This place has cutting edge holding us back. Get them in or get them out and things
technology and I like to think I’ve had a hand in it. will improve. Of course, I’ll do anything I can to help.

Thoughts on Teams GlobalTech’s New Direction

Teams aren’t new. We’ve had teams since day 1. Look, I’ve been here since the get-go and we’ve made it through
you can’t run a research department without teams. Is tough times. But then we had a vision and a commitment
that team-based management? I guess. Marketing could to excellence in research. Smith wants to change that. So
learn a lot from us. If they could market our products half I’m not overly optimistic about where we’re going.
as well as we develop them, we wouldn’t be in the mess
we’re in. Consultants
When Brian announced he was bringing you guys in, all I
Leadership Team
could think about was we’re doing cuts and we’re spending
Here are the facts. Johnson and Smith have cut my money on consultants. Really. But maybe we need a third
research budget this year by 30%. That’s right: 30. The party who can be objective and help Brian and Jennifer
only real competitive advantage we have is our cutting- realize the value of our technology asset. So welcome.
edge technology and they suck out 30%. And the kicker?
The guys in the lab blame me.

12
Ganesh Seth, Technology Manager
The Problem
I’ve seen two people, Brian Johnson and Jennifer Smith,
both former heads of R&D and both respected colleagues
at the time, leave R&D and then turn around and slash
our budgets. What choice do we have except to protect
our own?

The Solution
Don’t cut budgets. We are on the verge of some incredible
innovations that will give us a real competitive edge.

Competitors
We really don’t have competition in the military market.
Commercial is more competitive. But that is more of a
Marketing issue. They don’t know how to position and
sell our technology as a competitive advantage.
Your Role
I work with the researchers in the lab. They come to me Budget Cuts
with their ideas and suggestions and I build business Our scientists are giving us a lot of flak. Some good long-
cases. From there, resources are allocated. term projects have lost their funding. I’ve tried to be fair
to everyone in the lab and make sure we have a balanced
Scott Bell
product pipeline.
For over 10 years, Scott and I have worked closely together;
in fact we even have a couple of joint research projects Commercial Development
under way. Scott has done a lot for this lab and is doing his We are addressing some of the issues that Marketing
best to ensure that R&D doesn’t get jerked around. thinks we have. James Clarke works around the clock
on it. And we have moved significant resources into
Allocating Resources
commercial product development, including a few of
Just before Jennifer Smith left R&D, she brought in two our best engineers.
design engineers into the department to work on a
commercial research project. In my role, I reassigned
those engineers to ‘Genesis’ … an exciting new basic
research project.

13
James Clarke, Commercial Development
R&D Department
I came to GlobalTech because it had a reputation for
developing great engineers. And when I get here
I discover they really develop scientists. It makes a
lot of people feel good but I’m not sure it’s good for
the company. We should be spending more time in
development than research.

The Problem
We have strong personalities here and carefully guarded
turf. Know what I mean? In the past, R&D’s challenge was
to exceed military design specs. But now the dynamics
have changed and the rest of the organization doesn’t
know how to work with us.

Budget Cuts
Your Role
Johnson’s cuts are killing us. We are supposed to be
Lead Commercial Developer is a position created by making a transition to commercial but the resources
Jennifer Smith, 6 months ago, before she was promoted aren’t there to help us do that. And then Scott Bell makes
out of R&D. She knew that Marketing’s requirements sure that his projects are financed first, so I’m left to fight
were not making it into the products we were designing. for scraps to feed commercial development.
I’ve been working closely with Jennifer to bridge that gap.
Thoughts on Teams
Departmental Relations
Teams are the right thing to do. We need to find some
It used to be that Marketing’s requests were laughed way to work with Marketing and Manufacturing so that
off the table. Some were outrageous I can’t argue with we can communicate problems and ideas more …
that. But slowly we’ve come to agreements on how the effectively, I guess. The challenge is we’re bringing three
products should look and function so the friction with different cultures to the table. We haven’t been very good
Marketing is decreasing, slowly. And we’re bringing at that. No, we’ve failed miserably at it.
Manufacturing to the table so we know what is doable.
Scott Bell
Commercial Market
Scott’s a hell of a scientist, but not much of a manager.
Our newest commercial product is due out in six months. When Jennifer moved to be VP Technology I was
That’s our first real attempt to integrate Marketing’s ideas surprised that Brian appointed Scott to be the VP of R&D.
into R&D. So, we’ll see. The toughest part is always getting Don’t get me wrong; I’d want Scott on my development
resources and support in this department. Not many team any day: but not running it.
people like doing commercial development work. And
that gets complicated by Scott who wants to approve
every change and then we’re fighting for every dollar. It
bogs everything down.

14
Ginny Lee, Military Development
R&D Department
Where would GlobalTech be today without its military
focus? Nowhere. We are technological leaders because
of R&D and its focus on the military market. Don’t lose
sight of that.

The Solution
Think about when we were successful. When sales
focused on the military market. Single focus, single
passion. We need to get back to that.

Commercial Development
I’ve got two issues there. First, they have several of my
best people. Second, both military and commercial
within R&D are fighting for the same resources. Just think
about what that does to a team.
Your Role
I’m the military development project leader. I spend a lot Military Development
of time on ‘administrative’ tasks and I try to spend a few Product performance is improving and we’re going to
days a week in the lab with hands-on work. be able to reduce the product’s size and weight. Big
challenge to do that, but it’s possible. For once, Marketing
The Problem
is a bunch of happy campers.
Here’s the math. In the past, 100% of our resources were
dedicated to the military. Now we have 80% of what Your Future Plans
we had across two product lines. So, less development I’m proud of the work that we do here and I would like to
money for more products. That’s going to lead to disaster stay. It’s challenging and cutting edge, all the stuff that
in the long run. will make us world class. Yes, I have headhunters calling.
I’ve got marketable skills. But I’m still here.
Marketing Department
We introduce a new generation product every two years,
despite budget cuts. I get it, that’s our job. Marketing
has all the money but military sales keep falling. You’re
experts; you tell me what’s going on.

15
Richard Wright, VP Manufacturing
The Problem
We’ve lost our focus, you know, doing what we do best.
We were the best damn military contractor out there. Still
are. If we stuck to that, we’d be smaller, but we’d still be
around in 10 years.

The Union
Rob Brown and I have had the odd ‘disagreement’ but
we respect each other which goes a long way. Rob and
Johnson? Totally different. There are lots of theories about
why but they’re just theories. Truth is, Johnson has done
a lot to improve working conditions and so has Rob, I’ll
give him that. So why do the employees keep a union?
The uncertainty around here. They believe the union will
help keep their jobs.

Departmental Relations Commercial Market

Scott’s bright, nobody argues that, but a bit stubborn Marketing has a bunch of ideas how to make the com-
which maybe he has to be or maybe it’s what happens mercial products more appealing: different colors, cases,
when you’re bright, I don’t know. He’s dedicated and displays, you name it. They don’t realize how all this varia-
wants the best for the company though. No dancing; you tion can affect production standards, no – quality – how
know where he stands. Catherine Lalonde, not so much. it can affect quality.
Corporate. Political. Turned a lot of people off when she
came because she gave the impression she knew better. Manufacturing Process
The process is linear. We run the product in batches with
Manufacturing Department
changeovers every two, three days. We do those change-
All the people on the floor are craftsmen. Yeah, all of overs at night to minimize production downtime. Qual-
them. They pay close attention to detail and they’re ity is our priority so we build it into the manufacturing
proud of their work which is how you get quality; which process and of course we have inspection points along
is why Manufacturing is a competitive advantage. the way.

Thoughts on Teams The Solution

Formal teams? Like the ones Jennifer Smith is proposing? We were doing just fine before we had this new com-
I’m wary. In Manufacturing, things are running smoothly mercial focus. Maybe we should, and this is just the
so why fix something that isn’t broken? way I’m thinking, be looking harder at other types of
military contracts.

16
Ralphy Jones, Line Supervisor
The Union
Brown has stirred up the pot and now people think they
are going to lose their jobs. And then you guys turn up.
You’re not making it easier. Look, when you get right
down to it, Rob’s not a bad guy. He just wants to make
sure GlobalTech to stay in business. And who doesn’t?
And compared to what I’ve heard about some union
shops, we’re doing okay … trouble-free … mostly.

Manufacturing Department
The guys here are pretty good. There are a few whiners,
there always are. But we get along. They know I’ve been
here from the beginning and I want to retire here just like
they do. They get that.

Employee Morale
Your Role
Okay, ten years ago it was better. Or maybe it wasn’t,
I’m the head super … I make sure things get done the maybe my memory is faulty. All I know is that people
way they’re supposed to. are nervous. Whenever they hear a rumor about one
problem or another, noise starts to happen. And when
The Problem Jennifer Smith comes around, the noise gets louder. It all
I’m one of Gagnon’s nine original employees. So when affects morale.
you’ve been around as long as I have a lot of problems
come and go. Now? Right now it’s R&D fighting with Your Future Plans
Sales and Marketing. In this corner in blue trunks it’s … Gagnon and I go back a long way. So I’m going to finish
and in this corner in pink it’s … here and then I’m going to play golf.

Thoughts on Teams Consultants

Won’t work. Not on the floor. People here, they like what Everybody has to make a buck. Last time we had
they got. We keep our heads down and get quality work consultants in here we ended up with bowling teams.
out the back door on time. Is there more? That lasted about three months. I still got the T-shirt:
Paradigm Shifters. Oh yeah.

17
Jane Cowan, Quality Assurance
Departmental Relations
At one time, we designed a handful of systems. Easy to
manage, easy to get quality. As we scaled up, quality
suffered. So Richard Wright, Brian Johnson (who was then
head of R&D) and myself got together and developed a
process where R&D designed for ‘ease-of-manufacture.’
And we supervised from newly installed inspection
stations. Today, we build quality right into the process.

Quality Focus
Here, quality refers to accuracy (which is the sensitivity
of our sensor technology) and durability (think about
how much abuse the product can take before failure).
The trick is holding our commercial products to the same
standards as our military products.

Your Role The Solution

We’ve got a reputation for quality in the marketplace. I Two things: more inspectors and more training on quality
protect it. And improve it, of course. for employees. Do the training, reject rates fall and the sav-
ings pays for additional inspectors and quality improves.
Manufacturing Department
We aren’t to set up to handle all the product variation that Quality Situation
the commercial market requires. Right now when sales Product variation requires inspectors to be super-
in commercial are relatively low, our defect rate is close attentive. Given the variation of the product mix, my
to 4%. What’s going to happen when volumes pick up? team is understaffed and overworked. We catch a lot, but
not enough.
The Problem
As Marketing forces more product variation, product Quality Standards
quality becomes tougher to maintain. Supervisors are We have to build quality right into the products, so we
spending more time addressing quality problems than are developing a closer working relationship with R&D to
ever before … which means production slowdowns … report quality issues to them and to work at root causes
which means more overtime … which increases costs to get better designs. This feedback loop is helping us
… which means thin margins. It’s a vicious spiral. We maintain the quality standards we have.
either have to lower quality standards or organize the
manufacturing process differently.

18
Rob Brown, Union Representative
The Solution
We should be doing two things in parallel: we need
someone in power who understands the trade
agreements. And at the company level, we have to make
some concessions. Not popular, I know. If we make some
small sacrifices, we can get that security. Of course we’ll
only do that if we’re convinced there’s a brighter future
in front of us.

Worker Profile
It’s diverse, both in terms of ethnic background and
skill sets. The union represents technicians, machine
operators, and product inspectors in manufacturing …
so there’s a lot of skill and experience for the company
to draw on.

The Union Leadership Team

We’ve been representing GlobalTech’s manufacturing Johnson’s hardly ever in the plant, maybe once a week, if
employees for, well going on 12 years. Yes, 12 this fall. that. I wouldn’t run a company that way. Jennifer Smith
We’ve made a lot of progress in that time: wages and takes up the slack though. We see quite a bit of her…
benefits are now on par with similar operations. And the in Richard Wright’s office. Wright’s not a bad guy. He’s
conditions in the plant have improved since the days worked his way up from the floor.
of Maurice Gagnon. There’s still a lot of work to do, but
Brian Johnson
this place is an excellent example of how the union can
benefit both the workers and the company. We did get along until I pushed for a union years ago.
He had just been appointed President and he saw
Contract Negotiations certification of the union as a personal challenge to
I’m hearing talk about how uncertain the future is. It’s a his leadership. It’s always about ego. Truth? Gagnon’s
tough job market, even if you’re skilled, so no one wants worse. He’s got a management style from the 40s so the
to lose their job. It’s no secret that job security is going to certification process was messy and damaged a lot of
be a key issue the next time we’re at the table three, four friendships. Most of the wounds have healed but when
months from now. it comes to contract negotiation time, people remember
those battles.
The Problem
Management Relations
Globalization and trade agreements make it tough for a
place like this to be competitive. We’re here because we The HR Director, Guy … Guy Tremblay, is the chief
are scrappy and we’re smart. But the odds are stacked negotiator in name only. He’s there so Johnson doesn’t
against us. have to deal with me across the table. Guy’s okay. We
both just do what we have to do. Know what I mean?
This’ll be a tough round of negotiations. But I have full
support of the membership and we will strike if we have to.

19