Part 3: Diagnosing the Change – Chrysler Group LLC & Ford Motor Company
The congruence model first established in the eighties by David A Nadler and M L Tushman provides a means to an understanding of the sources of organizational performance and the relationship between the two. This model views organizations as components that are interconnected and interacting with goals of tight congruence. The Congruence Model consists of categories that are broken down into components. (Mercer, 2012)
The first category of the Congruence Model is input. The components of the input category are environment, resources, and history. The environment consists of factors that are outside of the ...view middle of the document...
The work is one of the company’s primary functions. All of these things will impact the way in which they will relate to work. The informal organization includes the values, beliefs, and behavioral standards that are acceptable. The formal organization includes the components that allow the people to perform their work. (Mercer, 2012)
Output relies on the alignment of the transformation process. This is the ultimate purpose of the organization. The output can be measured through the organization’s production, profits, etc. The behaviors and performance of individuals should be assessed along with how they function within their team as a whole. The output is the best-case scenario of the results of the change in an organization. After evaluating the output, it should allow the organization to see their results with their production they specialize in but as well as the level of performance from the people within the organization. (Mercer, 2012)
The concept of fit is the final element that identifies that the organization’s performance is based on the work, people, structure, and culture. The greater the congruence, the higher the performance. The congruence model makes the change process clearer for change managers because it how what decisions are a best fit for the organization. (Mercer, 2012)
I selected the congruence model because the model provides a systematic approach to the framework for analyzing intricate problems within the organization. The model gives managers full control of the change process and allows them to make decisions as needed. The congruence model is a tool to challenge managers to think through the various organizational problems including the impact of change management on organizational interactions and performance. The model’s framework show that a good fit between the various components is directly related to the performance of the company.
The congruence model fits well with the research of both Ford Motor Company and Chrysler Group LLC. The input category for both companies contain a rich history, but also both had a necessary reason for change because failure was inevitable. Alan Mulally and Sergio Marchionne CEO’s of Ford motor Company and Chrysler Motor group were faced with failing companies because the external pressure of the financial crisis faced in the United States. (Weir, 2007).The two CEOs also faced some internal pressure being that neither were “car guy”, meaning they did not work their way up the ranks in order to become CEO.
SWOT ANALYSIS FORD MOTOR COMPANY CHRYSLER GROUP LLC
STRENGTHS • Ability to rely on resources for financial support
• “One Ford” vision and implementation across the workforce
• Established company culture
• Established U.S.A. presence • Assets obtained from loan and merge
• Global market
• Leaders of minivan
• V-8 Hemi engine
• Leadership enhancement from Saturday meetings and presentation of ideals
WEAKNESSES • Job promotions without completion of goals and...