Change Management – Restoring Trust and Productivity in a Manufacturing Plant
Client Context
Client Context
A leading watch and jewellery manufacturing company in India approached Gemba with a request for technician training, citing concerns around declining morale and trust, which were impacting productivity and causing delays in the supply chain.
The plant HR leadership initially viewed this as a training and development issue that could be addressed through education and sensitisation focused on attitude change and ownership.
The Challenge
During initial on-site interactions, Gemba’s team observed that the issue extended well beyond a training gap. There was a growing mistrust between workmen and the trade union on one side, and management and white-collar employees on the other.
The industrial relations environment had deteriorated, leading to a slowdown in production, low participation in suggestion schemes, and organised processions within and outside the factory to mobilise support. Export commitments were being affected, productivity indicators were declining, and management was increasingly concerned about business continuity.
The organisation recognised the need for neutral third-party expertise to help rebuild trust, address conflict constructively, and restore alignment across stakeholders.
Gemba’s Approach
Gemba reframed the problem statement from one of “attitude change among workmen” to a broader cultural transformation of the entire plant.
Gemba’s role was clearly positioned as that of an independent OD consulting partner, committed to fairness, neutrality, transparency, and the pursuit of a win win outcome for all stakeholders.
The intervention began with leadership alignment, starting at the managerial and HR levels, to ensure shared understanding, consistency of communication, and alignment of intent.
The trade union, an internally groomed and representative body, was actively involved in shaping the intervention. The blueprint for training and development initiatives was discussed collaboratively to build trust and secure buy in.
To address the deep trust deficit, the engagement commenced with a wellness focused program centred on holistic health and emotional wellbeing. This served as an effective ice breaker, enabling open participation and dialogue among workmen. The depth and intent of this approach created a safe environment for engagement.
Subsequently, mixed sessions involving heterogeneous groups were introduced, where industrial issues were discussed openly. While individual anger and emotional concerns were addressed, parallel preventive and supportive measures were designed at the organisational and environmental level. Gradually, both parties shifted from reactive positions to working collaboratively toward shared goals.
Employee communication improved significantly, and practices such as affirmation techniques were embedded into small group interventions. Suggestion schemes were revitalised, and employee participation initiatives gained momentum. Union representatives were sensitised to emerging business challenges, while organisational values were consciously reinforced through the intervention. Over time, perceptions and attitudes on both sides showed a marked positive shift.
Gemba provided sustained hand holding support over a one-year period to ensure the changes were stabilised and embedded.
Business Impact
Quantitative improvements were observed across key business parameters, including productivity, quality, delivery timelines, safety, and cost.
What began as a people centric intervention delivered strong and measurable business outcomes, demonstrating that a thoughtfully designed cultural and trust building initiative can generate significant return on investment.