Identify three (3) important issues or problems related to the study of organisational behaviour and design in this case. Provide a clear justification for each one, along with relevant evidence for your answer. CASE STUDY: THE SNACK-RITE COMPANY The Snack-Rite company was founded in 1972, and quickly became a significant player in the US breakfast cereal market. The company produced, packaged, marketed and sold popular breakfast products such as wheaties, corn-pops, frosted flakes and jam-donuts. Although not as well-known as giants of the industry like Kellogg's, the company did well in the US domestic market. Its factory had a range of food production equipment, as well as packaging machines, computing equipment for electronic inventory tracking and delivery scheduling, and employed 265 full-time staff. The company held just under 10 percent of the breakfast cereal market share in the eastern states, and generated profits of approximately $ 55 million a year. Employees were paid above-average industry salaries, and were highly committed, industrious, and loyal to the company. In 2014, the company was sold to Robert Jackson, a wealthy American entrepreneur who specialised in acquiring medium-sized businesses and transforming them into highly profitable operations. Robert, who liked to be known as Action Jackson, immediately slashed employee salaries by 15 percent to bring them into line with industry averages. He then sacked 10 percent of the factory workers and appointed two new foremen, commanding them to streamline operations. The foremen reorganised rosters to extend shifts from six to twelve hours, and began grading all employees according to their performance. Over the next six months, thirty-six workers were fired for poor performance, and a further twenty resigned in protest. To make up for this shortfall, 25 new factory workers were hired. Disputes immediately broke out on the shop-floor. The remaining long-term employees resented the new workers. The newly employed workers didn't trust the long-serving machinists and operators, and communication between the two groups was less than civil. Shortly after this, several equipment failures occurred, halting production and compromising quality control for a whole month. The long-serving workers explained to the foremen that some of the new workers were running the mixing vats for lengthy periods at high speeds without cleaning them properly, and that this was leading to the equipment failures. Several of the new workers suspected the long-term factory hands of engaging in acts of sabotage and reported their suspicions to the foremen, even though nothing was ever proven. During this time, Robert Jackson decided to expand the company's product range, and launched seven new products. None of the new products found appropriate markets, and retailer outlets were reluctant to stock them on their shelves. Meanwhile, the original products began to attract customer complaints. Several retail stores sent confidential memos to Snack-Rite corporate headquarters, reporting that many customers had complained about the unusual taste of their cereals, and that consumers seemed to feel that the products didn't taste the way they used to. Sales plunged and the company was forced to dismiss its delivery fleet altogether, selling off its heavy vehicles and vans, and terminating its drivers. The subsequent sub-contracting delivery arrangements proved complex and the transition was not well managed. To make matters worse, this arrangement proved to be even more costly, and was not always reliable. One of the largest supermarket chains in the US complained that several of its orders for Snack-Rite products were never delivered, and two smaller supermarket chains cancelled their merchandising arrangements with the company. Robert Jackson put a lot of pressure on the foremen to fix things on the factory floor and get operations running smoothly, or they themselves would be out of a job, he warned. The foremen did their best, but with limited operational knowledge they were unable to determine the real cause of the ongoing equipment failure. Instead they resorted to yelling at workers and threatening them with dismissal if they didn't work harder. The very next day the entire maintenance crew (the equipment repair team) resigned. A week later all remaining factory workers went on strike, collectively filing a law suit against the company and the foremen for bullying and exploitative behaviour. Several other individual law suits emerged for wrongful dismissal. Employees who had been terminated as a result of the controversial performance grading system were now arguing that the system was illegal because it violated a range of labour laws. Robert Jackson was stunned by this turn of events. In less than a year, this successful company had become an organisational basket-case. He felt that he needed to seek expert advice from a team of management consultants. He wondered how this situation could be turned around