Macbeth Glassware, founded in 1873 , has a long history of producing beautiful glass objects and ornaments. They have always been popular wedding presents. Glass-blowing and Glass-cutting, which is performed by hand, are highly-skilled jobs and Macbeth employs some of the best craftspeople in the world ( average age 53).
The factory produces an incredibly large rang of 8000 glass objects but just 1000 are responsible for 80% of total sales. There is a lot of waste and breakage. Each item is inspected by a supervisor who checks it for flaws and then issues a certificate of authenticity. Up to 20% of finished items are rejected; 15% are sold as *seconds, and the remaining 5% are melted down and recycled.
The company employs 600 people. 200 produce the goods, and the rest are clerical staff, work in the stockroom, or are managers. Most craftspeople are paid on a *piece-work basis, and feel that they have low status in the company. There is a big division between blue-collar staff and white-collar clerical workers, with separate restaurants and facilities for factory workers and management. There are five levels of management in the company, and a poor relationship exists between management and the workforce.
Sales have fallen dramatically in the past three years. There is strong competition from the Czech Republic and Poland, which produce good quality goods which are less expensive. Department store have complained about late deliveries and slow ordering facilities ( mail order only )
A few years ago the company launched a cheaper range of glass ornaments called the MacAnimals range. This has damaged the company’s upmarket image. An important chain of department stores has stopped stocking Macbeht products. The consultants believe there could be a big market for these goods in North America ( including Canada), Australia, and New Zealand, where many people are of Scottish origin.