1. The document discusses an ethical issue that arose at Engstrom Auto Mirror, a plant that experienced a significant drop in productivity in May 2007, their second since the 1990s.
2. It describes how the previous plant manager implemented an employee incentive plan called the Scanlon Plan in 1998 to increase productivity, but that over time employee motivation declined.
3. The drop in productivity threatened the plant's status as a supplier to Toyota, showing how behavioral issues can have dysfunctional effects on businesses.