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Cal Martins also questions the need to provide information to the whole team, but he chose Program II. It creates unnecessary tension. Claussen is convinced the most elaborate procedure Program IV is the most effective, but not everyone in the executive committee is won over by his advocacy. Although they have supported the test implementation of the system because it appears to have relatively low costs, others on the committee want to see results.
CEO Jean Masterson has asked for a complete breakdown of the performance of the various stores over the past 4 years. The company has been collecting data in spreadsheets on sales and turnover rates, and it prepared the following report, which also estimates the dollar cost of staff time taken up in each method. These costs are based on the number of hours employees spend working on the program multiplied by their wage rate. Estimates of turnover, profit, and staff time are collected per store.
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Profit and turnover data include means and standard deviations across locations; profit is net of the monthly time cost. Turnover information refers to the percentage of employees who either quit or are terminated in a month. Program I was selected most frequently by the oldest stores and those in the most economically distressed areas. Programs II and III were selected most frequently by stores in urban areas and in areas where the workforce was younger on average.
Programs IV and V were selected most frequently in stores in rural areas, and especially where the workforce is older on average. Make certain it is in the form of a professional business document. Consider the five management systems as variables in an experiment. Identify the independent and dependent variables, and explain how they are related to one another.
Look over the data and decide which method of management appears most effective in generating revenues and reducing turnover, and why. Which methods appear least effective, and why? Are there any concerns you have about these data? Does a comparison of the number of stores using each method influence your conclusions at all? Does the fact that managers are selecting the specific program to use including Program I, which continues the status quo affect the inferences you can draw about program success?
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What are the advantages of randomly assigning different conditions to the stores instead of using this self-selection process? How does the changing nature of the workforce and the economy, described in your textbook and in the case, affect your conclusions about how to manage retail employees? Does the participation of a more experienced workforce help or hurt these programs? Claussen essentially designed the program on his own, with very little research into goal setting and motivation.
Based on your textbook, how well has he done? Which parts of the program appear to fit well with research evidence on goal-setting? What parts would you change to get more substantial improvements in employee motivation? What advice would you give managers about how to implement the programs so they match the principles of organizational justice described in your textbook? Morgan Moe's stores were in a financial crisis.
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The economic downturn led to a reduced demand, especially for high-margin impulse products. The chain had to reverse its strategy of expansion and cut down on jobs. Employees' insecurity about their jobs was leading to dissatisfaction and negative attitudes. The company was likely to lose more employees, particularly older and more experienced ones, due to the uncertainty. This would push them further towards bankruptcy. To fix the situation, Morgan Moe's instituted five variants of a performance management system.
This report outlines the results of implementing these systems and their relative effectiveness. The pilot test had a number of key dependent and independent variables which influenced outcomes. In each experiment, the company chose to vary the information shared with the employees. It is likely that higher absences and sick leave result in lower sales.
However, business outcomes are also dependent on other factors such as customer purchasing power and demand for products. The implementation of the management system and the organization climate may result in people quitting. However, the turnover also includes employees who were terminated, which is an independent variable.
Other variables that could be measured are employee satisfaction qualitative , average age of employees who quit or were terminated and demographics of employees by branch to understand if the choice of management system was dependent on it. Program IV and V appears to be more effective than the others. They have the highest profits as well as the lowest employee turnover. The trade-off between the two is that while Program V has a higher turnover, it also has led to better profitability. There seems to be a correlation between involving employees in brainstorming and a lower employee turnover rate.
This could be because employees wish to be consulted and made to feel a part of the organization. To ask other readers questions about Organizational Behavior , please sign up.
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Sort order. Dec 21, Rat Barrel rated it it was amazing. I give only one or two books a five-star rating a year, and this is one of those times. For a text book, it reads like it was meant to be on every OB go-to book shelf. Excellent bibliography, and tons of thought-provoking questions. Definitely graduate level material, and well worth the money for a solid OB book for managers.
Semantic Differences 9. Status Differences 9. Consideration of Self-Interest 9. Personal Space 9. Poor Listening Skills 9. Overcoming Communication Barriers 9. Conduct Communication Audits 9. Improve Communication Climates 9. Encourage Individual Actions 9. Know Your Audience 9. Select an Appropriate Communication Medium 9. Regulate Information Flow and Timing 9.
Organizational Behavior, Third Edition
Encourage Feedback Related to Understanding 9. Listen Actively 9. Back to the Knowledge Objectives 9. Thinking about Ethics 9. Key Terms 9. Human Resource Management Applications 9. Presentation "Dos" 9. Presentation "Don'ts" 9.
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Explanation of Section Topics 9. Discussion Questions 9. Team Exercise: Communication Barriers 9. Procedure 9. Endnotes Decision Making by Individuals and Groups The Strategic Importance of Decision Making Fundamentals of Decision Making Basic Steps in Decision Making Optimal versus Satisfactory Decisions Individual Decision Making Decision-Making Styles Gathering Information Evaluating Alternatives Using Decision Styles Degree of Acceptable Risk Cognitive Biases Moods and Emotions Elections Group Decision Making Group Decision-Making Pitfalls Groupthink Common Information Bias Diversity-based Infighting Risky Shift Group Decision-Making Techniques Brainstorming Nominal Group Technique Delphi Technique Dialectical Inquiry and Devil's Advocacy Who Should Decide?
Individual versus Group Decision Making Associate Involvement in Managerial Decisions Value of Individual versus Group Decision Making Civil War Time Cost Nature of the Problem Satisfaction and Commitment Personal Growth Back to the Knowledge Objectives Thinking about Ethics Key Terms Human Resource Management Applications Instructions Part A. Harry, the Reluctant Maintenance Man Part B.
System Breakdown Discussion Questions Procedure Groups and Teams Exploring Behavior in Action: Teamwork at Starbucks The Strategic Importance of Groups and Teams The Nature of Groups and Teams Groups and Teams Defined Formal and Informal Groups Identity Groups Virtual Teams Functional Teams Self-Managing Teams Team Effectiveness Knowledge Criteria Affective Criteria Outcome Criteria Is the Team Needed?
Factors Affecting Team Effectiveness Team Composition Diversity Personality Team Orientation Size Team Structure Team Member Roles Norms Task Structure Team Processes Cohesion Conflict Social Facilitation Social Loafing Communication Team Development Managing for Effective Teams Top Management Support Support Systems Technology Information Systems Selection of Team Members Rewards Leadership Training Team Exercise: Virtual versus Real Teams Conflict, Negotiation, Power, and Politics Exploring Behavior in Action: Green Conflict The Nature of Conflict Dysfunctional and Functional Conflict Types of Conflict Causes of Conflict Structural Factors Increased Specialization Interdependency Centralization Versus Decentralization Physical Layout Cognitive Factors Differing Expectations Perceptions of the Other Party Individual Characteristics Goals History Past Performance Previous Interactions Conflict Escalation and Outcomes Conflict Escalation Conflict Outcomes Lose—Lose Win—Lose or Lose—Win Compromise Win—Win Responses to Conflict Negotiation Negotiation Strategies The Negotiation Process Power Bases of Individual Power Legitimate Power Reward Power Coercive Power Expert Power Referent Power An Example of Power Strategic Contingencies Model of Power Organizational Politics Team Exercise: Managing Conflict Case Incident 1 Case Incident 2 Case Incident 3 The Organizational Context Organizational Structure and Culture Fundamental Elements of Organizational Structure Structural Characteristics Structuring Characteristics The Modern Organization Factors Affecting Organizational Structure The Role of Strategy Corporate Strategy Business Strategy The Role of the Environment Environment and Basic Structure Environment and Integration The Role of Technology Technology and Structure: A Manufacturing Framework Technology and Structure: A Broader Framework The Role of Organizational Size Summary Comments on Structure Organizational Culture Competing Values Model of Culture Cultural Socialization Cultural Audits Subcultures Person—Organization Fit