Case 2: No More Dawdling Over Dishes
Andy Davis was proud of his restaurant, The Golden Bow. Its location was perfect, its decor
tasteful, its clientele generous and distinguished. When he first took over the business a year ago,
Davis had worried that the local labor shortage might make it difficult to hire good workers. But
he had made some contacts at a local college and hired a group of servers who worked well with
customers and with one another. The only problem he still had not solved was the dishwasher.
At first Davis felt lucky when he found Eddie Munz, a local high school dropout who had some
experience washing dishes. Davis could not afford to pay a dishwasher more than $4 an hour, but
Eddie did not seem to mind that. Moreover, Eddie seemed to get the dishes clean. But he was so
slow! Davis originally thought Eddie just was not quick about anything, but he changed his mind
as he observed his behavior in the kitchen. Eddie loved to talk to the cooks, often turning his back
on the dishes for minutes at a time to chitchat. He also nibbled desserts off of dirty plates and
sprayed the servers with water whenever they got near him. The kitchen was always a mess, and
so many dishes piled up that often two hours after closing time, when everything else was ready
for the next clay, Eddie would still be scraping and squirting and talking. Davis began to wonder
if there was a method to Eddie’s madness: He was getting paid by the hour, so why should he work
faster? But Davis did not like having a constantly sloppy kitchen, so he determined to have a talk
with Eddie.
Davis figured out that Eddie had been making $28 on his reasonably efficient nights and then met
with Eddie and made him a proposal. First he asked Eddie how soon he thought he could finish
after the last customer left. Eddie said an hour and a quarter. When Davis asked if he would be
interested in getting off forty-five minutes earlier than he had been, Eddie seemed excited. And
when he offered to pay Eddie the $28 for a complete job every night, regardless of when he
finished, Eddie could hardly contain himself. It turned out he did not like to work until 2:00 a.m.,
but he needed every dollar he could get.
The next week, a new chalkboard appeared next to the kitchen door leading out to the dining room.
On top it read, "Eddie’s Goal for a Record Time." By the end of the first week, Davis had printed
on the bottom "l." Davis began inspecting the dishes more often than usual, but he found no
decrease in the quality of Eddie’s work. So on Sunday, he said to Eddie, "Let’s try for an hour."
A month later, the board read "42 minutes." The situation in the kitchen had changed radically.
The former "Eddie the Slob" had become "Eddie the Perfectionist." His area was spotless, he was
often waiting when someone came from the dining room with a stack of dirty plates, and he took
it as a personal affront if anyone found a spot on a plate he had washed. Instead of complaining
about Eddie squirting them, the servers kidded him about what a worker he had become, and they
stacked the plates and separated the silver to help him break his record. And the first time Eddie
got done at 12:42, they all went out for an hour on the town together.
Case Questions
1- What did Andy Davis do to shape and change Eddie’s behavior?
Andy Davis used a variety of strategies to shape and change Eddie Munz's behavior.
First, he offered Eddie an incentive to work faster by offering to pay him a fixed amount
for a complete job every night, regardless of when he finished. This reward was based on
performance, as Eddie could only receive it if he completed the job faster than he had
previously. Additionally, Davis set a goal for Eddie to strive for, by creating a chalkboard
with "Eddie's Goal for a Record Time." This goal provided Eddie with a clear target to
work towards and motivated him to improve his performance. Finally, Davis provided
feedback and encouragement by inspecting the dishes more often and praising Eddie's
improved performance.
2- Which motivational theories have been applied in this case? (at least two)
In this case, two motivational theories that have been applied are goal-setting theory and
reinforcement theory. Goal-setting theory posits that specific, challenging goals lead to
higher levels of performance, and that feedback and reinforcement can help individuals
stay motivated and track progress towards those goals. Reinforcement theory suggests
that behavior that is followed by positive consequences (reinforcements) is more likely to
be repeated, while behavior that is followed by negative consequences (punishers) is less
likely to be repeated. In this case, Davis used goal-setting and reinforcement to motivate
Eddie to work faster and improve his performance.
3- If you were the Davis what rewards would you used to get the same results from Eddie
Munz?
If I were Andy Davis, I would consider using a variety of rewards to get the same results
from Eddie Munz. Some options might include:
Additional pay: Davis could offer to increase Eddie's hourly wage or provide bonuses
based on his performance. This would provide an economic incentive for Eddie to work
faster and improve his performance.
Time off: Davis could offer Eddie additional time off or flexible scheduling as a reward
for meeting his performance goals. This could be particularly motivating for Eddie, as he
mentioned that he did not like working late into the night.
Recognition: Davis could recognize and praise Eddie's improved performance in front of
his colleagues or other team members. This could be a powerful motivator, as it would
help Eddie feel valued and appreciated for his contributions.
Professional development opportunities: Davis could offer Eddie the chance to
participate in training or professional development opportunities as a reward for meeting
his performance goals. This could help Eddie develop new skills and knowledge that
could benefit him in his career.
Non-financial rewards: Davis could also consider using non-financial rewards to
motivate Eddie, such as gift cards, merchandise, or other types of recognition. These
types of rewards could be particularly effective if they align with Eddie's interests or
values.
Case-4: A SOLUTION TO GROWING PAINS
In 2015, Aytekin Tank was the CEO of Jotform, a global company that specializes in online formbuilding tools. After a decade of building his startup, the company was expanding rapidly and
doing well, in part to Tank’s commitment to hiring talent. Despite a commitment to hiring top
talent and fostering a supportive and innovative work culture, this growth came at a cost. Tank
could see his company losing momentum, and the young entrepreneur could not put his finger on
why. When Jotform began to grow, the CEO explored ways to recapture the advantages of having
a smaller team.
“I looked back to the time when we had around five people. I tried to figure out what had changed:
why we moved so fast when we were five people, why we felt like a family when we were that
small.” The solution, Tank found, was to restructure his organization into cross-functional teams.
This approach was pioneered in the twenty-first century by Jack Welch (shown here), CEO of
General Electric (GE), who believed dividing employees by function led to slower and poorer
decisions. Welch’s cross-functional or boundaryless organization created forums where employees
with different roles within the company could meet and coordinate decision making. Welch found
that GE became more efficient when employees from marketing, finance, engineering, and many
other sectors had a chance to work together. It has been over twenty years since Welch popularized
cross-functional teams, and many organizations have found that adopting a cross-functional
structure gives them a competitive edge over more traditional company.
Tank found that, by dividing his company into cross-functional teams, he was able to re-create the
close-knit, efficient structure of the smaller organization that Jotform used to be. In this new
structure, team members came from several different parts of the organization, allowing for better
communication across different functions. Teams typically had a web designer, a programmer, and
a marketing analyst (or similar position), all working on solutions to organizational problems.
Once these teams were formed, Tank also made sure that each team had their own meeting space
and a budget for fun activities like weekly lunches. Besides building morale, the Jotform leader
believed that cross-functional teams allowed team members to bond and ultimately begin to trust
each other. His goal was to breed cooperation rather than competition. Tank also made sure to
keep Jotform’s teams small, allowing employees to feel greater ownership over their successes
and failures. By having team members from several different functions, employees could see how
their work affected other parts of Jotform for better—or worse. The last ingredient in Tank’s cross-
functional teams was autonomy—freedom to make decisions that have an impact on other parts of
the organization, tackle problems the way they want, and work the way they want.
Tank’s decision has given his company the same edge it did when it was smaller. After
restructuring the company, Jotform experienced increased productivity. By mixing different
functions of the company into teams, employees could make decisions more quickly. Teams had
more diverse skill sets, so they were able to tackle any problems the company faced with greater
creativity by using varied perspectives from different parts of the company. Even though the move
was successful, Tank admits that he was afraid of trying something new in the beginning. Still, he
realizes that in order to continue to grow the company, he had to take a risk. “Change can be
difficult for people and for companies,” Tank has said when discussing the move to crossfunctional teams. “However, if your current system is not effective and you don’t take the initiative
to improve via change, staying the course can be disastrous.”
Case Questions
1- highlight the advantages and disadvantages of cross-functional teams from this case.
Some advantages of cross-functional teams highlighted in this case include increased
productivity, better communication across different functions, the ability to tackle
problems with greater creativity and diverse skill sets, and increased morale and trust
within the team. However, implementing this structure may also pose challenges, such as
the potential for conflicts between team members with different functions and the need
for effective communication and coordination among team members with diverse
backgrounds.
2- If Tank were to call you in as a consultant, which type of team (apart from crossfunctional) would you suggest him to build.
If Tank were to call you in as a consultant, one type of team you might suggest for
JotForm is a self-managed team. A self-managed team is a group of employees who are
given the autonomy and responsibility to manage their own work and make decisions
without the need for direct supervision. This structure can be effective in promoting
innovation and ownership among team members, as well as increasing efficiency and
agility. However, implementing self-managed teams requires a high level of trust,
commitment, and accountability from team members, and may not be suitable for all
organizations or situations. It would be important to carefully assess the readiness and
suitability of JotForm’s employees and culture for this type of structure, as well as the
specific goals and needs of the organization.
3- Suppose Tank has some members who are not team players. Suggest him how can he
turn them into team players?
Suppose Tank has some members who are not team players. Suggest him how can he turn
them into team players?
There are a few strategies that Tank could consider to help turn non-team players into
team players:
Clarify the team's goals and objectives: By clearly communicating the team's goals and
objectives, Tank can help non-team players understand the purpose and importance of
their work within the larger context of the organization. This can help motivate them to
contribute to the team's success.
Encourage open communication and collaboration: By fostering a culture of open
communication and collaboration, Tank can create an environment where non-team
players feel comfortable sharing their ideas and concerns. This can help them feel more
invested in the team's work and more willing to contribute to its success.
Provide support and resources: By providing non-team players with the necessary support
and resources, Tank can help them feel more equipped to contribute to the team. This
might include providing training, coaching, or access to necessary tools and technologies.
Foster a sense of belonging: By creating a sense of belonging within the team, Tank can
help non-team players feel more connected to their colleagues and the organization. This
might involve building team cohesion through activities such as team building exercises
or social events.
Recognize and reward team contributions: By recognizing and rewarding team members
for their contributions, Tank can help non-team players feel valued and motivated to
continue contributing to the team's success. This might involve providing praise,
recognition, or rewards for team achievements.
Case 6- College Corp.
Janice just graduated college, she’s ready to head out on her own and get that first job, and she’s
through her first interviews. She receives an offer of a $28,000 salary, including benefits from
COLLEGE CORP, from an entry-level marketing position that seems like a perfect fit. She is
thrown off by the salary they are offering and knows that it is lower than what she was hoping for.
Instead of panicking, she takes the advice of her mentor and does a little research to know what
the market range for the salary is for her area. She feels better after doing this, knowing that she
was correct and the offer is low compared to the market rate. After understanding more about the
offer and the rates, she goes back to the HR representative and asks for her preferred rate of
$32,500, knowing the minimum that she would accept is $30,000. Instead of going in for her lowest
amount, she started higher to be open to negotiations with the company. She also sent a note
regarding her expertise that warranted why she asked for that salary. To her happy surprise, the
company counter offered at $31,000—and she accepted.
Questions:
1-
What key points of Janice’s negotiation led to her success?
Some key points of Janice's negotiation that led to her success include:
Doing research to understand the market rate for the position and her preferred salary
range
Asking for a salary higher than her minimum acceptable amount, allowing room for
negotiation
Supporting her request with examples of her expertise and value to the company
Being open to a counteroffer and considering it carefully
2-
What could have Janice done better to get a better outcome for her salary?
Some additional strategies that Janice could have used to potentially improve the
outcome of her salary negotiation include:
Identifying the interests and needs of the company, and explaining how her skills and
experience can meet those needs
Offering specific examples of her accomplishments and achievements that demonstrate
her value to the company
Seeking advice or coaching from experienced colleagues or mentors to help her prepare
for the negotiation
Being assertive and confident in communicating her value and worth to the company
3. Could a leadership training program be set up to help Rohail? What would it
consist of?
A leadership training program for Rohail could consist of a variety of activities and
interventions designed to help him develop the skills and abilities needed to be an
effective leader. This could include:
Training in communication and interpersonal skills, such as listening, empathy, and
conflict resolution
Development of problem-solving and decision-making skills
Coaching on how to build and manage teams effectively
Opportunities to practice and apply leadership skills through role-playing or real-world
projects
Feedback and guidance from experienced leaders or mentors to help Rohail identify areas
for improvement and support his development.
Case Study-8
The management team at Learner’s Edge, an online continuing education company, decided to
adopt a ROWE (results-only work environment) policy, developed by Best Buy employees and
summarized in its slogan, “Work whenever you want, wherever you want, as long as the work gets
done.” Kyle Pederson was one of only three Learner’s Edge employees who showed up the first
day of the ROWE experiment. And the second day, and the third. “For almost a month, everyone
cleared out,” Pederson said. “It was just me, my co-founder and our executive director all
wondering, ‘What on earth have we done?’ ” Clearly, employees were testing the outer limits of
workplace flexibility. Thankfully, it paid off. Learner’s Edge reported “better work, higher
productivity” after the initial phase of the program. It seems employees knew the ways they work
best. In fact, some of Pederson’s employees have returned to the office, while others gather at
Starbucks or over dinner . . . whatever gets the work done. Suntell president and COO, Veronica
Wooten, whose risk-management software firm adopted the ROWE program a few years ago, is
also a fan of the flexible workplace. “We made the transition, and started letting go and letting
people make their own decisions,” Wooten said. As a result of workplace flexibility, the
company’s customer base increased 20 percent, meetings were reduced by 50 percent, and
expenses decreased 12 percent (Wooten used the savings to give everyone a raise). It seems that
everyone should be happy with this ultimate degree of job flexibility. Employees worldwide do
seem to increasingly value flexible work environments, with roughly two of three workers of all
ages wanting to work from home, at least occasionally. However, the benefit may not be as great
for some people. In a recent study, 62 percent of respondents believed that Gen X individuals
benefit most from flexibility arrangements, 35 percent believed Gen Y individuals benefit most,
and only 3 percent believed baby boomers benefit most. Research correlates job satisfaction most
strongly with the nature of the work itself, not the location where it is performed. Thus, while as
employees we say we want flexibility, what actually makes us satisfied is often something else.
Then there are the costs of such work arrangements. Employers such as Yahoo!’s Marissa Mayer
have thought that flexible workers become detached from the organization, communicate less, are
less available, and lose the benefits of teamwork. Employees have concerns about long periods of
working away from the office: Will out of sight mean out of mind to their employers?
For ROWE or any flexible arrangement to work, organizations need to create clear job
descriptions, set attainable goals, and rely on strong metrics to indicate productivity. Managers
need to foster close connections and communicate meaningfully to keep flexible workers engaged
in the company, its culture, and its processes. Most importantly, employees need to get the work
done, no matter where and when they do it.
Questions”
1.
Do you think only certain individuals are attracted to flexible work arrangements?
Why or why not?
It is possible that certain individuals may be more attracted to flexible work
arrangements, such as those who value work-life balance or those who prefer to
work independently. However, it is important to note that the benefits of flexible
work arrangements may vary depending on the individual and their specific needs
and preferences. Some individuals may thrive in a flexible work environment, while
others may prefer more structure and support.
2.
Which industries and types of businesses can easily implement the concept of flexible
working and where do you think it is difficult to implement?
Flexible work arrangements may be easier to implement in industries or businesses
that involve primarily independent or self-directed work, such as consulting or
freelance work. It may be more difficult to implement flexible work arrangements
in industries or businesses that require close collaboration and teamwork, or that
have strict schedules or deadlines.
3.
How might flexible work place more pressure on managers to organize their
employees?
Flexible work arrangements may place more pressure on managers to organize their
employees effectively, as they may need to ensure that work is being completed
effectively and efficiently without the benefit of being able to closely supervise or
monitor employees in person. This may involve setting clear goals and
expectations, using strong metrics to measure productivity, and fostering close
connections with employees to ensure they remain engaged and motivated.
4.
How might flexible work affect a company’s bottom line?
Flexible work arrangements can potentially affect a company's bottom line in a
number of ways. On the one hand, flexible work arrangements may increase
productivity and employee satisfaction, which could lead to increased profits and a
positive impact on the company's bottom line. On the other hand, there may be
costs associated with implementing flexible work arrangements, such as the need to
provide employees with the necessary technology and equipment to work remotely.
Additionally, there may be challenges in managing and organizing a flexible
workforce, which could impact the company's efficiency and profitability. Overall,
the impact of flexible work arrangements on a company's bottom line may depend
on a variety of factors, including the specific industry, the size and structure of the
company, and the individual needs and preferences of employees.
CASE 10: HUMAN RELATIONS AT SONY
In his biography, Made in Japan, Morita says:
The most important mission for a Japanese manager is to develop a healthy relationship with his
employees, to create a family-like feeling within the corporation, a feeling that employees and
managers share the same fate. Those companies that are most successful in Japan are those that
have managed to create a shared sense of fate among all employees, what Americans call labor
management.
When Morita was chairman of Sony, he stressed to new employees that each employee had to seek
happiness in his or her work and to decide personally whether to spend the rest of his or her
working life at Sony.
At Sony, there are few noticeable differences between management and labor. Although
management writers sometimes paint a too-rosy picture of Japanese management-labor relations,
Sony's management philosophy is that employees should be treated as colleagues and helpers, not
merely as means to profits. Investors are important, Morita acknowledges, but they establish only
a temporary relationship with the company. Employees are more important because they are a
permanent part of the company, just as much as top management. In return for showing loyalty to
employees, Morita expected loyalty from his employees, But he urged them not only to use their
best efforts on the company's behalf but also to question management views.
Ironically, Morita's emphasis on loyalty was partly inspired by his experience with American
managers and employees. In its early days, Sony hired many employees in the United States in an
effort to keep pace with the remarkable demand for its products. Morita was stunned by an
American colleague's blunt advice about a problem employee: "Fire him." Morita was equally
surprised when an American employee walked into his office one day and announced he was
quitting to take a job with a competitor; who had offered him double his salary.
Under Morita, the whole process of recruiting, selecting. training, and appraising employees was
built on the premise that employees are the most valuable part of the company. Granted, Morita's
policies—especially the idea of lifetime job security are some of the typical characteristics of
Japanese companies which differentiated them from others.
PEOPLE AS RESOURCES
Sony has long been a leader in human resources Management in Japan. The company has adopted
such American concepts as the five-day, 40-hour work week, even though Japanese law still
sanctions a maximum of 48 hours, and the average in Japanese manufacturing remains 43 hours
per week. Moreover, Sony was one of the first Japanese firms to close its factories for one week
every summer to allow all its employees to be off work at the same time.
In addition, the Japanese system enforces a different view of recruits. Morita urges managers to
see recruits as rough stones and the managerial job as the task of building a strong and sturdy wall
out of these rough stones. The Japanese ideal is to shape and smooth managerial recruits so that
they become a cohesive part of the company. Japanese companies, at least the large ones, also have
a humane attitude toward dealing with employees. In declining industries, most companies offer
retraining and most workers eagerly accept it. At Sony; workers are retrained when their particular
jobs become obsolete.
Clearly, Akio Monta's motivational policies accommodate Sony's overall strategy. By focusing on
the shared fate of management and employees, Sony develops among its workers a sense of
commitment towards the attainment of the overall goals of the firm. Partly because of this
employee commitment, Sony has been able to stay competitive in terms of wages and benefits and
to motivate highly competent people to continue to innovate. By focusing on people as resources
rather than as costs, companies like Sony are writing the book on future management theory and
practice.
On-Site for Dining For the Sony Family
Sometimes human resource management can involve something as seemingly unrelated as
providing an on-site corporate dining facility. As more and more companies consolidate their
urban offices into single, low-rent, sub-urban developments, the benefits of on-site dining are
becoming increasingly apparent. At Sony, on-site dining perceive as more than merely a pleasant
eating experience. “When employees eat in, they tend to exchange work ideas,” explained Sony’s
Gordon Casanova, director of facilities management, corporate services. “They continue the
workday on a different level.” On-site dining has allowed Sony to confine lunch breaks to 45
minutes, since it eliminates the need for commuting lunch. Moreover, added Casanova, On-site
dining sharply curtails lunch hour abuses.”
In addition, on-site dining brings employees together in a more relaxed setting, outside the work
environment so that they can have the opportunity to bond socially. This, in turn, can ease work
relationships and enhance productivity. Also, the on-site dining encourages intra-company
networking by bringing together people of different positions from different departments. Such
networking can ultimately facilitate internal communication by giving people faces to attach to the
names with whom they work.
At Sony, on-site dining also helps to break down barriers between management and staff. “I have
always made it a point to know our employees, to visit every facility of our company, and to try to
meet and know every single employee,” said Morita. “This became more and more difficult as we
grew, and it is impossible to really know the more than forty thousand people who work for us
today, but I try. I encourage all of our managers to know everybody and not to sit behind a desk
in the office all day.” The dining facility thus helps to strengthen work-related relationships.
According to Morita, a company is a sort of family. When he was CEO, he considered socializing
with employees an integral part of his day. “It was not just part of my job, I like those people.
They are family...”
By providing in-house dining, Sony was able to increase employee productivity and morale and
promote its family oriented culture. “We have a policy that here we are in the world we deal with
our employees as members of the Sony family, as valued colleagues,” explained Morita. “We
brought management people, including engineers, to Tokyo and let them work with us and trained
them and treated them just like members of our family, all of whom wear the same jackets and eat
in our one-class cafeteria. This way they got to understand that people should not be treated
differently…We urged the management staff to sit down with their office people and share the
facilities.” For Morita, it is not human resource management; it is respect for one’s family.
Indeed, Morita's ideas are the basis for what management writer Tom Peters proposes as a new,
more realistic pact between employer and employee: Employees will commit themselves to doing
their best to help the company meet its goals, and in return, the company will give employees an
opportunity to develop and hone their skills. Of course, they are free to leave and sell these skills
to another employer but ideally, the opportunity to keep learning and to do good work will keep
them with the company and-increase both their loyalty and their productivity.
QUESTIONS:
Compare and contrast the Motivational philosophy of both American and Japanese firms in the
light of the case study? Marks 2 and maximum allowed word limit is 100.
American firms tend to focus more on individual achievement and rewards, such as financial
incentives, while Japanese firms tend to place a greater emphasis on group harmony and a sense
of shared fate. Sony, as a Japanese firm, follows this approach and emphasizes the importance of
creating a strong sense of commitment and loyalty among employees, as well as treating them as
colleagues and partners.
Which motivation theories are applied or can be applied in the light of the working of Sony
Company? Support your answer with arguments? Marks 5 and maximum allowed word limit is
200.
Some of the motivation theories that could be applied to the working of Sony include Maslow's
Hierarchy of Needs, which emphasizes the importance of meeting basic physiological and safety
needs before addressing higher level needs such as self-esteem and self-actualization. Another
theory that could be applied is the Two-Factor Theory of Motivation, which suggests that
motivation is influenced by both hygiene factors (such as working conditions and pay) and
motivators (such as achievement and recognition). Sony's emphasis on training and development,
as well as its focus on creating a positive and supportive work environment, aligns with these
theories.
Which OB related behaviors can be seen or observed in the working of Sony? Marks-3 and
allowed maximum word limit is 100 words. Please mention only in bullet points.
Some OB-related behaviors that can be observed in the working of Sony include:
•A focus on creating a sense of shared fate and group harmony among employees
•A commitment to treating employees as colleagues and partners, rather than just means to
profits
•An emphasis on training and development, as well as a positive and supportive work
environment
•A focus on meeting the needs of employees, including basic physiological and safety needs, as
well as higher level needs such as self-esteem and self-actualization
•A commitment to retraining and supporting employees in declining industries