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ASSESSMENT TASK: CAPSTONE CASE STUDY 20%.
1. Explain the difference in the leadership styles of the previous owners of Ravinaki Resort (James
and Sarah Brennan) and the new owner (Ross Griffiths). How is this impacting on the
motivation of the employees and the business in general?
The contrasting leadership styles of the James and Sarah to Ross has had significant impact on
the motivation of employees, and business. While Sarah and James employed a participative
and relationship-oriented style that fostered cultural adaptability and employee satisfaction,
Ross used authoritative and task-oriented leadership which neglected to address cultural
sensitivities.
From the outset, there were clear differences in the context of the two leaders. Sarah and James
original relationship with Ravinaki and its people was rooted in their work for an NGO, in
which they contributed positively to the environment and community. That is, the foundation
of their leadership style was based in a deep respect for the local environment, culture, and
community. They built trust by working alongside employees during hard tasks, and respected
Fijian social norms, such as “Fiji time”, while building relationships with local chiefs – a step
paramount to the cohesion of their workforce.
Meanwhile, Ross’s authoritative and task-oriented leadership style that disregarded cultural
norms and sensitivities was not well received amongst the original staff. His decision to hire
externally for management positions on top of his enforcement of strict instructions resulted in
the alienation of the original employees, of whom were key to the image and feeling of
relaxation and happiness that Sarah and James had worked hard to associate Ravinaki with.
This shift in leadership seems to have led to a decline in employee morale and reduced
operational performance. Guests were observably less relaxed, and the substantial drop in
enrolments to key activities like scuba diving are indicative of the erosion of employee
engagement and community support.
2. To what extent are cultural differences the cause of the tension between the new owner of
Ravinaki Resort and the local employees? In discussing this question, consider the approaches
undertaken by the previous and current owners in managing relationships with some of the key
actors in Ravinaki Resort. How important is this as an issue in doing business across cultures?
Cultural differences between Ross and the local employees are at the centre of the relationship
breakdown. Ross seems to have done little to no cultural conditioning, which outlines the
process whereby individuals adjust their behaviour and responses to changing contexts (Cerutti,
2001). Using Hofstede’s ‘Individualism’ tool, Ross’ country of origin, Canada, sits very high
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(72) compared to the collectivist Fiji (14) (. His approach, which included introducing
individual bonuses and strict deadlines, lacked accountability for Fijian’s collectivist culture
and slower-paced life and work style.
Meanwhile, Sarah and James embraced “Fiji time” while engaging in culturally aware activities
such as sharing kava with chiefs and funding community projects, all of which substantially
boosted their trust and goodwill in the area and amongst their workers. In contrast, perhaps
most significantly, Ross’s decision to sue local chiefs over reef access resulted in the alienation
of a key stakeholder group and underscores his disregard for the importance of respect on Fijian
culture.
These differences signify the weight of cultural sensitivity in cross-cultural business
environments. When leader’s context change, as it did for Ross, they need to be adaptable and
attend to situations strategically by varying their leadership style. Strategic leaders require the
skills to anticipate, interpret, challenge, decide, align, and learn from diverse cultural
environments (Schoemaker et al., 2013). The Brennans’ adaptability fostered motivation and
trust, whereas Ross culturally neglectful style lowered morale and caused conflict. The
demonstration of these differences and the results exemplifies the importance of cultural
awareness in global business settings.
3. How would you describe the recruitment and selection processes of the previous and current
owners of Ravinaki Resort? What are the strengths and weaknesses in each approach? If you
were the owner, how would you ensure the right mix of employees and how would you ensure
that they can deliver the outcomes of their roles and your expectations?
The Brennans employed a contingency leadership approach tailored to Fiji’s cultural norms.
Their recruitment was rooted in a motivation to hire local employees in order to maintain
harmony with the local community. Aligning their strategy with Hofstede’s evaluation of Fiji
as a collectivist culture, the Brennans made community-driven decisions that fostered
relationships. This included training locals and hiring expatriates only for specialised roles that
required specific qualifications, such as diving instructors like Caroline.
Although this
approach encouraged cultural integration, it was limited in that it pipelined locals into more
basic roles, thus demonstrating the need for professional development initiatives.
Meanwhile, Ross adopted a universalistic approach that prioritised skill-based recruitment,
resulting in the hiring of mostly expatriates like his nephew, and a foreign chef. Not only did
this strategy disregard important cultural context, Ross’s decision to emphasise individual
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performance conflicts strongly with the collectivist values of Fijians which ultimately alienated
staff.
If I were the owner, I believe I would employ a few key strategies. Firstly, in order to foster a
balanced workforce, I would recruit a mix of expatriates and locals, while prioritising the
offering of training programs to build locals’ qualifications. Next, I’d align myself with
collectivist-oriented incentives such as group-based rewards and community development
projects. Next, I would leverage Goal Setting Theory (Locke and Latham, 1990) by setting clear
expectations and goals that align with achievable and culturally relevant objectives. And finally,
to promote cross-cultural competence amongst my staff, I would require them to complete
relevant tasks or programs to culturally condition themselves, hopefully enhancing cohesion.
4. What is your opinion of the practice of making payments to local chiefs to obtain access to
certain reef spots? Has Ross Griffiths made the right decision, or does he have other options?
Discuss.
Within Fijian culture, land has long been considered an extension of oneself, including one’s
life, sustenance, and culture, known as ‘vanua’ in the Fijian language (Sutton, 2005). The
concept of making payments to local chiefs for access to reef areas is reflective of this, the
chiefs’ power, and the importance of maintaining a harmonious relationship (Lawson and
Lawson, 2015). Although it may seem unethical through the lens of Western culture, in Fiji,
these payments serve to uphold vanua, and are a gesture of recognition of the chief’s authority.
As such, Ross’s decision to sue the local chief over the matter demonstrates his inability to
culturally adapt and tailor strategy in foreign contexts. By suing the local chiefs, Ross will not
only damage his relationship with the local people of Ravinaki, but also breakdown the
remaining ties he has with local employees of whom contribute greatly to the atmosphere and
hospitableness of the resort. In addition, Fiji’s fragile legal system will make it hard to achieve
an outcome, creating potential long-term challenges with resort activities and reef operations.
Instead of taking this route, Ross should consider alternative measures which better align with
local culture. For example, negotiating mutually beneficial agreements, such as shared revenue
from tourist activities, or the re-hiring of locals as reef guides, might foster goodwill and
maintain the resort’s access to the reef. Moreover, mirroring the Brennans’ efforts in creating
dialogue and building personal relationships with chiefs would go far in the reestablishment of
trust.
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5. As a cross-cultural consultant, what recommendations would you make to the new owner of the
resort to address and improve the current situation at Ravinaki Resort, so it is a welcoming
place for guests, a happy and valued place for employees, and a successful business enterprise
again? Briefly refer to how you would implement the strategies or recommendations.
As a cross-cultural consultant, there are numerous adjustments I would recommend in order to
address and improve Ravinaki’s current business state and restore trust and employee
satisfaction. First and foremost, I would suggest Ross immediately end his legal dispute with
the local chief and rather appeal to the collectivist mindset that honours vanua, by negotiating
access to the reef area through mutually beneficial agreements like village developments. This
is perhaps the biggest threat to the health of the resort’s business and longevity, so I would
recommend it be dealt with immediately.
Building on this, Ross should engage in culturally engaging practices by emulate the Brennans
efforts with the local chief, in addition to introducing himself to the wider community. This is
of critical importance to regaining the trust of his local employees, as their bonds and loyalty
with their community will directly influence the degree to which they feel safe and happy at
work. Likewise, Ross would do well to implement recruitment practices that utilise local talent
for senior roles, supplemented by training programs that will qualify them to do so.
While Ross’ task-oriented style likely worked well in Canada’s individualistic society (Hofsede
Tool, 2024), its transfer into Fijian work culture is hindering the morale of his workforce, thus
impacting the resorts success. To enhance his workers experience and improve overall guest
satisfaction, Ross should adapt his leadership strategy from task-oriented to people-oriented.
People oriented leaders listen and empathise, while employing sound interpersonal
communication skills to motivate workers (Eti-Tofinga et al., 2015). Similarly, research has
shown statistically significant positive correlations between people-oriented management and
active participation, ease of contact and trust in superiors from employees (Baran &
Sypniewska, 2017). This change prompt a positive shift in team morale, and improve
Ravinaki’s business.
References
Country comparison tool (2024) The Culture Factor Group. Available
https://www.theculturefactor.com/country-comparison-tool?countries=canada%2Cfiji
at:
Cerutti, D.T. (2001), “Conditioning and Habit Formation, Psychology of”, in Baltes, N.J.S.B.
(Ed.), International Encyclopedia of the Social & Behavioral Sciences, Pergamon, Oxford.
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Schoemaker, P., Krupp, S. and Howland, S. (2013), “Strategic leadership: the essential skills”,
Harvard Business Review, Vol. 91 Nos 1/2, pp. 131-134.
Hagan Lawson, Elizabeth & Lawson, Stephanie. (2017). Chiefly Leadership in Fiji: Past,
Present and Future. 10.13140/RG.2.2.21878.60482.
Sutton, Victoria, Custom, Tradition and Science in the South Pacific: Fiji's New Environmental
Management Act and Vanua (2005). Journal of South Pacific Law, Vol. 9, No. 2, 2005,
Available at SSRN: https://ssrn.com/abstract=2122676
Eti-Tofinga, Buriata & Douglas, Heather & Singh, Gurmeet. (2017). Influence of evolving
culture on leadership: a study of Fijian cooperatives. European Business Review. 29. 534-550.
10.1108/EBR-10-2015-0122.
Baran, M. and Sypniewska, B. (2018) “THE SIGNIFICANCE OF PEOPLE-ORIENTED
MANAGEMENT AND PARTICIPATION FOR MENTORING IN ORGANIZATIONS”, Journal of
Positive Management, 8(4), pp. 14–30. doi: 10.12775/JPM.2017.128.
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