Organizational Case Study: Root Cause of All Organizational Problems
Zeeshan VallianiInstitute of Business ManagementStudent ID: 2011-3-07-1254318th December, 2011Assignment 2Organizational Case StudyOrganizational BehaviorAli Mujahid
PART A:BACKGROUND INFORMATION COMPANY STRUCTURE HISTORY The XYZ Company began its operations in 1988. Soon after its formation it entered the field of Information Technology and Telecommunications by developing and distributing IT and telecom equipments. It became the market leader in 2000 representing the most important companies in these sectors such as Microsoft, Hewlett Packard, Compaq, IBM, Lucent Technologies (AT&T), Oracle, Wipro and Novell. The Company built its solid foundations in IT and telecommunications over a decade. On July 27th, 1997, company was incorporated to consolidate the telecommunications and technology interests. The same year XYZ Company established its first offshore support center in Pakistan, India, Canada, UK, United States and Romania.
FUNCTIONSProduct DevelopmentThe Product development Office works with Marketing and other agencies to refine andimplement changes required for selling products and services.Distribution & MarketingThe Office is responsible for creating and implementing marketing strategies andbuilding customers.Corporate AffairsThe Office of Corporate Affairs is responsible for public affairs and public diplomacy,legislative affairs, diplomatic engagement, and outreach to other businesses.AdminThe Admin office is responsible for budgeting, financial management and policydevelopment.ISSUES Poor communication channels Friction between people and departments Conflicts between subordinates and manager Lack of support from higher management Lack of information Lack of job recognition and career development Decreased Productivity Salary negotiation deadlocks Organizational Politics Lengthy Decision Making Process No Succession Planning
PART B:PROBLEM STATEMENT (ROOT CAUSE PROBLEM)Using 5 Why‟s Technique to evaluate the root cause problem:Low productivityLow productivity is due to the low motivation in the subordinates to perform their duties. Low motivation Senior Managers avoid access to information and career planning for their subordinates. Poor Communication Channels Subordinates feel frustrated as their Senior Managers shares information only on „need-to-know‟ basis. No Participation in decision making Senior Managers avoids participation of their subordinates in Decision Making process due to job insecurity fears Greed Senior Mangers desire to strengthen their authoritative position. “Corporate Greed is the root of all problems”
PART C:PROBLEM SOLVING TO: Where do you want to get to? Corporate Greed is the root of all problems facing the XYZ Company. LO: Logical Analysis The Senior Managers drive to increase their earnings and sustain their authoritative position hampers the company progress as it puts employees in conflict against each other in the race for the increasing salaries and rewards that leads to greed and other organizational issues. PO: Possibility or Alternatives Whats the alternative? Socialism as capitalism at this point is suffering from the backlash of its individualistic tendencies that includes Corporate Greed as its main component that results in all organizational problems—it has so far failed to integrate social consciousness for its worker. XYZ Company should realize its corporate social responsibility and focus on team work rather competition. SO: So What Shall we do (Make your decision) o The company shouldn‟t reward employees with money but by providing them with new learning opportunities o The company should not cherish specific workers with annual ranking and rating systems as it puts negative impact on other employees and makes them against one another and promotes competition o The company should emphasize on collaboration versus competition as it ensures a culture of working together, helping, teaching, and leading. o The company should make people enjoy their work.
o XYZ Company needs to change its management system as it is based on the outdated behavioral approaches. The best managers provide outlets for autonomy, innovation, and purpose o The company should eliminate job security fears as its employees aren‟t responding well to threats and if they start occurring on a regular basis then they might sabotage the system undermining the aim for quality results. o XYZ Company should hire next era managers that can bring change and can demonstrate their care about their people.GO: Get Going (The Implementation Phase)It‟s the time for a change and adaptation to a new approach as the era of greed is over. XYZCompany needs next era managers who try new approaches in the organization which enableemployees to have joy and meaning at work WHILE also getting great business outcome.