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Challenges in employee retention
Organizational behavior, leadership and management
Challenges in employee retention
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Organizational Behavior and Leadership
This purpose of this paper is to discuss a company which hereafter will be referred to as Company X. Company X produces audio products and has recently instituted an innovative production process in an effort to help its employees meet its high production standards and goals. One of Company X’s supervisors is having difficulty with his employees adapting to the new process. During an informal discussion with the supervisor the following was revealed: some of his employees are not putting forth effort to master the process, those who have mastered the process are not putting forth enough effort to reach the production goals the company has given. When asked what was behind the employees lack of effort, the following reasons were given: some have said they cannot be successful with the process because they are not capable of the hand dexterity required, those who are not having difficulty with the process feel that it is not worth putting in extra effort to reach the production goals. The rationale behind those who are not having difficulty is there is usually no difference in wage increases among those who meet department goals and those who fall short of the goals, and they believe that workers at the company have to be very slow before their performance will affect their given salaries.
To solve this dilemma I believe we need to take a look at current motivation theory. Among current motivation theory Victor Vroom’s expectancy theory is one of the most widely accepted. Mr. Vroom’s theory argues that the strength of a tendency to act in a certain way depends on the strength of an expectation that the act will be followed by a given outcome and on the attractiveness of that outcome to th...
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...eir wages to the number of quality products produced under the new process thereby improving the rewards-personal goals relationship. Another option would a be merit-based pay plan where rewards could be introduced based on an objective performance appraisal based on realistic production goals under the new process.
Finally, whatever program is finally decided upon it would be advantageous to include the production employees in this process. Getting their feedback and ultimately their buy-in to the incentive program will potentially increase their enthusiasm for the process. In addition some employees complained they had dexterity difficulties with the new production procedures. Whether this is actually the case or due to motivation issues will need to be monitored closely, and any workers that cannot physically handle the process will have to be reassigned.
In a firm, management and leadership are important and needed. Leadership and management are similar. Actually, leadership and management are totally different. The leadership would influence the firm. The leader would have difference leadership styles to lead the subordinate.
The absence of appropriate motivation, fairness, and communication are recognized as the root causes of the issues at the Engstrom Auto Mirror Plant. These are the real issues that added to the decrease in efficiency and product quality. Workers who are affected in an organization might be a result of de-motivation, poor communication, and personal conflict. The presence of these components is the thing that could result in a decline of workers’ productivity, since workers feel they have no control over their work and what they produce. “The success of any Analysis Organization depends on the ability of managers to provide a motivating environment for its employees” (Osabiya, p. 63).
In the words of Atkinson and Feather (1966) , “The strength of motivation to perform some act is assumed to be a multiplicative function of the strength of the motive, the expectancy (subjective probability) that the act will have as a consequence the attainment of an incentive, and the value of the incentive: Motivation = f(Motive X Expectancy X Incentive)”.
What is organizational behavior? Prior to this course, I had never known that much of what is organizational behavior and in which ways it can impact the organization. Initially, over the course my knowledge about OB was expanded.
Performance related pay is a financial reward given to employees whose work is considered to have reached a required standard or is above average. “PRP criteria can relate to the individual employee, to work groups or to the organization as a whole” (Armstrong, 2002). It is fair to provide people with financial rewards as a means of paying them according to their contribution (Armstrong 1993:86). The primary purpose of performance related pay in any organization is to recruit, retain and motivate the workforce. It also helps in focusing employees’ minds on particular goals (Protsik, 1966); communicate to employees an organization’s core values, and change the culture of that organization (Kessler and Purcell, 1991).
The foundation for effective job performance and compensation system can be traced to effective job analysis process. Fundamentally, a job analysis should consist of a thorough examination of the job 's duties and knowledge, skills, abilities, and qualities that are required in order to be successful in a specific position, upon which appropriate rewards or compensation can be determined. For many perspectives, jobs are usually made up of requirements and rewards, where rewards may be regarded as a major recruitment strategy for motivating potential employees in order to influence them to stay the organization for a longer period as well as enhance their performance. The most common or basic form of rewards which attracts employees is extrinsic
Reward Management (RM) has been defined as the distribution of monetary and non-monetary rewards to employees in an effort to align the interests of the employees, the organisation, and its shareholders (O’Neil, 1998). In addition O’Neil (1998) also suggests that a RM system can serve the purpose of attracting prospective job applicants, retaining valuable employees, motivating employees, ensuring legal requirements relating to direct and indirect rewards are not violated, assisting the company in achieving human resource and business objectives, and ultimately assisting the organisation in obtaining a competitive advantage.
When it is discovered that a worker can fulfill the requirements of their job, but are experiencing shortcomings in doing so, many times it is believed that worker motivation may be the root of the problem (Laird 95). What, though, is work motivation? According to Laird (2006), “motivation is a fundamental component of performance “ and “is the reason that someone chooses to do some things and chooses not to do others”. In other words, work motivation is what energizes workers to the level of output required to fulfill a task, directs their energy towards the objectives that they need to accomplish, and sustains that level of effort over a period of time (Steers et al., 2004). In essence, worker motivation is what gets the job done. Employee motivation has always been a central problem in the workplace, and, as an individual in a supervisory position, it becomes ones duty to understand and institute systems that ensure the proper motivation of your subordinates. Proper motivation of employees can ensure high productivity and successful workflow, while low worker motivation can result in absenteeism, decreased productivity rates, and turnover. A large body of research has been produced regarding motivation, and much of this research is applicable to the workplace. Due to the nature of man, motivation varies from individual to individual, and, because of this, there is no one system that is the best for ensuring worker motivation in every organizational situation, and, as a product, many theories have been created to outline what drives people to satisfactorily complete their work tasks. Throughout the course of this document, the three main types of these motivational theories will be outlined and examples of each as well...
Norman Brinker has become known as an entrepreneur, pioneer, visionary and mentor in the restaurant industry. He has been involved in the industry for over 40 years. In the 1950’s Norman Brinker started his career in restaurants as partner in the Jack-in-the-Box restaurant chain. Here Brinker found a new love for the restaurant business.
The motivation theory when applied to the case shows that there is a lack of job empowerment. When there is a positive work environment with job equality amongst the employees and a good reward system the employees existence needs would be easily met .Employees thrive on relatedness needs such as better communication, teamwork, mutual respect and conflict management within the workplace. Employees feel satisfied when employers satisfy their lower level needs, with that employees feel motivated to grow and achieve with the assistance of a good job structure and effective training to improve growth needs. (Anyim, Chidi and Badejo.2012,38) suggested that “In order to elicit better performance, motivational factors must be accorded high priority and employed properly as an essential ingredient for organizational progress and survival especially in the current day turbulent operating environment” Therefore, assembly line balancing (Otto and Scholl 2011), job rotation scheduling and positive well managed work environment can lead to a significant improvement of worker well-being and productivity resulting in enhancement of job satisfaction and improvement in productivity of work (Neumann et al. 2006; Lodree et al.
House et al. (2007) discovers that leadership and Organisational culture are closely linked together as leaders influence the culture of their organisations. Researches talk about a range of leadership definitions but it is not easy to define. (E.g. Western, 2008; Yukl, 2010). However, Cohen (2009) critically analyses definitions from Dracker (1996), Eisenhower (1969), Northouse (2004) and finally summarised the definition of leadership constitutes five elements. First of all, ask question to set direction, which means effective leaders need to listen to followers’ voice respectfully and then share the common goals and ideas with them. In addition, leaders need to seek insights and allocate resources optimally; act ethically; allow their employees to work in a conformable and most effective way. This essay will explain different leadership styles and how they influence the organisations with examples of organisations and leaders with main focus on well-known entrepreneur: Sir Alan Sugar. He grows from nothing to incredible success (£ 730 million), is a legend in the UK business history; his reality TV show “The Apprentice”, a great entertainment for recruitment appeals to the public without reasons. However, he as a person is controversial amongst people, probably due to his leadership style as bullying or harassment (destructive). There are four schools of leadership styles: Trait, behavioural, contingency and transformational. Nevertheless, in the case of Alan Sugar, trait and transactional styles match him which will be illustrated following in detail.
Employee compensation and reward systems have undergone a couple of paradigm shifts since inception. Reward systems were traditionally compensation based and focused on the individual or the position (Beam 1995). After a recession in the early 1980's, employers turned to performance based models in an attempt to save money while still rewarding top performers (Applebaum & Shapiro, 1992). Today, the most successful organizations are using a total reward model, a hybrid of the performance based model combined with strategic human resource management planning to create reward systems that both benefit the employee and help organizations realize their operational goals (Chen & Hsieh, 2006).
Organizations today often encourage change to better the work environment. However, these changes often cause unwanted results which were not expected. This leads us to observe organizational behavior (OB) in hopes of minimizing unwanted and/or negative changes within an organization. Organizational behavior, organizational culture, diversity, communication, organizational effectiveness and efficiency, and organizational learning are all factors within an organization. These terms must first be defined in order to create a truly more efficient work environment. Centrix Financial ensures their growth and success by establishing an effective pattern which includes all of the factors of organizational behavior.
Organizational behavior is the study of the many factors that have an impact on how people and groups act, think, feel, and respond to work and organizations and how organizations respond to their environments. (George & Jones, 2005) Organizational behavior is particularly important to managers, who are responsible for supervising the activities of one of more employees.
Stephen Robbins and A.J.B UBRIN think organisational behavior (OB) includes three interrelated influence and contact area of research: the behavior of the individual level, the group level and the organisational level behavior.