Money Is Not Always the Best Reward - Essay Example

? Individual Case Study Analysis (Money is not Always the Best Reward) Executive Summary Tim Johnson has been appointed as the Chief Executive Officer (CEO) of a rapidly growing sporting and community club with the responsibility to re-assess and subsequently re-organize the management structure and human resource policies to mitigate the identified issues which had been obstructing the performance of the employees within the organization. In this regard, the sole intention of Tim Johnson has been to improve the performances of the employees through empowerment practicing leadership based on the philosophy that ‘money is not always the best reward’. Emphasizing on this case scenario, the issues has been recognized as well as analyzed with the application of varied theories and models. The analyzed data has further been presented comprehensively to recommend strategies that would help in enhancing the performances of the employees. Table of Contents Executive Summary 2 Table of Contents 3 Introduction 4 Discussion 5 Key Issues identified in the case 5 Critically Analyzing and Evaluating the Case Issues 5 Conclusion and Recommendations 10 References 11 Bibliography 13 Introduction After being appointed as the CEO of a sporting and community club, Tim Johnson was bestowed with the responsibility of developing an innovative organizational structure as well as to implementing human resource systems for the effective performance of the club. During that period, the annual turnover of the club was more than $ 33 million with 75 employees which depicted the financial viability of the organization along with its size, augmenting the necessity to develop an organized and effective organizational structure. After his joining, Tim Johnson recognized that the management of the club was ineffective due to the lack of effective Human Resource (HR) as well as operational policies which is essential to yield superior performance from employees. Strategically, Tim Johnson conducted a survey on the employees and was able to identify that a lack of morale as well as motivation persisted within the workforce. Correspondingly, he formulated plans to develop and implement strategies such as position descriptions, systems related guidelines, job specifications as well as other HR and operational policies to be followed by the employees. Formal meetings were also organized with the motive of informing the employees about the change in the organizational structure. The HR and the operational policies were further intended to be legally enacted so as to ensure ethical viability within the reframed organizational process. One of the most significant changes brought by Tim Johnson in the philosophy of the restructured organizational process indicated an increased focus on improving the performance of the employees through empowerment rather than considering the monetary reward system. The discussion will thus emphasize on the identification as well as the analysis of various issues which have been identified in this case. The results of the analysis will further be used to recommend strategies which are required to mitigate the identified issues. Discussion Key Issues identified in the case In the referred case, the issues which were faced by the sporting and community club hampering the performance of the employees depicted that the club lacked effective leadership from the senior decision makers of the organization. Owing to the ineffective organizational structure and ill-organized process related policies, the organization had to face various problems related with lack of morale among the employees which further obstructed an enhanced performance from the human resources of the club. Lack of motivation to work in accordance with the standards specified by the management for the effective achievements of the goals was also observed as a restriction to the enhanced performance of the club. The club did not have Human Resource Management (HRM) for effective HR as well as operational policies. The activities which were performed by the employees were also not appraised adequately that could keep them motivated. It is in this context that the management of the club is required to sort out these issues for the successful achievement of the determined goals or objectives. Critically Analyzing and Evaluating the Case Issues The issues which are identified in the case are required to be sorted out to gain a better understanding of the performance deciphered by the club’s employees. This particular objective of the discussion can be attained with reference to various theories and models related to motivation in the context of organizational structure and Human Resource Management (HRM). Morale Morale is the amount of confidence which is possessed by an individual. The employees of an organization are required to be morally encouraged for enhanced performance towards the ultimate achievements of the organizational goals (Ministry of Business, Innovation & Employment, 2012). It is in this context that Tim Johnson is required to boost up the morale of his employees to enhance their performances from a long-run perspective so that the employees can perform in a coordinated and collective manner. According to McFarland, the factors which are significant for building morale can be identified as the attitude of the managers towards their employees or subordinates. Correspondingly, the varied requirements for developing morale of the employees comprises of the working environment components, payments, working hours as well as rules and measures adopted by the organization for the safety of the employees. The activities as well as authority should be efficiently delegated to the employees in this regard to avoid miscommunication and facilitate shared vision amid the work culture. The size as well as structure of the organization should be effective as well for a smother work flow (Kumar & Sharma, 2001). Furthermore, emphasizing on a similar concern, Mishra, Mishra and Spreitzer (2009) stated that communication between the management and the employees is quite vital for mitigating perplexities within the organizational structure and enhancing employee morale. However, the strategies applied previously by the sporting and the community club can be observed to lack such efficiencies which hinder the employee morale by a considerable extent. It is in this context that Tim Johnson emphasized on performing a survey with the employees for building better relationship among the employees and managers with the intention of creating reliance along with empowerment. Contextually, effective communication also assists in enhancing flexibility within the organization rendering it internal strengths (Mishra, Mishra and Spreitzer, 2009). Summarizing the aforementioned concerns, it should be affirmed that the morale of the employees should be developed for enhanced performances of employees towards the attainment of the determined goals by the club. In this regard, it is highly essential to convey the roles and responsibilities of the employees in an effective way so as to minimize perplexity within the organizational structure. The employees of the club should be morally encouraged as well to perform activities in accordance with their job requirement for which sole emphasizing on monetary rewards shall prove as insufficient. It is worth mentioning in this context that employees who are morally boosted up perform activities in an efficient manner and reduce irregularity as well as absenteeism within the workplace. Therefore, morale can be identified as an important trait for improving the performance of the club (Jackson & Schuler, 1995). Motivation According to the finding of Herzberg’s two-factor theory of motivation, there are certain elements which satisfy the employees and other factors leading towards dissatisfaction. According to this model, the two factors are hygiene and motivational factors. Hygiene Factors: Hygiene factors are the most important factors which are required for satisfying the employees as well as motivating them towards the attainment of the determined organizational goals. The non existence of these factors may lead to dissatisfaction among the employees further hampering their performances in the long-run (Hyun, 2009). The hygiene factors can be identified as follows: Policies as well as administration of the company Supervision Working conditions Interpersonal relations Payment Status as well as security of job Motivational Factors: According to the theory, motivational factors are those factors which are required for deriving positive satisfaction among the employees. The motivational factors are innate to the work to be performed assisting in attaining enhanced performances of the employees by providing additional benefits to the employees (Goldsmith International Business School, 2012). A few motivational factors can be identified as follows: Performance appraisal of the employees Sense of achievement Opportunities for growth as well as promotion Responsibility for the assigned task Challenging work With reference to the above discussion, it can be affirmed that there are varied factors which determine the satisfaction level among employees further motivating them to perform the assigned tasks in a productive way. In this case scenario, it can be thus observed that Tim Johnson emphasized majorly towards incorporating the motivational factors to encourage the employees to perform their activities with greater commitment towards organizational goals. Tim Johnson also aimed at bestowing certain responsibilities on the employees as per their possessed skills to make them comfortable and confident within the working environment. Hence, it can be stated that these aspects assisted Tim Johnson to motivate the employees and rebuild the organizational structure in an effective way. In accordance with above discussed theories, the main purpose of HRM can be identified as to assist the management of a particular organization in enhancing the performances of its employees in order to meet the organizational objectives in a sustainable manner. Stating precisely, the employees of the organization are to be managed as well as organized in an effective manner for superior performance. The employees of an organization should also perform activities in accordance with the strategies which have been determined (Moti, 2012). Therefore, taking into account the sole intentions of an effective HRM and the motivational aspects of organizational structure, it can be stated that the HR policies of the club needs to be restructured effectively as it will help in organizing as well as controlling all the activities which are to be performed for the success of the club. Conclusion and Recommendations The study concerning the issues in relation to the varied theories as well as models have provided with the varied information which are essential for superior performance of the employees of the club. As identified by Tim Johnson, there was a lack of adequate motivation among the employees of the club which further hampered their morale towards the organization creating perplexity in the execution of the entire organizational process. It is in this context that effective strategies must be considered by Tim Johnson to develop the morale amid the employees through effective motivation. In this regard, proper measures to evaluate the performances of the employees and correspondingly, policies to reward them should be developed by the management. There is also a need of effective communication within the organizational structure which would minimize miscommunications and lack of coordination among the various dimensions of the club. References Hyun, S. (2009). Re-examination of Herzberg's Two-Factor Theory of Motivation in the Korean Army Foodservice Operation. Graduate Theses and Dissertations. Paper 10510. Jackson, S. E., & Schuler, R. S. (1995). Understanding human resource management in the context of organizations and their environments. Anna Rev. Psychol 46, pp. 237-64. Kumar, A., & Sharma, R. (2001). Personnel management theory and practice, 3 Vols. Set. India: Atlantic Publishers & Distri. Goldsmith International Business School. (2012). Motivation. Retrieved from http://www.goldsmithibs.com/resources/free/motivation/notes/summary%20-%20motivation.pdf Ministry of Business, Innovation & Employment. (2012). Morale and motivation. Retrieved from http://www.dol.govt.nz/er/bestpractice/prc/infosheets/GPG-MORALE.pdf Mishra, A. K., Mishra, K. E., & Spreitzer, G. M. (2009). Downsizing the company without downsizing morale. MIT Sloan management review 50(3), pp. 39-44. Moti, U. G. (2012). Human resource management (HRM) in the global perspective: theory and practice. Department of public administration, pp. 1-12. Bibliography Bolden, R., Gosling, J., Marturano, A. & Dennison, P. (2003). A review of leadership theory and competency frameworks. Centre for leadership studies, pp. 2-42. Griffin, R. W. (2011). Fundamentals of Management. United States: Cengage Learning. Human Synergistics Canada. (2012). Trait theories of leadership. Retrieved from http://www.hscanada.com/Level5LeadershipandLSITraitTheoriesofLeadership.pdf Lee, L. & Wong, P. K. (2006). Individual attitudes, organizational reward system and patenting performance of R&D scientists and engineers. MPRA Paper No. 595. SAGE Publications. (2012). The contingency theory of leadership. Retrieved from http://www.sagepub.com/upm-data/15105_Rowe_Chapter_06.pdf University of Mumbai. (2012). Introduction to human resource management and environment. Retrieved from http://www.mu.ac.in/myweb_test/M.Com.%20Study%20Material/Human%20Res.%20Management%20-%20M.%20Com%20-%20I.pdf Read More