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Transcript of aliesha state college
Case For analysis: The Dilemma of Aliesha State College
1. Based on the alternatives being considered, how would you predict that decision
problem has been identified? Is that the best way to define the decision problem in this case?
This case is concerns the of a harsh budget constraint by the state legislature. The
President of the college must reach a decision on which one of two programs, to maintain and
which one to cut. If they want to maintaining both of the programs a speech therapy clinic
and demonstration high school (teacher college-say), is only by cutting back on employee
wage expenditure but it might amount to accepting widespread dissatisfaction and mediocrity
throughout the college and community, a very undesirable outcome.
In this case they should apply combination the incremental and Carnegie Model
decision to their uncertainty cases. Incremental Decision Model is decision making that
describes the structures sequence of activities under taken from discovery of a problem to its
solution meanwhile Carnegie Decision Model is organization decision making that involves
many manager making a final choice based on a coalition among those managers. From the
case there are two options which is need to make decision by the college and this is uncertain
options to them to make decision and there is involved various people intervention such as
government, society, professional people and college staff. So in order to identify the
decision problem, it might be to use combination of two model as of below exhibit.
Problem Identification Problem Solution
1- When problem identification is
uncertain, Carnegie model will be
applies
2- Political and social process is needed
3- Build coalition, seek agreement,
1- When problem solution is uncertain,
incremental model will applies
2- Trial and error process id needed
3- Solve big problems in little steps
4- Recycle and try again when blocked
resolve conflict
In this case, the president should identify the decision problem to each alternative
given. To identify the decision problem, the president need to identify essential details of the
problem such as where, when, who was involved, who was affected and how current
activities in state college are influenced. In identification stage there is steps involved such as
to define and clarify the issue, does it warrant action? If so, now? Is the matter urgent,
important or both. Second is to gather all the facts and understand their causes. Third is to
think about or brainstorm possible options and solutions. Fourth is to consider and compare
the pros and cons of each option. Fifth is to select the best option and lastly explain your
decision to those involved and affected, and follow up to ensure proper and effective
implementation.
2. How could the decision problem be identified differently so that it would lead to
alternatives more broad than trying to decide which program to cut?
Decision making is the process of selecting a logical choice from among the available
options. When trying to make a good decision, a person must weight the positives and
negatives of each option, and consider all the alternatives. For effective decision making, a
person must be able to forecast the outcome of each option as well, and based on all these
items, determine which option is the best for that particular situation. [James Reason 1990].
Human performance in decision making terms has been the subject of active research from
several perspectives.
The essence of management is making decisions. Managers are required to evaluate
alternatives and make decisions regarding a wide range of matters. Just as there are different
managerial styles, there are different decision-making styles. Decision making involves
uncertainty and risk, and decision makers have varying degrees of risk aversion. According
to Ralph L. Keeney, professor at the University of Southern California's Marshall School of
Business and co-author of Smart Choices: A Practical Guide to Making Better Decisions,
managers commonly consider too few alternatives when making difficult decisions. They can
devise new alternatives through brainstorming and imagining as many options as possible,
keeping in mind objectives, but not necessarily being entirely practical at first. In practice,
action-oriented decision makers tend to focus on solutions without considering whether they
are working on the right problem. Instead of choosing from decisions selected by others,
decision makers need to review what decisions they should be addressing.
Managers in a corporate setting tend to view decision making differently. To develop more
alternatives, decision makers should release themselves from existing constraints, think
imaginatively, and brainstorm with others, all the while keeping objectives clearly in mind
and being honest about what they really need or desire.
In this case there are two alternative different programs need to be analyse and choose the
best one in one of activities programme implement by Aliesha State College. There are
Speech-therapy programs and demonstration high school. From the both alternative,
definitely the decision problem should be identify differently in order lead to more broad
decision making. They should consider from various approach such as identify uncertainty
and risk of the programs, principle and information system differently.
Many decisions must be made with complete information. Decision makers often to be act
without knowing for certain all of the consequences of their decisions. Uncertainty simply
increases the number of possible outcomes, and the consequences of these outcomes should
be considered. That is, it is important for the decision maker to identify what the uncertainties
are, what the possible outcomes are, and what the consequences would be. Decision makers
can sometimes clarify the problem they are working on by listing what could happen and
assigning probabilities to each possible outcome.
Principled decision making can be a useful complement or alternative to analytical decision
making. Principled decision making may or may not involve ethics. Ethical decision making
uses ethical principles to make decisions. Principled decision making can be applied as an
alternative to analytical decision making in such areas as organizational missions, goals and
strategies. With more information, managers can make better decisions. Organizations can
achieve more consistency between upper management and lower-level managers by
providing more information throughout the organization.
So by determine the various alternatives differently, this State College can evaluate the
alternative given broadly with good point of view. Making decision can be made easily with
enough information and contradiction between two alternatives.
3. If you were on the Board of Trustees, in what quadrant of the contingency framework
would you place this decision? How would you suggest that this decision be approached?
Under the Contingency framework decision model, there are two characteristic of
organizations that determine the use of decision approaches which are problem consensus and
technical knowledge about the means to solve the problems. Problem consensus is the level
of agreement among managers about the nature of the problem or opportunities and about
which goals and outcomes to pursue. Meanwhile technical knowledge is the degree of
understanding and agreement about how to solve problem and reach organizational goals.
Contigency Framework for using Decision Models
From the case there is uncertainty agreement between to select Speech- therapy program or
demonstration high school because both of alternatives are costly and different impact
Certain Problem Consensus Uncertain
Certain
Solution
Knowledge
Uncertain
1 2
3 4
depending on its goals. These two alternatives have their strength and weaknesses. They
also face with uncertain decision to solve the problem. So under Contingency Framework
Decision Models, I believe that with choosing cell 4 giving me clear clarification in decision
problems.
This cell 4 approaches press on individual and learning organization. Characterized by high
uncertainty about both problems and solutions is difficult for decision making. By using
individual approaches, it can to build a coalition with all members in Aliesha State college to
establish goals and priorities and use judgement, intuition or trial and error to solve the
problems. Additional techniques such as inspiration and imitation also may be required.
When an entire organization is characterized by high uncertainty regarding both problem and
solutions, elements of the garbage can model will appear. Potential solutions will precede
problems as often as problems precede solutions. In this situation as board of trustee I should
encourage widespread discussion of problem and idea proposals to facilitate the opportunity
to make choice. Eventually via trial and error the organization will solve some problem.
4-If only one programs needed to be cut in order to erase the budget deficit, which programs
would you cut, and why? Are there other factors not given in the case which should be
considered in making this decision-such as the college mission or the potential for additional
fundraising?
In this case, Aliesha State College should be deciding between two alternative
program given in order them to implement the program. One major problem if they choose
both alternatives is budget deficit suddenly cut by the state legislation. If they choose to select
speech-therapy program, it is the great alternative because everyone agreed on that. It is also
need or desired by the people and given high priority to the people but the weaknesses of the
program is poor, sloppy, disorganized job that paediatricians, psychiatrists and psychologist
hesitated to refer their patients to the clinic. If they choose demonstration high school, it is
very excellence and the impact it made on the education students who listened in on its
classes and on many young teachers in the area who came in as auditors. But it is plenty of
perfectly adequate high schools in the area.
If only one program need to be choosing, it should be goes to demonstration high school
program because of both teacher and students involve in the programmes. Beside that its
teachers were the leading experts in teacher education. Goals of the Aliesha State college
maybe related to the programs selected. This program can increase knowledge and expertise
in education field in order to develop student’s knowledge and skill and also to give a chance
to teachers to show their capability.
Case for Analysis: Implementing Change at National Industrial Products
1. Describe the culture set by the former CEO Jim Carpenter. Would you describe it as an
adaptive corporate culture or unadaptive?why?
Adaptive corporate culture can be define as strategic focus on the external environment
through flexibility and change to meet customer needs. This culture encourages value, norms
and beliefs that support the capacity of the organization to detect, interpret and translate
signals from environment into new behaviour responses. It also actively creates change such
as innovation and creativity. Kotter and Heskett’s (1992) seminal study of corporate culture
and performance, adaptive cultures are more appropriate not only for dealing with uncertain
environments but, by extension, also for implementing the prospector or differentiation
strategies that tend to be adopted in uncertain environments. Unadaptive cultures with
behavioural norms supporting control and consistency, are more likely to be accepted in
organizations facing relatively simple and stable environments and adopting low-cost or
defender strategies.
Differences between Adaptive Corporate Cultures an Unadaptive Corporate Cultures
Adaptive Corporate Culture Unadaptive Corporate Culture
Visible Behavior Managers pay close attention
to all their constituencies,
especially customers, and
initiative change when needed
to serve their legitimate
interests, even if it entails
Managers tend to behave
somewhat insularly, politically and
bureaucratically. As a result they
do not change their strategies
quickly to adjust to or take
advantage of changes in their
taking some risks. business environment
Expressed Values Managers care deeply about
customers, stockholder and
employees.
Managers care mainly about
themselves, their immediate work
group. They value the orderly and
risk-reducing
(Source:John P.Kotter and James L.Hesket
Jim Carpenter who had been CEO for almost three decades was very well liked by
employees. He always treated his employee like family. For example recognized them by
name, family day, social events and so on. He believe that if you treat your employees well,
they will loyal to you an in your organization. When his organization’s business seem slow
he never lay off his employees but he will transfer his employee to other job even the task of
the job is not related to the employees skills. This is show that Jim Carpenter has been using
unadaptive corporate culture.
Jim Carpenter is ever set performance objectives and standards for the all department but he
believes that manager of each department have full authorize to set her or his employees fit
with the task. Jim Carpenter provide training programs in communications and Human
Resource(HR) for manager for every year and this approached quite advantages to the
managers. Under Jim Carpenter leadership, there is lack of turnover, higher profit,
employees’ productivity and friendly atmosphere until merging of large competitors in the
National Industrial Products which is changed the era of Jim Carpenter.
2. Why did new management see the need to bring change to the organization? Was it
necessary to change the culture in order to bring the desired change?
Organizational culture is an idea in the field of organizational studies and
management which describes the psychology, attitudes, experiences, beliefs and values
(personal and cultural values) of an organization. It has been defined as "the specific
collection of values and norms that are shared by people and groups in an organization and
that control the way they interact with each other and with stakeholders outside the
organization. Ravisi and Schultz (2006) state that organizational culture is a set of shared
mental assumptions that guide interpretation and action in organizations by defining
appropriate behavior for various situations. Although it’s difficult to get consensus about the
definition of organizational culture, several constructs are commonly agreed upon – that
organizational culture is holistic, historically determined, related to anthropological concepts,
socially constructed, soft, and difficult to change
Because of National’s major rivals had merged into two large companies and better able to
meet customer needs which one of the factor why new management see it needed to bring
change to the organization. The impact from merging of competitor, Simpson Industries
going down. Their sales and profit had continued declined and the cost still keeps going up.
Beside that there is low in productivity and production output.
When an organization requires some kind of organizational culture change, the change
process can be daunting. Culture change may be necessary to reduce employee turnover,
influence employee behavior, make improvements to the company, refocus the company
objectives and rescale the organization, provide better customer service, and achieve specific
company goals and results. Culture change is impacted by a number of elements, including
the external environment and industry competitors, change in industry standards, technology
changes, the size and nature of the workforce, and the organization’s history and
management.
Burman and Evans (2008) argue that it is 'leadership' that affects culture rather than
'management', and describe the difference. When one wants to change an aspect of the culture
of an organization one has to keep in consideration that this is a long term project. Corporate
culture is something that is very hard to change and employees need time to get used to the
new way of organizing. For companies with a very strong and specific culture it will be even
harder to change.
Prior to a cultural change initiative, a needs assessment is needed to identify and understand
the current organizational culture. This can be done through employee surveys, interviews,
focus groups, observation, customer surveys where appropriate, and other internal research,
to further identify areas that require change. The company must then assess and clearly
identify the new, desired culture, and then design a change process.
3. Describe the culture set by the new CEO Tom Lawrence. What are its advantages and
disadvantages?
Lawrence has a big reputation as a young, dynamic and more focus on productivity
and company profit. After changing CEO from Carpenter to Lawrence, there are a lot
changing in leadership style. For example Lawrence has been cut costs in organization by
discontinuing social events activities. Beside that he also totally stops impromptu birthday
celebrations among staff in National. He believes that by cut training programs in
communication and Human Resource can avoid from wasting time and money expenses. By
implementing adaptive corporate culture, he only focus on company profit and productivity
and external factors effected to the National without having proper relationship with the
workers.
Lawrence introduced strict performance standards to all department and worker who are nor
achieved in performance standard will be given first warning to develop their performance if
not they will be terminate from the National. Under Lawrence leadership, there is weekly
meeting regarding department performance among each of managers. Employees who are
able to achieved performance will be rewarded. For example large bonuses, perk, first class
Air travel and so on.
After a year being president of National, production cost had been reduced by 20 percent and
output has been increase 10 percent wherever sales increase 10 percent. The impact of of his
leadership style, three experienced and well-respected Nationnal manager has been left the
company for jobs with competitors. Beside that, the turnover is highly increase among
production worker and its quite difficult to find skill worker to replace the vacancy. Because
of that Simpson was pleased that Lawrence has brought National’s profit and productivity
due to performance standard but the impact to employees is low morale and high turnover.
Simpson query it can be bad impact in long run business activities in National.
4. With the culture established by Tom Lawrence, is it possible to return to high morale and
lower turnover?
Culture is importance in Organization because it can give various benefit to the
company. To get the benefits, there should be a strong culture value. Strong culture is where
staff is more motivation because of their alignment to organizational values. The various
benefit from strong culture value are consistent and efficient employee performance, team
cohesiveness, high employee morale and strong company alignment towards goal
achievement
For change to be successful there needs to be a compelling reason to change, a clear vision of
what the change will be, and a sensible first step. (Tribus, 2001).
(Giles, 2000) Culture change requires consistency of message, goal, direction, and leadership
to succeed.
It is possible to Lawrence to get return to high morale and lower turnover by implementing
adaptive culture. The result on turnover and low morale occurred in National is just only a
year under Lawrence leadership. According to Kotter and Heskett (1992), organizations with
adaptive cultures perform much better than organizations with unadaptive cultures. An
adaptive culture translates into organizational success, it is characterized by managers paying
close attention to all of their constituencies, especially customers, initiating change when
needed, and taking risks. An unadaptive culture can significantly reduce a firm's
effectiveness, disabling the firm from pursuing all its competitive/operational options.
Tom Lawrence should strive for what is considered a good culture time to time in order to
increase productivity, growth, efficiency and reduce employee turnover and other. For
example fair treatment of each employee as well as respect for each employee’s contribution
to the company, strong communication with all employees regarding policies and company
issues and investment in learning, training, and employee knowledge. O’Rielly, Chatman &
Caldwell (1991) developed a model based on the belief that cultures can be distinguished by
values that are reinforced within organizations such as innovation, stability, respect for
people, outcome orientation, attention to detail, team orientation, and aggressiveness.
According to Schein (1992), the two main reasons why cultures develop in organizations is
due to external adaptation and internal integration. External adaptation reflects an
evolutionary approach to organizational culture and suggests that cultures develop and persist
because they help an organization to survive and flourish.
So by monitoring, develop relationship and clear communication time to time and this
adaptive culture will be success in National Industries. This has been proven by past
researcher which is employees more focused on their performance to achieve performance
standard toward external environment impaction. This will give more responsibilities to each
employee to keep their performance record well and to face with others competitor in the
same industries.
5. Making necessary assumptions about the corporate environment and corporate strategy,
where would you place the company’s culture under Tom Lawrence’s leadership in a
quadrant of the grid in Exhibit 9.8? In your opinion, is that an appropriate culture for the
situation?