case study

Managing Motivation in a Difficult Economy Learning Goals In this casc, you'll have an opportunity to assess a motivational program designed to reenergize a trow bled company's workforce. Acting on behalf of the company's cxecutive board, you'tl evaliate the board's current stralegy based on strvey data. You'll also advise board members abot improving the cffectivencss of this program based ou what you've learned about goalsenting and motivation in organizations. Major Topic Areas - Changing ratare of work - Diversity and age - Coalictting - Organizational downsiziag - Organizational justice The Scenario Morgan-Moe's dragstores are in trouble. A major regional player in the retail indtastry, the company has hundreds of stores in the upper Midwest. Unfortunately. a sharp dectine in the region's manufacturing cconomy has put management in a serious financial bind. Rewenues have been consistently dwindling. Custoners spend less, and the stores have had to switch their focus to very lonmargin commodities, such as milk and generic drugs, nuther than the high-margin impulse-biy items that used to be the company's bread and batter. The firm has closed quite a fere locations, reversing its expansion plans for the first time since it incorporated. Being that this is uncharted territory for the com: pany, fim Claussen, vice president for human relations, had been straggling with how to address the issue with employees. As the company's fortanes worsened, he could see that employees were becousine more and more disaffected. Their insecurity abont their jobs was taking a toll on attitudes. The compauy's dowmsalaing was big news, and the employees didn't like what they were hearing. Media reports of Morgan-Moe's store elosings have focused on the lack of advance notice of commanica. tion from the company's corporate offices, as well as the lack of severance payments for departing employees. In the abrence of official information, ramons and gosip have spread like wildfire among remaining employees. A fer angry blogs developed ly laid-of employees, like IHateMorganMoe.blogspol.com, lrave made the morade and public relations picture even worse. Morgan-Moe is changing in other ways as well. The average age of its workforce is increaskng rapidly. A cousple of factors have contribated to this shift. Firs, fewer qualified young people are around because many fam. lies have mored away to find jobs. Second, stores have been actively encouraged to hire older workers, anch as retirces looking for supplemental income. Managens are very receptive to these older workers becatse they are more mature, miss fewer days of work, and do not have child care responsibilities. They are also ofien more qualified than younger workers because they have more experience, sometimes in the managerial or executive ranks. These older workers have been a great asset to the company in troubled times, bat they are especially likely to leave of things get bad. If these older workets start to leave the company, taking their hardearned experi. ence with thea, it seens likely that Morgan-Moe wili sink deeper toward bankrupt: The System Clanssen wasan't sure how to respond to emplopecs' sense of hopelessness and fear until a frienal gave him a book eatitled Man's Srarch for Ateatink. The book wat writien by a prychologist nazaed Victor Frand, who survived the conceatratious caamps at Auschuitz. Frankl found that those who had a clear sense of purpose, a Tour Asibentn! cor reme cainut Managing Motivation in a Difficult Economy Learning Goals In this casc, you'll have an opportunity to assess a motivational program designed to reenergize a trow bled company's workforce. Acting on behalf of the company's cxecutive board, you'tl evaliate the board's current stralegy based on strvey data. You'll also advise board members abot improving the cffectivencss of this program based ou what you've learned about goalsenting and motivation in organizations. Major Topic Areas - Changing ratare of work - Diversity and age - Coalictting - Organizational downsiziag - Organizational justice The Scenario Morgan-Moe's dragstores are in trouble. A major regional player in the retail indtastry, the company has hundreds of stores in the upper Midwest. Unfortunately. a sharp dectine in the region's manufacturing cconomy has put management in a serious financial bind. Rewenues have been consistently dwindling. Custoners spend less, and the stores have had to switch their focus to very lonmargin commodities, such as milk and generic drugs, nuther than the high-margin impulse-biy items that used to be the company's bread and batter. The firm has closed quite a fere locations, reversing its expansion plans for the first time since it incorporated. Being that this is uncharted territory for the com: pany, fim Claussen, vice president for human relations, had been straggling with how to address the issue with employees. As the company's fortanes worsened, he could see that employees were becousine more and more disaffected. Their insecurity abont their jobs was taking a toll on attitudes. The compauy's dowmsalaing was big news, and the employees didn't like what they were hearing. Media reports of Morgan-Moe's store elosings have focused on the lack of advance notice of commanica. tion from the company's corporate offices, as well as the lack of severance payments for departing employees. In the abrence of official information, ramons and gosip have spread like wildfire among remaining employees. A fer angry blogs developed ly laid-of employees, like IHateMorganMoe.blogspol.com, lrave made the morade and public relations picture even worse. Morgan-Moe is changing in other ways as well. The average age of its workforce is increaskng rapidly. A cousple of factors have contribated to this shift. Firs, fewer qualified young people are around because many fam. lies have mored away to find jobs. Second, stores have been actively encouraged to hire older workers, anch as retirces looking for supplemental income. Managens are very receptive to these older workers becatse they are more mature, miss fewer days of work, and do not have child care responsibilities. They are also ofien more qualified than younger workers because they have more experience, sometimes in the managerial or executive ranks. These older workers have been a great asset to the company in troubled times, bat they are especially likely to leave of things get bad. If these older workets start to leave the company, taking their hardearned experi. ence with thea, it seens likely that Morgan-Moe wili sink deeper toward bankrupt: The System Clanssen wasan't sure how to respond to emplopecs' sense of hopelessness and fear until a frienal gave him a book eatitled Man's Srarch for Ateatink. The book wat writien by a prychologist nazaed Victor Frand, who survived the conceatratious caamps at Auschuitz. Frankl found that those who had a clear sense of purpose, a Tour Asibentn! cor reme cainut