Complete Case outline on Arctic Mining Consultants

1) Problem Statement -One to two sentences -What is the basic problem? -Why is this a case ?

2) Problem Analysis -Why do the problems exist? -Use concept/theories from text. -Strengths & Weaknesses -Internal -Company-level -Example: corporate culture

3) Recommendation -Based on your analysis and topics from the text, what would your group do to solve the problem

CASE 2: ARCTIC MINING CONSULTANTS

By Steven L. McShane, Curtin University (Australia) and University of Victoria (Canada);

and Tim Neale

Tom Parker enjoyed working outdoors. At various times in

the past, he worked as a ranch hand, high steel rigger,

headstone installer, prospector, and geological field technician.

Now 43, Parker is a geological field technician and

field coordinator with Arctic Mining Consultants. He has

specialized knowledge and experience in all nontechnical

aspects of mineral exploration, including claim staking,

line cutting and grid installation, soil sampling, prospecting,

and trenching. He is responsible for hiring, training,

and supervising field assistants for all of Arctic Mining

Consultants' programs. Field assistants are paid a fairly

low daily wage (no matter how long they work, which may

be up to 12 hours or more) and are provided meals and accommodation.

Many of the programs are operated by a

project manager who reports to Parker.

Parker sometimes acts as a project manager, as he did

on a job that involved staking 15 claims near Eagle Lake,

Alaska. He selected John Talbot, Greg Boyce, and Brian

Millar, all of whom had previously worked with Parker, as

the field assistants. To stake a claim, the project team

marks a line with flagging tape and blazes along the perimeter

of the claim, cutting a claim post every 500 yards

(called a "length"). The 15 claims would require almost

60 miles of line in total. Parker had budgeted seven days

(plus mobilization and demobilization) to complete the

job. This meant that each of the four stakers (Parker, Talbot,

Boyce, and Millar) would have to complete little

over seven "lengths" each day. The following is a chronology

of the project.

DAY 1

The Arctic Mining Consultants crew assembled in the

morning and drove to Eagle Lake, from where they were

flown by helicopter to the claim site. On arrival, they set

up tents at the edge of the area to be staked, and agreed on

a schedule for cooking duties. After supper, they pulled out

the maps and discussed the jobhow long it would take,

the order in which the areas were to be staked, possible

helicopter landing spots, and areas that might be more

difficult

to stake.

Parker pointed out that with only a week to complete

the job, everyone would have to average seven and a half

lengths per day. "I know that is a lot," he said, "but you've

all staked claims before and I'm confident that each of you

is capable of it. And it's only for a week. If we get the job

done in time, there's a $300 bonus for each man." Two

hours later, Parker and his crew members had developed

what seemed to be a workable plan.

DAY 2

Millar completed six lengths, Boyce six lengths, Talbot

eight, and Parker eight. Parker was not pleased with Millar's

or Boyce's production. However, he didn't make an

issue of it, thinking that they would develop their "rhythm"

quickly.

DAY 3

Millar completed five and a half lengths, Boyce four, and

Talbot seven. Parker, who was nearly twice as old as the

other three, completed eight lengths. He also had enough

time remaining to walk over and check the quality of stakes

that Millar and Boyce had completed, then walk back to his

own area for helicopter pickup back to the tent site.

That night Parker exploded with anger. "I thought I told

you that I wanted seven and a half lengths a day!" he

shouted at Boyce and Millar. Boyce said that he was slowed

down by unusually thick underbrush in his assigned area.

Millar said that he had done his best and would try to pick

up the pace. Parker did not mention that he had inspected

their work. He explained that as far as he was concerned,

the field assistants were supposed to finish their assigned

area for the day, no matter what.

Talbot, who was sharing a tent with Parker, talked to

him later. "I think that you're being a bit hard on them, you

know. I know that it has been more by luck than anything

else that I've been able to do quota. Yesterday I only

had five lengths done after the first seven hours and there

was only an hour before I was supposed to be picked up.

Then I hit a patch of really open bush, and was able to do

three lengths in 70 minutes. Why don't I take Millar's area

tomorrow and he can have mine? Maybe that will help."

"Conditions are the same in all of the areas," replied Parker,

rejecting Talbot's suggestion. "Millar just has to try harder."

DAY 4

Millar did seven lengths and Boyce completed six and a

half. When they reported their production that evening,

Parker grunted uncommunicatively. Parker and Talbot did

eight lengths each.

DAY 5

Millar completed six lengths, Boyce six, Talbot seven and

a half, and Parker eight. Once again Parker blew up, but he

concentrated his diatribe on Millar. "Why don't you do

what you say you are going to do? You know that you have

to do seven and a half lengths a day. We went over that

when we first got here, so why don't you do it? If you

aren't willing to do the job then you never should have

taken it in the first place!"

Millar replied by saying that he was doing his best, that

he hadn't even stopped for lunch, and that he didn't know

how he could possibly do any better. Parker launched into

him again: "You have got to work harder! If you put

enough effort into it, you will get the area done!"

Later Millar commented to Boyce, "I hate getting dumped

on all the time! I'd quit if it didn't mean that I'd have to walk

50 miles to the highway. And besides, I need the bonus

money. Why doesn't he pick on you? You don't get any more

done than me; in fact, you usually get less. Maybe if you did

a bit more he wouldn't be so bothered about me."

"I only work as hard as I have to," Boyce replied.

DAY 6

Millar raced through breakfast, was the first one to be

dropped off by the helicopter, and arranged to be the

last one picked up. That evening the production figures

were Millar eight and a quarter lengths, Boyce seven,

and Talbot and Parker eight each. Parker remained silent

when the field assistants reported their performance

for the day.

DAY 7

Millar was again the first out and last in. That night, he collapsed

in an exhausted heap at the table, too tired to eat.

After a few moments, he announced in an abject tone, "Six

lengths. I worked like a dog all day and I only got a lousy

six lengths!" Boyce completed five lengths, Talbot seven,

and Parker seven and a quarter.

Parker was furious. "That means we have to do a total

of 34 lengths tomorrow if we are to finish this job on

time!" With his eyes directed at Millar, he added: "Why is

it that you never finish the job? Don't you realize that you

are part of a team, and that you are letting the rest of the

team down? I've been checking your lines and you're doing

too much blazing and wasting too much time making

picture-perfect claim posts! If you worked smarter, you'd

get a lot more done!"

DAY 8

Parker cooked breakfast in the dark. The helicopter dropoffs

began as soon as morning light appeared on the horizon.

Parker instructed each assistant to complete eight

lengths and, if they finished early, to help the others. Parker

said that he would finish the other 10 lengths. Helicopter

pickups were arranged for one hour before dark.

By noon, after working as hard as he could, Millar had

only completed three lengths. "Why bother," he thought to

himself, "I'll never be able to do another five lengths before

the helicopter comes, and I'll catch the same amount

of abuse from Parker for doing six lengths as for seven and

a half." So he sat down and had lunch and a rest. "Boyce

won't finish his eight lengths either, so even if I did finish

mine, I still wouldn't get the bonus. At least I'll get one

more day's pay this way."

That night, Parker was livid when Millar reported that

he had completed five and a half lengths. Parker had done

ten and a quarter length, and Talbot had completed eight.

Boyce proudly announced that he finished seven and a half

lengths, but sheepishly added that Talbot had helped him

with some of it. All that remained were the two and a half

lengths that Millar had not completed.

The job was finished the next morning and the crew demobilized.

Millar has never worked for Arctic Mining

Consultants again, despite being offered work several

times by Parker. Boyce sometimes does staking for Arctic,

and Talbot works full time with the company.