TUTORAL WEEK 5 THE WAY WE DO THINGS AROUND HERE CASE STUDY Values, Attitudes & Behaviours Required Reading:

The Way We Do Things Round Here Case (available in this reading pack). Hofstede, G. (1980, Summer). Motivation, leadership and organization: Do American theories apply abroad? Organizational Dynamics, 9(1), 42-63 (available in this reading pack) Textbook Chapter, Week 4: Values, Attitudes and Work Behaviour.

Purpose of tutorial: Discuss and examine The way we do things around here case study. The case considers issues of values, ethics and culture. Apply theories/concepts to identify and analyse the issues/problems in the case study. Generate recommendations to solve issues/problems in the case study Reinforce and clarify material presented in the lectures. Team work log and reflection. Pre-tutorial preparation: Read the case The way we do things around here (in the Tutorial Reading Pack & Work Book on LMS). Work through the questions below and complete the section titled Individual Response in the table (the group response will be completed during the tutorial time). Be prepared to discuss/debate these issues in your assignment teams and with all members of the tutorial. Q1 (a): What value differences characterise the Exhibit A and Exhibit B companies? Where might these differences come from? How might these value differences influence the operation of the newly merged company? Individual Response Group Response

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Q2: Eric and Robert differ on the importance of keeping the new staff happy. Who is right? Is it important to keep the employees happy and satisfied? Individual Response Group Response

Q3: What issues should Eric first discuss with the Melbourne staff? With Perth staff? What might be the implications of giving key management positions to the Perth staff? Individual Response Group Response

Q4: Provide a set of recommendations to Eric on how he can go about changing the attitudes of employees toward the members of the other previous company and toward the newly merged company? Individual Response Group Response

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MGMT20001 ORGANISATIONAL BEHAVIOUR THE WAY WE DO THINGS ROUND HERE CASE Used with permission of the author. Not to be used for other subjects. THE WAY WE DO THINGS AROUND HERE Eric is a Co-owner and Director of one of the largest exhibition companies in Melbourne. His company, Exhibit A has been in operation since 1965 and has 36 full-time staff. They specialise in the delivery of large international medical exhibitions with up to 5000 delegates. Their clients are high-end medical professionals, with international renown. In order to satisfy these clients all employees at Exhibit A must be well-groomed and polished, have tertiary qualifications and have a strong service ethic. Eric encourages all employees to use their experiences to better direct clients to desired outcomes, whilst always focusing on yield management. That is, how to manage the client profitably. Eric has come to realise that the clients of Exhibit A, while demanding, will pay for quality. Eric's Co-owner has decided to sell his share of the business. Unable to raise the necessary finances on his own Eric has decided to approach other owners of exhibition companies in the other states of Australia. His preferred new partner operates in Canberra, however he is nearing retirement and not looking to invest further at this stage. Robert, who owns and directs a Perth-based exhibition company called Exhibit B has expressed a keen desire to join with Eric. Robert is well aware through industry colleagues on the high profit margins at the Melbourne company. Robert's Perth operation has 25 staff who mainly manage mining sector exhibitions. These clients may be considered somewhat rough around the edges, but have good intentions. Most clients in the mining sector receive government funds and so are conscious of the limited budgets they have to work with. Some of these clients have attempted to save money by working on building the exhibition booths themselves! As a result, the profits at Exhibit B are not anywhere near what Exhibit A achieves. Whilst Eric would rather merge with a company with the same client base as his, Robert is the only person willing to pay the asking price of Eric's business partner. In the January of 2005 Eric and Robert formally sign a partnership agreement that merges the two companies. They decide on a new name for the merged company, Exhibit C, which builds on their current profile and reputation in the industry. There is some anxiety among staff about what the changes to their work will be as a result of the merger. Melbourne staff have heard that Robert is an authoritarian manager and sexist in his approach to his staff. He has been known to ask about marital status and age and de-facto living conditions in the interviewing process in Perth. The Melbourne staff need assurances from Eric that they will not be treated in the manner they have heard the Perth staff accept. The Perth staff have heard that the Melbourne staff are on considerably higher wages than them. They feel that Melbourne staff, who have the opportunity of working with medical professionals, get more benefits as a result of the higher profitability of that industry sector. They want Robert to assure them that they will have the benefit of the same rewards for equal effort. Moreover, some key staff in Perth want management positions which will give them the same status as some of their Melbourne colleagues. Eric and Robert decide to hold a company conference to assess and better integrate the two cultures. They are aware that there has been some friction between key members of staff, and want to resolve any

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issues before productivity starts to drop, and staff turnover increases. They have already lost a senior Exhibition Manager as a result of the merger. She cited the uncertainty in his role in the new company as a main reason for leaving.

Between them, Eric and Robert have also worked on a new organisational chart. They plan to reveal this at the company conference. In it, many management positions have gone to Perth staff. The first event at the company conference is a cocktail party. Eric has devised that this is the best way for people to interact, socially and freely. He has asked that people introduce themselves to one another, and that those people working in similar positions make an effort to get to know one other. Toward the end of the evening Eric observes that after an initial period of meeting one another the room has been informally split into two- the Melbourne office and the Perth office. It is then he realises that this culture merge may be more difficult than he imagined. Robert differs in his opinion. He argues that those who don't like it can leave, and unless everyone 'toes the party line' then they might be better looking for a new job. Eric has difficulty with this approach- he wants to keep his staff happy. Eric decides to consult the staff of both offices to gain their input into the merger. He starts by announcing that tomorrow will be the first day of 'Project Togetherness'. From Compendium of Games for Organisational Behaviour by Emma Bowyer @ Pearson Education Australia p. 54-55, 2005.

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