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Performance Management

Dr.Reham Adel

Case Study Report 2

The Coach who got poached


15/8/2015
Nada Samir Abbass Omar
MBA 2nd year 1st semester
2014 2016

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Business Details:
Company Name: Compunext
Industry: Electronic Components
Company $ Worth: 2.5 Billion

Divisions and Individuals involved in the case:

Divisions: a) Industrial Product Division


b) Telecommunication Division
c) Human Resource Division
d) Medical Devices Division
Characters: a) Jared VP of Industrial Product Division
b) Hank VP of Telecommunication Division
c) Sue VP of Human Resource Division
d) Mike VP of Medical Devices Division ( No Actual Mentioned role in case)
e) Stan ex-employee of Industrial Product Division and current of
Telecommunication Division
f) Joe employee of Telecommunication Division

Industrial Product Division general information:


- focused on components used in machinery and in process controls for major manufacturing
firms .
- Companies smallest Division.

Telecommunication Division General Information:


- focused on Telecommunication services
- accounted for more than one third of company's sales
- most profitable and fast growing division

Industrial Product division before Jared was hired:

- Income had been declining and ROE had been of 3% to 5% range.


- Turnover rate was high because of bad state of division.

Industrial product division current Conditions:


- Losing perfect employee as being headhunted internally by Telecommunication division.
- 1o employees left the division of 7 left for other divisions inside company in the past 4 years.

The Meeting of Jared and Stan:


- Stan surprised Jared with a short notice for leaving his division for another internal
department of telecommunication that offered him a better offer from his own point of view
nearly a close title as he was Sales Vice President and was offered Marketing and sales Vice
President.
- Jared was surprised from the new brought by Stan, it came clear that there was a problem that
there is no notice period an employee should give to the department before leaving even if
there is a internal recruitment offer and upon it no time to replace the employee or even to try
to retain him , Jared was very calm and maintained his tamper in front of Stan which was a good
behavior from a coach showing an act of real supportive leadership style.
- Jared focused on not showing upsetness and anger and tried to maintain his image as coach in
front of the employee and forgot to focus on asking him about what are the actual reasons for
moving to another department and what is about for moving their or what if it was there in his
department would make him stay.
- Stan was very appreciative when talking to Jared as he had coached him and showed him a
real way through success and it was very clear that Jared maintained a very good relationship

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Jared Contributions for the Department in the past 4 years:


1) Conducted a customer and competitor analyses that allowed his team to pare division's
products by half and retain only the most profitable items.
2) Consulted a firm to help him with the analysis phase.
3) Rearranged the operations of the division's six plants which reduced cost while increased
productivity.
4) Approved a 12.5$million investments in new technologies to enhance product quality.
5) Encouraged people at all levels to contribute ideas, and shared credit
6) Used very opportunity to publicize the division's success both internally and externally
7) Set Rewarding ceremony to recognize hid employee's outstanding efforts
8) Made sure that his employee's accomplishment were acknowledged in companywide
newsletters
9) It became well known to other Division managers that he is a terrific manager and his ability
to identify talents
10) Other managers see his division as prime riding ground for talents
11) Employees in his division were given responsibility challenges and are not micromanaged.
12) It became well spread out in the industry nor only his company that he coaches, and
perfection his employee's performance.
- Needed to focus more on personality needs of this team, and actually focusing on their
further career needs and ambitions but either analyzing and observing their characters,
performance, and work moods or by setting regular meeting with them to discuss what they
are looking forward from the Division rather than focusing only on performance and
performance recognition and appreciation.

Jared Meeting with Hank about headhunting from his department:

- Jared conversation with Hank was tampered as he approached hank and as hank started to
layoff the conversation with small jokes, Jared became more not convened with what was
saying until hank stroke him with the news that one of his employees Joe reported to him that
Stan was offered an external offer from competitor
- On viewing Hanks attitude its clear that headhunting from other divisions is a problem that
was not discussed and there were no attempts to fix or control this phenomena in the sake of
divisions as it was clearly mentioned between them that it had happened before that hank
headhunted from Jared's department however the only problem was that Jared was on vacation
and upon it he was not communicated.
- It's clear that Jared was suppose to take a clear action as the first time this had happened
from Hank or any other department Heads, and he needed to be more clear to his employee to
discover this early but building a specific bond of loyalty between his employees and getting
more closer to them to analyses what that are actually looking for in a department rather that
only depending on giving credit and recognitions as by time employees consider it as a must to
be done not as appreciation method, or may be observe their behavioral changes which alters
that they are not comfortable because of specific condition or is looking forward for more in a
specific ambition.
- There is another problem that as hank knew from an internal that there is an employee about
to leave the company for a competitor and he used the information in-favor of his department
not in the favor of the whole company.

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Jared Meeting with Sue regarding the resignation problem:


Sue
Actions and supposed
reactions
and actions:
In Conclusion
what does
this company
need

to resolve the problem?

- HR Division Head agreed to move Stan from PI division to TC division without even informing
- As Jared said '' co. does not have other managers who can identify and develop talents, maybe
Jared about his transfer.
that's something HR should be addressing directly''. it was clear from the conversation that
developing talents plans are based on the division managers and the HR department doesnt
-not
Shehave
knewany
that
Stan or
was
headhunted
from
competitor
company
and didtonot
report
it todevelop
Jared.
plans
programs
to do
so, aits
all on division
managers
train
or/and
the employees they wish and also there is a problem of identifying talents and setting talent
for the organization
level
divisionINCENTIVES''
level. whichasgives
clue
performance
-pools
sue opposed
Jared's idea to
use and
'' STAY-PUT
thereawill
be that
a start
of salary
management
systemdepartments
is missing theon
'' development
plan'' step.
bidding
war against
talented employees,
and that some good employees are
not in it for money as they look for intangibles too. And that PI division is one of the smallest
which
might
cause losing
more employees
the raising
benefits
debit is notby
fair
- setting
a gentlemen
agreement
between are
Division
Managers
and supervised
HRbetween
division
divisions.
managers that there would be terms and measures for internal recruitments from other
divisions that may be there should be an agreement from the manger before head hunting
orto
may
be replacing
with another,
or may
be there
must
be athat
notice
-employee
suggested
develop
a policyemployee
limiting internal
transfers
which
she still
thinks
its period
not a
before
employee
leaves
a
department
for
another.
good idea as might be opposing the interest of both the division and the employees. Also
suggested to help division managers with recruitments as in prior meeting it was clear from the
attitudinal
reply of the
managers
they think they
do notthe
need
the HR
to interfere
in their
- Regular meetings
and
regular that
communications
between
division
manager
for focusing
selection
and
HR
Manager
didnt
argue
for
the
rights
of
the
HR
to
interfere
with
lease
of
more on the organization goal and how divisions would cooperate to accomplish it instead that
checking
if
the
candidate
fits
the
organization
behavior
and
values,
trying
to
introduce
the
everyone cares only about his division and doesnt matter for him the other divisions.
issues now might face the same resistance like pervious.
- They could set a '' job rotation program'' between divisions to allow employees to explore
-more
''Onlychallenges
your division
devices
the divisions,
same problem''.
an
andand
yetmedical
keep their
owndivision
jobs inhas
their
which Here
wouldthere
add is
more
alarm
that there
is a lack of communication between division managers and HR manager, and
motivation
and challenges.
there is an alarm that HR manager has already spotted the problem but actually took no actions
until Jared one of the division manager's came to complain about it.
- If possible merge more than one or two small divisions into a bigger one, to give a wider
opportunity for organization hierarchy and level ladder for promotions, while integrating
different challenges for employees by diversifying the business process of the bigger division.
- the HR department needs to get more involved into the hiring and selection process by
setting standards
for the hiring's and putting rules and processes for the recruitment
processes, it also needs to report and dig more into what is actually going on with employees
and identify talents and try to retain them , while also maintaining a good communication
Jared
Actions
supposed
reactions
and
actions:
channel
with and
division
managers
to alert
them
with what is going on with their employees if they
knew anything.
- Seeked help of the HR division manager when he realized that the problem might be bigger
than
of his talented
people
are leaving
for better
offers either
internally
externally.
- thejust
HRsome
department
needs to
dig deeper
to find
the problem
of why
people or
seek
internal
however
he requested
to meet
HR managerappreciated
privately in and
a outings,
I guess
it would challenging
have been
recruitments
while being
acknowledged,
there is
a continuous
better
to have
the meeting
in is
the
office
as reporting
an actually
problem
officially.
tasks being
given
and there
one
of the
best managers
in charge
of the
department, need to
figure out the problem and trying to find solutions along with division manager.
- he is opposing the policy of banning people from going from a division to another which was
found
in his previous
job,
as he
hat this
not in
the favor
oftry
either
the company
nor the
- HR division
manager
needs
torealize
stand more
herishere
thoughts
and
to convenes
managers
of
employee.
her ideas, methods of improvements not just staying silent or backing back in meetings.
- he suggested that he should starting offering '' Stay Put Incentives'' which he thinks might
slow down their interest of leaving the company, however he didnt search for the capabilities
of the other divisions and as his division is one of the smallest he might be harmed more than
gaining benefits.
- Took the intention the year before and tried to solve the problem through making jobs more
attractive by offering intangibles like job customization, and project tailoring which had kept
people motivated, challenged and developed more skills but that actually endangered there
survival in the company as it subjected them to headhunting from other divisions as they
became stars.

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