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Case 3

Are promises just meant to be broken?


1)For this question only, assume that Sameer has decided to leave BABA,
and that his decision is well known among the other employees (in other
words, other employees are talking about it). Give 3 recommendations for
what BABA should do next to ensure employees job satisfaction doesnt
decrease as a result of Sameers decision. Your answer must be based on
OB theories/concepts, and include at least 1 academic reference to support
your recommendations.

2)Create a four corners analysis of this case: return to BABA, or take the job
at CloudSkim. You must provide 7 arguments in each quadrant. The
arguments can be in bullet form.Your answers would look something like this:

Return to BABA Take Job at Cloudskim


Deontological 7 Arguments 7 Arguments
Arguments
Utilitarian Arguments 7 Arguments 7 Arguments

3)You are Sameer. Would you return to BABA or take the CloudSkim offer?
Why?

998034461; 961622110; 950275711; 963773354


MGMT 326
Section 02
12/13/17

Case 3: Are promises just meant to be broken?

Question 1: There is one truth that BABA have to admit. The truth is that a
company cannot prevent its employees from leaving by only setting up legal
obligations that force employees to work for the company (like the contract
BABA signed with Sameer). If an employee chooses to leave, and he/she has
already proved his value through past achievements or the certificates
acquired through various trainings, there are always companies who are
willing to pay the monetary penalties for the leaving employees.

As a developing company, BABA cannot offer the same level of wage and
bonus as CloudSkim could offer. But at the same time, like Sameer mentioned
in the email he sent to Ioana that The landscape is getting more competitive
and complex. Surely the company could benefit from a more contemporary
perspective, as a traditional manufacturing company, BABA needs young
talents with guiding visions to keep being competitive in the rapid changing
market today. Hence, BABA has to think deeply into what the company can
do to keep its employees involved, besides using monetary reward and
punishment. Money, a nice office and job security can help people from
becoming less motivated, but they usually don't help employees to become
more motivated. A key goal is to understand the motivations of each of your
employees.

Our group has came up with three recommendations that have the potential to
help BABA to maintain its employees job satisfaction, as well as to get talents
more involved.

The first recommendation is to offer various training programs based on


both the employees need and the companys need. Like we mentioned
above, the landscape is getting more competitive and complex. BABA needs
leaders with special expertise such as marketing, management, supply chain,
etc. Only knowing how to get products manufactured on time is not enough.
Diverse talents are required, hence the various trainings are indispensable.
Not only the company has the needs, employees also have the needs to
further develop themselves, like the MBA program Sameer wants to attend.
Offering various training programs to employees with outstanding
performances will not only satisfy BABAs needs of contemporary talents, at
the same time, it will boost employees job satisfaction and loyalty by showing
that working at BABA, they will have chances to develop themselves based on
their personal needs and companys needs in order to pursuing higher
achievements(wages, positions, etc). BABA cannot lose its trust to
employees because of the precedent of Sameer.
The second recommendation is to motivated employees through fairness.
The conventional wisdom is that workers respond to monetary incentives
Pay them more and they will work harder. However, a large and growing
body of empirical evidence from laboratory and field experiments, surveys,
and observational data, as well as neuroeconomic research, suggests that
workers perceptions of fairness and trust are also key drivers of their work
effort. Treating employees with respect is not only ethically warranted, it can
create positive economic outcomes for both the worker and the firm (Armin
Falk, 2014). The ultimatum game research we discussed in class also shows
the importance of fairness in a teamwork setting. For BABA, it can enhance its
reputation on fairness by boosting the transparency of company procedures.
Examples will be offering explicit policies and standards on promotion and
bonus, and offering 360 degree evaluation system. Also to align with our first
recommendation, transparent evaluation process should be ensured when
BABA is selecting candidate for trainings.

The last recommendation is to motivate employees through empowerment.


This could also solve the problem that employees are more likely to leave the
company after the training. Empowering employees will get employees more
involved as an entirety. Satisfying employees needs of power on everyday
decisions can not only increase the job satisfactions, it can also create a
sense of belonging to employees, to make employees start to recognize
themselves as indispensable parts of BABA. In that way employees will more
like to utilize the expertise acquired through the trainings for a purpose of
further developing BABA, a place they belong.

Citations:
Falk, A. (n.d.). Fairness and motivation (Publication). Retrieved Nov. & dec.,
2017, from https://wol.iza.org/

Helping People to Motivate Themselves and Others. (n.d.). Retrieved


November 12, 2017, from
https://managementhelp.org/leadingpeople/motivating-others.htm
Swerdlow, J. M. (n.d.). What's My Motivation? It May Not Be Yours. Retrieved
November 12, 2017, from
http://www.personalityresearch.org/papers/rabideau.html

Question 2:

Return to Baba (Abena) Return to Cloudskim


Deontological A mans word is his honor, Sameer should take
so Sameer owes it to the job at Cloudskim
Arguments himself to return because because it his duty to
he gave his word to BABA help out the
that he would return. headhunter which
Sameer must remain helps her keep her job.
integral and ethical, and It is Sameers duty to
can only do so by accept the contract
returning. given to him from
Sameer must return, for it Cloudskim.
is his duty to appreciate Sameer should take
the company that believed the job at Cloudskim
in him. For if the BABA because it is his duty
hadnt given him that to help the startup take
opportunity, he would not off and to also please
even have this other job the investors by
offer. accepting the job since
It is Sameers duty to use he is the most
his recently acquired appropriate candidate
knowledge to add value to for the position.
BABA. This was an Sameer should accept
exchange, he gets the the job because it is
money and in return, his duty to himself to
BABA gets more value. place himself in the
Sameer has an obligation most successful
to return to BABA to be a position he can be.
morally just person. He should also accept
Returning would be a the job because it is
testimony of his character, his duty to his family to
and he owes it to himself take care of them and
to show who he is. he will be in a better
Everyone will forever position to do so at
remember the one Cloudskim.
employee who came back. Sameer should accept
Sameer must return to the job at Cloudskim to
BABA, because it is provide more prestige
merely the right thing to to his MBA school
do. through recognition of
achievement.
It is Sameers duty to
explain to his friend the
potential of obtaining
an MBA by accepting
the new job with higher
pay, benefits etc.

Utilitarian Arguments Sameer must return so One of the main


everyone else who wanted concerns dealing with
to take the chance that he Utilitarian style of
got, can as well. This ethics is that there is
course will benefit the no moral
greatest amount of people. consequences of
Sameer will be able to add action one takes but
more value to BABA. As a rather the overall good
result, everyone who should drive decision
works at BABA will benefit making. Therefore the
from it. first primary argument
Returning would mean that for Sameer to go to
Anil Baba, the owner of Cloudskim is to please
BABA, will be more satisfaction of
trusting and enthusiastic individual desire by
about the future of the accepting a job with a
company. A happy leader salary double that of
equals happy employees. BABA.
Returning would mean that Accept the job to
Anil Baba will be more increase the intrinsic
willing to pay for even value of the employees
more employees to at Cloudskim by
broaden their education, providing skills learned
return,and help improve from degree, which
BABA even more than it provides an nonmoral
currently is. good outcome of
Sameer must return, expanding knowledge
because the families and of the firm.
loved ones of other Work for Cloudskim to
employees who would have all of the nice
otherwise be denied of the office perks such as
opportunity go get higher the stylish office,
education will suffer as tennis courts, gourmet
well. These employees will lunches, live jazz
not get the money to get music. This flows in
an MBA, their pay will not line with pleasure and
increase, and will not be happiness, outcomes
able to add as much value we as an individual
as the potentially can. wish to achieve
Families will have to through utilitarian
endure this if Sameer does ethics.
not return. Accept the job at
Sameer returning will Cloudskim due to the
boost the morale of the immense Venture
other employees. Knowing Capital Backing, this
that one has more predicts long term
possibilities and growth of the firm and
opportunities tends to can be very
encourage and boost prosperous for
morale. Sameers career.
If Sameer returns, Silicon Valley is a very
effectiveness will increase fast paced, high
amongst the people. growth region with
People tend to work better other individuals with
when they know they have equal if not even more
choices. Sameer returning competitive
will bring trust to the backgrounds like
company and good vibes. Sameer. Being in the
All this will work together region opens even
to improve the more opportunities that
effectiveness level at allow Sameer to have
BABA. A trusting and stronger personal
happy environment is one wellness.
where people thrive. Cloudskim offered to
also pay the cost of
tuition, therefore this
would bring no cost to
Sameer to accept the
job and still be in a
debt free scenario.
The act of accepting a
the job offered by a
headhunter does not
reflect on Sameer as a
negative position, but
rather only provides a
more prosperous
future to come. Along
with this headhunters
approach individuals
deemed to be a perfect
fit in a firm, therefore
the likelihood of
Sameer to fit into the
culture and dynamic of
Cloudskim is very high
and he should follow
through with the offer.

Question 3:
Leaving a job is never easy. As you can see there are numerous reasons
to stay and numerous reasons to leave. If we were Sameer, we would take the
job at Cloudskim. We would be extremely thankful to Baba for everything they did
for us but when it comes down to it, Cloudskim is offering more for the same
amount of work. Cloudskims offer would double Sameers salary and has the
added benefit of paying for his education. The most important point that was
stated above in terms of company is that Cloudskim has immense Venture
Capital backing. This means the company's long term survival is very likely. THe
new company is providing for Sameers family by offering him double the amount
of money he was current earning at BABA. There is always a time for an
employee to move on and being thankful to the previous company for giving
Sameer his start is pivotal. Especially since Sameers work got him recognized in
Silicon Valley by a headhunter. Making the move to Cloudskim is clearly the next
step for Sameer to further his career. Even if he doesnt take it, he should take
pride in the fact that his work at Baba allowed him to be recognized and
ultimately approached. Sameer needs to think about what is best for him. Baba
will not fail without him and will be able to find somebody to take his place.
Whether they will be successful without him is a key question, but it is not
Sameers responsibility to worry about if the company struggles without him.
Employee turnover is a key part of every business and companies have to plan
for it. Sameers decision should take into account the timingof the work he is
doing and a plan to transition out seamlessly, not leave work unfinished.
Ultimately, needs to think about himself and what is better for him in the long run.
That is why it is best for him to take the job with Cloudskim. The promise he
made was formed so that the company would not be hurt by him leaving.
Cloudskim is offering to pay off the loans that were initially agreed upon by the
current company that Sameer is working for. We believe if that he has a sit down
with Anil about the scenario that it will work out so that others will be able to reap
the benefits.

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