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Case Study On The Patterson Operation

Group Name : The Invincible

No. Name 01. Simon Haque Captain 02. Rubel Rana 03. Tanzia Afroz 04. Munia Anwar 05. Mamdud Hasan Mostafi Id No. 1018 1012 1050 1006 1033 (17th)

Company Profile

Name : Carrington Laboratories Inc. Chairman : George DeMott. President & CEO : Dr. Carlton E. Turner. VP & CFO : Robert W. Schnitzius Office : 2001 Walnut Hill Lane, Irving, Texas 75038. Telephone : (972) 518-1300. Website :www.carringtonlabs.com.

Company Strategy
The strategy is to continue to grow as a research-based biopharmaceutical company focused on offering quality products to customers and potential partners. Key aspects of the strategy are to: 1. Increase revenues by offering innovative new products, growing existing product lines and continuing to offer exceptional customer service; 2. increase profitability by continuing to improve operational efficiency, working capital management and modernization of equipment; 3. enlarge and diversify customer base to reduce dependence on a limited number of significant customers;

4. develop and market the proprietary GelSite polymer technology for delivery of vaccines and therapeutics; 5. enter into strategic partnerships and collaboration arrangements related to the GelSite technology; and 6. continue to develop the knowledge of polymers and their relationship to vaccines and bioactive protein and peptide therapeutics.

Problems of the study

1. Has the Patterson operation been successful? To the degree that it can be judged a success, what factors have contributed to it? 2. Identify the leadership styles of Fred Hammond and May Allison. Apply several of the leadership models to the case, such as Fiedlers contingency model and the Hersey-Blanchard situational model. 3. Comment on the informal organization at Patterson. In what ways did the employees create their own company? 4. Review Herzbergs two-factor model. Why didnt the change in physical working conditions (a deterioration of a hygiene factor) have a negative effect on productivity? What did cause the workers to be productive?

Solutions From The Study

Question-1: Has the Patterson operation been successful? To the degree that it can be judged a success, what factors have contributed to it?

From the study, we have learnt that due to low productivity, low employee morale and high unit costs, the Section 10 was turned to The Patterson Operation.

But though the building house of the Patterson Operation was an old brick structure, dark, poorly ventilated, not air-conditioned, inadequately heated without cafeteria, rest rooms, but it was able to bring out some positive output.

The Patterson operation was succeed due to following factors:

q q q q q

New Assembly line Democracy Entertainment Indefinite uniform Unionization etc.

Question-2: Identify the leadership styles of Fred Hammond and May Allison. Apply several of the leadership models to the case, such as Fiedlers contingency model and the Hersey-Blenchard situational model.

Leadership is the process of influencing others to achieve organizational goals. An effective leader inspires people to direct their efforts toward goal accomplishment. Again, the leadership style is the way by which the leader influences followers. We can classify the leadership style in following way:

Leadership style

Power based leadership Autocratic

Motivation based leadership

Applicable leadership

Positive

Job oriented

Democratic Negative Employee oriented

Free-rein

Leadership style of Fred Hammond:

According to the power based leadership style, Fred Hammond followed the Democratic leadership where the leaders take decisions by consulting with the followers and the advices of the followers are considered with great importance.

According to motivation based leadership style, Fred followed the Positive Leadership where leaders directs the employees with creating encourage and interest. Fred allowed Radio in the workplace, there was no definite uniform and bindings to wear jewelries.

According to the applicable leadership style, Fred followed the Employee-oriented leadership where the psychological side of the employees are preferred and leader always tries to solve the employees problem with sympathy.

Leadership style of May Allison:

According to the power based leadership style, May Allison followed the Free-rein leadership where the leaders give the full freedom to the employees. What to do, how to do the tasks are depend on the employees. May has continued to get the employees to participate in decision making as, for example, the decision to change work hours at Patterson during the summer months from 5.30 am to 2.00 pm rather than 7.30 to 4.00 pm in the other plant areas

According to motivation based leadership style, May followed the Positive Leadership where leaders directs the employees with creating encourage and interest. According to the applicable leadership style, May followed the Employee-oriented leadership where the psychological side of the employees are preferred and leader always tries to solve the employees problem with sympathy.

Application of Fiedlers Contingency Model to the case

Review of the Model

The Fiedler Contingency Model was created in the mid1960s by Fred Fiedler, a scientist who helped advance the study of personality and characteristics of leaders. The model states that there is no one best style of leadership. Instead, a leader's effectiveness is based on the situation. This is the result of two factors "leadership style" and "situational favorableness" (later called "situational control").

Applying the Fiedler Contingency Model

Step 1: Identify the leadership style. Step 2: Identify the situation. Step 3: Determine the most effective leadership style.

Application of Hersey-Blanchard situational model

Review of the ModelPaul Hersey & This theory conceived by

Ken Blanchard. The Theory was first introduced as "Life Cycle Theory of Leadership". During the mid 1970's "Life Cycle Theory of Leadership" was renamed "Situational

Leadership theory".

There are 2 fundamental concepts: Leadership style & Maturity level.

Low

Maturity Level 3 Participating works best (High skill/Low will)

Relationship behavior
Maturity Level 4 Delegating works best (High skill/High will) High

Maturity Level 2 Selling works best

(Low skill/low Will)

Maturity level 1 Telling works best

( Low skill/high will)

High Low

Task/skill level Behavior

From the study, we may say that The Patterson Operation has already faced S2 (selling) and S-3 (Participating) by Fred Hammond. It also faced S-4 (Delegating) by May Allison.

Question-3: Comment on the informal organization at Patterson. In what ways did the employees create their own company?

We think, the Patterson operation exceeded its limit in case of informalization. It was more informal that It needed.

Playing of radios in production areas at high volume may hamper the concentration of the employees. There was no definite uniform so that the security might be at risk. The behavior of employees at Patterson represents poor discipline. They hardly follow the rules of the management. Sometimes they made decisions by themselves and acted independently, without reference to overall company personnel policy.

But these deficiencies were overlooked by low grievance rate, high level of worker morale, better productivity and effective direction. Otherwise it might turn to the worse situation than Section 10.

Employees own company

After getting the facilities from the authority the employees made The Patterson House as their own company in following ways:
q

The employees were attempting to get the company to furnish some paint so that they could repaint the room. In order to have some place to eat or to take a break the employees got together and furnished a small room with enough tables and chairs to modestly equip a rather austere dining and rest break area. A feeling of mutual cooperation became prevalent as evidenced by the willingness of individual workers to assist others when possible.

An esprit de corps developed among the Patterson workers. The jobs at Patterson became more popular and the composition of the work force there gradually changed from one of inexperienced and dissatisfied workers to one in which older and better qualified people (black and white) began to actively bid for the jobs. Another interesting development at Patterson is the formation of their own softball team called the Patterson Warriors which was composed of players of all units instead of one unit. With these and other changes a shift in worker attitudes began to evolve. Employees came to view Patterson as their own company

Question-4: Review Herzbergs two-factor model. Why didnt the change in physical working conditions (a deterioration of a hygiene factor) have a negative effect on productivity? What did cause the workers to be productive?

Review of Herzbergs Two-Factor Model

The two-factor theory (also known as Herzberg's motivation-hygiene theory) states that there are certain factors in the workplace that cause job satisfaction, while a separate set of factors cause dissatisfaction. It was developed by Frederick Herzberg, a psychologist, who theorized that job satisfaction and job dissatisfaction act independently of each other.

We know that
Motivators
Hygiene factors

Satisfaction satisfaction

No

Dissatisfaction No dissatisfaction

The change in physical working conditions didnt have a negative effective on productivity because the employees got the following advantages or motivators:

Getting bonuses Opportunities of personal growth. Recognition Responsibility Achievement Independency. Cooperation.

We know if hygiene factors are absent then dissatisfaction will be raise, if present there will be no dissatisfaction. Again for the mentioned motivated factors the workers became productive too.

Thank you All For your Kind Attention

Any Question ???

Goodbye