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Principles and Practice of Management
Case Studies
Case (20 Marks)
In the past two years Horton Manufacturing Company had expanded very
rapidly. It was producing a unique electronic device, and sales were
excellent. Becauseof thisexpansionmanyadditionalemployeeswere added
in most areas of the company’s operations. This increased staff required
more firstlevel supervisors, and these people were largely promoted from
the existing work force. In most instances the supervisors were chosen
because they were efficient and dependable workers who knew their jobs
well. The rapid growth of the company caused much overtime work, and
many employees became used to the extra income this provided. Horton
was a nonunion company and had a very good labour relations record.
When employees were promoted to supervisory positions, they were
considered membersof management, and theybecame salaried employees.
They usually entered the salary range for the job just above the minimum,
but were considered for increases in sixmonth periods until they reached
the midpoint of the range after which annual consideration took place.
Thus a newly appointed supervisor who performed well could reasonably
expect three or four increases in the first two years on the supervisory job.
Supervisors, however, did not receive overtime pay which was restricted to
2. the hourly paid factory staff and the nonexempt office clerical employees.
In the past six months ten people had been promoted to firstlevel
supervisorypositions. Eight of these were in manufacturing and two in the
office administration area. All of these people along with eight more
supervisorsare now confronting thecompany’s president with the fact that
they are now earning less money as a supervisors than they did as line
employees when the regular overtime they worked increased their pay.
They were quiteadamant abouttheir position, believing that theyhad more
responsibilityand were working harder thanever. They firmly believed that
they deserved overtime pay or a higher salary.
Answer the following question.
Q1. What should the president do?
Q2. Are the supervisors justified in their complaint? Explain.
Q3. Should supervisors be paid overtime? Justify.
Q4. Could the company have planned their growth and
promotion process more effectively? Explain.
Case (20 Marks)
On July 28, 2009, a man walked up to the counter of a branch of KeyBank
in Seattle, pushed a black bag across the counter, and ordered the teller to
hand over money. Jim Nicholson (Nicholson), the 30yearold bank teller
who had worked for the bankfor more thantwo years, stood up to the man
and demanded to see the weapon. On July 30, 2009, an employee of
KeyBank found himself fired from his job two days after he had prevented
an attempted robbery at the bank by confronting the would be robber and
overpowering him.
3. Answer the following question.
Q1. Jim Nicholson was able to prevent the robbery and save the
people in the bank from potential harm. Do you think the end
justified the means in this case did Nicholson do the right thing
in confronting the would be bank robber?
Q2. Did KeyBank do the right thing in firing Jim Nicholson?
Would a warning or suspension have been better disciplinary
action?
Case (20 Marks)
Infosys Ltd., (Infosys), the Indiabased multinational Indian software
company, was founded in 1981. One of the seven founders, Narayana
Murthy(Murthy), retired asChairmanin2011. After hisretirement, Infosys
experienced slower growth than its peers in the Indian InfoTech industry
The case is about Vishal Sikka, CEO of Indian software company Infosys,
his background, hisbeliefs, and the steps he took to revive Infosys within a
year of his joining the company. The case first discusses why he was
selected for the post of CEO during the leadership crisis at Infosys. It then
describes the views of different experts on Sikka’s leadership style and
personality. The case discusses the ways and means that Sikka adopted to
communicatewith stakeholdersalong with the several initiatives he took to
revive Infosys. In a letter to all Infosys employees, Sikka praised their talent
and said, “I’ve met so many talented people amongst you. Your enthusiasm
to learn and createnew ways of working is amazing.” At the same time, he
also mentioned the need for improvement and transition. He said, “The
4. task before us now is to lay out the way forward. We must continually get
better at everything that we do today without disrupting the foundation
that has got us to where we are.” He also showcased his commitment to
improving the effectiveness of the workforce and working closely with
them. He said, “By laying greater emphasis on improving our ability to
learn and to identifyopportunitiesof thefuture, we will build a sustainable
business.” In a facetoface with themedia, Sikka said, “I am told Info scions
have lost the cando spirit. I will bring it back.”
Answer the following question.
Q1. Discuss Vishal Sikka’s leadership styles.
Q2. Explain the various leadership styles.
Case (20 Marks)
Bob Ford was a management traineeina largecasualtyinsurancecompany.
He had been hired 18 months previously and was only now in the latter
stages of the program. His present assignment was in one of the large
branches the company had in an urban Centre. Most of his work involved
experience analysis of the many large policy holders serviced by this
branch. John Crane, the branch manager, had mentioned the possibility of
a permanent assignment to the branch when the training period was
completed. Bob reacted favorably, since he admired Crane and they got
along well. During a recent review Crane told him that he was the best
trainee assigned to the branch since Crane had been manager. Naturally
Bob was pleased with his compliment and looked forward to the promised
permanent assignment. An opening developed at the branch when one of
the senior analystswas transferred to company headquarters. Though Bob
5. had not fully completed the training program, Crane offered him the
position, thinking him fully qualified for the opening. Bob accepted and was
told by his boss that the formal request was going in to the headquarters
personnel department that dayand he should be readyto move into the job
in two weeks, when the incumbent’stransfer was to take place. Crane went
to the company’sheadquartersthenext day for a meeting with his superior.
In the course of the discussion Crane was told about the company’s
affirmative action plan, which they were required to file under fair
employment practice legislation. Crane’s boss went on to say that the
company had to promote more women to responsible positions, and since
there wasan opening in Crane’sbranch they were going to promotea young
woman in the management training program to fill the opening. This
woman had only been with the company 11 months and still had a
considerablelearning period to face. Crane was flabbergasted and told his
boss of the offer to Bob Ford and its acceptance. The boss refused to listen
and said that adherencetothe affirmativeactionplanwas paramount, since
the company’s record was less than desirable in the area of equal
employment opportunity. Crane asked what he was going to tell young
Ford, and the boss replied, “Tell him not to worry; he’ll get the next
opening”. “Why, all we are doing is practicing reverse discrimination and
not paying much attention to qualifications either”, said Crane. “That’s
about it”, the boss replied.
Answer the following question.
Q1. Should a company practice reverse discrimination to comply
with civil rights legislation? Explain.
Q2. What can Mr. Crane tell Bob Ford?
6. Q3. What should Ford do?
Q4. What are the moral arguments pros and cons for affirmative
action program to reverse discrimination?
Assignment Solutions, Case study Answer sheets
Project Report and Thesis contact
aravind.banakar@gmail.com
www.mbacasestudyanswers.com
ARAVIND – 09901366442 – 09902787224