Understanding of Change and Development - Quantum Software - Case Study Example

Understanding of Change and Development Name Professor Institution Course Date Understanding of Change and Development Table of Contents Understanding of Change and Development 2 Table of Contents 2 1.0 Introduction 3 1.1 Purpose 3 1.2 Scopes 3 1.3 Limitation 4 1.4 Case study 4 1.5 Organization of the report 4 2.0 Discussion 4 2.1 Tentative problem identified 4 2.2 Data collection 6 2.3 Data analysis 6 2.4 Feedback data 7 2.5 More data needed 8 2.6 Problem areas identified 8 2.7 Client motivated 9 2.8 Diagnosis and work on problem 9 3.0 Sociotechnical system 10 4.0 Conclusion 11 5.0 Recommendations 11 6.0 Reference 12 1.0 Introduction 1.1 Purpose Today, organizational change and development relies on the identification and analysis of the aspect which results to the efficiency of any organization (Shahzad et al 2012, p.975). Managers and organizations are keen to realize employees’ commitment that results to enhance the company’s productivity. Stoltzfus, Stohl and Seibold (2011, p.6) argued managements of organization now prefer introducing staff with new values, norm, behavior and organizational goals which is of significance to understanding company’s organizational culture. Quite often, it remains the role of top management to create a corporate culture to the staff which will set social climate for them to understand each other and the operations. Proper organizational culture results to loyalty and urge to improve organizational performance (Nastase 2012, p.7). The report will start with analyzing how Quantum Software manages uses TGIF culture to enhance organizational performance. The report will also evaluate the advantages and disadvantages of such strategies to the organization and make recommendations on how the company can rectify its culture. 1.2 Scopes Every company has organizational culture which boosts the performance. However, this report covered software companies in California, US. More emphasis was however given to Quantum Software 1.3 Limitation The limited financial resources make it hard for this report to cover a wide area, especially outside California and this make the researcher to generalize the result of the study. 1.4 Case study Quantum Software Company has introduced a culture called “TGIF” to improve its performance. However, the culture presents various concerns to company including use of alcohol, exposure to lawsuit risks, concern about ethics and corporate governance and high cost of operation in future. 1.5 Organization of the report The research applied survey method to gather data from the employees on how TGIF has been effective in improving the performance of Quantum Software. In particularly, interviews were used to obtain primary data. Finally, the data obtained were analyzed and presented for easy interpretation. 2.0 Discussion 2.1 Tentative problem identified The case study highlights various problems including alcoholism, lawsuit and ethics and corporate governance. The TGIF strategy present an organizational culture which is relaxed, amicable and fun yet promotes hard work. Organizational culture in this perspective is described as the basic assumptions which a particular group has devised, developed or discovered in attempts to manage its challenges of internal integration and external adaptation and as mode of perceiving, thinking and feeling in reference to such challenges (Kerr & Slocum 2005, p.132). Based on the definition, management experts can argue that Quantum Software’s employees have settled in a relaxed and fun culture to manage its work rate of 16 hours a day for 6 days every week. This perspective demonstrates that the top managers Erin Barber and Stan Albright treat the staff as members of a team rather than subordinates, particularly during beer busts. However, despite offering boosting morale of the employees, the approach has its reservation as highlighted by company attorney Bill Carter. Even though bill has not advised the company, beer bust culture set the organization for the law suit. The company has created a culture of beer bust where all employees are allowed to take alcohol but are not level of consumption is not moderated. The employees then drives home drunk and can cause grisly accident. What the company does not understand or ignore is that when employees cause accidents, it can be held liable. Another concern about TGIF culture is that it results to bad precedence for the next generation. Sponsoring a party where alcohol is allowed communicate a message alcohol can used to relieve stress. Therefore, the staff uses alcohol to reduce stress and work hard. The reality is that alcohol has negative impact on employees as it causes diseases such as liver disease, chronic pancreatitis and cardiovascular disease among others. This means that the company uses more funds treating such disease. Furthermore, such disease can have a long term effects on the organizational performance. TGIF also presents a case of ethical challenges the company faces. At one point use of alcohol shows a situation where the company does not a case about the social welfare of the employees and they would do anything to make the work. Hagendorff and Clacher (2012, p.257) opined that people can argue that Quantum Software has allowed fiscal imperatives to triumph over company and societal value of ethical behavior and social responsibility as the company strives to attempts to make profits. 2.2 Data collection Collecting credible and reliable data is normally considered as the initial step in performing a considerable analysis. In this study, uses both secondary and primary data source. Primary source involved use of interview whilst secondary involved gathering data from existing sources majorly books, journal and websites. Managers and employees of Quantum Software were the target population of this study. In particular, Managers like Tan Alright, Erin Barber and Bill Carter were interviewed to understand the effectiveness and disadvantages of TGIF culture. A Total of 1000 employees were randomly selected were interviewed to understand their perspective about the culture and its impact. The participants were assured of their confidentiality, and results will be applied just for the purpose of this research. 2.3 Data analysis Within an organization, the motivation or morale-stimulating strategy is normally efficient, moderate or inefficient. It looks from the outcomes of this research that companies which put more effort on strategies which boost morale of its employees have the market advantage as it employees become loyal and energized to work. The result also shows that company which market such strategy part of their culture turns employees into performers since the action has been reinforced in them. In nutshell, the company provides a fun environment and the employees reciprocate through hard work. The researches show that companies which have that strong organizational culture improve staff performance. According to Burnes (2014) effective and positive culture improves employees’ commitment and self confidence and decrease stress. Furthermore Burnes (2014) argued that both weak and strong culture bear a great influence on behavior within the organization while strong culture focus on the organizational goals and acts a way of increasing general performance. Corporate culture also offers sustainable advantage to the organization because it portrays a company as carrying to the socialize life as opposed to just making profits (Robbins, and Sanghi 2007). Few companies offer such initiative hence it offers competitive advantage to company in the software industry. For that reason, management experts argue that culture should be unique and rare. Folz, Abdelrazek and Chung (2009, p.68) claimed that High performance further provides competitive advantage because every customer often wants to identify with companies which are performing well. 2.4 Feedback data From the research, out of 1000 employees interviewed, 648 agreed that the company should continue with TGIF culture and allow the alcohol to be served. 170 employees disagreed with strategy and claimed that it show be eliminated and more employees be employed to help improve the performance. These employees indicate that the strategy can lead to bad culture of alcoholism in the company. 182 of 1000 employees claimed the strategy is moderately effective but called for its substitution of alcohol with something like sports or coffee. Bill Carter who was the company attorney strongly disagreed with the strategy with TGIF culture where alcohol was consumed. His sentiment was resulted by a situation where he observed the company programmer John Hooker fall on the table after consuming a lot of alcohol. On the other hand, the company owners Tan Alright, Erin Barber who initiated the culture had showed a strong that the culture improved morale hence performance. This was after the company realizes a growth of $95 million sales. 2.5 More data needed Survey method in this case interview has its distinguished disadvantages which cannot be overlooked. According to Groves et al, (2009) the survey only concentrates on small section of population hence may not be used to act as the opinion of the large area or market. Similarly, interview has its drawbacks as some participants will answer questions based on their attitude towards the researcher or based on their emotions (Moore 2014). In such a case, the information provided may not be reliable. Therefore, this research calls for more data using other research methods. 2.6 Problem areas identified Besides lawsuit, the company also faces problems of lack of ethics and corporate responsibilities and work-life balance. As the 21st century unfolds, the scrutiny about the performance is not just about its financial growth but also the corporate social responsibility (Mujahid & Abdullah 2014, p.183). In several instances the company growth could be criticized for neglecting of ethics and corporate responsibilities. At the long, Quantum Software might find itself performing poorly. Similarly it brings a case of the forefront the issues of work-life balance and employee’s labour exploitation. Competition in economies has increased pressure on managers and employees to perform for extra hours to increase the performance (Cieri & Bardoel 2014, p.642). The pressure managers put on employees invade their private life. The problem is that employees are burdened on how to manage all of the competing needs in life and work and avoid allowing any negative impacts of work run over into their private lives. Abendroth and den Dulk (2011, p.238) asserted that individuals are overburdened by the careers that are demanding, a slow economic growth and demanding families among others. This has left employees with limited time for family time and leisure, hence resulting to increased stress. Caligiuri, Lepak & Bonache (2010) held that overloads and Pressures and work demands bring the question the work commitment and organizational performance. 2.7 Client motivated In this context, the client is the employees. The motivation is shown by high performance and success. Luthans and Doh Jonathan (2015) claimed the success is attributed to the culture which its objective was to encourage the staff to perform even extra hours to achieve more success. Organizational climate and culture play part in satisfaction of employees and willingness to perform (Brown & Harvey 2006, p.63). During the beer bust employees interact freely will managers and engage each other. He interaction gives employees confidence to discuss what affecting their performance (Caligiuri, Lepak & Bonache 2010). From the company results, the research shows that more clients were satisfied. The last financial year shows an increased sales growth of $95. 2.8 Diagnosis and work on problem The problem recognized with the organization has a negative bearing on the organization. TGIF culture encourages alcoholism in the organization hence bad behavior and even other effects. As stated earlier, alcohol cause make employees cause accidents on their way home and expose the company to lawsuits. Barney and Hesterly (2010) stated that quite often, lawsuits increases cost of operation and losses. In addition it tarnishes the company’s images making to loss customers. To reduce, the problem, the company can hold the weekly party but without alcohol. On the other hand, Quantum Software can implement work-life balance such as working from home, providing paid leave or flexi time to enable employees ease their business should in quest of reducing stress (Cieri & Bardoel 2014, p.648). 3.0 Sociotechnical system Baxter and Sommerville (2011, p.28) defined Sociotechnical system as a framework to the complex organizational design which reflects the interaction between members of the organization and the technology within the organization. In this context technology does not mean “material technology” but rather technical. The world perspective is about management process, processes, equipment and techniques. Complex organization is not recommended in this century as competition intensifies. Strikwerda (2012) argued that complex organization design complicates issues such as decision making and communication. For that reason, Quantum Software has adopted flat organization structure which has increased of decision making and communication. The beer bust party where employees interact with the managers to have fun is an example the Quantum Software has flat which create less power distance hence employees and managers can consult on various issues (Lim, Griffiths & Sambrook 2010). Management policy and technique also allow employees and middle level managers to contribute ideas which can create change. For example, the Bill Carter, the company attorney suggested to the owners that alcohol is not good for organizational culture and the company needs to change to something else. Further, the motivation strategies adopted by the company has improved performance owing to the fact the employees has a higher morale to work for 16 hours in a day. 4.0 Conclusion Quantum Software’s “TGIF” culture has demonstrated that culture can make or break organizations. The case is also a revelation that managers must deeply analyze a certain culture before adopting into the organization. Culture can increase the growth of company at first but result to loss in the long run. Currently, the “TGIF” culture has brought morale and fun at Quantum Software and the company is doing because employees are highly energized. However, the approach has instilled culture of alcohol consumption and resulted to bad behavior which might raise lawsuit against the company, cause accident and social problems to employees. In the long run the situation could lead low production. Therefore, the management ought to substitute the strategy with sports, coffee and other forms of team building. 5.0 Recommendations May be the intention was not get the morale but the employees have gone overboard in their drinking and it has become a culture. Since the approach to creating team spirit expose the company to lawsuits, a new strategy can be changed such as having sports on Fridays. Similarly, The Company can continue with the social events at the end of every week but without offering alcohol served to employees. In this way the company wills not only avoiding lawsuits but also accident which could claim employees’ lives. Reducing number of working hours is also another way of doing away with negative approach to boosting morale. The company can reduce hours of working while increasing number of employees. Experts also believe that the company can do away with alcohol by intruding afternoon coffee and impose regulations on behavior at the organization. 6.0 Reference Abendroth, A & den Dulk, L 2011, Support for the work-life balance in Europe: the impact of state, workplace and family support on work-life balance satisfaction, Work, employment and society, Vol.25, No.2, pp.234–256. 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