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INTEROFFICE MEMORANDUM

TO: MR. RICHARD PURVIS

FROM: EDUARDO TEIXEIRA - MANAGERIAL LEADERSHIP CONSULTANT

SUBJECT: ANALYSIS OF SITUATION

DATE: 1/15/2011

CC:

Dear Mr. Purvis,

After analyzing the facts observed during the last few days we present here the required

feedback on the matter, as well as some suggestions that should be considered and perhaps

implemented in order to improve operations and employees morale.

We could not start this analysis without mentioning that some of the approaches that were in

use in the company and created by you are great examples of the systemwide rewards, which

satisfy the principles of Maslows hierarchy of needs theory which proposes that humans are

motivated by multiple needs and those needs exist in hierarchical order (Daft, page 229), such

as physiological, safety, and belonging which are satisfied in sequence. Once a need is satisfied

the next higher need is activated generating the feeling of fulfillment in the employees, what

was apparently the case prior to Mr. McCarthys tenure, since the staff worked their shifts

harmonically.

Mr. McCarthys approach, which basically constitutes a managerial style - its clear that he is

clearly primarily focused on reaching the goals he has established and by the way with

extraordinary commitment of his part -- but in making use of any means he finds necessary and

going to extremes - frequently without showing any concern to his subordinates needs - he has

unfortunately created an ambiance of discontentment and chaos. He seems to have the

initiative necessary to implement the results desired, but unfortunately denotes a high level of

perceptual distortions toward his subordinates and has yet to develop his skills as a leader.

In case you would like to keep Mr. McCarthy in charge, we would advise you to suggest him

that he should start using a different approach immediately in order to change the recent

ambiance of uncertainty and dissatisfaction created among the employees to improve morale

and so doing start trying to achieve his goals using a change of paradigm .

He should be advised that henceforth he should start a new personal program in order to

develop his skills as a leader, simultaneously trying to work in unison with the whole team; like


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2 Eduardo Teixeira 10/10/2010

coaches, executives need to be excellent listeners, able to evaluate the characteristics of the

people they manage. They need to be able to work in different ways, with different people, and

different places. They need to be visionary and able to communicate that vision with

confidence to those who are charged with executing it ( Khosh, page 12 ).

He should immediately reinstate all the benefits provided by the company to the employees

prior to the changes implemented and then be suggested to adopt a servant leader approach

where leaders transcend self-interest to serve the needs of others, help others grow and

develop, and provide opportunity for others to gain materially and emotionally ( Daft, page 176

).

Mr. McCarthy should be instructed to try to reduce costs without disrupting his team morale,

he should pursue cutting the expenses objectively but using a different approach, attempting

to find new suppliers for example, that would provide the same quality of products by

negotiating deals - such as buying larger quantities to lower the price - which shouldconsequently result in substantial economy for the company. In the same lines, a program of

suggestions could be created in order to get ideas to reduce costs in operations for instance,

where the employees having their suggestions adopted would receive a small reward, such as a

gift card, such program could work as an attempt to recreate a feeling of belonging . Also, the

employees show clear signs that they feel theyre not being treated fairly, equity theory

proposes that people are motivated to seek social equity in the rewards they receive for

performance, and when they believe they are not being treated fairly and equitably, motivation

will decline ( Daft, page 237), we could also make use of the expectancy theory which is based

on the idea that a persons motivation is contingent upon his or her expectations that a given

behavior will result in desired reward ( Daft, page 251), so reward programs as simple as theemployee of the month - could be created in order to motivate the employees to comply with

the companys standards of attendance, quality of performance, cleanliness, etc.

On the operational aspects, he should revise the resizing of the portions that were made in

order to check whether or not they would be prejudicial to the business, bearing in mind that

any changes to be taken on major issues should be first communicated to the main stockholders

in order to get approval, unless instructed otherwise.

We believe, Mr. Purvis, that you have a much better understanding of human needs and we

admire your approach towards your employees, with the incentives you started to develop and

the manner that, in seven years, you were able to create an ambiance of collaboration in your

team.

Now, since things have taken a wrong turn, you have to make sure that the right measures be

taken so that your employees will start to perform with the same enthusiasm as before. So we

advise you to coach Mr. McCarthy also with the use of the concepts of empowerment , helping


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employees find value and meaning in their jobs and creating an environment where people can

flourish ( Daft, page 252), so he will be able to acquire the skills necessary in order to achieve

his objectives in a proper manner without any detriment to the staffs morale, because when

people are fully engaged with their work, satisfaction, performance, and profits increase.

I presented here a couple of suggestions based on theories of leadership that you might be

willing to apply, I believe they would be of great help for your company and staff, if you have

any question dont hesitate to contact me.

Yours cordially,

Eduardo Teixeira

Managerial Leadership Consultant

.


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References

Daft Richard L. (2008). The Leadership Experience Fourth Edition. South-Western

Kosh, Mary, (2005, July) The Confidence game. Harvard Business Review; Vol. 83 Issue 7/8, p41-

50, 8p.

Retrieved October 9, 2010, from Empire State College Library Website:

http://web.ebscohost.com.library.esc.edu/ehost/

Documents

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