Trinity Holdings is a middle-sized company that has been in operation for ten years. The company deals with consumer electronic products. Over the years, the enterprise has experienced exponential growth. The company has achieved one of its goals of expanding to other regions. However, with such expansion, the company now faces both internal and external challenges. A critical issue for the organization is the dynamics of organizational behavior. As such, the organizational setbacks facing the company must be addressed expeditiously if the company aims at remaining viable and sustainable in the competitive market ecosystem.
Identification of Issues
Organizational behavior (OB) is a critical concept that defines the contemporary business environment ( Robbins & Judge, 2017 ). Trinity Holdings is an example of an organization that is facing challenges regarding the processes and outcomes of OB. As an intern in the company, I have noticed that the efficiency and effectiveness of the organization have been affected significantly. Since the entity expanded its operations, the challenges have been compounded. The issues that are affecting this company in the context of organizational behavior cuts across all levels including individual, group, and organization. The company operates in a highly charged environment. The success of the company depends on the contribution of the employees. However, when employees find it difficult to adjust to the environment, the productivity of the company plummets. Management of the organization has taken frantic efforts to increase performance and productivity — however, the primary problem that Trinity Holdings is facing lies in the organizational culture. The culture of the organization determines how stakeholders behave (Kim, 2014). In this case, an effective corporate culture coupled with organizational structure has impeded the success of the organization in the new areas of operation.
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The management of the company is exerting unnecessary pressures on the employees without first addressing the core issues that determine employees' satisfaction. The credibility of the organization's leadership is predicated on the ability to correctly identify and decipher a wide array of pitfalls that affect the performance and productivity of the employees. This affirmation is supported by the fact that since the organization explored new market frontiers, the projected sales have hit a snag. The organization had enjoyed massive success when it started its business ventures. The yearly sales were increasing steadily and subsequently the profit margins. Business ventures have many goals, and one of them is to maximize profits. Maximization of profits can only be achieved through a significant market share (Robbins & Judge, 2017). Therefore, producing large market share compels the business to explore new markets. However, what the company fails to understand is that each market has rules of the game. As such, when a business joins a new market, it must adjust to those rules.
Trinity Holdings enjoyed massive success in the original marketplace of its establishment. The success can be attributed to the robust feasibility studies that the owner conducted before starting the business. As an entrepreneur, Mr. Jacob saw a market niche and gathered necessary resources to start up a successful business. As the business grew, the owner employed more staffs to assist in running the daily operations of the company. The owner communicated his goals and ambition regarding the business. As a supportive manager, Mr. Jacob allowed his employees to work to their best by providing a positive work environment. The organizational structure became more advanced as the business grew ( Petri & Govern, 2012 ). The expansion of the company in the Western region of the US has, however, highlighted the fault lines that the business encounters.
The issues that have been identified in the organization at the individual level include motivation and decision making. At the group level, Trinity Holdings is grappling with communication and leadership. Finally, at the organizational level, the company is facing sets due to change practices. The key outcomes that have been affected by the processes include attitude and stress, task performance, group cohesion, and productivity.
Stakeholder's Perspective
The key stakeholders in Trinity Holding's case include the managers, the employees, and the customers. Complaints have been lodged about the organizational setbacks facing Trinity Holdings. Typically, it is expected that the managers would react swiftly when they receive complaints from the employees ( Robbins & Judge, 2017 ). However, the managers of the organization have been reluctant in investigating, evaluating and solving the key issues that have been highlighted. It managers have trivialized the matter. The perspective of the managers concerning the complaints from the employees is that the staff are becoming selfish in their demands. The financial downturns that affected the company during the global financial crisis of 2008 are still reverberating on the organization. In order, to remain afloat during the financial crisis, the organization retrenched over five hundred workers. The remaining workers had their salaries reduced. As the company set on a journey of economic recovery, the wages of the workers have remained the same. The employees have been left out in the critical decision-making process of the company. Most employees have faulted the non-inclusion of their input in the formulation of the company's strategies ( Robbins & Judge, 2017 ). These issues have been raised by the employees. However, the management has continued to ignore the grievances.
The employees of the company have been proactive in agitating for what they believe is their right. The employees have an internal union where they meet on a monthly basis to discuss their welfare. All the employees have shown dogged determination to solve the problems that they are facing at the organization. The employees have decided to show highlight their concerns by deliberating reducing their productivity. Majority of the employees feel that the company has failed to honor their contribution. Whereas it would be expected for the employees to quit and look for greener pastures elsewhere, few have managed to unshackle from the den of captivity. The primary reason for the continued stay of the employees in the organization is the unemployment rate that is soaring high ( Petri & Govern, 2012 ). Because the company sales consumer electronic products to its diverse clientele, most of the workforce have high school diplomas. This level of academic qualification is insufficient for a business environment that believes in employing people with high academic skills and expertise. In fact, the few people who have left the company possess higher educational qualification. As such, the employees stay in the company due to the systemic requirements that they lack. However, unanimously, the employees are convinced that it is the duty and responsibility of the organizations to cater to their needs.
Connection to Theoretical and Empirical Research
The motivation of employees is a key management issue that has attracted research from various scholars and practitioners. The underpinning concept of motivation is the firm belief that it affects the productivity of the organization. Employees who are motivated in their work environment are likely to enhance their performance, which is crucial in achieving the organizational goals. Motivation requires the managers and business leaders to understand the issues that each employee faces (Kim, 2014). Employees have individual goals and objectives that they want to achieve during their professional careers. When an employee takes up a new position, he or she believes that the organization will facilitate the attainment of goals and ambitions. As such companies that analyze and institute measures that solve the employees' goals are likely to survive in the business ecosystem that is characterized by rapid changes. Employees will only stay in an organization whose goals resonate with theirs. Studies show that organizations are increasingly adopting ways of motivating the workers (Albrech, 2011).
Different theories of motivation have inspired empirical research. Herzberg postulated a two-factor theory, also known as motivator and hygiene theory (Petri & Govern, 2012). The motivators are intrinsic factors such as being appreciated in the organization, positive recognition, and advancement in career. On the other hand, hygiene is extrinsic factors that focus on financial benefits and job security. Studies show that it is essential for employers to understand the motivating factors of young employees whose need are dissimilar from the older generation of employees (Salahuddin, 2010). The organizational behavior issues that are facing the company at the individual level are summarized in the theories of motivation. Employees are dissatisfied at the workplace because their effort is unappreciated or unacknowledged. Again, the motivation that comes with good perks is lacking. The resultant effect is that Trinity has dissatisfied employees. The direct impact of employees' dissatisfaction is manifested on the organizational output. The stagnation in operational success is attributed to employees' performance.
Studies have revealed that communication is imperative in facilitating organizational success (Robbins & Judge, 2017). Business must have robust and viable communication strategies. Seemingly, at Trinity Holdings, the communication strategies have failed to work. The communication in the company is rigid. The employees are only receiving orders from the superiors without getting a chance to air views concerning those particular orders. Effective communication in business leads to the development of interpersonal relationships (Robbins & Judge, 2017). However, with communication channels blocked, the workers are relegated to mere followers without powers to petition or question the seniors. The interpersonal relationship enables the employees to relate well among themselves and their superiors. Successful organizations that have achieved global success have led by example in signifying the importance of communication in the entities
Another critical issue that the company is facing at the group level is leadership. The leadership style of the organization is transactional. In other words, the managers reward employees who are regarded to be outstanding while leaving the rest of the staff. The contemporary business environment has shifted leadership styles. Numerous studies that have been conducted regarding leadership have been consistent in the findings (Petri & Govern, 2012). The results agree that organizational success is facilitated through transformational leadership. Transformational leaders drive radical changes in the organization by inspiring and motivating all the workers and stakeholders (Robbins & Judge, 2017). Some of the transformational leaders that are renowned in the business sector worldwide include Bill Gates of Microsoft Corporation, Sir Richard Branson the owner of Virgin Air, and the Late Steve Jobs of Apple Inc.
The last process that has a profound effect in the company at organizational level changes to practice. After expanding the business operations to a new region, the company has failed to adapt to the new environment. Research shows that institutions should be flexible in managing change to gain a competitive advantage (Salahuddin, 2010). Organizations that understand the essence of change management will formulate strategies that accelerate adaptation to the new environment. The contemporary business environment faces rapid changes that affect both internal and external affairs of the organization. The change forces require stabilization through the adoption of tailored strategies that suit the need, aims, and objectives of the company. Failure to adapt in the event of change is disastrous for both new and established businesses.
Analysis and Evaluation
For one year, it is evident that the employees of the company have been dissatisfied by their job. The assertion is supported by the fact that the human resource manager has received numerous complaints concerning a request for a salary review. The workers have also engaged the supervisors informing them on the inappropriateness of some of the rules and directives that are formulated by the senior management team. Despite the complaints, none of the issues have been solved. As such, symptoms of attitude and stress have begun to manifest. The employees are becoming uneasy and irritable at the workplace. There is a definite attitude especially when the workers converse to themselves about challenges that are dominant at the workplace ( Petri & Govern, 2012 ). Indeed, a clear line of stress and dissatisfaction has been drawn. Various studies conducted on stress levels and job satisfaction point out that it has counterproductive effects on robust business ideas and strategies (Aziri, 2011). The attitude and stress level is also affecting the relationship between the employees. The senior employees are in bad contact with their juniors, as juniors feel that the seniors are enjoying preferential treatment.
Achieving the goals of the business requires a collaborative approach ( Petri & Govern, 2012 ). Key to attaining the collaboration is group cohesion. The organization must have teams that are mutual understanding and united. The element of teamwork has lost its meaning in the company. The employees no longer view the partnership as a necessary toolkit that facilitates organizational success. As such, the group is deeply divided, with each employee focusing on solving individual problems without involving the help of the colleagues. Lack of group cohesion consequently affects task performance (Aziri, 2011). The inconsistencies in the task performance have been evidenced on the plummeting profit margins. Whereas the company started well, recording higher profit margins, the sales have been steadily reducing for the past six months. The rate of task performance is decreasing drastically. Efficiency and effectiveness of the company have been impacted significantly ( Kim, 2014 ). The company is recording high inventories with low sales. The cost of storage has increased. The risks that are associated with high inventories are high. The company has experienced the effects judging from the increased wastage. It means the goal of attaining maximum profits while minimizing operational costs has been impeded.
The organizational behavior challenges that Trinity Holdings is grappling with can be analyzed from the dimension of productivity. The productivity of the organization has been low. The company is operating in an intense market. It implies that the competitors are revitalizing and reinvigorating their strategies to remain productive and relevant ( Kim, 2014 ). Trinity Holdings is on the verge of business failure as most of the parameters that define success are on the extreme spectra of success band.
In discussing the organization, a critical process that emerges is the leadership style. The transactional style of leadership is contributing to the disastrous events that are affecting the company. The leaders who have the role of overseeing the success of the company have failed to inspire and motivate the workers. In this case, the leadership has consistently demoralized the employees. Therefore, leadership change is imperative for the company to remain operational in the dynamic market environment.
Action Plans
Solving the organizational challenges that Trinity Holdings is facing requires stable and reliable action plans that work in the short term and long term. The first action plan is enhancing employees' satisfaction and participation in decision making in the organization. Now that it has been highlighted that the employees have a complaint about low salaries compared to contemporary businesses, the management must accelerate the resolutions. The wages and extrinsic motivators must be reviewed. In two months, the company must consider and revise the salaries of the employees to ensure that the workers are convinced that their welfares are a core priority. In reviewing the salaries and other incentives, the frame of reference should be the legal provisions on labor. The management of the organization must involve the representatives of the employees.
The second action plan is to increase employees' participation in making critical decisions concerning the company. This plan will be achieved by the creation of participation forums where the managers and the leaders of the business will outline the impending moves of the company ( Aziri, 2011 ). The hearings will give the employees an opportunity to question, critic, analyze options that are present. The discussions will conclude only after unanimous or majority agreement on the best move that is beneficial to all the stakeholders. Another important aspect of this plan is employee training. The company will train all the employees on decision making and other important leadership and managerial skills ( Aziri, 2011 ). The company should hire experienced and reputable consultants to complete this task. The training should be done in phases. The first phase should include all the supervisors and senior managers. The second phase will consist of all the junior employees. Due to the financial resources that are required to complete this task successfully, the finance department must commit sufficient money for the project. Furthermore, it is projected that professional training can be achieved within two weeks.
The third action plan is to revitalize communication strategies in the organization. The company must change its communication strategies by allowing open communication. For instance, the company should have a platform where the employees air their views concerning different issues facing the firm. It is advisable for the company to create customized e-mails where all members will register. The emails will be the primary channel of communication. The employees will be encouraged to check their inboxes regularly.
The last plan of action is to change the leadership style. Change of leadership style will be achieved through training and benchmarking. Successful transformational leaders will be invited to give lectures to all the people in a leadership position. The leaders will also be trained by leadership experts for six months. The training is anticipated to be comprehensive and thorough.
Evaluation of Consequences
The level of employees' satisfaction after the implementation of the action plan will be evaluated through an internal survey. A standard questionnaire will be created. All the employees will be required to participate in the mandatory survey. The data will be analyzed and inference made. The level of productivity that relates directly to employees satisfaction will be evaluated by assessing the financial books periodically. More specifically, the financial performance of the organization will be analyzed quarterly. Other parameters that are complementary in measuring the productivity of the company includes market share and customer service and satisfaction ( Albrech, 2011 ). Customer service and satisfaction will be measured by utilizing the company's website which has a platform for posting feedback complimenting or complaining about the services and products offered by the company.
The consequences of leadership change in leadership style will be analyzed by checking how the relationship between the leaders and the employees has been affected. It is projected that a transformational leadership style will inspire and motivate the employees. As a result, the employees should have positive attitudes and comments about their leaders ( Albrech, 2011 ). This action plan will be achieved through a survey. The leaders will also participate in the interview.
References
Albrech, S. L. (2011). Handbook of employee engagement: Perspectives, issues, research and practice. Human Resource Management International Digest , 19 (7).
Aziri, B. (2011). Job Satisfaction: A Literature Review. Management Research & Practice , 3 (4).
Kim, H. K. (2014). Work-life balance and employees' performance: The mediating role of affective commitment. Global Business and Management Research , 6 (1), 37.
Petri, H. L., & Govern, J. M. (2012). Motivation: Theory, research, and application . Cengage Learning.
Robbins, S. P., & Judge, T. A. (2017). Organizational Behavior (17th ed.). Pearson Education Limited.
Salahuddin, M. M. (2010). Generational differences impact on leadership style and organizational success. Journal of Diversity Management , 5 (2).
