OB Integrative Assignment -Group 5 - EPGP 16 Section A
Case 2: From Trickle to an Exodus…How to Reign in Resignations?
Begin with a short introduction that conveys what you think is the crux of the case.
This case revolves around job satisfaction of employees in InvestIn India which opened its
office in Bangalore in 2003. Dhruv, the HR manager has failed to understand the reason
behind the spate of resignations across all levels and hence avoid great resignations knocking
at the door. Victor Vroom's Expectancy theory were the basic reasons behind such mass
resignations, wherein job performance was not rewarded in terms of hike in PayScale and
fulfilling career goals. Also, Organization must evolve itself according to the changing needs
of its employees in this fast-changing world.
1. What motivates people at work?
People may be motivated by different things, and motivation can change over time.
Following are major factors that can contribute to employee motivation:
a. Recognition and Reward: Feeling recognized and rewarded for the
contributions can significantly motivate an employee. Acknowledging
employee’s efforts, achievements, and milestones fosters a positive work
environment.
b. Growth and Development factor: Employee is often motivated when he/she
sees opportunities for personal and professional development. This could
include career development & training programs, skill development, and
chances for growth within the company.
c. Challenging Work and job satisfaction:
Many employees find motivation in work that is challenging and meaningful.
Feeling that their contributions have a positive impact on their team or
company at large can enhance job satisfaction.
d. Ownership and decision making:
Employees who feel trusted to make decisions and manage their own tasks
may experience increased job satisfaction.
e. Compensation and additional perks:
While not the sole motivator, fair compensation and competitive benefits are
important for an employee to feel his/her work is valued.
f. Diversity & Inclusion:
Employee often find motivation in workplaces that embrace diversity and
inclusion. Feeling that they are part of a team that values different perspectives
can enhance motivation and engagement.
Understanding the diverse needs and preferences of employees and tailoring motivational
strategies accordingly can contribute to a more engaged and productive workforce. On top of
that, a good working environment with cooperative colleagues, a good supervisor and growth
in terms of money, opportunity and learning will keep the employee loyal to the firm. Almost
a third of each day is invested by an employee at the workplace.
2. Identify the hygiene factors and motivators that keep people in an organization.
Two-Factor Theory by Frederick Herzberg categorizes job satisfaction and dissatisfaction
into two main categories:
Hygiene Factors includes following.
Salary and Benefits: While fair compensation is crucial, inadequate pay can cause
dissatisfaction. It is considered a hygiene factor as it addresses basic needs but may
not necessarily motivate employees if it's sufficient.
Working Conditions: Safe and comfortable work environment, adequate resources
contribute to employee satisfaction but are unlikely to motivate them in themselves.
Company’s HR & administration: Employees will be dissatisfied if company policies
are inconsistent or feels as unfair. Well-defined and clearly communicated policies are
essential for maintaining a positive work environment.
Micro-management by seniors: Poor leadership or management practices can lead to
dissatisfaction. Adequate support, clear communication, and effective supervision and
mentorship contribute to employee well-being.
Motivation:
Recognition and Appreciation: Feeling recognized and appreciated for one's
contributions is a most powerful motivator. Positive reinforcement and
acknowledgment of achievements contribute to job satisfaction.
Career Growth: Employees are likely to be more committed to an organization that
invests in their employee’s growth.
Job Content and challenge: Providing interesting and challenging tasks contributes to
job satisfaction. Employees who find their work engaging are more likely to be
motivated.
Understanding and addressing hygiene factors can prevent dissatisfaction and create a stable
work environment. However, to truly motivate employees and ensure long-term commitment,
organizations need to focus on the factors that Herzberg identified as motivation. Proper
balance between hygiene factors and motivation is essential for any organization.
3. Why did Jayashankar contemplate leaving when he was doing so well at
InvestIn? What should Dhruv suggest retaining him?
Jayashankar wanted more challenging work and was not feeling engaged to work. The
same old challenges did not enthuse him, and he thought that had developed his team
well enough to manage everything. He has already reached the top of hierarchy, next
only to CEO and he felt that he had plateaued in position and learning. Probably, the
company was not being innovative as it was in its early days which kept Jayshankar
performing back then. Dhruv should evaluate if the company is doing enough for such
veteran employee and take constructive feedback from him. Secondly, as Jayashankar
wants more challenging work, ask him for an internal transfer/move to a team which
fascinates him.
4. Is working from home better than working from the office? How can Dhruv
retain Smitha? Would that cause more problems in the company? Critically
analyze.
The question of whether working from home is better than working from an office is
very subjective and depends on a number of factors, such as personal preferences,
work requirements, and the nature of the work itself. Both remote work and office
work have its pros and cons. Applications such Zoom, google meet, MS Teams offers
flexibility, eliminates commuting time and allows employees to maintain a work-life
balance. On the other hand, work from office facilitates direct communication,
increased efficiency, and less distraction. It can build in team cohesion, mentoring
opportunities and a strong company culture.
Smitha indicated that she is comfortable with continuing to work from home as she
needs more time to take care of her ailing father. Dhruv, as HR manager should have
talked to him considering the stress situation at that point of time. He could have
easily agreed to allow to work from home till her father recovers. This could have a
positive impact on Smitha and in return she would be obliged to pay back when she
comes out of the situation. This will certainly lead to Smitha’s loyalty towards her
employer as she will realize that the company has supported her when she needed the
most. Such an act from the HR Manager will also definitely serve to advertise the
company’s empathy towards its employees.
But the approval of Smitha's request may raise concerns among other employees about
the fairness of policy implementation. Failure to provide the same accommodation to
others facing similar circumstances may lead to ethical issues or the perception of bias
and affecting team dynamics. Therefore, Dhruv needs to carefully evaluate the
situation.
5. Decode the reasons for the Great Resignation and suggest solutions from a
motivational standpoint.
Higher rate of people leaving their jobs voluntarily can be attributed to several
factors as follows:
a. Career growth and development: Employees may feel stagnant in their current
roles or perceive that there are few opportunities for growth within their
organizations, leading them to seek new challenges and opportunities
elsewhere.
b. Compensation and Benefits: Some individuals may feel undervalued or
underpaid in their current positions, especially in talent-scarce industries,
which may motivate them to seek opportunities with higher salaries or better
benefits.
c. Post Pandemic: Many individuals have reassessed their priorities and work-life
balance, leading to a search for more flexible work activities, roles that can be
chosen remotely or according to individual values and needs. One example
from recent events can be the COVID-19 pandemic, post which people had a
massive shift in terms of their life priorities.
To avoid great resignation and keep employees loyal to the firm, following solutions
can be adopted:
a. Career growth opportunities: Provide clear pathways for career advancement,
including training programs, mentorship opportunities, and access to new projects or
responsibilities. Support continuous learning and skill development to enable
employees to achieve their career goals within the organization.
b. Flexible working arrangements: Offer flexible working options such as
telecommuting or flexible working hours to accommodate employee preferences and
improve work-life balance. Encourage breaks, set realistic expectations, and provide
resources for stress management.
c. Wellness and support programs: Implement wellness programs such as mental
health resources, stress management, and employee support programs to promote
overall employee well-being and reduce burnout.
d. Industry standard compensation and benefits: Conduct regular reviews of
compensation and benefits packages to ensure they remain competitive within the
industry. Companies that fail to reflect employee’s contributions may also face great
resignation.
e. Recognition and Rewards: Celebrate successes and milestones to reinforce a culture of
recognition and motivate employees to continue to perform at their best.
f. Autonomy in decision making: Employees who feel trusted to work
independently and make decisions related to day-to-day work will feel more value in
the organization.
g. Supportive and inclusive environment: A positive work environment is where
employees feel valued and connected to the organization. Foster open communication,
collaboration, and transparency to build trust and engagement among team members.
It's essential for organizations to conduct regular employee surveys, gather feedback, and
proactively address issues affecting motivation and job satisfaction. Creating a workplace that
prioritizes employee well-being, growth, and engagement will not only help retain existing
talent but also attract new employees who are seeking a positive and fulfilling work
environment.
