42)
LaTasha is a high performer. Recently, her organization has begun to provide recreational facilities,
an on–site day care, and stock options for all employees. What is wrong with these new programs?
Will they likely motivate LaTasha to a higher level of performance?
42)
A)
Yes, they will motivate her. Everyone likes on–site day care.
B)
No, they won’t motivate her. They are too closely tied to her performance for her to be
comfortable about the reward.
C)
Yes, they will motivate her. The fact that she is a high performer shows that she will
appreciate stock options.
D)
No, they won’t motivate her. They are group rewards not tied to her performance.
43)
According to the hierarchical needs model, needs are organized into which hierarchy?
43)
A)
Physiological, safety, belongingness, esteem, and self–actualization
B)
Esteem, relatedness, and growth
C)
Esteem, reinforcement, and self–actualizing
D)
Existence, reinforcement, and growth
A
21
D
44)
Five core job characteristics are most strongly related to job satisfaction. Which of the following is
one of those characteristics?
44)
A)
Job rotation
B)
Instrumentality
C)
Task enlargement
D)
Social interaction
E)
Feedback
45)
In the process of trying to improve your employee’s behavior, you say to her, “What I’d like to see
you do is contact each of your clients personally before you begin to enforce a policy change. That
way, no one is surprised. Will you do that next time?” Which of the guidelines for improving
behavior have you just followed?
45)
A)
Redirect
B)
Reprimand
C)
Reinforce
D)
Recapitulate
22
46)
The financial officer at Stocks R Us demands that his brokers take risk in their stock suggestions.
Recently, he had to reduce the portfolio of a broker who missed the mark on a stock (the stock went
down). “I must punish undesirable behaviors,” he thought to himself. What will the financial
officer’s actions do?
46)
A)
Reinforce undesirable behaviors in his brokers
B)
Reinforce to his brokers that he ignores stock suggestions
C)
Indicate to his brokers that he supports new ideas
D)
Reinforce his brokers’ belief that taking a risk pays off
23
A
47)
What is an overall conclusion related to motivation?
47)
A)
The employee’s satisfaction is more important than performance to the manager.
B)
The employee’s performance is more important than satisfaction to the manager.
C)
Theory X is the appropriate theory for motivation.
D)
Both the employee’s satisfaction and performance should be of equal importance to the
manager.
24
48)
Gale works for 2 hours and earns $30. Allison also earns $30, but for 3 hours of work. Equity theory
predicts which of the following might happen when Gale and Allison become aware of each other’s
earnings?
I. Gale will ask for a raise
II. Allison will reduce her effort
III. Gale will reduce her effort
IV. Allison will ask for a raise
V. Allison will perceive an inequity
48)
A)
II only
B)
All but IV
C)
II, IV, and V
D)
I, II, and III
E)
I and IV
49)
The situation has high task structure, the employees have experience, and there are strong group
norms. What would be the appropriate management involvement?
49)
A)
More involved; high involvement is necessary and expected.
B)
Less involved; high involvement is not necessary or expected.
C)
Be involved; high involvement is necessary and expected.
D)
Involved in the details of employees’ job performance.
25
50)
A manager remarks, “No matter how many external rewards we give our employees, if they find
the work to be uninteresting and unfulfilling, performance will suffer.” Should you agree or
disagree with your boss?
50)
A)
Agree
B)
Disagree
C)
Not enough information to decide
51)
You received your Ph.D. from a prestigious state university that had competitive admissions,
where students graduated in the top 10 percent of their high school class, and where both students
and teachers had high expectations for the student. You now teach at an open admissions school.
Students here graduated anywhere from the bottom 10 percent to the top 10 percent. What
expectations should you have for these students?
51)
A)
Lower, they obviously are less intelligent
B)
Lower, they graduated lower in their high school class (on average anyway)
C)
The same as, the past is the past; high expectations generate high performance
D)
Lower, high expectations could be too challenging and prove to be frustrating
52)
Which of the following job changes results in increased autonomy, task identity, and feedback?
52)
A)
Identifiable work units
B)
Loaded jobs horizontally
C)
Open feedback channels
D)
Established client relationships
26
53)
Your boss tells you, “People want to do a good job. Think about this. Do you know anyone who
takes a career job and says, ‘I think I’ll just sit here and not do any work until they tell me what to
do’? No, most people want to work and assume responsibility. So, why is it that people become
unmotivated?”
53)
A)
Your boss has deteriorating ability.
B)
Your boss has a Theory X outlook.
C)
Your boss has a Theory Z outlook.
D)
Your boss has a Theory Y outlook.
54)
When an employee does not perform at the level you had hoped, what steps (in order) should you
take to extinguish the unacceptable behavior and replace it with an acceptable one?
54)
A)
Reprimand, redirect, reward
B)
Question, redirect, reward
C)
Ignore, reprimand, redirect
D)
Redirect, reprimand, reward
55)
An employee’s performance is at a level that is not desirable. After reprimanding, what should you
do next?
55)
A)
Ask questions to determine the cause.
B)
Praise other aspects of the employee’s work.
C)
Describe the behaviors you expect.
D)
Identify the rewards the employee has missed out on.
27
56)
What does the rewarding approach to changing behavior involve?
56)
A)
Linking desired behaviors with organizational values
B)
Linking desired behaviors with manager–valued outcomes
C)
Linking desired behaviors with employee–valued outcomes
D)
Linking the right ways to do things with rewards
57)
An employee is late to work. This is her first time. What should you do first?
57)
A)
Ignore her tardiness. It was just her first time.
B)
Ask her why she was late.
C)
Talk to her about how tardiness is not a behavior you accept.
D)
Talk to her about her commitment to the organization.
28
58)
What should effective motivational programs do in terms of offering rewards?
58)
A)
Make a distinction between workers based on effort
B)
Not make a distinction between workers
C)
Make a distinction between workers based on seniority
D)
Make a distinction between workers based on performance regardless of effort
59)
When an employee feels that she was meant to do the work she is doing, and that she is serving an
important cause, this is called a(n)
59)
A)
service orientation.
B)
other orientation.
C)
career orientation.
D)
calling orientation.
TRUE/FALSE. Write ‘T’ if the statement is true and ‘F’ if the statement is false.
60)
Your boss believes in close supervision and that people really don’t want to work hard. He has a
Theory Z view.
60)
61)
In dealing with an employee that is performing below expectations, a manager should first
reprimand and then redirect the employee’s behavior.
61)
29
62)
Elise successfully led her team to reaching the weekly sales quota. Elise is likely to experience a
feeling of accomplishment, which is an intrinsic outcome.
62)
63)
In her job as customer service representative, Angela is tenacious in her efforts, but her overall
performance lacks creativity. Thus, Angela is committed to her job but exhibits low desire.
63)
64)
Greg typically returns late from his break periods. As Greg’s manager, you should first point out
how the behavior has impacted the work unit and then identify which behavior has caused the
problem.
64)
65)
There appears to be more violence in the workplace than ever before. Even some of the equipment
has been sabotaged. The imposing style of management could contribute to this situation.
65)
66)
To change a person’s ability, the manager should make sure resources are available for the job.
66)
67)
The first diagnostic question that must be asked by a supervisor of a poor performer is whether the
person’s performance deficiencies stem from lack of commitment or lack of motivation.
67)
68)
The level of involvement a manager utilizes should depend on the nature of the work and the
ability and experience of the employee.
68)
30
69)
The principal tools available for overcoming poor performance problems due to lack of ability are
resupply, retrain, refit, reassign, and release.
69)
70)
The more an employee can perform a complete job from beginning to end and the more the work
has a direct effect on the work of other people, the more the employee will view the job as
meaningful.
70)
71)
Ability equals aptitude multiplied by training and commitment.
71)
72)
Ignoring inappropriate behavior as a means of changing behavior often doesn’t work because the
nonresponse may be seen as positive reinforcement.
72)
73)
You have recently been promoted to a managerial position. One of your new peers comments,
“Sometimes you just have to ignore unacceptable behavior of your employees. That way, it just
goes away all by itself.” Based on the text, you should believe this is good advice.
73)
74)
Effective goal programs are specific, consistent, and provide feedback.
74)
75)
An example of a well–stated goal is “to reduce the average shipment period from five days to two
days by the end of the year.”
75)
76)
According to Murray’s manifest needs model, the needs of individuals in the workplace include the
needs for achievement, affiliation, and power.
76)
31
77)
When a supervisor analyzes the components of his or her subordinate‘s job and creates different
combinations of tasks, the manager has used the refitting option.
77)
78)
According to one perspective, the best way to change an individual’s behavior in the work
environment is to change his or her manager’s behavior.
78)
79)
The path–goal theory of leadership suggests that the level of managerial involvement in
subordinates’ tasks should depend on the manager’s view of what employees expect in terms of his
or her involvement.
79)
The path–goal theory of leadership suggests that the level of managerial involvement in
80)
To encourage Elaine’s initiative on the group project, her boss, Barry, should tell her that she alone
is totally responsible for her success.
80)
81)
Feelings of equity can be influenced by peer pressure.
81)
ESSAY. Write your answer in the space provided or on a separate sheet of paper.
82)
Elizabeth and George are talking about their work at Apex Manufacturing. They both perform the same job,
work the same number of hours, and are relatively equal in their performance levels. Elizabeth mentions to
George that she is making $18 per hour. George is surprised by this, because he is only making $16 per hour.
According to equity theory, what would you predict George’s reaction to be? What sort of behaviors might you
see from George?
32
83)
You are conducting a planning session with Mary Ellen, who reports to you. You’ve asked her to come prepared
with a personal goal for the next quarter. When you ask her to share her goal she says, “I want to put much
more effort into customer satisfaction.” How do you evaluate the effectiveness of Mary Ellen’s goal?
Electro Logic
Electro Logic (EL) is a small R&D firm located in a midwestern college town adjacent to a major university. Its primary
mission is to perform basic research on, and development of, a new technology called “Very Fast, Very Accurate” (VFVA).
Founded four years ago by Steve Morgan, an electrical engineering professor and inventor of the technology, EL is primarily
funded by government contracts, although it plans to market VFVA technology and devices to nongovernmental
organizations within the year.
The government is very interested in VFVA, as it will enhance radar technology, robotics, and a number of other
important defense applications. EL recently received the largest small–business contract ever awarded by the government to
research and develop this or any other technology. Phase I of the contract has just been completed, and the government has
agreed to Phase II contracting as well.
The organizational chart of EL is shown in Figure 6.
Current membership is 75, with roughly 88 percent in engineering. Heads of staff are supposedly appointed based on
their knowledge of VFVA technology and their ability to manage people. In practice, the president of EL hand picks these
people based on what some might call arbitrary guidelines: Most of the staff leaders were or are the president’s graduate
students. There is no predetermined time frame for advancement up the hierarchy. Raises are, however, directly related to
performance appraisal evaluations.
Working directly with the engineers are the technicians. These people generally have a high school degree, although
some also have college degrees. They are trained on the job, although some have gone through a local community college’s
program on microtechnology fabrication. The technicians perform the mundane tasks of the engineering department:
running tests, building circuit boards, manufacturing VFVA chips, and so on. Most are full–time hourly employees.
The administrative staff is composed of the staff head (with an MBA from a major university), accountants, personnel
director, graphic artists, purchasing agent, project controller, technical writers/editors, and secretaries. Most of the people in
the administrative staff are women. All are hourly employees except the staff head, personnel director, and project controller.
The graphic artists and technical writer/editor are part–time employees.
The facilities staff is composed of the staff head and maintenance personnel. EL is housed in three different buildings,
and the primary responsibility of the facilities staff is to ensure that the facilities of each building are in good working order.
Additionally, the facilities staff is often called upon to remodel parts of the buildings as the staff continues to grow.
EL anticipates a major recruiting campaign to enhance the overall staff. In particular, it is looking for more technicians
and engineers. Prior to this recruiting campaign, however, the president of EL hired an outside consultant to assess employee
needs as well as the morale and overall effectiveness of the firm. The consultant has been observing EL for about three weeks
and has written up some notes of her impressions and observations of the company.
Consultant’s Notes from Observations of Electro Logic
Facilities: Electro Logic (EL) is housed in three different buildings. Two are converted houses, and one is an old school
building. Senior managers and engineers are in the school, and others are scattered between the houses.
Meetings: Weekly staff meetings in the main building are held to discuss objectives and to formulate and review
milestone charts.
Social interaction: A core group of employees interact frequently on a social basis, for example, sports teams, parties. The
administration staff celebrate birthdays at work. The president occasionally attends.
Work allocation: Engineers request various tasks from the support staff, which consists of technicians and administrative
unit personnel. There is obviously some discretion used by the staff in assigning priorities to the work requests, based on
rapport and desirability of the work.
Turnover: The highest turnover is among administrative personnel and technicians. Exit interviews with engineers
indicate they leave because of the company’s crisis–management style, better opportunities for career advancement and
33
security in larger organizations, and overall frustration with EL‘s “pecking order.” Engineers with the most responsibility and
authority tend to leave.
Salary and benefits: In general, wages at EL are marginal by national and local standards. A small group of scientists and
engineers do make substantial salaries and have a very attractive benefits package, including stock options. Salaries and
benefits for new engineers tend to be linked to the perceived level of their expertise.
Offices and facilities: Only EL’s president, vice–president, and chief financial officer have their own offices. Engineers are
grouped together in “pods” by project assignment. There is very little privacy in these work areas, and the noise from the
shared printer is distracting. The head of administration shares a pod with the personnel director, facilities head, and the
project controller. One to three secretaries per building are located in or near the reception areas. The large building has an
employee lounge with three vending machines. There is also a coffee and tea station. The smaller buildings have only a
soft–drink machine in the reception area.
Consultant’s Interviews with Employees
After making these observations, the consultant requested interviews with a cross–section of the staff for the purpose of
developing a survey to be taken of all employees. Presented below are excerpts from those interviews.
Pat Klausen, Senior Member of the Technical Staff
CONSULTANT: What is it about Electro Logic (EL) that gives you the most satisfaction?
PAT: I really enjoy the work. I mean, I’ve always liked to do research, and working on VFVA is an incredible opportunity.
Just getting to work with Steve (EL’s president and VFVA’s inventor) again is exciting. I was his graduate student about six
years ago, you know. He really likes to work closely with his peopleperhaps sometimes too closely. There have been times
when I could have done with a little less supervision.
CONSULTANT: What’s the least satisfying aspect of your work?
PAT: Probably the fact that I’m never quite sure that we’ll be funded next month, given the defense budget problems and the
tentativeness of our research. I’ve got a family to consider, and this place isn’t the most stable in terms of its financial
situation. Maybe it’ll change once we get more into commercial production. Who knows?
CONSULTANT: You’ve offered some general positives and negatives about EL. Can you be more specific about day–to–day
dealings? What’s good and bad about working here on a daily basis?
PAT: You’re sure this isn‘t going to get back to anyone? Okay. Well, in general I’m not satisfied with the fact that too often we
end up changing horses in the middle of the stream, if you know what I mean. In the past seven months, three of my
engineers and four of my techs have been pulled off my project and put onto projects whose deadlines were nearer than
mine. Now I’m faced with a deadline, and I’m supposed to be getting more staff. But I’ll have to spend so much time briefing
them that it might make more sense for me to just finish the project myself. On the other hand, Steve keeps telling me that we
have to be concerned with EL’s overall goals, not just our individual concernsyou know, we have to be “team players,”
“good members of the family.” It’s kind of hard to deal with that, though, when deadlines are bearing down and you know
your butt’s on the line, team player or not. But if you go along with this kind of stuff and don’t complain, the higher–ups treat
you well. Still, it seems to me there’s got to be a better way to manage these projects.
CONSULTANT: What are the positive aspects of your daily work?
PAT: Well, the people here are all great to work with. They know their stuff or can learn quickly. I tend to be a social person
and I really like socializing with these people. We play softball and basketball together and do happy hours and stuff. I like
that. I’ve got some good friends here, which helps get my work orders filled quickly, if you know what I mean.
Bob Christensen, Member of the Technical Staff
CONSULTANT: You said earlier that Steve was your advisor for your MS. So you’ve known him a long time.
BOB: Yes, that’s right. I’ve known Professor MorganStevefor about eight years. I had him for a few undergraduate classes;
then, of course, he was my advisor for my two–year master’s program, and now I’ve worked at Electro Logic (EL) for two
years.
CONSULTANT: It seems as if you enjoy working with Steve.
BOB: Oh, yeah. But I really don‘t get to work directly with him anymore. I‘ll see him at meetings and such, but that’s about it.
CONSULTANT: So he’s not your immediate supervisor?
BOB: No, but for the amount of time I spend with my supervisor, Steve might as well be. My boss and I meet maybe once
every three weeks for about an hour to see if all is well. And that’s it. The rest of the time, I’m on my own. I used to talk to
Steve when I had questions, but he’s gotten so busy now that it’s hard to see himyou need to make an appointment a few
days in advance.
34
CONSULTANT: Do you think your supervisor treats all his staff this way?
BOB: To be honest, I have heard some complaints. In fact, about six months ago, the situation was so bad, some other people
and I had a meeting with him. He promised that he would be more available to us and was, for about a month. Then we got
involved in a new proposal, so he made himself scarce again. So nothing’s really changed. We’re coming up on finalizing the
proposal now, and it’s important that I see him, ask him questions. The last few drafts I‘ve submitted to him, he‘s returned,
rewritten in his own way, and with no explanation of the changes. Sometimes I think he treats me like somebody who doesn’t
know anything, as if I had no training whatsoever. I realize his neck is on the line with this project, but sometimes it seems
that he uses being busy to avoid talking to me.
Chris Chen, Research Scientist
CONSULTANT: What kind of characteristics should a person have if he/she wants to work as a research scientist at Electro
Logic (EL)?
CHRIS: Well, certainly technical knowledge is important. When I’ve interviewed recent college grads for entry–level
positions, I am always concerned with their GPA. I like to see straight–A averages, if possible. But for experienced research
scientists, technical knowledge shows up in their publication records, mostly. So I’ll read their papers. I also think a research
scientist has to be highly self–motivated, not look to others for praise and such. Particularly here. If you want someone to tell
you you’ve done a good job, you’ll be waiting a long time. It’s not clear to me that research scientists really get the support we
need from the rest of the staff here. Work orders are often lost or put off for one reason or another. Senior members seem to
get more techs than scientists do, and they certainly get more attention from Steve. The rumor is that these guys also get
higher raises than the scientists; allegedly, this is to keep pay at an equitable rateyou know, they’re supposedly more
valuable to the company. Of course, everybody knows that most of the senior members are Steve’s old graduate students,
and so he takes care of them really well. One of the things that really galls me is that I need to keep up my publication record
to maintain my career options. But publishing is frowned on because it takes time away from your work. I’ve even been told
that my work can’t be published because of proprietary rights or that the defense department considers the information
classified. However, if somebody important is working with me and needs the publication, then it’s full steam ahead.
CONSULTANT: You sound pretty disgruntled with your work.
CHRIS: It’s not my work so much. I’m really very happy doing this workit’s cutting–edge, after all. The problem is that I’m
never quite sure where the work is going. I do my part of a project, and unless I go out of my way to talk to other people, I
never find out the final results of the total project. That’s just something you learn to live with around herebeing part of a
system that’s not particularly open.
Meg Conroy, Assistant to the Head of Administration
CONSULTANT: You’ve only been here a short time, is that correct?
MEG: That’s rightjust a little over a year.
CONSULTANT: Why did you take the job?
MEG: Well, I was in my last semester of college and was looking for a job, like most college seniors. My fiancé at the time
now he’s my husbandwas already working for Electro Logic (EL) and found out that there was an opening. So I applied.
CONSULTANT: So you were a business major in school?
MEG: Oh, no. I was a history major.
CONSULTANT: Do you like your job?
MEG: It has a lot to offer. I get paid pretty well for what I’m doing. And I’m learning a lot. I just wish the company would let
me take some classes in administration, like accounting. The auditors ask some pretty tough questions. Steve says we should
hire that expertise, but I’d still be responsible for supervising the people.
CONSULTANT: Is there any particular aspect about your job that you really find satisfying?
MEG: Well, let me think. I guess I like the fact that I get to do a lot of different tasks so that things don’t get so boring. I would
hate to have to do the same thing, day in and day out. A lot of times, I go to the library to do research on different things, and
that’s nice because it gets me out of the office.
CONSULTANT: What don’t you like about your job?
MEG: Well, I often get the feeling that administration isn’t taken seriously. You know, the engineers could get along without
us quite nicely, or so they seem to think. The whole structure of the department shows that we’re the catch–all department: If
you don’t fit anywhere else, they put you in here. Perhaps some of that is because our department is primarily womenin
fact, I’ve been told that 95 percent of all the female employees are in administration. Sometimes it‘s hard to work with the
engineers because they treat you like you don’t know anything, and they always want things to be done their way. Clearly,
the engineers get the money and consideration and yet, well, we do contribute quite a lot to the whole team, as Steve would
35
say. But words of praise just aren’t as impressive as actions. Sure, we get our birthday parties, but that still seems to be a little
patronizing. We rarely get to see what’s going on in the research area. I’ve asked a number of engineers specific questions,
and they just kind of look at me with a blank stare and give me some really simplified answer. It seems to me if you want to
build a family, like the president says, you can’t treat administration like a bad relation.
P. J. Ginelli, Technician
CONSULTANT: I gather you’ve just been through your semiannual performance appraisal. How did it go?
P. J.: Like I expected. No surprises.
CONSULTANT: Do you find these appraisals useful?
P. J.: Sure. I get to find out what he thinks of my work.
CONSULTANT: Is that all?
P. J.: Well, I suppose it‘s a nice opportunity to understand what my supervisor wants. Sometimes he’s not so clear during the
rest of the year. I suppose he’s been given specific goals from higher–ups before he talks with me, so he’s clear and then I’m
clear.
CONSULTANT: Do you like what you’re doing?
P. J.: Oh yeah. The best part is that I’m not at the main building and so I don’t have to put up with the “important” people,
you know? I’ve heard from other techs that those guys can be a real paintrying to be nice and all, but really just being a
bother. I mean, how can you get your stuff done when the president’s looking over your shoulder all the time? On the other
hand, if the president knows your name, I suppose that’s a good thing when it comes to raises and promotions. But my boss
sticks up for his techs; we get a fair deal from him.
CONSULTANT: Do you think you’ll be able to get ahead at Electro Logic (EL)?
P. J.: Get ahead? You mean become an engineer or something? No, and I really don’t want to do that. Everyone around here
keeps pushing me to move up. I’m afraid to tell people how I really feel for fear they‘ll decide I don’t fit into this high–tech
environment. I don’t want to be the “black sheep of the family.” I like where I am, and if the raises keep coming, I’ll keep
liking it. One of my kids is starting college next year, and I need the money to help her out. I get a lot of overtime, particularly
when contract deadlines are near. I suppose the rush toward the end of contracts gives some people big headaches, but for
me, I don’t mind. The work is pretty slow otherwise, and so at least I’m working all the time and then some. But my family
wishes my schedule was more predictable.
CONSULTANT: Do you think you’ll continue working for EL?
P. J.: I’m not sure I want to answer that. Let’s just say that my ratings on the performance appraisal were good, and I expect to
see an improvement in my pay. I’ll stay for that.
Chalida Montgomery, Technician
CONSULTANT: In general, what are your feelings about the work you do for Electro Logic (EL)?
CHALIDA: Well, I feel my work is quite good, but I also feel that I perform rather boring, tedious tasks. From what my
supervisor says, the kinds of things I do are what electrical engineering students do in their last year of classes. I gather their
final project is to make a circuit board, and that’s what I do, day in and day out.
CONSULTANT: What is it that you would like to do?
CHALIDA: Well, it would be nice to be able to offer some input into some of the designs of these boards. I know I don’t have
a Ph.D. or anything, but I do have lots of experience. But because I’m a tech, the engineers don’t really feel I’ve got much to
offereven though I build the boards and can tell from the design which one will do what the designer wants it to do. I also
would like to maybe supervise other technicians in my department. You know, some kind of advancement would be nice. As
it is, lots of techs ask me how to do things, and of course I help, but then they get the credit. Around here, you have to have a
piece of paper that says you’re educated before they let you officially help other people.
84)
Is anyone in particular exhibiting low motivation? Who? What evidence do you have to support your
conclusion?
36
85)
Would you say that Electro Logic’s main problems stem from lack of ability or lack of motivation? Why?
37
86)
You have noticed that your employee is not performing at the level you had hoped. In fact, you have
determined his poor performance is due to a lack of ability. Explain (in the order that they should be utilized)
the five tools an effective manager would employ in this situation.
87)
Explain the key steps a manager may take to foster exceptional behavior in subordinates. Then, explain how an
employee might act if the manager does not effectively utilize the key steps to foster exceptional behavior.
Electro Logic
Electro Logic (EL) is a small R&D firm located in a midwestern college town adjacent to a major university. Its primary
mission is to perform basic research on, and development of, a new technology called “Very Fast, Very Accurate” (VFVA).
Founded four years ago by Steve Morgan, an electrical engineering professor and inventor of the technology, EL is primarily
funded by government contracts, although it plans to market VFVA technology and devices to nongovernmental
organizations within the year.
The government is very interested in VFVA, as it will enhance radar technology, robotics, and a number of other
important defense applications. EL recently received the largest small–business contract ever awarded by the government to
research and develop this or any other technology. Phase I of the contract has just been completed, and the government has
agreed to Phase II contracting as well.
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The organizational chart of EL is shown in Figure 6.
Current membership is 75, with roughly 88 percent in engineering. Heads of staff are supposedly appointed based on
their knowledge of VFVA technology and their ability to manage people. In practice, the president of EL hand picks these
people based on what some might call arbitrary guidelines: Most of the staff leaders were or are the president’s graduate
students. There is no predetermined time frame for advancement up the hierarchy. Raises are, however, directly related to
performance appraisal evaluations.
Working directly with the engineers are the technicians. These people generally have a high school degree, although
some also have college degrees. They are trained on the job, although some have gone through a local community college’s
program on microtechnology fabrication. The technicians perform the mundane tasks of the engineering department:
running tests, building circuit boards, manufacturing VFVA chips, and so on. Most are full–time hourly employees.
The administrative staff is composed of the staff head (with an MBA from a major university), accountants, personnel
director, graphic artists, purchasing agent, project controller, technical writers/editors, and secretaries. Most of the people in
the administrative staff are women. All are hourly employees except the staff head, personnel director, and project controller.
The graphic artists and technical writer/editor are part–time employees.
The facilities staff is composed of the staff head and maintenance personnel. EL is housed in three different buildings,
and the primary responsibility of the facilities staff is to ensure that the facilities of each building are in good working order.
Additionally, the facilities staff is often called upon to remodel parts of the buildings as the staff continues to grow.
EL anticipates a major recruiting campaign to enhance the overall staff. In particular, it is looking for more technicians
and engineers. Prior to this recruiting campaign, however, the president of EL hired an outside consultant to assess employee
needs as well as the morale and overall effectiveness of the firm. The consultant has been observing EL for about three weeks
and has written up some notes of her impressions and observations of the company.
Consultant’s Notes from Observations of Electro Logic
Facilities: Electro Logic (EL) is housed in three different buildings. Two are converted houses, and one is an old school
building. Senior managers and engineers are in the school, and others are scattered between the houses.
Meetings: Weekly staff meetings in the main building are held to discuss objectives and to formulate and review
milestone charts.
Social interaction: A core group of employees interact frequently on a social basis, for example, sports teams, parties. The
administration staff celebrate birthdays at work. The president occasionally attends.
Work allocation: Engineers request various tasks from the support staff, which consists of technicians and administrative
unit personnel. There is obviously some discretion used by the staff in assigning priorities to the work requests, based on
rapport and desirability of the work.
Turnover: The highest turnover is among administrative personnel and technicians. Exit interviews with engineers
indicate they leave because of the company’s crisis–management style, better opportunities for career advancement and
security in larger organizations, and overall frustration with EL‘s “pecking order.” Engineers with the most responsibility and
authority tend to leave.
Salary and benefits: In general, wages at EL are marginal by national and local standards. A small group of scientists and
engineers do make substantial salaries and have a very attractive benefits package, including stock options. Salaries and
benefits for new engineers tend to be linked to the perceived level of their expertise.
Offices and facilities: Only EL’s president, vice–president, and chief financial officer have their own offices. Engineers are
grouped together in “pods” by project assignment. There is very little privacy in these work areas, and the noise from the
shared printer is distracting. The head of administration shares a pod with the personnel director, facilities head, and the
project controller. One to three secretaries per building are located in or near the reception areas. The large building has an
employee lounge with three vending machines. There is also a coffee and tea station. The smaller buildings have only a
soft–drink machine in the reception area.
Consultant’s Interviews with Employees
After making these observations, the consultant requested interviews with a cross–section of the staff for the purpose of
developing a survey to be taken of all employees. Presented below are excerpts from those interviews.
Pat Klausen, Senior Member of the Technical Staff
CONSULTANT: What is it about Electro Logic (EL) that gives you the most satisfaction?
PAT: I really enjoy the work. I mean, I’ve always liked to do research, and working on VFVA is an incredible opportunity.
Just getting to work with Steve (EL’s president and VFVA’s inventor) again is exciting. I was his graduate student about six
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years ago, you know. He really likes to work closely with his peopleperhaps sometimes too closely. There have been times
when I could have done with a little less supervision.
CONSULTANT: What’s the least satisfying aspect of your work?
PAT: Probably the fact that I’m never quite sure that we’ll be funded next month, given the defense budget problems and the
tentativeness of our research. I’ve got a family to consider, and this place isn’t the most stable in terms of its financial
situation. Maybe it’ll change once we get more into commercial production. Who knows?
CONSULTANT: You’ve offered some general positives and negatives about EL. Can you be more specific about day–to–day
dealings? What’s good and bad about working here on a daily basis?
PAT: You’re sure this isn‘t going to get back to anyone? Okay. Well, in general I’m not satisfied with the fact that too often we
end up changing horses in the middle of the stream, if you know what I mean. In the past seven months, three of my
engineers and four of my techs have been pulled off my project and put onto projects whose deadlines were nearer than
mine. Now I’m faced with a deadline, and I’m supposed to be getting more staff. But I’ll have to spend so much time briefing
them that it might make more sense for me to just finish the project myself. On the other hand, Steve keeps telling me that we
have to be concerned with EL’s overall goals, not just our individual concernsyou know, we have to be “team players,”
“good members of the family.” It’s kind of hard to deal with that, though, when deadlines are bearing down and you know
your butt’s on the line, team player or not. But if you go along with this kind of stuff and don’t complain, the higher–ups treat
you well. Still, it seems to me there’s got to be a better way to manage these projects.
CONSULTANT: What are the positive aspects of your daily work?
PAT: Well, the people here are all great to work with. They know their stuff or can learn quickly. I tend to be a social person
and I really like socializing with these people. We play softball and basketball together and do happy hours and stuff. I like
that. I’ve got some good friends here, which helps get my work orders filled quickly, if you know what I mean.
Bob Christensen, Member of the Technical Staff
CONSULTANT: You said earlier that Steve was your advisor for your MS. So you’ve known him a long time.
BOB: Yes, that’s right. I’ve known Professor MorganStevefor about eight years. I had him for a few undergraduate classes;
then, of course, he was my advisor for my two–year master’s program, and now I’ve worked at Electro Logic (EL) for two
years.
CONSULTANT: It seems as if you enjoy working with Steve.
BOB: Oh, yeah. But I really don‘t get to work directly with him anymore. I‘ll see him at meetings and such, but that’s about it.
CONSULTANT: So he’s not your immediate supervisor?
BOB: No, but for the amount of time I spend with my supervisor, Steve might as well be. My boss and I meet maybe once
every three weeks for about an hour to see if all is well. And that’s it. The rest of the time, I’m on my own. I used to talk to
Steve when I had questions, but he’s gotten so busy now that it’s hard to see himyou need to make an appointment a few
days in advance.
CONSULTANT: Do you think your supervisor treats all his staff this way?
BOB: To be honest, I have heard some complaints. In fact, about six months ago, the situation was so bad, some other people
and I had a meeting with him. He promised that he would be more available to us and was, for about a month. Then we got
involved in a new proposal, so he made himself scarce again. So nothing’s really changed. We’re coming up on finalizing the
proposal now, and it’s important that I see him, ask him questions. The last few drafts I‘ve submitted to him, he‘s returned,
rewritten in his own way, and with no explanation of the changes. Sometimes I think he treats me like somebody who doesn’t
know anything, as if I had no training whatsoever. I realize his neck is on the line with this project, but sometimes it seems
that he uses being busy to avoid talking to me.
Chris Chen, Research Scientist
CONSULTANT: What kind of characteristics should a person have if he/she wants to work as a research scientist at Electro
Logic (EL)?
CHRIS: Well, certainly technical knowledge is important. When I’ve interviewed recent college grads for entry–level
positions, I am always concerned with their GPA. I like to see straight–A averages, if possible. But for experienced research
scientists, technical knowledge shows up in their publication records, mostly. So I’ll read their papers. I also think a research
scientist has to be highly self–motivated, not look to others for praise and such. Particularly here. If you want someone to tell
you you’ve done a good job, you’ll be waiting a long time. It’s not clear to me that research scientists really get the support we
need from the rest of the staff here. Work orders are often lost or put off for one reason or another. Senior members seem to
get more techs than scientists do, and they certainly get more attention from Steve. The rumor is that these guys also get
higher raises than the scientists; allegedly, this is to keep pay at an equitable rateyou know, they’re supposedly more
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