83)
There are 10 rules of thumb involved in engaging employees effectively. Explain the following rule in more
depth and provide an example: Specify level of initiative.
Minding the Store
On January 1, Ruth Cummings was formally named branch manager for the Saks Fifth Avenue store in a suburb of
Denver. Her boss, Ken Hoffman, gave her this assignment on her first day: “Ruth, I’m putting you in charge of this store.
Your job will be to run it so that it becomes one of the best stores in the system. I have a lot of confidence in you, so don’t let
me down.”
One of the first things Ruth did was to hire an administrative assistant to handle inventories. Because this was such an
important part of the job, she agreed to pay her assistant slightly more than the top retail clerks were making. She felt that
having an administrative assistant would free her to handle marketing, sales, and personnel mattersareas she felt were
crucial if the store was to be a success.
Within the week, however, she received a call from Hoffman: “Say, Ruth, I heard that you hired an administrative
assistant to handle inventories. Don’t you think that is a bit risky? Besides, I think paying an assistant more than your top
salesclerk is damaging to morale in the store. I wish you had cleared this with me before you made the move. It sets a bad
precedent for the other stores, and it makes me look like I don’t know what is going on in the branches.”
Three weeks later, Ruth appeared on a local noontime talk show to discuss new trends in fashion. She had worked hard
to make contact with the hosts of the show, and she felt that public exposure like this would increase the visibility of her
store. Although the TV spot lasted only 10 minutes, she was pleased with her performance and with the chance to get public
exposure.
Later that night at home, she received another phone call from Hoffman: “Don’t you know the policy of Saks? Any TV
appearances made on behalf of the store are to be cleared through the main office. Normally, we like to have representatives
from the main store appear on these kinds of shows because they can do a better job of plugging our merchandise. It’s too
bad that you didn’t notify someone of your intentions. This could be very embarrassing for me.”
Just before Easter, Ruth was approached in the store by one of the salesclerks. A customer had asked to charge
approximately $3,000 worth of china as a gift for his wife. He had been a customer of the store for several years and Ruth had
seen him on several occasions, but store rules indicated that no charge could be made for more than $1,000 for any reason.
She told the customer that she was not authorized to okay a charge of that amount, but that if he would visit the main store in
Denver, maybe arrangements could be made.
Later in the day, an irate Hoffman called again: “What in the world are you thinking about, Ruth? Today we had a
customer come into the main store and say that you wouldn’t make a sale to him because the charge was too much. Do you
know how long he has been a customer of ours? Do you know how much he spends in the store every year? I certainly hope
we have not lost him as a customer because of your blunder. This makes me very upset. You’ve just got to learn to use your
head.”
Ruth thought about the conversation for several days and finally decided that she needed to see Ken Hoffman. She called
his secretary to schedule an appointment for the following day.
84)
What are the questions that Ruth should ask Ken to help her acquire the necessary elements of empowerment?
What questions should Ken ask Ruth to be better able to ensure her success?
85)
Compare and contrast the key differences between power and empowerment.
86)
There are 10 rules of thumb involved in engaging employees effectively. Explain the following rule in more
depth and provide an example: Match authority with responsibility.
87)
There are 10 rules of thumb involved in engaging employees effectively. Explain the following rule in more
depth and provide an example: Allow Participation.
Minding the Store
On January 1, Ruth Cummings was formally named branch manager for the Saks Fifth Avenue store in a suburb of
Denver. Her boss, Ken Hoffman, gave her this assignment on her first day: “Ruth, I’m putting you in charge of this store.
Your job will be to run it so that it becomes one of the best stores in the system. I have a lot of confidence in you, so don’t let
me down.”
One of the first things Ruth did was to hire an administrative assistant to handle inventories. Because this was such an
important part of the job, she agreed to pay her assistant slightly more than the top retail clerks were making. She felt that
having an administrative assistant would free her to handle marketing, sales, and personnel mattersareas she felt were
crucial if the store was to be a success.
Within the week, however, she received a call from Hoffman: “Say, Ruth, I heard that you hired an administrative
assistant to handle inventories. Don’t you think that is a bit risky? Besides, I think paying an assistant more than your top
salesclerk is damaging to morale in the store. I wish you had cleared this with me before you made the move. It sets a bad
precedent for the other stores, and it makes me look like I don’t know what is going on in the branches.”
Three weeks later, Ruth appeared on a local noontime talk show to discuss new trends in fashion. She had worked hard
to make contact with the hosts of the show, and she felt that public exposure like this would increase the visibility of her
store. Although the TV spot lasted only 10 minutes, she was pleased with her performance and with the chance to get public
exposure.
Later that night at home, she received another phone call from Hoffman: “Don’t you know the policy of Saks? Any TV
appearances made on behalf of the store are to be cleared through the main office. Normally, we like to have representatives
from the main store appear on these kinds of shows because they can do a better job of plugging our merchandise. It’s too
bad that you didn’t notify someone of your intentions. This could be very embarrassing for me.”
Just before Easter, Ruth was approached in the store by one of the salesclerks. A customer had asked to charge
approximately $3,000 worth of china as a gift for his wife. He had been a customer of the store for several years and Ruth had
seen him on several occasions, but store rules indicated that no charge could be made for more than $1,000 for any reason.
She told the customer that she was not authorized to okay a charge of that amount, but that if he would visit the main store in
Denver, maybe arrangements could be made.
Later in the day, an irate Hoffman called again: “What in the world are you thinking about, Ruth? Today we had a
customer come into the main store and say that you wouldn’t make a sale to him because the charge was too much. Do you
know how long he has been a customer of ours? Do you know how much he spends in the store every year? I certainly hope
we have not lost him as a customer because of your blunder. This makes me very upset. You’ve just got to learn to use your
head.”
Ruth thought about the conversation for several days and finally decided that she needed to see Ken Hoffman. She called
his secretary to schedule an appointment for the following day.
88)
What advantages can come to the store through proper delegation?
89)
Explain the five key criteria one should focus on in determining when to delegate work to others.
Minding the Store
On January 1, Ruth Cummings was formally named branch manager for the Saks Fifth Avenue store in a suburb of
Denver. Her boss, Ken Hoffman, gave her this assignment on her first day: “Ruth, I’m putting you in charge of this store.
Your job will be to run it so that it becomes one of the best stores in the system. I have a lot of confidence in you, so don’t let
me down.”
One of the first things Ruth did was to hire an administrative assistant to handle inventories. Because this was such an
important part of the job, she agreed to pay her assistant slightly more than the top retail clerks were making. She felt that
having an administrative assistant would free her to handle marketing, sales, and personnel mattersareas she felt were
crucial if the store was to be a success.
Within the week, however, she received a call from Hoffman: “Say, Ruth, I heard that you hired an administrative
assistant to handle inventories. Don’t you think that is a bit risky? Besides, I think paying an assistant more than your top
salesclerk is damaging to morale in the store. I wish you had cleared this with me before you made the move. It sets a bad
precedent for the other stores, and it makes me look like I don’t know what is going on in the branches.”
Three weeks later, Ruth appeared on a local noontime talk show to discuss new trends in fashion. She had worked hard
to make contact with the hosts of the show, and she felt that public exposure like this would increase the visibility of her
store. Although the TV spot lasted only 10 minutes, she was pleased with her performance and with the chance to get public
exposure.
Later that night at home, she received another phone call from Hoffman: “Don’t you know the policy of Saks? Any TV
appearances made on behalf of the store are to be cleared through the main office. Normally, we like to have representatives
from the main store appear on these kinds of shows because they can do a better job of plugging our merchandise. It’s too
bad that you didn’t notify someone of your intentions. This could be very embarrassing for me.”
Just before Easter, Ruth was approached in the store by one of the salesclerks. A customer had asked to charge
approximately $3,000 worth of china as a gift for his wife. He had been a customer of the store for several years and Ruth had
seen him on several occasions, but store rules indicated that no charge could be made for more than $1,000 for any reason.
She told the customer that she was not authorized to okay a charge of that amount, but that if he would visit the main store in
Denver, maybe arrangements could be made.
Later in the day, an irate Hoffman called again: “What in the world are you thinking about, Ruth? Today we had a
customer come into the main store and say that you wouldn’t make a sale to him because the charge was too much. Do you
know how long he has been a customer of ours? Do you know how much he spends in the store every year? I certainly hope
we have not lost him as a customer because of your blunder. This makes me very upset. You’ve just got to learn to use your
head.”
Ruth thought about the conversation for several days and finally decided that she needed to see Ken Hoffman. She called
his secretary to schedule an appointment for the following day.
90)
What guidelines related to delegation were violated by Ken?
91)
How is power used instead of empowerment? What needs to change to shift power to empowerment?
92)
Nine principles were provided on how to develop empowerment in employees. Explain five of these principles
and provide an example of each principle.
Minding the Store
On January 1, Ruth Cummings was formally named branch manager for the Saks Fifth Avenue store in a suburb of
Denver. Her boss, Ken Hoffman, gave her this assignment on her first day: “Ruth, I’m putting you in charge of this store.
Your job will be to run it so that it becomes one of the best stores in the system. I have a lot of confidence in you, so don’t let
me down.”
One of the first things Ruth did was to hire an administrative assistant to handle inventories. Because this was such an
important part of the job, she agreed to pay her assistant slightly more than the top retail clerks were making. She felt that
having an administrative assistant would free her to handle marketing, sales, and personnel mattersareas she felt were
crucial if the store was to be a success.
Within the week, however, she received a call from Hoffman: “Say, Ruth, I heard that you hired an administrative
assistant to handle inventories. Don’t you think that is a bit risky? Besides, I think paying an assistant more than your top
salesclerk is damaging to morale in the store. I wish you had cleared this with me before you made the move. It sets a bad
precedent for the other stores, and it makes me look like I don’t know what is going on in the branches.”
Three weeks later, Ruth appeared on a local noontime talk show to discuss new trends in fashion. She had worked hard
to make contact with the hosts of the show, and she felt that public exposure like this would increase the visibility of her
store. Although the TV spot lasted only 10 minutes, she was pleased with her performance and with the chance to get public
exposure.
Later that night at home, she received another phone call from Hoffman: “Don’t you know the policy of Saks? Any TV
appearances made on behalf of the store are to be cleared through the main office. Normally, we like to have representatives
from the main store appear on these kinds of shows because they can do a better job of plugging our merchandise. It’s too
bad that you didn’t notify someone of your intentions. This could be very embarrassing for me.”
Just before Easter, Ruth was approached in the store by one of the salesclerks. A customer had asked to charge
approximately $3,000 worth of china as a gift for his wife. He had been a customer of the store for several years and Ruth had
seen him on several occasions, but store rules indicated that no charge could be made for more than $1,000 for any reason.
She told the customer that she was not authorized to okay a charge of that amount, but that if he would visit the main store in
Denver, maybe arrangements could be made.
Later in the day, an irate Hoffman called again: “What in the world are you thinking about, Ruth? Today we had a
customer come into the main store and say that you wouldn’t make a sale to him because the charge was too much. Do you
know how long he has been a customer of ours? Do you know how much he spends in the store every year? I certainly hope
we have not lost him as a customer because of your blunder. This makes me very upset. You’ve just got to learn to use your
head.”
Ruth thought about the conversation for several days and finally decided that she needed to see Ken Hoffman. She called
his secretary to schedule an appointment for the following day.
93)
What should Ruth and Ken discuss in their meeting? Identify specific agenda items that should be raised.
Mini–Case: The Task Force. On July 12, you were hired as a manager of sales for a company that sells human resources
information systems (HRIS) software. During your first meeting with your sales staff, you determine your sales force is in
shambles. It is evident that morale is low so you ask your employees to provide you with a list of their most pressing
concerns via e–mail by the end of the week. It is now 5 p.m. Friday evening, July 16, and you are in your office summarizing
the complaints. The most pressing concerns voiced by your sales staff include lack of resources in the field, commission rates
(compensation) are too low, and support and follow–up from the customer services department are lacking. As a former
salesperson yourself, you know how critical the sales force is to the company’s success. To address your employees’ concerns,
you decide to form a task force to generate ideas to resolve the problems. To encourage creative, innovative solutions, you
have decided not to monitor the progress of the task force. Therefore, your influence on the suggestions of the task force will
be minimal. You charge the task force to provide you with three specific suggestions, along with the strengths and
weaknesses for each suggestion, by July 30.
94)
Issues related to delegation are noticeable in The Task Force case. Based on the information in the case, identify
the principles related to delegating work effectively that are evident; next, identify the principles that may either
be lacking or cannot be determined due to insufficient information. Provide support for your answer.
95)
Explain the advantages or positive outcomes of engaging employees.
Minding the Store
On January 1, Ruth Cummings was formally named branch manager for the Saks Fifth Avenue store in a suburb of
Denver. Her boss, Ken Hoffman, gave her this assignment on her first day: “Ruth, I’m putting you in charge of this store.
Your job will be to run it so that it becomes one of the best stores in the system. I have a lot of confidence in you, so don’t let
me down.”
One of the first things Ruth did was to hire an administrative assistant to handle inventories. Because this was such an
important part of the job, she agreed to pay her assistant slightly more than the top retail clerks were making. She felt that
having an administrative assistant would free her to handle marketing, sales, and personnel mattersareas she felt were
crucial if the store was to be a success.
Within the week, however, she received a call from Hoffman: “Say, Ruth, I heard that you hired an administrative
assistant to handle inventories. Don’t you think that is a bit risky? Besides, I think paying an assistant more than your top
salesclerk is damaging to morale in the store. I wish you had cleared this with me before you made the move. It sets a bad
precedent for the other stores, and it makes me look like I don’t know what is going on in the branches.”
Three weeks later, Ruth appeared on a local noontime talk show to discuss new trends in fashion. She had worked hard
to make contact with the hosts of the show, and she felt that public exposure like this would increase the visibility of her
store. Although the TV spot lasted only 10 minutes, she was pleased with her performance and with the chance to get public
exposure.
Later that night at home, she received another phone call from Hoffman: “Don’t you know the policy of Saks? Any TV
appearances made on behalf of the store are to be cleared through the main office. Normally, we like to have representatives
from the main store appear on these kinds of shows because they can do a better job of plugging our merchandise. It’s too
bad that you didn’t notify someone of your intentions. This could be very embarrassing for me.”
Just before Easter, Ruth was approached in the store by one of the salesclerks. A customer had asked to charge
approximately $3,000 worth of china as a gift for his wife. He had been a customer of the store for several years and Ruth had
seen him on several occasions, but store rules indicated that no charge could be made for more than $1,000 for any reason.
She told the customer that she was not authorized to okay a charge of that amount, but that if he would visit the main store in
Denver, maybe arrangements could be made.
Later in the day, an irate Hoffman called again: “What in the world are you thinking about, Ruth? Today we had a
customer come into the main store and say that you wouldn’t make a sale to him because the charge was too much. Do you
know how long he has been a customer of ours? Do you know how much he spends in the store every year? I certainly hope
we have not lost him as a customer because of your blunder. This makes me very upset. You’ve just got to learn to use your
head.”
Ruth thought about the conversation for several days and finally decided that she needed to see Ken Hoffman. She called
his secretary to schedule an appointment for the following day.
96)
If you were an outside consultant attending the meeting, what advice would you give Ken? What advice would
you give Ruth?
Answer Key
Testname: C8
Answer Key
Testname: C8
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Answer Key
Testname: C8
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Answer Key
Testname: C8
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