47. INCIDENT: NEPOTISM
I. OVERVIEW:
This incident focuses on the topic of nepotism, the hiring or relatives within an organization.
While large companies in the U.S. get most of the media attention, small firm far outnumber large ones
and employ more workers. One of the problems that develop in some firm is the hiring of
sons/daughters/sisters/brothers/cousins/etc. This incident examines one of the many problems that may
develop when nepotism occurs-conflict over the hiring and employing of these relatives.
II. OBJECTIVES:
The primary purpose of this incident is to examine the advantages and disadvantages of hiring
and employing relatives. It also examines the issue of how to deal with a manager (Doris) who refuses to
supervise an employee (the daughter of the firm’s owner). As a minor issue, the incident raises the issue
of how a firm should deal with o9ce romances.
III. ANSWERS TO INCIDENT QUESTIONS:
1. What are the major problems in this case?
There are numerous problems that appear in this case. First, one of the firm’s partners has
thrust his daughter upon a branch of the firm without asking for anyone’s input first. He did not ask if
there was work for Ellen to do, or whether there was a work desk for her, or whether there would be any
problems that might result from her arrival. In addition, he did not suggest whether Ellen should be
Second, Doris’s behavior in this incident is unacceptable. She has become very de+ant and now
refuses to supervise Ellen or have anything to do with her. She has abdicated her responsibilities and
thrust them upon Jim. While we may understand why she is behaving this way, her behavior is still
problematic. Supervisors have a responsibility to perform all of the tasks assigned to them. They are not