In: Operations Management
Case study:
Ingrid is the CEO of Bathurst Bank, she is currently undergoing a dilemma on deciding a suitable replacement for an HR director position, as the current HR director Liz is going on a maternal leave. Ingrid has the options to either promote someone from Liz’s department to step in or find an external person to cover the maternal leave period on a shortterm contract. She has canvassed the team leaders of 4 sizeable teams that are under Liz’s management. The opinions and viewpoints expressed by the team leaders vary drastically.
Giovanni, the team leader of talent and development team, strongly recommends himself as the replacement person, while the other team leaders respond with anyone but Giovanni. According to Liz’s report on Giovanni’s last performance appraisal, Giovanni is an exceptional performer in the work he does and has a great ability to contribute to the organization. However, there are several complaints received regarding Giovanni’s poor conflict management skills and his ambiguous and competitive personality, both coming from his own team members and from other teams as well. Ingrid would like to keep Giovanni to stay with the company, without giving him this promotion, so she thinks of giving Giovanni a pay rise as a compensate.
In their meeting together, Giovanni is extremely shocked by Ingrid’s decision of asking an external person to be the replacement, as Giovanni has always thought he would be the best candidate for this promotion due to his outstanding performance. The meeting leaves Giovanni disappointed and Ingrid stressed. Later in the day, Giovanni sends a following up email to Ingrid, expressing that he is not particularly happy about Ingrid’s decision, he also expressed that if he doesn’t see a future here at Bathurst Bank, he will seek for alternative opportunities, and he really appreciates the pay rise but would rather see it as a token gesture rather than based on his actual performance at the organization. The email left Ingrid dreading about what to do with Giovanni.
Questions:
1. Should Ingrid have given Giovanni a Pay Raise? If so, discuss
it in term of effectiveness and advantages.
2. Analysis for key reasons to Job Dissatisfaction
1.
Ingrid did so so that Giovanni doesn't feel bad that she has not been hired as an HR. I appreciate that Ingrid offered a pay raise. Giovanni is skillful. The feedback for Giovanni is both good & bad. It could happen that due to pay raise he may perform well later.
Hiring someone externally is a good Idea since people come up with new ideas & knowledge and outsiders also get a chance to showcase their work & performance. It may be that Giovanni was not that good enough for the position of HR. Thus Ingrid didn't give the opportunity to Giovanni. It is obvious that the other person could feel bad about it since he was a good leader.
2. Giovanni, for his self-respect, resigned from the designation and wanted to work somewhere else although she got a pay raise. He was not happy with Ingrid's decision. He didn't want to work here anymore since its a disrespect of a person in front of everyone. It's his own choice & he has the full rights to do what he wants to do,either be in the company or leave.