Wal-Mart vs Union Backed Our Wal-Mart, Term Paper Example

Problem One

When Svendsen interrupted the meeting and announced the September surplus sales amount, she was applying the political perspective of the Bolman and Deal theory. She was attempting to apply politics in order to make her point outshine the reward moment that Standebaum was applying as a motivation for the employees. In this characteristic, she failed to take into account that the central aspects of the organizations are the personnel (Gallos 4).

The leadership style of Mr. Standebaum is reward oriented. There are a number of content theories that address what Mr. Standebaum was conducting. The rewarding of the trips to Italy were extrinsic motivations which were directed at rewarding the personnel for an endeavor well accomplished (French 170). This type of leadership is transactional leadership that is based on rewards for attaining the organizational objective.

A team that is properly motivated can be pone of the significant qualities that contribute to the success of an organization. As the employees are motivated to produce at more elevated levels of productivity, the motivated members of organizations produce more effectively than a team that is not properly motivated. The team that is improperly motivated has the potential of disrupting the organizational flow. This is why managers are required to comprehend the significance of reward systems and the manner by which the reward systems are applied on order to impact the employee’s behavior (Staw 199).

Rewards are designated as positive results that the employees earn through accomplishing excellent production. The rewards that are given by the managers in extrinsic rewards are usually in alignment with the organization’s objectives. As an employee is able to accomplish their goals, rewards ensure. There are two categories of rewards that can be delegated. These types of rewards are extrinsic and intrinsic rewards.

The intrinsic rewards are derived from internal satisfaction. The intrinsic reward originates in the form of praise. It can be motivated by the task which is being conducted. Due to the attribute of the motivational factors being present in each individual, the achievement does not rely on others in the environment. There are many who perceive that the most robust rewards originate from inside the person. The intrinsic rewards are inclusive of elements which include accomplishment, perceptions of pleasure, professional growth and personal achievement (Reiss 154).

In the working environment, there is the economy. In the knowledge based economic system, the most important asset that can be presented by an employee is the characteristics of intelligence Problem solving capacities and personality, the qualities of intrinsic rewards have great significance for employees. Fredrick Herzberg encountered that the intrinsic rewards were of a greater motivational value that the extrinsic rewards in motivating employees. This does not infer that the employees will not seek for extrinsic advantages in conjunction with the intrinsic benefits. This implies that the economic benefits do not remain as the primary factor (Reiss 154).

An associate may desire to achieve a sales quota that has been established by the members of the management staff. This quota may be achieved in order to attain the bonus that is associated with the attainment of the sales quota. If the employee does not have a perception of attainment as a component of reaching the sales quota, the factor of motivation that is directed toward making the sales quota becomes less robust. In order to assist the employees with the characteristics of intrinsic motivation, the managers have the responsibility of being able to provide work which has specific types of significance. In addition, the employees should be endowed with elevated levels of autonomy (Levesque 1478).

The management should also create opportunities for the employees to demonstrate their levels of competence in the areas that they specialize. The management should enable professional development in order to facilitate the employee having the ability of expanding with regards to their levels of cognizance. The management should provide opportunities where the employees are able to apply intrinsic self-rewarding motivation. In addition, the employees should be granted the opportunity of being able to make connections with the people through which they receive feedback. Furthermore, the employees should be granted a path in order to review the milestones that have been attained on the way to their goal.

Extrinsic Rewards

The qualities of extrinsic motivation are founded upon rewards that can be physically perceived. There is a distinction from the self-administered intrinsic motivation. Extrinsic motivation is derived from external sources. Extrinsic rewards are usually presented by a manager who administrates all of the authority with regards to the administration of the amount and quality of extrinsic reward. The extrinsic rewards are usually economic. Extrinsic rewards may be composed of a salary increase, a premium for the attainment of a specific quality or compensated level of absence. The Extrinsic rewards may be as fundamental as providing the employee with an enhanced office, public awards, promotions or additional peripheral responsibilities (Levesque 1478).

The financial rewards can provide motivation to the employees due to the attribute that additional pay, compensated leave of absence, recognition and advancement are of great importance to the majority of employees. There are a number of workers who are unappreciated, overworked and underpaid. A person who is extrinsically motivated is capable of working on a task that they do not find agreeable due to the level of the extrinsic motivation that is being presented. Extrinsic motivations are essential to the success and wellbeing of an organization. An employee who is involved in sales may find the product that he is selling to be unappealing. However, due to the extrinsic motivation that is being offered upon fulfillment of a sales quota, the employee may be able to summon the energy in order to make the effort of fulfilling the sales quota (Levesque 1478).

Problem Two

The editorial manager was applying a team oriented reward in delegating the trips to Italy. The trips were to be given as a form of appreciation for the attainment of the organizational objective. The employees were appreciative of the respect for their endeavors that was being delegated by the editorial manager, Mr. Standebaum (French 170). This category of reward supplies a concise vision of the correct path that the employees were following. The gifts were given with the intention of providing motivational incentives for the team to attain elevated levels of production and accomplishments. The distinction with extrinsic motivation and intrinsic motivation is that extrinsic motivational rewards are tangible. The intrinsic motivations pertain to the delegating of rewards.  Motivation pertains to the causal attribute that compels a person to conduct specific behaviors or activities. The delegating of rewards is distinct from motivations. The rewards that were being delegated by the editorial manager, Mr. Strandebaum were what the team would receive for accomplishing an organizational goal. A fundamental manner of reviewing the distention that is present between motivations and rewards is to remember that the motivation precedes the behavior. The behavior usually precedes the reward. The reward is provided as reinforcement for desired behavior

An extrinsic reward is usually delegated as a tangible item for the attainment of a goal. The reward is something that is given in order for the employee to remember the actions which gained the management‘s approval. The intrinsic rewards originate from within the manager and are directed toward the employee in the form of praise. The extrinsic rewards are directed toward the employee in tangible form. Strandebaum was applying content theory. He was considering the content theories of Maslow in his delegation of the rewards.

The type of leadership that Mr. Strandebaum exercised could be detailed as transactional leadership. It could also be detailed as situational leadership. This leadership model places emphasis on contingency planning. The Hersey and Blanchard situational model is applied by numerous manager education organizations. The Hersey and Blanchard model is directed toward the preparedness of the employees in an organization. The Hersey and Blanchard model of situational administration provides the manager’s placing emphasis on the task behaviors. The primary leadership styles are:

1. Delegating responsibility.
2. Participatory administration.
3. Promoting ideas.
4. Directing by instruction.

All of the different leadership styles in the Hersey and Blanchard model are directed toward a distinct relationship and task. The paradigm infers that a specific leadership style should be conducted by the followers at the different levels of preparedness. The directed instructional style of leadership ids the optimal style for the employees that have a low level of preparedness. This model of leadership is applied for the employees who do not have the capacity of being able to assume the responsibility by themselves. The directed instruction form of Hersey and Blanchard situational leadership model is applied for employees who do not feel assertive that the tasks can be effectively accomplished.

The promotional style is applied for the employees who have a moderate level of readiness. This leadership model provides support and direction for the individuals who have the willingness to assume the responsibiliti4es of the task. These employees may lack the aptitude of accomplishing the tasks. Attainment oriented leadership is directed toward the establishing of objectives. This model of leadership places emphasis on excellence. This model is applied for managers who have confidence in the aptitudes of the team member. In the event that the manager is fully confidence with regards to the competencies of the employees, the participation leadership model may be applied. This style is a democratic form of leadership that enables the consultation with the members of the team prior to the completion and assignment of the tasks.

The contingency variables that were considered are the actions that were conducted by Mr. Strandebaum incorporated the qualities of the employees and the qualities of the environment in which they work. The significant characteristics that Mr. Strandebaum considered were the qualities of rigidity of the employees, the qualities of rigidity of the management style that was applied, the locus of administration, the authority matrix that is applied and the main work team. The House Path- goal perspective has been the subject of substantial debate. There are studies that demonstrate the efficiency of this model of management. The leadership style can be altered as the manager sees appropriate. The leadership characteristics are reliant on the qualities of the context and the motivation of the staff. In the consideration of these three qualities in conjunction, outputs can be derived that increase the efficiency of the employee, leadership staff and the organization (Bass 64).

The House path goal theory of administration is founded on the expectancy paradigm of motivating factors. The designation of path- goal is applied due to the manner by which the manager has the capacity of being able to influence the perceptions of the staff with regards to the organizational goals and the personal objectives. The connections between the two paths are emphasized in this form of leadership. Mr. Strandebaum applied this type of leadership in providing the trips to o Italy.

In the Fiedler contingency style of leadership, the relationships between the leader and the employees are considered. The leader is motivated by accomplishing the endeavor. The relationship motivated leader is directed toward the maintenance of the employee relations. The variables that are considered in this style of management are the elevated levels of control, the moderate levels of control and the minimal levels of control. In the Fiedler contingency leadership format, the managers can anticipate the outcomes with a high level of probability with regard to the outcomes of what will occur when a task is assigned to an employee. The Fiedler leadership theory applies a tool which is designated as the LPC (Least desired co- worker) in order to assess the management personnel style. Fiedler debates that the leaders who have high levels of being the LPC (least desired co- workers) manifest a style that is relationship motivated. The managers who have a low rating with regards to the LPC (Least desired co- worker) have a style that is directed toward the accomplishment of the task. Mr. Strandebaum is motivated by the accomplishment of the task. The ideal manager-employee situation in the situational theories application is applied in the optimal circumstance (Bass 56).

Transformational leadership is when the managers widen and raise the interests of the employees. The managers create an interest and consensus with regards to the objectives of the team. As a result, the employees are motivated to view beyond their proprietary self-interests.  Transformational leadership is applied when the employee’s objectives are widened and raised. In addition, the employees are instilled with confidence to exceed their anticipated capacities. The perspective is founded on the motivation of the employees to conduct behaviors that are greater than what had been anticipated. The transformational leadership model includes the guidance and the influencing of the personnel with regards to contributing toward the attainment of the organizational objectives.

Managerial leadership which is also designated as transactional leadership is recited with regards to the participation of supervision, group production and organization. Transactional leadership that has been demonstrated by the editorial manager is a form of leadership that elicits compliance by means of the application of rewards and penalties. The leaders are not looking to alter the future substantially; the managers are seeking the status quo. The managers who apply the transactional leadership model look with detail at the employees’ work in order to encounter deviations and faults. This model of leadership is successful in emergency and crisis situations. In adherence with the House path – goal theory, the responsibilities of the transactional leaders are the following: The managers are anticipated to establish goals with regards to the anticipations from each of the group members. The manager also establishes the manner by which the members of the group will be compensated for their endeavors. The managers are also required to provide feedback in order to maintain the production at the desired level.

The transactional manager’s goal is to enhance the efficiency of the established tasks and processes. The transactional managers have a greater level of concern with the adherence to the rules that are present. The transactional managers are not looking to change the structure of the established procedures of an organization. Consequently, the transactional managers manifest their most effective operation in organizations which have developed past the chaotic phases of entrepreneurial production that is shown by the majority of organizations. The transactional leadership model established the procedures that will facilitate the organization’s attainment of its maturity phase. The emphasis for transactional managers is based of operating efficiency and enhancing the indexes of productivity.

In the context of the model of Maslow’s needs hierarchy, the function of transactional leadership operates at the fundamental levels of the hierarchy. The transactional managers apply a model of exchange. The model of exchange applies rewards for the performance of good work and delegates penalties for work that is incorrectly performed. The performance of the desired task is emphasized. The transactional managers are effective with regards to the completion of tasks as a result of the exchange model.

Then transactional managers appear to work within the box with regards to problem solving. The transactional and transformational categories of leadership are the two styles of organizational leadership that attract the greatest amount of study. The transactional managers provide the employees with rewards. The transformational managers provide the employees with praise. The primary theories in transactional leadership are contingency rewards and administration by exception (Bass 121).

Problem Three

The organizational climate of Wal-Mart is founded upon the transformational and transactional leadership of its founder. The organizational climate is based upon the great man theory. In this type of transformational leadership, the associates are inspired by the leader’s vision. In addition, Sam Walton provided incentives that had not been received in retailing. Sam Walton offered the associated stock ownership incentives, profit sharing and store rebates for achieving the organizational goals. The organizational climate of Wal-Mart is based on extrinsic motivation. The extrinsic motivation is delegated as reward upon the attainment of production objectives (French 170).

Wal-Mart’s success has been attributed to a minimal cost perspective that provides it focus upon its consumer base. The consumers have demonstrated their preference for making their consumption purchases at Wal-Mart due to its motto of “pay less, live better” (Berfield 1).  The Wal-Mart motto has most certainly has an influence on the creation of the organizational structure at Wal-Mart. In order to fulfill the motto that has been applied, Wal-Mart has been the author of several concepts on the specialty and retailing segments. The retail aspects of Wal-Mart are Neighborhood Markets, Sam’s Club International and Wal-Mart discounted stores and Wal-Mart supercenters. In the specialty products segment, there is Wal-Mart Optical, Wal-Mart Pharmacy and Wal-Mart vacations. Each of these Wal-Mart subsidiary organizations possesses its proprietary line of products and services. The subsidiaries have the objective of providing Wal-Mart with the characteristics of an organization that operates by functional design principles (Roberts 90).

The structure that is applied by Wal-Mart as a functional organization has served over the decades to decrease its expenses. The lowering of operating expenses has resulted in the conception of a low cost framework and culture. In the low expense culture, all of the Wal-Mart associates are encouraged to find methods to decrease the expenses that are associated with the completion of their tasks. The specialization of the employee tasks has enabled the increase of the quality of efficiency. The outcome has been the reduction of costs. Furthermore, as demonstrated on the organizational chart, Wal-Mart applies basic relationships with regards to accountability. There are relatively few tiers in the authority and administrative structure. Wal-Mart applies a central corporate staff with a directed focus upon the endeavor of process improvements. These qualities form the cost administration model of the functional organizational structure (Daft 164).

Mechanical Qualities

The success that has been experienced by the manner by which the Wal-Mart organization has coordinated and administrated its activities has been attributed to its leader. Sam Walton. Sam Walton was able to debut Wal-Mart as a small store and multiply its endeavors. As a result of the Wal-Mart organization’s endeavors, they have developed a collection of stores that spans the globe. The success in mechanization of the organization is attributed to the Bolman and Deal model. The increase in the quantity of stores that the Wal-Mart organization administrates represents a modification in costs, in addition to the number of employees.  The Wal-Mart organization has always adhered to its low cost labor strategy. This perspective has derived Wal-Mart’s success. On Wal-Mart’s road to success it has derived the application of an economic perspective with regards to its growth. The Wal-Mart model has enabled the organization to grow and adapt to the global trends of economic change. There are many who perceive that the manner by which Wal-Mart operates has caused modifications in the United States model of manufacturing. The outcome of the low cost employee approach has caused many manufacturers in the United States to outsource their labor requirements in the manufacturing sector in order to remain competitive (Gallos 2).

Works Cited

Bass, Bernard. Leadership and performance beyond expectations. New York, NY: The Free Press, 1985. Print.

Bass, Bernard. Bass & Stogdills Handbook of Leadership: Theory, Research and managerial applications. Fourth Edition. New York, NY: The Free Press, 2008.

Berfield, Susan. “Wal-Mart vs. Union backed our Wal-Mart.” Bloomberg Business, 13 December 2012. Web 8 May 2015. http://www.bloomberg.com/bw/articles/2012-12-13/walmart-vs-union-backer-our-walmart

Daft, Richard. Organizational theory and design. Mason, OH: Southwest Cengage Learning, 2015. Print.

French, Ray et al. Organizational Behavior. Second edition. New York, NY: John Wiley & Sons, Ltd., 2011. Print.

Gallos, Joan V. “Reframing complexity: A four dimensional approach to organizational diagnosis, development and change.” Organizational development: A Jossey Bass Reader. San Francisco, CA: Jossey Bass, 2006. Print.

Levesque, Roger JR. “Intrinsic and extrinsic motivation.” Encyclopedia of Adolescence. Springer US, 2012. 1478-1479.