Plaza Grocery Case Study Essay

I. inceptionMr. fasten Holden is the executive vice president of the family-owned business chain of half dozen branches, promenade foodstuff, in the metropolitan argona. Mr. Holdens recently been swamped with problems regarding his employees, specifically the stock certificate employees filling they are pay according to what is stated in the hourly pay count in the Federal Law. He observed that they are non efficient and effective bountiful in their jobs, which effected to empty shelves and in arrears run most of the time. He also had a hard time in obtaining enough appli dirty dogts for Plaza Grocery and worse is his employees are doing only the secondary level of effort in their jobs. He also noticed that his employees are overleaping indigenceal drives to strive harder in performing their jobs.With all these that he is facing through, he finally decided to look for possible solutions to these problems. He came up with consulting to a local compensation expert and talking to a bitty group and personally asking them what backside remedy their slow and forgetful capital punishment. The compensation expert inspireed to Mr. Holden that he resort to the more(prenominal) modern compensation governing body. In the small group, some suggested an increase in their hourly earnings rate, the new(prenominal)s pitched in about bonuss to be given for them to be caused and subject faster, while others did not take away any comment.For this plate study, we result be identifying the likely issues and problems. After which, we go out provide the mannikin or basis of argument which will relate the inadequacy of motivation or drive of the stock employees to the various models, theories and c oncepts discussed in class. We will recommend and suggest certain alternate blood lines of actions which might help Mr. Holden to properly motivate his employees as well as his employees to improve their cognitive operation.II. ISSUE/PROBLEM secure Holden is facing a situation in his grocery store where there is trouble obtaining enough stock clerks/carryout lopers to apply for the job. And when these appli toilettets get hired they await to lack the motivation to carry out their job which led to uneffective service and long checkout lines. These minimum hourly plight workers throw away expressed a desire for additional compensation. The problem that fix inescapably to solve is which of the major economic incentive remains he can use to motivate his employees to become productive and also to attract other applicants to apply for the job.III. OBJECTIVESThe objective of this study is to identify different theories, concepts and models under kind behavior that can be applied to understand the situation secure is facing. It will also identify and discuss what possible economic incentive system the management can use and then provide system recommendation that would lead to the trump out way in solving the problem.IV. FRAMEWO RKS/ founding OF ARGUMENTSThe difficulties that arise in Brad Holdens family-owned grocery stores are attri excepted to the lack of motivation of employees. Lack of motivation can be a result of poor rewarding of employees. In Plaza Grocery, employees are only paid the usual earnings rate or the minimum federal hourly wage. This can be a factor as to why the workers lack motivation in performing an effective and efficient job. M onenessy, as a means of rewarding employees may serve as a grand help for the company. It has status value and it represents to employees what their employer thinks of them. Using money as a reward is applicable in some of the motivational models previously studied.The apprehension model can be related to the companys situation. Employees in Plaza Grocery wanted a higher hourly wage rate which implies that money can act as a pissed incentive. If an employee wants more of it (valence), he believes that putting up an effort will progress to successful d esired mathematical operation (expectancy) and he trusts that monetary reward will follow better performance (instrumentality).Brad Holden can also consider the concept of incentives linking pay with performance. In order to get the employees motivated, he can adopt profit sharing. For profit sharing, employees are given a pile of the businesss profits. An implementation of this would get them encouraged to work harder and do whatever it takes to increase the sales of the business since they are looking by and by the possible income at the end.In addition, once the issue on wage is settled, the management can also do performance appraisal. Through this, performance of the employees can be evaluated and certain information about their work and its cash advance will be discussed. This will make way for the employees to be more motivated and get rewarded.The concept of performance feedback can also be related to the situation of Plaza Grocery. With proper implementation of feedback , employees will be aware of what to do and how well they are meeting their goals. Some of the guidelines in giving feedback are the following be specific, allow room for choices, intromit positive factors to praise, establish priorities for change, and check for understanding to name a few.V. pick COURSES OF ACTIONSNowadays, we can find different kinds of grocery stores around us and the supermarket is being dominant than local market in terms of quickness and accessibility to people. As we mentioned, it is not wrong that quickness of the market is one of the significant thing that has to be maintained first. To solve Plaza Grocerys problem about its workers lack of motivation, we would like to recommend three alternative courses of action.First, Brad Holden should figure out why employees seem to lack motivation once he hired them because motivation can be the total of the power source that can make the work environment lustrous or dull. Hence, we would like to state our fi rst course of action, which we call possession project. Brad Holden should encourage and convince the workers to think of themselves as a co-owner of the company or workplace. Before the hired applicants become permanent employees, they would bear an assessment. Their behavior in the workplace would be examined for at least one month to evaluate their attitude toward their work. After the examination, Brad can gear up the qualified employees through orientations on how to work efficiently and effectively.Second, an incentive system can be a good course of action for workers to work faster since money can be a good motivator and reward. If Brad Holden continues to pay the employees at the minimum wage without bonus, the employees would not assert effort to do their work harder and faster. Increasing of hourly wage rate can be a course of action, along with providing incentives. When the hourly wage rate is increased alone, all employees would benefit. This may increase the workers productiveness and motivation, but not fully since the benefit applies to all. Therefore, it will be better if Brad Holden applies an incentive system or bonus system. The incentives given would be base on the employees performance, measured by his/her productivity. Through this, it can be more assured that the workers will be motivated in their work to earn their money more.Third, under incentive system, manager should appraise who got the highest performance result among the workers, and provide incentives like support for old parents or gentility of children. This alternative course of action is enough to motivate workers because these concern their families. Brad Holden will have to make records of each employee to check their performance and ripening and this environment can create competition among workers.VI. RECOMMENDATION/CONCLUSIONPlaza Grocery experiences problems with its employees due to low compensation and lack of incentives. Even afterward consulting a local exp ert, the very(prenominal) causes are pointed as the reason for the employees poor performance. Given this situation, we recommend the company to apply the second alternative course of action, which is to increase the wage rate and apply an incentive system.The store, having only hexad branches, can easily increase the wage due to the relatively small number of workers. However, once an increase is implemented in one branch, the same shall be applied in the other branches to emphasize the sense of beauteousness among the employees of all branches. Although this may entail costs for the company, the increase in workers productivity may lead to higher sales, providing more revenue. In the long-run, the benefits would outweigh the costs.Although increase the wage rate may motivate the employees to work harder, it is not enough because it would not always and ultimately lead to the satisfaction of their needs. What the company can do is to adopt an incentive system. The incentives th e company can offer may be financial or non-financial in nature. Financial incentives would include performance bonuses, social security benefits, and paid absences. Non-financial incentives would include recognition and feeling of achievement, patterned advance opportunity, and flexible scheduling.Even though it is said that money is one of the best rewards, the non-financial rewards can also stimulate the employees motivation. It is not enough that employees are financially well-off. For them to stay long in the company, both the salary and the working conditions have to be satisfied. However, as we learned in class, according to Herzbergs dickens Factor Model, the pay is part of the hygiene factors, while the work itself is a motivational factor. Therefore, the employees must first be satisfied with their wage forward the company can meet the motivational factors.In conclusion, Plaza Grocery has to strengthen its workforces motivation by providing them just wages and work ince ntives. This entails an investment on the part of Plaza Grocery. But once the workers are motivated and their productivity gradually increase, Plaza Grocery will see itself being better-off in the future.