Chapter 14, Problem 1DQ

Summary Introduction

To determine:

After reorganized vertical hierarchy in teams the company losses its workers who are 40% and managers of 20% in the first year and this turnover of incident and smooth transition of the managers to the teams are discussed.

Introduction:

In an organization a team is formed that has minimum of 2 and maximum of any number of people who are responsible to give an effective outcome for the business. A team with good insight and understanding can produce cent percent results that are expected by an organization. Good team players interact and coordinate with each other to achieve a goal.

Answer to Problem 1DQ

Solution:

There are various reason for the workersto resign which might be losing their independence and taking free riders in the team. The managers can follow the best negotiation way to have a longer commitment with the employees and gaining their trust so that they do not resign in the future after forming the team with the vertical hierarchy.

Explanation of Solution

Given information:

Workers in the company resigned which had 40% of workers and 20% of managers during the first year after forming the vertical hierarchy into teams and the managers ensuring a smooth transition to the teams regarding.

The above dramatic turnover in an organization may have happened when a person works in a team under a particular project undergoes the dilemma of teamwork which may be due to following reasons:

• Team will not have individual independence. They have to depend on others for taking decisions and they will not have success individually. The sacrifice they make for the success will be owned it by the team. This may also lead to conflicts within the team. And when an error happens the accountability for it is distributed even to a person who is not responsible for it.
• Team has to take free riders and they are the people who gets the benefits from the team without their efforts in the projects and they work with different ethics. They take advantage over other's sacrifice as in a team the benefits goes to all in the team than the one who has put more hard work.

When the team size increase the performance and the outcome from the team decreases because of the decreased motivation and arising problems of working in a large team. So smaller the team higher the performance and vice versa.

The cause of conflict comes in a team when there is a competition of money, information and supplies and the other factor is that the difference in opinions and goal ideas because of the poor team communication. Trust also places a major role in the team conflict when the individuals feel left out from the important discussions.

The managers can ensure a smooth transition to teams by the negotiation, which are of two types:

• Integrative Negotiation: This is achieved by win-win solution instead of win-lose solution share all the members can give their suggestion that can benefit all. The different angles of looking into a solution and consider the tradeoffs by expanding the opportunities instead of dividing it. The managers try to compromise the individuals with trust and long term commitment.
• Distributive negotiation is where the opportunities are fixed and the team can get by achieving the goals. This leads to a win-lose situation where one loses and the other benefits from it and it does not lead to long term commitment.

The managers handle the integrative negotiationas it can have a positive long term commitment with the employees without them resigning.

Conclusion

The employeesresign froman organization because of the team dilemma while working as a team and increase of team members in a team can cause lesser output. These conflict are handled smoothly by the managers by the negotiations where they give a long secured commitment to the employees.