Graduate School of Management, Universiti Putra Malaysia
GSM 5101: Organizational Behavior (Mid Term Examination)
Name: Alex Chan Hau Choong (GM 04780)
One of your outlets has had below average sales over the past few years. As head of franchise operations, you are concerned with the continued low sales volume. The store manager has requested you to diagnose the problem and recommend possible causes. Use the MARS model of individual behavior and performance to provide four different types of reason why employees at that particular outlet might be performing below average. Provide one example for each type of explanation. As the head of franchise operations for the local food and beverage chain, Fusion Cafe, I had been asked to diagnose problems at our outlet in Bangsar. Although located in a high traffic and affluent section of the city, the outlet seems to have below average sales as compared to other outlets in the Klang Valley. Therefore, I decided to have a fieldwork at the outlet for a week and observed the way employees there worked. From my observation, I found the following issues: Communication and language skills – I observed that employees lack communication between themselves and there seems to be a barrier in getting messages across to customers and also their team mates and colleagues. A very good example is the way our employees carry themselves and the way they speak to customers. The way our employees speak or convey messages to customers can sometimes be mistaken by the customers as being rude or indifferent when our staffs had no such intentions. This causes loss of sales, as I had observed quite a number of customers walking out of our outlet when they were not satisfied of the service provided. Our waiters and waitresses also fail to capitalize on the opportunities to sell more to customers when they had the chance to recommend menus to customers. When analyzed from the MARS model, it seems that the lack of communication comes from the lack of ability. While some employees have the ability to communicate effectively, most of the employees at this outlet seem unable to convey messages effectively. Therefore, I had suggested to the outlet manager some steps to improve the employees’ ability to communicate. This is because although MARS model stated that ability consists of natural aptitudes and also learned ability. Some of the possible causes of the lack of communication are the employees tend to believe that they are unable to speak good English without proper training. They also lack confidence and are afraid of being ridiculed when they speak. Thus, I recommended to the outlet manager to hold a daily briefing session which gives chance to the employees to speak and be heard. Besides that, weekly English class can also be held to improve employees’ language command and ability to communicate. By boosting and taking advantage of the learned capabilities of the MARS model, I hope to increase the employees’ communication ability. High employee turnover – I also observed that there are quite a number of employee turnovers during my fieldwork at the outlet. Checks with the outlet manager found that sometimes, staffing is such a problem that he had to hire part-time workers just to cope up with the operation. Therefore, the underlying issue here is the situational factors that affect the low sales based on MARS model. This occurs when, the outlet is short staffed, the service provided tends to deteriorate and thus customer satisfaction is affected. Also, due to high employee turnover and lack of time, new hires are thrown to the deep end of the pool without much proper training on their job function and also operations. For example, many new hires are unable to recommend the daily specials of our menus and some are even unable to describe the dishes to customers when asked. I would recommend the outlet manager to personally train all the new hires and to follow our standard training...
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