BUS520- Leadership and Organizational Behavior
Professor Kahlita Miller
Describe the culture of Best Buy.
Before the ROWE program was introduced, it can be assumed that Best Buy operated in a bureaucratic culture. The characteristics of this type of organizational culture include practicing formality, rules, standard operating procedures, and hierarchical coordination (Hellriegel and Slocum, 2011). Employees believed it was their responsibility to follow all rules according to their employee manuals or communications from their superiors.
This type of environment was not conducive to high productivity or job satisfaction within the company, as proven by the high turnover Best Buy experienced. A work-life balance did not exist in the organization. It was the norm to embrace long hours and sacrifice. The main focus was to get the work done by any means necessary. Employees admitted they often checked each other’s time to make sure all the rules were being adhered to and that no one received preferential treatment. To avoid this kind of scrutiny, most staff members ate at their desks, came in early, and left late. The overall state of mind at Best Buy was oppressive.
However, after the introduction of the ROWE program, the overall culture of Best Buy completely changed to that of an entrepreneurial culture. This culture involves high levels of risk taking and creativity. The ROWE program, which stands for Results-Only Work Environment, is a different approach to the traditional work-life programs. It allows for employees to work whenever and wherever they wish as long as the work is completed in a satisfactory and timely manner.
This innovative risk that Best Buy employed by utilizing the ROWE program was introduced to all 150,000 employees. It allowed for more creativity in the planning and execution of assignments. Moreover, it increased productivity by 35% and reduced turnover by at least 52% (Hellriegel... [continues]
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