Dilemma at Devil's Den

Topics: Ethics, Employment, Management Pages: 6 (2410 words) Published: May 28, 2011
Case Analysis
Dilemma at Devil’s Den
Michael Spence
Management 602
Situational Analysis:
In the case study of the Dilemma at Devil’s Den, we have a student snack counter that has many organizational challenges that need to be immediately addressed. The first issue is that the Devil’s Den is a contracted company operated by an external company called College Food Services (CFS). This presents a challenge because there seems to be a severe disconnect here as far as CFS’s vision for the Devil’s Den is concerned. From outside observations, it’s obvious that management failed to clearly convey the vision or the mission. There seems to be no clear understanding of where the company is headed, what is or is not expected from the employees, no clear boundaries of what acceptable behavior is, no punitive guidelines established etc. Employee morale is extremely low because of what seems a very toxic work environment and this has contributed to the high turnover rate of employees. Not to mention the low wages and inconsistent work schedule. There are major security issues stemming from employees lack of pride in their company and the leadership is in dire need of training, guidance and mentoring. This issue plus financial losses due to theft by customers and employees as well as the current operational environment means that the Devil’s Den cannot possibly survive in the long term without addressing the majority of these issues. Question 1:

Concerns regarding the Susan identified a multitude of problems with the night shift of operations at the Devil’s Den that are listed in the situational analysis above. Competency building. It is clear from the picture that Susan paints that there is a lack execution of strategy processes from the managers. In relation to competency building, the managers have a clear competitive deficiency. This is shown by the weakness of the skills in being able to even close the store correctly. There is a lack of organization in the Den that is shown by how poorly the inventory is kept as well as how it goes unnoticed that so much food is being stolen. This is a poor reflection on the accounting side as well, since the purchases being made are obviously not aligning with the product being sold. This is showing a liability for CFS since there may very well be competitors in the industry who are ready to come in and replace DFS’s competitive deficiencies with their competencies. Solutions and recommendations. To begin, in order for a company to have the best chance at market success, its strategy must be based on what the company does well in order to stay competitive. The company may have competencies, core competencies and distinctive competencies. These differ by the extent that the company can perform a valuable activity. A competency is something the company can perform competently. A core competency is an activity that is central to a company’s strategy and competitiveness, and a distinctive competency is something that the company does better than its rivals. In order for the Den to build its competencies, it must first spell out what they are. Their strategy must show what their competencies are, and from there they can build off of these competencies in order to remain competitive. Company Culture. As far as shaping the culture goes, the night shift at the Devil’s Den is shaping it in the wrong direction. Currently, the culture is such that management is showing the employees that unethical behavior is not only acceptable, but not punishable and truly is the norm of the organization. Unfortunately, the only seemingly punishable act is disclosing when someone is stealing.

Solutions and recommendations. The culture of a company is helped to be established by the mission and the strategy of that business. It is important to integrate the expectations of the workplace within the strategic goals. The more the expectations of a company are clarified to the leaders and...
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