Radioshack's Woes

Topics: Employment, Organizational culture, Organizational studies and human resource management Pages: 9 (2905 words) Published: April 19, 2013
RadioShack’s Woes
Jonea Brown
American Public University System

This paper explores the recent difficulties RadioShack Corp. (RadioShack) has experienced pertaining to organizational culture, job design, job satisfaction, and employee policies. RadioShack’s difficulties were gathered from current and former company employees that were questioned about their experiences. In addition to discussing the trials that RadioShack has experienced, the paper will suggest a solution to get the company’s culture back in line with their mission statement as well as the corporate vision. Topics including employee motivation, supervisory leadership training, and workplace enhancement will be examined. The conclusion will analyze the steps that RadioShack needs to make improvements and ultimately how successful they could be. The analysis will be based on financial reports and independent employee interviews performed by the author on location at several local RadioShack locations. The opinions of the employees varied on many of the different topics but the overall opinion of the company’s culture and practices was very poor.

RadioShack’s Woes
RadioShack is a familiar name in the American electronics retailing industry. They operate nearly 5000 stores across the country and deal in the highly competitive consumer electronics segment. The brick and mortar based retailer has experienced limited success in battling their “big box” competitors like Best Buy, H.H. Gregg, Target, and Wal-Mart to name a few. The emerging online battlefield has left them reasonably behind as well. Their well documented financial distress is tearing at the foundation that holds this company together and is threatening to destroy it from the inside out. The problem is escalating quickly and changing the behaviors of the people within the organization. Problems within the Organization

RadioShack’s admits that the staying power of the company which has been in business for over ninety years is their customer oriented approach (RadioShack Corp., 2012). The company website harps on the company’s diversity and commitment to sound corporate governance. These are very important factors in any business to say the least, but the biggest problem in the RadioShack equation is their lack of interest in their own employees. The employees are the ones that are task with engaging, educating, and serving the customers that are the key to the staying power motto. Yet these same employees face many challenges that limit their ability to perform this invaluable task. The employees complain about long hours, unfair commission structures, and unattainable rewards standards issued by the company. Organizational Culture

The cognitive framework consisting of assumptions and values shared by organization members is the scientific definition of organizational culture (Greenburg, 2010). Having a healthy organizational culture is something that is the mark of a strong company. Companies where the employees do not feel valued are said to have toxic organizational cultures and that is where RadioShack will find themselves if they do not take steps to improve the culture from its current state. Organizational culture shapes, influences, and redefines training programs which in turn shape, influence, and redefine the organizational culture (Kissack, 2010). The function of organizational culture. There are three vital functions that organizational culture serves within an organization. The first is to provide a sense of identity for the members, give them something to relate to as well as a sense of purpose. Secondly, generating commitment to the organization’s mission will make employees rally around the ideals of the company. Lastly, clarifying and reinforcing the standards of behavior or stabilizing the behaviors or the organization’s members. Competing values framework. This tool utilizes two sets of opposite values to analyze the driving...
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