Case Datadot Analysis
Question2. What do you think could be reasons for low employee morale and commitment in this company? Develop a specific medium-term plan to deal with this situation.
The problem faced by Datadot in this case study is typical of many companies that are in the process of transition from a small company (closely managed by the owner) to a medium size company (needing professional management). Nevertheless, facing this situation makes the company aware of the need for a better way of managing people, and hopefully provides the foundation for creating a structure that supports the most important resources of the organization, People.
Some of the key reasons for low employee morale and commitment in Datadot could be attributed to factors classified under the following two heads:
1) Absence of Employee Engagement:
The four key components that create an engaging workforce are almost absent or not present in the right proportion at this stage at Datadot. Looking at each of these elements in details:
Meaning: While Paul has done a good job in starting the company and getting it so far, but the next step for him should be setting up a long term strategic vision for the company and sharing this with his management team and employees. This crucial step is missing resulting into employees not being sure about the big picture and how they fit into it.
Competence: While the employees, like Marc, have the requisite technical skills, they have not received proper support from their managers to upgrade their other skills. Absence of any formal or informal mechanism to facilitate exchange of ideas and suggestions has eroded the confidence of employees in their own capabilities.
Impact: In the past Paul maintained a direct line with all of his staff, however as the company is growing Paul has lost that touch and there is no replacement mechanism in place. The Business unit managers like Lisa are spending almost all of their time on business development rather than people
The problem faced by Datadot in this case study is typical of many companies that are in the process of transition from a small company (closely managed by the owner) to a medium size company (needing professional management). Nevertheless, facing this situation makes the company aware of the need for a better way of managing people, and hopefully provides the foundation for creating a structure that supports the most important resources of the organization, People.
Some of the key reasons for low employee morale and commitment in Datadot could be attributed to factors classified under the following two heads:
1) Absence of Employee Engagement:
The four key components that create an engaging workforce are almost absent or not present in the right proportion at this stage at Datadot. Looking at each of these elements in details:
Meaning: While Paul has done a good job in starting the company and getting it so far, but the next step for him should be setting up a long term strategic vision for the company and sharing this with his management team and employees. This crucial step is missing resulting into employees not being sure about the big picture and how they fit into it.
Competence: While the employees, like Marc, have the requisite technical skills, they have not received proper support from their managers to upgrade their other skills. Absence of any formal or informal mechanism to facilitate exchange of ideas and suggestions has eroded the confidence of employees in their own capabilities.
Impact: In the past Paul maintained a direct line with all of his staff, however as the company is growing Paul has lost that touch and there is no replacement mechanism in place. The Business unit managers like Lisa are spending almost all of their time on business development rather than people