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A CASE STUDY ON HUMAN BEHAVIOR IN ORGANIZATIONS: JS CONTRACTOR INC.

In Partial Fulfillment Of the Requirements for the Course

HUMABEH

Submitted By

Gabriel, Claudine Abbie Gan, Jacques Patrick Jose, Joseph Thed Nery, Teresa Tan, Kim Michelle Uy, Diane Margret

Submitted to: Ms. Divina Edralin HUMABEH Professor

CHAPTER 1 COMPANY PROFILE

JS Contractor Incorporated is a professional human resource company that sources screens, selects, processes, and deploys competent Filipino manpower to any part of the world. To provide jobs for people and the right people for jobs overseas has been our unchanged and tested goal and philosophy. The company seeks to provide outstanding customer service by sourcing from across the country the diverse Filipino skills and talents and bringing together the highest caliber candidates for overseas deployment. This is attained through their provincial branches offices (Cebu and Davao), our computerized applicant inventory, our on-line registration, professional screening, trade testing, and continuous quality control. JS assures fast processing and mobilization of approved candidates. To date, JS Contractor is one of the largest suppliers of Filipino workers in the Philippine overseas recruitment industry- a feat achieved though responsiveness, care, and professionalism.

History Capt. Jolie R. Pelayo started JS Contractor as a local registered 1977 Construction Contractor Company, of single proprietorship, involved in local government projects for the construction of schoolbuildings, health centers, roads, etc. JS Contractor obtained from the Philippine Department of Labor and Employment its first license to recruit Filipinos for overseas employment. Entered into a joint venture agreement with a U.S. Company, Demauro 1979 Shuwayer for its construction project in Dammam, Kingdom of Saudi Arabia (K.S.A.). Within than year, JS Contractor deployed more than 1,500 Filipino workers of different skills and professions in the construction industry. Obtained its First Manpower Management Contract for the Operations and Maintenance of a Reverse Osmosis Desalination Plant in the State of Bahrain. 1984 Ventured into its first overseas project in the State of Bahrain, with Sasakura Kawasaki Consortium, a Japanese company for the management contract of the operations and maintenance of the Bahrain Reverse Osmosis Desalination Plant. Obtained a major contract to supply skilled personnel to H.B.Zachry, a Texas based Company tasked in building the US Embassy residential 1987 and diplomatic quarters in Riyadh, Kingdom of Saudi Arabia. Awarded a major contract to supply Formally organized as a corporation to be known as JS Contractor, Inc. 1991 Awarded the Desert Shield and Desert Storm Certificates of Commendation for successfully deploying Filipino workers for King Khalid

International Airport during the First Gulf War

JS Contractor became the first Filipino Manpower Agency to deploy 1992 Filipino workers to Taiwan, Republic of China. On the same year, Trans Star Shipping Agency was established to provide seafarers to Midlle East vessels and Luxury Yachts. Established Maison Interiors in the State of Bahrain. Maison Interiors specializes in Interior Design finishes, faux paintings finishes. 1993 It was also on the same year, where JS Contractor, Inc. embarked on a sub-contracting project for about a 200 strong Filipino Skilled Worker force to work in ASRY (Arab Shipbuilding & Repair Yard), a ship repair facility located in the State of Bahrain. Purchase of a six-storey building located in the historical district of 1994 Intramuros, a Spanish word meaning "Walled City". Refurbished, interiorfitted, and moved to its new offices. Established JS Kobe, a trade testing and construction company to augment the existing facilities and further improve recruitment operations, and embark on local interior design contracts and constructions. It is in this year that JS Contractor, Inc. Cebu Branch was established to bring employment opportunities to qualified Filipinos in the southern part of the 1997 to 1998 Philippines. Awarded by the Philippine Overseas Employment Administration (P.O.E.A.) for Special Citation as the HIGHEST VOLUME OF WORKERS DEPLOYED.

Achieved ISO 9002 Certification from TUV for its excellence in recruitment and processing operations for the deployment of Filipino Workers for overseas employment. JS Contractor, Inc. was the first landbased manpower agency to acquire such distinction. Established the Integrated Services Digital Network (ISDN) for its recruitment operations to enable clients to do interviews of applicants through video conferencing. Flower Stories was established, a floral company engaged 1999 in the business of supplying flower arrangements with hotels and government offices to include that of JS Contractor, Inc. and its clients' flower arrangement needs. Achieved ISO 9002 Certification from TUV DAR, Germany for its conformance to international standards of organization in the recruitment and processing operations for deployment of overseas Filipino workers. It was the first Philippine land-based recruitment agency to be accredited to ISO standards.

Recognized by the Philippine Overseas Employment Administration 2000 (POEA) and cited JS Contractor, Inc. with an award for having the largest deployment of Filipino Skilled Workers for the years 1997 - 2000.

2001

With Maison Interiors of Bahrain, established another design office in Doha, Qatar as Maison Interiors of Qatar.

Launched the Interactive Recruitment Information System (IRIS) 2002 Program. IRIS is a comprehensive and user-friendly on line recruitment information system, designed to keep client's recruitment process with JS Contractor, Inc. easier.

During this period, JS Contractor, Inc. never rested. It started to open new markets for the Filipino Worker. Aside from the ever-growing traditional Middle East Market, JS Contractor, Inc. began sending technical & medical personnel to Australia, New Zealand, South Africa, Canada, the Caribbean Islands, and the United States. To support these growing operations two new manpower agencies were established. First Champion Professional, Inc. - It was established (2001) as Another P.O.E.A. licensed recruitment company for the deployment of Filipinos skilled and professionals to Taiwan, and the Middle East. It also specializes in forming local artists into professional bands for deployment of overseas talents in Japan, China, Taiwan, Malaysia , Vietnam, India and the Middle East.

One World Employment Network, Inc. The company was organized 2003 - 2008 (2005) as the third P.O.E.A. licensed overseas recruitment company for the deployment of Filipinos to Australia, United States and the Middle East. It also specializes in undertaking the deployment of household domestic staff, nannies and caregivers, hotel staff and other professionals. 2005 POEA Awardee as TOP PERFORMER 2006 POEA Awardee - Special Commendation for EXEMPLARY MANAGEMENT AND RECRUITMENT CAPABILITY - POEA Awardee - Special Commendation for EXEMPLARY WELFARE PROGRAMS AND ALLIED SERVICES.

Three other companies were established in support of its operations and at the same time to be able to be involved in the local industries in the Philippines.

J ACES, Inc. - A local Manpower Company that supplies to the marketing requirements of communications companies such as Philippine Long Distance Co. (PLDT) and SMART Communications. It handles the continuous events of these companies throughout the Philippines.

FEDAI - A trading company that started as a support company to JS Contractor, Inc. for the procurement of much needed materials for its operations. It later became a partner and supplier of electronic parts to multi-national companies situated in the Philippines.

Maison Manila - An interior design firm established to support the operations of its sister company, Maison Interiors located in Bahrain with a branch in Doha, Qatar. It has now become a local contractor for interior finishes for a hotel in the Philippines and as an interior design consultant for other companies.

All throughout this period, JS maintains its services to clients, continuously striving for excellence, improving its services to clients from monitoring reports to status reports with the aid of technology available in its resources. Making the JS website (www.jscon.net) user friendly to both its clients and applicants alike. SMS system was introduced to facilitate with ease the manner how applicants may be able to inquire about their application status and avoid incurring extra expenses. Continuous training of JS personnel for improving services to clients.

Global Recession struck the world that started during the last quarter of 2009 2008. JS Contractor, Inc. was not spared. However, as companies were closing down, JS reassessed its organization and made it productive and effective for efficiency. The Oil & Gas Industries of the world was the least affected. JS deployed Oil & Gas personnel to these Companies in

the Middle East. As the required manpower is rising in these industries, JS established another branch office in Batangas City, South of Manila, where the Oil & Gas refineries are located to be near the source of skilled personnel in the Oil & Gas Industry. Table 1.1 History Table of JS Contractor

Vision and Mission The goal of company is to be a recognized leader in the field of overseas employment in the Philippines and in the world. Through ethical business practice, innovative systems, and exceptional people, they aim to provide unparalleled services for their clients and thus, set the standards of excellence for the overseas recruitment industry. Their mission is committing their selves in outstanding recruitment services for both foreign employers and Filipino workers, where professionalism, competence, and integrity are the benchmarks of performance.

Products and Services

JS Contractor sources, screens, processes, and deploys- to any part of the world- competent Filipino manpower as required by clients and their projects. Today, JS is one of the largest suppliers of Filipino workers in the Philippines overseas recruitment industry. Their recruitment officers, professional employment consultants and personnel

managers provide knowledgeable,

dependable

human resource

solutions for

companies of every size, in different parts of the globe, and in almost every industry.

Customer Profile JS has established a strong reputation for reliability and professionalism by providing clients with exceptional personnel and service. A crucial component of our approach to the human resource business is the cultivation of long-term relationships with our clients and candidates. They attribute their success to the responsiveness, care and professionalism we have demonstrated to both clients and candidates over the years.

CHAPTER 2 FUNDAMENTALS OF ORGANIZATIONAL BEHAVIOR

Organizational Behavior is defined as the systematic study and careful application of knowledge about how people, as individuals and as a group, act within organizations. Proper understanding of people helps managers in choosing the right method and approach to be used in attaining the goals of the organization. It should also be taken into consideration diversity. Employees, especially in multi-national organizations, have different cultures, beliefs, educational background, and

personalities. In the study of organizational behavior, patterns are observed. This gives the managers idea on what actions to take next.

The Dynamics of People and Organization J.S Contractor Inc. predominantly uses a mixture of results-oriented approach and systems approach. Results-oriented approach aims to attain maximum productivity. The outcomes of the organizational behavior programs are assessed in terms of their efficiency. Goals and targets are set by J.S Contractor. These are used to assess the attainment of the desired result and productivity of the organization. The comparison between the actual results and the desired outcomes determines whether the set standard is achieved or not. If the actual result did not able to meet the standards set, plans of improvement must take into action.

Systems approach on the other hand involves interaction with all parts of the organization in a complex way. The procedure of recruitment in the organization requires a complicated process. Because of this, the management relies on each department to take care and do their work in the best manner. The participation of each department is intertwined with the rest of the operations of J.S Contractor. This kind of relationship shows how one part can affect many other parts of the organization in a complex way.

Models of Organizational Behavior The vision and mission of an organization plays an important role in the achievement of goals and the clarity of reason for their existence. These are also factors that can affect managements selection of organizational behavior model. Models that constitute the system of belief of the management that dominate their actions towards their people. Vision The goal of company is to be a recognized leader in the field of overseas employment in the Philippines and in the world. Through ethical business practice, innovative systems, and exceptional people, they aim to provide unparalleled services for their clients and thus, set the standards of excellence for the overseas recruitment industry.

Mission Their mission is committing their selves in outstanding recruitment services for both foreign employers and Filipino workers, where professionalism, competence, and integrity are the benchmarks of performance A combination of autocratic and supportive model of organizational behavior is used by J.S Contractor. The company recognizes the authority of Mrs. Mary Jean Borra, president of the company. They also show obedience with regards to the company rules and regulations set by the Board of Directors. Though there can be authority in the organization, conditions of employees are still taken into consideration. J.S Contractor conducts performance evaluations. This reflects if employees need mentoring or coaching, encouragement in doing teamwork or motivation in their work. The management conducts meeting with the department heads to set the budget and goals on monthly basis. After the discussion of plans, the proposals are still subject to the approval of the president. This is an example given by the company that shows the combination of the autocratic and supportive model of organizational behavior.

Managing Communications Communication is defined as the transfer of information and understanding from one person to another. Information is a very important element in an organization. Unsystematic dissemination of information could have a big impact in the company. Communication always involves a sender and a receiver. Broken two-way flow of information can lead to unsound decisions of an organization.

The downward communication or the flow of information from higher to low levels of authority in the company is done through conducting meeting, issuing memorandum, and Group E-mail. J.S Contractor also has an effective upward communication. They have open communication which gives the employees the opportunity to confer to the management. Since the company also practices coaching and mentoring, it is easier for them to communicate and know the problems of the employees. The company makes sure that the voices of the employees are also heard. The use of technology in communication is one of the concerns of J.S Contractor. The organization wants to adapt to the latest technology but is currently lacking technological equipments. The company is working on it, and is making an effort to be updated with new type of communication software such as video conferencing. Problems in communication with the external environment also concern the company. There are times wherein messages from the companys external clients are not received due internet malfunctions. This delays the sending and receiving of e-mails which in turn affects the deployment of applicants.

Social Systems and Organizational Culture Social System is a complex set of human relationships interacting in many ways. The companys departments are interrelated giving them the opportunity to interact with other employees. Also J.S Contractor is a family-oriented corporation. This gives each employee the feeling of being part of a family.

Social status in the company is shown through the position, educational attainment, years of service, as well as the demand of work for employees. J.S Contractor believes that the employees make the company. The growth and support is always there. The growth is not just for the company but also for the employees. This makes the behavior functional.

CHAPTER 3 REWARDS AND MOTIVATION Motivation Motivation is defined as the drive that makes people become determined in reaching greater and better goals. Motivated employees are deemed to perform better at work. This would not only benefit the employee but also the company as a whole. Employees are the pillars of an organization. Thus, managers need to understand and learn to influence employee motivations. A persons source of motivational d rive may be internal or external. Although the source of ones motivational drives is dependent upon the views of the person, managers can at least affect the external motivations of employees. Internal motivations are found within an employee; these kinds of motivation are not affected by external factors such as the environment, the pay, or even the working conditions. On the other hand, external motivations come from the content and context of the job itself. The management of JS Contractor considers the importance of motivating its employees. The companys methods and practices of influencing and evaluating employee motivation will be discussed in the proceeding sections of this paper.

The Workforce and Employee Motivation JS Contractor employs young professionals who can contribute innovative ideas to the company and can understand the needs of their target market. They employ around 200 employees who recruit, screen, and deploy workers to different parts of the world. Relationship with management. Management communicates with the employees through monthly meetings, on the job training, coaching, and memorandum. The company utilizes a vertical structure in communication. This type of communication enables top management to supervise the lower levels in the organization. Communication is done formally through the submission progress reports, suggestions, requests, etc. Training and motivation. Employee training includes motivation. According to management, this allows employees to achieve growth and development without having to leave their work. Also, management sees this as a means of optimizing the potentials of their employees. The company also stresses on the importance of retaining and keeping its employees not only because of the employees fami liarity with the company but also because they see their employees as valued investments. JS Contractor offers continuous training to its employees to help them improve their skills. Aside from motivations while training, management also practices other kinds of motivations, such as, on the spot recognitions, incentives, and recognition. Goal setting. According to Newstrom, there are two major focus of employee motivation; these are goal-setting, and law of effect. The law of effect is when employees are made

to think of the consequences of their actions. If they do well, then they are rewarded, otherwise, they are punished. Goal-setting uses the accomplishment of goals as the motivational drive for employees. Past and current performances of the employees are compared and they are driven to go beyond what they have accomplished so far. The company uses goal-setting as the focus of employee motivation. Management believes that goals are able to make clear and defined requirements for the employees and the company. Incentives and motivation. JS Contractor uses incentives as its primary form of motivation and reward. Incentives are relative to the overall performance of the organization. The companys overall performance is measured by its output and the total number of workers deployed. There are different levels or quotas wherein each level would have its equivalent percentage of incentive allowance to be set aside for distribution to the employees. Thus, incentives are not based on salary; it is based on the performance of the company as a whole. Time as motivators. The company provides different incentives and benefits to its employees. The most observable form of reward, as considered by management, would be the flexible working time of its employees. With this practice, the company no longer pays overtime for its employees. Instead, they are allowed to attend work later the next day. For example, if an employee would stay working til 8 pm, then next they, he/she can go to work at 10 am instead of 8 am. With this, employees are encouraged to finish their work despite overtime because they know they can benefit from it. Employees get

flexible time schedules and management is able to receive completed tasks earlier and faster. Reward Rewards and appraisals are important for an organization because it is through these that employees are acknowledged for their good and outstanding works. Rewarded employees are seen as models of good performance. When employees know what is rewarded and what is not, they will tend to do work that would please management and allow them to receive rewards as well. The expectancy theory. This theory states that when people expect rewards from doing something, they will strive harder in order to accomplish the task. Thus, when employees are oriented with the tasks and practice of management appraising outstanding work, they will do the same to be appraised as well. Forms of rewards. According to management, they consider company outings as a form of reward along with plaques of appreciation. Before, the company was able to bring the whole company into an outing since there were only few employees. But since the company gained in size, with employees ranging from 100 to 200, the outings were planned according to departments. Awards are given during Christmas parties. The employee who was able to deploy the most number of workers is given the plaque or certificate of recognition and cash incentives. This would give the employee a sense of fulfilment and esteem as the reward is given in front of the whole company.

Punishments and penalties. JS Contractor uses suspension as the form of punishment. The length of the suspension would depend on the gravity of the misconduct. Most violations include habitually coming late to work, any action that would damage the companys image, dishonesty in their work, and the breaking of the Honesty, Integrity, and Fairness rule. Days of suspension can range to a minimum of 7 days and a maximum of 30 days. Feedback. Employee feedbacks are usually collected through emails or written forms. These are handled by the HR manager or other officers in the firm. Feedbacks allow management to resolve problems quickly and identify potential fields of improvement.

Maslows Hierarchy of Needs According to Maslow, there are five levels of needs; they are physiological needs, security and safety needs, belonging and social needs, esteem and status needs, and lastly, on top is self-actualization and fulfillment needs.

Figure I: Maslows Hierarchy of Needs

Figure 2: Applied Hierarchy of Needs to JS Contractor Inc.

Development beyond physiological needs. The management of JS Contractor not only help develop the physiological needs of its employees with the proper paying of salaries. On the first Friday of each month, the company celebrates mass. It is after the mass that a member of the companys top management delivers a talk that addresses and emphasizes on the deeper meaning of working in the company. The employees are made to feel that they are really part of the companys future. This practice is able to boost the employees morale and self-satisfaction. JS Contractor is able to satisfy their employees safety and security needs with the training they provide. Since the employees are trained, they need not to worry about where they would go if theyd leave the company. Also, the presence of good working areas and offices secure the employees of any outside threat during working hours.

Company outings are held by the company every summer. They also hold Christmas parties where employees are encouraged to exchange gifts and join the raffles. This practice enables the employees to interact with each other outside work and in a less professional setting. Interacting and building relationships with their fellow employees would satisfy their belonging and social needs. Esteem and status needs are met with the distribution of rewards and incentives. The employee to be rewarded would feel good about himself/herself. Rewards are given during company celebrations to let e veryone see the companys appreciation for good employees and outstanding work performance. On the spot appraisals are also utilized by management to acknowledge the employees. Employees are given the opportunity to grow and develop themselves in the company. They are given the proper training and exposure for them to gain new skills and achieve self-actualization. They are not deprived of promotions; thus, the opportunity to pursue their career.

CHAPTER 4 LEADERSHIP AND MOTIVATION Nature of Leadership Newstrom defines leadership as the process of influencing and supporting others to work enthusiastically toward achieving objectives. Not only are leaders expected to oversee the logistics of the financial resources of the company, more than that, they guide the workforce in order to carry-out the companys goals. In every organization, a leader is present to plan and sustain the organizational activities; they also smooth-out conflicts to maintain a health work environment. According to JS Inc. General Manager, Ms. Jennifer Gan, leadership plays a key role in the company since employees look up to the leader as a role model and depends on them during times of crisis. A specific instance of crisis was during the recent global recession of 2008. The company was greatly affected since most of the deployed workers were returning to the company. Some employees fear for their jobs, afraid that they might be laid-off by the organization. During these times of crisis, it is the leader who gives the direction and encouragement to keep employees going.

Leadership Traits and Skills Although leadership traits do not necessarily guarantee successful leadership, various researches have correlated the effects of positive and negative leadership traits towards productivity. Bad traits such as narcissism, wherein leaders exaggerate their

own efforts and alpha dogs who are too aggressive and egocentric, both usually cause dysfunctional performance. Early research has also tried to identify the traits and factors which may differentiate leaders from non-leaders. The most important traits being: high level of personal drive, desire to lead, personal integrity and self-confidence. Similarly, JS Contractor Inc. believes their leaders possess (1.) integrity of character, (2.) patience, (3.) perseverance, (4.) a right perspective and (5.) a clear purpose in life. Integrity is an important trait to ensure that the sense of ethics and morality is not bent. Patience and perseverance however are needed traits in handling or training the workforce. Lastly, a right perspective and a clear purpose of life reflect the managements direction and vision for the company. Unfortunately, instances of negative leadership traits have also been unavoidable within the company. For the case of JS Contractor Inc., narcissism had been a problem, wherein a department head believed he was indispensable and eventually made decisions not in line with the vision of the company. Once complaints of his subordinates became profuse, the management had to let the department head go. Leadership behavior is also a factor in successful leadership, and depends more on appropriate behavior, skills and actions. Newstrom compared the relationship of traits and behavior to that of latent and kinetic energy. While traits are potential actions to be exhibited, behavior is the actual release and expression of the traits. Skills on the other hand, can be learned and changed. Three types of skill are (1.) technical skill which refers to a persons ability in any type of process or technique (2.) human skill which refers to the ability to work effectively with people and build teamwork and (3.)

conceptual skill which refers to the ability to think in terms of models, frameworks and long-range plans. For the case of JS Contractor Inc., most of the leaders in the company possess technical skill because in recruiting applicants, procedural steps must be done for the processing of documents. Second, human skills are very much needed in a contractor company, since negotiations with clients from different countries and recruitment of applicants are to be communicated and executed well. Lastly, conceptual skill is needed in the company for creating long-range plans such as targeting other countries, improving training methods, stabilizing relationships to foreign clients and more. However not all leaders or department heads possess profound conceptual skills; only a few or the ones top of the organization chart are expected of the skill.

Leadership Style In every leader, a leadership style is usually taken notice of. Leadership style refers to the pattern or combination of philosophy, skills, traits and attitudes that are exhibited. The style used would be determined whether it is effective or not through the performance and perception of the employees. A leadership style which is too lenient can be inefficient and cause slack, while a style which is too strict can result to accumulated conflicts and low morale. Newstrom identified three leadership styles namely: autocratic, consultative and participative.

Table 3.1 Management Styles as defined by John Newstrom

MANAGEMENT STYLE Autocratic

DESCRIPTION centralize decision-making

Consultative

approaches one or more employees for their input prior decision making

Participative

decentralize authority, encourages others to express ideas, use input of followers

JS Contractor Inc. however employs another leadership style, interactive leadership. Interactive leadership has its roots in participative management approaches, in transformational leadership theories, and in contingent models of leadership. Roseners notes the following characteristics of interactive leadership as: 1) encouragement of participation in all aspects of work; 2) wide-spread sharing of information and power; 3) efforts to enhance self-worth of employees; and 4) energizing employees for the task. Similarly, JS Contractor Inc. leaders try to make every interaction with co-workers positive for all involved by encouraging participation, sharing information, and making employees feel important.

In identifying a managers own style, Robert Blake and Jane Mouton developed a managerial grid. The grid uses a two 9-point scale which measures the concern for people and concern for production.

Figure 3.1 Blake and Mouton Managerial Grid The company rates their concern for people and production as 9, 9. Based from Blake and Moutons interpretation, JS Contractor Inc. effectively solves company problems, and maintains a highly objective approach by evaluating all sides of the situation. The company also illustrates their style leaning towards the supportive approach because they believe that happy and satisfied employees improve

organizational performance. As leaders, they want to facilitate the enhancement of their employees performance and empower them for their personal growth and achievement in the organization. Coaching is also part of the everyday work of the manager. Whenever there is an employee who needs consultation, any officer or co-worker must be there to coach. Coaching is part of the day by day task, since interviews are handled almost on a daily basis and there are foreign clients coming in to interview applicants. Before each meeting with these clients, the general manager coach recruitment officers as well as the assistants who are going to aid the employees. Such procedure will consist of giving them a background of the nature of the business of clients, the style of the clients interview, and personality of the employer. JS Contractor Inc. provides both task and psychological support in order to sustain efficiency in operations and to attend employees emotional needs. Task support is provided through its location of budget and resources. Employees are given money, requested people (additional assistance), and logistics to accomplish their task. In addition, employees are asked what they need for their project and the company pays for its expenses. On the other hand, psychological support is provided through its work environment. Since it is a family oriented corporation, employees feel that they are part of a big family. Any help that employees need to solve their financial problems are smoothed-out, and also the company tries to assure the employees as much as possible that they are always there to support them.

Since the company values the relationship of the management and employees, various methods are usually done to instill certain concepts. An example of which is the seminars done in the middle of July or August. Lectures are given to those department heads who lack management skills and to those employees who have the potential to be leaders in the future. Performance appraisals, regular training and development of middle managers are also performed. In case of resignation or termination of a department head, the company have already prepared a pool of assistant heads and prospected employees to immediately replace the position.

CHAPTER 6 UNDERSTANDING GROUP BEHAVIORS

Workforce JS Contractor has been known for their sourcing, screenings, processes, and deploys- to any part of the world- competent Filipino manpower as required by clients and their projects. Today, JS is one of the largest suppliers of Filipino workers in the Philippines overseas recruitment industry. Their recruitment officers, professional employment consultants and personnel managers provide knowledgeable, dependable human resource solutions for companies of every size, in different parts of the globe, and in almost every industry. JS Contractor run its company with the family-feel where in everyone is open for conversations and the organizational status is respected even though labels are not much emphasized. Consists of 115 members from Recruitment Department (30), Finance Department (12), Processing Department (25), Information Technology Department (7), Human Resource Department(3), Legal Management Department (5), Maintenance Department (8), Administration (25). Teams To be able to fully cater and bring the best out of every member of the company, teams of JS Contractor, consisting of 15 members functions as the companys lead in any given location. These teams are recognized formal teams by the company where in employees begin working with their respective departments. Teams are chosen to be able to cover greater scope of operation in line to the companys vision and mission

which is to lead in the field of overseas employment in the Philippines and in the world through exceptional individuals guided by their values like competence and integrity as benchmark of performance. Some of the locations covered by JS Contractor teams are Taiwan, Philippines, and most countries in the Middle-East Asia in search for people who are qualified and able to fit at current job descriptions needed by the companys clients. The importance of these teams is essential in the recruitment process of the company because the system of selection and employment will be more organized and efficient. With these organized teams, processing of papers and screenings are done in such a manner that deployments of approved recruits are faster than other contractual agencies in the Philippines. As work continues and because every department has its own role, informal groups are eventually formed and the management is making sure that every group be it formal or informal have the sense of family relation within every member. To be able to perform well as a team, group organization is really important to make things run smooth. The top management makes sure that in every team there is this contact leader who they can communicate to and in charge of handling the team both formal and informal situations. Just like any other company and relationship, communication within its members is very important. JS Contractor having both informal and formal groups within the organization, the management conducts meetings both formal and informal. In terms of formal, the company conducts its meeting on a monthly basis to set goals and budget.

However, if unprecedented situation occurs or an emergency meeting is called, the management usually hold its meeting outside of the company. Table 5.1 Advantages and Disadvantages of Meetings

As shown in Table 5.1, Advantages shows the how the members of each team reacts on the group meetings and how they all benefit from it. Accountability of each member is visible because of them being a task team where in they meet objectives as they collaborate their works. Meetings also work on the organizational commitment of every member. Members of the team never fail to put effort on what they do and continue doing their best as JS Contractor grows together with its members. Cons contain the common blockades / hindrance to the companys good communication. Conflicts In relation to Table 5.1 blockades to good communication are conflicts within the organization or their specific teams. As a result of our interview, turns out that common

problems encountered are due to strong personalities of individuals, they sometimes clash opinions thus affecting their work performance because of miscommunication. If two departments are not getting along with each other especially if their work is interrelated, theres a breakdown in the communication which affects the organization. Conflicts also arise in the top management when the board of directors doesnt agree with the policy that will be implemented. The solution is always maintaining the lines of communication hence, any conflict or disagreement will be brought up to open dialogue or communication. Even if both parties are in disagreement, they must compromise a settlement. And to be able to better settle things, JS Contractor makes sure that a third party should evaluate the given situation to have a fair view on the issue. It is usually decided by the department manager. Next in line is the Human Resource department if the conflict intensifies. Lastly, the top management is the last resort in solving these conflicts. To avoid further problems, if minor policies are being violated, the company will usually issue memos for them to be notified of their misconduct. If an employee still continues disobeying rules, then suspension is the next option. Suspension given by the company would depend on the violation or offense committed by the employee. It ranges from a minimum of 7 days and a maximum of 30 days. The last option is the termination of an employee.

Team evaluation Table 5.2 Basis of Evaluation

The management uses performance evaluation to assess the performance and effectiveness of each team. It is also their way to know if teams are to be changed and how the team leader and the members grow with their designated formal groups. Evaluation performance is based on two values: character and work values. A character value pertains to the punctuality, behavior pattern, integrity, initiative and interpersonal relationships of the employee. While, work values consist of adherence to policy, dependability, independence, knowledge of job and productivity. The management is conducting the evaluation once a year for the team and members assessment. The members are evaluated by their team leader or heads. In turn, the leaders are evaluated by the top management. To make sure that there is balance in the distribution of power in the organization as well.

CHAPTER 7 CHANGE AND ITS EFFECTS

Newstrom stated that change is any alternation occurring at work or in the work environment that affects the ways in which employees must act. When change arises, employees are either directly or indirectly affected by the change. The part of the organization where the change was implemented, that certain component of the environment is directly affected. The surrounding departments are indirectly affected by the change. Organizations embrace equilibrium in their social structure. It is the part where the organization has established stable set of relations with their environment. If a change happens, the organization would be out of the equilibrium and therefore the organization has to adjust with the change for them to establish a new equilibrium. Managers help employees to adapt to change there are two styles: proactive and reactive. Proactive is where managers anticipate events, initiate change, and take control of the organizations destiny. A managers role is reactive when he respon ds to events, adapt to change and temper the consequences of change. In the case of JS Contractor, the managers adapt more of the proactive style of change. But it also depends on the situation, in situations that can be anticipated, they use the proactive style. But in situation where the company has no control, they have no choice but to use that reactive approach. An example where the company used the proactive style is when they adapted the Saudization program. But for unseen

changes like the recent global economy, the company has no choice but to use the reactive style in adapting to the change. An employee gets affected by the change depending on his or her personal history and the work environment itself. Personal history refers to peoples biolog ical processes, backgrounds and all social experiences away from work. The work environment itself reflects how members of a group and their attitudes are influenced by the organizations codes, patterns, and norms. A group responds to change in a way that members follow the common response. A group thinks that they should be together whatever happens. Resistance to change is a behavior of an employee where the employee discredits, delays or prevents the implementation of a work change. Employees resist to changes because it threatened the employees needs for security, social interaction, status, competence or self-esteem. There are three types of resistance: logical, sociological, and sociological. Logical resistance is based on disagreements with the facts, rational reasoning, logic and science. It arises from the actual time and effort required to adjust to change, it also includes new job duties that must be learned. Psychological resistance is based on emotions, sentiments, and attitudes. Sociological resistance is seen a product of a challenge to group interests, norms, and values. It is a powerful force in the individuals work or social environment. There are three stages of change as proposed by Kurt Lewin, these stages are identified as: unfreezing, changing, and refreezing. Unfreezing stage means that old ideas and practices need to be cast aside so that new ideas can enter and be learned.

Changing stage is the step in which new ideas, methods and technologies are learned. Lastly, the refreezing stage means that what has been learned is integrated into actual practice. In the case of JS Contractor when the global financial crisis happened they had to change some of the systems they use. In the past, JS Contractor was paying overtime for all the excess hours rendered by the employees. But when the recent global recession came in, the management had to change the policies towards overtime pay of employees. The company had to give an alternative wherein when they render excess hours of work, the following day they can offset the hours by coming to the office pass the opening working hour.

In the future JS Contractor plans to enhance the standards of its I.T. support, avail the latest equipment and improve the software system of the company. Regarding with employees, the company wants to give more incentives and benefits to the employees. In this way, people will be empowered and motivated thus, greater productivity and a potential increase in revenues of the company.

Change is inevitable especially in companies influenced by its environment such as JS Contractor Company. Whether the company prefers change or not, change will still happen and it is indeed part of the life of a business. The company is currently experiencing a major change in terms of the companys deployment operation. The implementation of Saudation program has directly affected the company because of the decrease in the labor market in Saudi Arabia. With this external change, the

company fears that through this change, job opportunities in Saudi Arabia will be weakened by this program. The companys way of dealing with this kind of change is with flexibility. They adjust to what is currently happening to its environment and adapt to the changes made in the company. The management is willing to cut cost and manpower in order to make the necessary decisions for the company. The most severe change that the company has gone through was the 2008 crisis when there was a global recession. The company had financial problems which resulted to cutting back employees. The number of employees deployed was lessened because of the drastic decrease of job available overseas. The management took action of this problem and implemented changes throughout the company. The management reorganized and restructured the company to be able to survive the current situation. Through those changes that the company has gone through, the company became stronger. In the case of JS Contractor, the employees were supportive of the changes that the company went thru. The employees were able to understand the situation of the company and the changes that the company had to do because the management explained to them what was happening to the organization and what will happen to

them. The employees were resistant at first to the changes that the company was implementing. The reason behind this was that it revolves around personal factors. They were concerned whether they will still have a job or not.

After the employees found out what was happening and will going to happen, the employees became more complacent. The employees demonstrated a type of resistance that is a combination of psychological and logical resistance. Due to the overall reorganization of the company, the employees had logical resistance. This means that they had to learn new job duties and required effort to adjust to change. The psychological resistance of the employees was based on their emotions, sentiments and attitudes. They feared that they will lose their jobs and wont be able to suppor t their families and felt that their securities were threatened. The employees were fearful of what will happen to them thats why they resisted the change. They blamed the management and their co-workers for what was happening to them. But after a few meetings and talks with them, the management was able to convince them to adjust to the situation. We can say that the employees were able to show the Hawthorne Effect. According to Newstrom, Hawthorne Effect is when people are observed or believe that someone cares about them, they act differently. The employees acted differently in a favorable manner because they knew that the company, JS Contractor still cares for them because of the plans allotted for the employees. The company considered the welfare of their employees which made the employees calm down and behave in a positive manner.

ANALYSIS

Understanding human behavior in an organization is a very challenging task and has its case to case analysis. From simple fundamentals on how things run in the organization up to the complexity of individual and group interactions. Human behavior plays an important role in keeping the number one asset of the company healthy and ready to reach goals as one group. A characteristic of an organization includes having a workforce that would put to actions all that is to be done. Be it same culture context or even as diverse as an international company composed of different nationalities, understanding human behavior would really make life easier in dealing into things that is beyond words and expressions. Ethical matters up to cultural matters are considered in handling and communicating. Without proper understanding in human behavior, the synergy effect that is expected from output and even the workplace aura would be affected that it wouldnt be a healthy place to work on. JS Contractor has been known for their family oriented workplace environment where in relationship between its members are really close and thus making the office a great place to work and the whole JS Contractor a great company to be part of. The company uses mixture of results-oriented approach and systems approach in way that the culture they embody is reflected and at the same time meet to clients requirement and stay on the top of the industry. JS Contractor Inc. is a vertically structured company in a way that hierarchy is observed and that things run with system and in order. The company also observes an

autocratic-supportive kind of organizational model where in there is a figure of power and authority being recognized. Despite having this somewhat strict outlay on structure, the companys culture lightens things up by way of better connection and communication. Informal groups also play a very important role in keeping members of the company intact. These groups are looked after by the company to have a better feel on their employees needs and satisfaction. Keeping up with job requirements is really gruesome when it comes to sourcing. Most of the time is crunch time because of certain deadlines to reach and number of deployments plus all the stresses to deal with. JS Contractor has come up with motivational ways to keep their people happy and hard working. Just like in sales teams of other industries, commission and quota also applies to JSC. In JS Contractor learning is part of the work. The company employees consider trainings and seminars part of the motivation and rewards because the learning is for their own good as well and additional knowledge is something to look after because paid to learn is great way to reward hard workers. With motivations like these the company meets the clien ts needs and also their employees needs. For the line of work of JS Contractor, communication is crucial point to consider especially that the company is working not only in the Philippines but also in other countries. Communication has been very important in reaching clients and sourcing to what they need. The company makes sure that every individual they deploy is of best choice and that they can live to what the company aims for outstanding recruitment services for both foreign employers and Filipino workers. JS Contractor is also known for their downward and upward communication. Company effectiveness is also

measured on how well the members of an organization interacts with each other to meet what is required and further push to excellence. Every organization encounters conflicts be it intergroup or individuals with contrasting view on things or work relations. In these situations team leaders plays an important role in keeping things smooth in the workplace. And with better connection and communication, the company can easily resolve conflicts that arise from individual members.