Learning Journal Submission

Manager We Are Katti With You

The case beautifully demonstrates the relationship between the employer and employees. It
contrasts between the phases that the organization goes through and the effects of these changes
on the relationship.

The following were some of the takeaways from the case and its discussion inside the class:

1. To manage the employer-employee relationship it is not only important to think about what
different changes are made, but also how they are being conveyed to the employees. If a
company distributes its profits to the workers as an increment in salary rather than a bonus,
then it elevates the standard of living of employees. Retracting this increment causes more
unrest among employees as compared to if it has been a bonus. Companies also provide
allowances to employees as family care and educational help rather than direct wages,
which creates a sense of loyalty among the employees.

2. Employers have tried to shape the behavior of employees by providing incentives to them.
However such experiments are not always successful. If such incentives are linked directly to
the performance of an individual, they may lead to disaster as well. For example, if a truck
driver is given incentives on how early he can transport some materials then he may do rash
driving. If he is given incentives proportional to the amount of material he transports then
he may overload above the norms. This can happen because people seek the least path of
resistance while performing a duty and especially when the motivation is extrinsic. Such an
approach may lead to abysmal work and a compromise of security.

3. Unions have been formed for a long time to create a power balance between the workers
and the authority. The unity between the workers has the potential to stop the working in a
company and the unions many times use the strike as a medium to show this unity. We can
even observe such protests from doctors, worker unions, etc., and sometimes against the
government as well. However, the company should try to eliminate such possibilities of
outrage earlier itself. This can be done by organizing regular and frequent meetings between
the workers and the authority (or their representation). Usually, these meetings are not
implemented for resolving an issue in the meeting itself. Such meetings provide an
opportunity to look for deviant behaviors among the workers and identify if there are any
signs of unrest.