Bangabandhu Sheikh Mujibur Rahman Science and

Technology University, Gopalganj

Case Study On
Can a Strong Culture Be Too Strong
Course title: Strategic Management

Course code: MGT455

Submitted to Submitted By
Dr. Md. Bashir Uddin Muhit Helali Akanda

Associate Professor Student Id-17MGT050

Management studies Department On Session-2017-18

Bangabandhu Sheikh Mujibur Rahman Department of Management
Science and Technology University Bsmrstu

Submission Date: 20-02-2023

About the case:

The article presents a case study of a business enterprise with high employee turnover that is considering
adopting a personnel management innovation, referred to as People Support, involving a group of managers
whose role is to listen to and help resolve employees' work-related problems. It offers perspectives from two
business experts who have opposing viewpoints on a family-like corporate culture and on whether the
People Support plan is advisable.

Step1: A Chennai based IT service company “Parivar” faced high attrition rate, nearly 100 employees had
left within few weeks.

Step2: Parivar had ‘Pro-Human’ Culture: The management was attending the employees on a personal level
to boost employee satisfaction, morale and spirit ?

Step3: The Company was also thinking about creating “A People support function”, wherein a committee
of managers would listen to all employee concerns and forward them to main managers?

Step4: Indira Pandit, the vice president of HR found from an exit interview with the ex-employee Mr. Amal
that 30% hike from Wipro was the driver for his resignation. Let us check how was the existing company
culture perceived by the employees?

Step1 Answer: The family had a 'people-supporting' culture: management was engaging with employees on
a personal level to increase employee satisfaction, morale and morale
• The company was also considering creating "A People Support Function", where a committee of
managers would listen to all employee concerns and address them. Forward to managers.
• Indira Pandit, Vice President HR An exit interview with ex-employee Mr. Amal revealed that a 30%
raise from Wipro was the driver for his resignation. Let us examine how the current company culture
is perceived by employees. Indira and her colleagues are just shooting in the dark because they
haven’t gathered the hard facts Company’s perception Ex-employee’s perception A about existing
culture about existing culture.
• Welcoming fresh new ideas.
• Access to senior executives created a family like culture.
• The CEO was interacting only with a specific “in” crowd. Perception Gap
• The observations about employees’ perception were drawn only from a single exit interview,
wherein the ex-employee preferred a salary hike over work culture. Parivar should conduct a
detailed survey.
• The huge perception gap about Parivar’s culture put Indira in a dilemma whether to endorse the new
People support function.

Step2 Answer: Pro-employee culture not only develops loyalty among employees but also sets higher goals
that have a wave of positive energy behind them.
✓ Parivar’s competitors had a rigid work structure; employee driven culture was a differentiator for
Parivar.

✓ Having a supportive organization culture will increase loyalty among employees and will create a
lifetime connection.

✓ Even if the employee leaves the company, he would refer to this place as a positive place to work.
Thereby creating a strong word of mouth.
✓ A strong organizational culture can help give employees direction. It serves as a compass for
organizational action and can help guide employees on how to behave with colleagues, customers
and management. Hence, Parivar should go ahead with the People Support Activity and making it a
competitive edge against the likes of Business Process Outsourcing behemoths.

Step3 Answer: Pro-employee culture not only develops loyalty among employees but also sets
higher goals that have a wave of positive energy behind them
• Parivar’s competitors had a rigid work structure; employee driven culture was a differentiator for
Parivar.
• Having a supportive organization culture will increase loyalty among employees and will create a
lifetime connection.
• Even if the employee leaves the company, he would refer to this place as a positive place to work.
Thereby creating a strong word of mouth.
• A strong organizational culture can help give employees direction. It serves as a compass for
organizational action and can help guide employees on how to behave with colleagues, customers
and management. Hence, Parivar should go ahead with the People Support Activity and making it a
competitive edge against the likes of Business Process Outsourcing behemoths

Herzberg’s 2 factor motivation theory suggests that Parivar needs to work on devising more motivation
factors after considerable research Motivation Factors
• Stable revenue and profitability
• Hike in salaries if necessary
• Growth opportunity: Trainings
• Appraisals Hygiene Factors
• A philosophy of genuine caring for people
• Strong reputation
• Highly inclusive environment
• Low retention rate

Step4 Answer: Indira should indorse “People support function”

o Go ahead with People support function: Not all employees would be comfortable sharing
their grievances with other same level/ top employees with the thought of risking their
reputation & job at hand. They would rather easily share with “the listeners”, who can listen
to them without any biases. The listeners should be trained psychology experts who can
practically help to find a solution to employee’s grievances.
o Conduct a survey to understand how employees perceive current culture of Parivar. The
perception about favoritism between employees (if exists) should be changed.

o Define KPIs to Measure Company Culture Success Employee turnover rate, Employee net
promoter score and Employee-management satisfaction,
o Score: to understand the reason behind the attrition, elements of the employee-manager
relationship such as proper skill utilization, adequate training opportunities, and overall staff
support or guidance.
o Look for Cultural resonance while recruiting new individuals and meet their expectations.

Options:

1. Indira should endorse People Support Function.

2. Indira should not endorse People Support Function.

3. Indira should endorse modified version.

Recommendation:

➢ I would recommend Option 3 (Indira should endorse modified version) as it is beneficial

for both company and employees.
➢ This will increase the Growth of company and the customers associated with this
company.
➢ This option doesn’t have any risk and less cost is incurred and help in retaining the talent
➢ It’s a substitute of People Support Function, so this is the best option in favor of company
and employees.