|| CHAPTER A MANAGER'S CHALLENGE How Enterprise Rent-A-Car Motivates Employees How can mar £08 to provid sack Ter Enters Holos, ses Entre Re car rortal company After studying this chapter, you should be able to. $14 bilon comployees. Entre [L019-1 Explain what motivation sand why managers need tebe concerned : : Prise poy ofpremaingtem within ensures | bout {hata employees who pectorm wal have the ‘opportunity o savanee inthe company® LO18-3 Expainhow got and ne te poop and what kinds of lw ar ae the work can be hard fe. f. goal ae epoca aay nigh perfomance assistant managers once sued the company Claiming that they should reaive overtime 1L013-4 Ident the motatoneasons tht managers can ar om oper sy), Ertrprise has been ranked arrong the ring tear an soca larg they top S0 best companies for new college gre ats to launch thar careers by Bloomberg 4019-5 Explain wy and how managers can use pay a8 amor avant Teor, who became present in 1980 and (CFO in 1991, Jack Tale’ caughter, Jo Ann(ne of the keys to Enterpraes succes 1s the way it motivates its employees to pro- al onty-lvel ies paricpste in Enteris's Management Tilring Program? As part of the peooram, new hires the company business, and how to provide trainees fest have a four-day tring seo sion focused primary on Entorprisos culture They are then assigned to a branch ofice for around & to 12 months where they lean ail aspects of the busines, from nepotit Ing wah body shops o helping customers to washing care. As part of this traning, they learn how important high-qulty custome service is to Enterprise and how they can personally provide great service, ineressing Al those who do well inthe program aro promoted afer about a year to the pos: ion of management assistant. Manage ment assstans who do well ae promoted to become assistant branch mangers with responsibilty for mentoring and supers ing employees. Assistant managers who do wall can be promoted to bacame branch managers who are responsible for manag Ing a branchis employees and proviion of customer service, renal car fet, nd fin ial performance, Branch managers with bout five years of experience In the pos ton often move ont take up management postions at hesdquete or assume the poston of area manager overseeing a the branches In a certain geographic region." By training a new ies in al aspects of the business incising the provision of excl lent customer sence, by proving them With vaiusle experience with increasing loves of responsibilty and empowerment, and by providing all new hies who perform wall with the oppertiniy to advance inthe ‘campany,Entrpise has developed a high president cf corporate communications in Is that everyone care up thrcugh the same system, from the CEOs on down... 109% agement trainees." Inaction to motivating high performance and excllont customer service though rin ing and prometioral opportunites, Erterri also uses financial incentives to motvate ‘employees. Essontily, each branch is con- sidered profit center and the managers fovereeaing the branch and in change ofall ‘aspects a ts functioning have the autonomy fang responsibilty for the branch's profit abit almost as the branch was thei own small business or franchise. All branch employees atthe rank of aesistant manager and bigher eam incentive compensation whoreby their monthly pay depends upen the proftabity of thelr branch, Managers at higher levels, such as sea managers, have tole monthly pay Snked tothe profitably ofthe region they oveese, Ths, managers at all vals know thatthe pay i inked to the profitably ofthe parts of Enterprise for hich they are reponse. Arc they nave the autonomy to make decisions ranging from buying and sling cars to opening new branches? Providing high-quality customer servic Ie essential at Enterprise." One ofthe trade marks of tis senice i Enterrees long standing prectee of picking up customers ‘or workplaces and then dropping them of ere they need to go once they return thi rental car. To centinucusly keep track of how well branches are doing in providing high-quality customer series, Enterprise eveloped the Enterprise Service Quality Inox (ESQ), The ESO) is based on phone calls that are made to 1 out of every 15 renting a ca fom Enterprise, Basie, cs tomers are asked how satisfied thoy were with the experince and i they would rent 2 car from Enterprize again, Based on st slaction scores, managers at each branch ‘hey are doing compared tothe overal aver: ag2 for the company and take steps, when vates its employees is though ts philsn trope activites and intiatves ta protect Enterpries Rent-A-Car Foundation has com rite $50 millon to pant 50 millon tees lover a S0.year period in puble frees © The foundatien also focuses on suppor 1 ging back to the communities in which Enteise operates, whether it Ie donating $3,000 to an outreach contr for voubled teens in Syracuse, New York, or donating $90 milion to fund plant research around th world sponscced by the Missouri Botanical Garden” In 2012, Enterprise Joined the 100,000 Jobs Mission, a group 4 minimum of 100,000 veterans by 2020.22 fall ronal car campanie, Enterprise has the biggest fleet of ful-fcent cars, aver 70,000 are that can ue ful that fs com oted of 159% gasolne and 859% ethanol (85,2 As Andrew Taylor suggests, "We're not galng to be able fo eave the world ace whare we play every day a8 busi ness. And we think that iiss customers have ontrbuted to ts cengoing success story? Overview ‘ivesExpectancy § TheoryPic Ta]‘hers pomn at sis hierar era Alderfer's ERG Theory Information Technology Byte McClelland’s Needs for Achievement. Affiliation, and Power High Motivation at the SAS InstituteEquityal-Setting LearniPay and Motivation Merit Pay Ind dual, GroupExamples of Merit Pay Plans Summary and ReviewManagement in Action Oa | Topics for Discussion and Action Building Management Skills ce ¥ Diegnceing Motivation no%s4,19 QuestionsThe Wall Street Journal Case in the N Go-Workers Change Places Questions for