Some analysis and recommendations for Perfect Pizzeria I. Problems Of This Case Perfect Pizzeria has no clearly regulations, reward systems, training systems ought to be developed aiming to introduce the motivator factors to employees, such as achievement, recognition and advancement. For manager: This no formalized training nor was there any systematic criterion for becoming a manager. This led to a low effort to performance expectancy as the managers doubted their capability to perform the duties as a manager effectively.
Hence, the managers lacked the confidence and knowledge to take initiative in solving certain problem that occurred during business operations. For employee: With Strong substitutability as a result of the job opportunities are quite limited in the area where the Pizzeria operations locate, Sense of security is very important to employees. Also, the employees are not motivated to perform their respective roles unless they are under constant supervision. So, how will the company prevent itself from having incompetent and untrained managers and employees? II. Objectives To be able to solve currently company’s problems, and to improve company’s performance. ? To be able to have a clearly regulations, reward systems, training systems and definite basis for each managers and employees ? To be able to improve manager-employee relationship within the company. III. Consideration Analysis 1. Undefined Clear Corporation Regulations The whole set of policies seems to convey the message that the corporation is very important, while the individual is practically expendable. Therefore, this communicates a clear message as to the value the corporation places on the managers.
Moreover, the ultimate indignity comes when managers are told that if they want to advance beyond managerial position, they must invest in the corporation. 2. No outcomes of proposed incentive plan: By Adams’ equity theory of motivation and Vroom’s expectancy theory of motivation ,better management control over night operations: prevention of foods from being wasted by employees’ mistakes, self consumptions (more than entitlement), and illegal friend treatment. Bonus could be much easier to be granted with the support of night managers.
Thus a win-win outcome will result to both managers and night managers. 3. Performance incentives are very limited. Performance for each franchise is determined on the basis of the percentage of wasted or unsold food. In fact, given the reward system, the only attractive outcome for an employee other than simply keeping his job is to abuse the free food allowance. In other words, employee can only squeeze rewards out of the system by abusing the system. Though the manager does receive a bonus for achieving a low percentage, his incentives are extremely limited.
That bonus is his only incentive to try to do more and achieve more. Therefore, bonus becomes a motivator or a form of recognition for achievement. It is clearly not enough to motivate the manager to perform at his maximum ability all the time. 4. Selection of manage and Untrained managerial personnel Managerial personnel are selected on the basis of ability to perform employee tasks. Managers are selected based upon their ability to perform employee tasks and not upon the ability to manage, and once becoming a manager they are instructed only to manage and never to perform any employee tasks.
The problems regarding manager selection mentioned above are bad, but could be excused in some degree if adequate training was provided. However, training would beneficial in terms of the manager’s confidence and the way he is viewed by his employees. Since most managers do not have degrees, they probably tend to feel inferior to most of the employees. Having been trained would not generally take away the sense of inferiority but would slowly reduce the intensity. IV. Recommendation 1. Clear Corporation Regulations:
There must be changes to the policies of Perfect Pizzeria Corporation, which means to begin on the topmost level of the corporation. Managers and employees will work efficiently because a large supervision was provided.. beyond manager’s position. Such advancement should be based on performance. 2. A Good Training Systems: Training systems would elicit a higher degree of loyalty from managerial personnel than it otherwise would. It would obviously result in a higher percentage of better managers who could likely reach lower waste percentage figures without increased rewards for employees.
Such training would raise the level of respect, both of the manager for himself and of the employees to him. A Good Plan For Rewards Of Proposed Incentive: Establish a plan for rewards of proposed incentive. When the high and positive values of instrumentality and valence could multiply a good value of expectancy (night manager’s belief that their effort will yield good performance), we have a good motivation in place. Pros as follows: 1. Better management control over night operations: prevention of foods from being wasted by employees’ mistakes 2.
Thus a win-win outcome will result to both managers and night managers. 3. An open 2-way communication channel is possible to be established which will create better working atmosphere. 4. Getting a better position could be a motivator factor to regular employees. V. Last Summary: Job satisfaction is a key driver to corporate success. The effort-to-performance (E-to-P) expectancy is the belief that increased effort will lead to increased performance. In the present case, the company has no standard in hiring and training for mangers which reduces the capability of performing the job successfully.
For example, the role of night managers is to control the operation in the evenings and to report employee mistakes specifically unsold and damaged food. Yet the night managers should be committed to accomplishing a challenging goal set. This refers back to the E-to-P expectancy, the more belief that the goal can be accomplished; the more committed the night mangers are to the goal. Last but not least, to overcome the tension between managers and employees the building up of organizational commitment is crucial.