P.C Daunt has a culture that is known as the "Dauntless Way"-a culture driven around values of integrity,ethics,teamwork,and customer service.The company has continuously grown since its inception.Employees work in teams and consider themselves a family.There are monthly all-hands meetings to celebrate achievements and to share the status of the business.Employees also are incentivized to achieve a combination of individual and team goals.Recent market pressures have caused the company to expand its core business of providing products to other companies that manufacture computer components to the consulting side of this market.Management believes the company has the human and social capital needed to expand into the services side of its markets.
1.The company hires employees with no technology experience because it could not find people with the combination of technological and consulting experience.
2.The computer components division and the consulting division began to compete for people and resources,leading to a break in the family-based culture that previously existed.In addition,each was expected to contribute equally to the company's bottom line.Animosity has grown between the two divisions and finally management agreed to allow each to function independently.In addition,the reporting structure changed.Tech reported to tech managers; consulting reported to other consultants.
In addition to internal conflict,it appears that subcultures are forming across the two divisions.This is partly due to the fact that the company has no formal socialization or onboarding process.Leaders also have different views about rewards and recognition.Leaders in the consulting business want to reward their employees based on total sales whereas the computer components incentivizes employees based on on-time delivery and customer satisfaction.
The push to promote the new strategy has led to an environment in which employees were not allowed to question superiors.The director of human resources believes that employees feel that the culture is changing and there is no transparency from senior management.She also notes that employees are under unbearable pressure to do their jobs and to meet the firm's ambitious goals with very limited resources to get the job done.
Personnel have started to leave the company in large numbers and customer service has significantly declined.The chief executive officer and director of human resources are meeting later today to discuss a plan of action.
Using the 3-Step Problem-Solving Approach and the Organizing Framework,identify the primary problem and make recommendations to address the issue.
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