ClarityBase Case: When to implement new policies

Abstract

The purpose of this research is to conduct a case analysis on ClarityBase. Jessica, the supervisor of accounts managers Megan, Jana, and Davis, currently faces the dilemma of rearranging Jana and Davis’ work schedules to accommodate their personal lives. To address organizational behavior (OB) issues such as psychology, leadership theories, and motivational techniques while keeping peace within the organization due to complaints from other employees; a decision must be made whether or not to implement a blanket no-explanation clause. Although case analysts list several alternatives such as flexible hours, entrepreneurship, job sharing etc., the optimal solution is to implement a Work-life program that supplements the company’s current work-life policy.

1. Introduction

ClarityBase is a company located in Reston, Virginia that sells large database applications. Account managers, such as Megan, Davis, and Jana, assist ClarityBase’s largest customers with software installation and maintenance. The company has a good work-life policy that includes family medical insurance, adoption assistance, paid maternity and paternity leave. Additionally, the company boasts a low employee turnover rate of only 5%, according to Bill Welensky.

Ed Fernandez is the supervisor of ClarityBase’s call-center and recently created a Labor Day work schedule based on fairness. The schedule prioritized those who had been off on holidays the longest but also placed newer employees (mothers or not) at the top of the list. Unfortunately, this decision caused tension among employees.

Jessica is Megan, Davis, and Jana’s supervisor who makes decisions regarding each employee’s number of hours worked or days off (Hayashi 2001). Currently, work schedules are Jessica’s main concern.

Discussion of Jessica’s Dilemma

Megan already has a reduced work week.

In fact, Megan has a work schedule that Jana desires. Megan comes in late and leaves early, has Fridays off, does not travel for business, and only attends meetings after work that fit her personal schedule. Despite this demanding schedule, Megan came highly recommended from ClarityBase’s biggest competitor, Davison Software. She had worked there for three years before joining ClarityBase. Megan possesses excellent technical skills and has a good rapport with clients. None of the other candidates whom Jessica interviewed even remotely matched Megan’s qualifications. Therefore, although Jessica hesitated to hire someone with such specific demands, she felt that Megan was the best person for the job. Jana also desired to have a similar work schedule as Megan’s and requested it from Jessica (Hayashi, 2001).

B. Jana wants to have the same benefits as Megan.

Jana and Jessica met to discuss work hours. Jana assured Jessica that she didn’t have to explain why she wanted a shorter work week. Jana also mentioned that employees with families received more time off than those without children, which made Jessica think there was favoritism within the company. However, Jana clarified that this wasn’t the case. Towards the end of their meeting, Jana revealed that she wanted a similar arrangement to Megan’s, who was considered a good worker. It was noted during the meeting that ClarityBase didn’t have a strict no-explanation policy for time off requests. As a result, Jessica considered implementing one (Hayashi, 2001).

C. Davis wants time off to train for the Ironman Triathlon.

Davis and Jessica had a meeting to discuss Davis’ schedule. During the meeting, Davis expressed his desire to leave at 3pm on Tuesdays and Thursdays during the Summer, but four days in the Fall. He was willing to come in at 6am on days he left early or work later on days he did not leave early. Jessica and Davis agreed that Davis’ clients would need to adjust to his new schedule. However, they were unsure how smoothly this transition would go (Hayashi, 2001).

As Jessica and Davis were talking, Davis pointed out that he wanted to place in the top 20 for the Ironman Triathlon. He compared it to the Superbowl. Jessica thought about how Davis had worked for ClarityBase for 5 years, which was longer than Megan (who had only been with the company for 2 years) and realized how passionate he was about everything. This prompted Jessica to seek advice from her mentor, Bill Welensky. He advised her that she was hired to do the best job possible while meeting her quarterly numbers (Hayashi, 2001).

Bill Welensky suggests that Jessica remembers why she was hired.

Bill Welensky pointed out to Jessica that she should judge each employee’s case separately. He indicated that the two account managers were not easily replaceable. Therefore, Jessica has to compare parenting to someone wanting to achieve personal goals. She has until Friday to make a decision, and today is only Wednesday (Hayashi, 2001).

3. Basic issues of organizational behavior (OB) in the case.

The basic OB issues in this case are psychology, sociology, anthropology, leadership theories, and motivational techniques (Stevens, 2007¹). Significantly, psychology, sociology, and anthropology can be grouped together because they deal with the employee’s personal life as well as their family and work life.

Psychology deals with the human mind (Stevens, 2007¹). Jana is struggling to accept that Megan has a better work schedule.

Sociology involves cross-cultural management, family issues, and women’s work-related problems (Stevens, 2007¹). Megan has a good balance between work and family life while others do not.

Thus, from an anthropological perspective (dealing with humanity), Davis’ and Jana’s reactions to Megan’s treatment over the past two years differ (Stevens, 2007¹).

Leadership theories and motivational techniques can also be grouped together because they deal with management and organization (Stevens, 2007¹). On one hand, Davis wants a lighter work schedule to achieve his personal goal of placing in the top 20 of Ironman Triathlon. On the other hand, Jana seeks a lighter workload because she believes she deserves the same treatment as Megan (Hayashi, 2001). Consequently, Jessica must deploy proper leadership theories and motivational techniques to restore peace in the workplace.

The strategic importance of the problems presented in the case is significant. These issues have the potential to impact not only the immediate situation but also long-term business operations and success. Therefore, it is crucial to address them effectively and efficiently.

Jessica had problems with her employees when she was a supervisor.

Employee retention, employee satisfaction, and motivating employees are the main areas of importance from a supervisory leadership perspective. However, conflicts of interest are also problematic from an organizational culture standpoint. Employees are the company’s main asset due to their intellect, technical skills, and manual labor. Therefore, Jessica needs to find a way to ensure all employees are satisfied with their work schedules.

Stevens (2007²) wrote that understanding how to get better performance from employees is one of the end results of implementing OB theories” (Organizational Behaviour and Human Performance, para. 1). If Jessica wants to effectively manage this valuable human asset, she must implement a better work schedule policy.

One option is the blanket no-explanation policy; however, such a policy may not align with ClarityBase’s organizational culture.

B. Reactions to Megan’s current work schedule.

Stevens (2007²) mentioned, “Most managers will term human behaviour and reactions and actions as their major problems” (Problem solving, para. 1). Currently, Jessica is facing these problems with Davis and Jana. For example, Jana has shown an aggravated reaction to Megan having a better work schedule. Despite not having any children, Jana feels deserving of Fridays off (a shorter work week) as Megan has enjoyed for the past two years. On the other hand, Davis wants time off to pursue a personal goal and he has discussed his request with Jana. Both of them are aware that Megan has extra benefits in a shorter work week (Hayashi, 2001).

Keeping the peace is essential in any community.

Megan does not have to work overtime or on weekends, nor attend meetings after work. She also does not travel. These are considered perks in other organizations. Therefore, Jessica’s strategic importance is to find common ground that will make Davis and Jana happy and retain them as employees since they are hard to replace as account managers (Hayashi, 2001).

5. A Sense of Urgency

Significantly, Jessica understands the importance of resolving this issue as quickly as possible. Jana already has a defensive attitude when asked questions, and Davis wishes to begin training for the Ironman Triathlon immediately. Other employees have been heard whispering from their cubicles. Jessica noticed a bumper sticker on one employee’s car expressing their relief at not having children (Hayashi, 2001). The bottom line is that ClarityBase requires change, and it must happen soon. However, Jessica must be mindful that every change brings more conflicts of interest. In fact, Stevens (2007²) reiterated this point.

Implementing changes in an organization without considering organizational behavior theories and studies may result in ineffective change. Often, we overlook the psychological and personal consequences of any organizational change. (Dealing with organizational change, para. 1)

So, how can Jessica improve ClarityBase’s current work-life policy for the benefit of everyone? According to Luo (2006), Many managers are used to working within a well-defined job scope. Often, sales managers who focus solely on relationship-building and business development rely on their colleagues to obtain signatures on sales contracts” (56). While this statement is specific to sales contracts, if Jessica continues to prioritize her personal relationships with each employee, she may struggle to meet her quarterly sales quota and fulfill her own job responsibilities. Therefore, in order to enhance ClarityBase’s work-life policy, it is crucial that the laws applicable to each employee’s individual circumstances are carefully examined.

6. Megan, Jana, and Davis each have a different set of rules.

Megan

Two years ago, when Jessica hired Megan, she requested a shorter work week to spend time with her children. Despite this demand, Jessica agreed to hire Megan because she was unable to find anyone of Megan’s caliber (Hayashi, 2001). The Family and Medical Leave Act (FMLA) is the most relevant law in Megan’s situation. It requires employers to provide employees with up to 12 workweeks off in a 12-month period for the following reasons:

Employees are entitled to take time off for various reasons, including:

• Childbirth and newborn childcare
• Adoption or foster care, to care for the child
• Caring for a spouse, son, daughter or parent with a serious health condition
• Taking time off if the employee develops a serious health condition and is unable to perform job requirements (The U.S. Equal Employment Opportunity Commission, 2000).

When hiring Megan, Jessica had to consider FMLA but ultimately hired her based on her compatibility with ClarityBase. According to Kwantes et al. (2007), Person-Organization (P-O) fit is defined as the compatibility between an entity’s needs/wants and an employee’s fundamental characteristics.

Megan had the job skills that ClarityBase desired which made her a good P-O fit for the company.

B. Jana

Jana’s situation is a bit different. She wants the same work schedule as Megan, but she did not request it when she was hired by ClarityBase. However, this is not favoritism. Megan was highly qualified and recommended by Dawson Software, which is ClarityBase’s main competitor (Hayashi, 2001). As a result, Megan had the right to ask for a premium or bonus. In Jana’s scenario, ClarityBase’s organizational culture is being disrupted. Organizational culture is responsible for maintaining the social structure within the organization,” Kwantes et al. (2001) explain. “It also generates the organization’s identity and characterizes it from other organizations” (Organizational culture, para. 1). Jana is starting to resent not only Megan but also Jessica and Claritybase.

C. Davis

On the other hand, Davis simply wants to train for the Ironman Triathlon. He has been working for ClarityBase for 5 years, longer than both Megan and Jana. As he has been with the company the longest of the three, not granting him his requested time off could be considered age discrimination. Taylor (2008) explains that Although legislation does allow you to implement a policy with an age bias to pursue a legitimate aim, you need to be able to objectively justify it and show that the means you are using to achieve that aim are proportionate” (para. 3). The case does not state whether Davis is older than Megan but points out that Megan received a reduced work week when she was hired 3 years ago while Davis had already been with the company for 2 years (Hayashi, 2001). Jessica should consider seniority as a factor in Davis’ case.

Determining if discrimination exists.

However, it cannot be determined if age discrimination exists without knowing the ages of Megan or Davis. It is possible that gender discrimination exists, but Jana is also a female, so that argument would not hold up. It should be emphasized that Jessica is beginning to document why some employees receive certain benefits while others do not. If a discrimination lawsuit were ever filed against ClarityBase for their actions towards Megan, Jana, and Davis, at least the company would have a paper trail.

Taylor (2008) reiterated the importance of documentation in defending against discrimination claims: “If you have considered the issues thoroughly and have a paper trail to show your rationale, your organization should be in a far stronger position to defend itself should an age discrimination claim arise” (para. 5). Documentation would allow the company to appropriately address any type of discrimination claim.

7. Solutions to the problems presented in the case:

A blanket no-explanation policy.

In the ClarityBase case, several solutions were suggested. One of them was the blanket no-explanation policy, which Jana and Jessica discussed. Jana informed Jessica that she didn’t have to explain why she wanted a shorter work week. A blanket no-explanation policy allows employees to request time off without providing a reason (Hayashi, 2001). Unfortunately, this policy isn’t foolproof because one employee may have a family emergency while another wants to attend the Superbowl.

B. Time off to achieve personal goals.

Another suggestion was to allow Davis the time and adjustments he requested to train for the Ironman Triathlon. However, this scenario presents a problem as Davis’ clients would have to adjust their schedules which may not be feasible for both the company and the clients. Alternatively, a third solution proposed was to give Jana the same work schedule as Megan. Nevertheless, this suggestion poses an issue since Megan has children while Jana does not.

An even more effective work-life policy would benefit everyone.

Even a fourth suggestion was to make changes where all employees could benefit from shorter work weeks, holidays off, and less overtime. However, there are problems with this approach. Sometimes clients’ systems malfunction and account managers must resolve the issues. If ClarityBase gave an account manager the weekend off, their client may still call in with a problem. Consequently, the employee would have to work anyway or another account manager would have to take their place. In fact, other employees have already complained about those with families receiving special treatment compared to single employees who have to work longer and harder hours (Hayashi, 2001). While all of these solutions could potentially work, none of them are foolproof. Are there any realistic alternatives and solutions? Yes.

8. Consider logical alternatives and solutions.

The case analysts have identified several solutions to the ClarityBase case. Flexible hours, employee referral bonuses, entrepreneurship, and job sharing are all practical alternatives to Jessica’s dilemma. These suggestions are believed to be good solutions because employees are beginning to take sides when it comes to discussions about who receives the best time off deals. If ClarityBase employees lose respect for each other and supervisors have to keep a close eye on account managers, then company values like teamwork and autonomy get thrown out the window. At that point, ClarityBase would lose its organizational identity which consists of values such as respect for individuals, teamwork, autonomy (self-government), etc. (Kawantes, Arbour & Boglarsky, 2007).

Flexible hours

When it comes to flexible hours, all ClarityBase employees could benefit from them. Megan already has a reduced workweek, and Davis and Jana are seeking the same thing. OCLC (2008) allows its employees the benefits of flexible hours. Significantly, OCLC (2008) mentioned that flexible hours are “Available to staff in most positions so they may arrive at work anytime between 7-9 a.m. and leave between 4-6 p.m. (assuming a one-hour lunch break)” (Flexible hours, para. 1). Case analysts believe this is a great solution because it would enable Davis to train for his Ironman Triathlon (Hayashi, 2001). This would satisfy Davis’s needs as well as meet the company’s current work-life policy.

From an OB perspective, psychology (human mind), sociology (cross-cultural management), and anthropology (humanity, compassion) have been met (Stevens, 2007¹). Thus, the concept of flexible hours is the first option for ClarityBase’ change.

Employee Referral Bonuses

The implementation of employee referral bonuses would serve as a motivating factor for employees to refer highly talented and qualified individuals to work at ClarityBase. This would enable the organization to acquire skilled employees, while also increasing job satisfaction among current employees and ultimately leading to increased productivity.

OCLC (2008) stated, Not only are our employees our best asset, but they’re our best recruiters too. Since you probably know other talented people who would also be assets to OCLC, we offer a generous recruiting bonus” (Employee Referral Bonus, para. 1). A successful recruiting program can help ClarityBase acquire dedicated employees willing to work long hours, weekends and holidays.

By offering employee referral bonuses, the company can satisfy both its needs and the needs/aspirations of current employees seeking time off for family or personal goals. Therefore, implementing an employee referral bonus program is a viable option for ClarityBase’s change.

Entrepreneurship

A third option for Megan is entrepreneurship. While she currently has a lot of work and reduced hours, the company could allow her to start her own business and outsource accounts to her. This would reduce tension within the organization and complaints from Megan’s co-workers, particularly Jana and Davis who want shorter work weeks (Hayashi, 2001). However, if all employees decided not to work longer hours, holidays, and weekends, ClarityBase would have difficulty retaining a sustainable competitive advantage. Kirkwood and Tootell (2008) pointed out that work-family balance potentially removes role conflict by passing the management of roles over to the employee” (p. 285). Since Megan is currently the only ClarityBase employee off on Fridays, it poses a problem for the company.

Without taking time off, Megan would not have a good work-family balance. If this were to happen with Megan and other employees, ClarityBase’s work-life policy would not be as successful. According to Kirkwood and Tootell (2008), While work-family balance is an issue for many workers, it is a particularly pertinent issue for women for a number of reasons” (p. 286). However, despite entrepreneurship meaning that Megan would have to run her own company, ClarityBase would not discriminate against her. There are other parents who work for the company that do not receive the same perks as Megan.

If ClarityBase presented this option to Megan, maybe the company could allow telecommuting or freelance perspectives. These solutions would enable employees to choose their own schedules and have the freedom of having a life outside of their job while saving money on travel expenses that are not covered by the company. In addition, the company could achieve cost advantages in terms of reduced overhead costs, motivated employees and maintaining an effective work-life policy.

Job sharing is a fourth option that can be considered. According to the Office of Human Capital Management (n.d.), job sharing is defined as a form of part-time employment in which the schedules of two part-time employees are arranged to cover the duties of a single full-time position.” This means that each job sharer may work a portion of the day or week (Questions and answers: What is job sharing?). Megan, Davis, and Jana could benefit from job sharing because it would allow them to achieve the work-life balance they desire. Additionally, ClarityBase would have each client’s account managed even when their regular account manager was unavailable. OHCM (n.d.) reiterated this point.

Job sharing occurs when two part-time employees voluntarily share the duties and responsibilities of a full-time position. This arrangement allows employees to work part-time in positions that require full-time coverage, providing management with extra flexibility.

Moreover, job sharing enables team members to have different strengths and contribute in diverse yet complementary ways.

Job sharing would be a great option for ClarityBase employees to accommodate each other’s absences, split the extra workload, and help the company reduce unnecessary costs associated with overtime (OHCM, n.d.). Therefore, job sharing is a win-win scenario that ClarityBase should consider.

9. Recommendations

Implement a work-life program.

After careful review of the alternatives and solutions suggested by the case analysts, an optimal solution would be to create a Work-life program that enables the work-life policy to remain effective. The recommended alternatives for the program include flexible hours, employee referral bonuses, telecommuting, and job sharing. Flexible hours would allow employees to start work as early as 6 a.m. (as Davis wanted to do while training for the Ironman Triathlon) and work until 9 p.m., providing them with more time flexibility. This would also enable Davis to find time to train in both summer and fall (Hayashi, 2001).

The employee referral bonus program can satisfy the monetary needs of employees and provide ClarityBase with highly qualified and skilled workers. When considering the issue of replacing Davis and Jana, Jessica realized it would not be an easy task. However, the employee referral bonus program could help solve this problem (Hayashi, 2001). Starting their own businesses would mean that ClarityBase employees become competitors to the company. Therefore, entrepreneurship is not a recommended solution. Telecommuting is a viable alternative that can result in cost savings for ClarityBase while also giving Jana the reduced work week she desires (Hayashi, 2001). Additionally, job sharing could help ClarityBase achieve greater sustainability by allowing employees to work certain days of the week while their job-sharing partner works on other days. This approach could eliminate any existing tension within the company.

Be attentive to Maslow’s hierarchy of needs model.

Implementing the Work-life program would enable ClarityBase to apply Maslow’s hierarchy of needs model. Chapman (2004) outlined the model, which addresses the following:

Maslow’s hierarchy of needs is a theory that categorizes human needs into five levels. These levels are:

1. Biological and physiological needs, such as air, food, drink, shelter, warmth, and sleep.
2. Safety needs, including protection, security, order, law, limits and stability.
3. Belongingness and love needs that involve family relationships and affection within a work group or other social setting.
4. Esteem needs which include achievement status responsibility reputation.
5. Self-actualization or personal growth and fulfillment.

Maslow’s hierarchy of needs is significant because it helps us understand the different motivations behind people’s behaviors. For example:

• Megan fits the belongingness and love need since she desires to have good relationships with her colleagues at work;
• Davis wants to place in the top twenty of Ironman Triathlon which fits his esteem need;
(Note: The original text had Thus” at the beginning of this sentence but it was not necessary for clarity so I removed it.)
• Jana desires to have the same work schedule as Megan which significantly fits her self-actualization need;

• Jessica shows concern for what she hears or is told about the organization or its employees. She wants what is best for both parties involved which aligns with safety needs;

• Bill Welensky boasts about having a low employee turnover rate due to a successful work-life policy. This meets biological and physiological requirements since employees receive basic necessities (Chapman ,2004).

Conclusion:

ClarityBase is already a successful database applications company. To retain a sustainable competitive future, the organization must attend to its employees’ needs. Implementing the Work-life program, as suggested in the recommendations section, could increase productivity and minimize costs. The program combines flexible hours, employee referral bonuses, telecommuting, and job sharing. Consequently, employee turnover would remain low while motivation levels would increase. Additionally, current problems within the organization with Megan, Davis and Jana would be eliminated.

The Work-life program ensures that everyone’s needs are met according to Maslow’s hierarchy of needs model (Chapman 2004). Moreover, it leads to retaining ClarityBase’s organizational culture and identity while Bill Welensky’s work-life policy is in full effect (Hayashi 2001).

11. References

Chapman, A. (2004) presented the original five-stage model of Maslow’s hierarchy of needs. The model can be accessed through the website http://www.businessballs.com/images/maslow’s_hierarchy_businessballs.jpg. The article was retrieved on October 20, 2008.

Hayashi, A.M. (2001, March). Mommy-Track Backlash.” HBR Case Study, 33-37.

Kirkwood, J., and Tootell, B. (2000, July). Is Entrepreneurship the Answer to Achieving Work-Family Balance?” Journal of Management & Organization 14(3): 285-302. Retrieved October 19, 2008, from ProQuest database.

Kwantes, C.T., Arbour, S., and Boglarsky, C.A. (2007, July) conducted a study on organizational culture fit and outcomes in six national contexts. The study analyzed the organizational level of analysis. The findings were published in the Journal of Organizational Culture, Communications and Conflict (Vol. 11, No. 2), with page numbers 95-110. The article can be accessed from the Academic OneFile database and was retrieved on October 19th, 2008.

Luo, T. (2006). Staffing for High Tech in China: Finding the Right Leaders for Global Initiatives.” Journal of Business Strategy 27(2): 54-58. Retrieved October 19, 2008, from Gale Cengage Learning Academic OneFile database.

OCLC (2008) offers career opportunities for those interested in working at OCLC. To learn more about these opportunities, visit the OCLC PapersFirst Search website at http://www.oclc.org/careers/workingat/default.htm. The information was retrieved on October 19, 2008.

Stevens, P. (2007¹) wrote about the basics of organizational behavior. The information can be found on the website: http://www.organizationalbehaviours.com/organizationalbehaviourbasics.htm. This was retrieved on October 20, 2008.

Stevens, P. (2007²) defines organizational behaviour as the study of how individuals and groups interact within an organization. The aim is to improve workplace productivity, efficiency, and employee satisfaction. This definition was retrieved from the website http://www.organizationalbehaviours.com/organizationalbehaviourdefinitions.html on October 20, 2008.

Taylor, J. (2008, August 19) discusses the weekly dilemma of last in, first out” redundancies in an article published in Personnel Today. The article can be found on the EBSCOhost: Business Source Complete database and was retrieved on October 19, 2008.

The Office of Human Capital Management (OHCM) provides information on part-time employment and job sharing through the USDA Work Life Programs and Services. The website, http://www.da.usda.gov/shmd/parttime.html, offers resources for those seeking flexible work arrangements. This information was retrieved on October 20, 2008.

The U.S. Equal Employment Opportunity Commission (EEOC) provides information on the Family and Medical Leave Act, the Americans with Disabilities Act, and Title VII of the Civil Rights Act of 1964. The information can be accessed through their website at http://www.eeoc.gov/policy/docs/fmlaada.html. The article was published on July 6, 2000, and retrieved on October 19, 2008.