SUMMARY OF CASE This case entails the decision of a manager of the Perfect Pizzeria in South Ville, Illinois.

The chain pizzeria restaurant manager is forced to make certain decisions in order to receive his bonus. The manager is paid this bonus only if the damaged or unsold food percentage is low at the end of the month and must devise methods to ensure that the employees don t abuse their si! hour benefits and give away e!tra food at no cost to their friends. If the manager does not achieve this bonus he is paid his normal wages. In the case scenario, the manager found that the more restrictions he put on the employees food allowance or punitive action he took, the higher the damaged or unsold goods margin at the end of the month will be. This would indicate that the less they were allowed to eat, the more they ate and gave away to their friends when the manager was not present. GOAL STATEMENT The outcome of the analysis and subse"uent recommendations has led to the pizzeria operating profitably, all employees are motivated to perform and wastage at the restaurant has decreased. The relationship between the managerial staff and employees has become cordial and professional and everyone s #ob satisfaction has improved. ANALYSIS $. %here the manager changed the time period re"uired to receive free food and drink from & to $' hours, the theories that best describe this scenario is (einforcement Theory. %hen punishment is properly enforced by combining with positive reinforcement should lead to an undesirable behaviour being curbed. )ut, in this case the opposite of what was needed occurred as the employees perceived the manager s action as being harsh. This leads to the *"uity theory as the employees took the step of increasing the food wastage percentage in retaliation of this perceived ine"uity +Paragraph ,-. Insert Maslows diagram here! .s the situation is, both managerial staff and employees seem to be stuck in /aslow s 0ierarchy of 1eeds as they are not dependent on the pizzeria for their survival and e!istence, but due to the #ob market +paragraph 23 few #ob opportunities- they are motivated to perform out of a need for security. In 0erzberg Two 4actor Theory the incentive of having a #ob and keeping same is one of the dissatisfiers, or hygiene factors and as such does not encourage the employees to perform. Vroom s *!pectancy theory offers the most appropriate e!planation of this scenario, since only the manager has the only performance motivation+to attain a bonus-, only he has a ma#or stake in attaining low wastage, whilst the rest of the employees receive no such reward.

6utcome $

*ffort

Performance

6utcome '

6utcome 2 *5P P56

Since the theory posits in the first part a given level of performance will be achieved given a certain effort, thus *5P. Secondly, that any given level of performance will lead to certain outcomes, each having various level of benefits or non3benefits for the individual. Thus P56. The level which the manager want the employees to perform will lead to a favourable outcome for him, but the employees effort and performance led to an outcome where the manager did not get a reward. The only benefit for an employee other than having employment was to abuse the free food allowance. '. In the case where the manager worked alongside the employees for a time and later returned to his office saw for that period the percentage returned to a low level and the manager was able to receive a bonus. This emphasizes the (einforcement Theory, whereby the employees by virtue of the manager working alongside was itself a form of punishment as it had the effect of weakening the behaviour of the employees as previously there was high wastage. The advent of the manager working alongside the employees also had the effect of authority and supervision which is lacking in this case scenario. 2. The situation that e!ists at the end of the case again emphasises the manager s punitive approach in dealing with the employees. 0ad he resorted to imposition of punishment with positive re3enforcement, thus combining the punishment with an e!planation of what they doing wrong or right would have minimized the tension at the end of the case scenario. .lso, the usage of good interpersonal skills is needed in dealing with diverse individuals, the manager was not specific in meting out punishment +only offenders-, but tried to punish all the employees. *"uity Theory suggests that in order to reduce any perceived ine"uity one would change inputs +work less- or change the outcomes +pilfer company s property as is in this case-. 7. Since the relationship between the manager and staff has broken down, a motivational programme based on performance based rewards should be implemented. This has the effect of rewarding the individual on hoe he performs and what is achieved. The potential of a reward programme can discourage the wonton wastage as the staff will try to attain the organisational goals and the personal rewards that accompany them.

4irstly, the manager should reinstate the free food allowance and attempt to influence higher management to increase the hourly rate of the employees. 6ther rewards should be non monetary such as gift certificate and coupons and even the establishment of an employee of the month award. Secondly, #ob descriptions and #ob feedback should assist the employees in knowing the re"uirements of the #ob and an effective communication process developed in order to facilitate two way feedbacks. This gives the advantage of forming closer working relationships amongst parties and an avenue for the employees to communicate suggestions on how the Pizzeria can be operated more efficiently. This also negates the fact that the employees would do their #ob as they please. .nother aspect that would facilitate the ability to achieve various competencies within the fold can lead to better decision making, and also create a multi3skilled and dynamic workforce. .ll these aspects can lead to appropriate behaviour while working and encourages everyone to follow along the lines of teamwork and teambuilding. 8ommon consensus among the team would lead to a unified workforce that creates an environment whereby the organisational goals can be attained. These factors can assist in alleviating the situation as it e!ists at the end of the case, but also the Pizzeria being one in a chain has the ultimate decision making at the corporate level. The person at this level can ensure that managers salaries commensurate with e!perience and "ualifications. Thus in order to motivate the manager of this branch, the salary and rewards must be increased. *"uity theory posits that people will act to eliminate any felt ine"uity in the rewards received for their work in comparison with others, thus managers and employee s salary must not be the same. .lso, a proper training programme for the managers should be implemented9 this could elicit a higher degree of loyalty from managerial personnel. 8618:;SI61 The cru! of the case study entails the lack of motivation, both for employees and managerial personnel. The policies of the organisation did not give the employees sufficient motivation to perform as the organisation desired of them, unless a large measure of overall supervision was e!ecuted. The aforementioned motivational programme seeks to alleviate the problems within this branch of Perfect Pizzeria, thus ensuring with implementation the problems at the end of the case study may cease to e!ist. 4rederick 0erzberg two factor theory accentuates this problem in the Pizzeria of motivation, as many hygiene factors such as work conditions, salary, "uality of supervision, and relationships with peers and subordinates lend to the de3motivational state of the employees of this branch of Perfect Pizzeria. Therefore the proposed solutions as in +7- with the cooperation and willingness of all employees and managerial staff will auger well towards a more efficient and productive enterprise.

(eference< $. Schermerhorn, 0unt and 6sborn +'==7- 6rganisation )ehavior, ,th *dition, %iley. '. 4oot, /argaret. 0ook, 8aroline +'==>- Introducing 0uman (esource /anagement, 7th *dition, Prentice 0all. 2. ?essler, @ary +'==A- 0uman (esource /anagement, $$th *dition, Prentice 0all.