ORGANIZATIONAL

BEHAVIOR

TERM PAPER ON:A Case Study On “Consolidated life” (case no 7)

SUBMITTED TO
Dr. Mohammad Solaiman
Associate professor
Department of marketing
Submitted By Comilla University
Team :

1 Md Golam Samdani (11807030)

2.Md Emran (11807051)
3 Md Arafat Hossain (11807058)
4 DIpa Rani Debi (11807063) Group leader
5 Md Ashraful Alam (11707045)

Date of submission: 27th FEB 2020

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ACKNOWLEDGEMENT

As the students of Faculty of Business Studies, this assignment is an essential part of my

academic purpose. I have gathered a lot of practical knowledge and experience by preparing this
assignment. Thanks to Almighty who gives me the opportunity to complete this task properly.
My friends helped me by providing information about the assignment. They also provided me
valuable advice and guidance.
In this regard, at first I want to thank my MKT-225 ’’Organizational behavior’’ course instructor,
Dr. Mohammad Solaiman Associate Professor, Department of Marketing. His constant
presence and words of encouragement inspired us to do our best .We would like to pay our
gratitude to all the academic book Web Sites that helped me a lot for the completion of this
assignment before, during, and after the working period.
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Letter Of Transmission
September, 2018.
Dr. Mohammad Solaiman
Department of Marketing,
Comilla University
Subject: Submission on term paper " A Case Study On “Consolidated life” (case no 7) ".
Dear Sir,
This is our great pleasure to submit term paper titled " A Case Study On “Consolidated life” (case no
7) ". We are trying our best to make this paper successful one. It has been joyful & enlightening
experience for us to make this paper. I would like to express my sincere gratitude to you for your kind
guidance & suggestions in preparing the paper. It should be my pleasure if you find this report useful &
information to have an apparent perspective on the issue. I will be happy to provide any further
explanation regarding this paper if required & please do not hesitate to call me if you have any query on
this term paper.
Thank you Sir
Goup 7
Department Of Marketing
Comilla University
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Table of Content
Sl no Topics Page no
01 04
EXECUTIVE SUMMARY

02 Problems of the consolidate life and 05

causes of this problem
03 Solution according to academic book 08
04 13
DECISION CRITERIA AND
ALTERNATIVE SOLUTIONS
05 14
RECOMMENDATION:
06 Questions and solutions 16
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EXECUTIVE
SUMMARY
Consolidated Life is an insurance company that provides services and products to consumers in
the form of life insurance policies, auto policies, renters insurance any other commercial policies.

Mr. Mike Wilson however, obtained a business degree in administration. He worked in the
policy issue department wherein most of the work are clerical in nature and did not require a
high degree of technical knowledge.

Management reorganization was done that resulted to great deal of animosity and anxiety among
the clerical staff. Mike Wilson demonstrated how an effective a "leader" can be in the workforce
rather than just a "manager" by title. Things improved and he was noticed by upper management
and earned a reputation as a superstar despite being viewed as free-spirited and unorthodox. He
was then assigned to a different Consolidated Life division.

His new job was only satisfying for a short time. He began looking for a job that would
challenge him that’s why he returned to Consolidated Life in the policy issue department. Upon
his return, he became aware of several changes that had taken place particularly the hiring of a
new division senior vice president, Jack Greely.

A stricter task-oriented management doctrine was practiced and the morale of the supervisory
staff had decreased. Mike felt that a change in the management style of his boss was necessary in
order to improve a frustrating situation. He decided to form a Supervisors’ Forum but Jack
Greely was strongly opposed to the group. Still, Mike kept the forum alive and his staff became
the most highly trained in the division.

One month before his scheduled promotion and one month after an excellent merit raise in
recognition of his exceptional work record, he was informed that a decision had been made to
deny his promotion because of his lack of attention to detail.

As we study the situation about the Consolidated Life, the proponents found that the main cause
of these problems is the hiring of new divisional senior vice president Jack Greely followed by
Mike Wilson’s different way of managing his subordinates.
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We believe that these problems will be solved if both of the parties will be able to reconcile their
animosity towards each other. They must align their perceptions about how things should be
done to get results that will be a great help to the company.

Another cause would be the change of leadership style. Laissez-faire is the exact opposite of
autocratic style. This is the reason why the employees had a hard time dealing with the changes.
The management should evaluate properly the best type of leadership style that will be effective
not just to the company but particularly to the employees.

Problems of the consolidate life and causes of this problems

A. A stricter task-oriented management doctrine was practiced.

Symptoms
• The hiring of new divisional senior vice president, Jack Greely who is viewed by his
subordinates as an authoritarian leader.
• Reorganization of the company which resulted to the promotion of some employees that do not
deserve to such positions.
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Causes
• The reputation of Jack Greely was tough but fair.

• It was necessary for people in Jack’s division to do things his way and get the work out. He
wants his subordinates to do things as what he instructed them to do.

B. Morale of the supervisory staff had decreased.

Symptoms
• The loose casual atmosphere had gone. Employees do not enjoy their free will to do things
which they thought are right for the company.

• People joked that MBO now meant “management by oppression.” It is because of the way Jack
managed the company. It seems like all Jack wants is for his subordinates to follow his orders.

Causes
• The way Jack Greely managed his employees. There is no freedom on the way employees
should perform their work.

• The new rules and policies set by Jack Greely which are needed to be follow strictly.

C. Negative attitudes were reflected

Symptoms
•Everyone was looking for new jobs or transfers since they are not contended on what they do
and achieve in that company.

•The employees questioned the reason why Mike return to that division because for them that act
is considered as a desperate one since that division is a prison for them.

Causes
•Strict task-oriented management doctrine was practiced in the division. They cannot act on their
own. It is like being controlled by someone and they cannot do something about it.

•The decrease in the morale of the supervisory staff in an alarming level because of the work
environment and the results of their performance.

D. Poor quality of work being done.

Symptoms
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• Negative attitude of the employees towards their work and the company itself.

• The formation of Supervisors’ Forum for all the managers on Mike’s level in the division to
change the way things work inside the division.

Causes
• They do not like the way Jack managed the company that’s why they do acts that they think
will help to change the management style of Jack.

• They cannot voice out their opinions with regards to the operation of the company because Jack
is not open to their suggestions and recommendations.

E. Opposition of Jack Greely to the forum

Symptoms
• Jack was not interested to the forum formed by Mike.

• He wanted its founders dealt with so that he can talk to them and inform them that if they don’t
like it there, they can leave the company anytime they want to.

Causes
• For Jack, the forum is not a democracy and they are not a union. For him, it is not their right to
form a forum because it is not essential to the company.

• Jack didn’t like the way Mike managed his units because for him it is not associated to what he
believed is right for the company.

F. The way Mike managed his units.

Symptoms
• Mike has always been a loose amiable supervisor. He has his attention on each member of the
group and how these people can help in the improvement of their division.

• He motivated people through a dynamic, personable style and was noted for his general lack of
regard for rules.

Cause
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• He treated rules as obstacles to management and usually use his own discretion as to what was
important. He believes that in order to achieve the best results for the company, he must change
the way the company is managed.

G. Denial of promotion

Symptom
• Jack Greely didn’t have any positive response to the results of Mike’s work. Even though other
peoples especially the customers, praise Mike for his excellent performance, Jack has been blind
towards him.

Causes
• Mike Wilson has lack of attention to detail. Jack didn’t like his management style.

• According to Jack, Mike needed to follow more instead of taking the lead. He added that they
someone who conform to their style and methods.

H. The different perception of Jack and Mike with regards to results

Symptom
• The denial of Mike’s promotion due to his management style.

Causes
• Jack focused on how an employee attains those wanted results. He wants someone who
conforms to the rules and policies set in the company so that they measure the results
objectively.

• Mike focused on what the results should be regardless of how he is going to attain those results.
He doesn’t care about the style and methods the company wants him to do as long as he obtained
those desired results.
Solution according to academic book:
1.Leadership Style
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We believe that the leadership style of Jack Greely in Consolidated Life should be changed. As
we compared the performance of the employees in laissez-faire leadership and autocratic
leadership, it is obvious that better results are attained I n laissez-faire leadership. It only means
that employees didn’t like to be controlled but be supported. They exert more efforts in the
things they do when they can act on their own just like what Mike did to his subordinates.

e believe that the leadership style of Jack Greely in Consolidated Life should be changed. As we
compared the performance of the employees in laissez-faire leadership and autocratic leadership,
it is obvious that better results are attained I n laissez-faire leadership. It only means that
employees didn’t like to be controlled but be supported. They exert more efforts in the things
they do when they can act on their own just like what Mike did to his subordinates.

2. Management Strategy

A manager must possess the following skills in order to be effective.

• Political: used to build a power base and establish connections.

• Conceptual: used to analyze complex situations.

• Interpersonal: used to communicate, motivate, mentor and delegate.

• Diagnostic: ability to visualize most appropriate response to a situation.

A manager should be open enough to the suggestions of his subordinates especially if the
suggested ideas results to greater improvement.

3. Effective Communication

All communications, intentional or unintentional, have some effect. This effect may not be
always in communicator's favor or as desired by him or her. Communication that produces the
desired effect or result is effective communication. It results in what the communicator wants.
Effective communication generates the desired effect, maintains effect and increases effect. It
serves the purpose for which it was planned or designed. Possible purposes might be to generate
action, inform, create understanding or communicate a certain idea/point etc. Effective
communication also ensures that the message is not distorted during the communication process.

4.Conforming with management rules and principles

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One of the major issues in Consolidated Life was the management style of Mike which does not
conform to management rules and principles set by Jack. As a subordinate, it is his duty to
follow what is directed him to do. If in case he thought of actions that are better than the set one,
he must communicate it properly to the management so that conflict will be avoided.

1. A stricter task-oriented management doctrine was practiced.

Solution: Adopt a less strict management style or better change the leadership style.

How:a) Give subordinates freedom on the tasks assigned to them.

b) Trust the abilities of the employees so that they will be relaxed and confident in performing
their jobs.

Advantage: It will lessen the pressure on the part of subordinates and will help the organization
achieve better results.

Disadvantage: Some employees may be over relaxed that they will feel no pressure in the tasks at
hand.

2. Morale of the supervisory staff had decreased.

Solution: Motivate those supervisory staff in a manner in which they can feel that they are part
and important factors for the success of the company.

How: a) Be aware of how the employees want to be treated.

b) Be open to the opinions of the subordinates

c) Acknowledge their suggestions as part of every decision to be made.

d) Communicate the vision, mission, and values of the company to the employees
enthusiastically for them to embrace it with commitment.

Advantage: If these actions will be achieved, there will be a higher degree of commitment in the
company that will assure not just for the success of the company but for the manpower too.

Disadvantage: There are certain values of the employees which cannot be controlled by the new
management style.

3. Negative attitudes were reflected in the company.

Solution: Make the employees feel satisfied and contented.

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How: a) Improve or change the management style

b) Avoid being too strict or autocratic to employees

c) Avoid treating the employees as if they are puppets. Make them feel that they are assets of the
company.

Advantage: It will lessen pressure on the part of the employees and will help achieve better
working environment.

Disadvantage: Some employees might overstep and overlook their rights.

4. Poor quality of work being done.

Solution: Think of different strategies that will help the employees be motivated in their work.

How: a) Identify the factors that lead to poor quality of work

b) Look for ways on how to eliminate those factors.

c) Ask the perceptions of employees towards their work.

d) Consider their suggestions and evaluate if changes should be done.

Advantage: If employees will be motivated in their work, better results can be obtained. Increase
in productivity can be achieved without compromising the employees.

Disadvantage: It is hard to determine the general factors that will motivate the employees
especially when they have different needs.

5.Opposition of Jack Greely to the forum created by Mike Wilson.

Solution:Explain thoroughly and effectively the purpose of the forum and how it can affect the
company positively.

How:a) Inform the management about the feelings of employees towards them.

b) Think of ways on how to awake the management about the negative effects of their style in
managing.

c) Show to them the possible changes that will be developed if they consider the forum

d) Tell him that the forum is one of ways on how to have a better employer-employee
relationship.
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Advantage: If properly done, there will be unity and cooperation inside the company. Everyone
will be allowed to voice out their opinions about how the things work in the company.

Disadvantage: The management might lose their confidence and self-esteem. The employees
may also lose their respect to the management.

6. The way Mike managed his units.

Solution: Perform your job in a way that will not violate the methods set by the company. As
much as possible, obey your superiors.

How:a) Follow what is intended to be done because being inferior, you have the responsibility to
do what has been asked you to do.

b) Pay more attention on the administrative duties.

Advantage: There will be no conflict with regards to the relationship of the management and the
employees if they have the same perceptions towards the things needed to be done in the
company.

Disadvantage: Employees cannot voice out their desire or they cannot perform their own ways of
attaining successful results in their operations.

7. Denial of Mike’s promotion despite of obtaining the best results in the company.

Solution: The management should have given Mike a chance to prove himself in a way that he
will conform to management style.

How:a) First, the management should have confirmed his promotion because he has obtained
successful results in the operation.

b) Communicate to him the things that they wanted him to change and where to pay his attention
more.

Advantage: His promotion would be a great help and could contribute a lot to the success of the
company.

Disadvantage: It is hard to change the way Mike manage his subordinates which may lead to
another conflict between him and the management in the way they do business.

8. The different perception of Jack and Mike with regards to results.

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Solution: Remove the tension between Jake and Mike and let them communicate effectively with
one another.

How:a) Schedule meeting solely for the purpose of improving the relationship between them

b) Make them have the same management style so that conflicts can be avoided.

Advantage: It helps the operations of the management run smoothly. The conflict will be

avoided and the tension will be eliminated.

Disadvantage: If they will continue to agree with what the other is suggesting, there will be less
room for improvement.

DECISION CRITERIA AND ALTERNATIVE SOLUTIONS

WHO:

The management and the supervisors are the main factors involved in the issues above. The
conflict and tension between them should be resolved as soon as possible so that they can have
better results for the company. They must consider other factors that may help them achieve
better understanding on what style of leadership and management is best for the company.

WHAT:

1. For the problem a stricter task-oriented management doctrine was practiced, the management
should adopt a less strict management style or better change the leadership style.

2. When the morale of the supervisory staff had decreased, motivation of those supervisory staff
in a manner in which they can feel that they are part and important factors for the success of the
company is needed.

3. Negative attitudes were reflected in the company could be lessen by making the employees
feel satisfied, contented and happy in their work.

4. Poor quality of work being done can be solved through thinking of different strategies that will
help the employees be motivated in their work thus resulting to better outcomes.

5. The opposition of Jack Greely to the forum created by Mike Wilson can be dealt with if they
explain thoroughly and effectively the purpose of the forum and how it can affect the company
positively.
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6. The way Mike managed his units became a problem for Jack. Maybe, Mike must perform his
job in a way that will not violate the methods set by the company. As much as possible, he must
obey his superiors.

7. Denial of Mike’s promotion despite of obtaining the best results in the company is one of the
main issues in the company. The management should have given Mike a chance to prove himself
in a way that he will conform to management style.

8. The different perception of Jack and Mike with regards to results is one of the main reasons
why he is denied of the promotion. The tension between Jake and Mike should be removed and
let them communicate effectively with one another.

WHEN:

The recommended solutions to the given problems should be put into action as soon as possible
because if they do not act now, it will be too late to change the perceptions of employees towards
the company. It may cause worse problems such as employees leaving the company, poor
performance and results and eventually, liquidation of the company.

HOW:

Solving the problems of Consolidated Life is not easy. It requires deep understanding about the
stand of parties involved in the issues. Each person has their own point to be considered. An
effective communication between them is needed for them to evaluate the situation. Sudden
changes are required to achieve the positive solutions to the problems and since changes are hard
to achieve, cooperation is essential.

RECOMMENDATION:

Fairness Is Good Management

By F. John Reh, About.com Guide

What Does Fairness Mean?

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It is part of the quirkiness of the English language that fair means according to the relative merits
of each or consistent with rules and logic. However, it also means moderately good or
satisfactory. So a fair manager can mean either one who treats others fairly or one who is only
moderately good as a manager. Our goal is the first meaning.

Consistency does not equal fairness

By Bill Catlette Richard Hadden

Joe Kraus, founder of Web portal Excite.com once said , “Nothing demotivates people like the
equal treatment of unequal. When you hire a bozo and treat him the same as a rock star, it
deflates the rock star.”

Here are some ways to move toward “fair” treatment of your workers, even if at the expense of
consistency:

• First, think back to a time you were treated unfairly in order to maintain consistency, and then
consider the effect it had on your motivation.

• Establish clear targets and rewards, and be crystal clear about your expectations.

• Develop a well-thought-out system that allows you the flexibility to give spontaneous “spot
rewards” when you see a deserving performance, and keep an element of fun in your reward
system.

• Account for differences in personal circumstances, especially in the short term, and those
beyond the employee’s control. than a few weeks.

• When an employee complains that you’ve treated him unfairly, listen because he may have a
point.

• Develop and maintain an effective Alternative Dispute Resolution (ADR) process in your
organization.

• Be consistent in yourself.

Autocratic leadership in social dilemmas:

A threat to group stability

By Mark Van Vugt, Sarah F. Jepson, Claire M. Hart, and David De Cremer
 16

In two experiments, group members were more likely to exit their group and take their resources
elsewhere if they were supervised by an autocratic style leader than by a democratic or laissez-
faire style leader.

Authority vs. Leadership

The authority exercised is a kind of legitimate power and people follow figures exercising it,
because their positions demand so irrespective of the person holding the position. Leaders in
organizations and elsewhere may have formal authorities but they mostly rely on the informal
authority that they exercise on people to influence them. Leaders are trusted for their judgment
and respected for their expertise, integrity etc and hence followed and not because they hold a
certain position.

Management by Objectives (MBO)

Motivating people by aligning their objectives with the goals of the organization

Management by Objectives; a system that seeks to align employees' goals with the goals of ;.,the
organization. This ensures that everyone is clear about what they should be doing, and how that
is beneficial to the whole organization. It's quite easy to see why this type of managing makes
sense – when the parts work in unison the whole works smoothly too. And by focusing on what
you're trying to achieve, you can quickly discriminate between tasks that must be completed, and
those that are just a waste of valuable time

Question 1 : This case can be treated as three part predictive exercise .

a) Read only part 1 and stop . How do you think the supervisor’ s statement of intent will
be received by top management at consolidated life ?
b) Read part 2 . What do you think Mike will do now ? What do you recommend that he do
?
c) Read part 3 . Should mike try to continue his career with Consolidated Life or find A job
anywhere else ? how does the self fulfilling prophecy affect this situation ? If he leaves ,
so you think he can be successful in other organization ?
SOLUATION
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From the part one , we see that Mike Wilson who is A graduate in business administration
worked in A prestigious insurance company called Consolidated Life . He worked in A clerical
department .
Management of Consolidated Life actually do things in old way which create A great deal of
animosity and anxiety among the clerical staff . That’s why management gives the supervisor’ s
A free hand to run their unites as they saw fit . Mike is able to increase productivity , reduce
errors by his own way .
He is offered another job by another company but he doesn’t like the job that much . So he
comes back to the previous job .
But returning to the old job , he sees that different scenery . The new vice president is very
strick person and management practice task oriented pattern . For being back the casual form
of the management . Mike form A supervisor’ s form and drafted their statement to the
management .
But I think the statement will be received in A wrong way by the top management . Because if
they receive the statement the whole management pattern have to be changed which can be
the reason of internal conflict .
B) As it is A top management order to disband the forum Mike should stop the activities of the
forum . If Mike will not stop it can be A threat for Mike . He may even loss his job .
C) As the leadership character of Mike is informal base and the management pattern is task
oriented or formal base , Mike should leave the company .
Mike was actually done things in his own way but not in management way . Mike way may lead
to high productivity but it can affect the whole management pattern .This self fulfillment
Prophecy can be the reason of conflict

Question 2:
Was Mike wise to attempt to change the behavior of his boss ? was such an attempt ethical ?
what methods have you read about that he could have used ? what would you have done
differently ?
Solution
Mike was not wise to attempt to change his boss behavior . Because it is completely unethical
to do something out of organization rules . Without any permission Mike make A supervisor’ s
union and also held meeting with them which is completely against the good employee
characteristics .
He may use formal method . At first he should make the proposal to the top management . In
the feedback if they give permission than he can make the union and held meeting .
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1St of all , I will formally mail my boss and tell him about my idea . If they think it can be A good
idea to improve the organization productivity than I will go further .
I will build A better communication with my upper manager
2nd Yes,mike's wisedom was attempt to change the behaviour of his boss.But his(boss)
leadership style was autocratic. An authoritarian leadership style is exemplified when a leader
dictates policies and procedures, decides what goals are to be achieved, and directs and
controls all activities without any meaningful participation by the subordinates.
Jack told to mike that ''it's nothing personal, we just don't like your management style.,you are
an oddball''.we need people who confirm to our style and methods.
Yes,mike attempts was ethical.mike's performance was very laudable. The results after eight
months were impressive. Mike’s unit improved the speed of processing 60 percent and lowered
errors 75 percent. His staff became the most highly trained in the division. Mike had always
been a loose, amiable supervisor. The major reason his units had been successful was the
attention he paid to each individual and how they interacted with the group. He had a
reputation for fairness, was seen as an excellent judge of personnel for new positions, and was
noted for his ability to turn around people who had been in trouble. He motivated people
through a dynamic, personable style and was noted for his general lack of regard for rules.

Question 3:
Was Mike wise to attempt to change the behavior of his boss? Was such an attempt ethical?
What methods have you read about that he could have used? What would you have done
differently.?
3. How do you think that Mike would describe the organizational culture at Consolidated Life?
What is an employee's responsibility for reading a firm's culture and for adjusting to it?

Solution
We know that,  Mr Mike obtained a business degree in administration .As a business student   , 
He already read about the objectives of Organizational culture. That's why, i think that mike
would described the Organization culture at consolidated life.
@
Employees should know the
1) Organizational culture,
2)  functions of culture and 
3) Characteristics of Culture such as 

 - Know innovation and risk talking

- attain to details 
- how to people orientations
 19

- Outcome orientations
- team orientation

Question 4 :
Evaluate the memo that Mike wrote . Now assess the fairness and motivational impact of the
feedback that Mike received . Will such feedback be useful in changing his behavior ? What
advice could you have given Rick and Jack prior to the meeting with Mike ?

Solution
The memo wrote by Mike , it has some pros and cons
Pros are
1) They describe their present need
2) What employee think about their organization .
3) They address their training and development need .
4) Their work service quality and much more
Cons are
1) They hold their meeting without permission of their top management .
2) Supervisor also direct employee work under them in their own way .
A memo send by Mike to the top management . But in the feed back top management said that
they must disband their forum . Jack Greely was strongly opposed the group .
His comment was “ It is not A democracy and they are not A union . If they don’t like it here ,
then they can leave . “
This type of feedback can badly affect in the psychology of the employee .This type of feedback
doesn’t really useful in changing their behavior.
Rick And Jack prior should explain Mike to obey the organization rules and not to held any kind
of meeting or make any kind of forum without any permission of top management .