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Journal of the International Academy for Case Studies, Volume 18, Number 2, 2012

MYTH OR REALITY: THE DYNAMICS OF THE CONTEMPORARY LEARNING ORGANIZATIONS

Devi Akella, Albany State University

Nirupama Akella, University of Southern Alabama

CASE DESCRIPTION

This case deals with Anu, a journalist who joins ABC Systems which advertises itself to be a learning organization. Anu is excited about working in a team based, participative working environment which thrives on open dialogue within the company. But she is forced to confront the reality behind the democratic façade displayed by these organizations. This case could be used to facilitate discussion on power and politics in learning organizations in Organizational Behavior, Organization Development and Organizational Learning courses at both undergraduate (at the senior levels) and graduate levels (during the first year). This case has been designed for a 50 minute session slot. The instructor should distribute the case study along with the discussion questions to the students at least 7 days before the class. Students would require approximately 60 minutes of outside class preparation.

CASE SYNOPSIS

This case critically examines the power structure of contemporary learning organizations highlighting the dichotomy existing between the myth and reality of these organizations. The company in question, ABC Systems, is a knowledge management multinational having its main office at Nebraska, USA, and branch offices in Europe and Japan. The company deals with diverse clients such as hardware, manufacturing, and pharmaceutical companies providing services of business and technical writing, public relations, and website development.

Anu Singh is an ambitious journalist in her late twenties. She is recruited by the branch office of ABC Systems in New Delhi, India, as a business editor. At the interview, she is given the company’s policy guide. She is told by the MD and Finance Manager that the company believes in democracy, delegation of duties, open communication, and equal employee voice. Anu joins the company and soon finds out that things are different in reality.

The case maps out Anu’s situation in the organization. Her efforts at initiating and developing healthy employee communication get her fired from her job. The management feels that she has overstepped her bounds and is causing dissension among the employees. Anu now wonders where she went wrong.

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Journal of the International Academy for Case Studies, Volume 18, Number 2, 2012

Progressive Discipline

Organizations should follow three stages of disciplinary action to convince an employee to “fit into the culture” of the company and improve his/her performance. The first step in most progressive disciplinary programs is verbal warning. Verbal warning constitutes a word of caution conveyed verbally by the manager to the employee. The manager should keep a written record of the verbal warning. Next, if unacceptable behavior still continues, the manager gives the employee a written warning. At each step, the manager is required to discuss with the employee of various ways to correct the problem. Suspension or a temporary layoff is the next step in the process. The suspension could last for a day or a few days and is usually without pay. The final step in the process is termination. At this point, the organization faces potential legal problems and violent reactions from the employee. It is a step which should be taken only after serious considerations (Denisi and Griffin, 2008).

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