leadership final submission

Delta Pacific Case Study

The Delta Pacific Company has an extensive success history. The company has always been at the fore front in the information technology development since the 1970s and directed the market in technology manufacturing, development and sales all through the 1980s to the mid-1990s. Delta Pacific Company was a success story.

They constantly met or surpassed their profit targets, effectively incorporated new expertise into their products, and they were regarded as one of the best workers in the country. With kind benefit packages, a superior quality of work life, industry foremost salaries, and an organizational culture that considered its workers to be part of a family, prospective employees were lined up for chances to join Delta Pacific Company.

Nevertheless, with the introduction of globalization, low price overseas labor and freer trade, Delta Pacific Company found itself gradually losing market share for its main product: computer hardware. Delta Pacific Company had took pride on manufacturing and selling the best products and teaching its sales team to develop enduring relationships with customers that brought them back year in and year out for their technology.

Along with hardware, Delta Pacific Company also sold service deals and training lessons for the consumers of their products. By the end of 1990s it became obvious to the management at Delta Pacific Company that they could not compete any more with less costly products being manufactured overseas. Delta Pacific Company realized that they required making a change in their business model and they supposed they had a new image for their company.

The current global environment does not allow companies to utilize traditional factors if they aim at maintaining a competitive advantage over other businesses. For this reason, firms have to restructure their operations to ensure that modern factors are utilized as seen in the case of Delta Pacific. Alongside the shift to product-oriented to knowledge-oriented line of operation, Delta Pacific requires a change model that ensures the success of this shift.

Initial review of the contingency plan that could help assist within this case study would have been the Situational Leadership model, however after further research, The Robert House’s path-goal contingency model can be used to affect the organizational change in Delta Pacific. The theory is based on the idea that goals are achieved when some effort is put in, and a reward is given after achievement (Lipman-Blumen, 2014).

The Delta Pacific case study demonstrates challenges that take place in a business modifying its business model. Initially, the business used a traditional model in which the customer relationships were put up through the products and services supplied by the company (Hannay, 2013). Nevertheless, a modification in the model needed the company to construct customer relationships using the knowledge and expertise of its employees.

The change in the model of the business in Delta Pacific has led to a number issue, needing alterations in the behavioral system of the organization (Hannay, 2013). The situational leadership possibility model will be utilized to bring an adjustment in the organizational system of the company. The model will permit the deployment of a contributing leadership style, whereby the director will work with the supporters to make sure that responsibilities are finished successfully.

Additionally, the reward should be valuable enough to encourage the followers of a given leader to work harder. In Delta Pacific’s case, the situational leadership contingency can also be very effective in organizational change. This model relies on the use of skills and motivation level to gauge the employee’s maturity in the work place, and their desire to accomplish given tasks respectively. As part of my change initiative, I plan to employ the situational leadership model because it allows the leadership of followers based on their level of readiness.

Although Delta Pacific has already acquired a new business model, it requires the situational leadership contingency model to ensure that organizational changes are also achieved.

Whenever any kind of change is about to take place, proper planning is very essential before the changes are implemented. The current process should be well known and understood. Many times companies try to drive change without trying to understand why the process became how it currently is which is wrong.

Regardless of the reasons for change, the lineage process for change needs to be understood to avoid past mistakes. It is also very crucial to understand why the company wishes to change the process. The change to be made should also be clearly identified. Once the current system has been found insufficient in some ways, the new change should be concisely and clearly articulated.

The company needs to clearly define the motivational factors for the employees. One of the factors is compensation. Compensation comprises of all the rewards that are received by workers in return for their work. A good reimbursement plan integrates a balance between internal equity external competitiveness.

Compensation and benefits affect the productivity and happiness of employees, and also the capacity of the organization to proficiently realize its goals. It is to the advantage of the company to ensure that the employees are productively compensated and well-informed of their remuneration.

Delta pacific can make use of non-direct financial reimbursement on their workers. Indirect financial compensation is a benefit given to a worker that has financial worth, but is not a direct monetary payment. It is often called noncash compensation. In certain circumstances, these noncash reimbursement may be more valuable to a worker than a high salary or wage (Sall, 2004).

One instance of such is the joint medical insurance coverage which is generally a desirable benefit. Sponsored medical insurance may be the only approach an employee with a sick partner may have the money for health insurance and offers quite an incentive to come on board and clear up with the company. The company may as well offer leaving plans which as well offer a beautiful incentive.

The company can as well present distinct payment plans where it adds a certain amount of money every year to the personal retirement account of the workers. The company can as well give profit stock options and sharing programs which are not only an incentive for workers to stay but also offer an incentive for workers to be more productive because workers distribute in the gains. An employee stock alternative is the right to buy company stock at a specific price during a specific period of time.

Delta pacific can endorse a reimbursement plan for total compensation for premium general performance. The main elements of premium total reimbursement are bonus and base pay. Premium performance is their individual performance as well as the airlines’ performance. When a worker meets or exceeds their goals and the Company meets or exceeds its work goals, they get premium total reimbursement for premium general performance.

The objective of the company is to reward workers through acknowledgment, pay for performance, and by distribution profits with enticement bonus reimbursement based on unusual accomplishment as a means of inspiration. (Jackson, Schuler, & Werner, 2012). Base pay for the company employees is determined by surveys of salary compared to the salaries of like jobs comparing internally as well as externally, through job adjusting and evaluation quarterly to make sure the salaries stay aligned consequently.

The constant decline in the levels of profitability of Delta Pacific can be credited to the modification in the business model, the leadership model and the organizational structure used. The situational management model offers the firm an involvement style of leadership, which warrants long-term success. The delta case scenario has demonstrated that lots of endurance is necessary when moving from one model of business to another to permit employees some time to appreciate the model of their redesigned jobs.

In addition, it emerges that the accomplishment of a fresh business model is greatly dependent on the alterations made to the organizational behavior of the company. Lastly, the leadership of the company should have cautiously evaluated its new plan, and made sure that it was finely set to attain long-term success.

References

Hannay, M. (2013).A new direction for Delta Pacific-a case study.Journal of Business Cases and Applications, 8, 1.

Jackson, S. E., Schuler, R. S., & Werner, S. (2012). Managing Human Resources. Mason, OH: South-Western.

Lipman-Blumen, J. (2014). The Essentials of Leadership: A Historical Perspective. In Conceptions of Leadership (pp. 15-37). Palgrave Macmillan US.

Sall, R. (2004). Strategies in workers' compensation. Dallas: Hamilton Books.