Organisational Behaviour: Mary Kay Case Study on Motivation

This case study analyzes key aspects of organisational behaviour using real-world examples. It begins with an examination of employee motivation, specifically referencing Mary Kay's incentive programs, and differentiates between intrinsic and extrinsic motivation. The study then delves into personality assessments, exploring the Myers-Briggs Type Indicator (MBTI) and its applications in a corporate setting, as well as the limitations of such tests. The ethical decision-making process is explored through a scenario involving Martha McCaskey and the ethical dilemmas she faces in her career. Finally, the study examines performance management, using the case of Rob Parson to illustrate the complexities of performance appraisals, feedback mechanisms, and the importance of interpersonal skills, and the importance of a structured and systematic approach to performance management that avoids personal biases. The case study provides insights into the importance of ethical behaviour, personality assessments, and effective performance management within an organisation.

ORGANISATIONAL BEHAVIOUR
Part 1: Motivating People in Organizations - Mary Kay Case study
Employee motivation is considered to be one of the most significant aspects in the
study of human resource management as the same contributes significantly towards
an organisational success or failure (Bear et al, 2017). In the given case study, it is
observed that Mary Kay motivates the employees through various incentive
programs and one of such incentive programs is VIP car program, VIP here stands
for the very important performer. In this program, the excellently performing sales
representatives and executives are being provided car along with the insurance
reimbursement facility. The performance is being evaluated by the management in
terms of a number of products sold and post such assessment, the employee
automatically becomes eligible for the VIP car program. Accordingly, the respective
employee is being allotted car (Simons & Weston, 1990.
In this context, it is wise to note the difference between intrinsic and extrinsic
motivation. Intrinsic motivational factors come from within whereas, extrinsic
motivation refers to the external factors that may impact an individual’s motivational
level (Locke & Schattke, 2018). For example, studying for the purpose of securing a
good rank is an example of extrinsic motivation and studying a specific paper out of
own interest in the subject is an example of intrinsic motivation. In both cases, the
student gets motivated towards the study; however, the cause behind such effort of
studying varies widely. In the given case, an example of VIP car program may be
regarded as a case of extrinsic motivation as employees are being motivated to
perform for incentives and extrinsic benefits (Simons & Weston, 1990).
As per the consideration of Simons & Weston (1990), both types of motivational
approach are effective depending on the scenario. If the employees do not feel

motivated because of the lower level of compensation in business, the management
may need to enhance the compensation level to boost up their morale. On the other
hand, the hygienic work environment and a supportive management encouraging
employee participation in operational decision-making process automatically boost
up the inner motivation of the workforce (Kuvaas et al, 2017). Therefore, it may be
construed that the leaders may need to choose the right approach of motivating their
subordinates and follower groups depending on the situational need. Both types of
motivation may act well if used efficiently (Simons & Weston, 1990).
Taking reference from the previous note, it may be stated that leaders may motivate
people in both ways. Some leaders may prefer to motivate people by giving them
incentives, relaxation, appraisal and attach external motivational factors to put their
morale high. On the other hand, some leaders prefer motivating employees by
igniting their passion towards their work with the help of maintaining an efficient and
congenial work culture within the business so that employees may feel satisfied,
unified and inclusive with the organisational broader aims and objectives (Joseph,
2019).
Part 2: Personality
Personality may be defined as a set of characteristics or behavioural features of an
individual that may evolve out of biological and environmental factors. The
researches have opined personality as a combination of behavioural traits of an
individual that may make them a distinct character than others.
A number of personality test have been developed by the researchers; however,
these personality tests are generally based on the notion of understanding a
person’s nature as to how the person behaves or interacts with the other people
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through series of questions. These tests are directed towards extracting a person's
responsiveness towards external nature.
There are several instances where personality information might be helpful in a
corporate scenario. For example, if a business faces employee attrition, it becomes
critical for the management to understand the reason for the team motivation level of
employee. This is because of the fact that the attrition may take place due to acute
work pressure or low compensation level etc. However, both the situations may
trigger a dissatisfaction among the staffs which emanate out of personality and
corresponding behavioural trait of the persons.
It is important for the management to understand the limitation of these tests tool as
well. Since these tests are based on answering certain questions, the same may not
prove to be fruitful in a real-world scenario. Also, these tests are time-consuming and
therefore may lead to frustration of the candidates. In addition, most of these tests
are not freely available and rather costly and therefore conducting such tests they
become a cost burden on the part of the company. Finally, the results of these tests
are generally not viable as the candidates answer questions what their employees
generally want to see and therefore it becomes difficult to interpret the candidates’
personality based on those answers.
MBIT is one of the most widely used self-assessment tests that has been used
widely across industry professionals. Myers Briggs Type Indicator (MBIT) is a
psychological assessment test which aims to identify the behavioural trait of an
individual through a series of different psychological frames. As per the theory, there
are four bipolar dimensions of an individual’s characteristics which are as below:
 extroverted or introverted
 sensing or intuition
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 thinking or feeling and
 judging or perceiving
The test helps the management to create a better interview session. If the employers
know the personality type of the candidate, the prospective interview session may
accordingly be developed to ask the right set of soft skill-related questions and
technical questions as well. Therefore, this test may be regarded as a good
prerequisite for conducting better interview session with the potential employees.
The test also helps HR professionals to know a candidate better. The interview
sessions do not provide sufficient information as required by the HR professionals
due to lack of time primarily. MBIT test result of the candidate enables the
interviewer to assess the skills, ability and attitude of the candidate better before the
interview even starts (Parker et al, 2019). MBIT test also helps the management to
identify the behavioural trait of different individual and thereby group them
accordingly.
There is an inherent weakness of MBIT tools as well. First of all, this test is costly
and time-consuming. Though there is freely available test online; however, the
package provides a complete solution and therefore it is necessary for the corporate
professionals to buy the full package which involves significant cost implications and
time involvement towards training and understanding. Secondly, the test result does
not provide a concrete and specific answer to the HR professionals. It becomes
critical for employers to have a definite answer as to the personality of the candidate
to a certain degree, at least; however, this test result can provide a good estimate
but not a final verdict about the capability of a certain prospective employee.
Part 3: Ethical Decision-Making
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Ethics may be regarded as one of the critical success factors (CSFs) for a business
organisation. A business should inculcate ethical behaviour within its operational
framework and in the same manner, employees should also seek to promote ethical
behaviour within the self as well as peer groups so that the organisational culture of
ethics is embedded within the processor operations. Any unethical activity may
adversely affect the business sustainability in the long-run.
As Martha McCaskey, my plan of action is to complete the Silicon 6 project as the
same will be a career turning event for me and I will be promoted to managerial level
for the same. To complete the project successfully, I will have to compromise on my
ethics as well. I have gathered certain information which is not critical to the business
but from a property point of view, they may seem to be unethical. this information is
competitors’ information which I had and such insider information I need to provide to
my senior so that the project may be successfully implemented and for the purpose, I
need to provide some bribe or additional incentive to make someone's vested
interest satisfied.
In the given case, it is seen that what was causing Martha trouble was the ethical
dilemma. The case study shows the fact that a business may need to run in a most
professional and ethical manner. However, the same may not be construed to be
utmost important by someone when it comes to their personal growth which forms
the essence of the given case study. Martha McCaskey, in the case study,
conceived similarly and her assessment of the situation reveals the fact that her
interpretation was probably correct but not ethical. She has noticed people generally
break rules even in a standardized and regulated environment and it is a habit in
most of the corporate environment. However, such scenario should not necessarily
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mean that she would also follow the same and here lies the basic fallacy of the
situation and her assessment of the situation as well (Margolis & van Dissel, 2002).
The situation was easily avoidable if Martha would have rejected the thought of
doing something unethical. What was pressurising Martha to be unethical was only
her own choice and assessment of the situation and therefore, the situation may be
construed to be an avoidable one. In the opinion of Margolis & van Dissel (2002), it
was Martha's preconceived notion that a successful implementation of the project will
tantamount to her becoming a project manager, though the same was confirmed by
the management as well. However, Martha should have also noted that a high
morality, integrity and ethical strength depicted through the activities and behaviours
by an individual may surely get valued from a management perspective in the long
run and Martha was unaware of the same. However, Martha did the unethical work
by meeting the marketing manager of the client and making deal with him.
Part 4: Performance Management
Performance management is one of the key aspects of the study of human resource
management. The process of performance management derives its significance from
the fact that the compensation is directly linked with the performance appraisal
process and compensation acts as one of the biggest motivators for the employees.
As far as Rob Parson’s performance is concerned, he has been considered to be an
efficient resource in IBD of the company. As per the company’s 360-degree
feedback policy, it has been observed that all his colleagues have been providing
positive feedback in terms of his client handling and technical skills (Burton, 1998).
However, as far as his interpersonal skill and team skill are concerned, there have
been allegations against him for his aggressive attitude which lacks sympathy and
sense of inclusiveness at times and that is the area which may be considered to be
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one of the most significant weaknesses in his behaviour traits as far as his
performance appraisal is concerned.
The case study shows that Parson wants to get promoted to managing director level
though he has made self-assessment of being rude and harsh at times and he has
agreed to the same that he needs development in that specific field.
As per Burton (1998), now for Paul, being his senior, it is imperative for him to retain
resources like Parson in IBD as losing him may amount to a significant loss in
business in terms of clientele as well as operational excellence. However, the role of
managing director assumes several responsibilities including the highest level of
technical as well as an interpersonal skill within and outside IBD. In such a scenario,
it will be wise for Paul to understand that the promotion will be reviewed by the
leadership team to whom he will be answerable. In addition, as stated earlier, the
company's policy of promotion involves taking feedback from other colleagues,
subordinates, juniors and seniors where mix reviews have been received for Parson.
In this context, it may be stated that the ideal performance appraisal process should
be a structured and systematic one where the personal biases should not creep up.
The approach should involve feedback mechanism and follow-up through controlling
and monitoring through a hierarchical process (Burton, 1998).
In such a scenario, it is recommended that Paul should have a face to face interview
and discussion with Parson and explain him his strength and weaknesses. Besides,
Paul should also inform Parson he has been an excellent resource when it comes to
technical and client handling skill and promoting business. However, as far as team
skill and the group dynamic is concerned, Parson may fail at times in this regard for
which there has been dissatisfaction among his own colleagues’ groups as well.
Considering the same Paul may offer Parson an increment in his pay package to an
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extent allowable as per the company’s policy; however, the promotion may not be
granted to him for the current year. Since Parson’s long-term career goal is to
assume a leadership position, another year may be provided to him to help
overcome his weakness so that the management committee may consider his
promotion next year.
Part 5: Negotiation
Negotiation is a formalized method where people settle their differences (Wheeler,
2002). The negotiation may be considered to be a structured process in which
people may come together to reach an agreement. In a negotiated environment,
people try to set aside disagreement, understand the individual position with respect
to a certain contract or deal, present probable alternative solutions so that there is a
Win-Win situation for all the parties concerned and finally reach to a consensus.
Therefore, negotiation may be considered to be a process involving the principle of
fairness, truthfulness, mutual benefit and interrelationship (Ting-Toomey, 2017).
In negotiation, parties act towards the attainment of an agreement through a phased
manner and therefore negotiation is considered to be a step by step process which is
mentioned briefly as below.
 Preparation: Before the negotiation, it is important to prepare for the same as
to where and when and how the meeting for the negotiation should take place
and who will attend the same.
 Discussion: In this stage, people put forward their propositions for the
understanding of the situation.
 Clarification: Here goals are being clarified and the discussion moves forward
by citing individual choices, preferences, interests and viewpoints so that
disagreements may be clarified.
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 Effort: The fourth stage is an effort towards a Win-Win situation where both
the parties should gain as much as possible out of the negotiated deal and
that should be the ultimate goal of a successful negotiation.
 Agreement: The fifth part is the agreement where finally both the parties come
to a mutual agreement regarding what needs to be done.
 Implementation: Finally, the plan of action is being implemented that has been
agreed upon mutually (Folberg & Golann, 2016).
As conceived by Ting-Toomey (2017), the concept of negotiation is important in the
business context as the same provides a solution to various structured as well as
unstructured problems. If there is a disagreement between people, the same may
result in dissatisfaction or de-motivation among the parties involved. As a result, the
basic purpose of communication or teamwork or any activity may get vitiated as the
dissatisfaction may lead to underperformance (Druckman, 2019). In other words, it
may be stated that to make communication effective, negotiation has also to be
effective. If the negotiation is not successful, that may result in an adverse
environment where people do not feel motivated towards a common goal. In the
opinion of Folberg & Golann (2016), psychologically speaking, negotiation and
motivation are interrelated and in a negotiated deal generally, people become
motivated. If the negotiation is successful, the parties involved may feel the sense of
achievement and psychologically the same may provide them with an impetus
towards the actions of a common goal.
Part 6: Teamwork
Teamwork is one of the most significant concepts and critical success factor in a
corporate context. In a team environment, people with different mindsets and
psychological framework together for the purpose of achieving a common goal and
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therefore it is important to understand the concept of group dynamics as well.
Generally, people or team members are being provided with their set of roles and
responsibilities with a given schedule and within the given period (Samani &
Rahmadian, 2017).
In understanding the importance of teamwork, it is important to understand the
significance of motivation. A motivated workforce contributes largely towards the
success of the business and operational excellence and teamwork motivates
employees to unite them in the workplace. In other words, it may be stated that
teamwork boosts up employee morale, congenial environment, sense of
inclusiveness and loyalty in work culture. There are different people in a team having
their respective strength and weaknesses and communication skills and if a team
environment is not encouraged by the management, then that may cause a
significant challenge on the personality of the employees as well (Mikkelsen,
Jacobsen & Andersen, 2017). On the contrary, if the team is being motivated and
backed by proper support from the management, the impact may be huge on the
work culture and business operations. Secondly, teamwork generates innovation as
it offers different perspective, ideas and feedback mechanism, A good team provides
diverse thought to the management and the same may be utilised well by the
leadership or the Board. Also, effective teams put across initiatives to innovate and
provide disruptive ideas which may become a competitive edge to accomplish
corporate aims and objectives. It is needless to mention that teamwork provides
improved efficiency and productivity if utilised with utmost care and caution (Porter,
Riesenmy & Fields, 2016). In a team environment, workload and consequent work
pressure may get distributed. Hence, it becomes easy to accomplish the given task
within the quality parameter and time frame which, in turn, helps the business to
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optimise the performance, improve job satisfaction and business sustainability
(Wisankosol & Chavez, 2016).
In the consideration of Hackman (2002), in a team or group environment, problem-
solving and decision making is a critical aspect for a team’s success. Generally,
unstructured decisions are difficult to make and therefore the management needs to
support team environment so that innovative ideas may get generated towards
problem-solving and critical decision making. In a team environment, generally, the
leader comes out to be a problem solver and decision-maker out of several persons
and therefore if team culture is being supported by the leadership that may help the
management ultimately to subsequent leaders and find alternatives to a given
problem situation in a most effective manner (Kuvaas, Buch & Dysvik, 2018,
August).
To make a team more effective the management needs to promote team culture
accordingly within the organisation by encouraging them to act in a synchronised
manner. Since the team generates synergy, efficient teamwork will be ensured when
employees are motivated towards the common goal. However, the resistance put by
the team member is one of the challenges. It is observed that employees generally
resist change and that applies in a team context as well. Also, if there is any situation
of unhygienic work culture or extreme pressure, then also teamwork does not render
the desired result and hence become ineffective due to lack of motivation ( Hackman,
2002).
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References:
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praise, and punitive consequences: Relations with intrinsic and extrinsic
motivation. Teaching and Teacher Education.
Burton, M. D. (1998). Rob Parson at Morgan Stanley (A),(B),(C). Harvard Business
School.
Druckman, D. (2019). Negotiation Theory. Negotiation Journal, 35(1), 85-85.
Folberg, J., & Golann, D. (2016). Lawyer negotiation: theory, practice, and law.
Wolters Kluwer Law & Business.
Hackman, J. R. (2002). Why teams don’t work. In Theory and research on small
groups (pp. 245-267). Springer, Boston, MA.
Joseph, B., Deepika, R., Pal, A., Tunks, J., & Mehta, G. (2019). Intrinsic vs. Extrinsic
Motivation in an Interactive Engineering Game. Journal of Advances in
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of the Academy of Management, Chicago, USA.
Kuvaas, B., Buch, R., Weibel, A., Dysvik, A., & Nerstad, C. G. (2017). Do intrinsic
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Locke, E. A., & Schattke, K. (2018). Intrinsic and extrinsic motivation: Time for
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