Samsung Case Study Analysis : Assignment
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Added on 2020-05-16
Samsung Case Study Analysis : Assignment
Added on 2020-05-16
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Running head: SAMSUNG CASE STUDY ANALYSISSamsung Case Study AnalysisName of the StudentName of the UniversityAuthor’s Note
1SAMSUNG CASE STUDY ANALYSISExecutive SummarySamsung’s case of providing unequal incentives in 2015 is diverting from the company’sincentive policy had been into controversies lately and creates unrest among the employeesbelonging form the other divisions. This report focused on the issue of unequal incentivedistribution and sought to identify the issue in management. The detailed theoretical analysis ofthe case helped identifying four managerial issues that are likely to result due to the decision.They are employee motivation, organisational performance, turnover and retention, andemployee relations. These can be attributed for the poor transparency in incentive policy, weakleadership approach, absence of proper performance management matrix and absence of anti-discrimination policy in the organisation. The report further proposes recommendations foravoiding the possible issues identified in the report for generating greater performance from theemployees and keeping them motivated.
2SAMSUNG CASE STUDY ANALYSISContentsIntroduction......................................................................................................................................3Case Analysis...................................................................................................................................3Recommendations............................................................................................................................6Conclusion.......................................................................................................................................8References......................................................................................................................................10
3SAMSUNG CASE STUDY ANALYSISIntroductionBonus and incentives is considered as one of the tool used by the companies for keepingtheir employees motivate, which in turn helps them provide greater performance (Richard et al,2013). This also helps in retaining the employees for longer period and attracts greater number ofpotential candidates for applying in the organisation (Pandey, 2014). However, it is necessary forthe organisations to have a clear and equal bonus policy for all its employees to maintain equityin the workplace. However, various organisations fail to uphold their incentive policy that leadsto the undesired situation and creates unhealthy workplace environment. This study will reviewthe case of Samsung and their unequal annual incentive distributed among the employees overdepartments in 2015 from a theoretical viewpoint. The company provides incentives to theiremployee based on the profit they generate for the organisation. However, the upper limit set forthe incentive is capped at 50%. This report will identify and explain the limitations the companyis facing in HR management and the consequences they are likely to face due to the decisionmade. These findings will be supported with the theories and recommend probable solution forthe case. Case AnalysisSamsung is a big brand in the electronics industry that offers a wide range of electronicsproducts to their international customers. The wide range maintained by the organisation makesit necessary for them to maintain a number of divisions. The organisational policies and normsare similarly applicable to all its employees working in various divisions. However, the 2015unequal incentive distribution case is a failure in the perspective of equality in the policies. Themanagement of Samsung distributed a full range of incentive of 50% to their employees workingin mobile division despite of their failure to perform in the financial year, whereas, distributing
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