Management Problem Analysis: 7-Eleven Employee Dissatisfaction

This report examines the management problem of employee dissatisfaction within 7-Eleven, a global convenience store chain. The analysis identifies low employee pay as a primary cause, leading to reduced productivity, poor customer service, and a negative impact on the brand image. The report explores the consequences of this dissatisfaction, including job stress, high turnover rates, and decreased profitability. Through a case study approach, the report investigates the issue and offers recommendations, such as conducting a payment analysis, to address the problem and improve overall organizational performance. The report emphasizes the need for 7-Eleven to resolve internal management issues to maintain positive customer relations and ensure long-term success. The study utilizes secondary data and qualitative analysis to provide a comprehensive understanding of the problem and potential solutions.

Running head: MANAGEMENT PROBLEM
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Name of the Student
Name of the University
Author Note

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Executive Summary
The organizations present in the business environment would be required to essentially
ensure that they are successfully being able to manage their overall operations in the
right manner. In regard to this, the different firms would be required to see to it that they
deal with their problems on their own. The given report is based on the analysis of the
7eleven and the internal problem it has been facing. In regard to this, various initiatives
have been recommended which would assist the firm in achieving long term success.

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Table of Contents
Introduction........................................................................................................................3
Identify a management problem........................................................................................3
About the firm.....................................................................................................................3
Research Questions..........................................................................................................3
Design a research program...............................................................................................4
Findings and Analysis........................................................................................................5
Findings..........................................................................................................................5
Analysis..............................................................................................................................6
Employee dissatisfaction...............................................................................................6
Impact of job dissatisfaction on the overall performance and brand image of the
7eleven...........................................................................................................................6
Conclusion.........................................................................................................................7
References.........................................................................................................................9

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Introduction
Managing an organization is not an easy task and any firm which is required to
function in the international business environment is bound to face certain challenges
which will then induce them to devise procedures which would assist them in
overcoming these challenges as present in the business environment (Hassan, Wright
and Yukl 2014). Hence, the focus of this report lies in identifying a management
problem which is being faced by an organization and then conduct a secondary analysis
based on which, the solution to the firm can be recommended. The company which has
been chosen for the analysis is the 7-eleven stores (Hofmann et al. 2014). The
management problem which has been identified is the dissatisfaction of the employees
due to the low pay which would lead to long term management issues and dealings with
the different employees as well.
Identify a management problem
The problem which is primarily being faced by 7-eleven can be understood to be
the underpayment of the employees which has an impact on the overall efficiency of the
employees. This reduced efficiency not only has an impact on the productivity of the
firm but also has an impact on the overall manner in which the firm is able to deal with
the different customers who are present in an organization (Shockley-Zalabak 2014).
Therefore, in regard to this, it can be rightfully mentioned that, the focus here through
the recognition of the internal problems is to determine the impact of these internal
problems on the overall efficiency of the business organization (Ciulla 2017).
About the firm
The 7-Eleven is a Japanese-American international chain of the convenience
stores which are headquartered in Dallas in Texas. The chain was found as Tote`m
Stores in 1927 and was renamed in 1946. The company was renamed back in 1946.
The organization operates, licenses and franchises 68236 stores based in 17 countries
as of the year June 2019 (7-eleven.com 2019). The Seven Eleven Japan is
headquartered in Tokyo. The firm has its units all around the globe and is one of the
most popular chain stores.
Research Questions
The research questions which have been designed for the study can be understood to
be the follows:
1. What is the internal management problem which is being faced by the 7-eleven
stores?

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2. How does the internal management problem being faced by the firm affecting its
relationship with the customers?
3. What recommendations can be given to the firm which would assist them in
overcoming these problems?
Design a research program
The research program which will be adopted for the research can be identified as
follows:
Research Technique Application to the Problem
Research Philosophy The Research Philosophy is the set of
assumptions which are undertaken before
carrying out the procedure of the research.
The philosophy helps in defining the role of
the researcher and limits it to the
interpretation and collection of the data.
The research philosophy which has been
adopted for the study can be stated to be
the Interpretivist. The Interpretivist is a
branch of research philosophy which was
focused on the difference between the
humans as social actors and examines the
different reasons why the people and
employees tend to behave in a certain
manner. The interpretation of the social
roles in this scenario has been presented
with assumed meanings. This research will
examine the internal management problem
which is being faced by 7-eleven using this
philosophical approach.
Research Design The research design can be described as
the overall layout of the research which is
conducted in order to find the solution to
the management problem is the deductive
approach. The deductive approach of the
research design assists in deducing
relevant information out of the data which
is collected. In line of this, it assists in
finding relevant data through the
secondary sources and deducing the
useful information out of the research.
Research Approach The research approach can be described
as the perspective of the research which
has been adopted. The research approach

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which has been adopted for the given
research can be des descriptive approach.
Using this descriptive approach, the details
of the case of the management problem
can be identified and certain
recommendations can also be provided
regarding the improvement of the
management problem being faced by the
organization (Noe et al. 2017).
Research Strategy The research strategy can be described as
the overall plan which has been made
regarding the research. The research
strategy which has been adopted for the
study can be understood to be the case
study approach whereby the data for the
research will be collected using the
secondary sources and in regard to this,
the reason why the management problem
takes place in the firm will be defined and
scope for improvement and
recommendations can be identified.
Data analysis and collection technique The data collection technique can be
understood to be the manner in which the
data for a research can be identified
considerably. In regard to this, it has to be
understood that, the firm would be
required to undertake considerable steps
to overcome these issues (Easterby-
Smith, Thorpe and Jackson 2015). The
data collection method which has been
selected by the researcher is the
secondary technique whereby the data will
be collected from various secondary
sources. Additionally, the method of data
analysis which has been adopted for the
purpose of the study can be stated to be
the qualitative analysis whereby the data
which has been collected for the research
will be analyzed critically and supported by
various theories and models.
Findings and Analysis
Findings

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Having conducted the research, the following findings can be understood to be
presented:
 There exist certain problems related to the underpayment of the different
employees. In regard to this, although the different employees are being made to
work for long durations, they are being paid very less and this is leading to a high
level of dissatisfaction amongst the employees.
 The dissatisfaction of the employees has various consequences for the overall
welfare of the organization. The dissatisfaction of the employees may lead to
lowered productivity for the firm (Men 2014). In addition to this, it may also relate
to the overall relationships with the customers.
 The 7eleven is a popular store, however, the brand image of the organization
needs to be maintained accordingly and considerable initiatives have to be
undertaken in order to ensure that, these internal management issues do not
have an impact on the overall welfare of the firm (7-eleven.com 2019).
 There have been cases where the operations of the firm are being affected due
to poor customer service. The employees, who are highly dissatisfied with their
work, have been performing poorly and this then leads to the poor operations
and additionally, poor brand image of the organization in the long run.
Analysis
Employee dissatisfaction
The employee dissatisfaction can be described as the scenario whereby the
different employees are highly dissatisfied with their jobs at one point or the. This leads
to leaving g the organization for better job opportunities or remaining in the same firm
but with lower productivity (Goetsch and Davis 2014). The dissatisfied employees
generally tend to have a negative impact on the firm and lack the motivation to do well.
Additionally, the employees tend to perform poorly and possess negative attitudes
which may then affect the overall productivity of the organization. In line with this, they
affect the other employees, different departments and the relationship of the firm with
the consumers as well (Hitt and Haynes 2018). Hence, the managers would be required
to ensure that they are successfully able to manage this job dissatisfaction and are
being able to produce the right solutions to make the unhappy employees to happy
ones (Berg and Farbenblum 2017). In the case of the 7-eleven, it can be rightfully
understood that, the main reason why the different employees are feeling dissatisfied in
the organization may be contributed to the fact that they are being underpaid. These
underpaid employees may be required to stretch their income for further dollars even for
the basic needs. Moreover, these employees at 7 eleven often deal with stagnant
wages and also tend to deal with the aspects like the health insurance and the rising
cost of utilities and food. When the different employees are pressurized to work for
lower wages then in such a scenario the dissatisfaction of the employees increase and
this reflects on their workplace performance as well (7-eleven.com (2019). This has

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been the scenario for the 7 eleven which has been greatly affected by the limited pay to
the employees and their dealings with the different customers who are present.
Impact of job dissatisfaction on the overall performance and brand image of the
7eleven
The job dissatisfaction is known to have a negative impact on the overall
performance of the workplace and leads to the low morale among the various workers
and this leads to a negative attitude. The overall impact of the low job satisfaction can
be far reaching and this issue can act as a concern for all businesses. The different
areas of work which will be impacted by the can be understood to be Job Stress
(Clibborn and Wright 2018). This may lead to higher job stress within the 7 eleven and
the employees might be affected to a great extent as they may dwell under the feeling
that they are underpaid. Moreover, the high employee turnover rates can also be
affected from underpaid employees as these employees may look out for better
opportunities and leave the organization which may lead to a loss on the side of the firm
(7-eleven.com 2019). Additionally, the overall productivity of the organization may also
be affected due to the lower paid employees. This is because, the different employees
at 7 eleven may feel that they are being paid less and therefore, they may not put in the
adequate effort into the workplace. This then affects their overall job performance and
may lead to dissatisfaction on the side of the customers which will also affect the
operations of the organization and thereby reduce the overall revenue of the firm. This
can lead to lowered profits for the firm and thereby disrupt the correct level of customer
retention (Barends and Rousseau 2018). The customers may only remain connected
with the firm if they are able to gain adequate attention. However, in scenarios where
they are not being provided with adequate facilities, they may not be willing to remain
associated with the firm and this may then lead to a higher level of dissatisfaction in the
firm (Macdonald, Bentham and Malone 2018).
Conclusion
Therefore, from the given analysis it can be rightfully mentioned that if the firm wants
to ensure success in the long run it would be required to resolve its internal
management problems faster so that it does not turnout to have an impact on the
overall customer relation s with the firm. Therefore, this section will provide certain
recommendations based on which the performance of the firm can be improved.
1. Conducting a payment analysis
Under this, the firm would be essentially required to ensure that the firm is being
successfully able to manage the employees in the right manner and be able to
match the job role with the standard industrial pay so as to see to it that the firm
employees are being able to receive the right pay.
2. Providing recognize and reward

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In this scenario, the recognize and reward program can be taken up by the 7
eleven which would assist them in ensuring that they are successfully able to
manage the different employees and that they are being able to reward the
efforts of the individuals (Barends and Rousseau 2018).
3. The firm would also be required to ensure that it is being able to maintain clarity
in the overall communication procedure and is being able to remain transparent
in its operations so that the management problem can be resolved easily (Ahern,
Leavy and Byrne 2014).
4. Additionally, the different employees need to undergo certain training programs
which would assist the different employees to learn the manner in which they can
strengthen the relationship with the different customers and build the image of
the firm.

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References
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