ASDA's Gender Gap and Corporate Strategy: Employee Motivation Report

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This report examines the issue of gender inequality and its impact on employee motivation within ASDA, a major British supermarket chain. The study investigates the background of the issue, where female employees have raised concerns about pay disparities compared to their male counterparts, leading to legal action. The research aims to ascertain the issues related to the gender gap and its effect on employee motivation, with objectives including identifying the issues, evaluating the impact of equal pay legislation, assessing factors for corporate strategy development, and determining a unique strategy to resolve the issue. The report includes a literature review on the gender gap at ASDA and the impact of equal pay legislation, followed by a discussion of the research methodology. It presents a critical review of the findings based on both secondary and primary research, culminating in recommendations and an action plan for ASDA to address the gender gap and improve employee motivation through corporate strategy. The conclusion summarizes the key findings and implications of the research.
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Corporate Strategy and
Governance
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Table of Contents
TOPIC:-............................................................................................................................................3
CHAPTER 1: INTRODUCTION....................................................................................................3
1.1 Overview and background of the research.......................................................................3
1.2 Overview and background of organisation.......................................................................3
1.3 Rationale of research........................................................................................................4
1.4 Research aims & objectives..............................................................................................5
1.5 Research questions...........................................................................................................5
CHAPTER 2: LITERATURE REVIEW.........................................................................................6
CHAPTER 3 : RESEARCH METHODOLOGY..........................................................................10
3.1 Primary Data Collection.................................................................................................10
3.2 Secondary Data Collection.............................................................................................11
CHAPTER 4 : CRITICAL REVIEW OF RESULTS ...................................................................13
4.1 Critical review on the basis of secondary research........................................................13
4.2 Critical review on the basis of primary research............................................................14
CHAPTER 5 : RECOMMENDATION AND ACTION PLAN....................................................24
5.1 Recommendation............................................................................................................24
5.2 Action Plan.....................................................................................................................25
CONCLUSION..............................................................................................................................28
REFERENCES..............................................................................................................................29
.......................................................................................................................................................30
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TOPIC:-
“To ascertain the issues related to gender gap and its impact on employee motivation
within workplace. A study on ASDA.”
CHAPTER 1: INTRODUCTION
1.1 Overview and background of the research
Corporate strategy is defined as a direction which organisation take with an aim to
achieve success in marketplace for a long term. It generally focus over the need of an
organisation to adopt changes in its operations so that company can survive in its marketplace.
The formation of corporate strategy involves the development of scope as well as purpose for the
organisation so that it can perform its operations in a most efficient manner (Marquis and Lee,
2013). This report is based on the issue which is faced by ASDA due to poor corporate strategy
as the female employees of ASDA are over strike for removing the issue of gender bias. So in
order to identify the main reason behind this issue, research is conducted. This research also
focuses toward the importance of employees motivation within workplace and ways through
which it influence the work done by them.
Employee motivation is generally a process of keeping employees dedicated toward the
for action they are required to perform in business. It is energy level, creativity and commitment
which company workers bring at jobs. It is very important for entity to provide motivation to
their work so that both organisation as well as individual goal and objectives can be achieved.
Company usually performs number of action in order to keep its employees motivated and
aligned toward the goals of organisation. It is because a happy and motivated employee is more
productive then a worker who doesn't have an inner urge to work. So, in order to keep employees
motivated, company must provide some reward over their performance like salary hike,
incentives promotion and many more (Muchlinski, 2012). These actions support an employee to
achieve their targets in order to get appreciation and appraisal from senior management. This in
turn will help company in achieving their goals as well as competitive advantage at marketplace.
1.2 Overview and background of organisation
ASDA is a well known British Supermarket which offers a variety product related to
grocery items and is consider as a second largest supermarket in Britain. It serve its customers
through its number of store and online services that includes superstores, super-centre,
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supermarket, petrol filling stations and depots across UK boundaries. In addition to these core
supermarket services, company also provide a number of other services such as mobile phone
and financial services. Its marketing promotions is generally based upon its pricing strategy as it
provide product or services at relatively lower price with a tag-line that says “Save Money. Live
Better”. ASDA is operating its business in retail industry from year 1949 and has a great history
of customer satisfaction as well as quality services. But apart from this, company is facing an
issue related to its employees i.e. the women workers working in ASDA has filed case against
organisation where they was discrimination among pay between male and female. The male
employees working in same position got high pay as compared to female (Bell, Filatotchev and
Aguilera, 2014). So in order to identify the solution to problem this research is conducted which
support in determining several areas where improvement can be made in order to resolve this
issues. As the major concern in this problem is that employees are demotivated toward their
work which is required to remove in order to retain and maintain the employees within the
organisation for longer period of time. These issues can be rectified using Corporate strategy
which help ASDA in setting up certain rules and regulations to guide actions taken by company.
This further support company in performing their operations in a planned and more reliable
manner which in turn will provide it an opportunity to achieve desired result.
1.3 Rationale of research
Corporate strategy is very essential for a company as it support in solving the issues that
are usually faced by company. Current research is conducted to determine the role of corporate
strategy in improving the functionality of an organisation and removing the issues faced by an
organisation. Main reason behind performing this investigation over corporate strategy is to
determine benefit of this concept for an organisation and what impact does a company have
when it implement business model of corporate strategies. This research is focused over ASDA
and issues which are faced by company. As the female employees of ASDA has assumed that
their pay is below the male worker and because of which they also filed a case against company
to remove this culture of differentiation on the bases of gender. This has affect the reputation as
well as performance of company for a large extent. By conducting this research, investigator will
be able to determine the ways to overcome this issues and methods through which ASDA can
regain its goodwill at marketplace (Sethi, 2012). In addition to this, it will also help in
determining the role of Corporate Strategy in motivating employees and keeping them satisfied.
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This research is based on primary investigation that is conducted through collecting fresh data
and because of which this research contains a relevant information. Research focuses on
developing an understanding related with the ways in which Corporate Strategy support a
company in formulating their objectives and improving operations for achieving success. As per
the view point of researcher the equal pay law is one of the most crucial factor that must be
consider by a company while paying off its employees. But in case of ASDA, company is paying
its employees on the bases of differences in the term & condition on which employees are
working. While conducting this investigation, research found several issues like time provided
for investigation is very limited and it is not possible to investigate properly in such a short span
of time-period.
1.4 Research aims & objectives
Research Aim:
“To ascertain the issues related to gender gap and its impact on employee motivation
within workplace. A study on ASDA.”
Research objectives:
To identify the issues related to raise gender gap within ASDA
To ascertain the impact of equal pay legislation on organisational policies and employees
of ASDA
To evaluate factors that need to be considered by ASDA while developing corporate
strategy to motivate its female workers
To determine unique corporate strategy which helps ASDA in resolving its issue
1.5 Research questions
Research Questions:
What are the main issues which raise gender gap within ASDA?
How equal pay legislation impact on organisational policies and employees of ASDA?
Which factors need to be considered by ASDA while developing corporate strategy to
motivate its female workers?
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CHAPTER 2: LITERATURE REVIEW
A literature review is also called narrative review which includes knowledge from
substantive findings and theoretical as well as methodological contributions of particular topic.
2.1 Issues which raise gender gap within ASDA
As per BBC report given by Kamal Ahmed, it has been evaluated that there were issues
in ASDA related to gender gap. More than 1000 women claimed that they did not get same pay
as male are getting being their job is of same value and position. There was difference in pay as
women worker could be compensated six years of back pay. ASDA mentioned that they follow
policies for equal pay and treating all staff equally (Van den Berghe, 2012). They are demanding
from the company to implement “equivalent value” and majority of women get affected by this
action. But it has been assumed that some male employees are working in stores also taking part
in this process with an aim to get higher price. As according to them they would also get a pay
rise when the actions are taken on behalf of women under Equal Pay Act. After fighting against
it also there was 19.7% gap between male and female earning if measured in terms of hourly
(Asda faces mass legal action over equal pay for women, 2019). Apart from this company stated
that it pay off its employees on the bases of work which they performed and not the bases of
gender or other discriminatory factors. Further ASDA said that they follow different sort of pay
scale criteria on the bases of work performed by each department as it is impossible to maintain a
single pay structure for employees when they all are working over different objectives as well as
conditions.
As per the views point of Butler Sarah (2017), ASDA presented the report against this
claim and said that there is no comparison between these two worker group. Because there are
number of departments which operates the distribution channel as well as store differently and
hence follow different methods to pay its employees. ASDA is now seeking for the permission to
take this case to court of appeal. In case when ruling continues to hold then the retailers could be
forced to adjust amount being paid to its shop floor employees which is around 100000 plus. But
the GMB union is currently seeking that management of ASDA will answer about the solution
of this issue. Apart from this they are also waiting that ASDA provide a sensible negotiated
action that will present that female staff of ASDA will be paid and valued equally as male
employees. But ASDA has claimed that the pay which is being provided to employees are on the
bases of their departments as well as kind of job they perform within the organisation. In
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addition to this management stated that at ASDA hourly paid employees who are working over
same job and location are paid with same amount. Men and women that are doing same job and
at similar distribution centre have equal pay (Rao and Tilt, 2016). But the pay rate that are
provided in store is different from the amount which is paid within distribution centre that is
because of legitimate reasons i.e. different market rate for different job and sector.
2.2 Impact of equal pay legislation on organisational policies and employees of ASDA
According to business advice report (2019), it has said EU law was placed which ensure
principle of equal pay between male and female workers when equal value is applied. It is
effective in UK in which it can relied on employee against public and private sector. But a case
of ASDA regarding Gender inequality pay becoming more frequent. But management said that
ASDA is owned by WalMart which employ distribution worker which are generally male and
they work at different site and wage because of which they have different mean of calculating
pay. But the women claimed that they get discriminated on the bases of gender and doen't get
equal pay (Amran, Lee and Devi, 2014). If the female employees of ASDA get succeed in this
case then company has to change its plan and policies and restructure its payment system. Apart
from this, company is claiming that pay which employees get are because of difference in the
working terms. If it is so then this may also create more issues among employees regarding pay
system which company operates. But despite of this, if the current pay system of ASDA is
gender bias then the success of claimed case will help in satisfying the employees from their job.
This helps in increasing productivity of organisation in smooth manner (What implications does
the Asda equal pay ruling have for business, 2019).
As per the view point of Khan, Muttakin and Siddiqui (2013), The Equality Act 2010
work over the principle that men as well as women must be paid equally when they are working
over same position. This become very crucial part of each organisation to follow this law in
order to survive in marketplace. Recently, case regarding equal pay has been aroused in front of
ASDA where female employees filed case against company and demanding for equal salary.
This equal pay case against ASDA has been sued in year 2014 when the law firm named as
Leigh Day asked the workers of ASDA retailer about the past and present. This has been done to
influence employees if they are discriminated by the company then they come in front and join
the claim for equal pay. They contacted large number of employees and then proceed to speak in
employment tribunal on behalf of many of them. When the ASDA employees get succeed in
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their claimed case then company is required to pay £100 million for compensation and this will
be raise in future. Apart from this employees will be able to compare warehouse and retail
workers after wining the key legal argument. This may have potential implication for employees
of retail sector who follow similar kind arrangements in their own workforce. On the other hand
ASDA have to face increasing risk of equal pay claim (Tang, Hull and Rothenberg, 2012). They
have to publish gender pay gap report on regular bases and then analyse the result and try to
solve them if major issues find from this. Apart from this they have to conduct equal pay audit
and improve their business policies on the basis of this analysis.
2.3 Factors that need to be considered for developing corporate strategy to motivate its female
workers
According to Roy Saunderson (2019), there are number of factor that have a capability to
motivate and influence the employees at workplace. So, in order to keep its female employees
motivated toward their work, these factors must be considered by ASDA for developing
corporate strategy. Following points describe about these factors: Reward Equally and fairly:- It is very important factors that need to be considered.
Here, deserving worker should be awarded, increase in pay and providing benefits to
motivate them. ASDA can consider such factors for increasing efficiency of workers and
organisation (Fernando, 2012). They can establish qualitative criteria in order to evaluate
awards and performance. Apart from this they can also set some reward system over
particular range of targets where employees get rewarded in term of appreciation or
monetary benefit in case when they able to achieve set targets.
Respect and Courtesy:- Each and every women working in an organisation need to be
respected and treated in better manner. This support in keeping female employees happy
and satisfied with their job as well as workplace environment. This in turn will helps
corporate in achieving their set goal and objectives by retaining their high skilled
employees for longer period of time. ASDA need to consider such factors for motivating
their staffs and workers so that employees feel respected to work in organisation (Top 10
ways to motivate women in your workforce, 2019).
On the other hand as per the view point of (..), the motivation of employees depend upon
the various factors that are present within the working environment of the company as well as
ways in which an organisation operates its business. Apart from this motivation of employees
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also get influenced by the behaviour which is present by employer to its employees and value
that being provided to worker while they perform operations at job. Factor which affect the
mindset and motivation of employees are given as under: Guidance to employees:- There must be a leader which regularly guide its employees
during their work and support them to develop their skills at workplace. This has an great
influence over mind set of worker as they feel valued and important for the organisation
which motivate them to work effectively. ASDA must its women worker an opportunity
to align themselves with corporate leaders so that they can get guidance from
professional coach. This will represent a culture that company is very serious about the
situation when it comes to the growth and success of females at workplace.
Reward up-gradation:- It is one of the most crucial factor that must be consider by a
company while planning for motivating its employees as cash reward not always work
toward motivating employees. When any female employee truly goes beyond or above
the work expected from her then ASDA must reward that employees in order to boost up
their confidence and push them to work harder for getting appreciated. But cash benefit
not always work well so company must identify new ways to appreciate their work like
gift them family trip tickets, promotion etc.
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CHAPTER 3 : RESEARCH METHODOLOGY
Methodology refers to theoretical and systematic analysis of methods, which is applied to
conduct a study on specific topic. It provides description of different modes of data collection,
which helps in gathering, analysing and interpreting the information, in research work. It
includes primary and secondary resources which are used to collect specific information on
chosen topic. Therefore, both methods give opportunity to researchers to conduct their research
work in more precise and specific manner. They can obtain effective outcomes for addressing
objectives of selected topic and give recommendation for further improvement as well.
3.1 Primary Data Collection
When data is collected for first time by researcher then it is called primary data
collection. It is specific and original work of research. Under this method, researchers are used to
conduct survey in own manner by choosing a sample from total population. There are different
methods for primary collection available such as interview, focus group, questionnaire, survey.
Concept of these methods can be described in following manner:-
Interview: It is conducted through telephone, mail or personally. In personal interview,
there is face to face interaction where interviewer asks various questions. They get more
reliable information through personal meeting. As it is time consuming and expensive
where sample is taken from geographical area. Here, information is taken in depth and
there is no misinterpretation. Sometimes, respondent can give wrong information to
interviewer. In telephonic interview, interviewer collect information by contacting
individual on telephone and ask questions orally. The main advantage of telephonic
interviews are cheaper, less time consuming, flexible and no requirement of staffs.
Questionnaires: In this type of method, questionnaire is sent to respondents who can
read, reply and understand. The questions are printed on definite order and format which
has to be filled by concerned person. The questionnaire should be short, simple, logical
sequence and avoidance of technical terms. The advantage of such type of questionnaires
are free from bias, adequate time to give answers, easily approachable to respondents. It
also carry some disadvantages such as time consuming, chances of errors, inflexible and
low rate of return.
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As per this regard, project-makers use questionnaire method of primary research, to
gather information about case study of ASDA.
3.2 Secondary Data Collection
When data are collected by other than user taken from published or unpublished sources
is called secondary data collection (Wright and Brown, 2013). It includes publication of
government, public records, journals, report of banks, magazines. For conducting secondary
research, project-makers can obtain data from internal and external sources. Here, sales report;
financial statements; customer details; feedback from retailers, distributors and more, are some
internal sources which provided specific knowledge about company. Similarly, Governmental
reports like population census and tax records; business journals; internet access etc. consider as
external source for obtaining secondary information. Both of these sources help in gathering
specific and reliable information on a particular topic.
It can be concluded that researcher use both technique for data collection in research for
achieving their aim and objectives. Under this process, project-managers of ASDA have
formulated a questionnaire related to employee motivation and reduce gender gap within
business. This format has further fill up by 20 respondents who are selected randomly from total
population (stakeholders).
Questionnaire
Name:
Age:
Gender:
Q1) Do you think unequal wages on the basis of gender can arise discrimination at
workplace?
a) Yes
b) No
Q2) Does gender gap affect organisational culture and policies of a company?
a) Yes
b) No
Q3) In what manner, issue related to unequal pay in ASDA effects its policies?
a) Influence other workers' perception
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b) Create difficulties to recruit new talented workers
c) Create negative publicity of business at marketplace
Q4) What is the main reason behind female staff turnover in ASDA?
a) Unequal pay scale between male and female workers
b) Unequal treatment
c) Ineffective organisational policies
Q5) According to you, which law allows female workers of ASDA to raise their voice
against discrimination?
a) Equal Pay Act 1970
b) Equality Act 2010
c) Sex Discrimination Act 1984
Q6) Which is the most effective strategy ASDA can use to resolve its issue?
a) Develop employment policies as per equal pay legislations and other laws
b) Promote an effective organisational culture
c) Build effective corporate strategy
Q6) Which is the best way by which management of ASDA can motivate its female staff?
a) Show consistent respect and courtesy
b) Reward equally and fairly
c) Highlight female leaders who have no titles
Q7) What are the main factors ASDA need to concern while formulating corporate
strategies?
a) Eliminate discrimination
b) Women empowerment
c) Reduce gender gap
Q8) Do you think corporate strategy helps ASDA in retaining its talented, especially
female staff workers?
a) Yes
b) No
Q9) Provide recommendation for ASDA in creating equality and providing job
satisfaction to both male and female workers, to achieve their retention?
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