Low employee satisfaction in Air Arabia

Low employee satisfaction in Air Arabia Air Arabia was launched in 2005 as one of the initiatives in low cost carriers segment in Middle East. Over the period of time it was able to build up a remarkable company name in the market along with a firm financial record of its own. After introducing problems related to Political, Social, Environmental and Technological (PEST) aspects of Air Arabia, this part concentrates on analyzing these problems with the help of basic organizational behavior theories. The report is divided in four sections, each one for Political, Social, Environmental and Technological aspects. In each section, OB concern of the problem followed by the problem from the case and the explanation is mentioned. People: Problem Statement: In previous section we discovered a problem that employees in Air Arabia were not satisfied with the low financial benefits provided against their high performance. Problem Highlight: Performance based Incentives Performance based incentives: This is a problem of pay for performance scheme. In pay for performance or say performance based incentive system, employees are rewarded in accordance to their performance. Now the problem is that employees can never be satisfied with the outcome of this particular form of reward system. This can be understood by Equity theory. Equity theory states that employees use to compare their position (here rewards) with those of other employees. So even an organization remain transparent in distributing incentives, until unless the employees themselves become satisfied in light of equity theory, the problem like the incentive problem in pay for performance scheme in Air Arabia remain standing.  [1]   Problem Statement: One of the major problems associated with employees is that company is not able to provide them with long term commitment regarding their performance appraisal and work effectiveness bonus. Problem Highlight: Performance Appraisal Performance appraisal: Performance appraisal is the measure of evaluating the performance of the employees. In air Arabia, the performance appraisal system presently in use incorporates the number of task and time limit of those task accomplished by the employees are recorded  [2]  . This forms the basis of the performance appraisal scheme in the company. (Performance-related pay, 2005) Now the problem in this scheme is that this does not count the quality and situation under which work is carried out. For example, in Air Arabia, the performance scheme is same for sales and administrative staff. Now administrative staff has clear work functions to follow whereas sales staff has to undergo filed work which is more challenging. The targets for sales staff are tougher to achieve than those of administrative staff. Thus the performance appraisal scheme in Air Arabia is not satisfactory and requires other schemes like 360 degree scheme etc  [3]  . Problem Statement: The case shows that Air Arabia exhibits problem of workforce management due to workforce diversity. Problem Highlight: Diversity Diversity: Leaders and managers in Air Arabia do not handle the workforce diversity effectively. In their effort to manage the diversity, they go with equal treatment strategy. In this strategy, each of the employees is treated equally irrespective of its cast, color, race and language they speak. This looks quite fair in first look but the approach is not helpful in country like Dubai. The country has people of different religion and cast, speaking different languages and has different educational schemes and mental aptitude  [4]  . Now the problem is some particular type of employees are always advantageous of this equality approach. For example, the work force of India is more fluent in English than the natives of UAE. UAE culture gives emphasis on Urdu and not English. Now because of low proficiency in English and the equality approach in diversity management, UAE natives are mostly under-rated than few foreign classes of employee. This introduces a sense of dissatisfaction and un-happi ness towards the job. Problem Statement: employees of Lufthansa Air went on strike to improve their working conditions. Problem Highlight: Work Environment Work environment: Work environment is a major constituent of an effective organizational culture. The work environment not only constitutes the physical constituents of the location but also the culture of the work like senior-subordinate relations, type of communication etc  [5]  . The situation here shows that the employees of Lufthansa Air are not satisfied with the work environment and went on strike. The actual reason for the dissatisfaction was companyà ¢Ãƒ ¢Ã¢â‚¬Å¡Ã‚ ¬Ãƒ ¢Ã¢â‚¬Å¾Ã‚ ¢s pressure to work more than the required 8 hours to answer the increasing competition in aviation industry. This decision was not welcomed by the staff as it resulted in more hastiness in job and thus resulted in improper work conditions in the company. (Listening, the Doorway to Employee Commitment, 2005) Environment: Problem statement: Air Arabia had to reduce some of its other expenses like HR expenditure and to make it possible it has reduced intake of employees that had increased work pressure over presently working employees tremendously. Problem Highlight: Work Environment and Employee Shortage Work environment and employee shortage: The problem here is of bad work environment due to excessive work load because of lesser number of employees. The problem was resulted due to high oil prices which forced the company to shrink the workforce. This shrinkage resulted in high pressure on present work culture and thus decreased efficiency of work environment. Problem Statement: High operational cost which is internal factor of employee malfunctioning causing external effect over organization. Problem Highlight: Employee Inefficiency and Lack of Motivation Employee inefficiency: Lack of motivation The employees in Air Arabia were found to be less efficient and thus the company was compiled to increase its fare to sustain pressure of increasing oil prices  [6]  . The main cause of this problem can be lack of motivation in the employees towards the companyà ¢Ãƒ ¢Ã¢â‚¬Å¡Ã‚ ¬Ãƒ ¢Ã¢â‚¬Å¾Ã‚ ¢s growth. If the employees would have been more motivated, they could have been more efficient and thus the problem of price hike because of high operational cost could have been prevented. This is a clear case of less motivated work force. (Listening, the Doorway to Employee Commitment, 2005) Problem Statement: Most of its employees have to work under pressure basically for the sustainability of the organization which has raised the level of employee dissatisfaction in the company Problem Highlight: Employee Dissatisfaction Employee dissatisfaction: There are a number of competitors of Air Arabia in low cost aviation industry which forces employees to work harder with limited resources. This results in greater employee dissatisfaction towards the workplace and more employee turnover rate. Technology: Problem statement: But all these technical advancements have an upper limit beyond which it cannot be stretched, and at that point employee performance comes into picture and has to be taken to its best possible level. Problem Highlight: Employee Training Employee training: The problem here is that when new technology is introduced in the company to cut operational expenses, the work and expectation from the employees also changes a lot. So there is a clear need to employee training. Employees are needed to be trained at new technology so that they are able to be a part of companyà ¢Ãƒ ¢Ã¢â‚¬Å¡Ã‚ ¬Ãƒ ¢Ã¢â‚¬Å¾Ã‚ ¢s cost cutting scheme. Employee training is a necessary part of any organization which needs to be happen periodically  [7]  . Structure: Problem Statement: as employee commitment is an important issue and it cannot be handled by the organization without proper structuring and it is also one of the important issues faced by Air Arabia Problem Highlight: Leadership Leadership: In the case, we found that employees are not committed to the organization. This is the responsibility of the leader to keep the faith of the employees in the organization. Thus the company needs its leaders to take more active role. The leaders in the company need to motivate the employees and to maintain the commitment of the employees in the company. The structuring component in this problem is more of a requirement of a leader  [8]  . Problem Statement: Upper management is facing a problem to retain its entire structure which is similar to the case of Lufthansa Airways. There may be a need for an improved format of organizational behavior needed in this regard that can be provided with the help of proper training Problem Highlight: Training Training: The problem here is that due to the high instability of labor market in airline industry, the company is unable to maintain its talent pool which again is introducing instability in its organizational structure. This instability is supposed to be handled by reducing job turnover rate by more motivational training to its employees  [9]  .

An Inquiry to the Nature and Causes of the Influence of Adam Smith

Many people, when asked what pops into their mind with the word economics, they mostly say â€Å"capitalism†. Indeed the field deals a lot with capitalism. In fact, the three great names mentioned in Heilbroner and Thurow (1982, 17)—Adam Smith, Karl Marx, and John Maynard Keynes—have capitalism as the base of their different ideologies; and it is in how they view capitalism that within economics, several school of thought sprouted, enabling the further development of the field. The influence that Smith, Marx, and Keynes are incalculable: each inducing their own set of followers that continue polishing up their works long after they are gone, each idea continuing on as legacies, influencing political decisions all throughout the world. But for now, let us content ourselves with examining the influence of Adam Smith, the father of economics himself. In the opening statement of Adam Smith’s celebrated work, An Inquiry into the Nature and Causes of the Wealth of Nations (Smith, Skinner, 1986), he wrote: â€Å"How selfish soever man may be supposed, there are evidently some principles in his nature, which interest him in the fortunes of others, and render their happiness necessary to him, though he derives nothing from it, except the pleasure of seeing it† (Smith, 1986). Back in Smith’s day, this statement, along with the ideas contained in the Wealth of Nations, raised many eyebrows. The book, a first-of-its-kind defense for the free-market and a direct attack to mercantilism, argues that the selfish motives of individuals does not necessarily lead to detriments; in fact it could actually benefit the society. It is based from this belief that he further postulated that the free market, though looking like unrestrained and chaotic, will be eventually guided to the right direction by the â€Å"Invisible Hand†, which in turn is guided by individual human motives that are most commonly selfishness and greed. It being termed as a free-market, Smith abhorred any kind of intervention coming from the government, believing that for the market to function efficiently, it should be left to work on its own—thus, the idea of laissez-faire (www.econlib.org). Smith also was a firm believer that it is labor, and not land that is essential in increasing production and thus highlights the importance (but also warns against the peril) of division of labor. Just how influential Smith’s ideas are can be readily seen in the field of Economics through the years and especially in this day and age: free markets have been made the ultimate goal of many a government of today; specialization has never been more stressed as a major strategy in production; capitalism is fast becoming the only model for economies today; and mercantilism have long disappeared in favor of Smith’s proposed free trade (although the degree of freedom in trade in some countries is a matter worth questioning). Selfishness and greed, although still contested by some groups, are still viewed in a much more positive light, and is justified in the field of economics so long as they serve the society’s over-all benefit. Several followers have also polished on the economist’s basic ideas, extending them to meet the different quirks that come up through time. Smith has been a household name for any person with at least average knowledge on economics; in fact he is ranked 30th in Michael Hart’s list of the most influential persons in history (1992). Also his portrait appears on the twenty pound note in UK. (Talk about influence that you cannot buy!) Greed that fosters growth and division that promotes efficiency. Once taken aside but now are lived and breathed and experienced worldwide. And as long as there are supporters who hang on to the basic tenets of the famous Adam Smith, the great economist’s legacy shall forever live on and endure. References Hart, M. (1992). The 100: A ranking of the most influential persons in history. Carol Publishing Group. Henderson, D. (2002). Biography of Adam Smith. Retrieved March 3, 2008, from Heilbroner, RL., Thurow, LC. (1982). â€Å"Three Great Economists†. Economics explained. Prentice-Hall. p.17. Smith, A., Skinner, A (Ed). (1986). An inquiry to the nature and causes of the wealth of nations. Penguin Classics.

Political philosophy Essay

1)How does an agent reason about Lock’s options in a single-play dilemma? In the state of nature, there are four preferences. The first preference is to attack and not be attacked. The second preference is to not attack and not be attacked. The third preference is to Attack and be attacked. The fourth preference is to not attack and be attacked. 2)Was Bramhall justified in calling Hobbes’ Leviathan a â€Å"rebel’s catechism†? Yes. According to Bramhall, if everyone where to decide when to obey the sovereign and when to disobey the sovereign, then we would let ourselves be ruled over at our own pleasure. If at anytime we felt it was inconvenient to be ruled over because we felt threatened, then there is no stability, and thus we have a rebel catechism, or a doctrine and reason for us to rebel due to Hobbes rebellion cause of being able to succeed when threatened. 3)Why would agents in a Lockean state of nature want to leave it for a civil society? 4)What does Locke’s law of nature require of rational beings? Locke’s law of nature requires that you a being must preserve yourself at all costs and at all times. 5)How des Locke differ from Hobbes on the question of whether there is property in the state of nature There is no property in the state of nature in Hobbes, it is just man vrs man. For Locke, you can have a property in the state of nature, which is from the labor of your hands. Locke has two conditions which is you must leave as much and as good for others and you must not take more of God’s creations than you need. 6)What is the â€Å"paradox of being governed† and does Locke’s theory suffer from it? The paradox of being governed is how can a group of people being unruly, promote a person to rule them, if that person was original from that group of unruly people. Another point is how the people can be ruled by a ruler if they themselves appoint a ruler. Are you truly being ruled if you can hire an fire a person who is ruling you. Locke does not suffer form this relationship. 7)How does the agent reason about his options in a coordination game? A coordination game is a scenario in which society wins rather people win individual. Driving on the right side of the road is an example. 8)What is Hampton’s notions of a governing convention and how does such a convention come about? The governing convention comes about when you solve the coordination game. It comes of War and Majority vote and maintains unless it is undermined by the majority rule. It comes about when people come together. 9)In Hampton’s theory, what is the difference between convention consent and endorsement consent? Convention consent is I support Obama, he doesn’t win, but I still approve of the government Endorsement consent is I support John McCain, he wins, and I continue to support him. 10) What is Hampton’s Stratification solution to the paradox of being governed?

A Rhetorical Analysis on Nineteen Eighty-Four - 1044 Words

Running Head: NINETEEN EIGHTY-FOUR Nineteen Eighty Four: A Critical Essay on Rhetoric Bereket Kifle Composition 12 Honors Abstract George Orwell employs the usage of different rhetoric throughout 1984. The rhetoric differs from describing the human body and its struggle to survive to the different crimes and how the citizens felt about them. Also, within 1984 lies a warning from Orwell: to eliminate the caustic consequences of a communist government. While Orwell served as part of the Indian Imperial Police in Burma during the 1920s, he examined the faults of the communist government. This phenomenon inspired Orwell to warn governments world-wide to stay on the right path to a safe and free rule.†¦show more content†¦Logos Presented in 1984 This dictator, Big Brother, has lost all respect for the humble earnings of a single household family. The despicable actions prophesized by Orwell’s warning message leads to an important question: why do dictators steal from the poor and give to themselves? â€Å"The state is responsible for the organization and direction of the economic life of the cou ntry, in accordance with a central social and economic development plan†, (Gale Research group, 1998). Orwell knew this and talked about it quite a bit in his novel, which established logos; he knew that installing fear within the minds of the citizens he watched over would lead, whether they wanted it or not, to their safety. Stability is safety. Less knowledge is safety. When the Party is questioned less, there are fewer opportunities for the Party to be wrong. This is why the mere thought of hating Big Brother earns anyone a front row seat to death. Big Brother’s opinions are strict—very strict. They are so strict that there are oversized cameras called telescreens installed everywhere throughout Oceania. The telescreens ensure that nothing is said about Oceania’s perfect leader. This device is installed as a reminder that â€Å"Big Brother is always watching† (Orwell, 1949). InShow MoreRelatedWhy Privacy Matters2748 Words   |  11 Pagesthat the issue of privacy affects more than just individuals hiding a wrong. Solove jumps right into his dissection of the â€Å"I’ve got nothing to hide† argument, which is so often mentioned in discussions regarding the government’s gathering and analysis of our personal information. He explains how this argument stems from an inadequate definition of what privacy is and the value that privacy possesses. The adherents of the nothing-to-hide argument state that because the information will not beRead MoreOrganisational Theory230255 Words   |  922 Pagesorganization ‘There is nothing so practical as a good theory’ How Roethlisberger developed a ‘practical’ organization theory Column 1: The core contributing social sciences Column 2: The techniques for analysis Column 3: The neo-modernist perspective Column 4: Contributions to business and management Four combinations of science, scientific technique and the neo-modernist approach reach different parts of the organization Level 1: Developing the organization Level 2: Managing the human resource 100 Read MoreOne Significant Change That Has Occurred in the World Between 1900 and 2005. Explain the Impact This Change Has Made on Our Lives and Why It Is an Important Change.163893 Words   |  656 Pageslamentable. Taken together, the key themes and processes that have been selected as the focus for each of the eight essays provide a way to conceptualize the twentieth century as a coherent unit for teaching, as well as for written narrative and analysis. Though they do not exhaust the crucial strands of historical development that tie the century together—one could add, for example, nationalism and decolonization—they cover in depth the defining phenomena of that epoch, which, as the essays demonstrate