Harvard Case - Advaith Group: Sidelined Impressions and Managing Talent Maps
"Advaith Group: Sidelined Impressions and Managing Talent Maps" Harvard business case study is written by Sumal Abraham Varghese, Jyotsna Bhatnagar. It deals with the challenges in the field of Organizational Behavior. The case study is 10 page(s) long and it was first published on : Aug 25, 2020
At Fern Fort University, we recommend a comprehensive approach to address the Advaith Group's talent management challenges, encompassing organizational culture transformation, leadership development, and strategic talent acquisition. This strategy aims to foster a more inclusive and collaborative work environment, empower employees, and attract and retain top talent.
2. Background
The Advaith Group, a leading manufacturer of automotive components, faces challenges related to talent management. The company's hierarchical structure and traditional leadership styles have created a culture of fear and silence, discouraging open communication and innovative thinking. This has led to a lack of employee engagement, high turnover, and difficulty in attracting and retaining skilled professionals. The case highlights the experiences of two key employees, Lakshmi and Amit, who represent the contrasting dynamics within the company. Lakshmi, a highly skilled engineer, feels stifled by the rigid structure and lack of opportunities for growth, while Amit, a young and ambitious manager, struggles to navigate the complex power dynamics and make meaningful contributions.
3. Analysis of the Case Study
The case study presents a complex scenario where several organizational behavior and management principles intersect. We can analyze the situation through the lens of:
Organizational Culture: Advaith Group's hierarchical structure and traditional leadership styles have fostered a culture of fear and silence, hindering innovation, creativity, and employee engagement. This culture is further exacerbated by the lack of diversity and inclusion, leading to a sense of isolation and disenfranchisement among some employees.
Leadership Styles: The case highlights the contrasting leadership styles of Mr. Advaith, the founder and CEO, and his son, Arjun. Mr. Advaith's autocratic leadership style, characterized by top-down decision-making and micromanagement, creates a culture of fear and stifles creativity. Arjun's more collaborative and inclusive approach, while promising, is hampered by the existing power dynamics and the lack of support from his father.
Team Dynamics: The case demonstrates the negative impact of poor team dynamics on employee morale and productivity. The lack of open communication, trust, and collaboration creates a sense of isolation and hinders the ability of teams to function effectively.
Motivation Theories: The case highlights the importance of intrinsic motivation for employee engagement and performance. The lack of opportunities for growth, recognition, and autonomy demotivates employees, leading to decreased productivity and high turnover.
Change Management: The case reveals the challenges of implementing change in a resistant organization. The existing culture and power dynamics create resistance to change, making it difficult to implement new initiatives and foster a more inclusive and collaborative work environment.
Power and Politics in Organizations: The case illustrates how power dynamics and political maneuvering can hinder progress and create conflict. The lack of transparency and accountability in decision-making processes creates a sense of mistrust and undermines employee morale.
Decision-Making Processes: The case highlights the importance of involving employees in decision-making processes. The lack of transparency and employee participation in decision-making leads to a sense of disenfranchisement and undermines employee engagement.
Emotional Intelligence: The case underscores the importance of emotional intelligence for effective leadership. The lack of empathy and understanding from senior management creates a hostile work environment, leading to decreased morale and productivity.
4. Recommendations
To address the Advaith Group's talent management challenges, we recommend a multi-pronged approach:
1. Cultivating a Culture of Innovation and Inclusion:
- Leadership Development: Implement a comprehensive leadership development program for senior management, focusing on developing emotional intelligence, collaborative leadership styles, and a commitment to diversity and inclusion.
- Organizational Culture Transformation: Initiate a company-wide culture change initiative to foster open communication, transparency, and collaboration. This can be achieved through employee engagement programs, team-building activities, and regular feedback mechanisms.
- Diversity and Inclusion Initiatives: Implement a strategic diversity and inclusion program to create a more inclusive workplace. This can include targeted recruitment initiatives, mentorship programs, and unconscious bias training.
2. Empowering Employees:
- Employee Empowerment: Empower employees by providing them with more autonomy, responsibility, and opportunities for growth. This can be achieved through job redesign, performance-based rewards, and career development programs.
- Performance Management: Implement a performance management system that is transparent, fair, and focused on employee development. This system should provide regular feedback, opportunities for growth, and recognition for achievements.
3. Strategic Talent Acquisition:
- Talent Acquisition Strategy: Develop a strategic talent acquisition plan that focuses on attracting and retaining top talent. This plan should include targeted recruitment efforts, competitive compensation and benefits packages, and a strong employer branding strategy.
- Employee Value Proposition: Develop a compelling employee value proposition that highlights the company's values, culture, and commitment to employee growth and development.
5. Basis of Recommendations
These recommendations are based on the following considerations:
- Core Competencies and Consistency with Mission: The recommendations align with the company's core competencies in manufacturing and its mission to provide high-quality products and services.
- External Customers and Internal Clients: The recommendations aim to improve employee engagement and satisfaction, which will ultimately lead to better customer service and increased profitability.
- Competitors: The recommendations are designed to help the Advaith Group attract and retain top talent in a competitive market.
- Attractiveness - Quantitative Measures: The recommendations are expected to lead to improved employee retention, increased productivity, and enhanced profitability.
6. Conclusion
By implementing these recommendations, the Advaith Group can create a more inclusive and collaborative work environment, attract and retain top talent, and achieve its business goals. The key to success lies in the commitment of senior management to drive cultural change, empower employees, and create a workplace where everyone feels valued and respected.
7. Discussion
Alternatives:
- Maintaining the Status Quo: This option carries significant risks, including continued high turnover, decreased productivity, and difficulty attracting and retaining top talent.
- Outsourcing Talent Management: This option could be costly and may not address the underlying cultural issues.
Risks and Key Assumptions:
- Resistance to Change: There is a risk that employees and senior management may resist change. To mitigate this risk, it is essential to communicate the benefits of change clearly and involve employees in the process.
- Financial Investment: The implementation of these recommendations will require financial investment. However, the long-term benefits of improved employee engagement, productivity, and retention will outweigh the costs.
8. Next Steps
- Develop a detailed implementation plan: This plan should outline the specific steps, timelines, and resources required to implement the recommendations.
- Communicate the changes to employees: It is essential to communicate the rationale for the changes and involve employees in the process.
- Monitor progress and make adjustments: Regularly monitor the progress of the implementation and make adjustments as needed.
By taking these steps, the Advaith Group can create a more positive and productive work environment, attract and retain top talent, and achieve its business goals.
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Case Description
In 2017, Advaith Group was an Indian conglomerate with interests in various businesses including chemicals, infrastructure, and engineering. An advisor to the corporate communications group was employed on a contractual basis. Each year at the time of his contract extension, organizational politics were played out around the decision to renew the contract. The advisor was very good at what he did, but his behaviour with colleagues left room for improvement. The head of human resources had his reasons to stall the extension of the advisor's contract and tried different means to have his way, including sidelining him within the organization. A new recruit in corporate communications came into the company with hope and the ambition to be successful in the corporate world. However, she was unsure if she could achieve this goal under the current circumstances. The managing director was asked by the chairman of the group to decide on the extension of the advisor's contract, but he had to look at all possible angles before doing so.
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