MANAGEMENT

Tengo Ltd

Tengo Ltd

Introduction

Tengo Ltd is a company that deals in computer notebook manufacturing. Since the inception of the company in 2000, it has witnessed growth at a rapid pace due to its product offering. The company offers low-cost laptops and targets the segment of the market. Tengo also offers notebooks for businesses with its range of higher-specification laptops. Tengo's products have gained popularity and have seen the company expand to 30 countries in Europe to the Far East. Tengo's manufacturing, support and research and development continue to operate in the United Kingdom where the company employs more than 500 employees. The company has no retail outlets for selling its laptops. Instead, the company relies on using the internet to serve its customers in every manner. Customers can contact a company advisor over the internet or phone regarding matters such as spares, product warranty and accessories. The call center also serves to provide support for existing and potential customers. Customers can also file complaints through the call center.

A recent survey of the organization and the labour market revealed that even though Tengo employees are paid a higher salary than the competition, the rate of employee turnover in the organization has matched the industry average. The company was also faced with the issue of overstaffing that was a consequence of the rapid growth of Tengo. Following the survey, the company decided to lay-off 30 workers of which 12 were regarded as excessive (DeShon & Gillespie, 2005, pp. 1096).

Problem Description

The organization currently faces a lack of motivation among workers of entry-level which has resulted in high employee turnover. The company has been suffering huge costs in of new recruitment and training and is now looking to restructure the organization. In order to understand the essentials and complexities of the issues at hand, the following critical analysis would render insight into the techniques of employee motivation, the relationship between sociology/psychology and employee performance, how can effective leadership contribute to the success of the project and how human resource initiative can impact the process of change.

Sociology and Psychology of Employee Performance

Sociological Approach

Social Learning Theory

The social learning shows how employees view the society or the environment that they work in and their willingness to learn for the surroundings. Since Employee Performance is the major component in social learning theory, an individual's Employee Performance belief may help or hinder their performance. Employee Performance impacts the performance of an individual. Tobin et al. found that organizational climate had no impact on Employee Performance. Research done by experts found Employee Performance did not affect motivations or actions and may in fact hinder motivation and actions. The research on Employee Performance and its effects on organizational justice and organizational change initiatives are inconclusive. Therefore, further research needs to be done to help clarify Employee Performance's impact on organizational justice and organizational change initiatives (Harold et al, 2008, pp. 346).

Based on the social learning theory, Bandura and Schunk (1981) wrote self-directness operates through cognitive processes and ...