Provide CEO with advice on the policy he should adopt when operating in various countries and employing people from various countries. Take into consideration the type of multinational company, the sector and type of operations etc.
SICLI is a 90-year-old company in the security sector in France. The management style at SICLI used to be paternalistic. It meant company rituals; anniversaries and unwritten rules for social behaviour were celebrated and practised across the hierarchy of the organization.
A major turn was taken when SICLI was acquired by Williams Holdings PLC in 1996 that instigated a major redevelopment programme and repositioned SICLI as a provider of a wide range of security services. Specific financial and accounting headquarters functions were administered from the UK, with the consequence of the official language of the company becoming English throughout all SCILI operations including agency partners. The new CEO of Williams Holdings PLC, Mr Newton, made drastic cost cuts through the reorganization of processes and lays-off.
The sales objectives went higher with a new international vision. The general organization started to change with workforce reduction but principally a change in management actors. The technical experts gradually left and were replaced by directors with sales and financial backgrounds. The board of deputy (BOD) was still 100% French, the identity of the company started shifting and the initial model and image were gradually fading.
These changes across the multinational organization brought along a plethora of problems. These included:
Engagement and communication challenges came up between SICLI and Williams Holdings and between SCILII's agencies;
The SCILI management objected to fast pace of change and were particularly annoyed that they were not consulted before decisions for change took place;
Williams brought in pressure and deadlines without communicating on the benefits a change could bring;
Attempts to introduce teamwork at SCILI and its agencies, the French workers were furious and threatened to strike;
SCILI African agency partners complained that the imposed change in working relationships was very different to what they were used to, however, SCILI West Indian agency partners were delighted about the change in working relationships but wanted more time to make the change, particularly the ideas of job rotation and performance related pay;
The cuts and pace of change negatively impacted upon staff morale at SCILI and its agencies;
Client satisfaction started to decline and the company faced severe challenges;
Williams 'go-no go' way crushed Sicli's and African agencies engagement and triggered conflict, misunderstanding and management errors;
Changes in the management style at SICLI, dictated through William offices in UK, were primarily aimed at increasing the company's competitiveness through quality improvement, more sales and product diversification. Working on these initiatives required introduction of new managers in the corporate hierarchy. These requirements were hard to accept by French and African workers. New HR manager initiated a new corporate training program. The French and African, West Indian workers showed reluctance to accept her plans for them to ' adapt' and to make new senior management level appointments from outside ...