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Prepared by Parag (102), Rahesh (103), Pooja (94), Samir (84) and Rushabh (90) _Div_B/ MBA I/SKPICMS Assignment The Salvation Army: Converting Outcasts into Citizens Case Study 26 th December, 2010(Sunday) Brief of Salvation Army: Salvation Army is one of the old and leading non-profit organizations in United Kingdom working with the homeless people and believes in serving mankind in the name of Jesus, the only one god in existence. They are doing exceptionally well as far as meeting the needs of homeless people is concerned. Many Management Gurus, Researchers and writers have appreciated the job of this organization by applying management concepts like Leadership, Motivation, Culture and Multicuturism, Teamwork etc. Summary of the Case: This case study discusses the application of leadership and motivation qualities at Salvation Army. The focus of this case study is the application of motivation theory to the members of this organization. It states that motivating 36,000 employees and volunteers is not an easy task for such a huge organization. The success of this, as they believe lies in their clear vision and mission. They have a very clear mission to meet the needs of homeless people and perhaps that attract inherent support from their employees. Furthermore, the motivation of the Salvation Army workforce stems from employee involvement in operating the organization. According to Colonel Lon Ferraez, key personnel, the key to motivation lies in the adherence to its mission and commitment to employees. They involve their employees in decision making which leads to the fact that employees experience a sense of ownership. Even organization structure is such that it helps motivate employees. They have vertical 1 | Page

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Page 1: Ass POM Salvation Army

Prepared by Parag (102), Rahesh (103), Pooja (94), Samir (84) and Rushabh (90) _Div_B/ MBA I/SKPICMS

AssignmentThe Salvation Army: Converting Outcasts into Citizens

Case Study

26th December, 2010(Sunday)

Brief of Salvation Army:

Salvation Army is one of the old and leading non-profit organizations in United Kingdom working with the homeless people and believes in serving mankind in the name of Jesus, the only one god in existence. They are doing exceptionally well as far as meeting the needs of homeless people is concerned. Many Management Gurus, Researchers and writers have appreciated the job of this organization by applying management concepts like Leadership, Motivation, Culture and Multicuturism, Teamwork etc.

Summary of the Case:This case study discusses the application of leadership and motivation

qualities at Salvation Army. The focus of this case study is the application of motivation theory to the members of this organization. It states that motivating 36,000 employees and volunteers is not an easy task for such a huge organization.

The success of this, as they believe lies in their clear vision and mission. They have a very clear mission to meet the needs of homeless people and perhaps that attract inherent support from their employees. Furthermore, the motivation of the Salvation Army workforce stems from employee involvement in operating the organization. According to Colonel Lon Ferraez, key personnel, the key to motivation lies in the adherence to its mission and commitment to employees. They involve their employees in decision making which leads to the fact that employees experience a sense of ownership. Even organization structure is such that it helps motivate employees. They have vertical organizational structure, decentralized authority, and believe in ‘Bottom Up’ approach. According to Ferraez, the local units set its own agenda and responsible for raising funds and implementation of programs. They are also motivated by the organizational emphasis on goal setting theory. They state that when employees meet their goals and their achievements are recognized, they feel that they are making a major contribution to their organization.

Questions:

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Page 2: Ass POM Salvation Army

Prepared by Parag (102), Rahesh (103), Pooja (94), Samir (84) and Rushabh (90) _Div_B/ MBA I/SKPICMS

1. What are some of the challenges in maintaining the motivational level at the Salvation Army?

Ans. The major challenges are as follows:I. Although their members are always ready to help and support but

often they don’t know exactly what they are supposed to do.II. Employees come from different culture and backgrounds.

Integrating, coordinating and making them united for a common goal is really a challenge.

III. Salvation Army people and the volunteers work for non-profit objectives. Installing a feeling of commitment and involvement in their members must be a challenge.

IV. They have a vertical organizational structure. Leading and motivating employees at each level is a challenge for the organization.

V. Last but not the least and very important, managing and motivating 36,000 employees and volunteers in such a huge organization is really a difficult task. It is due to the fact that each and every individual is different. They have their own needs and expectations. Even they are different in age and values so called “Generation Gap”

2. How might different views across the “Generation Gap” affect support for the Salvation Army?

Ans. Difference in set of values held by different age groups are often called “Generation Gap”. Different views across the generation gaps can definitely affect support for the Salvation Army.

As we know that it is a very old organization, perhaps 158 years old, employees of different generations would have different views as far as serving mankind is concerned. For e.g. As management of Salvation Army has approached employee involvement and relaxation (Decentralization of Authority, Empowerment and Goal Setting) in organizational hierarchy, this may not be liked by employees who are of old generation working for more than 40-50 years because they might believe in “Stick to their old hierarchy” approach.

At the same time, new generation employees who have recently entered in to the organization might think that senior employees are politicking, blocking their ways and not technology oriented. As a result of

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Page 3: Ass POM Salvation Army

Prepared by Parag (102), Rahesh (103), Pooja (94), Samir (84) and Rushabh (90) _Div_B/ MBA I/SKPICMS

which, they may not support the organization up to their best because of conflict of views. From the motivation point of view, new generation employees can be motivated by rewarding challenges and old generation by money and flexible timings.

3. Explain Salvation Army operations in terms of need theory and expectancy theory.

Ans. A Salvation Army operation is a classic example of need and expectancy theory.

Application of Need Theory:

Maslow’s hierarchy of need theory states that a person is motivated when he or she has not yet attained certain level of satisfaction within his/her life. These levels can be ranked in terms of hierarchy:

If we apply this theory of Maslow to the operation of this organization, it is very much associated. They aim to help people live independently by approaching their needs holistically, addressing their Physical, Emotional and Spiritual needs which can be categorized as Physiological & Safety needs. They also address humanity by love and care. By this way, they address Social needs of the homeless people. In this way, they consider lower order needs of the homeless people by improving their economic and social conditions.

If we apply this theory to employees and volunteers, it is also very much associated. They have employee empowerment and involvement campaigns which is nothing but addressing the self esteem needs of employees to motivate them to work towards a single goal. When employees internally feel that they are doing their best by serving mankind which is

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Page 4: Ass POM Salvation Army

Prepared by Parag (102), Rahesh (103), Pooja (94), Samir (84) and Rushabh (90) _Div_B/ MBA I/SKPICMS

considered a noble cause, they feel they are doing their best and serves as a self actualization need for motivation.

Application of Expectancy Theory:

Expectancy theory states that employees are motivated when they see a favorable combination of Effort, Performance and Rewards.

These three terms are theoretically known as Expectancy, Instrumentality and Valence.

Expectancy If I behave in a certain way, my behavior will result in some positive performance

Instrumentality If I have this positive performance, It will result into some positive outcomes(Most probably rewards)

Valence If I have this rewards, It will result into some motivation due to personal goal achievements depending upon the strength of expectancy

This theory can very well be associated with the operation of this organization. Salvation Army people work for certain outcomes like best service to mankind and society. They have goals, behave certain way and when they meet their goals they are recognized for their achievements. It makes employees feel that they are making a major contribution to the organization which is nothing but a valence. This is how they are motivated through Victor’s Expectancy theory.

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