Mcc Case Study

Case Study The first thing I noticed in the case was how well MCC began to plan for the increase in sales between foreign countries.

They realized international coordination must be addressed and assembled centrally coordinated policies for human resources, sales, and marketing. With this plan of action they hoped to increase customer satisfaction as well because they too are internationalizing in many cases. Again, a great start, but unfortunately soon to fail. In order to maintain sales, MCC targeted their employees and enacted a new rewards system. This rewards system was a huge flop for many reasons.

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First of all, a day to day performance pay is far too unpredictable.

It can be intimidating to employees and cause uncertainty. Some work better in groups or as a team and would accomplish more with others rather than competing in the workplace. Also, what if something were to happen in ones life that prohibits maximum performance? This was the case for Clara and Peter who worked for the Swedish software company. Clara has two children and lost her husband this past year causing lots of stress on her leading to a decrease in performance. Peter isn’t happy either.

His marriage is dwindling and finances are low which in turn decreased his performance. Unfortunately for them, weak performance equals weak pay, only bringing them down further. No wonder why their best employees left along with the other five after the rewards system had been enacted for a year. MCC needs to take a hint after the first year, listen to their employee’s feedback, and enact a new system that ties performance as a whole. Clearly individualism isn’t working in this case and they need to reevaluate their restraining and driving forces.

Luckily, Mr. Johnson came along to present his ideas on motivating the sales force.

During the much needed meeting in Milan, Mr. Johnson wants everyone to be on the same level but approaches them wrongly. Normally, when you call a meeting to reason with foreign partners you want to approach everything in steps.

You must Prepare, Build Relationships, Exchange Task-Related Information, Persuade, and end with Concessions and Agreements, not immediately criticize the way things are run. Johnson was very forward when approaching the nations on both occasions seeing as how the article states “He started, as usual, with an overview of the situation in America.

I feel as if this caused Power Distance among board members thus resulting in very unproductive meetings. The members became uneasy and confrontational. The Americans planned to invest in a rewards system and remain Future Oriented.

Sales were instructed to go up with competition and pay-for-performance was set to rule. It seemed the other countries had different opinions on the matter. The Assertiveness and Humane Orientation between the Dutch and Italians became far too much for one room. Eventually the Performance Orientation hit the boiling point and the meeting began to fall apart.

At this point all Globe Dimensions became apparent and the relationships seemed to detour. The miscommunications and context of what was said between the different cultures ended any form of productivity.

Compromises needed to be made and each country should have been allowed to represent itself before critiquing the other. If I were Mr. Johnson I would have handled the meeting quite differently. I would start off by welcoming everybody and making sure they are comfortable. With that many different countries I the room you would not want to upset either side so be cautious in what you say.

Never be too forward.

Ask them how business is in their perspective. Since Mr. Johnson already knows everything about the rewards system he should ask for the opinion of others for improvement. What works in America may not work for other countries. All in all, Mr. Johnson needs to slow the meeting down, get everyone on the same page, gather opinions from representatives, and come up with conclusions and compromises.

If followed, I feel as if the productivity in their meetings would increase and proper policies, comprisable to all, will be established.