Hewitt-Packard Company

In: Business and Management

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Chapter 14 Case – “Hewitt-Packard Company”

Instructor: Professor Pamela McLaughlin

Course: Management of Concepts – BUS 302

Date: August 21, 2011

* Discuss the three most serious problems you have identified in the case. Defend why you think they are the most serious.
One of the more serious problems that I have found in this case is under management. When a company is under managed, workers struggle because their management is not sufficiently engaged to provide the direction and support they need. The management is not informed about worker’s needs and, therefore, is unable to help with resources and problem solving. Thus management cannot judge what expectations are reasonable, and cannot set goals and deadlines that are ambitious but still meaningful. Meanwhile, the under-manager gets caught in a vicious downward spiral managing problems after the fact, putting out fires that never should have gotten started in the first place, salvaging wasted resources and turning around employees who have been going in the wrong direction, unnoticed, for days, weeks or months. Secondly, having a bonus system that was so complicated that no one understood it is never good for a company. Bonus systems should be as simple as possible to measure and track. Also a bonus system should be designed to reward good behavior, not necessarily to change or punish poor behavior. Lastly, a complex and confusing matrix structure blurred accountability lines and slowed the decision making process. A Matrix structure is a type of “organizational management in which people with similar skills are pooled for work assignments” (Matrix Management, para 1). For example, all information technologists may be in one IT department, but may be assigned to different projects and report to a project manager while working on the project. When a matrix structure works properly it allows the…...

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