Bold Horizons Case Study

So�ia Diaz and Tomas Gonzales were transferred on a two-year contract to the Auckland (NZ) of�ice of Bold Horizons Marketing, a large marketing and advertising company. They came from the branch in Chile, which specialised only in print advertising. Both So�ia and Tomas were enthusiastic about their new role in Auckland. So�ia and Tomas have already been promised they would be involved with the marketing for Tearfund NZ; an organisation they both strongly support, and which does a lot of good work in developing nations, including Chile. Although this will be a challenging task, they are both con�ident they will be up to it.

Both So�ia and Tomas were told by management they had to sit a competency, cognitive ability, and verbal reasoning test when they arrive. The tests were administered in English (their second language) and they both tried very hard; scoring well above average in the numeracy sections. Unfortunately, they scored poorly overall due to the extra time it took to translate the questions and misunderstanding some of the wording.

Initially, they were both happy with the pay increase they would receive, especially in light of their comparatively low test scores. They would continue to get their usual salary, which was equivalent to $800 (after tax) NZ dollars per well in addition to a one-off relocation bonus of NZ $3000. They felt that this was fair remuneration for the work they were doing. However, it was not long before they found out that the Kiwi employees in the same department, doing the exact same job, were earning nearly $1200 per week (after tax).

Within a few weeks of realising the difference in the rates of pay, So�ia began to post personal items home to Chile using the company postal service, she would surf the internet during work time and take long lunch breaks. Sometimes she would delegate part of her workload to her Kiwi colleagues, reasoning that, if they were being paid more, then they should also do more work. So�ia feels quite uncomfortable with her behaviour, realising that she is essentially stealing from the organisation by using their internal post, slacking off, and taking more time at lunch. She convinces herself it is OK however, telling herself she is just making up for the low salary.

Tomas, on the other hand, was very impressed with the level of relevant quali�ications the Kiwis had, most had at least a BBus degree, whereas Tomas and So�ia only �inished high school in Chile. In addition, he is very aware of the low score he received on the tests he sat, reasoning that they indicate he is less able than others to do a good job. He was also aware that what his colleagues did in their roles was really helped by the fact that most have English as their �irst language. Tomas it still signi�icantly better off than his old colleagues back in Chile. Tomas continues to work as hard as he can for Bold Horizons.

Many of the employees of Bold Horizons become aware that there is a wide pay gap between themselves and their Chilean colleagues. A staff meeting is scheduled to discuss equity issues. In order to make the employees stop complaining the CEO of Bold Horizons defends her decision and reveals Tomas and So�ia’s test scores as evidence, arguing that, along with their lack of higher education, So�ia and Tomas are “less valuable” employees. She doesn’t mention the fact that their numeracy scores were high or that they are both very skilled at their jobs. Tomas accepts the opinion of the CEO; reasoning that “she is the most senior person in the organisation after all… who are they to argue with her?”. The kiwi staff members are also very vocal, and they continue to debate the inequity of behalf on Tomas and So�ia with the CEO.

For her �irst major assignment, So�ia has been tasked with reviewing Patagonia’s latest advertising campaign – a clothing brand renowned for its focus on social and environmental sustainability. Her objective is to investigate why consumers continue to purchase environmentally unsustainable clothing products from competitors, despite responding positively to Patagonia’s recent advertising campaign. Sophia will be required to analyse consumer-based survey data (available in excel), comparing attitudes towards Patagonia’s brand mission with actual buying behaviour. So�ia has been briefed to analyse the data to gain a deeper understanding of the relationship between people’s attitudes and their willingness to buy. Her task is to also identify the key factors Patagonia should address in their next advertising campaign to bridge the attitude-behaviour gap.

Tomas has two big clients with exciting projects. The �irst of these is BYD Auto- a Chinese electric vehicle company. BYD Auto is the main automotive subsidiary and brand of BYD Company, a publicly listed Chinese multinational manufacturing company. It manufactures passenger battery electric vehicles (BEVs) and plug-in hybrid electric vehicles (PHEVs), collectively known as new energy vehicles (NEVs) in China. It also produces electric buses and trucks. BYD aims to bring in 15 new models during the next 2.5 years for the EV market in New Zealand. However, BYD has enlisted the help of Bold Horizons to expand its reach to the older generation (55-65 years), who hold the bulk of the nation’s wealth. Tomas’ role is to analyse the decision-making process of this older demographic and propose targeted marketing initiatives that can in�luence older consumers to consider purchase BYD cars at each stage of the decision-making process.

The second of Tomas’ clients is Whittaker’s NZ, a New Zealand-based confectionary company that currently hold the title of ‘New Zealand’s Most Trusted Confectionary Brand’ while dominating the chocolate market by holding over 50% market share. Tomas has been tasked with creating an “immersive retail experience” at the Whittaker’s store in Auckland International Airport. The goal is to encourage tourists to try Whittaker’s products and introduce their brand while highlighting their competitive edge over competitors like Cadbury.

Rebecca Clarin was hired around the same time as So�ia and Tomas; she is the sort of person who gets stressed easily and worries about things. She wants to make a good impression in her new job and is keen to make the most of this new opportunity and acquire many new skills. Rebecca thinks she is a very hard worker. In the �irst few weeks of her new job, because she is still learning the ropes, she turns up to work half an hour early and stays late to make sure she keeps on top of her workload. She and the rest of her team are managed very closely and are not trusted by management to get their work done without being monitored. Rebecca hates the organisation’s lack of autonomy. She cannot even choose when to take a break or in what order to do her tasks.

Rebecca notices that others in her team often seem to complain about their workload and regularly miss deadlines. Most arrive at work late and, though they seldom leave early, they will take long lunch breaks if they can; they chat with each other, talk on the phone to their friends and surf the internet. Although they don’t work as hard as they could, the team has a pleasant and friendly atmosphere. They will cover for each other if someone is “pulling a sickie” and exaggerate to management how long tasks take so that they can work slowly and take plenty of breaks. Rebecca really wants to be liked by her workmates, she is naturally shy and sometimes �inds it dif�icult to make friends. It does not take long for Rebecca to realise that she must �it in with the rest of her team if she wants them to like her. She particularly admires Olivia, a fun-loving, vivacious, and popular designer who always seems to be surrounded by friends. So, (although it goes against her nature) Rebecca soon begins to let her own deadlines slip and often agrees to go along when they invite her out for extended lunches. She and Olivia become �irm friends, but Rebecca is not happy about not being very productive at work; she becomes very stressed about her own low performance.

Four months later

The senior partners at Bold Horizons notice that Rebecca’s team is not working very hard. They meet to discuss what might be done to enhance performance. The partners decide to initiate a performance-based reward scheme and tell everyone in the team that they must immediately change their behaviour in order to receive bonuses. The goals the team is required to achieve in order to get rewards are not only signi�icantly more challenging than the level at which they are currently performing but also include more ambiguous requirements such as to “improve work quality” and to “try hard”. For example, they are expected to not only design new layouts for many of the print advertisements of Bold Horizons clients but also to learn how to use the new software required for the redesign. Although some feedback is given by management and clients about whether the �inished product is satisfactory, no proper software training is given, and not a single team member manages to master the new software before the �irst deadline passes.

Although some of Rebecca’s team really did try hard to learn the new software and meet the targets set by management, the only way that performance is measured is by whether or not the �inal product arrives to the clients on time. The quality of the work and the time required to complete each job is not taken into account. Rebecca feels that the work is too complex and does not feel supported by management. Her peers are also under much pressure, so she cannot rely on them to help her.

Rebecca becomes increasingly stressed but tries not to think about it, binging on Net�lix shows to take her mind off things – sometimes drinking too much in the evening to cope. Rebecca also receives a visa bill and realises she is $2500 in debt and cannot cover the payments. Rebecca calls her Aunt for advice, only to be told that her favourite cousin has been diagnosed with cancer.

Organisational Behaviour Questions (due week 7)

Delete highlighted text and write your answers below each question

1. Individual attributes (10 marks)

• What behaviours are usually associated with each of the “big five” personality traits”? How would Rebecca score (low or high) on each? Provide evidence to support your answer (5 marks)

Rubrics:

A clear and concise description of each of the big five is provided and an assessment of how Rebecca would score on each dimension is correct. Examples and justification from the case are provided for each of Rebecca’s personality traits

• Using the AUT library databases, find one interesting, peer-reviewed journal article written since 2015 linking emotional intelligence to any aspect of organisational behaviour.
  • Outline the key findings of the article.
  • Reference the article using APA 7^th and submit a “snip” or screenshot of the front page of the pdf (the page with the title and abstract) (5 marks)

Rubrics:

The front page (with title and abstract) of the article is provided as a “snip” or screen shot.

The article is published since 2015, peer-reviewed, and related to both emotional intelligence and OB. The key findings are correctly described. The article is correctly cited with a full APA reference.

2. Groups and teams (10 marks)

• Define group norms using an academic source from your lecture slides. What are the features of Rebecca’s group norms in this case? (5 marks)
• How does generative AI define “group cohesion”? Compare this definition to the textbook definition (Wood et al., 2019; p. 254), cite your sources in APA 7th and describe the group cohesion that exists in Rebecca’s group. Why does Rebecca “realise that she must fit in with the rest of her team if she wants them to like her?” (5 marks)

Rubric:

Delete this checklist once you have completed the question, making sure you have:

1. Defined group norms using a source from the lecture slides.
2. Identified features of Rebecca’s group that contribute to group norms.
3. Used generative AI to define group cohesion, compared it to the textbook definition, and cited it correctly using APA 7th.
4. Describe the group cohesion in Rebecca’s group.
5. Explained why Rebecca “must fit in with the rest of her team if she wants them to like her?”.

3. Stress (10 marks)

• Use the JDCS model to analyse Rebecca’s job. Be sure to incorporate all the elements of the model that influence Rebecca’s level of stress (6 marks)

Rubric:

The JDCS model is correctly outlined, and Rebecca’s experience of work is correctly analysed using the JDCS model of stress.

• Some employees with the same job as Rebecca may have coped differently and not been as stressed. What aspects of Rebecca’s experience are not captured by the JDCS model? (4 marks)

Rubric:

Other factors that influence stress are correctly identified for Rebecca

4. Motivation theory (10 marks)

• Using Adam’s Equity theory, contrast Sofia’s and Tomas’ different responses to realising there was inequity in their remuneration. Be sure to incorporate all the elements of equity theory that led to their different responses (6 marks)

Rubric:

Sofia’s and Tomas’s responses are correctly described. All elements of equity theory are included, along with why these led to the different responses for Sofia and Tomas.

• Describe “expectancy” and, using Vroom’s expectancy theory, analyse the aspects of Rebecca’s job that are reducing expectancy (4 marks)

Rubric:

Expectancy is correctly described. The aspects of Rebecca’s job that are reducing expectancy are correctly identified, along with why expectancy will be low.