Mountain West Health Plan Case Analysis Essay

PROBLEM STATEMENT

a. Fact OF THE CASE:
Mountain West Health Plans. Inc. – Denver-based wellness insurance company Martin Quinn – Senior Vice-President for Service and Operations Evelyn Gustafson – Former and retired Director of Mountain West Customer Service Department. Her slogan “always put yourself in the subscriber’s shoes” . In her clip. there were merely 10 % turnover rates in the section compared to the typical 25 % to 45 % rate for client service representative. She steadfastly resisted all efforts to increase efficiency and lower cost in the section where wages accounted for stopping point to 70 % of the budget. Erik Rasmussen – freshly hired Director of Customer Service. the replacing of Ms. Evelyn. He is a immature adult male in his late mid-twentiess with a glistening new bachelor’s grade in concern disposal. The direction tasked him to convey down the cost on the section. Under Mr. Erick. the company. for the first clip measured the representatives’ public presentation and used package that generated machine-controlled work agendas based on historical information and projected demand. Besides. the company cut back on preparation. The section cost was eventually heading downward. though section morale was downward. with the current turnover rate mounting at 30 % . Besides having more ailments from endorsers of inaccurate information from inexperienced or representative who sounded rushed.

B. KEY PROBLEMS
How Mr. Quinn will turn to the issue of low morale among the employees in the client service section and its high turnover rate. while maintaining and run intoing the end of the company to increase efficiency and lower the cost incurred in the section?

KEY OBJECTIVES
To run into the company end to increase the efficiency of the client service section and lower its cost. To continue the morale of the employees and to cut down turnover rate from 30 % to 10 % .

Analysis OF CAUSES
A. Analyzing the leading and direction manner of Ms. Evelyn and Mr. Erik. including their strengths and failing. and their beginning of influence:

MS. EVELYN GUSTAFSON
MR. ERIK RASMUSSEN
Behavioral Approach
Peoples Oriented – attending to people
Undertaking Oriented – attending to task
Leadership Grid
State Club Management – Thoughtful attending to the demands of people for fulfilling relationships leads to a comfy. friendly organisation ambiance and work tempo Authority-Compliance Management – Efficiency in operations consequences from set uping conditions of work in such a manner that human elements interfere to a minimal grade. Strength

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Consideration and motive of the demands of her subsidiaries. a happy work environment as a consequence of her good interpersonal relationship. Valued the involvement and personal development of her subsidiaries. Focus on productiveness and efficiency in the achievement of organisational ends. Failing

Uncontrolled cost in her section consequence of inordinate flexibleness and excessively much focal point on employees’ personal concern. Inability to analyse the internal civilization. less concern of his subordinates’ personal development. involvement and demands. Beginning of influence

Legitimate power – authorization granted from a formal direction place in the organisation. Reward power – stems from the authorization to confer wages on other people. Referent power – comes from an individual’s personal features that command others’ designation. regard and esteem. Legitimate power and Coercive power – refers to authorization to penalize or urge. and the antonym of wages power. Leadership of Ms. Evelyn – She is focus on people. extremely concerned on the demands and involvement of her people. She believes that when people are happy. contented and comfy they will work hard to carry through the organisation ends. She sees that it is easy to derive the support of people. when its leaders Fosters respect and just intervention. considers their demands and involvement. and shows trust in them. Beginning of influence – From the authorization of being a director. she has entree on giving wagess e. g. . flexible programming. frequent interruptions. offering plentifulness of preparations chances. She used this to derive influence on her people.

Leadership of Mr. Erik – He is more concerned on the achievement of ends instead than people. He believes that employee’s demands plays secondary to the demand of effectual and efficient work topographic points. His type of leading positions that “employees are merely tools in carry throughing task” . Beginning of influence – from the legitimate power given to him by direction. he guarantee to acquire things done. and with the accomplishment he got support from the top direction.

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B. It is besides of import to observe the Style of Followership of the subsidiaries of these foremans. to farther analyse the bing concern of the section. The employees in the client service section could be describe as: a. Dependent noncritical mind – does non see possibilities beyond what he or she is told. does non lend to the cultivation of the organisation. and accepts the supervisor’s thoughts without thought.

DEVELOPMENT AND SELECTION OF ALTERNATIVES ( ADVANTAGES AND DISADVANTAGES )

Option
Advantage
Disadvantage

To urge Mr. Erik to a peculiar leading preparation that would develop his leading accomplishments. He will be more effectual leader as he develops an synergistic leading manner. Measurement is decrease of turnover rate in his section. It would somehow take clip. as leading manner can non be acquired nightlong.

To give Mr. Erik another undertaking to carry through: to advance schemes that would increase efficiency and effectivity of his people and at the same clip minimise turnover rate. Bing a undertaking oriented leader. Mr. Erik will guarantee that he will carry through this undertaking. which will do him recognize that he would achieve it by being concern on the involvement and demands of his people. If Mr. Erik will take it another manner about. he might take a firm stand on his authorization to carry through the new undertaking.

Job Enrichment – giving employees control on the resources in executing their undertakings. give them elbow room on how they will carry through their undertaking. give them chance to turn. and give them a set period to carry through it. Employees would hold greater sense of duty with their engagement and committedness on the undertaking. Increase motive

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Contributes high morale
Low turnover
High public presentation
Management may lose control on employees

RECOMMENDATIONS/CONCLUSION:

Recommending combination of alternate 1 and alternate figure 3 – Job Enrichment. this option would be more effectual. than the bing statistical criterions that emphasized velocity. entering the client service calls. utilizing of package to bring forth machine-controlled work agendas. This will advance high morale. as you will be sing people large portion and subscriber in the achievement of undertaking and non as a “tool” merely. While at the same clip. Mr. Erik undergoing a leading preparation to heighten his people accomplishments. being immature. he is more focal point on advancing himself as winner. It is but typical to immature professional. but as he goes along. he will get down to develop his leading manner with balanced accomplishments on both people and undertaking.

WORKPLACE APPLICATION
In my company. I observed different manners of leading. The most outstanding in my bosom. is the leading manner of my immediate foreman. She is adult female. her immediate subsidiaries are both male. I agree on the adult females rated higher about in all facet in leading ability as shown in Gender differences in leading behaviours.

I besides described her as follows with the undermentioned state of affairss that she exhibits as a leader:

Servant Leader – she fosters altruism to function both people and organisation. Her personal vision “to have one million employees” . she even gave off to her people some cherished personal things e. g. . cellular telephone. bags. places. apparels.

Authentic Leader – she demonstrate high degree of passion and committedness. leads with her bosom. have compassion for others. hold the bravery to do hard determination. she loves to be surrounded by good people and lend to their growing. She is ne’er after on any virtue or recognition. she preferred it be given to her people. She ever treats preparations and development of her people as investing. She sends me here as full bookman.