Reference no: EM133162347

Cleary & Sons Custom Windows

Steve Donald started working as an assistant project supervisor at Cleary & Sons Custom Windows (CSCW) just over three years ago. It had been a year now since he sat down with the owner, Chip Cleary, to discuss his performance and ask for a raise. Steve had asked for a raise twice before during his time at CSCW and received one each time. Steve dreaded approaching Chip once again with yet another meeting request. He felt resentful that it seemed to be up to him to initiate the discussion, especially given how well he was doing in his role as assistant project supervisor. To make matters worse, the previous two meetings had been awkward and uncomfortable. 

At their meeting last year, Chip had given Steve the use of an old company car and a small raise. Steve thought it best to wait another full year before approaching the owner again about his compensation. Steve generally enjoyed the work he was doing at CSCW and was having success by all accounts. Over the last year, he had worked on several successful window installation projects that added to the company's list of satisfied customers. Many of these customers, including large corporate accounts, had contacted Chip Cleary directly to compliment Steve Donald's work. CSCW manufactured and installed custom-made windows for individual clients, as well as for homebuilding companies that often required windows installed for a hundred or more homes at once. These large customers were valuable to CSCW, but tended to be very demanding and difficult to work with. Many of the project supervisors struggled to remain patient with these difficult clients, even though they knew that there was an expectation from Chip that maintaining customer satisfaction was a top priority. 

Steve was certain that Chip would be eager to reward his impressive performance with a promotion and a pay raise. In fact, he assumed that it would be Chip who would request a meeting. But after two months of waiting, no such request was made. Steve's coworker and fellow assistant project supervisor Leonard recently told Steve that Chip requested a meeting with him a few months ago and that he received a raise. Leonard and Steve had the same job title and joined CSCW at the same time, so it was puzzling to Steve why both employees were not considered for raises at the same time. To make matters worse, Steve did not consider Leonard's performance to be as good as his, as he had had several customer complaints during the last two quarters and also went over budget on a recent project. Steve told Leonard that he had not been contacted by Chip about his performance or a raise. Leonard just nodded when he heard this and then changed the subject. This conversation was troubling to Steve and was the impetus he needed to go ahead and request a meeting with Chip.

The meeting with Chip was booked during the busy summer season. It had been challenging to find time, but Chip finally agreed to meet for 15 minutes on a Friday afternoon. They had their meeting outside on a bench in front of the CSCW office.

Chip: "Hey Steve, glad we could finally find a time to meet. I recall from your email that you wanted to set up this meeting to chat about your performance. Let me just say that I think you are doing great here. I still can't believe how quickly your team finished up the work on the Sullivan job. The owner over there sent me this bottle of wine. Here-you take it as a token of appreciation."

Steve: "Hmm. OK, thanks. I don't drink wine, but I appreciate it. In addition to my performance, I want to talk to you today about my pay. You see, I..."

Chip (interrupting): "Yes, yes, pay. You are making, what? Must be $25 an hour, right? How about we bump you to $27 an hour? I want to make sure things are fair and equal around here."

Steve (stunned): "Actually, I am currently making $21 an hour. Remember last year when you increased my rate from $20? 

Chip paused for what felt to Steve like a full minute. Finally, he responded.

Chip: "$21? That is your hourly rate? Are you sure? Hmm. That doesn't sound right to me. Hang on a second, let me boot up my laptop and check my records."

Steve tried to make some small talk while they waited for Chip's laptop, but they both felt awkward and there were some uncomfortable silences as Chip tried to get the information he was looking for. 

Chip: "Well, would you look at that? You were right after all. It is $21 right now. OK then, I can offer you a raise to $22."

Chip quickly slammed his laptop closed and tried to change the topic to last night's basketball game between the Raptors and Clippers. Steve felt a wave of anger come over him. He was pretty sure his face was getting red and he noticed his breathing getting heavier. Chip continued to prattle on about the basketball game and stood up to leave the meeting. 

Steve took a deep breath and gathered himself for a moment. He felt that his anger was justified, but reminded himself that he was talking to his boss and needed to focus on his goal for this meeting: negotiating a fair raise. Chip did not seem to notice Steve's discomfort as he started walking toward his car.

Steve: "Chip, with all due respect, I think I deserve more than $22 an hour. For one thing, you just said that $27 sounded fair."

Chip: "Did I say that? I guess I did, didn't I? Well, that was when I was, um, working under different assumptions, and um, that was a mistake, because, um...well, you know what I mean, right Steve? I have to keep things fair for all of our team members. $22 is all I can do for you right now."

Steve: "To be honest, no-I don't know what you mean Chip. I deserve a raise man! If there is some problem with my performance, then fine. But I think I am the best assistant supervisor you've got, and frankly I am doing lots of my supervisor's work for her. I think I want $27-that would be fair as far as I see it"

Chip seemed rattled and did not like the direction the conversation was going. He continued walking to his car and mentioned something about needing to talk to the accounting department. As he was closing his car door, he yelled back to Steve that he would get back to him and then drove away.

Steve anger was replaced with a feeling of dejection and failure. He stood watching Chip's car driving away as his mind raced. Steve had built up some solid expertise in this industry. Even so, he really did not have any other comparable employment opportunities.

Ten days past, and Steve did not hear anything from Chip. Steve told himself that he would wait another week and see if his next pay cheque showed a pay raise. When he clicked on his balance a week later, he saw no change. He sat in silence at his desk wondering what to do next.

When answering the following questions, be sure to provide details from the case to serve as evidence.

1. Using the processes proposed by Equity Theory, describe how perceptions of fairness and may differ for Steve (4 marks), Leonard (4 marks), and Chip.

2. How do you think Steve would describe his overall job satisfaction at CSCW? Using the EVLN model of job satisfaction, which option do you think Steve will take? Why?

3. Identify evidence of one of the cognitive biases discussed in your textbook in this case.

4. Does Steve's job involve high levels of emotional labour? Why or why not?

5. Using the model of emotional intelligence from your textbook, describe Steve's level of emotional intelligence.

6. Analyse the case study from the perspective of the MARS Model. Using what you know about motivation and incentive systems, provide two recommendations that could be implemented by Chip to address this problem in the organization.