Reference no: EM133158221

HR management Case analysis for a company. 

Case Study: Cross-Cultural Issues at Aero

Imagine that you have recently been hired as a human resources consultant by a Canadian multinational enterprise (MNE) called Aero. Aero designs, manufactures and sells commercial airplane engines and fuselages worldwide. It currently has over 1,000 employees in its three locations, including 500 at its global headquarters in Canada, 300 at a manufacturing plant in the U.S., and now over 200 at its newest manufacturing plant in Mexico.

The firm is having problems communicating and sharing its corporate values and policies with its newest employees in Mexico. The only experience Aero has had in opening a new subsidiary prior to Mexico was in the U.S., where corporate values and policies were taken up by American employees with little difficulty. The problems in the Mexican plant seem to center around poor communications between the managers, who are mostly Canadian, and its new employees, who are mostly from Mexico.

"We want our corporate culture to be the same everywhere," explains Aero's CEO, Ms. Mary Avery, to you over lunch. "We want everything we do in Canada to be the accepted, standard practice across all of our locations, but that just doesn't seem to be getting across to our employees in Mexico." Avery continues by telling you that all new employees are trained in Aero's corporate culture via discussions with their managers and corporate brochures/reading materials. She says that her Canadian managers in Mexico are frustrated with the Mexican workers' abilities to learn Aero's culture and that, as a result, productivity at the plant has been negatively impacted.

You investigate the issue by speaking with managers and employees at the new subsidiary in Mexico. The managers complain that employees at the new plant do not speak their mind very often, and often seem to stress harmony with each other over learning Aero's culture. Managers are also frustrated that staff meetings frequently start late due to the lateness of employees. The employees, who are younger than their managers on the average, are frustrated that they are not told exactly how to do their tasks; instead, they are told to read their employee manuals for guidance. They are concerned that Aero managers are too impatient with them about learning the policies. They feel they have been left to their own devices to figure out how things work, which often causes them to stay late at work. What is more, staying late on their shifts often causes them to be late for staff meetings, where they are often berated by managers for not acting like "good Canadian employees".

After your examination you become convinced that the problem Aero is experiencing relates to culture, and you prepare your report accordingly.

To analyze your case, follow the logical approach outlined in the seven steps below.

Step 1: Problem Definition: A case seldom involves one clear-cut problem. Your task is to:

• determine the symptoms, which require immediate attention; identify the fundamental issues and causal factors giving rise to these symptoms. It is important to separate the immediate problems from their more basic causes. For example, the immediate problem may be a high rate of absenteeism, while the more fundamental issue may be a poor motivational climate. How you define a problem determines how you go about solving it. A short-term solution for absenteeism is likely to be different from solutions that attempt to deal with motivational climate. Be sure to identify both the symptom and, more importantly, its underlying cause.

Step 2: Justification for Problem Definition: In this step, you need to review the information you have about the problem. You may need to make some inferences to fill in gaps. Clearly label what is inference and what is factual. Do not be afraid to assume, but clearly state the assumptions you are making. You should make assumptions on the basis of your knowledge of typical managerial practices, and they should be consistent with the facts about the case, even though your facts may be somewhat limited. Managerial decisions are often based on limited information. In fact, practicing managers find that many of their decisions have to be made quickly on the basis of limited information.

Step 3: List Alternative Courses of Action: Be creative. Jot down ideas as they come to you. List as many ideas as you can without evaluating them or censoring anything. You can always cross them out later. The point is to let your imagination take over.

Step 4: Evaluate Alternatives: Look critically at the alternatives you came up with in Step 3. List the advantages and disadvantages of each alternative in terms of criteria that seem appropriate.

Step 5: Review: Reread your notes and think. This may be a good time to let the case sit for a while. Get back to it later when you have a chance to digest all the data.

Step 6: Draw Conclusions, Make Recommendations/Decisions: Select the alternative you would recommend and justify your choice. Include specifics about the implementation of your recommendation: who should do what, when, and how.

Step 7: Follow Up and Evaluate: Given the limitations of a classroom setting, you cannot implement your recommendation and evaluate its actual impact. However, in this step, you will describe how you would set up an evaluation procedure. Suggest a timetable and methods for the evaluation process. State who should do the evaluating.