Fair and Lovely Illusion of a Murky Knowledge Studio*

Fair and Lovely Illusion of a Murky Knowledge Studio

New Girl on the Block

Namita was elated after receiving an offer letter from Knowledge Studio, a Mumbai based organization. Knowledge Studio is a trusted player in training and simulator manufacturing for marine industry across the world. It was after clearing a battery of interviews and psychometric tests that she finally got selected as a Management Trainee in the organization. The company had advertised for two vacancies only and there were more than sixty applicants for the position. Hence, she had reasons to celebrate her success. She was greeted with warm smiles and a little party by her colleagues and seniors on the first day of her work. “And this is your visiting card. Welcome to the family,” said Manish, Senior HR Manager....................

Journey of Knowledge Studio

Knowledge Studio is a Mumbai-based family-run organization. It is a leading name globally, in training and simulator manufacturing for marine industry. Started by Capitan Shahid Kareem (Captain Kareem) in 1995, the organization has diversified from just training the mariners to developing simulators for the industry. Captain Kareem’s sons Naveed and Akram, who joined the organization ten years back, have ambitious plans of making Knowledge Studio charter in top ten ranks of Fortune 500 companies and be the best organization to work for. It has offices in Delhi and Chennai...........

End of Honeymoon

It has been more than three months since Namita had joined Knowledge Studio. This was her first organization. She liked getting ready for her work. Although her residence was a little far from her place of work, long hours of travel did not dampen her spirit. She enjoyed working on every new assignment given to her.

A visit to Manish’s cabin, before leaving for the day, had become a part of her schedule. “But have you conveyed to him that I need to meet him urgently? I have been coming here so often since last few weeks and every time your answer is a negative. Please let me know when can I meet him”, complained Namita to Murthy, the Personal Assistant to Manish. “Madam, sir is too busy these days. I have conveyed your message to him..........

Assignment Questions

I. Why is there a sudden exodus of star performers despite highly competitive compensation. (Here the instructor can facilitate the discussion towards the role of cosmetic employee engagement practices.)
II. What is the impact of weak/ambiguous organization communication on employee turnover?
III.............

Fair and Lovely Illusion of a Murky Knowledge Studio

Synopsis

Knowledge Studio’s case provides an opportunity to develop a holistic understanding of the typical HR issues in a family-run business. In this case, the readers and discussants get to know that higher compensation and parties at the drop of hat can hardly keep the employees involved and stay put for long when they are always troubled by ambiguity in roles, relationships, procedures and expectations. Too much of homely environment and excessive focus on results/outcomes work at cross purposes – enough to thump down professional star performers. The case opens a window of discussion on cost of employee turnover for family run businesses and why should they worry about doing course correction to retain their talented manpower.

This case can be used for understanding HR issues in family-owned business organizations. The case explores how employees get disenchanted with the homely environment at the workplace and nurture a thought of moving out of company, while withholding discretionary efforts in carrying out assignments. The case also helps explore the need of unambiguous HR policies and practices, role clarity, and reporting relationships. In absence of all these, employees are most likely to be frustrated............

Expected Learning Outcomes

• • Develop an understanding of the consequences of an informal and ambiguous HR practices on employee dissatisfaction especially in context of family-run businesses
• • Evaluate the direct and indirect cost of cosmetic employee engagement strategies
• • Discuss the role of internal organizational communication on employee turnover
• • Explore the cost of employee turnover

Prerequisite Conceptual Understanding/Before the Classroom Discussion

Participants should be encouraged to study the following books so as to make meaningful contribution to case discussion and analysis:

• • Machado, C. and Davim, J.P. (2014), Work organization and Human resource management, Switzerland: Springer
• • Kaslow, F.W.(2006), Handbook of family business and family business consultation: a global perspective, New Youk: Routledge
• • Gopalkrishnan C, Muncherji, N. and Dhar, U. (2009). Creating wealth through strategic HR and entrepreneurship, New Delhi: Excel Books

Assignment Questions

• I. Why is there a sudden exodus of star performers despite highly competitive compensation. (Here the instructor can facilitate the discussion towards the role of cosmetic employee engagement practices.)
• II. What is the impact of weak/ambiguous organization communication on employee turnover?
• III. ...............

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