Question
Study the case below and answer the following questions Simpson Wong is an entrepreneur who retired from a large high fashion apparel retail company and
Study the case below and answer the following questions
Simpson Wong is an entrepreneur who retired from a large high fashion apparel retail company and then opens his own clothing retail store located in a TST shopping mall. Simpson was an experienced product designer with solid knowledge and experience in fashion design and apparel industry. However, he does not have sales and management experience.
In the past one year, Simpson has encountered a drop in sales and rapid staff turnover. In a brief chat with the Shop Manager, Anna, Simpson was told that that the retail staff were unreliable - they're missing shifts, coming late & unprofessional when dealing with customers. They even took their phone calls while customers were there. In a subsequent brief questionnaire to retail staff, Simpson found that over 65% of retail staff were unhappy because new staff with less experience received higher pay and better benefit than experienced existing staff. Simpson also noted from the survey that around 25% of retail staff commented that even they work hard but their supervisor did not satisfy with their performance. Among those existing retail staff, over 55% commented that the sales target was so high that they found it was difficult for them to achieve which make them unable to get the quarter sales commission and annual bonus as compared with the total income before the pandemic. It is also reported that around 40% retail staff commented that they found the quarter commission and annual bonus package was attractive, they still may leave the company in the coming 3 months.
You are being appointed as a management consultant to give recommendation to Simpson for a better people management of the company.
3a. How are you going to comment on the motivational level of the retail staff. Support your answer with relevant examples from the case. (4 marks)
3b. From your knowledge over any TWO motivational theories, critically explain the level of motivation in Simpsons company. (16 marks)
3c. In order to boost sales and enhance performance of retail staff, what kind of advice you may propose to Simpson according to the Expectancy Theory of motivation? (10 marks)
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