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ISBM – A Food specialty is presently headed by Nandan Vinayak.

International Human Resource Management


Case study (20 Marks)

A Food specialty is presently headed by Nandan Vinayak. The company is doing business very well and its profits are on a continuous rise. The company has maintained a steady profitability, sales, and performance track record. The employees are mostly less paid and less educated. Most of them are semiskilled and come from nearby rural areas. Mr. Nandan is quite happy with the existing situation. He has recently launched an expansion program that has fetched him grand success. The new products of the company are highly appreciated. In discussion with his closest colleagues, he decided to institute a program of employees rewarding employees with silver potteries. The types of silver wear were to vary from employee to employee depending on his tenure of service and cadre in which he has served. Mr. Nandan felt that he would receive a grand reception on this announcement. The announcement was made on 12th October to offer Diwali Gifts to the employees. Instead, after he cheerfully presented his plan, he faced a silent group of weary workers staring back at him in near disbelief. Most of them were nervous and unhappy. They thought that this was not what they expected for the tremendous labor put in as a reward. Mr. Nandan was puzzled at the pathetic response of the workers.


Answer the following question.


Q1. Analyze the case


Q2. Was the incentive scheme wrong in any way? Winning with Bureaucracy at McDonald’s (20 Marks)