Leadership Development Exercise

The Flat Panel’s culture has various functional aspects. First, the paternalistic atmosphere gave the company “more of a family feeling”. Moreover, “a high degree of company loyalty” and “camaraderie” pervade FPNA. Engineers’ anti-laid-back style everyday work attire also demonstrates their commitment to work. This kind of culture has positive effects that contribute to “talent retention” generated by loyalty, as well as “collaboration” of “family members”.

On the other hand, the dysfunctional aspects of Flat Panel’s culture consist in decision-making biases that subject to anchoring and adjustment, as well as a relatively conservative atmosphere that resists changes. President Park, referred as “Papa Park” in this paternalistic atmosphere, may become an “anchor” due to his super strong influence both in formal and informal social control, causing biases in management’s decision-making. Moreover, employees’ strong sense of belonging and identity gives rise to more “anti-bodies that reject anything new” including changes and new employees, especially those who come from outside of the original “family”; the termination of Chen Lee’s position is a good example.

The reward system of Flat Panel can motivate employees to some extent. In horizontal comparison, “Flat Panel’s pay and benefit package were attractive compared to similar firms”, contributing to talent retention. The belief that “you could advance quickly if you impressed your supervisor”, as well as the salary matrix related to salary adjustments, can give employees “motivation 2.0” – say “stick and carrot”.

However, the system also has conspicuous systematic errors. The criteria of salary matrix that subject to managers’ personal evaluation for each employee, resulting in biases, unfairness and doubts. Also, the reward system seems fail to provide more kinds of motivation other than money to inspire employees’ intrinsic motivation.

One challenge that Taylor might have encountered could be a...