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Essilor Korea

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ORGANIZATIONAL BEHAVIOR
Essilor Korea Case Study Analysis
-Bhagyashree Deka (15201599), MSc SMA

The foremost problem for the newly appointed Co CEO Shawler in the predominately Korean speaking company was their unwelcoming and dispiriting nature. Everything Shawler did was misunderstood and taken as a threat or seen with suspicion. The Korean people were not open to change neither were they willing to explore their creativeness or innovativeness which was of utmost importance for the branded segment of their business. There was never any two way conversations in the team meetings and the Korean people would always expect to be told about what they are supposed to do. Their disinterest and indifferent attitude to Shawler’s dream of making Essilor Korea the number one branded lens company in Korea was very discouraging and demotivating for Shawler. Also, only one person in the team assigned to him spoke English which made communication very difficult. This was a major hindrance for Shawler to unite the team and the company towards a common goal or vision. Moreover the President or Co CEO, Mr. S.J Lee was very skeptical about everything Shawler did or intended to do. He would hardly cooperate with Shawler making it extremely difficult for Shawler to work. S.J Lee would also go to the extent of undermining Shawler’s authority by issuing conflicting orders.
For instance, when Shawler wanted to hire three qualified English speaking people for the customer service, training and development and logistics department respectively, S.J Lee went ahead and imposed budget restrictions that made it impossible for Shawler to hire people with the skill sets he was looking for. Instead he had to recruit people who were two levels lower than what he had expected. Funny thing was that Shawler was seen as the problem for all of this and the blame for the need of English speaking people was put on Shawler because he could not speak Korean. Furthermore and most importantly, the Koreans were never willing to embrace Shawler’s dream of getting Essilor Korea at the top position in the Korean market.
The problems faced by Shawler can be routed to the extensive cultural barriers and conflicting leadership management styles between the two companies. The Koreans were very adamant and stubborn and they only wanted to stick to what they were already doing or they had to be spoon fed with what they were supposed to do. Also unfortunately Shawler’s policies and way of doing work did not come across as a very productive method to the Koreans. Due to these differences, Shawler’s entire attempt to introduce change, despite his best efforts and continuous hard work had failed.
During his tenure, Shawler always concentrated on getting the right members for his team.
Even though his intentions were clear here, it did not come across well with the Koreans. It

looked like Shawler wanted to make his own English speaking team and hence it rose suspicion and mistrust among his other non English speaking team members. Additionally every time
Shawler had a conflict with S.J Lee, he would approach C.T Lee for advice. Shawler might have been turning to C.T Lee for the interest of the company; however, it came across as a threat to
S.J Lee since it meant undermining his decision and authority and approaching the stakeholders to get the proposals accepted.
Since all his measures and attempts to get a positive outcome from his team members and the merger failed miserably, I believe Shawler should first concentrate on building trust and an open communication system in the company. Good communication is vital in every organization and every relationship. Shawler should put in all his efforts to make his team members comfortable enough so that they can put in their opinions without the fear of being judged or criticized. When there is any disagreement, all steps must be taken to arrive at a mutually decided decision rather than imposing authority. This will increase the transparency among the people in the company thereby leading to a more understanding and committed team. Also Shawler should understand the cultural differences here and take things a little slow with the Koreans so that it gives them a chance to understand and respect Shawler’s way of work. Finally Shawler should really put his best foot forward to change and mend his relationship with his Co CEO S.J Lee. A tiff between the CEOs doesn’t only impact them but also the growth and atmosphere of the organization and its people. I believe there are two ways of mending their relationship. Either the management rules should be set again where both the CEOs are given equal power in terms of authority and freedom to take a decision or they bring in the concept of negotiation to settle their conflicts. The former solution would again however have its own repercussions. Changing the management strategy and giving equal power to Shawler might not be taken well by S.J Lee. It might make him all the more upset and disagreeing. Hence the best bet in this situation would be for Shawler to introduce the concept of negotiation between them. Negotiation refers to “the deliberate interaction of two or more complex social units which are attempting to define or redefine the terms of their interdependence” (Walton and
McKersie, 1965). The lack of interdependence between both the CEOs led to poor planning, poor management and consequently affected the growth and sales of the organization. Shawler and S.J Lee should sort out their differences and adopt the concept of negotiation. It will facilitate the decision making process with mutual respect and trust. This in turn will ensure equality between both the CEOs and promote acceptance and thoughtfulness.
SOURCES
Walton, R.E. and McKersie, R.B. (1965), A Behavioral Theory of Labor Negotiations: An Analysis of a Social Interaction System, ILR Press, Ithaca, NY.

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