Use open systems theory to explain what occurred at Napanee Beer Co. Begin with a brief description of open systems theory as it applies to both the external and internal environments.

There are various types of theories that people may look at to describe how business organizations work. In this text, a main theory that is used is the open systems perspective. This theory helps companies and consumers understand how open systems depend on resources such as raw materials, equipment and job applicants in order to transform inputs to outputs (McShane & Steen, 2012, pp. 5). The external environment is a place where companies may come up with particular laws and regulations, which determine how companies are run. Resources are also used to create the output, which is then used, in the external environment. Internal environment consists of various teams and departments also known as subsystems. An example presented in the book is the Canadian Tire store. The store in Smiths Falls is a subsystem of the Canadian tire chain but the store itself has various subsystems as well (McShane & Steen, 2012, pp. 6).

In this particular case, Napanee Beer Co. operates with dependence on the beer production department. This is a prime example of an open systems perspective. An open system relies on other environments for necessary materials to run a business. Napanee Beer Co. had a great marketing plan but did not know how to thoroughly execute it. Their main resource is the production department who supplies the company with the amount of beer and the quality of beer. Without informing the production department of their plan, their business was hurt very badly. There are also rules and expectations that might need to be discussed regarding exports or number of outputs (McShane & Steen, 2012, pp. 6). Since all this was not thought of ahead of time, the company had to find a way to compromise. Due to selling lower priced beer, many customers were faced with disappointment and dissatisfaction.

1) The sales office of a large industrial products wholesale company has an increasing problem: salespeople are arriving late at the office each morning. Some sales reps go directly to visit clients rather than showing up at the office as required by company policy. Others arrive several minutes after their appointed start time. The vice-president of sales doesn't want to introduce time clocks, but this may be necessary if the lateness problem isn't corrected.

Using the MARS model of individual behaviour, diagnose the possible reasons salespeople may be engaging in this “lateness” behaviour. Begin with a brief description of the MARS model. Use your own words (paraphrase) and remember to cite all sources using APA style.

The MARS model is a representation of all the influences on an individual’s behavior and their level of performance in a particular workforce. The acronym MARS stands for motivation, ability, role perceptions and situational factors. After researching for the past century, these four variables represented how behavior and performance are affected. Motivation is a force found within a person, which guides the individual’s direction (McShane & Steen, 2012, pp. 29). Many people are motivated by different ideas. For example, people can be motivated by peers or family, or by an incentive offered at work. Employee motivation can be seen in three ways: the direction or path they choose to focus on, the intensity of focus on work and, an employee’s level of persistence (McShane & Steen, 2012, pp. 29). Ability is an individual’s learned capability that one requires to complete a task at work (McShane & Steen, 2012, pp. 30). This may vary from person to person depending on how quick an individual is capable of picking up on new tasks. Some of the focuses on ability are seen in physical and mental aptitudes of people as well as the learned capabilities (McShane & Steen, 2012, pp. 30). Competent individuals usually show great success in their work performance. When going in for interviews, most jobs try to match job descriptions to the person’s competencies to choose the right candidate (McShane & Steen, 2012, pp. 31). This can be done either by putting them to small tests, training workers or giving them responsibilities that are suitable to their current capabilities (McShane & Steen, 2012, pp. 31). Last but not least, role perception represents how well a person understands the duties assigned to them. Situational factors are those that affect an employee regardless of how motivated or capable the person is when it comes to their job. Their level of performance is dependent on the situation. Many factors such as inconsistent warnings across the workplace or unclear situations at work settings can affect an employee’s behavior (McShane & Steen, 2012, pp. 32).

MARS model applies in this case because many of these employees are not disciplined or engaged in their job. One of the main reasons for employees to get into work late may be their lack of motivation to achieve success in their position. This may also be caused by situational factors due to lack of interest the company shows to their employees. These employees may be competent but the workplace may not be giving them clear instructions of what needs to be done around the place. The company may also need to take the time out to better understand why employees are engaging in this “lateness” behavior.
When the Royal Ontario Bank (ROB) acquired a major investment firm, senior executives noticed hostilities forming between the financial analysts in the investment company and the bank's marketing people who provide marketing expertise for the investment firm's mutual funds and other investment vehicles. The marketing staff say that the finance types wouldn't know a customer if they stepped on one. They partly attribute this to the poor marketing expertise in the investment firm before the bank bought it. The finance types, many of whom have graduate degrees from top universities, privately complain that the marketing types don't have enough brainpower to turn on a light switch. Use what you know about social identity and the processes of categorization, homogenization, and differentiation to explain why these hostilities might exist. Start with a brief definition of Social Identity Theory.

Every individual has their own identity and may see themselves in a different way in comparison to others. At the same time, in greater social groups, individuals take on a social identity, which categorizes them into particular groups. This is what we call a social identity theory. People begin to define themselves by making a connection with an emotional attachment or a group they belong in. For example, we are usually easily identified by our gender, age and ethnicity in a large social setting. (McShane & Steen, 2012, pp. 68). Many of us may also identify ourselves depending on where we work or by an occupation title. People with higher status occupations usually define themselves by what they do such as a doctor or a lawyer. Others may refer to the place they work for if the company has a reputable name (McShane & Steen, 2012, pp. 68). How the world perceives people have become more important to individuals than how they perceive themselves. Those who focus on self-identity tend to speak out against the majority and have a harder time working with teams (McShane & Steen, 2012, pp. 69).

In this case, there are already two distinct groups that are being mentioned. The marketing staffs are the ones who provide marketing expertise for the investment firm and the financial analysts are the ones who play a big role in choosing the right investments. There is a stereotype that is linked to both the analysts and marketers. It is believed that the marketers feel as if the analysts are only focused on making money and don’t see the people aspect of it. The analysts believe they are more logical and have more brainpower to run this investment firm. This stereotyping leads to categorization where the two groups begin to compare each other and represent distinct groups. The marketing staffs categorize themselves as marketers and have a group identity just as the financial analysts. Due to this, when other people take a look at the marketing staff and financial analysts, they assume these people within each group have similar characteristics. Homogenization is when we think all people in one group collectively have the same attitudes and characteristics. (McShane & Steen, 2012, pp. 73) Differentiation comes into play when groups tend to think their group has more favourable characteristics than another groups. By attaching negative stereotypes to other groups, it motivates people within the group to stick to their social identity and believe they are better than others. Differentiation is seen in this case where marketers put down financial analysts by stereotyping everyone in that job role and vise versa. (McShane & Steen, 2012, pp. 73)