Chapter 2: A Brief History of Management

VIDEO TITLE:

“Working for the Best: The Container Store”

Running Time:11:03

Relevant Concepts:

  • Importance of hiring great employees
  • History of management philosophy
  • Open communication
  • McGregor’s Theory X and Theory Y, Ouchi’s Theory Z
  • Management by objectives
  • Situational management

Overview:

By using historical management movements, the video outlines key factors of how the Container Store approaches management.

Discussion questions:

1.Do you agree with the Container Store’s philosophy that one great person equals three good people? Why or why not?

2.How does the Container Store meet employee needs?

3.Equity theory focuses on employee perceptions regarding how fairly they think they are being treated compared to others. Identify the inputs and outputs that employees use to determine equity perceptions at the Container Store.

Suggested answers to discussion questions:

  1. Do you agree with the Container Store’s philosophy that one great person equals three good people? Why or why not?

Students will have individual opinions about whether one “great” person is three times as good as a “good” person. This question can start a discussion as to what a “great person” actually is in an organization.

  1. How does the Container Store meet employee needs?

The video discusses Maslow’s hierarchy of needs, a motivational philosophy that theorizes that people are motivated to satisfy unmet needs. The hierarchy includes (in order) physiological, safety, belongingness, esteem, and self-actualization needs. The Container Store does a number of things to help individual employees meet these needs. Wages are above the industry standard, allowing employees to meet physiological needs. When mistakes are tolerated (instead of punished) safety needs are satisfied. The family atmosphere satisfies belongingness needs, and recognition of a job well done satisfies the need for esteem. Finally, empowering employees and preparing them for advancement helps fulfill an individual’s need for self-actualization.

  1. Equity theory focuses on employee perceptions regarding how fairly they think they are being treated compared to others. Identify the inputs and outputs that employees use to determine equity perceptions at the Container Store.

Inputs are factors that people perceive they give to an organization. Outputs represent the rewards that people receive from an organization. At the Container Store, examples of inputs include employee time and effort necessary to supply exceptional customer service. Outputs include above-average wages, recognition of superior work performance, and promotional opportunities into managerial ranks.