Week 4 Discussion Responses Organizational Behavior 050886

Week 4 Discussion Responses Organizational Behaviorweek 4 Discussion

Summarize the mistakes made by Ron Johnson in his attempt to turn JC Penny around and analyze the alternative approaches he could have taken based on organizational behavior principles. Discuss how decision-making processes and employee involvement could have impacted the outcomes, and include insights from relevant organizational behavior theories and models.

Paper For Above instruction

Ron Johnson’s tenure as CEO of J.C. Penney is often cited as a textbook example of strategic missteps rooted in a failure to incorporate fundamental organizational behavior principles. His approach was largely influenced by his successful tenure at Apple, leading him to believe that the strategies that worked for the technology giant would seamlessly translate into the retail environment of J.C. Penney. However, this assumption overlooked critical distinctions between the industries, customer bases, and organizational cultures, ultimately culminating in significant failures. Exploring these mistakes through the lens of organizational behavior reveals opportunities for alternative, more effective management strategies grounded in participative decision-making, employee engagement, and adaptive innovation.

One of Johnson’s primary errors was his reliance on past successes without thoroughly diagnosing the unique problems facing J.C. Penney. According to McShane and Von Glinow (2015), effective decision-making begins with problem identification and data collection. Johnson bypassed this crucial step by presuming that his existing knowledge from Apple would suffice, leading to the development and implementation of strategies—such as eliminating sales and coupons—that conflicted with customer expectations in the retail sector. Retail customers are highly responsive to discounts, and failing to recognize this key motivator demonstrated a neglect of empirical customer feedback.

Moreover, Johnson’s leadership style exhibited a deficiency in participative decision-making, a core element of organizational behavior that emphasizes involving employees and frontline staff in strategic decisions (Robbins & Judge, 2019). Instead of soliciting insights from store employees, managers, or even customers, Johnson relied heavily on his internal executive team, all of whom shared similar backgrounds and perspectives—many with prior Apple experience. This homogeneous group’s collective mindset limited the diversity of thought and inhibited innovation, exemplifying groupthink tendencies that can prevent critical evaluation of strategic options (Janis, 1972). The absence of employee involvement and customer input resulted in a top-down approach that alienated staff and failed to address the real needs of the retail environment.

Another critical mistake was a lack of adaptive change processes. According to Lewin’s Change Model (Lewin, 1947), effective change management involves unfreezing current behaviors, implementing change, and then refreezing the new behaviors. Johnson’s strategy skipped vital steps such as pilot testing and soliciting feedback during implementation, which are essential in managing resistance and ensuring the change aligns with organizational culture. For example, attempting to replicate Apple’s minimalist store layout and sales philosophy without testing them in the J.C. Penney context ignored the importance of organizational culture and customer behavior patterns specific to retail shopping.

Furthermore, Johnson’s failure to foster a learning organization stifled systemic innovation. Linda Hill (n.d.) describes innovation as a collective effort—collective genius—that requires cultivating a culture where employees are encouraged to experiment, reflect, and learn from failures. Johnson’s disregard for store-level insights and customer preferences deprived the company of this collective wisdom, reducing innovation to a top-down process and limiting responsiveness to market demands.

A more effective approach rooted in organizational behavior principles would have emphasized participative decision-making and frontline involvement. Johnson could have instituted mechanisms such as focus groups, employee suggestion programs, and pilot testing to gather diverse perspectives. Embracing a culture of open communication and psychological safety, as described by Edmondson (1999), would have allowed employees to voice concerns and suggest innovative ideas without fear of retribution, fostering a sense of shared ownership of strategy.

Additionally, employing Lewin’s change model in a phased manner would have eased the transition, allowing for adjustments based on real-time feedback. Training programs and clear communication about the rationale behind changes could have mitigated resistance. According to Kotter’s (1996) eight-step process for leading change, establishing a guiding coalition, creating a vision, and generating short-term wins are critical for sustainable change and organizational buy-in.

In conclusion, Johnson’s approach failed primarily because it was rooted in assumptions rather than data, lacked inclusive decision-making, and underestimated the importance of organizational culture and employee engagement. An integrated application of organizational behavior principles—such as participative leadership, open communication, feedback loops, and change management models—could have mitigated risks and been more aligned with the realities of retail. These strategies emphasize the importance of understanding organizational dynamics, harnessing collective intelligence, and fostering a culture of continuous improvement, essential elements for sustainably navigating change in complex organizational environments.

References

  • Edmondson, A. (1999). Psychological safety and learning behavior in work teams. Administrative Science Quarterly, 44(2), 350-383.
  • Janis, I. L. (1972). Victims of groupthink: A psychological study of policy decisions and fiascoes. Houghton Mifflin.
  • Kotter, J. P. (1996). Leading change. Harvard Business Press.
  • Lewin, K. (1947). Frontiers in group dynamics: Concept, method, and reality in social science; social equilibria and change. Human Relations, 1(1), 5-41.
  • McShane, S. L., & Von Glinow, M. (2015). Organizational Behavior: Emerging Knowledge, Global Reality (7th ed.). McGraw-Hill Education.
  • Robbins, S. P., & Judge, T. (2019). Organizational Behavior (18th ed.). Pearson.
  • Hill, L. (n.d.). Collective genius: The social life of innovation. Harvard Business Review.
  • Wujec, T. (n.d.). The marshmallow challenge: Building teams for innovation. TED.
  • Additional references for insights on change management and organizational culture are included as supplementary sources.

Related Assignments