Text: Better Business



Video Title: Whole Foods— Teamwork, Motivation, and Communication

Length: 5:43

Classroom Application: Instructors will find this video useful in discussing concepts related to teamwork and motivation, including Maslow’s Hierarchy of Needs and McClelland’s Three Needs Theory, as well as the work theories of Douglas McGregor, Victor Vroom and William Ouchi. Students could also discuss the benefits and challenges associated with grouping employees into work teams.

Synopsis

Using Whole Foods as an example, this video provides an overview of the main concepts related to teamwork and motivation, including the specific ways in which Whole Foods motivates its employees to give the best service possible which in turn motivates customers to shop there.

Discussion Questions

1. How are the concepts of motivation and competitive edge related in the context of Whole Foods?

Whole Foods maintains its competitive edge by hiring employees who are passionate about food, putting them on autonomous teams, and motivating them to stay engaged and on mission. Since healthy food tends to sell at a higher price, motivating customers to shop at Whole Foods means motivating employees to give the best possible service.

2. How are Maslow’s Hierarchy of Needs and McClelland’s Three Needs Theory related to the concept of motivation?

Maslow’s hierarchy of needs has five levels: physiological needs, safety needs, belonging needs, esteem needs and self-actualization needs. Food is a basic physiological need, but in societies that have an abundance of food, the ways in which food is acquired fall under the categories of belonging, esteem or self-actualization needs. Consumers are looking for ways to satisfy these needs when shopping for food products and are motivated to seek out vendors such as Whole Foods that meet their needs.

McClelland theorized that all humans have a need for achievement, affiliation and power. Whole Foods meets consumers’ needs by providing food that is socially and environmentally responsible, which makes them feel like they are achieving good things and have power in their decision-making. Whole Foods also makes consumers feel that they belong to the sustainable health food culture. For these reasons, customers are motivated to shop at Whole Foods.

3. Describe the way in which Whole Foods organizes its employees into teams.

Each Whole Foods employee is a part of an autonomous team that is tasked with fulfilling a specific role within the store. In each store, there are approximately 11 teams that function independently. Each team has its own P and L (profit and loss statement) and its own budget. This structure empowers employees to know exactly what they are contributing to the company and the store and how they can affect the store’s success.

Quiz

1. At the time this video was filmed, how many stores did Whole Foods have nationwide?

a. 300

b. 800

c. 100

d. 200

Answer: a

Explanation: The first Whole Foods store opened in Austin, TX in 1980. At the time this video was filmed, there were 300 Whole Foods stores nationwide.

2. What is one way that Whole Foods maintain its competitive edge?

a. by keeping their prices low

b. by offering weekly promotions to loyal customers

c. by hiring workers who are passionate about food

d. by only selling organic food

Answer: c

Explanation: Whole Foods maintains its competitive edge by hiring employees who are passionate about food, putting them on autonomous teams, and motivating them to stay engaged and on mission. Since healthy food tends to sell at a higher price, motivating customers to shop at Whole Foods means motivating employees to give the best possible service.

3. Which of the following is NOT one of McClelland’s Three Needs that motivate consumers to shop at Whole Foods?

a. achievement

b. justice

c. affiliation

d. power

Answer: b

Explanation: McClelland theorized that all humans have a need for achievement, affiliation and power. Whole Foods meets consumers’ needs by providing food that is socially and environmentally responsible, which makes them feel like they are achieving good things and have power in their decision-making. Whole Foods also makes consumers feel that they belong to the sustainable health food culture. For these reasons, customers are motivated to shop at Whole Foods.

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