Organisation Contract Case Analysis

2040 words - 8 pages

The case is about conflict between Dr Doe (Doe) and drugs companies. Dr Doe is a highly-brain powered scientist. He just appraised with Noble Prize in medicine for what he had done in the development of highly effective drug to prevent the common cold. Giant Drug Company is interested to hire Doe. Francis Stein (Stein), the president of this company has been negotiated with Doe to market a new drug. However, the competitor, MARK Drugs company also interested in hiring Doe, since this occurred, the case became debatable.

As Stein has intention to hire Dr Doe, both of them have been engaged in a deep negotiation. Dr Doe was approached to become vice president of Giant Drug Company. After sometimes, Dr Doe decide that he will accept a position according to their negotiation. But, this needs to be underlined that the negotiation was merely discussed about marketing a new drug. There was no salary discussed in that negotiation.

On the 1st of May, Dr Doe sent a letter to Stein that he agreed to become Giant Drug Company’s vice president. The amount of salary as well as period also written in the letter he sent. He would work in Giant Drug Company for four years within $ 500,000 annual salary. This statement will be considered as an offer.

Due to the letter was delivered on the 1st May; Stein received it within two days. On the 3rd of May, after reading the letter, Stein directly contacted Dr Doe by phone. Stein stated that the written salary is too high. Stein offered a lower salary, which is $ 300,000 per annum. This is believed as a counter offer. Doe considered the counter offer as an unreasonable amount considering that he would in charge of research in marketing new drug. His intellectuality in developing highly effective drug to prevent cold is too great compared to the amount of the salary he would receive. As a result, he remains with his statement on the letter, which is $ 500,000 a year. This implied that Dr Doe had rejected the Stein’s counter offer.

The conversation via phone had over. Without any consideration, Stein immediately informed Doe through a letter that he did non interested in hiring Dr Doe anymore. In other words, Stein has withdrawn his offer.

Later on the same day, Stein decided to send a stamped express mail to Doe that he would hire Doe and willing to fulfill Doe’s salary request. However, the stamped express letter Stein sent will arrived in the next day because it was sent quite late.

The following day, on the 4th of May, Doe made an agreement with Mark Drugs to work as a research director. MARK Drugs is known as a Giant Drug Company’s competitor. Once the agreement made, he decided to read Steins letter that placed on top of his desk by his manager. The statement written in the letter was about agreement to hire Doe with salary $500,000 in annual basis.

In respect to Stein, Doe instantaneously called and informed Stein that he had agreed to work with MARK Drugs. Unavoidable, tension aroused...

Find Another Essay On Organisation Contract Case Analysis

A definitive guide to outsourcing and how it can help IT managers enhance there Projects.

2325 words - 9 pages operation is 'Outsourcing'. It is the attempt of this paper to explain outsourcing , it's pro's and con's and how it can help our friendly IT Manager enhance developments or implementations.IntroductionOutsourcing can be defined as a contract service agreement in which an organisation hires out all or part of its IT responsibilities to an external company.More and more companies are leaning towards outsourcing it could be said that this may be

Human Resources Management Essay

1540 words - 6 pages that the construction and reconstruction of psychological contract between employee and employer can be affected by internal or external factors of the organization and environment. There are partitioned into 3 groups: causes, content, consequences.In this answer, we will use "Data Unlimited" as a sample to analysis each one thoroughly. 1.Causes: Involvement climate: In "Data Unlimited", employees are lack of involvement. From the start the

Leadership and Performance

777 words - 4 pages An Analysis of Denise Rousseau And David Guest’s Article Denise Rousseau took a descriptive approach in explaining psychological contract while David Guest was more analytical about the term “psychological contract”. David gave a more detailed and in depth analysis of psychological contract. Also he was able to expand in more details Rousseau’s analysis of psychological contract. According to

Enron Corporate Debacle

2705 words - 11 pages related to the organisation. It will start with a broad description and analyse of "organisation culture", and then the issues related to sub-culture of "organisation structure, power & control and motivation & management". These sub-issues will help understand the organisation culture of Enron and their analysis will be directly connected to its analysis drawn on evidence from the case study.Organisational CultureSchein (1984) defined

Temporary Working

2480 words - 10 pages employees may have a lack of commitment levels towards their company if just leaving a company who used the Marxist approach. If this is the case, when employed into a new organisation, this dissatisfaction level will carry across adding to the labour problem. However, when management use the pluralist perspective, employees’ levels of satisfaction may increase as they consider their voices to be heard becoming part of the company and not an

Worldcom Accounting Scandal

1209 words - 5 pages contract. Also, such a treatment resulted in recognising revenue when it was not earned or realised and thus, overstating the profits. 5. From the analysis of the case, it is clear that most of the material journal entries which are recorded contrary to best professional judgement, are so done with a view to wrongly mask the declining profits and to show inflated profits where there are none. The purpose is to hide losses and present a false

The Fire Alarm Went off: A Case Study in Organization

1188 words - 5 pages details discusses about the company, customers, processes, and 4V’s of the company. Secondly the concept of total quality management is explored with reference to the literature available. Finally, the implications of implementing total quality management in the organisation are discussed. Introduction Purpose The purpose of the report is to understand the issues in the case study organisation at various levels and analyse the issue by

Case Study - Dales Pickles and Preserves: A structural and cultural change, focusing on HRD solutions

3326 words - 13 pages IntroductionThe analysis of this case study examines the situation Dales is faced with in relation to Learning & Development (L&D). The theories and strategies that focused on are the concepts of Learning Organisation (LO), the role of training in bringing and change and how to evaluate subsequent change and performance.Through LO strategy Dales is changing from bureaucratic, Mechanistic organisation to an Organic approach by being

Complexities of the organisational buying process

1390 words - 6 pages who could be better equipped to supply the organisation. It is an extensive task that requires in depth research and analysis. The decision-making that occurs in this situation is classified as extensive problem solving as they lack knowledge or a criteria as to hoe they would choose the best solution or supplier (Thomas & Wind, 1980).The next buying situation that is less complex than new task buying and involves a more routine problem

The Organizational Culture of Quinlan's

5332 words - 21 pages observed by anyone. Organisation culture is shared by everybody in an organisation and determines to a great extent how people think, behave and where they place their priorities. In the Quinlan’s case study, the organisations expressed values and beliefs have been cultivated by the founder Sir Thomas Quinlan himself. These beliefs are the guiding factors that influence how people think and feel within the organisation. Let

What Is Organization?

3767 words - 15 pages understand the definition of organisation let us consider the definition developed by Max Weber. Like any other field of study, and like organisation themselves, organizational analysis has a tradition. That tradition leans heavily on Max Weber, who is known for his analysis of bureaucracy and authority, topics that will be considered later. Weber also concerned himself with the more general definitions of organisation. In his definition he first

Similar Essays

Online Service Strategy Essay

2185 words - 9 pages portrait photography.Over the years, the business model developed comprises of the organisation sub-contract all its shoots and sales on location out to professional photographers throughout the country, essentially forming a business partnership. In return the organisation guarantees to organise upcoming jobs for the photographers as well as processing and shipping of finishing portraits. Another vital partnership to the business is one formed between

Business Analysis And Recommendations To Florence Manufacturing Ltd

2918 words - 12 pages relationship with supplier (stock is fully supplied) and the only major problem the organisation is experiencing is meeting its deadlines. Recently, Florence Manufacturing Limited has signed a contract with a French hypermarket, called 'Bon Marche’; the French hypermarket has given Florence Manufacturing Limited a chance to target a wider market and has appointed a new Managing Director, known as Tom Jenkins. Mr

Nick Case Study

1289 words - 5 pages say NIKE. The Swoosh logo was designed by Davidson and it represents the wing of the Greek goddess. Thirty years later, NIKE become the largest sport and fitness company in the world and sells their product around the all world. As the company growing larger and larger some problem is occurred. NIKE should concerning international standards and cultural differences which make rebel image for NIKE. This report will analysis Nike's strategically

Employee Engagement Essay

2052 words - 8 pages towards their organisation and its value. An engaged employee works with his/her colleagues to improve their productivity within their job, for the ultimate benefit of the organisation. This paper critically reviews MacLeod Report (2009), ‘Engaging for Success’ and analysis it’s suitability as an engagement model for the organisations to adapt. Also, this paper suggests an alternative engagement model, which can be applied and adopted by the