Question

Read the Never on a Sunday case on p. W-121 (Chapter 15 > OB Skills Workbook > Cases for Critical Thinking > Never on a Sunday) and respond to the following question:

What lessons for developing organizational cultures can this case provide for other firms that aren't family run?

CASE 15

Never on a Sunday Developed by Anne C. Cowden, California State University, Sacramento McCoy's Building Supply Centers of San Marcos, Texas, have been in continuous successful operation for over seventy years in an increasingly competitive retail business. McCoy's is one of the nation's largest family-owned and family-managed building-supply companies, serving 10 million customers a year in a regional area currently covering New Mexico, Texas, Oklahoma, Arkansas, Mississippi, and Louisiana. McCoy's strategy has been to occupy a niche in the market of small and medium-size cities. McCoy's grounding principle is acquiring and selling the finest-quality products that can be found and providing quality service to customers. As an operations-oriented company. McCoy's has always managed without many layers of management. Managers are asked to concentrate on service-related issues in their stores: get the merchandise on the floor, price it, sell it, and help the customer carry it out. The majority of the administrative workload is handled through headquarters so that store employees can concentrate on customer service. The top management team (Emmett McCoy and his two sons, Brian and Mike, who serve as co-presidents) has established eleven teams of managers drawn from the different regions that McCoy's stores cover. The teams meet regularly to discuss new products, better ways for product delivery, and a host of items integral to maintaining customer satisfaction. Team leadership is rotated among the managers. McCoy's has a workforce of 70 percent full-time and 30 percent part-time employees. The firm has a longstanding reputation of fair dealing that is a source of pride for all employees. McCoy's philosophy values loyal, adaptable, skilled employees as the most essential element of its overall success. In order to implement this philosophy, the company offers extensive on-the-job training. The path to management involves starting at the store level and learning all facets of operations before advancing into a management program. All management trainees are required to relocate to a number of stores. Most promotions come from within. Managers are rarely recruited from the outside. This may begin to change as the business implements more technology requiring greater reliance on college-educated personnel. A strong religious belief and a strong commitment to community permeate all that McCoy's does. Many McCoy family members are Evangelical Christians who believe in their faith through letting their “feet do it”—that is, showing their commitment to God through action, not just talk. Although their beliefs and values permeate the company's culture in countless ways, one very concrete way is reflected in the title of this case: “Never on a Sunday.” Even though it's a busy business day for retailers, all 103 McCoy's stores are closed on Sunday. Review Questions 1.   How have the personal beliefs of the McCoy family influenced the organizational culture of their firm? 2.   What difference do being “family founded” and “family owned” make when it comes to establishing and maintaining an organizational culture? 3.   What lessons for developing organizational cultures can this case provide for other firms that aren't family run?

Answer 1

1.The personal beliefs and convictions of the McCoy family impacted the culture of their organization. The organization's way of life is pervaded by the McCoy's Christians convictions and qualities. They are likewise incited by their solid corporate values and culture. The organizational culture finds its roots from their solid religious convictions, paving their way for the motivation behind why they are shut on Sundays.

2. Family owned means the family possess the organization and thus have an authority over it. On the other hand, family founded means that the family created and began the organization.

3. This case can give several insightful lessons, for example,

• knowing & analyzing the relationship among culture, innovation and performance
• discovering the importance and direction a culture can provide