CTS College of Business and Computer Science

Student MBA Assignment 2Guidelines:

BSS064-6 Leading and Managing
Organizational Resources

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 TABLE OF CONTENTS
Table of Contents.............................................................................................................................2
Learning Outcomes.................................................................................................................................3
The Task..................................................................................................................................................3
Structure of the Assignment....................................................................................................................3
Assessment #2: Business Report ........................................................................................................3
Challenges of WeWork...........................................................................................................................6
Evaluation of improving resource management and enhancing productivity and performance...............7
Conclusion/Recommendations/References .............................................................................................7

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 LEADING AND MANAGING ORGANIZATIONAL RESOURCES:
Student Assessment/Assignment Guidelines – October 2022

Learning Outcomes
Students are expected to exhibit the following knowledge and understanding as well as display skills and
abilities:

 Demonstrate a systematic understanding and critical appreciation of the integration between

leadership, operations management in the context of contemporary work organizations and how
the funding and operations of these functions can impact on the reported financial performance
 Critically evaluate and synthesize theories and models in practice to improve performance
through effective leadership, operations management and financial analysis to inform decision
making
The Task
Assessment Task: Please review the case study “Case Study for Business Report: WeWork” and prepare a
business report of 3600 words of the case study analysis based on the topic below:
“Effectively and efficiently develop sustainable leadership initiatives to improve the resource
management, enhance productivity and performance with a focus on finance performance and people.”

Structure of the Assignment

Cover page
Executive summary 200 words
Content page
Introduction < 400 words
Analysis of WeWorks’s main challenges 1300 words
Subheading 1; Subheading 2 etc.
Evaluation of improving resource management and enhancing productivity and performance 1300
words
Subheading 1, Subheading 2 etc.
Conclusions (C+R= 600 words)
Recommendations
Reference list
Bibliography
Appendices

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 ASSESSMENT #2: BUSINESS REPORT

• INTRODUCTION

You need to show what you are going to discuss in your report and why

 This should cover the following areas

 Current challenges of WeWork –why this is important because it negatively
impacts costs and profitability, company valuation, long term survival of the
business and negative impacts on stakeholders
 Strategies for Improving Profit and Performance- why this is important to
increase productivity and performance, increases profits, increased valuation of
the firm, enhance reputation, increased returns to investors and shareholders and
long term sustainability of the firm
 Conclusion summary of the main points in your analysis
 Recommendations to identify solutions to the key gaps identified in the analysis
section

DO NOT GO INTO DETAILS OF THE SECTIONS IMPORTANTLY FOCUS ON

WHY EACH SECTION IS IMPORTANT TO THE REPORT

• ANALYSIS
YOUR ANALYSIS COVERS TWO MAIN SECTIONS
1) Challenges of WeWork

DO NOT DESCRIBE THE CHALLENGES BUT SHOW ITS

EFFECTS ON HOW IT CAN AFFECT THE
PROFITS/PERFORMANCE(EFFICIENCYAND EFFECTIVENES)
AND PEOPLE OF WeWork.
 Financial Performance
Use figures for the past four/five years to analyse company valuation, profitability
Cash flow and Working Capital. Consider the following ratios in your analysis
1) Debt/Equity 2) Working Capital 3) Return on Equity 4) Net Profit Margin
5) Earnings per Share
This analysis needs to focus on where WeWork is presently and what is required in
the
Future.

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  Top Leadership shake up
Theory
Importance of leadership for rebuilding and future growth link to Performance and
Conformance of the Board, Duality of Chairman and CEO

Implications
New Chairman /CEO comes in to fix problems but limited resources but need
business expansion., need to make changes to the business model as quickly as
possible and likely change his or her top management team. The shakeup can
turnaround the performance lead to increase in profit and share price. However, can
lead to uncertainty and needs to take time to change culture etc

 Corporate Governance: Global restructuring, cutting cost and improving

profitability
Theory
Importance of cutting costs> increases cashflow and increase profits with time.
Increasing revenue and profits through competitive advantage.

Implications
The reduction in staff lowers cost saves cash and will help to improve profitability.
However the loss of trust because of layoffs together with the stigma of cutting staff
may make it difficult in the future to attract high performing talent.
To improve profitability will entail maintaining and getting new tenants which can
happen because of the growth in the flexible workplace sector. Also the membership
strategy has seen declines with rentals need for new strategies to increase business.
Renegotiating leases to reduce costs.

 Resource management
Theory
Importance of Board to provide resources to achieve Performance and Conformance
of the Board, /Overseeing Management but also whether management are efficient
and effective resource allocation to achieve profitability aned performance Duality of
Chairman and CEO
Implications
Increased in office space needed Post Covid together with high uncertainty need for
additional resources to sustain the real estate product but also to grow the technology
side of the business if not accessed could limit growth. Given present debt and
financial performance. If the law classifying SPAC to liabilities instead of equity this
could increase debt. First mover advantages and scale combined with increased
occupancy rates will a return to positive free cash flow generation by next year in
addition to lower cost of capital and an improved balance sheet.

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 2) Evaluation of improving resource management and enhancing
productivity and performance

IN EACH STRATEGY SUGGESTED BELOW YOUR FOCUS

NEEDS TO BE ON HOW THE STRATEGY CAN LEAD TO
INCREASED PRODUCTIVITY AND PERFORMANCE FOR
WEWORK IN TERMS OF PROFIT AND PEOPLE
 Business and Operations Model Alignment

WeWork’s business model is fairly straightforward. It takes out long-term leases on

large office spaces, subdivides them into several parcels and then charges monthly
memberships to a broad range of entrepreneurs and companies who occupy the space.
WeWork’s operating model, centered on tangible investments in facilities and
intangible investments in the user experience and their human capital, becomes a
source of competitive advantage.
WeWork is very thoughtful about site selection. They often choose to locate in
gentrifying or distressed neighborhoods where they can negotiate discounted leases,
promising landlords that they will boost the overall attractiveness of the site with
their presence. They only open offices where they believe there is potential for
sustained and vibrant entrepreneurial hubs.
WeWork is also very methodical about the design and layout of each location by
ensuring that the key elements of the flow, look and feel of the space is replicated in
each new site. Enter one and you’ll be immediately captivated by its aesthetics.
Customer experience is a key — if not the key —The numbers prove it:84% percent
of businesses that focus on enhancing the customer experience report an increase in
revenue; another 92% report increased customer loyalty. Businesses that prioritize
the customer experience achieve an average 20% increase in employee engagement
customer service is a vital component of a quality customer experience because it
directly impacts how your customers engage with your organization.

 Human Resource Management

High Performance Work System - High performance working is defined as ‘a general
approach to managing organisations that aims to stimulate more effective employee
involvement and commitment to achieve high levels of performance’.
High performance working (HPW) is focused on building a culture in which there is
trust, transparency, and open communication., it means having a flatter structure
where employees are engaged, satisfied, motivated and share and understand the
values, behaviours, and shared purpose of the organisation.
Performance management’ describes the attempt to maximise the value that
employees create. It aims to maintain and improve employees’ performance in line
with an organisation's objectives.
Employees thus appear to find it difficult to maintain their previous levels of
productivity. HR leaders who properly prepare for these HR challenges to overcome
in 2022 will develop productive staff. Tracking productivity with staff management

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 or monitoring software can assist improve quality and time management at work.
Employees at all levels, from line workers to C-suite executives, will pro

 Good Corporate Governance and Sustainability

Good corporate governance means that the processes of disclosure and transparency
are followed so as to provide regulators and shareholders as well as the general
public with precise and accurate information about the financial, operational and
other aspects of the company. Corporate governance is important as it enables
organisations to achieve their goals, make formal decisions, control risks and
assuring compliance
Apply this to WeWork using the conformance and performance aspects of CG.

Good corporate governance is essentially built on three precedents - economic

progress, social development and environmental improvements. Good governance
ultimately fosters sustainability, creates sustainable values and helps companies
achieve these values starting at the Board level and then to the rest of the organisation
. Companies also realise long-term benefits, including reducing risks, attracting new
investors and shareholders, and increasing the company's equity.

 Change Management
Change management is the systematic approach and application of knowledge, tools
and resources to deal with change. It involves defining and adopting corporate
strategies, structures, procedures and technologies to handle changes in external
conditions and the business environment.
Change Kaleidoscope Model Balogun and Hailey (2004) The change levers are ‘the
range of levers and interventions to be deployed across four subsystems – technical,
political, cultural and interpersonal’. You could choose one framework such as
Cultural Web to discuss the change levers

Use the above framework to identify levers of change and apply to WeWork eg the
use of a flatter organisation structure would allow WeWork to have closer
collaboration and communication which contributes to achievement of organisational
goals

Power is the ability to impose your will on others, whereas influence is the ability to
deeply affect behaviors and beliefs. As a leader, you'll need to use your power once
in a while to steer the ship and influence change.
Organizational politics consist of the steps professionals take to improve personal or
organizational initiatives. Understanding an organization’s political terrain is
essential to any leader hoping to leverage power to affect change.
Link this to WeWork Chairman, Board, CEO and Senior Management and their role
in implementing effective change

 Working Capital
Working capital management is a business strategy that helps companies effectively
make use of current assets and maintain sufficient cash flow to meet short-term goals
and obligations. By improving the way that they manage working capital, companies

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 can free up cash that would otherwise be trapped on their balance sheets. As a result,
they may be able to reduce the need for external borrowing, expand their businesses,
fund mergers or acquisitions, or invest in R&D.

 Conclusion
Summary of the two main sections in terms of how challenges are impacting the organisation in
terms of profitability, performance productivity and people aspects

• Recommendations
Based on the above discussions make recommendations for WeWork focusing on how and why these
recommendations are needed. You can include some of the following (keep recommendations aligned
to discussions above)

- Adoption of Corporate Governance principles integrated with Sustainability.

- Need for Change Management either guided internally or through external consultant
- Effective Resource Management in terms of Operations and Human Resources.
- Working Capital Management
- New Business Model to reflect technology and real estate aspects of WeWork.

• Reference List
- Please include all references used within the report. References refer to: academic
journals, textbooks, reputable websites, etc.
- Please include a bibliography
- 20 references minimum (you can include core reading books and articles in the week 1
and 2 folder on BREO)
- UoB Harvard style referencing must be used

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