SCHOOL OF BUSINESS AND MANAGEMENT

BACHELOR OF ACCOUNTANCY (HONS)

MBC 3163
ORGANIZATIONAL BEHAVIOUR (30%)
SEPTEMBER SEMESTER, SESSION 2023/2024
Assignment Title:
Case Study Analysis on Organizational Behaviour

Prepared for:
Madam Nurul Sarah Binti Mohamed Ossman

Prepared by:
Chai Ting Ting BAC20090003
 Table of Content

Task 1: Introduction...............................................................................1
Task 2: Personality................................................................................1
Task 3: Attitude and Job satisfaction.................................................... 2
Task 4: Leadership................................................................................3
Task 5: Stress and Emotion.................................................................. 5
References........................................................................................... 7
Task 1: Introduction

Tesla, Inc. is an electric vehicle (EV) and clean energy company with the primary goal of
accelerating the world's transition to sustainable energy. The company aims to achieve this by
producing electric cars, renewable energy products (such as solar panels and energy storage
solutions), and advancing energy sustainability through innovations in technology and transportation.
(Parker, 2021) Founded in 2003 by Elon Musk, Martin Eberhard, and JB Straubel, Tesla has become
a global leader in the manufacturing of green energy breakthroughs and electric automobiles. The
primary objective of the company is to accelerate the worldwide transition to renewable energy, as
demonstrated by the wide array of environmentally friendly products it offers. These include the
much-anticipated Cybertruck and the wildly successful electric automobile models, such as the Model
S, Model 3, Model X, and Model Y. Tesla's state-of-the-art features, like Autopilot, enable partially
autonomous driving. Furthermore, the company's entry into the energy storage market with products
like Powerwall, Powerpack, and Megapack is promoting the use of sustainable energy resources and
changing energy grid management. Tesla has solidified its status as a game-changing force in the
modern world thanks to its innovative culture and persistent commitment to redefining the possibilities
in the fields of clean energy and mobility (Tesla, n.d.) (Bloomberg, n.d.) (Beresford, 2019) (Porter &
Radtke, 2023). Tesla operates in a dynamic and competitive environment, characterized by the
automotive industry's evolution towards electrification and increased focus on sustainable energy
solutions. The company operates globally and is subject to various regulatory and market challenges,
including changes in government policies, demand for EVs, and the availability of sustainable energy
sources. Additionally, Tesla operates at the intersection of technology and transportation, facing
challenges related to manufacturing, supply chain, and autonomous driving technologies.

Task 2: Personality

The responsibilities and personalities of Tesla employees are crucial in mitigating the
drawbacks of "lights-out" automation, a technique intended to minimize human intervention but beset
by issues with flexibility, technical proficiency, and feedback. Tesla is driven by Elon Musk's inventive
and leadership nature to come up with novel ideas and adjust to the limitations of automation.
Automation systems are regularly improved by engineers and inventors, guaranteeing flexibility.
Leadership teams strike a balance between automation and human competence by making

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well-informed judgments. The flexibility and diligence of factory personnel guarantee smooth
operations. Employees that are enthusiastic about sustainability match Tesla's clean energy
objectives with automation. In order to overcome automation obstacles, they work in unison to
combine technology and human input, guaranteeing Tesla's ongoing innovation and leadership.

At Tesla, personality plays a crucial role in determining the company's innovative spirit as well
as how it plans to overcome the limitations of "lights-out" automation. Tesla's constant search for
novel solutions is fueled by Elon Musk's inventive and daring nature, which enables the company to
adjust to the changing automation landscape. Musk's imaginative nature encourages and inspires
workers, but it can also create a high-stress workplace that requires unflinching commitment(Percy,
2019). Additionally, Tesla's technical specialists are essential in handling the complexities of
automation systems due to their extensive technical expertise and sharp problem-solving skills. To
overcome technical obstacles, these specialists' collaborate and encourage open communication with
other teams, such manufacturing workers, are essential. Tesla thrives on teamwork, with diverse
personalities coming together to tackle the limitations of "lights-out" automation. A shared
problem-solving and continuous improvement culture is fostered by collaborative dynamics and good
communication. Employees committed to sustainability and the environment also play a significant
part. Their enthusiasm is in line with Tesla's aim, which is to promote a feeling of purpose and positive
interactions among people who are devoted to the same environmental goal. The personalities that
influence the organization's strategy are therefore closely linked to Tesla's ability to successfully
handle the problems posed by automation(Taylor, 2020) (Tesla, 2022) (Tesla, n.d.).

Task 3: Attitude and Job satisfaction

Tesla is recognized for setting challenging objectives and maintaining high standards
for its staff. Issues include long working hours, hazardous conditions, and incidents of harassment,
with severe consequences for minor errors (Aman, G, 2023). The challenging atmosphere raises
concerns about reduced employee engagement, potentially resulting in decreased effort and
organizational commitment. This may lead to productivity issues, higher turnover rates, and
compromised decision-making abilities, hindering the organization's goals. To address these
challenges, introducing flexible working hours or remote options is suggested to enhance autonomy

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and work-life balance. Regular evaluation of workloads, using workload management software, is
recommended to improve task allocation and ensure viability and achievability.

Besides, Tesla staff members shared unauthorized videos and images captured by
customers' vehicle cameras through an internal messaging system.According to the Reuters article,
the former worker detailed a video in which a naked man approached a vehicle. Some recordings
appeared to have been made when the vehicles were parked and not in use. This technology has the
potential to access private garages and properties of individuals (Steve, S, 2023). Moreover, a privacy
violation occurred when two ex-Tesla employees wrongfully obtained personal information of over
75,000 individuals in breach of Tesla's data protection and IT security policies. Then they shared this
information with a media outlet (Ananya, B, 2023). Such behavior can have grave consequences for
the employees involved and damage Tesla's reputation. The employees will also face the potential
impact for disciplinary measures, such as suspension, termination, or other consequences, being
imposed on employees involved in such violations. As a result, they may experience fear and stress,
leading to decreased job satisfaction. If the actions of the employees are in violation of the law, the
company may need to involve law enforcement and seek legal advice to understand the potential
legal consequences for both the employees involved and the company itself.

Tesla promotes an enterprise-centric methodology within its employees, with a focus on

innovation and pushing boundaries beyond what is possible. Tesla promotes a culture centered on
enterprise innovation, encouraging employees to push boundaries and generate inventive solutions.
This ethos results in the creation of unique products like electric vehicles and renewable energy
solutions. Emphasizing innovation allows Tesla to stay ahead of market trends, adapt to changing
consumer preferences, and outpace competitors. The company's commitment to research and
development ensures the continuous improvement of its electric vehicles, contributing to its
competitive edge in the dynamic automotive sector. Overall, Tesla's culture fosters experimentation
and exploration of innovative technologies, reinforcing its position as a market leader.

Task 4: Leadership

The art of leadership is inspiring a group of individuals to take action in the direction of a
shared objective. In a professional context, this can entail guiding employees and associates with a
plan to satisfy the demands of the firm (Ward, 2023). The goal of the Tesla Company is to offer its

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customers the most cutting-edge products possible. To this end, the company employs a
transformational leadership style, which places a strong emphasis on employee skill development
and innovation. This approach improves business performance and fosters a competitive
environment for competitors by encouraging internal innovation. Tesla's leadership path is proof of the
strength of foresight, teamwork, resiliency, and moral judgment (The Transformational Leadership
Style of Elon Musk, 2016). In order to create an atmosphere that promotes creativity and
development, it is our responsibility as leaders to identify and nurture each team member's special
talents and interests. His capacity to question received wisdom and see opportunities beyond the
limitations of current technology was a defining characteristic of his leadership style. Effective
leadership is fundamentally based on inspiring and having a clear vision that motivates people and
teams to achieve important objectives.

Tesla's organizational culture is significantly influenced by Elon Musk's transformational

leadership style. Musk's visionary approach and emphasis on innovation inspire employees to think
beyond conventional boundaries. This leadership style fosters a culture of creativity and risk-taking,
aligning with Tesla's focus on cutting-edge technology. Musk's ability to articulate a compelling vision
for the future encourages employees to share in the company's mission. This shared vision creates a
sense of purpose, driving a high level of motivation and commitment among Tesla's workforce. The
emphasis on renewable energy and sustainable transportation aligns with Musk's transformative
vision, shaping an environmentally conscious organizational culture (Einour, 2021).

Moreover, Musk's transformational leadership involves challenging the status quo and
encouraging continuous improvement. This stimulates a dynamic work environment where
employees are motivated to experiment and push technological boundaries. The "fail fast, learn
faster" mentality prevails, fostering a culture of adaptability and resilience. Additionally, Musk's direct
involvement in various projects and his hands-on approach contribute to a flat organizational
structure, promoting open communication and quick decision-making (Givens, 2008). This
decentralized structure enhances agility and responsiveness, vital in the fast-paced and ever-evolving
electric vehicle industry. Regarding worker conduct, Tesla's transformational leadership promotes
independence and responsibility. Workers are encouraged to take pleasure in their work and are
given the freedom to own their initiatives.

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 In order to improve the evaluation of Tesla's leadership effectiveness in accomplishing
organizational goals, a balanced scorecard technique should be implemented. This entails
evaluating performance from four angles: learning and growth, internal processes, customers,
and finances (Baker, 2021). Financially, Tesla should analyze metrics like ROI and cash flow,
considering the impact of leadership decisions on overall financial health. Customer-focused metrics,
including Net Promoter Score and client retention rates, can gauge the effects of leadership efforts on
consumer loyalty and brand perception. Internally, measures related to supply chain management,
quality control, and production efficiency can enhance overall efficiency, with a focus on streamlining
internal processes. Lastly, from the learning and growth perspective, integrating employee
development metrics and assessing leadership's role in fostering a culture of continuous learning is
crucial. This balanced scorecard approach provides a comprehensive evaluation of leadership across
diverse dimensions.

Task 5: Stress and Emotion

Tesla's implementation of automation technology is introducing stress and emotional strain

among its workforce, stemming from noticeable skill and training gaps. The growing prevalence of
automation necessitates employees to acquire new skills or transition into different roles, posing
stress for both individuals and the organization. The potential for workforce displacement adds a
layer of complexity, requiring employees to undergo retraining, which can be financially straining,
especially for older individuals or those with limited educational backgrounds. (Alisha S., 2023)

The negative impact of automation extends to employee performance and well-being. The
reduction in workers' negotiating power is a consequence of businesses replacing human
employees with machines to cut labor expenses. This shift in power dynamics leads to a decline in
wages and benefits, making it increasingly challenging for employees to secure fair compensation
and maintain satisfactory workplace conditions. As automation becomes more prevalent, employees
may find themselves grappling with heightened difficulties in preserving financial stability and job
satisfaction. (Alisha S., 2023)

The emotional strain resulting from automation in the workplace is also a significant concern.
Addressing unforeseen issues or system failures related to automated processes can contribute to
heightened stress levels, impacting overall well-being. Moreover, employees experiencing a shift in

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responsibilities towards supervisory or monitoring tasks due to automation may face a loss of job
satisfaction. This reduction in satisfaction, in turn, has the potential to negatively impact motivation
and overall engagement within the workplace. In essence, Tesla's embrace of automation presents a
multifaceted challenge, affecting skill acquisition, workforce dynamics, negotiating power, and the
emotional well-being of its employees.

To address stress and enhance well-being, Tesla can implement strategic initiatives focused on
skill enhancement and adaptability. Investing in comprehensive training programs, including
courses, workshops, and on-the-job training, empowers employees to navigate evolving job
requirements and stay competitive. Offering career transition support, such as counseling,
mentorship, and financial incentives, facilitates smoother role transitions. Job redesign emphasizing
creativity and problem-solving tasks can further boost job satisfaction and emotional well-being.

In promoting overall employee well-being, Tesla should consider the implementation of

counseling and emotional support programs to facilitate effective stress management in the face
of changing work environments. Clear communication about automation strategies and their
implications is pivotal for reducing uncertainty and anxiety among employees. Prioritizing a healthy
work-life balance is essential to prevent burnout and contribute to mental well-being. These initiatives
collectively underscore Tesla's commitment to the welfare of its workforce, fostering a more
supportive and emotionally resilient work environment. (How Can Employers Help to Reduce Stress
in the Workplace?, 2022)

Tesla should prioritize fair compensation and benefits for its employees to promote
well-being. Minimizing wage reductions and benefit cuts can alleviate financial strain and enhance
employees' security and contentment. Fair compensation recognizes employees' contributions and
ensures basic financial needs are met, reducing employee's stress and anxiety. Robust benefits
packages, including healthcare and retirement, support physical and mental well-being. By prioritizing
fair compensation and comprehensive benefits, Tesla can create a positive work environment and
increase employee satisfaction. (Wichmann, 2021).

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 References

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Medium.

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conditions: 'You get fired on the spot. Because Elon was...' mint. Back Back Ex-Tesla employee

reveals shocking details on worker conditions: 'You get fired on the spot. Because Elon was...'

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