Lack of Employee Satisfaction at Aqautec

Lackof Employee Satisfaction at Aqautec

Lackof Employee Satisfaction at Aqautec


TheCEO and founder of Aqautec realized that the company was losing itstop talents to competitors as a result of job dissatisfaction. Hedevised a new a team-based approach to manage employees that aimed tostop the talent drain. Employees were organized into teams thatdeliberated on compensation levels, job descriptions, jobevaluations, and job analysis. The approach was very successful as itstopped talent drain and ensured higher employee satisfaction thatled to increased output and performance in the whole organization.The improvement was also recorded in terms of enriched jobdescriptions, creativity, and higher quality products as a result ofthe new team-based human resource management approach.


Theprimary challenge in the present case study is the lack of employeesatisfaction with their present jobs. Over the years, Aqautec hasfailed to understand the key issues leading to the high rate ofemployee turnover. It is evident that the management of Aqautec hadfailed to facilitate employees’ participation in their work-relatedissues that directly. This is shown in the case the fact that theadoption of a team-based approach by Aqautec resolved the challengeof the high rate of employee turnover and staff dissatisfaction. Inessence, the key issues that need to be addressed in the case includethe employee turnover, lack of satisfaction, and inadequateinvolvement of employees in issues affecting the professional lives.

Firstsolution:Performance-based compensation

Aqautecshould adopt a compensation system that will ensure that compensationgiven to employees is commensurate with their respective performance.From the case, the compensation level is one of the key issues thatthe team-based approach was designed to address. Theperformance-based compensation system implies that each employee or ateam of employee will be paid depending on their respective levels ofjob performance. This is a significant compensation system thatensures mutual benefits to both the employer and the employee.Aqautec can determine employees’ performance by measuring theirproductivity in volumes, innovations that they bring into the firm,or the quality improvement measures they integrate with theirjob-related tasks.

Solution2:An effective job description

Creatingan effective job description will address the challenge of confusionamong employees by ensuring that each of the Aqautec employees iswell informed about their respective roles. To design an effectivejob description, Aqautec will be required to determine all the jobtitles, highlight the job objectives, describe the key functions ateach job position, prepare a list of tasks and responsibilities, andidentify relationships with the firm. In essence, the job descriptionwill seek to ensure that all employees are aware of what the companyexpects from them.

Thirdsolution:Involvement of employees in matters affecting their job-relatedaffairs

Aqautecshould ensure that all employees have the opportunity to make theircontribution towards issues affecting their jobs. This will beachieved by addressing the company issues using a team-basedapproach. Aqautec should organize employees into teams that will thenaddress the key issues. Each group should perform specific functionsunder the minimum supervision or influence of the top executive inorder to allow the team members the freedom they need to make theircontributions.


Evaluatethe first solution:performance-based compensation

Performance-basedcompensation is the most appropriate deal between Aqautec and itsemployees. This is because it would only be reasonable for theemployer company gives a higher pay for employees who are making asignificant contribution towards the achievement of theorganizational goals. This means that members of staff are morelikely to feel that any extra contribution they make in theorganization is recognized, appreciated, and rewarded. Therefore, thepay-for-performance is an appropriate way to motivate employees,increase their job satisfaction, and reduce the rate of turnover.

Evaluatethe second solution:Job description

Althoughthe job description gives a promise of reducing confusion andmotivating employees, Aqautec should expect to face three majorlimitations. First, a detailed description of roles andresponsibilities may overwhelm some employees, which in turn reducesits capacity to address the underlying challenge of lack of jobsatisfaction. Secondly, job description limits the capacity ofemployees to exploit their full potential in their present jobpositions. This is because employees are expected to do what islisted in the job description, which limits their capacity toundertake tasks that they feel will maximize their satisfaction withthe present job position.

Evaluatethe third solution:Involvement of employees in matters affecting their job-relatedaffairs

Forexample, giving employees an opportunity to air their views about thecompensation level, job evaluation, job analysis, and job descriptionwill make them feel that they are part of the company and the companyappreciates their contribution. This is because members of staff willbe able to communicate what they feel should be done to make theirworking conditions better and motivating. However, involvingemployees through the work teams will slow down the process ofdecision making.


Outof the three possible solutions, the performance-based compensationis the most appropriate alternative. This is because paying employeeson the basis of their respective performance will help Aqautecachieve several goals simultaneously. For example, the compensationsystem will help employees feel their contribution is appreciated,motivate all staff, and improve the employees’ performance at thesame time. This implies that the pay for performance will enhanceemployees’ satisfaction by addressing the underlying challenges,thus reducing their turnover. In addition, the pay for performancewill motivate employees to work hard in order to increase theircompensation, which will in turn enhance the company productivity.This means that the performance-based compensation is a win-winsolution that will help both the employer and employees.