Solution

Q5. Using theories and models which examine organisational and human behaviour, explain why
problems have arisen following the takeover of Calmere House by Chaffinch Group. (AC 2.1)

Since Chaffinch Group took over Calmere House, a number of problems have been identified such as dissatisfaction among staff, employee turnover, and decline in the satisfaction by residents. Both the organisational and human behaviour theories can be used in in explanation of these problems.

Schein’s Organisational Culture Model is a good one. Geraghty (2023) describes three levels of culture: artefacts (observable), espoused values (claimed norms), and basic assumptions (underlying beliefs). Calmere House, under the leadership of Kirsten, developed a people-focused, team-focused culture on the basis of family ownership with solid personal values. There was staff participation in decision-making, and the culture was founded on trust and shared purpose. The unplanned transition to Chaffinch Group’s bureaucratic, target-oriented organisation loaded against conflicting values—efficiency, control, and profit over staff care. This cross-cultural alignment sabotaged workers’ psychological contract with employer, triggering disengagement and resistance.

From the human behavior point of view, Maslow’s Hierarchy of Needs (1943) is used to explain workers’ reactions (Cherry, 2024). Workers’ social (belongingness) and esteem needs were satisfied by collaboration and appreciation under Kirsten’s leadership. Employees’ security and belongingness needs were derailed after the acquisition by poor communication, autocratic management, and worker turnover. Loss of independence and personalised care invoked a feeling of insecurity and demotivation, which hindered staff from progressing towards self-actualisation—the apex of Maslow’s hierarchy…

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