Organizational Behavior Analysis: Verizon and AT&T

1. Organizational Behavior Analysis:Verizon and AT&T Jorge Cardenas, Rick Farmer, Leslie Menard, and Leslie Morgan OLCU 613 Seminar in Organizational Dynamics February 24, 2011

2. Verizon Communications, Inc. • Based in New York • Wireline, wireless communications • Broadband Internet • Fiber-optic communications, information and entertainment • Formed in 2000 from a merger • Bell Atlantic Corp. and GTE Corp.

3. AT&T, Inc. • Based in Dallas, Texas • Formed in 1997 from four other entities • Added BellSouth, Cingular Wireless, YP.com, and AT&T Corp. • Mobile broadband and broadband Internet • IP-based television and communications • Wi-Fi and wireless communications

4. Organizational Behavior • Assessed against four areas: • Employee Motivation • Internal and External Communication • Power Bases and Power Structures • Organizational Culture • Organizations similar in structure • Organizations differ in products and culture

5. Motivation Interview – employee did not feel valued Tiered sales but competitive environment Luke Wilson motivational speech • Interview – employee felt valued • Tiered compensation structure • Leadership training and employee development

6. Communication Formal Memos, meetings, press releases, etc. Informal Blogs, email, text messaging, social media Aspire Contribution to preventing high school dropouts • Formal • Memos, meetings, press releases, etc. • Informal • Blogs, email, text messaging, social media • Thinkfinity • Extensive website offering database resources and teaching aids for K-12.

7. Power Bases Reward Varied benefit packages Referent Frequent leadership changes Legitimate and Expert Flat organizational structure Coercive Unknown • Reward • LEAD program • Referent • Shifting leadership • Legitimate and Expert • Flat organizational structure • Coercive • Unknown

8. Culture Teamwork with an emphasis on sales Morale issues Tiered recognition de-emphasizes individual effort • Respect • Diversity • Inclusion • Individual rewards • Organization sees “crisis and change as opportunity, not threat”

9. Conclusions and Recommendations • Verizon: • Individual recognition • Training and leadership skills • Communications carry value and meaning • Rework executive compensation structures • AT&T • Increase individual rewards • Place higher value on human capital

10. References AT&T. (2011). AT&T: Rethink possible. Retrieved February 15, 2011, from AT&T Company Information: http://www.att.com/gen/investory-relations?pid=5711 AT&T. (2009). Executive Summary: 2009 Citizenship and Sustainability Report. Retrieved February 15, 2011, from AT&T: http://www.att.com/gen/corporate-citizenship?pid=18039 AT&T, Inc. (2011, January). AT&T Code of Business Conduct. Retrieved February 2011, from AT&T: http://www.att.com/Common/about_us/downloads/att_code_of_business_conduct.pdf Bischoff, G. (2003). Frustrated union attacks Verizon in the pocketbook. Telephony, 244 (15), 12 - 13. Employee, A. (2011, February 4). (R. Farmer, Interviewer) Burlington, Washington. Employee, V. (2011, February 5). (R. Farmer, Interviewer) Burlington, Washington. Gunther, M. (2003). A big win for the little guys. Fortune, 147 (12), 21-22. Heller, R. (2008, July 8). Employment policy: choosing and implementing the right employment policy is a vital ingredient to the success of a business. Retrieved February 18, 2011, from Thinking Managers: http://www.thinkingmanagers.com/management/emp Hutson, B. (2010, September). Learning how to LEAD: Verizon helps new employees develop their management potential. Black Enterprise, 41(2), p. 61. Retrieved February 18, 2011, from Academic OneFile via GaleGroup.

11. References Mick, J. (2009, December 23). Amid low employee morale, AT&T turns to inspirational speech from Luke Wilson. Retrieved February 17, 2011, from Daily Tech: http://www.dailytech.com/Amid+Low+Employee+Morale+ATT+Turns+to+Inspirational+Speech+From+Luke+Wilson/article17211.htm Morgenson, G. (2007, June 17). Hear ye, hear ye: corralling executive pay. The New York Times . New York. Robbins, S. P., & Judge, T. A. (2011). Organizational Behavior (14th ed.). Upper Saddle River, New Jersey: Prentice Hall. Shields, M. (2010). Verizon's strategy: simple, boring, effective. MediaWeek, 20 (23), 26-27. Retrieved February 14, 2011, from EBSCOhost database. Verizon Communications. (2009, October 5). Verizon announces restructuring focused on growth acceleration and productivity enhancement. Retrieved February 14, 2011, from Verizon: http://newscenter.verizon.com/press-releases/verizon/2009/verizon-announces.html Verizon Communications, Inc. (2010). Code of Conduct. Retrieved February 20, 2011, from Verizon Communications, Inc.: https://www22.verizon.com/about/careers/pdfs/CodeOfConduct.pdf Verizon Communications, Inc. (2011). Corporate Responsibility - Workplace. Retrieved February 15, 2011, from Verizon Communications, Inc.: http://responsibility.verizon.com/home/results/workplace/