MIGO-B

M-IGO-B

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Unit V — Organizational Systems

36. Stress and Well-being

1Concept

Workplace stress arises when job demands exceed the resources available to cope with them, and sustained imbalance leads to burnout characterized by exhaustion, cynicism, and reduced efficacy. The Job Demands-Resources model shows that both reducing excessive demands and increasing resources such as autonomy, support, and recovery time protect well-being and performance simultaneously. Well-being is not a soft add-on; unmanaged stress directly drives errors, absenteeism, and attrition.

2Components
  • Job demands: workload, time pressure, emotional labour, role conflict
  • Job resources: autonomy, social support, feedback, skill variety
  • Burnout dimensions: emotional exhaustion, depersonalization, reduced personal accomplishment
  • Resilience: individual capacity to adapt to and recover from stressors
  • Work-life integration: boundary management between job and personal domains
3Key constructs
Job Demands-Resources modelBurnoutResilienceWork-life balanceRole overload
4Observable / measurable indicators
  • Average weekly overtime hours per employee from time-tracking data
  • Maslach Burnout Inventory scores from periodic well-being surveys
  • Absenteeism rate and short-term medical leave trend
  • Error or defect rate correlated with shift length
  • Attrition rate among high-overtime teams versus company average
5Corporate / industrial scenario

Trident Logistics, a Delhi-NCR based freight and warehousing company with 1,600 warehouse and driver staff, pushed mandatory overtime of 12-15 extra hours per week for four months to meet a surge in e-commerce festive-season volumes, which raised daily shipment output by 28 percent. However, safety incident reports rose 45 percent, picking errors increased from 1.2 percent to 3.6 percent, and unplanned absenteeism climbed from 4 percent to 9 percent, with three warehouse supervisors resigning citing burnout. The operations head must decide how to handle staffing and shift design for the next peak season, balancing the proven output gains of overtime against the mounting well-being and quality costs.

6Evidence and data

Output increase during overtime period

28 percent

Safety incidents

up 45 percent

Picking error rate

1.2 percent to 3.6 percent

Absenteeism rate

4 percent to 9 percent

Supervisor resignations citing burnout

3 in four months

7Alternatives

AContinue mandatory overtime with a bonus incentive

Keep the same overtime schedule for the next peak season but add a financial bonus for high performers to offset dissatisfaction.

BRedesign shifts with mandatory rest and rotate overtime across a larger pool

Cap overtime per employee, hire seasonal temporary staff to widen the labour pool, and enforce mandatory rest days between long shifts.

CInvest in automation for peak-volume tasks

Deploy automated sorting and picking technology for the highest-volume tasks to reduce dependence on human overtime during peak season.

DLaunch a resilience and well-being support program alongside current overtime levels

Keep the overtime model but add wellness resources: counselling access, fatigue-monitoring, and manager training to spot burnout early.

8Analyse the alternatives

AContinue mandatory overtime with a bonus incentive

Strengths

  • Preserves the output gains that met festive-season targets
  • Simple to administer, no structural change needed

Risks

  • Does nothing to address the demonstrated rise in errors and safety incidents
  • Money does not reliably substitute for recovery time and may mask worsening burnout

BRedesign shifts with mandatory rest and rotate overtime across a larger pool

Strengths

  • Distributes demand more evenly, reducing individual burnout risk
  • Rest enforcement is linked to lower error and incident rates in warehousing research

Risks

  • Higher short-term cost of hiring and training seasonal staff
  • Requires more complex shift-scheduling systems and lead time to set up

CInvest in automation for peak-volume tasks

Strengths

  • Structurally reduces peak demand on the workforce over time
  • Can improve accuracy alongside reducing strain

Risks

  • Significant upfront capital investment with a multi-year payback
  • Does not solve this season's immediate staffing problem

DLaunch a resilience and well-being support program alongside current overtime levels

Strengths

  • Lower cost than restructuring shifts or automation
  • Builds individual coping resources and signals organizational care

Risks

  • Support programs cannot fully offset demands that structurally exceed sustainable limits
  • Risk of being seen as a token gesture if root causes are untouched
9Learner decision

How should Trident Logistics redesign its peak-season staffing strategy for next year to sustain output without repeating this season's well-being and quality costs?

A
Continue mandatory overtime with a bonus incentive

Keep the same overtime schedule for the next peak season but add a financial bonus for high performers to offset dissatisfaction.

Strengths: Preserves the output gains that met festive-season targets; Simple to administer, no structural change needed. Risks: Does nothing to address the demonstrated rise in errors and safety incidents; Money does not reliably substitute for recovery time and may mask worsening burnout.

B
Redesign shifts with mandatory rest and rotate overtime across a larger pool

Cap overtime per employee, hire seasonal temporary staff to widen the labour pool, and enforce mandatory rest days between long shifts.

Strengths: Distributes demand more evenly, reducing individual burnout risk; Rest enforcement is linked to lower error and incident rates in warehousing research. Risks: Higher short-term cost of hiring and training seasonal staff; Requires more complex shift-scheduling systems and lead time to set up.

C
Invest in automation for peak-volume tasks

Deploy automated sorting and picking technology for the highest-volume tasks to reduce dependence on human overtime during peak season.

Strengths: Structurally reduces peak demand on the workforce over time; Can improve accuracy alongside reducing strain. Risks: Significant upfront capital investment with a multi-year payback; Does not solve this season's immediate staffing problem.

D
Launch a resilience and well-being support program alongside current overtime levels

Keep the overtime model but add wellness resources: counselling access, fatigue-monitoring, and manager training to spot burnout early.

Strengths: Lower cost than restructuring shifts or automation; Builds individual coping resources and signals organizational care. Risks: Support programs cannot fully offset demands that structurally exceed sustainable limits; Risk of being seen as a token gesture if root causes are untouched.

Score the alternatives

Set the weight of each criterion (1–5), then score every alternative (1–5). The matrix is a thinking aid, not a verdict.

CriterionWeightABCD
Behavioural impact
Employee acceptance
Feasibility
Cost (higher = more affordable)
Risk containment
Long-term sustainability
A
54
B
54
C
54
D
54

With your current weights, alternative A scores highest. A matrix only reflects the weights you chose. Evidence, ethics, feasibility and the people affected still belong in your judgement — you decide.

Your decision and rationale
Select an alternative first.
10Justification using OB theory

Apply the Job Demands-Resources model to identify whether the intervention reduces demands, increases resources, or both, and use burnout theory (Maslach) to assess whether proposed remedies address exhaustion at its structural source rather than only its symptoms.

11Expected consequences
  • Short term: reducing overtime immediately may miss festive-season output targets unless offset by more staff or automation
  • Short term: seasonal hiring (Option B) requires faster recruitment and onboarding cycles than typically used
  • Long term: continuing unmitigated overtime (Option A) risks a compounding cycle of turnover, retraining cost, and reputational damage as an employer
  • Long term: automation investment (Option C) permanently changes the peak-season labour profile and skill requirements
  • Long term: a credible well-being response can improve employer brand and reduce recruitment costs in a competitive logistics labour market
12Reflection
  • At what point does overtime shift from a resource (extra pay, purpose) to a demand that erodes well-being?
  • How would you design a metric that catches burnout risk before it shows up as resignations?
  • Can wellness programs meaningfully help if the underlying job demands are not reduced?
Knowledge check — Know / Analyse / Decide
Know

In the Job Demands-Resources model, burnout is most directly the result of:

Analyse

What does the rise in picking errors and safety incidents at Trident most likely indicate?

Decide

Which option most directly reduces the structural demand-resource imbalance rather than just its symptoms?

Answer all three levels to submit.