Background
Calliope is a small business which provides technical and educational support to the financial services industry. It is well regarded by its customers, who rate its products and services highly in helping them meet the increasingly stringent standards required by the industry regulator. Calliope is not the only business which undertakes these activities, but it is an industry leader.
Alex, the chief executive, is conscious of the need to maintain leadership in the sector, but is happy to share the firm’s experience with other bodies, which do not compete directly with Calliope, believing that the promotion of a professional approach by the sector will benefit the industry generally. Accordingly, when he is approached by Terry, the head of Sorex, a small charity, which is seeking to follow the same path as Calliope, but lacks the resources to do so, he is happy to lend a member of staff to provide advice and guidance. Relying on Sorex’s charitable status, Alex is confident that it will not act in any way that is commercially detrimental to Calliope.
Greta has a background in educational development and is experienced in introducing new systems, which was a major incentive for Calliope to hire her several years previously, a decision which it has never regretted. As head of educational development, Greta regularly attends industry conferences and events, where she networks with her peers in similar bodies, as well as product developers looking to penetrate the sector. Because of this, she is well known in the sphere in which Calliope operates. Her reputation and recent attendance at a conference, where she spoke with a Sorex delegate, resulted in Terry’s call to Alex.
Greta spends two weeks helping Sorex to identify the processes that need to be revised to accommodate the new systems that it must adopt to be able to deploy its new technology successfully. She then returns to Calliope, where she resumes her regular work. Terry is full of praise for what she achieved at Sorex, telling Alex that the business would not have been able to make the necessary changes without her help.
The Dilemma
Alex is delighted that his altruistic approach has been beneficial, but his positive feeling towards Sorex evaporates when, two weeks later, David, Calliope’s head of development, tells him that Greta has given notice of her intention to resign, because she has been offered another job, which will allow her to lead her own division, reporting directly to the chief executive. This is a challenge which she eagerly anticipates, as she feels that she does not have the level of responsibility at Calliope which she really wants and which, she believes, her experience warrants. She will also receive a significant boost to her salary.
David tells Alex that Greta will not tell him the name of the potential new employer, saying that it is too early and that she is giving notice immediately, so that Calliope has as much time as possible to find a replacement. Alex is understandably dismayed by this news, saying that he hopes it is nothing to do with Sorex and David responds that he cannot imagine that any organisation which claims to be a charity would act in such a manner.
Greta is working her three-month notice period, without revealing the source of her new job, when Alex meets Terry at an industry event. Terry tells Alex that Sorex has embarked on its new product introduction, thanks largely to Greta’s help, that he is extremely pleased that she has decided to join Sorex and that he is grateful that Calliope is not making her life difficult in the meantime.
Alex is flabbergasted by this news and considers how to reply.
Possible Options
- Alex wonders whether he is being over-sensitive and should simply accept that people move on. On the other hand, perhaps he has cause to feel justifiably outraged that Sorex has stolen a key member of staff from Calliope, who acted charitably towards them and he should tell Terry and his chairman this.
- Alex also wonders whether he should try to block Greta’s move, if possible, even to the extent of entering into litigation, but he is reluctant to consider offering Greta a substantial salary increase and restructuring the department to make her the head, in order to keep her.
Verdict
Alex should tell Terry that he feels outraged at Sorex’s actions and that he will also communicate this to the Sorex chairman.
Further reading