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Running head: BUSINESS MANAGEMENT
AGC faces issues related to human capital such as lack of cultural intelligence and
autonomy, lack of consideration of diversity and multiculturalism, and the inability to show
concern towards the development of its employees. All these factors result in; a reduction in the
motivation levels, decrease in performance, and high employee turnover rates which are the
primary challenges facing AGC Company. Analyzing the turnover rate is one of the strategies to
diagnose the current challenge facing AGC. A sharp increase in turnover of the high performing
employees is an indicator of an existing management problem. Also, the toxicity of the AGC’s
culture was essential in diagnosing the above issues. Increased micromanagement and lack of
career development could result in poor performance (White Jr., 2010). Inadequate support also
helped in the determination of the current organizational problems.
One of the primary root causes of the challenges facing AGC is a type of leadership. The
firm uses an authoritarian leadership style that emphasizes individual co...