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Diploma in Business
Unit Number and Title
Unit 3 Organisation and Behaviour
Organization and Behaviour delves with the aspect of organisation and behaviour that is associated with understanding the relationship between organisational structure and culture, understanding different approaches to management and leadership, understanding the processes to use motivational organisational theories as well as understanding the mechanisms to develop effective organisational teamwork. Considering all these aspect, two famous organisations are taken into consideration are which are CAPCO and British Airways (BA).
The organisational structure will encompass its cultural scenario, leadership style, internal and external environment and many more. Every company consists of a specific kind of structure for the organisation. CAPCO as well as British Airways (BA) are the two large organisations which are having a formal organisational structure and stringent rules that need to be followed. CAPCO’s hierarchical structure is considered to be formal as it possesses a simple chain of command and command-execution line. At CAPCO, there exists large number of employees who are reporting to more than one person. There is the presence of a multiple level of command stage and decision making stage. The main challenge that CAPCO faces is associated with the fact that the employees that are working together are on the same level irrespective of the hierarchy that they have. (Kotler, 2014)
In British Airways, there is the presence of a more official structure and also standard as because, BA is very large and there it is functioning all across the world. Moreover, the management tries to accelerate the organisational ability through the use of active circumstances for making decisions. It reduces the gap amongst the managers and the chief executives. The culture of the organisation is taken into consideration as the collection a shared thought-process, approaches and values. These factors can do strong navigation of the organisational employees in regard to the processes through which the work should be done. Culture also takes into consideration the internal environment and customs of the organisation that will have a very important function towards organisational success. (Lancaster, 2010)
CAPCO’s success is mainly influenced by the rich culture of the organization. It possesses a very effective cultural scenario related with employee empowerment in the organisation. It explains that various processes by which employees are helping their clients as well as the ways by which they are behaving with one another. CAPCO beliefs in the fact that every organisational stakeholder will be supporting the development of the organisation in the most important manner.
The structure and culture of CAPCO are the two major organisational factors for the achievement of success. The organisational structure for CAPCO are mentioned as under,
There are some different outlooks that exists for the relationship amongst organisational culture as well as ability to perform that are as follows,
The employees who work at CAPCO are there for receiving a fixed remuneration and other benefits. They are regarded as internal stakeholders as well. There is the requirement for a huge number of effective and efficient employees to carry out the organisational business in an efficient way. There is a variation in the salary structure according to the age, capabilities, qualification and type of work. (Kotler, 2014)
The issues influencing individual behavioural aspect for CAPCO are as under,
CAPCO’s senior officials are committed to provide exclusive and enhanced services to the customers and to make the organisation a better place to work, CAPCO’s CEO tries to focus on the aspects that are considered to be of little significance, which will have a huge impact on the business. These focuses on scenarios that is unnoticed, which makes the employees to have a feeling of improved accomplishment and admiration.
Leadership is defined as the opportunity to transform a thought to reality. The leadership style is normally the approach that will be perceived by a leader to lead his employees. The leadership style that is prevailing in BA is regarded as supportive. BA is following the traditional leadership style that is being used for a long period of time which is highly concentrated, administrative, used to reduce response of the employees, neglect towards the junior employees and so on. This style of leadership has now been changed to a supportive style of leadership. In the supportive leadership style, proper mentoring is done related to career, training, which are considered to be the key towards employee satisfaction.
This leadership style will build an environment of trust between the employees and the management. At present, the managers possess the knowledge to communicate effectively with the employees as well as provide them the required motivation. They will allow the employees to develop a vision and permit the employees to use their individual opinion and cautiousness when they will take a major decision. Managers did the creation of a support system to get mutual support outside the formal organisational structure. On the other hand, the employees are needed to see the ways by which their work is contributing in respect of overall development of the company. (Harrell, 2011)
Scientific Management Theory
Human Relations Theory
This is an organisational theory that is based on the researched belief that people are having the desire to be a part of the supportive team that will facilitate growth and development. Therefore, when special attention is provided for the employees and they are given adequate motivation to participate, they consider their work to be very important and they get inspiration for getting more productive that give rise to better quality of work.
The influences of human relations theory on management practice are as follows,
Basic aspects –It is regarded as an important scenario for human relations in the workplace in the functioning of a business. Employee should be functioning in a collective manner frequently related to projects, communication of ideas and to provide for the actualisation of things. When the culture of workplace is not having a stable condition, there might be the occurrence of various challenging scenarios both in the logistics for managing employee relation and in the lower levels. Businesses that have better workplaces and efficient workforce have the better ability of retaining as well as attracting efficient candidates, cultivating loyalty of the clients and quickly adapting the needs that should be met for a changing marketplace.
Improvement of retention –The quality for workplace relation is very important to retain the employees. The retention of the employees might be considered to have very less significance especially in a workplace having high turnover ratio, therefore, the managers should consider the fact that turnover is an expensive affair. Every new employee has the requirement to invest significant amount of time and energy in respect of their training and recruitment. (Furnham, 2012)
Motivation and Productivity – Workplace relationships provide a source of motivation for the employees that are important to maintain the productivity. Employees that have an interest in their work and welfare of other employees are basically more effective. This productivity will be providing considerable financial profit to the company.
It can be observed that, CAPCO follows a participative working culture. There is the existence of no permanent line of command and employees are able to report to more than one individual line manager. Cultivating approach is taken into consideration as being that kind of approach that is associated with facilitative management that will rely extensively on personal abilities. (Clay, 2013) The approach will be identifying the need for external stimuli in having a better performing ability. The management approach that CAPCO is following is normally regarded as cultivating approach because of the following scenarios,
BA on the other hand is following the steering management approach which is common in relation to specific and physical outcome based circumstances. The organisation has the knowledge that effective steering needs a lot of preparation and development guidelines. Proper planning methods and regulations that are predetermined are also considered to be important. (Fernando, 2011)
The term motivation refers to the intensity, direction, initiation, persistence of individuals’ behaviour. Motivation is an idea or an initiative which is used for driving or encouraging the individuals in performing in better way. As the employees are considered as cornerstone in many organisation enforcing high morale, high self esteem are necessary within the employees to achieve the organisation’s mission and success parameter. (Almansour, 2012) From the literature overview leadership has been seen as the personal capabilities to influence the people to achieve mutual compatibility objective. There are different leadership styles which are influences people within the organisation in different way. Leadership pay a key role in implementing motivation within employees. Leaders with their efficient leadership styles place motivation through proper communication within the employees or teammates. (Almansour, 2012)
Democratic leadership style: these leaders are place open approaches in the motivational perspectives. The leaders having this style of leadership motivate the employees by making the decision making process shared and the employees are encouraged to contribute in the team vision and the thoughts and views of team members are valued by these leaders. These approaches create belongingness within the employees. (Atwood, Mora, and Kaplan, 2010). These leaders successfully motivate their employee though monitor their performances through close observations.
Charismatic leadership styles: motivational perspectives are higher in this leadership style than any other leadership. These leaders tend to place focus on creativity within the employees. These leaders are also called transformational leaders. These leaders are driven by their sincerity and commitment to their cause. As these leaders do not place focus on the process or structure productivity might be developed as per organisational vision. (Spar, 2016).
Autocratic leadership: these leaders are also known as the dictator leadership as they tend to focus on the policies and the process of the organisation. The leaders tend to monitor their employees and drive their performances through supervision. The strictness within the leadership style places negative impact upon the employee motivation. (Przybylski, Rigby and Ryan, 2010).
Laissez-faire style: this leader gives all the power and authority to the employees. The employees have to determine the goals and also solve the problems on their own. Through these kind of approaches employees can be empowered and responsibilities, loyalty can be placed within them. (Atwood, Mora, and Kaplan, 2010).
People within an organisational setting have different needs and wants. Identifying these needs and requirements are necessary for the managers or leaders to place proper motivational theories in motivating the employees. These needs and desire direct the people towards the aims and objectives. By analysing these needs the managers or leaders can improve the productivity of the employees. (Schunk, Meece and Pintrich, 2012) There are different motivational theories on the motivational perspectives of employees. Among these two motivational theories are mostly approached by organisations. Maslow hierarchy of needs: according to Maslow there are hierarchy of needs in the desire of people. The lower needs take the priority while without fulfilling the lower needs the upper needs cannot be approached. He referred that the managers need to analyse the levels of needs of individuals. Maslow has defined five forces which impact over the desire and needs of employees such as:
Maslow referred that the by achieving the basic level such as the physical needs of the employees they can approach the upper level of the pyramid which is the safety and security needs. Maslow referred that the higher order needs become operational by satisfying the lower order. (Lichtenberg, Lachmann, and Fosshage, 2016) Maslow also referred that different individuals are associated with different kinds of needs which can be analysed through the pyramid. Employee involvement in organisational functions by CAPCO is increasing the self esteem and self actualisation. (businesscasestudies.co.uk., 2016).
Herzberg theory: Herzberg theory of motivation has been based on the two factor model which refers that there are certain factors which invoke satisfaction and dissatisfaction within the motivation. The hygiene factors enforce dissatisfaction within the employees while motivational factors increase the motivation or satisfaction. He referred that all the factors of motivation can be operational at same time. CAPCO has to analyse the motivational factors for increasing the employee satisfaction such as, salary, rewards, security within the job etc. The management has been efficiently placing responsibilities and involve the employees in decision making in order to increase their motivational level. (Przybylski, Rigby and Ryan, 2010).
Model of Herzberg theory:
Similarities and differences between Maslow and Herzberg theories:
Both the theories bestow that an exact set of requirements must be met for influencing the behaviours and the performances of the employees and maintaining the state of motivation. Both models placed their importance on the achievements of needs to motivate individuals. Herzberg divided the needs within two categories- hygiene which is based on physical and psychological needs and motivation while Maslow divided the needs within five categories though placing the focus on the physical and psychological needs.
The main differences within Maslow and Herzberg is that the hierarchical model of Maslow has placed less concentration on the emotions and other feelings within the psychological needs while Herzberg placed focus on the concrete areas of psychological emotions. From the theories of Maslow the dissatisfying factors are not indentified while Herzberg clearly separated the dissatisfying factors and satisfying factors.
Through the application of the motivational factors within the organisation the management is able to direct the human resources towards the achievements of the organisational aims and goals. Managers place greater focus on the motivational factors in order to direct the employees towards better productivity and achievement of success factors. (Almansour, 2012) By increasing the level of motivation organisations like CAPCO has been trying to improve the standards of the performances and approaching the emerging trends within the market. The management of CAPCO is creating the formal team within the organisation to perform specific tasks which will meet the organisational goals. By enforcing innovations and creativity the management is placing greater amount of motivational perspectives in the management of human resources. The organisation has diversity within the human resources. The management of the organisation has been focusing on different motivational theories for motivating the diverse workforce and leads them towards greater quality in services. (businesscasestudies.co.uk., 2016).
Staff satisfaction: The managers have the key role to get the things done by the employees. In order to direct the people and encouraging them towards better performance the employees should be motivated efficiently. The motivational theories are necessary for the management to understand because through the motivational theories the management can be able to have understanding on different needs. (Almansour, 2012) By understanding the motivational theories the management of CAPCO can be able to guide the employees with efficiency. Management of CAPCO has implemented the Maslow hierarchical needs theory. Through this theory the management is able to identify proper satisfactory marks of the individuals. By meeting the levels of hierarchical needs the management of CAPCO tends to place better employee relation. As a result 85% of employees stated that they are happy and satisfied within the growth in career. Through motivating the employees CAPCO management has been broadening the employee skills and ability to achieve better standards. (Przybylski, Rigby and Ryan, 2010). As the organisation has been dealing with the challenging financial service industry, the changes within the business environment impact over the organisational performances. The CAPCO management by understanding proper motivational aspects of the individuals motivates them towards development of creativity and innovation. (businesscasestudies.co.uk., 2016).
CAPCO consists of Flatter organisational structure and employee focused culture. The employees feel empowered and motivated for these culture and structure. (businesscasestudies.co.uk., 2016).
The theory of group can be defined as the combination of two or more persons. The groups are formed or developed to get proper of specified results with involvement of various skills and competencies. (Nagy, Akos, Biro, and Vicsek, 2010) The group consists of different members who have specific roles and responsibilities but the overall objectives are common. CAPCO organisation has the main focus on the group dynamics. They promote collaborative partnership within working environment.
There are different types of group based on their nature such as
Formal groups: the formal groups are created by the organisation with the purpose to achieve special or specific tasks. The management of CAPCO create these kinds of groups and set predefined goals and targets for the group achievements. (businesscasestudies.co.uk. , 2016). The roles and responsibilities are fixed within this group. There are two categories of this group:
Command group: this group has fixed position within the organisational chart and is not temporary in nature.
Task group: this group is temporary in nature and have relatively small impact over the organisation. The planning of the command group has been executed by the task groups. (Nagy, Akos, Biro, and Vicsek, 2010)
CAPCO management has created larger groups which have formal structure and have co-ordinated roles and responsibilities. The smaller teams are accreted for having faster decision. Bas example they create rocket teams which consist of 3-4 people. These groups have the responsibilities to generate ideas. (businesscasestudies.co.uk. , 2016).
Informal groups: this kind of group is created by the members of the organisation. The group creation is based on interest and friendship. (Nagy, Akos, Biro, and Vicsek, 2010)
Team work has been an important issue within the organisation to achieve improvements within the organisational performances. Without improved performances of the team the organisations like CAPCO cannot be able to fulfil the desired objectives. CAPCO has placed different employability skills and abilities within the teams. Collaboration within the teams and sharing of ideas are the main focus of development of teams within CAPCO. There are different factors which are necessary for the development of the team. (Friedkin, and Johnsen, 2011)
In CAPCO the development of team is driven by placing focus over the goal. The teams are developed and driven with common goals. The common goals and objectives are specified in advance while developing the team. In order to increase the efficiency of the team work the leadership, environment of working, culture and structure of the organisation are needed to be analysed. (businesscasestudies.co.uk., 2016). Within CAPCO certain factors inhibit and promote the development of team work and its performances:
There are certain factors which can inhibit teamwork:
4.3 Evaluate the impact of technology on team functioning within CAPCO or your chosen organisation
The improvements and the inventions of the technologies are influencing the working as well as the performances of the organisations. Understanding the modern technological usages and implementing them within the organisation has been effective for the business. As CAPCO has been operating their business in the finance service sector the business of CAPCO has been impacted by the modern technology. (McLeod, Lucarotti, Hennigar, MacLean, Holloway, Cormier, and Davies, 2012.) The employees of CAPCO have been benefitted by the well established technology as they can develop more advance services on financial industry.
The CAPCO teams can be able to have better communication within the each other. Through the new technological implementations within the communicational channels the team performances can be improved. (businesscasestudies.co.uk., 2016). Through the groupware the CAPCO teams can have proper communication with each other and also share the knowledge and information through it. Placing modern technologies within the communication will also increase the efficiency in the customer relationships. (McLeod, Lucarotti, Hennigar, MacLean, Holloway, Cormier, and Davies, 2012.) Through including the new technology within the services CAPCO has been moving towards new service users while shifting from the research laboratory. Through adding social media the organisation has been placing integration within the approaches such as LinkedIn has been used over the communication purpose about the benefits of the Associative Talent Programme (ATP) and attract the applicants. (businesscasestudies.co.uk., 2016).
The technologies are also playing a large part within the training and development of the employees of CAPCO. As the organisation has been the dealing in the conflicting financial service industry the employees has to obtain current knowledge and skills along with rules and legislations of government. (McLeod, Lucarotti, Hennigar, MacLean, Holloway, Cormier, and Davies, 2012.) On this regard using the current technology has been efficient approach to provide proper information over current skills and knowledge. These technologies are also adding values in the customer services. Technologies can also impact negatively on the team work in CAPCO environment. Placing the higher communicational technologies within the team working can influence the privacy of individuals of the teams. The increased use of the online communicational methods hampers the privacy of individuals as they have to be present online groupware or in social media while being away from the office. (McLeod, Lucarotti, Hennigar, MacLean, Holloway, Cormier, and Davies, 2012.)
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Organisational behaviour is the study of the concept which has been based on the interaction within the people in groups, organisation. Different structures and cultures are incorporated within the organisational behaviours. The culture of an organisation has been impacting over the behaviour of the people. CAPCO has been following the flat organisational structure though in some projects the organisation uses hierarchical approaches. the employee orientated culture has been driving the motivation within the team work of CAPCO. Through the motivational theories and their implementations the managers of different organisations are directing the people of the organisation towards organisational success. In CAPCO’s success the team dynamics and the integral approaches towards team working have been playing a large role.
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