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This unit 3 Concept of Organisations Behaviour Assignment provides effective insight on the concept of Organisation and its behaviour. This study comprises of the effective comparison of the organisational culture and structure of two organisations. The organisations are CAPCO and Greenwich Leisure Limited. The inter-relationship between the structure and the culture of CAPCO that impact the performance of the business has also been analysed. In the second segment the distinct leadership styles at CAPCO and Greenwich Leisure Limited has also been discussed. The difference between scientific and human relations theory has been analysed and the different management approaches by CAPCO and Greenwich Leisure Limited has been discussed. The third segment provides emphasis on the outcome that different leadership styles have on motivation. The application of two motivational theories has been compared and the necessity of management to incorporate these theories has also been discussed. In the final segment, the nature of group behaviour within CAPCO is determined and all the factors promoting effective teamwork has also been analysed. Finally, the various impacts that technology has on the team at CAPCO has been analysed and discussed in brief.
CAPCO is one of the more renowned companies in the avenue of being an assistance provider in the area of technology and management services when the financial service industry is taken into consideration. CAPCO is bundled with a powerful business culture and thrive on innovation. In such an environment the prevalence of a hierarchy can turn out to be disastrous and hence it does not possess one. CAPCO comprises of a team oriented and non-hierarchical structure that encourages the mode of operations carried out by the employees at all times. There resides a culture that brings together various specialised personnel from various departments for the purpose of joint collaboration of operations and this is done in order to credibly perform specialised projects. This prevalence of culture is known as the Matrix Culture. High morale and motivation can always be associated among the employees as a result. The approach of leadership is bottom up in nature and this ensures that no form of autocracy or bureaucracy prevails in the system. Employees have the liberty to voice their opinion and also participate in business decision making activities. The CEO exhibits a very approachable characteristic that helps develop a lot of employee motivation. CAPCO culture is determined by four main aspects that include reward and performance, growth opportunities initiation, stiff portfolio of work and learning and experience. Overall the culture is well in sync with the structure. (Businesscasestudies, 2016)
Greenwich Leisure Ltd is an exempt charity organisation for the benefit of the community and it is registered under the Industrial and Provident Society Acts. The Board of Trustees is mainly in charge of the governance which straight away confirms the prevalence of some hierarchy in the system. The governing document which was first established in 1993 and later re-registered in 2010 in compliance with the Financial Conduct Authority is referred to as the set of rules that all the staff has to follow. This particular governance structure comprises of executive sub-committee, Audit sub-committee and the remuneration Sub-Committee. The day to day management is overseen by the managing director or the executive director and the MD reports to the Board of Trustees. This is an indication of a hierarchical structure. Induction and training is provided to the new board members so that they can develop themselves. Despite of it being a hierarchical structure, the staff is always empowered by encouraging them to join the society as voting members. This is the root cause of staff motivation and empowerment and as a result low absence ratio can be associated in the organisation. (Ethex.org, 2013)
Hence from the above explanation we see the main difference between CAPCO and Green Leisure Ltd lies in the fact that CAPCO is a flat structure where employee opinion is highly considered and encourages. GLL on the other hand is a hierarchical structure with a set of rules that staff members have to follow. The main similarities lie in the fact that CAPCO employees were motivated at all times because it is an employee oriented organisation. Staff in GLL is motivated as they are empowered to join the society at all times by the top management. Other than this, they are two distinct organisations.
The anti-hierarchical flat structure of CAPCO happens to be in complete sync with the attributes of the Matrix culture and with the style and approach of leadership that is adopted in the organisation. As mentioned earlier, CAPCO has a completely employee oriented structure and culture looking to foster the environment and ambience in which work is done.
As a result of an approachable top management, the employees always exhibit high levels of motivation and are always looking to contribute in various affairs as they understand how much the organisation values their contribution. Employees remain motivated at all times to offer their suggestions and altogether their exist a unified culture as the top management and the subordinates both exhibit a huge deal of openness and acceptance. The work load prevalent is massive and hence this kind of management style helps in getting the work done but at the same time ensuring that the employees are participating voluntarily and not forcibly. Excellence in performance is duly appreciated and recognised and this motivates the employees to strive for more.(Businesscasestudies, 2016)
The prevalence of the matrix culture helps in employees from various departments and background to come together and work in a unified way. This helps them develop their interpersonal skills as people from specialised fields work together. The employees also get exposure to various perspectives. The various training modules and development programmes aim at developing the employees into a more efficient work force and this keeps the employees secured as they realise the value that the company gives to them. All of these things contribute in the employees being motivated to work, thrive to achieve targets, participate in decision making processes and look to achieve more.(Businesscasestudies, 2016)
However, it has to be understood that there are cons to everything as well. A flat structure is all right, but there must be some kind of a formal supervision in place just to ensure that the employees do not take their position in the organisation for granted. As a result of the structure and culture being employee oriented, the employee may strive to achieve personal needs before organisational needs. In such a case, it will be a highly unfavourable scenario for CAPCO. A formal supervision would also restrict the employees from adopting any malpractices or ill means at work.
This is how the relationship of CAPCO’S structure and culture will impact the performance of operations.
The factors influencing individual behaviour at CAPCO are the following.
The various styles of leadership include autocratic leadership, democratic, bureaucratic, laissez faire, transactional and transformational leadership.
It has to be understood that the fundamentals of leadership are not viewed by the leaders in CAPCO as a method to govern people but actually guide and develop them so that they can be more efficient force in achieving organisational objectives. The anti-hierarchical and flat structure ensures that there are no levels of autocracy and bureaucracy prevalent in the organisation. The determination of ‘a coach’ for every employee suggests that transformational leadership is adopted as every coach will have to adopt different ways in order to cater to different individuals. Overall, large levels of democratic leadership can be associated as decisions are taken as a group which involves the participation of the employees. Although performance is the foremost criteria for recognition, transactional leadership is hardly practiced as that would mean that employees would only be rewarded on completion of a target or excellence in performance. Instead, transformational leadership by the coach helps in developing an employee. The bottom up leadership approach makes sure that employees are given utmost value and are always encouraged to come and participate and make their contributions in the form of opinions and ideas as innovation is one thing that they thrive on. These traits of effective leadership in CAPCO make sure that the employees always remain motivated at workplace and are always looking to better themselves and contribute more to the organisation and also ensure that a rather large portfolio of work is efficiently achieved voluntarily and with high morale for the work and regard for the company.(Capco, 2016)
In the case of Greenwich Leisure Limited, the main body of governance is the Board of Trustees. They determine a set of rules that is in compliance with the Financial Conduct Authority that is to be followed by all the members of the organisation. Top executives like the managing and executive director report to the Board of Trustees. The Board urges everyone to comply with the set of rules that gives an indication that the leadership style adopted here is highly bureaucratic in nature. The fact that only eligible staff members are encouraged to be members of the society can be related to the traits of transactional leadership as encouragement is provided on the basis of eligibility. The good thing is that it keeps the employees motivated and committed to attain eligibility. Although the main decision making authority lies with the Board of Trustees, complete autocracy in leadership style is not exhibited.(Ethex.org, 2013)
These are the effectiveness of the different leadership styles in CAPCO and Greenwich Leisure Limited.
Scientific Management Theory and Human Relations Theory have had distinct influence on the practice of management. The scientific theory was proposed by Frederick Taylor who focused on the following aspects. He stated that in order to attain increased productivity, it was imperative to have multiple levels of workforce. He proposed the significance of adopting the autocratic approach of leadership. He stated that supervision is a key element in management and individuals should always be supervised and monitored so that their performance can be controlled. Regulations and procedures that are laid down by an organisation are to be followed at all times. All decision making authority lies with the head of the organisation and employee ideas and opinions are not important. Any personal levels of interactions that deal with issues not relating to work should not be entertained. (Taylor, 2016)
This theory has not been in acceptance in the recent past and the reasons are that it has a lot of drawbacks.It completely fails to recognise the aspect of individual emotions and feelings and just merely considers individuals to be robots. As a result, high levels of dissatisfaction, lack of morale and motivation, employee turnover and decreased productivity can be associated. Employee participation is obstructed and no perspective is present on the development of the employees which can be fatal for any organisation. This is why this theory has not been popular.
Human Relations theory in comparison focuses more on the nature of work. Regulations and procedures are important but this theory is not completely about adhering to regulations. According to this approach, increased productivity can only be determined if employee ideas and suggestions are taken into account, the development of the employees are taken into account, the motivation and morale of the employees is restored, etc. It states that if an employee is not satisfied and motivated at workplace, he or she can never be productive for the organisation. For this purpose, a communication process is facilitated between the top management and the lower management where a consensual decision is made after prior consultation with the employees. As a result of this approach, employees are always motivated to perform and satisfied at workplace. Their relationship with their top management is also sound and they look to work towards organisational objectives voluntarily. High Levels of Democratic Leadership, transformational leadership and Laissez Faire can be associated with the Human Relations Theory of Management.(Grey, 2012)
These are ways in which scientific theories and Human Relations Theory have distinct influence on the practice of management.
Out of all the various styles of management prevalent, CAPCO adopts the democratic style and the coaching style. The democratic style is also known as the participative style and has a set of objectives. They include encouraging employee input while decision making, rewarding team effort, fostering conditions for teamwork, etc. This one style can be associated with the flat structure that is prevalent in CAPCO. The matrix culture requires individuals from different background and department to come together and work as a team. Employee participation is encouraged as the opinions and suggestions of the employees are valued by CAPCO and their input is well received while making a decision. (Cardinal, 2015)
Employee recognition is provided on excellence in performance and all these things help in the employees being motivated and willing to strive for more. This can be associated to the democratic style. The coaching Style on the other hand has the primary objective of development of employees and enhancement of their skills. CAPCO has the culture of appointing ‘a coach’ for the employees who will help in guiding them properly. The Coach is also responsible to see whether the employee is developing his skill set or not over a period of time that will make him more efficient. Thus the two approaches of operations management that can be associated with CAPCO are democratic or participative style and the coaching style. (Capco, 2016)
The leadership style exhibited in Greenwich Leisure Limited is not completely autocratic. Hence the authoritative (visionary) style of management can be associated with this organisation. In this company, a set of rules is determined by the Board of Trustees which is expected to be followed by the staff members and other members of the management. The visionary style refers to a manger who is firm and fair. These styles gives clear directions to the employees and provide them feedback on their performance.Not complete exclusion is adopted with regards to employee opinions and hence the visionary style. This approach of management persuades and motivates people by empowering the staff and encouraging them to become members of the society. Thus the two contradictory things here is employees are subjected to follow the set of rules laid down but yet there is a low absence ratio in the organisation high ensures the fact that the employees believe in the visionary directives of the Board of Trustees and are motivated to become members of the society. Hence the management approach adopted by Greenwich Leisure Limited can be considered as the authoritative (visionary) style. (Cardinal, 2015)
The structure and culture of CAPCO is completely employee oriented fostering conditions for the development of teams and effective team work. The high entrepreneurial culture along with the drive to acquire innovation at all times requires individuals to work in groups in CAPCO. Individuals hailing from distinct departments and background are required to come together and work towards a set of mutual specialised organisational objectives. This is a result of the matrix structure and culture that exists for the completion of specialised projects. This is one example of a formal group that is formed in this organisation.(Businesscasestudies, 2016)
Informal groups are also prevalent in the organisation. The flat structure ensures that the employees are always encouraged to work as a team and participate in all company related procedures. The employees give their opinions and suggestionsin all decision related matters and hence the decision is taken as a collaborated group which comprises of everyone in the organisation. During brainstorming sessions or performing operations related to the organisation of a social event, etc ideas and opinions are accepted from everyone throughout all verticals and departments of the organisation. A final standpoint is achieved as a result of consensual agreement as a group. This is an example of an informal group in CAPCO.(Learnmanagement2, 2016)
The employees in CAPCO are completely attuned to working in groups and thrive on innovation as a result. While discharging their responsibilities and working as a team, the employees ensure that they have utmost reverence and integrity in store for all their colleagues and other team members. Formation of groups is hence a common phenomenon in CAPCO and is a part of their regular routine. However, groups can be either large or small in nature. In this organisation, for the purpose easier establishment of the loyalty and trust, mostly small groups are prevalent.The number of members per group on an average is three or four. These groups carry out the different mode of operations with the perspective and emphasis laid on future outcomes or probabilities. A constant effort is made by groups in CAPCO to ensure that every operation is carried out with the eventual objective of securing the future means.(Businesscasestudies, 2016)
This is the nature of groups and group behaviour inside CAPCO.
The factors promoting the development of effective teamwork within CAPCO consists of the following
These are the factors that promote the development of effective teamwork inside CAPCO.
Technology has the following impact on the team functioning within CAPCO.
From this study we come to know that the organisational structure of CAPCO is a flat one with the tendency of Bottom up leadership approach. However there is a prevalence of a hierarchy in the case of Greenwich Leisure Limited as the main governance power lies with the Board of Trustees. Mainly democratic and transformational leadership can be associated with CAPCO with a participative and coaching approach of management adopted.
The Scientific Management Theory is not at all employee oriented as it focuses on the importance of following rules and being supervised at all times. The Human Relations Theory on the other hand lays emphasis on employee feelings and emotions.The two motivational theories that have been discussed by applying them are Maslow’s Hierarchy of Needs and Herzberg’s two factor theory of motivation. The impact of various leadership styles on motivation has also been analysed. The different leadership styles include autocratic, bureaucratic, transactional, transformational and Democratic Leadership.
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