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This is the soltion of Unit 3 essay on organization and behaviour assignment in which we discuss a common problem face at the workplace.They grumble about the poor communication skills of their boss, lack of motivation amid the employees, workplace disputes and conflicts etc.
A common problem, which can be seen when managers are accosted with a question related to the problems they face at the workplace is “people problems”. They grumble about the poor communication skills of their boss, lack of motivation amid the employees, workplace disputes and conflicts etc. With the rise in aggressive and demanding workplace, it has become quite difficult for a manager to reach success by just depending on their technical skills. Acquiring good people skills has become the need of the hour. The study of organisational behaviour helps one in studying the people at work and usually focuses on how individuals, groups, and structure influence behaviour within an organisation. Moreover, the primary goal of organisational behaviour is to apply theory in improving the effectiveness of the organisations. Since, organisational behaviour is precisely concerned with situations that are related to employment, it further stresses on workplace behaviour linked to jobs, work, absenteeism, employment turnover, productivity, employee performance and management. For getting a better understanding, the case study of CAPCO has been considered as an example.
CAPCO is a prominent provider of consulting, managed services and technology solutions for the financial service sector across the globe, which was founded 15 years ago. CAPCO employs over 2,000 people in its 20 offices around the world.
Organizational structure defines hierarchy which means chain of command, span of control and communication within an organization. Thus it distributes power, roles and information flow according to this chain of hierarchy. Structures can be tall, flat or matrix. Tall structure has wide level of command but slow span of control. Flat structure has less level of command and wide span of control whereas matrix structures are set temporarily where employees from different functions and levels combine to deliver a project. Usually this structure suits to multi location companies. (Powell and DiMaggio, 2012)
In this section, two different structures are compared. One is flat structure of CAPCO which is a consultancy and management service provider for financial sector organizations. Another is tall structure in British Gas which is leading energy supplier in UK.
Flat structure in CAPCO
Tall structure in British Gas
CAPCO operates under team driven flat structure where the chain of command from top to bottom level is limited and span of control is wide. (Daft, 2012)
British Gas operates under tall structure where bottom line operatives report to team leaders and then to operational managers. Thus having wide level of hierarchy and narrow span of control.
Flat structure in CAPCO empowers employees to lead various functions thereby promoting innovative and entrepreneurial culture.
Tall structure in British Gas promotes specialised functions and works where employees have to handle advanced jobs.
In flat structure, flow of information is clear and effective due to fewer levels of command.
In tall structure communication flow is poor due to wide level of command.
Employees working in CAPCO are highly motivated and empowered where access to management or other functional teams is open with wide scope of mentoring and coaching.
Employees working in British Gas have no direct access to top management leading to limited openness and sharing of information across wide layers.
There is little or no existence of bureaucracy in CAPCO
Bureaucracy exists in British Gas due to complex command line. (Daft, 2012)
Organization culture defines the philosophies that are integrated in values and beliefs of organization which shapes employee’s behaviour and expectations. It also shapes organization’s response to community, employees and customers. There can be various cultures i.e. power, role, task and people. Power culture is led by decisions and control of only management whereas bureaucracy of roles and rules leads role culture. Task culture is formed temporarily to solve problems with expertise knowledge and direction whereas people culture is focused on nurturing employees who are treated as assets. (Alvesson, 2012)
Comparison of culture in CAPCO and British Gas
Flat structure of CAPCO supports innovative and entrepreneurial culture where employees experience openness at work, which promotes knowledge sharing and learning. Therefore, encouraging performance, growth and challenge at work.
Tall structure of British Gas supports role culture where employees are expected to follow their roles and policies framed by organization. Thus it promotes bureaucracy where communication across level and cross functional teams is narrow. Though it has scope of higher promotions but responding to changes or decisions making is slow.
CAPCO’s structure and culture complement each other by supporting an environment of innovation, entrepreneurship and open communication. These factors influence positively on employees, their behaviour and responses to fulfil organizational goals effectively by sincere contribution and quality performance. Also CAPCO’s innovative culture and flat structure results into fewer level of hierarchy meaning that flow of information from top to bottom operation management level is smoother, faster and more effective to respond to volatile changes of financial markets. Thus communication management across functions and between top to bottom level is uniform and strong with more transparency and openness. (Bock, Opsahl, George and Gann, 2012)
In addition, employees can conversely access with ease to the top levels thereby having flexible sharing of ideas, information and concerns. This helps to build competency, creativity, cognitive thinking and learning among employees, ensuring better solutions to problems and industry challenges thereby meeting business objective to deliver customised and best possible consultancy services to their clients. Also clear communication among teams help to promote better team coordination and cohesive participation at workplace to meet group objectives, which ultimately improves productiveness of CAPCO as it, can deliver promising and profitable outcomes to its clients. Thus, this coordinated relationship between CAPCO’s structure and culture supports higher fulfilment of business aims and effective performance in market with higher stability, profit generation and customer base. (Bock, Opsahl, George and Gann, 2012)
An individual’s behaviour at work is shaped by various factors such as relationship between management and co-workers, understanding of roles, supportive culture, motivational factors and policies or mandatory framework of rules. Thus, these influence employee’s performance, output and engagement with their roles, which can be either high or low. (Andrew and Sofian, 2012)
Factors that influence individual behaviour at CAPCO
Leadership is the ability to persuade others and utilise their innate talents and strengths to achieve desired outcomes. It is capable of directing and inspiring focus to lead followers towards an objective. The different leadership styles and their effectiveness are discussed below in context of CAPCO and British Gas:
Organizational theories are the studies that were made on organizational patterns and structural layout to study the influence on external environment and practises within an organization. These theories help to make decisions needed to tackle market changes. Some of them are scientific management and human relations theory. (Hatch and Cunliffe, 2013)
Organizational Theories influence on management practise in CAPCO
At CAPCO, influence of both scientific and human relation theories can be seen. Example, according to scientific management principles tasks should be first assessed according to skills and capacities of employees and not randomly distributed. At CAPCO, this principle is followed to utilise talents and potentials of employees in best manner to achieve maximised performance and deliver innovative solutions to financial clients. Even, influence of Human relations theory can be seen in CAPCO because it emphasises in maintaining clear flow of information to make communication effective between management and teams so that barriers are less and scope of accessibility is more. In addition, freedom is provided across levels to discuss and share ideas, which help to build employee engagement, relation etc further motivating them to use their potentials fully to achieve best outcomes and deliver efficiency even in volatile environment of financial industry. Thus, employees in CAPCO feel secured to take calculated risk and work on challenges to maintain efficiency in work. Further, it keeps them motivated to grow within CAPCO increasing their retention rate. (García-Morales, Jiménez-Barrionuevo and Gutiérrez-Gutiérrez, 2012)
Management is the approach to utilise available resources efficiently to achieve best possible outcomes and profits cost effectively. There are different approaches to management such as:
Evaluation of management approaches used by CAPCO and British Gas
In both CAPCO and British Gas, all the management approaches i.e. contingency, decision theory and socio technical systems are feasible. Example, CAPCO makes significant investment in assessing internal and external environment factors that affects the risk element of financial industry to reach out to cost effective and tailored solutions that are innovative and unique to meet client’s need and expectations. Thus, CAPCO identifies best possible approaches to utilise available resources. In addition, British Gas invests on researches made to assess its internal and external environment to bring efficiency in its management decisions and process applications. Again, decision theory is suitable for CAPCO as well as British Gas as they use various technical tools and methods such as Cost Benefit analysis, decision matrix to make decisions that are opt to meet demand of clients. Further, the socio technical system theory is also suitable for both organizations as they recognise and then applies social aspects such as preference of clients in case of CAPCO and preference of environment issues in case of British Gas to bring modification and up gradation in its process and applications. Hence, resources are utilised to meet changes and accomplish organizational objectives. (Weske, 2012)
A leader can be described as a person who is at the charge and convinces the others to follow him/her. In other words, a leader is a person inspiring confidence within the followers and drives them to act whereas leadership is the ability of leading other people. (Clinton, 2012)
According to the president of BNB Shield Jordan French, "Leadership is serving the people that work for you by giving them the tools they need to succeed. Your workers should be looking forward to the customer and not backwards, over their shoulders, at you. It also means genuine praise for what goes well and leading by taking responsibility early and immediately if things go bad." Leadership styles have a huge role to play in enhancing employees’ motivation. Furthermore, the success of an employee with that of an organization relies on the effectiveness of the leader’s behaviour. The kind of leadership style the manager adopts further leaves either a positive or a negative influence on the employees conferring to the situation. It is a proven fact that every leadership style has a varied impact on the employee behaviour at the workplace. (Miller and Rollnick, 2012)
CAPCO is a global financial service industry, which at various times depending on the situations has to implement different kinds of changes for adapting the surrounding business environment like technological, political, law and policies etc. One can see that any kind of organizational change that is made within the organization often has to face revolution from the employees, as they might not be mentally prepared for such a change. At these difficult times, it becomes very important that CAPCO implement the change through change management further ensuring the fruitful implementation of change in the workplace. Take for example, CAPCO might be looking forward for making a change in the client invoicing system, which further might need a radical change in the operations and the way in which the employees work. Therefore, in order to successfully implementing this kind of a change, it is necessary that the employees are made aware about the impending changes well in advance and concurrently encouraging them in giving their feedbacks or suggestions related to the change. This approach will further allow the management in understanding the employees’ perception on the change. (Miller and Rollnick, 2012)
In the period of change, a manager’s leadership style has a significant role to play in the process. A manager who has adopted the autocratic leadership style would implement the change directly by forcing the employees in accepting the change that eventually will negatively influence the employees, as they tend to think in a segregate way and feel been ignored while taking key decisions. A consultative manager, on the other hand will initially discuss the aspects of the change with the employees ahead of implementing it further creating a positive mindset amid the employees ultimately cultivating the sense of openly accepting a change and preparing to face the challenges that will come with the change. Employee motivation tremendously depends on a manager’s leadership style and thereby, has an important role to play in keeping the employees morale high within period of change. (Miller and Rollnick, 2012)
An organization relies on its employees for producing products or providing services in a well-timed manner. While employees learn the tasks and procedures in an effortless way that is needed for carrying out their respective job roles, an organization can be benefited by offering the employees with incentives for phenomenal job performance. Motivational theory is a concept with the help of which an organization keeps the employees motivated for performing both in a group and in their individual job roles. (Schunk and Zimmerman, 2012)
Motivational theory is helpful in identifying the key factors driving the employees in working towards the achievement of a goal. With a rapid change in the business scenario, more number of organizations are getting inclined on the implementation of motivational theory, as there has been a radical change in their thinking process further making them believe that motivated employees turn out to be more productive and make the best use of available resources. Over the time various motivational theories are defined and are further applied in different business sectors in accordance to their goals and objectives and the existing employees motivational levels. With the help of motivational theories, managers can easily identify the factors of motivation driving the employees. Furthermore, it also helps the managers in understanding which motivational factors can be applied at different situations. An organization like CAPCO makes use of motivational theories for enhancing employees’ effectiveness and efficiencies over the time. Since CAPCO operates in financial service sector, use of motivational theories keeps the employees motivated in attaining the preset targets. (Schunk and Zimmerman, 2012)
Application of two motivational theories within organizational setting
Maslow’s Hierarchy of needs
Maslow has identified employees various needs and further arranged them in a hierarchical structure for assigning preferences of these employee needs. Maslow has stressed that an individual has various types of needs, which further keeps on changing as the time passes by. He emphasized that when the employees’ first level of need is fulfilled they tend to look for the fulfilment of the next level of needs and so on.
By implementing this theory within an organizational setting, the management must make an aim of satisfying the employee needs of a safe and secure workplace conditions and then moving up on the hierarchy by fulfilling the social needs of interaction, team building and cultivating a robust culture. Lastly, the employees’ self-actualization needs of growth and development should be fulfilled in order to further boost their motivation. (Schunk and Zimmerman, 2012)
Herzberg’s Motivation-Hygiene theory
Herzberg has identified the factors important from the employees’ perspectives resulting into an effective work within an organization. Herzberg has divided these factors into two categories namely hygienic and motivators. The hygienic factors help the management in providing the employees with a working environment that is hygienic and suitable whereas the motivational factors help in enhancing an employee’s motivational level and his/her efficiency. The hygienic factors which Herzberg has identified include job security, company policies, wages, supervision, working condition, relations with colleagues, leadership etc. whereas the motivational factors include recognition, achievements, growth, responsibility, advancement etc. (Schunk and Zimmerman, 2012)
Identification of hygiene and the motivational factors will further help the management in formulating adequate strategies. By adding few added benefits such as incentives or more responsibilities while implementing a change at work will not only keep the employees motivated but will also give them satisfaction.
For managers working within an organization, one can see that motivational theories are of much use further allowing the managers in making the best use of the employees’ effectiveness by practically implementing any of the motivational theories in a real time situation in accordance to the employees’ motivational levels. Having a proper understanding of the motivational theories lets the managers to easily identifying the factor helpful for the employees to work in a more effective way and accordingly reward them when they perform outstandingly. It also is equally important that managers apply motivational theories at work in accordance to the business requirements. (Northouse, 2015)
From the point of view of a business, a manager’s role within an organization is significantly important as he/she has the accountability of smooth execution of the everyday operations. Take for example, while implementing a certain change within the work process, it is the manager who keeps the employees motivated and convinces them in openly accepting the change. In such a situation, managers need to apply the Herzberg theory for having a better understanding of the reasons behind the dissatisfaction of few employees and identifying the measures for turning them into satisfied employees. There are times when employees face failure in achieving the preset targets and during these times, the understanding of motivational theories will allow the managers to identify the reasons behind poor performances and take adequate steps for enhancing the employees’ productiveness. Motivation is a factor that is helpful in uplifting employees’ performances eventually allowing an organization in achieving its business targets. (Northouse, 2015)
The term group in the context of a workplace like CAPCO can be described as a set of employees who have come together to achieve a shared goal. A group at work is created for effectively meeting the goals within a given timeframe where every member has the opportunity of making equal amount of contributions. (Griffin and Moorhead, 2011)
At CAPCO, consultants groups are formed in order to deal effectively with the customers and give them the best financial solutions.
Types of Groups
One can determine group behaviour by relating it with Belbin’s team role
4.2 Discuss factors that may promote or inhibit the development of effective teamwork within CAPCO or your chosen organisation
Mentioned below are factors promoting or inhibiting the development of effective teamwork in CAPCO
Technology is a science that is ardent in designing tools, processing actions and obtaining materials. Technology is a wide term and people have their individual way of understanding its meaning. With the emergence of modern times, technology management is used for accomplishing numerous tasks in both personal and professional lives. Concisely, technology can be described as products, processes or organizations. Technology has become an integral part of human lives for extending the abilities making people a crucial part of any technological system. (Tannenbaum, Mathieu, Salas and Cohen, 2012)
Impact of technology on teams functioning within CAPCO
Use of technologies has improved and at times affected team functioning. As technology keeps on changing thereby, it is important that teams keep themselves updated and cultivate their abilities for effective functioning. Technologies like emails, Smartphone, groupware etc. have improved team functioning. E-mail has allowed asynchronous communication amid team members even if they are not physically present in same place. However, e-mail also has its own adverse aspects such as e-mail misuse. (Tannenbaum, Mathieu, Salas and Cohen, 2012)
Mobile phones have become more advanced and have come a long way from the way it was in the 90’s. It has been officially announced that UK has more mobile devices in comparison to its population. Emergence of mobile phones has made it easier for the team members in establishing communication when while on the road or in any other is unavailable without affecting the work. Smartphone’s and use of data cards has allowed the team members to work and communicate remotely from anywhere and at any time.
Use of groupware in CAPCO has enabled the teams in planning meetings, collaborate and delegate through a virtual environment that can even be accessed remotely from any place across the globe.
At the end it can be concluded that assignment is based on the study of organisational behaviour by taking CAPCO as a case study. Throughout the report various aspects, which influence an organisation’s productiveness, has been discussed. The report also highlights leadership styles and the organisational theories within an organisational setting and practices. Use of motivational theories based on its necessities in CAPCO and its effectiveness has been discussed along with the importance of groups and group behaviour.