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Unit 3 Organisation and Behaviour Assignment - CAPCO and IKEA
Organisation behaviour is been mainly defined as a learning and application of the knowledge about how the people within the organisation act or respond. It is entirely focused to the human and works for the human benefits. It is been mainly applied to the behaviours of the individuals in each and every organisation. The basic purpose of organisation behaviours is to develop better relations by accomplishing the organisation, social and human objectives within the organisational framework (Thornton.et.al, 2012). Therefore, the current unit 3 organisation and behaviour assignment CAPCO and IKEA is been carried out with the purpose to gain enhanced understanding about the organisational behaviour and its relevant aspects. It would be comparing the structure and culture of different organisation along with the impacts of the relationship on organisational performances. The report would also compare the effectiveness of different leadership styles and evaluate different approaches being used by the management of CAPCO, a leading organisation which serves the financial sector. Furthermore, the report would also analyse the usefulness of the motivational theories for the managers at CAPCO. It would also evaluate the factors that promote the development of effective teamwork in the organisation along with the impacts of technology on the team functioning within CAPCO.
1.1 Comparison of culture and structure between CAPCO and IKEA
Comparison of the organizational structure and culture between CAPCO and IKEA
Table1: Comparison of structures
The management of CAPCO follows divisional organisational structure
Whereas, in IKEA hierarchical organizational structure is been followed.
The divisional structure facilitates CAPCO to have different departments on the basis of functions, product, project, etc. and attain higher efficiencies.
The hierarchical structure include well structured path and follows a layout of the pyramid. Every individual in thus structure is a subordinate to someone only except the CEO (Bock.et.al, 2012).
Table2: Comparison of culture
Academic culture is been followed by the management of CAPCO
While IKEA acquires normative culture
The academic culture is highly focused towards the skilled and knowledgeable staff members and deliver innovative and well behave culture (Matsumoto and Juang, 2016).
While, IKEA has strict norms and processes which must be adhered by the employees and follow them properly.
The academic culture helps in establishing effective guidelines at the workplace and do not require to push the employees much.
On the other hand, the employees are been expected to be particular towards the policies and regulations and make best efforts in the business.
Similarity of structure and culture between CAPCO and IKEA
Table3: Similarity of structure
The management of CAPCO mainly prefers to the specialised products and services.
IKEA also ensures the perfection in the product development.
It carries out its functionalities at global levels
Similarly IKEA also follows the same (Scott, 2013)
CAPCO acquires well managed structure with different departments
Similarly, IKEA also have the hierarchy structure to attain better control over the management.
Table4: Similarity of culture
The management of CAPCO ensures an effective team work and management at the workplace.
Similarly, IKEA also lays an emphasis on the team functioning at the workplace.
The management believes in bringing creative products to the clients (Grimpe and Hussinger, 2013).
Similarly, IKEA also focuses on the innovation in the products and services and always satisfies the customers with it.
Emphasis on people
Customers are the major focus of CAPCO and strive hard to deliver the best satisfactory services to them. Along with this, the employees are also provided with better opportunities at the workplace
Business environment of IKEA focuses on the same aspects and ensures the better performances.
1.2 Impacts of the relationship between CAPCO’s structure and culture on the performances of the business
In the context of the case, it has been seen that the culture and the structure of CAPCO is interdependent on each other and carries out the activities accordingly. It has been identified that CAPCO follows a divisional structure in which the departments are been divided in different sections so that to classify the roles and responsibilities among the employees. With the help of this, the employees are been facilitated with the ease in their working conditions and perform accordingly (Moerdyk.et.al, 2015). As per the structure, there are set standards of working in particular departments and thus have to be followed by the employees. In addition to this, CAPCO also ensures that the employees are been provided with the working environment and motivate them towards the organisational objectives. The culture of CAPCO lays a special emphasis on the customer values and the satisfactory services and the employees are been strictly instructed to fulfil the demands of the clients. It has been identified that due to the relationship between both the culture and the structure, the management of CAPCO would be able to establish a working environment and motivate the employees to work with their best efforts (McShane.et.al, 2015). Both the culture and structure of the organisation promotes innovation, creativity and flexibility at the workplace and makes the employees improve their performances and carry out the business practices effectively.
1.3 The factors influencing the individual behavior in CAPCO
Behavior is the response or action against any of the situation faced at the workplace. It is been considered that the behaviors of individuals differs from each other and could be influenced by different factors as well. It is crucial that the management identified and evaluates the behaviours of the employee members individually in order to treat them and make them work accordingly. The organisation must determine the diverse behavioural aspects which could be influenced and affect the business activities of CAPCO as well (Montano and Kasprzyk, 2015). However, there are ample of factors which influence the behaviours such as environmental factors, personal factors, cultural factors, social factors, organisational factors, motivation, perception, etc. With respect to the functionalities of CAPCO, it has been found that environmental and the personal factors are the major aspects which influences the behaviour of the individual at the workplace.
Figure1: Factors influencing individual behaviors
Additionally, the socio cultural, political, legal and economical factors are been included in the environmental factors which influence the people at large. It also includes the monetary values, wages, remunerations, developmental opportunities, etc. which influences the people to work either positively or adversely. On the other hand, intelligence, experience, age, capabilities, gender, personality, perception, values, beliefs, desires, etc. are the personal factors which influence the behaviours of the individuals (McShane and Von Glinow, 2015). Every individual acquires different personal opinions regarding different set of situation and thus respond towards it accordingly. Moreover, the employees of CAPCO are been provided with proper motivation and the satisfaction towards their job so that to reduce the consequences of any of the disagreements and lead to the influences.
2.1 Comparison of the effectiveness of different leadership at CAPCO and IKEA
Leadership is been often referred to the capabilities of managing a team, establishing a clear vision, conveying the information among the subordinates and lead the people in an effective manner. It is the most important aspect which must be focused by the management so that to lead the people according to the organizational desires and make them abide by the norms effectively. There are several leadership styles which could be implemented by the organization and ensure their effectiveness. Some of the most common leadership styles are transformational, autocratic, transactional, democratic leadership style, etc (Oliver, 2014). which influences the people and the functionalities at the workplace. The transformational leadership style facilitates the employees to communicate with each other and reach towards the objectives. This style mainly states that communication among the employees helps in motivating the staff to exchange their knowledge, views, ideas and skills and make them work together with their combined efforts towards the set objectives of the organization. The autocratic leadership style on the contrary is the most stringent style which includes only one leader and the employees are not been provided any involvement in the decisions. The leaders or the higher authority is the only decision maker in the business. In addition to this, the democratic leadership is the opposite of autocratic style which allows the employees with the free environment at the workplace. The employees are been facilitated with the opportunities to get involved in the decision making and carry out their functions effectively. With respect to CAPCO, it has been found that transformational leadership style is been adopted which facilitates the employees to communicate with each other and reach towards the objectives (Van Dierendonck.et.al, 2014). On the contrary to this, democratic leadership style is been adopted by the management of IKEA which helps in establishing a healthy and working environment and motivates the employees more effectively.
2.2 Influences of organizational theories on the practices of management
The organizational theories are been referred to the study of different structures and patterns of the business in order to resolve various issues, augments the effectiveness, fulfill the expectation of the stakeholders effectively. It has been observed that there are ample of theories which could influence the management practices within an organisational framework. Some of the major organisational theories are classical theory, socio technical theory, scientific management theory, system theory, administrative theory, etc. With respect to the management practices of CAPCO, it has been seen that these theories could lay a significant impacts on the business. The scientific management theory helps in bringing improvement in the effectiveness of the business activities and leads the business towards the success (Hassan.et.al, 2013). The theory regulates a proper and systematic flow of activities and accomplishes them by using different concepts like scientific analysis, mathematical concepts, etc. specifically. The system theory on the other hand is the combination of the interlinked and mutually dependent factors. It basically instructs the management to carry out the work in a systematic manner at the workplace and lay and emphasis on the management activities as well. In addition to this, the socio technical theory affects the management practices by enhancing the relationships within the employees and the higher authorities in the organisation. Moreover, with respect to CAPCO these theories prove to be beneficial in achieving the desired goals and lead towards the success.
2.3 Different approaches to management used by CAPCO and IKEA
Figure2: Approaches to management
Approaches to management are the aspects being used to handle the day to day activities at the workplace. There are ample of approaches to management which are being implied by different organizations. Bureaucratic approach, neo classical approach, human relation approach, contingency approach, system approach, scientific approach, etc. are some of the common approaches being used by the organizations to develop their business management activities along with the organizational behaviors. It has been identified that these approaches to management helps the business in bringing improvement in the operation and ensure the effective management at the workplace. In the context to the CAPCO, human relation approach is best suited as it promotes the healthy relationship and treatment with the staff members and help them work with their best efforts in the business (Scott, 2013). The management of the organization given an extra emphasis on the human resources and support them to enhance their capabilities at the workplace. On the contrary to this, IKEA adopts system approach which helps the management to carry out the operations in the systematic manner. As per this approach, each and every aspect of the business is interconnected and mutually dependent. It also states that the organization is a system which gathers the information from various inputs and delivers the required outputs. With the help of this approach IKEA is facilitated to align all the activities of the business and carry out the functionalities in an effective manner.
3.1 Discuss the impact that a leadership styles may have on motivation within period of change
For any business organization its employees are the valuable asset on the basis of which it can accomplish its goals and objectives easily. For achieving higher productivity and performance the employees working in CAPCO should be properly motivated by the leaders with appropriate leadership styles. Motivation helps in bringing the enthusiasm among the workers towards the task or work. During the period of change in CAPCO, the leadership style plays a significant role in motivating the employees for accepting the change by heartily (Schein, 2010). A good leadership helps in bringing creativity, challenges, motivation, visions, etc to the employees by encouraging their level of performance.
Figure 3: Features of Leadership
The leadership styles used by the leaders in CAPCO to motivate the employees during the period of change are as follows:
- Democratic leadership: This style helps the leaders in motivating the employees during the period of change by encouraging the participation of their followers or employees in the decision making process. This type of involvement helps in bringing confident and enthusiasm among the employees which will results in successful acceptance of the change occurred in CAPCO and employees will give their cent percent in improving the efficiency of an organization (Northouse, 2015).
- Paternalistic Leadership: Using this style of leadership, the leaders acts or behaves like a father to the subordinates or workers. The leaders in this style give their complete care and concern to the employees so that they feel comfortable in accepting the change so occurred in CAPCO. Under this style, the workers become more committed towards their task and a positive environment is built in the workplace.
- Transformational Leadership: This type of leadership style is full of challenges and excitement. The leaders under this style work with their follower or subordinates in order to identify the needed change. Leaders create a vision to guide the change through inspiration (Aaker and Joachimsthaler, 2012). This style helps CAPCO in enhancing the motivation, morale and job performance of the employees at the workplace.
Figure 4: Leadership styles
3.2 Comparing the application of two motivational theories (e.g. Maslow’s & Herzberg theories) within organizational setting
Motivation is basically a theoretical construct which is used to describe an individual behaviour. It represents the reasons for people’s action, needs and desires (Voon, 2011). The motivational theories used in CAPCO for motivating the employees working over there are the Maslow’s hierarchy of needs theory and Herzberg Two-factor theory. The Maslow’s hierarchy of needs theory was developed by Abraham Maslow in 1943. He suggested that the human needs could be put into five levels in a hierarchy manner. These five needs are Physiological needs, safety needs, love and belonging needs, esteem needs and self-actualization need. According to this theory, employees of CAPCO can be motivated by proper observation of their needs and fulfilling the identified needs timely (Herzberg, 2011).
Figure5: Maslow's motivational theory
The Herzberg motivational theory: was also known as Two-factor theory. This theory was developed by Frederick Herzberg who was a psychologist. According to him, there are certain factors in the workplace which results in causing job satisfaction and job dissatisfaction among the employees. Abraham categorised these factors into two main factors i.e. Hygiene factors and Motivational factors. The hygiene factors are those factors whose which gives job satisfaction for a short term like salary, working conditions, co-workers relations, etc. The motivator factors are those factors whose absence in the workplace will not create job dissatisfaction but it will decrease the level of job satisfaction (Weiner, 2013). This includes achievement, recognition, responsibility, etc.
Figure6: Herzberg motivational theory
Table5: Comparison of Maslow's motivational theory and Herzberg theory
MASLOW’S MOTIVATIONAL THEORY
HERZBERG MOTIVATIONAL THEORY
This theory focuses on human needs.
This theory focuses on job satisfaction and job dissatisfaction factors.
Motivation is done by identifying and fulfilling the needs of employees.
Motivation is done by increasing job satisfaction factors and reducing factors creating job dissatisfaction in the workplace.
It contains five basic needs i.e. physiological need, safety need, love needs, esteem needs and self actualization need (Cherry, 2011).
It contains Hygiene factors and Motivator factors that create job satisfaction among the employees.
3.3 Explain the necessity of managers to understand and apply motivation theories within the workplace
The managers of CAPCO are responsible for distributing and accomplishing the task effectively and on time. In order to achieve the task completed efficiently and effectively it is necessary for manager to apply the appropriate motivational theory in the workplace which helps in improving the performance of the employees of CAPCO. For achieving full motivation and positive working environment it is necessary to understand and apply the correct motivational theory within the workplace (Shafritz, 2015). If the motivational theory is not chosen appropriately then it will result in unnecessary increase in operating cost of an organization. To provide a positive motivational work environment is a very challenging managerial activity. The manager of CAPCO should examine properly the surrounding of the workplace and decide the best and suitable motivational theory for implementation. The selected motivational theory by the manager should improve the production level of per employee and brings less operating cost and maximize the profits to the organization (Schunk and Zimmerman, 2012). The motivational theory selected should also provide the opportunity for developing the growth of the employees. The employees should feel encouraged towards the work and remains in the organization for the longer period.
4.1 The nature of groups and group behaviour within CAPCO
There are mainly two types of groups that exist in the organizations like CAPCO. The nature and group behaviour differs on the basis of type of the group. The groups in organization are formed when two or more people works together to accomplish the common task. The team members of the group decide to work mutually for completing the task successfully and before the deadline (Simons, 2013). The following types of groups are identified in CAPCO:
- Formal group: The informal group is formed by the management of CAPCO with the purpose of completing a specific task. These groups are provided with all type of financial and physical resources by the organization. The nature of this group is of professional type. The team members of formal group behave and communicate in a formal way. The formal group focuses mainly on the completing the task effectively (Granovetter, 2010). The team member behaves in a highly committed way and shares their task mutually and supports each other for completing the task successfully.
- Informal group: The informal group is formed in CAPCO because of many reasons such as friendship, common interest and shared goals. The team members of informal group behave in a friendly manner and shares their skill and knowledge to each other for making the group stronger and strengthened. It believes in using the flexibility in work and communication. This flexibility helps the individual to behave and act in a caring manner by providing help to other employees of different department.
Figure7: Groups in CAPCO
4.2 Factors that promote or inhibit the development of effective teamwork within CAPCO
Effective teamwork helps in achieving the goals and objectives of an organization in effectively and effective manner. The teamwork helps an organization to cope up and stand in the competitive market (Mille and Rice, 2013). The development of teamwork in organizations like CAPCO is affected due to many reasons. The factors which promote the teamwork are as follows:
- Leadership: The leadership is most important factor which promotes the proper development of effective teamwork in an organization. A good leadership helps in providing proper guidance to the members of the team and completing their task effectively. Leadership helps in binding the group and group member. The leader divides the task in the group equally and also solves any issues arising in the group.
- Cooperation: Any teamwork will become effective only when the cooperation is achieved among the members of the group. Without cooperation the task is not performed accurately and on time. For the satisfactory completion of the task, cooperation is must required (Cummings and Worley, 2014). The team members should contribute their fair share to the workload. Every team member should help each other in order to accomplish the objectives.
The factors which inhibit the development of effective teamwork are as follows:
- Dominating group: It the group contains any dominating member in it then it will hinder the development of effective teamwork. The other team members feel hesitation in sharing the valuable information due to dominating one. The roles and responsibilities given to the members should be equal and everyone should be given the freedom to raise their point of view.
- Group size: The size of the group is also a one of the factor which hinders the development of the effective teamwork. The smaller group is more effective then the larger one (Drew and Coulson?Thomas, 2013). The chances of conflicts are more in case of larger group due to crashing of viewpoints of the members of the team. The group formed in CAPCO should be of five to seven members because this size enables them to understand and communicate each other well.
Figure8: Requirements for building effective teamwork
4.3 Evaluate the impact of technology on team functioning within CAPCO
Today, various new and modern technologies are used by the business organizations. These technologies help the organization to improve and diversify their business in the world. CAPCO uses the modern technology for improving the efficiency and productivity. The technologies not only bring profit but also help in saving the valuable time and manpower of the organization (Schwalbe, 2015). The introduction of modern technologies has improved the overall functioning of the organization and minimizes the operating cost. The technology has proven beneficial with respect to an organization but it has hindered the functioning of group in the organization. The team members are now required to keep update themselves regularly according to the market trends and technologies. The use of mobile phones and social media helps the team members to be in contact and connected when they are outside the employer premises. This helps in effective functioning of the team without any barrier related to location or distance. The use of personal computer developement helps the team members of CAPCO to perform any type of task easily and accurately. They can perform complex statistical or mathematical operations easily and quickly (Baiden and Price, 2011). Internet helps the members in conducting the research for completing the required task in more precisely manner. The screen projectors help in conducting impressive presentations on a big screen. E-mail and other messaging apps help in sending and receiving the important document or information safely and quickly which enables the smooth and effective functioning of the team.
With the above report it has been concluded that organisation behaviours is been used to develop better relations by accomplishing the organisation, social and human objectives within the organisational framework. The report had identified that CAPCO follows a divisional structure in which the departments are been divided in different sections so that to classify the roles and responsibilities among the employees. It has also revealed that that the culture and the structure of CAPCO is interdependent on each other and carries out the activities accordingly. The report had also found that environmental and the personal factors are the major aspects which influences the behaviour of the individual at the workplace of CAPCO. Even it has been found that transformational leadership style is been adopted by CAPCO which facilitates the employees to communicate with each other and reach towards the objectives. Moreover, it has been seen that human relation approach is best suited to CAPCO as it promotes the healthy relationship and treatment with the staff members and help them work with their best efforts in the business.
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