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An assignment on Organizations and Behavior

Executive summary
A successful organization must have a successful combination of crucial components like
organizational structure and culture, leadership and motivational framework, effective team and
groups to attain set goals. Those indispensible parts of the firm cannot be left out without
intensive care.
Organizational structure and culture are two important aspects upon which the success of the
firm is more or less dependent. Organizational structure tells who is responsible for what and to
whom. Organizational culture is the combination of norms, values, traditions, rules, attitudes
with which employees interact with each other. Cultures define how the people do the task in the
business at what degree of power and flexibility.
Besides those, different leadership styles and their implications on the motivation, groups and
group behavior are described in this report.

Table of Contents
Introduction................................................................................. 4
Task-1.......................................................................................... 4
1.1

Compare and contrast different organizational structures and cultures


4

1.2

Organization structures and cultures and impact on business

performance.................................................................................................5
1.3

Factors influencing the individual behavior at work.............................6

Task-2.......................................................................................... 7
2.1

Effectiveness of different leadership styles..........................................7

2.2

Organization theories underpinning the management practices.........8

2.3

Different approaches to management used by different organizations


8

Task-3........................................................................................ 10
3.1

Different leadership styles and their impact on motivation...............10

3.2

Comparing Maslows motivational theory..........................................12

3.3

Usefulness of motivational theories...................................................13

Task-4........................................................................................ 14
4.1

Nature of groups and group behavior within organization.................14

4.2

Factors promoting or inhibiting the development of effective

teamwork in organization...........................................................................14
4.3

Impacts of technology on team..........................................................15

Conclusion.................................................................................. 15
References.................................................................................16

Introduction
A successful organization must have a successful combination of crucial components like
organizational structure and culture, leadership and motivational framework, effective team and
groups to attain set goals. Those indispensible parts of the firm cannot be left out without
intensive care.

Task-1
1.1 Compare and contrast different organizational structures and cultures
Organizational structure and culture are two important aspects upon which the success of the
firm is more or less dependent (Mullins, 2010). Organizational structure tells who is responsible
for what and to whom. It is basically a hierarchy of the power, control and responsibility that acts
as the pillars of an organization.
Comparing and contrasting organizational structures
Here, four types of organizational structures are discussed critically:
1) Tall structure: This type of structures is also called hierarchy structure. There are many
layers in this structure but narrow in width. It is easy to handle because less employees
are available in each phase of hierarchy. But, it takes too much time to effectively pass
the information and decisions to the subordinates (Brown, 1998).
2) Flat structure: It is the opposite of tall structure as there are less phases but span of
control is very wide. It is not easy to handle this wide span of control and sometimes
creates chaos. But, information flow is smooth, quick and efficient.
3) Matrix structure: It is composed of specialist employees who have special expertise in
specific aspects. It is the most efficient structure for the project based organization.
4) Centralized and decentralized structure: In a centralized structure, decision making
power lies to a central body and subordinates have no role in it and have to perform
according to the decision taken by the central body. Decentralized structure inspires the
employees from every layer to take their decisions (Johnson et al, 2011).

Comparing and contrasting organizational cultures


Organizational culture is the combination of norms, values, traditions, rules, attitudes with which
employees interact with each other (Stacey, 2011). Cultures define how the people do the task in
the business at what degree of power and flexibility. Four types of cultures are comparing below:
1) Power culture: Decision making power is held by the small number of people and there
are a small number of employees in a firm. Decision is made quickly and sometimes it
may mislead the decision as it excludes a large variety of workforce.
2) Role culture: Employees are given a specific role or job for that he/she is responsible.
Large firms usually pursue this culture to the specialist employees.
3) Task culture: the cultures mostly seen in team work based firms where the employees
work in a project team. They can make necessary decisions because have are allowed to
use the necessary power in this task culture (Kakabadse et al, 2004).
4) Person culture: Person culture is well nurtured in an organization where there is no
formal organizational culture. Employees are free to do a job in their ways as a team or
individually.

1.2 Organization structures and cultures and impact on business performance


Organization structures and cultures are the two crucial factors of the good performance of any
business. They act like the backbone of the firm upon which a firm stands. Those two define a
firm; they can lead a firm to the success if they are well constructed and they may be the cause of
a firms failure as well. In the positive side, they help the firm a lot. A standing organizational
structure tells who will report to whom, when, how. It helps to distribute and take responsibilities
and effectively control the firm (Schein, 2010). It separates the firm with the structure and
culture from the firm without. It allows the employees of the firms to know each other which
help to enhance their individual and combined performances.
On the negative side, when a firm has a complex organization structure, information and idea
flow through the channel will be inefficient and will fail to contribute any good. As a result
centralized decision will be motivated. Mixed and diverse organizational cultures also create the
similar problems.
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1.3 Factors influencing the individual behavior at work


There are certain factors that affect the individual or employee behavior at work like work
cultures, leadership, effective communication, job responsibilities etc (Mullins, 2010). Those
work behavior influencing factors are discussed below:
1) Work culture: Culture of a firm can shape the employee behavior at work. Every
employee wants to fell flexibility in their job to be happy. So cultures should be in the
way they are comfortable like enough job security, naive reporting system, flexibility in
rules and regulations etc. Employees will behave differently if those factors are not
found.
2) Leadership: Leaders play important roles in driving the employees to their expected
level of performance by setting some rules and regulations. But every rule is not flexible;
some of them are very strict where the employees are demotivated to work (Cole and
Kelley, 2011).
3) Job responsibilities: Responsibilities according to the ability of the employees are
appropriate thing to do. Instead, if the employees are overburdened their behavior
towards the work changes.
4) Effective communication: It helps the people of the firm to feel motivated as they have
a say in the decisions of the firm.
5) Work relationship: Good work relationship is very crucial in the workplace in order to
positively behave towards the work (Ashkenas, 1995).
6) Personal life: An employee can perform well if his/her personal life allows him/her to do
that. Chaos in family or personal life has a negative impact on the individual behavior at
work.

Task-2
2.1 Effectiveness of different leadership styles

There are various leadership styles in a real world out of which some styles and their
effectiveness are discussed below:
1) Democratic leadership: Decisions are made through the employee inclusion in the
decision process. Creativity and high engagement in work are the advantages of this style
(Pettigrew and Fenten, 2012). But when one must take a quick decision this style is not
that effective. Google, Amazon follows that kind of style.
2) Autocratic leadership: Decisions are made solely without consulting employees and
employees normally are bound to conduct the job according to the decisions. It is
effective when quick decision have to be made. But, employee motivation may be low in
this style (Linstead and Fulop, 2009). Martha Stewart Inc. is the example of this
leadership style.
3) Participative leadership style: Leaders are more like facilitators and facilitates the
process of decision making by allowing subordinates in the decision process. Decisions
are taken centrally but the ultimate decision comes from the combined mind of
everybody in the process. Employees are very motivated here but it takes a bit extra time
to take decisions. Walt Disney is the example of this type of leadership (Fritz, 1996).
4) Charismatic leadership: Employees are motivated and inspired by this type of
leadership as the leaders use their charm to lead others. Friendly environment are created
here at which performance of the employees are better but it may lead to the chaos to the
firm when those leadership start to believe in something where it is not (Henry, 2011).
5) Bureaucratic leadership: Employees are managed and lead by the book and strict rules
and procedures are maintained here. This is the most effective when there is safety risks
involved. This style is ineffective for the firms who rely on the flexibility and innovation.
6) Laissez-Faire leadership: Employees are given a large autonomy power to decide what
to do and to set the time table by this type of leaders. It is effective as it leads to the high
levels of job satisfaction and ineffective if the employee cannot manage the time
effectively. Starbucks and Berkshire Hathaway are following this leadership style.
7) Transactional leadership: It believes there is a transaction between the firm and
employees where the firm pays the employees for the efforts and time. Employees may
be punished if they deviates the performance. Employees who are ambitious can be
benefitted by the style but it may lead to the job dissatisfaction and high employee
turnover (Kakabadse et al, 2004). Call centers are the example of this style.

8) Transformational leadership: Leaders transform the team members to change the


existing systems of the firm by their emotional intelligent, authenticity, integrity, selfawareness etc. This style leads to the high performance and high productivity.
Sometimes, it may transform the employees what the firm does not need. IBM and Apple
are the example of this style.

2.2 Organization theories underpinning the management practices


There are various management practices that describe the firm and structure. Those management
theories help the firm in managing the workplace and enhance the overall performance. Some of
them are briefly discussed below:
1) Scientific management approach: It is based on the mutual trust among the workers
and managers. It indicates the idea of work plan to gain standardization, specialization,
simplification, efficiency and effectiveness in an organization (Schein, 2010).
2) System approach: It sees the firm as a system consists of mutually dependent and interconnected sub-systems.
3) Bureaucratic approach: Bureaucratic approach thinks the organization is a part of the
bigger society. This is considered as impersonal, rigid and self-perpetuating approach for
the organization (Johnson et al, 2011).
4) Contingency approach: This approach considers the organization as system which is
inter-connected with the environment.

2.3 Different approaches to management used by different organizations


There are different organizational theories and management approaches available to the
managers. Some of which are classical theories, some of which are neoclassical and rest are
modern theories. Those approaches are explained below:

1) Taylors scientific management approach: This theory is based on the mutual


understanding and trust among the employees and managers (Fritz, 1996). It indicates the
idea of planning the organizations work to gain standardization, specialization,
simplification, efficiency and effectiveness in an organization (Cole and Kelley, 2011). F.
W. Taylor developed this approach in 1947 and showed four principles of the approach.
Science, not rule of thumb;
Scientifically selection of the employee
Employee and management cooperation
Scientific training of employees
This approach is followed by Ford Motor Company.
2) Classical administration approach: This theory was developed by the Henry Fayol
which is constructed around some of the management principles. Furthermore,
management was seen as the combination of planning, organizing, commanding, training
and coordinating (Henry, 2011). This approach is based on some important principles:
Division of labor
Responsibility and authority
Unity of command
Discipline
Priority of general interest
Unity of direction
Remuneration of personnel
committees
Stability
Centralization
3) Webers bureaucratic approach: This approach thinks the firm as a part of the larger
society. This is considered as impersonal, rigid and self-perpetuating approach for the
organization. This approach is based on the following principles:
Well established organizational structure
Specialization
Predictability and stability of the rules and regulations
Rationality
Democracy
4) Human relations approach: This approach has the eye on the social factors at the
workplace, leadership, groups and employee behavior (Ashkenas, 1995).

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5) System approach: organizations are considered as a system consists of mutually related


and inter-connected systems by this approach. According to this approach, Following
three elements forms an organization:
Component like individuals, formal and informal organization etc.
Linking process
Clearly defined goals of the firm
6) Contingency approach: This approach considers the organization as system which is
inter-connected with the environment. According to this approach, considering different
legal, technical, political and economic factors, for maximum effectiveness, various
environments need various organizational relationships (Reeves, 2002).

Task-3
3.1 Different leadership styles and their impact on motivation
Leadership styles have important implications on the motivation of the employees of the
organization. Motivation deviates according to the leadership styles; some styles positively affect
motivation and some affect negatively.
1) Democratic leadership: Employees are highly motivated by the style as they are included
in the process (Brown, 1998).
2) Autocratic leadership: Employees are negatively motivated as they have no say in the
decision process.
3) Participative leadership style: Motivation level is huge as the employees are in the
decision making process and get helps when they need it.
4) Charismatic leadership: Employees are motivated and inspired by this type of leadership
as the leaders use their charm to lead others (Hayes, 2010).
5) Bureaucratic leadership: Employees sometimes get bored and motivation is lower.
6) Laissez-Faire leadership: Employees are motivated highly as high levels of job
satisfaction are associated with this leadership style (Peters and Waterman, 1982).
7) Transactional leadership: Employees feel less motivation to do a job in this type of style.
8) Transformational leadership: Workers are greatly motivated by this leadership style
(Fineman and Gabriel, 2010).
Herzbergs Two-factor theory

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Frederick Herzberg developed two-factor theory where one factor is hygienic factor and another
is motivational factor. It states that certain factors cause job satisfaction and others cause job
dissatisfaction.

Figure 1: Maslows Hierarchy of Needs theory


Source: (Stacey, 2011)

McGregors XY theory
Douglas McGregor developed this theory where he showed theory X which assumes the workers
are reluctant to work and Theory Y which assumes people loves to work. He recommended
theory Y to motivate employees.

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Figure 1: Maslows Hierarchy of Needs theory


Source: (Steers et al, 2009)

3.2 Comparing Maslows motivational theory


Abraham Maslow, a US psychologist, developed a motivation theory called Hierarchy of needs
(Reeves, 2002). According to his model, every person has a hierarchy of needs to fulfill. In order
to motivate an employee, one needs to know where in the hierarchy the employee belongs. Ones
it is known, the employee is motivated if those needed things of the employees are met. Here,
Maslows theory is applied on two work situation; Mr. X is an operational level employee and
Mrs. Y is a mid-level managers.

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Figure-3: Maslows Hierarchy of Needs theory


Source: (Koh, 2006)

Mr. X is working in a new operational level employee in a manufacturing company called ABC
Inc.. He is concerned about his salary and job stability. So he is in the physiological stage of the
hierarchy. In order to motivate him his boss may increase his salary or make his job more stable.
On the other hand, Mrs. Y is a mid-level manager of ABC Inc.. She has no concern about her
salary, job stability, work place safety etc. But she wants to make a good professional
relationship with her boss Mrs. Z. So she is in social belongingness stage. To motivate her, her
boss must cooperate with her, support and praise her.

3.3 Usefulness of motivational theories


Managers must carefully use the motivational theories to motivate employees (Pettigrew and
Fenten, 2012). The usefulness or helpfulness of those theories is discussed below:
1) Maslows Hierarchy of needs theory: Managers must identify first in which stage the
employee belong and should motivate the employee according to that stage (Fineman and
Gabriel, 2010).
2) Herzbergs two-factor theory: Managers should focus on hygiene factors first then to
bring job satisfaction focus should be given on motivational factors (Adair, 2002).
3) McGregors XY theory: Managers must focus on Y theory which assumes employees
love to take responsibility and love his/her job and use motivational tools based on it.
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Task-4
4.1 Nature of groups and group behavior within organization
Group can be defined as two or more people working together for the accomplishment of the
goal. To get the expected performances and results, various kinds of groups are formed.
Members of the groups go for a common job, rely on each other. Members interact with other
members to reach the set goal (Linstead and Fulop, 2009). There are formal, informal, command,
task, interest, friendship groups available in the real world.
There are many ways of group behavior from that some are discussed below:
1) Groupthink: It means misleading of the decisions from the desire of conformity between
the members.
2) Groupshift: It means members become more extreme in a group while taking a decision
than in person.
3) Deindividuation: It indicates the loss of individuality where members are absorbed in a
group and act as a group.

4.2 Factors promoting or inhibiting the development of effective teamwork in organization


Some factors in the business environment can promote or inhibit the development of effective
teamwork in a firm. These are discussed below:
1) Supportive sponsors: It promotes the effective teamwork in a firm by setting the team
goals, creating team charter etc (Stewart and Manz, 1999).
2) Focus on stakeholder outcome: It drives the team to perform well.
3) SMART goals: It also inspires the team as it sets a standard.
4) Committed leadership: It certainly develops the effective team because team has a captain
who knows the way of the team (Hayes, 2010).
5) Mutual trust: It enhances the teamwork by inter-dependence.
6) Engaged leadership team members: It increases the effectiveness by making the members
more committed.
7) Collaborates to set directions and solve problems: Effectiveness is enhanced by the
supports given by the collaborators (Peters and Waterman, 1982).

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8) Obtains individual commitments: When members are more committed than before, group
effectiveness are enhanced.
9) Establish discipline of personal accountability: Effectiveness is more than before when
the members are accountable.
10) Remove barriers: When the barriers are removed from the path of the group, goal
attainment gets easier and team becomes more effective (Adair, 2002).

4.3 Impacts of technology on team


This is the era of modern technology and it helps the firm in many ways like in the
communication, transfer of data, transaction processing system etc. Technology may affect the
team positively or negatively.
In a positive way, the members are benefitted by the technology in the form of communicating
with each other, solving complex computerized problems etc. But when technology changes,
members of the group have to update and change their knowledge that may create problems for
the members who are reluctant to the change (Stewart and Manz, 1999).

Conclusion
An organization is composed of many components like Organizational structure, culture, leaders
and their motivational tools, groups etc. In order to be successful, a firm must carefully handle
each of the aspects and have to set a resourceful connection among them.

References

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