Management & Organization Behavior

Take Home Test

Question One

Three recommendations Perabot Home Furnishings Bhd to implement:

Planning and Orientation: The furnishing firm has expanded and the strategies which were
earlier set in running it should be redesigned and restructured in a succinct form. This can be
only achieved by having proper; integrative and interactive forums, where the top management
(the various vice presidents with the regional managers) sits together with some experts who can
be consultants to the business to develop the following:

The stratified statement and business direction that are clearly defined with the links on
company’s performance goals, strategies. This would provide a transparent and solidified
understanding between the regional managers and the headquarters management. The collective
work on the formulation will ward off the information barriers because each of them will be
contributing in drafting the specified goals, objectives in sustaining the Perabot Home
Furnishings. This can be enhanced by proper clarification of roles, responsibilities as well as the
decision making; these can be maximized by providing some courses and seminars to shape their
ideas and strategies proposed and brainstormed. More so the President and CEO can be have a
participative leader who weighs both the obstacles in the decisions taken.

The rivalry of the top management where the vice-presidents need the regional managers to be
submissive to them should be mitigated by allowing each regional manager to be independent in
decision making since the workforce have of each region vary; starting from cultures. This
doesn’t mean that they will be left alone but a mechanism of monitoring and supervising has to
be established, either having a periodic meetings or re-administration and more so a weekly or
monthly reports should be made compulsory to all the departments.

Broad Structural Model: The simplified organization structure has to be devised which can be
in matrix form or bureaucratic structure, by making it in a way the departments are grouped and
channeled to the headquarters main unit with a standardized degree where precision, speed are at
the optimal point. That is, all the production district managers in all the regions only reports to
vice president of production, Omar. Salahuddin. The other district managers can be in the same
pursuit; Finance with Vice President of Finance, Human Resource with Personnel Vice
President, Marketing with Vice President of Sales and ensuring that the connectivity of
departments is ensure to achieve the goals otherwise their might be tendencies of being operant
silos. The job enlargement of the regional managers can be enforced by delegating them to be in
charge of the new products as well being regional managers. The regional managers can be
reporting new products to the vice president of new products Premitha. The proposed
organization structure and order of reporting can improve the communication as well the
integration of the products, this can also be ensured by having vertical and horizontal
communication within the organization at each region. It can also promote competition within
the various districts and the progress of each district can be easily analyzed, hence a better
comparative achievement can be exhibited. The independency and creativity of each unit are also
gravitated because each region can work on what should be best within the region and can be
best for other regions too when the products are centrally advertised, the customers or the clients
can have variety of choices. The regional managers can effectively get involved in managing the
district mangers by incorporating the new products such that production and quality are
improved.

Job Satisfaction and Reward management: To engage all teams at a better competitive level
the efforts and achievement of each region should be recognized. When the regions are given
opportunities and less control of span they can be operate on what is best for the company, by
innovating different products which only happens when they are satisfied with their jobs.
Accompanying job satisfaction with rewards which are properly selected will not only boost the
productivity of the company but will improve the quality of the workforce and the products each
region is producing. The rewards should be at different forms, either promotion, public
recognition on certain area; with all this a psychological effect on their attitudes towards are
bettered shaped and modeled.

Furthermore, rewards reduce fraud within the company because each region will thrive for
transparency to achieve a remarkable reward. This is also depending on how the rewards giving
are designed and managed.

Question Two

To improve the operation of the company, and maximize sales and profit by 10% yearly

From the article, Perabot Home Furnishings is faced by the operational conflicts which have
contributed to deterioration in performance; which in business is the profit measurability. The
operation can be improved by the suggested aforementioned and can be easily measured when
there is an increase on the profit. All units of the Perabot Home Furnishings can collectively
work to achieve the profit for the company, hence the level of attrition can be eradicated since
the established strategies are from all fused views and plans set to sustained and make viable
company.