TABLE OF CONTENT
LO1 – 1.1 – ORGANIZATION STRUCTURE AND CULTURE
LO1 – 1.2 – IMPACT ON THE PERFORMANCE OF A BUSINESS
LO1 – 1.3 – FACTORS INFLUENCE INDIVIDUAL BEHAVIOUR AT WORK
LO2 – 2.1 – THE EFFECTIVENESS OF DIFFERENT LEADERSHIP STYLES IN SIEMENS AG AND TESCO PLC
LO2 – 2.2 – HOW ORGANIZATION THEORY UNDERPINS THE PRACTICE OF MANAGEMENT WITHIN SIEMENS AG
LO2 – 2.3 – EVALUATION OF THE MAIN APPROACHES TO MANAGEMENT THEORY
LO3 – 3.1 – THE IMPACT THAT DIFFERENT LEADERSHIP STYLES MAY HAVE ON MOTIVATION IN ORGANIZATIONS IN PERIODS OF CHANGE
LO3 – 3.2 – THE APPLICATION OF DIFFERENT MOTIVATION THEORIES WITHIN THE WORKPLACE
LO3 – 3.3 – THE USEFULNESS OF MOTIVATION THEORIES FOR MANAGERS IN SIEMENS AG
LO4 – 4.1 – MECHANISMS FOR DEVELOPING EFFECTIVE TEAMWORK WITHIN SIEMENS AG
LO4 – 4.2 – FACTORS THAT MAY PROMOTE OR INHIBIT THE DEVELOPMENT OF EFFECTIVE TEAMWORK IN SIEMENS AG
LO4 – 4.3 – EVALUATION THE IMPACT OF TECHNOLOGY ON TEAM FUNCTIONING WITHIN SIEMENS AG
What is Organization Behavior and Culture?
Organizational behavior is the study of specific or group behavior and arranging them precisely in the organization structure to progress in organizational performance and effectiveness.
“Organization behavior is concerned with the study of the behavior of people within an organizational setting. It involves the understanding, prediction, and control of human behavior” (Mullins, 2010)
Organization Culture is a concept that has developed from anthropology. In simple words by Atkinson (2006) “How things are done around here”. It is based on traditions, values, policies, beliefs, and attitudes along with the development of the individual for everything we do and think in an organization. Atkinson (1990p6-10)
This report will compare Siemens AG and Tesco PLC in contrast to their organizational structure and culture. It will highlight the difference between the tall and flat structure. We will also throw light upon the different cultures these companies have adopted according to their structure. It will also discuss the possible changes the organization can adopt to enhance its performance and efficiency.
Siemens AG is a group founded in 1847 in Berlin. Its founder was Werner von Siemens. The Headquarters are in Munich and Berlin, Germany. Mr. Gerhard Cromme is the President & CEO of the conglomerate. The group operates in 4 major sectors: Healthcare, Energy, Industry, and Infrastructure & Cities. It generates annual revenue of 75.88 Billion Euros and total assets of 101.93 Billion Euros. Mr. Gerhard is also a chairman of the supervisory board of Siemens AG. There are 20 members on the supervisory board. As per the German Codetermination Act, the board consists of half of the company shareholder and the other half of the company employee. Siemens AG presently has 362,000 employees working around the globe in a different division.
Tesco PLC was founded in 1919 in Burnt Oak, Middlesex. Its founder was Jack Cohen The Company has diversified its business in Grocery, Books, Clothing, Electronics, Furniture, Petrol, Financial Services, and Telecom. The board consists of Sir Richard Broadbent who is the chairman with 2 executive directors and nine independent non-executive directors of the organization. Its revenue is 70.89 Billion with assets of 50.12 billion pounds (2013/14).
LO1 – 1.1 – ORGANIZATION STRUCTURE AND CULTURE
Organizational structure is the hierarchical arrangement of lines of power, rights, duties of an organization, and communications. Organizational structure determines how the roles, power, and responsibilities are allocated, controlled, and coordinated. It also describes the flows between the different levels of management. Organizations have two kinds of structure tall and flat structures as given in diagram 0-1. Tall structure organizations have many levels of hierarchy with a narrow span of control in which the managers have very few staff under them and their supervision is very control being the tall structure the line of communication is long, making the firm unresponsive to change. Flat structure organizations have few levels of hierarchy and the line of communication is short making it more responsive to change. The span of control is wide as the tasks must be vicarious and managers can feel overloaded. In a tall organization, the majority of decisions are taken by senior managers and then passed down the organization hierarchy, but in a flat organization, the authority is down the chain of command thus reducing the speed of decision-making.
The organization cultures are four types as reviewed by Mullins (2002) the power culture, role culture, task culture, and person culture. Mullins (2002) reviews Handy’s (1993) development on Harrison’s (1972) ideas and identifies four main types of organizational cultures:
Our Recommended Resources:
- Power Culture – It concentrates power to a very high level or a small group and its control like a web. It needs a few rules and little bureaucracy.
- Role Culture – It is more based on the power of the person who delegates within a highly defined structure.
- Task Culture – In this the power is derived from a certain team with the expertise to execute against the task. This culture is confined to a small team where people are skilled and specialized in their own area of expertise. This is often used in Matrix Structure.
- Person Culture – It is formed when an individual believes he believes himself superior to the organization. Since the concept of the organization suggest that a group of like-minded individual pursue organizational goals. Some professional partnerships operate well as person culture because each partner brings a particular client or expertise to the firm…………….