Culture On Impact On People In Organizations Management Essay

Employees are the biggest asset for an organization. Success of business lies in the hand of employees, their performance and attitude can result in the success or failure. Brewster et al., (2005) argued that , People management is the most difficult part of any manager’s job. He or she is required to lead, motivate, train, inspire, and encourage. On the other hand, he or she is also responsible for hiring, firing, disciplining, training and evaluating. These functions seem to be less important, but a successful manager can integrate both the positive and negative aspects of these tasks to create a positive, productive work force. So before hiring any employee a manger have to justify and calculate the potentiality of that person.

1. Understand how structure and culture on impact on people in organizations

1.1Explain how organizational structure impacts on people in organizations:

“Organizational structure” is the way to organize its employees and a company’s reporting structure. This structure is not same in all organizations, it varies from business to business .Organizations of different sizes have differences in accordance to its layers for an example “Tall” organizations use many layers of management on the “Flat” organizations use fewer levels, and managers often have different level of control.

Chang et al., (2007) pointed out that, different organizational design can shape its pyramid structure .The hierarchy of an organization can be based on function, geography or a hybrid of both. Functional hierarchy offers several choices of ideas because each business has a different way of looking at function.

During the primary stage of the twentieth century the United States business sector was thriving, industries were transferring from job-shop manufacturing to mass production, and thinkers like Frederick Taylor in the United States and Henri Fayol in France introduced the mechanism to determine how to structure organization for greater efficiency and productivity, which was very much like machine (Chang et al., 2007). Before that German sociologist and engineer Max Weber explained when societies embrace capitalism, bureaucracy mechanization is the inevitable result but it had very little influence on American management because of language barrier until the middle of the twentieth century.

There is positive and negative impact of behavior. They are like:

Friendly behavior of employer may motivate employees.

Behavior of colleagues may affect performance.

Organizational culture and rituals may motivate/ de-motivate employees.

1.2 Analyze how organizational culture impacts on people in organizations

Organizational Culture is the psychology and attitudes which are communicated by the leaders to the employees and the ethics, values and beliefs which are incorporated for execution of work and obtaining business objectives (Chang et al., 2009b). Throughout all the levels of business from the board room strategies to the front desk personnel, it shows whether business is conducted on values of integrity, honesty and fairness as well as shows capabilities of employees to improve the organizational culture, organization must implement its code of conduct (Armstrong and Michael, 2008). Without an organizational code of conduct a n organization may have negative organizational culture.

Contractor et al., (2007) found that, the psychology and behavior shown throughout the employees for doing day-to-day operations reflect the organizational culture. Organizations show healthy and friendly attitudes where employees are rewarded on performance; there is lack of discrimination due to age, race, color and age, race, color. On the other hand organizations having aggressive work culture and number driven and lack humanity, impact the control environment negatively

1. Understand approaches to managing on the differences between individuals that impact on their performance at work

2.1 Explain how personal differences impact on individuals’ behaviors at work:

Individuals are different from one another in terms of their skills, abilities, personalities, perceptions, attitudes, emotions, ethics, religion, perception and cultureDessler, (G (2007) Human Resource Management,).Individual uniqueness represents the pressure of the challenge of management, because everyone is unique. There are four basic propositions:

Behavior is dynamic, it changes according to situations.

The person is active in this process changes by, situation.

People differ from each other in many characteristics, including cognitive, affective, motivational, and ability factors.

There are two interpretations of situations: the objective situation and the person’s subjective view of situation.

Because of this reasons there are direct impacts on individual’s behaviors at work.

People who perceive things differently behave differently

People with different attitudes respond differently to directives

People with different personalities interact differently with bosses, coworkers, subordinates, and customers

2.2 Analyze the management styles needed to deal with differences in behaviors

Theory X and Theory Y are theories of human motivation created and developed by Douglas McGregor  in the 1960s that have been used in human resource management, organizational behavior, organizational communication and organizational development

Theory X says,

1. Employees are inherently lazy.

2. They will avoid work if they get chance.

3. Employees naturally dislike their work

4. Managers believe employee need to be closely supervised

5. A hierarchy structure is needed to be narrow span.

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Figure: Theory X and Y, Source: (Chang et al., 2009a)

Theory Y says,

1. Management thinks employees may be ambitious, self-motivated and exercise self-control.

2 Management believes that employees enjoy their mental and physical work duties.

3. According to them work is as natural as play.

4. Employees possess ability for creative problem solving.

5. Their talent is unused.

6. Managers believe that employees will learn to seek out and accept responsibility and to exercise self-control and self-direction in accomplishing objectives to which they are committed.

7. Managers believe that satisfaction of doing a good job is motivation

Self-fulfilling prophecy:

A self-fulfilling is a prediction that directly or indirectly may become true. The self-fulfilling prophecy is, in the beginning, a false definition but which may come true by human actions.

Sometimes this self-prophecy influences managerial actions. Management makes decision on the basis of false assumptions, which becomes successful

3. Understand the organizational factors that impact on people performance.

3.1 Analyze the effect of leadership styles on individuals and teams

Transactional leadership is a structure of leadership where a team is formed to perform a specific job and the team leader can punish his/her team members.

a. This leadership clarifies all the duties and responsibilities.

b.Transactional leadership judges its members on performance.

Autocratic leadership is an extreme form of transactional leadership, which is led by a leader and the leader enjoys complete power.

a. This leadership is incredibly efficient.

b. Decisions are quick and get done.

Bureaucratic leadership is a bookish leadership style. They follow rules rigorously and ensures people follow procedures properly.

a. This is an appropriate leadership

b. This leadership style is inefficient in teams and organizations that rely on flexibility, creativity, or innovation.

Charismatic leadership is a type of leadership where leaders inspire enthusiasm in their teams and motivate them.

a. This leadership inspires team and motivates them.

b. Downside of this style is that the leaders always believe themselves rather their teams.

Democratic leadership always calls for opinion from the team members in decision making.

a. Team members tend to have high job satisfaction and are more productive.

b. This is a slow decision process.

Laissez -faire leadership is a leadership style where team members work on their own.

a. This style of leadership gives their team complete freedom

b. Team fixes its own deadline of work.

c. It leads high job satisfaction.

d. It can be damaging if the team members do not have proper skill and knowledge.

Task oriented leadership only focus on the job to be done, this style can be autocratic. Leaders show the job, plan, strategy, organization and monitor.

a. It gives the deadline of the task.

b. It may cause autocratic problems,

3.2 Explain the benefits of flexible working practices to individuals and organizations Flexible working

Working in a flexible environment is very much beneficial to the employees. Employees may have some autonomy on their work and that helps them to organize their official and social life (Engardio, 2008).Flexible working practice empowers its employees according to their duties as well as responsibilities, which creates high level of trust and loyalty among the employees. Flexible working practice increases job satisfaction so that the productivity and quality of work gets high

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Figure: Benefits of flexible working practice. Source: (Engardio, 2008)

Due to flexibility quality of life increases, people get time to spend with their family and friends. Sometimes flexibility at work becomes motivation to the employees. For an example, BT (British Telecommunication) is the one of the leading telecommunication and information technology in United Kingdom

3.3 using motivational theories, assess how the working environment impacts on people performance

The Hawthorne Studies was conducted in 1927-32, in this studies Elton Mayo examined productivity and work conditions. He experimented on six women who were kept in a flexible and friendly environment rather the regular working environment. Noticeable feedback was observed by the experiment, those are:

1. Employees are happy in the knowledge that they were working without coercion above them.

2. Absence from work came down by 80 percent.

3 Latent talents among worker came out.

Maslow- Hierarchy of Needs was introduced in 1943 by Abraham Maslow. This theory has four layers of pyramid, they are:

1. Esteem,

2. Friendship and love,

3. Security,

4. Physical needs.

Maslow’s theory suggests that the most basic level of needs must be met before the higher level of needs.

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Figure: Maslow- Hierarchy of Needs, Source: (Matthews and Zander, 2007)

Herzberg-hygiene factors and motivators theory was introduced in 1959 by Frederick Herzberg. In this theory Herzberg described the reasons behind job satisfaction and dissatisfaction.

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Figure: Herzberg-hygiene factors, Source: (Pudelko and Harzing, 2007)

Reiss theory described the autonomy of women and children as a major factor in the sexual revolution of the 1960s and 1970s.In this theory Reiss emphasized on sexuality and its importance.

3.4 Assess how an organization’s ethical practices impact on motivation levels

Ethics is known as moral philosophy, which includes systemization, defending and recommending what is right and wrong(Pudelko, & Harzing, 2007).). Ethics is very much important in business practices. Business ethics must ensure supplier’s security in respect of payment. Suppliers are key element of business so that it is mandatory to be honest with the suppliers as well as distribution channel so thatdistribution techniques must not harm the related sectors like agents wholesalers, retailers and other channel members becausesuccess of business depends on distribution channel. Customers are the king of business, so satisfaction among them is very important. To create a good customer relationship business must practice ethics. The purpose is to make profit by selling goods or services. As we know, customers are the main focus of business organizations so that cheating with them is unethical and this approach in selling has a severe impact on market share. Another important element in organizations is their stuffs. So the organization can not overlook duties toward these stuffs.

3.5 Evaluate how organizations use their corporate social responsibility agenda to motivate employees

Corporate social responsibility is a basic form of corporate self-regulation in the form of business. CSR can motivate and develop workforce. Employees may be motivated by organization’s social contribution. Organizations those perform CSR has a great impact on the community and this create a positive social image(Zhu, Y, N Collins, M Webber, and J Benson. 2008. New Forms of Ownership and Human Resource Practices in Vietnam. Human Resource Management). For an example: The Coca-Cola System Donates More Than $2 Million USD For Flood Victims In Thailand Organizations often arrange mentoring and coaching program for the employees to increase their skills and quality (Pudelko and Harzing, 2007).. These types of programs motivate employees and increase their loyalty. Sometimes organizations support career progression which spreads opportunities of employees. Environment is very necessary element of organizations and this determines the activities of an organization. So organizations have responsibilities to this environment. UK Policies and Practices Facilitating Employment of Disabled People shows 17 percent of people are disabled. Here CSR can play a vital role to employ these disables in different sectors of the organization.

4. Understand methods for developing human resources

4.1 Explain how motivation theories can be applied to developing people in organizations

Empowerment refers to increasing political, social, educational, spiritual, gender and economic strength of an individual or community. Empower theories are

1. Feminist theory

2. Feminist stand point theory

3. Gay and lesbian empowerment theory

These theories described the condition of unprivileged people of our society and how to develop them as well as their rights.

Self-Actualization was developed by Abraham Maslow, in this theory he explained about knowing own-self. That means, knowing what is me and what are my capabilities.

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Figure: Maslow’s Hierarchy of Needs. Source: (Ramamurti and Singh, 2009)

This theory influences people to know themselves and their capabilities.

Theory X says people are not intending to do works; they are naturally lazy and try to avoid duties. According to this theory employees can be developed by training and monitoring.

4.2 Explain the different uses of coaching and mentoring in organizations

Coaching is a program that is conducted in organization to increase standard and skills of employees(Cummings, & Worley. 2002). Monitoring is the way to observe actions and performance of the employees into the organization. By coaching and monitoring organizations can pool talents from the employees and use them in different sectors (Ramamurti and Singh, 2009). Through coaching employees skills can be developed and that will automatically increase confidence of the employees. The purpose of monitoring is to evaluate employee’s performance. It is also used for disciplinary purpose. If there is monitoring system in the organization employees cannot break rules and regulation due to punishment risk (Dessler, 2007). After proper coaching and evaluation of employees, they can be reengaged in the work force. For an example, Unilever is using coaching and monitoring into their organizations.

4.3 Analyze the benefits of training and development to individuals and organizations

Training and development programs has become very common in large companies like Unilever, Uninor, Wal-Mart etc. this training and development has a vital impact on individuals as well as organizations(Wofford, 2002).

Individual benefits:

1. Through training and development program individual can understand themselves and their capabilities, which boost up their confidence.

2. Training helps employees to develop their potentialities.

3. These training programs work as a motivation to them and that increase job satisfaction.

4. Training can develop latent talent and bring those out.

Organizational benefits:

1. Skilled employee’s productivity is higher than others, so these training programs increase productivity.

2. Training is a motivation that increases job satisfaction; it helps to retain its workforce.

3. Due to higher productivity, trained workforce can increase profitability.

5. Be able to review how people are managed within organizations

5.1 Review people management strategies used in an organization

Employees are one of the main elements of the organization. But their expected output doesn’t come automatically, it need to be managed in the proper manner There are several strategies are being used in organizations Dessler (2007) stated that, some of them are:

1. Employee Training and Development

2. Performance Management

3. Manage Day-to-Day Employee Performance

4. Coaching / Mentoring

5. Interpersonal Communication

6. Employee Motivation and Engagement

7. Employee Involvement / Empowerment

Employee training and development is now a very common term in business sector. It increases skills, qualities and productivity of employees. Performance management is the distribution of employees according to their performance. Employee’s performance can be evaluated everyday basis. Through coaching/ monitoring standard of employees can be increased. Interpersonal communication is a very sophisticated way to motivate employees. Organizations use motivational activities to motivate employees and try to increase engagement towards the organization.

5.2 Assess the impact on people of management strategies used in organizations

Management strategies have impact on employees. Training and develop programs develop individual and team’s skill and qualities. It increases productivity and efficiency of work. Management strategies increase communication among the employees so that mutual understanding increases. Due to training and development programs performance of employees get better. Training and development increases confidence as well as job satisfaction among the employees. Satisfied employees enjoy working in that specific organization so that organizations need not to scare about employee leave or absenteeism (Armstrong and Michael, 2008). Employee’s loyalty in organization is always considered as a very important issue whereas job satisfaction can ensure that loyalty, so organization should adapt a management strategy which can satisfy its employees.

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Figure: Employee Satisfaction, Source: (Subramony, 2009)

5.2 Recommend strategies to promote high levels of performance

As we know people is one of the most vital elements of organization. People management strategies are very important for the success of organization. To motivate employees, organization may provide incentives on their performance; bonuses can be given in different occasions such as Christmas, New Year; incremental rise in salary after a period of time etc. Every organization expects satisfied employees because job satisfaction leads to higher production, standard output and work efficiency (Zhu, et al., 2008). So that organizations should try to satisfy its employees through various training programs and flexible working conditions. Organization may change its culture by changing leadership style, rule and regulations. It may adapt transactional leadership because this style gives the both flexibility and upper level monitoring, which can be helpful to organization. To increase organizational productivity it can employ skilled workforce or train existing people, these coaching and monitoring can improve individual as well.