An organization is group of people who are working together to attain the common goal. The success and growth of the organization demands effective employee contribution and well developed growth prospects (Broadbent, 2013). The organizational behavior deals with individual and group behavior within the organization which focuses on profitability and success of the business unit. Present study focuses on analyzing various means of organizational working which directly impact growth and development of the company within the economy (Weiner, 2013). It focuses on various measures such as leadership styles, organizational structures and management styles to develop a clear insight about practices which are followed by the business unit to enhance performance and growth of the company within the competitive environment.
Leadership is a very significant concept of management. It is an art of influencing employees towards predetermined goals of the organization. This helps the business in creating an effective impact on overall growth and development of the company. Leadership factor are situational and it should be modify with the changing situations. The various styles of leadership which could be adopted in Cagliari restaurant as per the given situations are:
This is a leadership style where leaders control the decision making and guides the team members about what is to be done and how it must be done. This leadership style is effective for dealing with situations of criticality. However, adopting this style of leadership in regular practice may result in de- motivating team as it provides minimum flexibility to employees (Colquitt, Lepine and Wesson, 2009). Cagliari restaurant has adopted this measure in regular practice which demotivated the employees and resulted in stagnant growth of the restaurant. The organization must exclude this measure only to deal with situations of emergency (Eurosceptics at war: Leading Tories campaigning for EU exit fear they may be doomed to defeat already thanks to infighting between anti-Brussels factions
This is an effective leadership style where the employees of the company are involved in decision making process of the team. Leaders adopt the participative approach to manage work and deal with problems of the organization. Cagliari restaurant must adopt this measure for developing effective measures of leadership as it will help the business in enhancing growth of the organization by developing a creative means of working and solving issues of the company as well.
This leadership styles is the one where the leader delegates the responsibilities to the concerned employees and seeks the results. Leader has minimum control over decisions regarding working styles or any technical issues (Avolio and et.al., 2008). Cagliari restaurant must adopt this leadership style for skilled employees such as head chef. This will help the staff in developing trust for the company while enhancing working environment within the entity.
The organization is formed of multiple variables which help in shaping working system of a business unit. These factors are considered important by the management to develop and create an effective approach for organizing the system of working. Various authors and researchers have given different theories of management to suit organizational needs and requirements. System theory is one of the most widely used and accepted organization theories.
System theory entails that all the components of an organization are interrelated and that a small change in one component of the organization impact efficiency of others. A central theme of systems theory is that nonlinear relationships might exist between variables. Small changes in one variable can cause huge changes in another and large changes in a variable might cause nominal effect on another (Hartley, 2008). As per the given case of Cagliari restaurant, the entity has developed an effective system of working for food chains in UK. The organizational culture and structure was the component which was not effective and was causing low impact on productivity and efficiency of the employees. This had a direct impact on overall performance of the organization resulting in stagnant profitability and falling sales as well.
The nonlinear relations within various components of organization make the theory a difficult approach for the management to understand and manage. In case of Cagliari restaurant leadership and organizational culture were crucial components. Inefficiency of these components led to huge impact on overall performance of the business unit. Hence System theory efficiently underpins organizational theory of the organization.
Management is one of the most significant parts of organizational working and development as well. Various approaches of management has been developed and adopted by the organizational units as per the system for working and requirements of the business. The modern means of working demands effective integration of organizational system to create a wide impact on organizational growth and development. The complex working environment of business demands effective approach of management to generate favorable results for the business units (McShane and Von Glinow, 2015).
As per the given case, Cagliari restaurant performance is ineffective within the UK market as organizational culture of the organization is non supportive and inflexible. The organization must thus develop an effective approach of management to gain the effective organizational results. The organization has currently adopted bureaucratic approach of management where hierarchical system of working is adopted. The managers or supervisors make all the decisions within the company and provides least flexibility of decision making to their subordinates (Pinder, 2014). The report clearly reflects that the organization has not adopted any effective means of delegation or decentralization of work. This was ineffective for organization and thus resulted in hampering performance of employees.
On contrary to this, one of the most successful business ventures of the hospitality industry, McDonald has adopted contingency approach of management which believes it is not best approach for managing employees. The origination has developed a strong organizational culture by adopting cognitive approach of management. According to this approach, the organization trains and develops their employees to deal with the contingent situation. Flat organizational structure helps in developing a well developed system of working (Youssef and Luthans, 2007). The management adopts required approach as per the situation within the entity. In case of conflicts or consumer dissatisfaction, the management adopts an authoritative management approach while in normal conditions democratic approach is adopted by the organization.
Motivation is the intrinsic force which influences individual to give his/her best performance towards organizational goals. It helps businesses in developing effective system of working and enhancing growth prospects for the company. Leadership in one of the crucial factors which impacts employee motivation. McGregor theory of motivation determines the impact of leadership on motivational measures of employees. Theory X and Y factors emphasizes on understanding the impact on different styles of leadership on employee performance and their motivational measures. X factor represents the authoritative leadership style where the leaders supervise employee’s performance closely and provide them with minimum flexibly of working as well. The leaders here tell the employees about what and how the work must be performed. On contrary to this, Y factor represents democratic leadership style. The leaders here are participative and develop an effective system of working for the employees. They mutually resolve the issues faced by the team and create an effective approach of working as well. The theory explains that employees of X factors has low performance due to high level of dissatisfaction while Y factor employees are highly motivated and develop effective system of creativity and innovation in the working system as well.
On the basis of above theory, it is evident that leadership and motivational are interrelated factors. As per the given case, it can be seen that Cagliari restaurant has adopted authoritative leadership style which resulted in lowering employee motivation significantly for the employees of the restaurant. Low financial performance of the company, high labor turnover and high rate of absenteeism is resultant for the same. Hence, it makes it evident that autocratic leadership style hindered the performance of the organization. .
Motivation is one of the significant parts of business performance. Many authors have given different theories of motivation which helps the business units in developing an effective impact on organizational growth and development. Maslow’s need hierarchy theory examines individual need hierarchy of an individual within an organization (McShane and Von Glinow, 2015). According to this, every individual has specific hierarchy of needs which comprises of basic needs which includes need for basic amenities for survival, security needs which reflects safe lining and working conditions. Social needs represent the need for social recognition and bonds, esteem needs are those where individuals seek social recognition for self esteem and ego and final is self actualization needs which are attained by very few people. As per the given case, Cagliari restaurant was unable to recognize needs and requirements of the employees which resulted in low impact on organizational growth.
Herzberg’s two factor theory is yet another theory which explains the concept of motivation within the business on the basis of two factors which are hygiene and motivators. The hygiene factors determine dissatisfaction and motivators determine satisfaction. Herzberg theory states that satisfaction does not correlate with productivity which means that satisfied employees may not certainly be motivated thus organizations must undertake effective measures to motivate the employees (Gelfand, Erez and Aycan, 2007). As per the given case, the management of Cagliari restaurant has developed effective means of hygiene factors which helps in creating an effective impact on employees. However the organization has not developed efficient measure of intrinsic factors to develop employee motivation within the organization.
Motivational theory is a very crucial concept for organizational effectiveness and growth within the market. It helps the company in enhancing performance of the staff by developing trust within them. The two factor theory reflects a clear measure of intrinsic and extrinsic factors of motivation which helps employee in developing high motivational measures (De Marchi, 2009). Cagliari restaurant has vast problems within the UK segments. The managers thus implements effective measures of intrinsic motivational measure to enhance employee development.
As per the two factor theory, the manager must clearly analyze extrinsic factors (hygiene factors) of motivation. Moreover, the managers must implement effective strategies to enhance intrinsic motivational factors for employees. This may include leadership measures within the organization. Moreoverintrinsic factors such as sense of achievement, recognition, responsibility and personal growth will help employees in enhancing their performance and thus it will assist in developing organizational growth.
Effective organizational performance demands well developed means of individual as well as group performance. This helps the business unit in creating wide impact on organizational growth and development (Kotter, 2008). A group is formed when two or more people interact and work together to accomplish organizational goal. There are basically two types of groups that exist within an organization.
Formal group is the one which is established in order to accomplish organizational goals and is closely supervised by the management however the informal group is the one which is formed and developed by mutual concern, friendship or relations. It is the basic part of the business unit and helps in developing social bonding within the employees. Both formal and informal groups are the essential part of the business unit (Thoonen, and et.al., 2011). These help in enhancing organizational working by developing high measures success for the unit.
A formal group is developed within an organization by following four stages which are discussed henceforth.
- Forming: This is the basic and most essential stage of group development. This stage shapes the group by developing its foundation and bringing various individuals together to bind them into formal structure.
- Storming: This is one of the most critical stages of group formation where the members of the group starts adjusting in the structure and the risks of conflicts tend to maximize. However, this stage of team development forms the basic exhibit of team structure.
- Norming: This stage is one where the formal distribution of roles and responsibilities is done. The team starts to develop problem solving attitude and starts resolving issues as well (Yorke, 2006).
- Performing: This is the final and most significant part of team formation. In this stage, the team members start performing the task which was assigned to them in order to accomplish organizational goals.
Team work is one of the most essential parts of the organizational success. Cagliari is facing high issues in developing effective team for the organization. This will impact the organizational performance highly and significantly. In order to develop an effective team within the organization, the company must analyze following factors efficiently:
- Team size: Size of a team is one of the most significant factors for developing and creating effectiveness in a team. A team with appropriate team members helps in attaining organizational goals efficiently (McShane and Von Glinow, 2015). A team with fewer members may overburden existing members which may result in ineffective results. On contrary to this, if the team has more members then it becomes unmanageable. .
- Team composition: Team efficiency demands effective team composition. A team with well developed pool of talent results in effective achievement of organizational goals. Cagliari is facing a major issue of diverse workforce. A well developed team will help the company in developing harmony and effective measures of working.
- Leadership: A leader is the one who manages team and influences the team-mates in attaining organizational goals (Pinder, 2014). A skilled and efficient leader will help Cagliari in enhancing performance of employees and attaining favorable results for the company.
Technology is one of the most important requirements of the organization. Advanced means of technology will help the company in enhancing its performance by improving the speed and quality of employee performance. It will also assist in enhancing means of communication within the company. Technologies such as computers will aid in saving vast data and will result in quick and effective means of working for the company (Buss, 2015). Apart from this, the effective use of internet will assist the company in developing high prospects of growth and development. It will enhance employee communication as well. Team work will be highly enhanced by effectively using technology such as intranet and intercom as well. This will help in training employees and developing their communication skills effectively.
The above report focuses on analyzing various measures of organizational behavior used by the corporate to enhance overall performance of the company within the business to attain high profitability and growth within this competitive market. The report effectively discusses various measures of motivation which the businesses may use in order to enhance employee performance. Hence on the basis of the above constructed study, it can be evaluated that Cagliari has wide prospects for growth within the market if the company efficiently adopts motivational measures and leadership styles for managing employees.
Books and Journals
- Avolio, B. J.and et.al., 2008. Transformational leadership.Asia-Pacific Business Review.
- Broadbent, D. E., 2013. Perception and communication. Elsevier.
- Colquitt, J., Lepine, J. A. and Wesson, M. J., 2009.Organizational behavior: Improving performance and commitment in the workplac. McGraw-Hill/Irwin.
- De Marchi, B., 2009. The risks of communication. Epidemiologia e prevenzione.
- Friedman, A. L. and Shepeard, H., 2007. Exploring the knowledge, attitudes, beliefs, and communication preferences of the general public regarding HPV findings from CDC focus group research and implications for practice.
- Galliers, R. D. and Leidner, D. E., 2014. Strategic information management: challenges and strategies in managing information systems. Routledge.
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