Organisations and Behaviour: Effectiveness of Different Leadership Styles (LO 2.1)

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Organisations and Behaviour

The report aims to evaluate the different leadership styles, motivation theories and
the effectiveness of teamwork in organisations with respect to given case study City
College and Enterprise. In addition paper also focuses of the underlines the use of
advanced technology with respect to considered organizations.

Effectiveness of different leadership styles (LO 2.1)

Leadership can be defined as two-way process that influences both individual and
organizational performance (Mullins, 2010:373). Leaders are those who pose the
ability to influence others in an organization to achieve an organizational objective.
An effective leadership is the ability to successfully integrate and maximize available
resources within the internal and external environment for the attainment of
organizational or societal goals (Ogbonnia, 2007). An effective leadership is
required in an organization to handle various situations, decision making process
and also to motivate employees. Academic literatures define different types of
leadership styles such as Autocratic leadership where leader has control over all
activities and decision making process. Participative or democratic leadership style
allows involvement of all staff, employees in decision making process increasing job
satisfaction among employees. Laissez-faire leadership style where team member
has been provided with the autonomy to perform task in independent way and also
allow taking required decision for their task. It provides ownership of task to
employee and gives a feel of authority and also job satisfaction.
The case study of City colleges presents the functional based structure of City
College allowing participative type of leadership. The organization has three

department based on operational function which works together to achieve the


common objective. Due to participative leadership style staffs are involved in
different process and also involves in destining the course program. In addition
college management encourages staffs to contribute their ideas which are discussed
so that effective ideas or process can be implemented for improving the
performance. This style of leadership is effective to increase the motivation level
among employees and make them feel a part of process. Participative style allows
employee to communicate and share their ideas thus different perspective are
involved in decision making process which enhance the effectiveness of decision.
On the other hand case study of Enterprise presents a hierarchical structure with
open door policy which allows an employee to directly connect with the senior
management and also fosters quick and easy communication. The system shows
mix of Autocratic and Laissez-faire leadership style. Due to hierarchical structure
every level has been appointed with a manager who is responsible for own team and
poses authority. For example General Managers is responsible for regional level
decision, branch managers is responsible for local customer service decision.
Managers set the guidance and standard for employee to be followed which is an
autocratic style. For example Andy Taylor, CEO of Enterprise instructed to us ESQi
at all branches to measure the customer satisfaction. But at the same time manager
provide an independent approach to employees to take the ownership of work and
also to take appropriate decision to serve customers efficiently. This style of
leadership works as motivator for employees and they try to achieve high level of
customer satisfaction.
Organisational theory and the style of management (LO2.2)

Various Organisational theories have been discussed by academic theories which


are essential for management practices and also have considerable impact on its
operations. An organizational theory can be applicable in various aspects of an
organization such as culture, human relationship, task, system and structure which
affects the organizational behaviour and management practices. These theories are
discussed below:
Classical Organization Theory deals with the factors influencing the culture of an
organization such as communication, role, structure, task and objectives. Classical
theory focuses on the increasing the organizational performances and efficiency by
attaining objectives, authority, improving functional relationship and process
simplification. Classical theories are of three different ways which influence
management practices in different ways. These are Taylors scientific management
approach1903, Weber's bureaucratic approach,1920 and Administrative theory by
Fayol,1949. Taylors scientific management theory believes in improving efficiency by
generating mutual trust between senior management and employees which can be
obtained by sharing the benefits gained from the increased performance with
employees. In addition management can provide training program to enhance
employees skills. It foster open communication within an organization.
Neoclassical theory as stated by Roethlisberger & Dickson (1943), is a concept
which considers human relationship to improve the efficiency. This works with the
concept that high morale of an employee can lead to higher productivity which can
be achieved by rendering individual attention to each employee. Democratic style of
leadership can be effective for this approach where employees are allowed to be
part of various processes.

Modern theory is the concept which entails that represents organization as a system
which is required to adapt with changing internal and external environment. As per
this theory processes are designed in such as way that employees collectively work
for attaining common goals (Hicks and Gullet, 1975).
Fayols Administrative Theory (1949) is a concept focusing on execution of tasks,
management and its principles of management, the notion of line and staff
management and other operations in an organization.

Different approaches to management and leadership theories, with respect to


City and Enterprise have adopted (LO 2.3)

Organizational theories present different management approaches or frameworks


which can be followed by an organization to improve the performance and efficiency.
These frameworks are mainly focused on four approaches those are classical
(includes formal structure, hierarchy, principles, and purpose); human relation
(forming social relationship at work); integration of different approaches that is
forming a system; and situational variables.

These approaches underpin three different management practices knows as


classical approach, the neo-classical approach, and the modern approach.
The management practice followed by City College is classical theory as
organization follows a logical framework and simplifies process by forming different
departments based on functional operations in order to enhance the productivity of
the college. Improving organizational efficiency by simplifying process and following
a logical framework is classical approach.
Whereas Enterprise uses classical approach and neo-classical approach as it forms
the hierarchical structure to follow the logical flow of task and authority but at the
same time it emphasise on employee relationship by

fostering participative

leadership style and also conducting training program to improve the skills of
employees which represents neo-classical approach. Thus organization improves
the efficiency by simplifying process as well as managing the healthy relationship
between employees and management.
However both approaches do not focus on conflicts, leadership issues, it only focus
on increasing system effectiveness which might not be effective in complex business
scenarios.
Impact that different leadership styles the behaviour of staff at City College
and Enterprise (LO 3.1)

The case study of City colleges presents the functional based structure of City
College allowing participative type of leadership. The organization has three
department based on operational function which works together to achieve the
common objective. Due to participative leadership style staffs are involved in

different process and also involves in destining the course program. In addition
college management encourages staffs to contribute their ideas which are discussed
so that effective ideas or process can be implemented for improving the
performance. This style of leadership is effective to increase the motivation level
among employees and make them feel a part of process. Participative style allows
employee to communicate and share their ideas thus different perspective are
involved in decision making process which enhance the effectiveness of decision.
This style of leadership motivates employees to take new initiatives and come up
with creative ideas as their perception and thoughts are valued and discussed.
On the other hand case study of Enterprise presents a hierarchical structure with
open door policy which allows an employee to directly connect with the senior
management and also fosters quick and easy communication. The system shows
mix of Autocratic and Laissez-faire leadership style. Due to hierarchical structure
every level has been appointed with a manager who is responsible for own team and
poses authority. For example General Managers is responsible for regional level
decision, branch managers is responsible for local customer service decision.
Managers set the guidance and standard for employee to be followed which is an
autocratic style. For example Andy Taylor, CEO of Enterprise instructed to us ESQi
at all branches to measure the customer satisfaction. But at the same time manager
provide an independent approach to employees to take the ownership of work and
also to take appropriate decision to serve customers efficiently. This style of
leadership works as motivator for employees and they try to achieve high level of
customer satisfaction. The style of leadership at Enterprise can be seen as
situational. In addition giving independence and freedom to execute tasks makes
employees more responsible as they feel ownership towards tasks.

Comparison of application of the different motivational theories (LO 3.2)


In an organization motivation plays a vital role to affect the performance and
productivity of employees. Various academic literatures discuss the impact of
motivation on the performance of an organization. Motivation is the factor which
persuades an individual to work to achieve the desired objective. Literature shows
different motivational theories which can be applicable to City College and Enterprise
from various perspectives. These theories are discussed below:
Maslows Hierarchy of Needs, 1943: Abraham Maslow represented primary needs
of human in a hierarchal order of pyramid as Physiological, Social, Esteem, and SelfActualisation and Meta needs. These needs are innate in every employee and
completing of one lead to fulfil the other need in hierarchy. This requires incentive,
empowerment to motivate employees in an organization.
Herzbergs Hygiene and Motivational Factors: Herzberg categorised various
parameters as motivators and hygiene factors which are in close relation with
Maslows Hierarchy of Needs. Motivators are the recognition factors which give
satisfaction to an employee and persuade employee to accomplish tasks. These can
be Achievement, Responsibility, Advancement, Job challenge and Growth. Hygiene
factors can work as accelerators for employees and also applicable before
motivators. These are job security, salary, policies, benefits etc.
McGregors Management Styles Theory X and Theory Y: This theory works on
the concept of different states of human psychology. Theory X is the traditional
management approaches which controls, directs and supervise, reward and punish
an employee in order to attain desired organizational objectives. Role of
management is to regulate and persuade an employee. Theory Y is applicable when

less control is required and employee is self directs and committed to own
responsibilities. Role of management in this theory is to create potential or realises
potential to employees.
In current business situation City College and Enterprise both Theory X and Theory
Y can be used but it applicability depends on the level won which it is implied.
Evaluation of motivation theories on management of both City College and
Enterprises workforce (LO 3.3)

Maslow theory represents primary needs of human in a hierarchal order of pyramid


as Physiological, Social, Esteem, and Self- Actualisation and Meta needs. These
needs are innate in every employee and completing of one lead to fulfil the other
need in hierarchy. This requires incentive, empowerment to motivate employees in
an organization. Thus managers are needs to analyse the needs of employees and
also find out the factors which can motivate them towards task and goals. Herzberg
categorised these parameters as motivators and hygiene factors. Motivators are the
recognition factors which give satisfaction to an employee and persuade employee
to accomplish tasks. These can be Achievement, Responsibility, Advancement, Job
challenge and Growth. Hygiene factors can work as accelerators for employees and
also applicable before motivators. These are job security, salary, policies, benefits
etc. In addition motivation theory of McGregors: theory X and X can also be
applicable to different situation.
With respect to City College it can be observed that Theory Y has been followed as
employees are self motivated due to participative leadership and requires less
supervision. In addition management identify the motivating factors to fulfil the
satisfaction of each employee. It provides employee an opportunity to put forward

ideas and also give them recognitions and job security. Further since the task is
allocated based on functional operational units; each employee have defined roles
which makes them more responsible and foster then to show their potential.
With respect to Enterprise the applicability of both Theory X and Theory Y can be
observed. As traditional management approach is used to set the standards for
performance by senior management which is in line with Theory X where as
employees are also provided with the flexibility to make situation decision but under
the set guidelines. It allows employees to take charge of their task and also
motivates them. As per Maslows theory Enterprise also uses motivational factors to
motivate employees such as empowerment, recognition, allowing them to show
creative ideas, providing rewards and promotions. It allows workforce to perform
better and also increase customer satisfaction.
Nature of groups and group behaviour within the workforces of City College
and Enterprise (LO 4.1)
A set of people working collectively towards the achievement of common aspiration
or goals is referred as group. Behaviour of group forms determines the service
quality, efficiency and performance of an organization. In order to meet the make
competitions organizations are seeking to enhance the potential of group.

Group

work can also facilitate the attainment of economic advantages, greater and
improved output and employee satisfaction level (Steijn, 2001; Brooks, 2006). The
formed group can also have knowledge sharing which can further improve the
efficiency of the group. Dynamics of group can influences the internal goals as well
as the outlook of team from the outside. (Isgar, Ranney, & Grinnel, l994)

City colleges has the functional structure based on operation thus group are formed

based on the tasks to be performed as well as on expertises to perform those tasks.


The intention of the group is to design the best course structure and materials
business structure. In the group members are allowed to share their ideas and
perception which are valued and also discussed for implementation if required.
On the other hand in the Enterprises the groups are task oriented to meet to
organizational objective of achieving high customer satisfaction. For which high
standards are set by groups leaders and rest employees are required to follow the
set guidelines though having flexibility to take decision in varies situations.
Various factors affecting team works in an Organization (LO 4.2)
Team can be referred as group of people collectively working to attain common
organizational goals. Success and failure of team work can be dependent on various
factors such as Leadership which is responsible to foster an amicable environment
to work in an organization and also persuade team towards right path; effective
communication is another factor which allows employees to communicates at all
level of organization and also to share their ideas. It also allows managements to
have a good relationship with team and to motivate them; Defines roles and
responsibilities of each team is essential to set the objective of team and easy and
quick facilitation of tasks.

Role of technology in the on the performance of City College and Enterprise


(LO 4.3)
Technology has gradually more momentous role the way teams are function in
current business scenarios as organisations are now more distributed worldwide and
also across industries (Brooks, 2006, p.115).

However implied technology can also come with security issue as the data can be
retrieved from the system. In addition working from remote location might affect the

efficiency of decision making and also performance of team (Gignac, 2005). It also
suffers from proper supervision. As stated by Sussan (2006), "teamwork is a crucial
element of workplace functioning." Further lack of physical presence in office can
also be barriers to foster to social relationship and lead to communication barrier.
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G. Gordon, Rutgers University

(1991),

Industry Determinants of

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Teixeira,

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David

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(2012),

Organizationalstructure, Integration, And Manufacturing Performance: A Conceptual


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