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Management, Innovation and Organisation Performance

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Management, Innovation and Organisation Performance

Introduction

Innovation is a process that involves bringing of new products in a more modern way to impress the customers and capture the market accordingly. The people who benefit from this process tend to benefit a lot and it is in such a situation that design thinking is embraced by customers. Innovation in an organisation will tend to focus on the needs of the existing and new customers in place as well as encourage amendmends of the organisation structures.

Analysis of innovation process

Building of change

In designing of organisations that are bound to change, managing of talents is embraced accordingly. Poor fit for any organisation gives the job description that will be bound to update from time to time. In most cases, an organisation that is geared to make more innovations will employ individuals who are quick learners and interested in matters of change. These individuals will work to ensure that the organisation innovation activities are attained accordingly due to their interest in acquiring new changes in their working environments (Ernst, Chrobot-Mason, 2011).

Paying their workers well will make them participate in the change process that will bring innovations in the organisation and make it more competitive in the market (Day, 2006). Also, organisations that advocates for a work environment with the allocation of best task to an individual will facilitate change and innovation to take place in their premises effectively. Allocation of tasks in accordance with individual capability is a better approach to acquiring innovations in the market accordingly (Ernst and Chrobot-Mason, 2011).

The right skills and knowledge ought to be employed for use under operations of the best talent to facilitate innovations to take place accordingly. Rewarding workers for their good job that they have done makes them be more creative towards advocating for change in their workplaces (Edmondson, 2011). The performance will be improved and change, innovation in the company will be very effected in such situations. Any bad behaviour from the employees that could have interfered with the change process will be terminated immediately; since, they are not ready and willing to temper with their jobs that give them means of survival (Hoehl & Parboteeah, 2006).

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The organisation structure of a company that wants to be more innovative must be checked and rectified where possible to avoid any interference in the innovation process. The structure of the organisation ought to be close to the market and define all the competitive activities that are taking place in conjunction with their innovation activities (Worley & Lawler, 2006). The organisational structure must connect its employees with the outside world to ensure that they learn more innovative methods to be used in the company.

The employees ought to be connected with the external environment for a smoother working and encourage more innovations to take place for the benefit of the organisation (Nonaka, 2007). Any organisational structure that is ready and willing to connect its employees to the outside world must bring all the critical information’s about trends taking place, encourage opportunities and issues of concern accordingly to their workers.

They ought to ensure that their workers don’t get tired with their roles that they are doing and also make it possible for them to connect with regulators across the globe (Andreeva & Kianto, 2011). Once they succed in connecting their employees with the external market, they will acquire more customers and make more progress under a well-planned innovations (Ciabuschi, Forsgren & Martín, 2011).

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Leaders and information

Information as well as decision process has to be well sought to ensure that all activities are well conducted. All the information given has to be transparent to ensure that activities transacted are transparent as well to the benefit of the company. Its profits govern business units that it has incurred or any loss experienced over a given time. Shared leadership is advantageous, implying that there is the best distribution of hierarchical duties, and they can be done more effectively.

The organisation will tend to respond to all information given whenever; there is shared knowledge that comes as a result of shared leadership in the organisation. Leaders in an organisation are attributed with the role of getting everyone moving in a new and a better direction that will be to the benefit of all (Corniani, 2012). Leaders also have to share the knowledge that they have for the benefit of the organisation and get their workers more informed on how they should handle their customers.

The building of talents in an organisation will be facilitated under a reputable leadership that is also shared among many people (Giedraityte & Raipa, 2012). Leaders, will be able to nurture their skills and each one’s talent will be improved. Improving of leadership talents guarantees better innovations in the organisation because; they are focused on making their functionalities better. Leadership talents include; making good decisions under all circumstances to make sure that all persons benefit from the decisions made.

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The views of the workers should be sought under innovations process management as a way of making them feel recognised and appreciated for who they are and for what they do. Shared leadership also calls for shared ideas of the company and ways of making innovations is of greater benefit to the organisation. Leaders working together with all the stakeholders of the organisation make a good decision related to their customers and how they can better their services and products.

Understanding both the internal capabilities and external environment is very useful under shared leaderships since; it helps in matters of corporate change (Hennala, Parjanen, & Uotila, 2011). Change is what contributes to organisations becoming more innovative and productive in its operations and will work better under shared leadership. Leaders who are focused on getting to higher heights will advocate for continuous change in their operations as a way of becoming more innovative and matching the customer’s needs (Kong, 2010).

The customer will tend to be associated with a business that are more innovate and focused on bettering their service. Innovations that come as a result of continuous change mean that customers will get impressed with them and want to buy their product and services. It is clear to state that services and products from the innovative organisation will be liked by many and their products will be improved accordingly (Schuurman, De Marez & Ballon, 2013).

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Aligning operations with the market

Most of the companies are pulling their organisational strategy to align it with the market for the sake of responding to the competitive pressure and become more innovative to get new customers. Teaming makes an individual be more innovative; since, they can share knowledge and help one another with different ideas that they know and in whatever they do rather than when one is working alone.

Their knowledge becomes broader and more applicable for use in the innovation process which is very useful in the company progress. Good interpersonal skills are also bound to be developed and this is also good in encouraging better networking in the innovation process. There are serious challenges that are evolving from teamwork and if not well managed can cause a lot of chaos and disorientate functionality of the group.

The embracing of several projects management helps employees in an organisation to learn how to carry several activities assigned to them. Networking comes as a result of better teaming in organisations members and for the stable teams that have learned to work together end up achieving their ultimate goal accordingly.

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Knowledge creation

Knowledge creation is another innovation theory that had been employed for use to ensure that the best strategies are entertained to attain the required aim of the company. Making the personal knowledge available to others was a central activity that was employed for use in making sure that the best is attained in the innovation process. Knowledge availability takes place at all times in the company, and it means that knowledge creation is as much as ideal as it is about ideas.

There was the use of tacit to tacit knowledge, which is very personal and hard to personalise as well as difficult to communicate to others (Ernst, Chrobot-Mason, 2011). There is a limitation of knowledge creation that takes place when socialisation is in the process and this ouht to e limited very much. Use of knowledge model ensures that managers challenge their employees to take working seriously for the sake of making good and reputable innovations. Creation of actual model is a process in knowledge that can be used to guarantee good working and better results of innovation.

Efforts of the group work

The group identified four practices that enable boundary spanning of leadership, buffering, mobilising others and transforming as well as the weaving of others as strategies of achieving its desired goal. The group ensured that interrelated strategies were included in the team working to attain the managing innovation process working. Various efforts were laid aside to attain the desired working of the group (Akhavan, Reza Zahedi & Hosein Hosein, 2014). Also, efforts were laid aside for the members to feel protected in the group to increase collaborations between boundaries.

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The group work worked to have efforts in shared identity where all members could feel as part and parcel of the group. Having a typical objective was an exertion that the group needed to be encouraged in ensuring that they accomplish the achievement. The team worked to ensure that they had interdependence whereby; all the team members were active, and none of them was dormant.

Teamwork should always encourage personal interaction where people can share different ideas and views required in attaining their goal set aside. The group had endeavours to guarantee that there was a common impact among its individuals, and working was better and smoother. All the activities that are needed were listed down, and a grant chart of all activities that are bound to take place was included.

There were various efforts that had to be employed for use in making the team function as required to attain the set goal. The group had high efforts of advocating for the right person to lead the team in the desired direction (Akhavan & Zahedi, 2014). The act of choosing the right leader proved to be an effective one; since, he made those capable of any bad act to be accountable for their evil actions.

The group was saved from the danger that could have taken over and disorientate its functioning. The group had efforts of ensuring that the team leader attained more training session to improve his leadership skills and learn how to manage the group work to achieve its desired goals. Having the right team leaders was an effort from the team proving any person who know what is expected of his team members, will guide them in the right manner.

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Lesson about team working

Novel insight can be generated from knowledge creation, and where there is a limitation of social capital, teamwork is bound to face a lot of challenges. There are many knowledge boundaries that interfere with knowledge sharing in a team and have to be avoided at any cost. Generation of the idea in teamwork can interfere with pressure from a very powerful leader. Any teamwork requires a lot of trusts to encourage knowledge sharing among each person in the group (Jafari, Rezaeenour, Mohammad & Hooshmandi, 2011).

It was prudent to learn that any successful teamwork does not require confrontation to one another, rather it requires an understanding of one another and listening to each other’s views. There is need of integrating which involves the synthesizing to create new possibilities of brainstorming where one can reason on their own. All the conflicts of the group and its failure have to be checked and worked upon accordingly to avoid any conflict that might disorganise the teamwork (Patton, 2007).

The team is required to think and understand different methods of reacting on the organisational roles that will contribute to their achievement in the innovation process. There was a need to capture, and access softer lessons for the team members to make learning smoother and facilitation of innovation process as reguired. Every one of the distinctions in a group must be settled in ensuring that working is better and more viable.

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During group work, one could easily learn that choosing the right members to work with was the only way out to ensure that innovation management process was facilitated. Each of the group members has to be allocated responsibilities for them to know what is required and do it with the aim to attain the right goal. Team working will work better under good and reputable allocations of duties where each person knows what is expected of him and does it accordingly. Innovation processes are well managed by a team working where duties are well allocated to each and every group member on his capability.

One could learn that there existed different knowledge in different individuals and embracing it could help facilitate a smooth working environment. Knowledge generation is very important in any team work, and this helps the team to think on management innovation matters of the organisation. Anyone in the team will learn that working under one goal is very crucial because; this will help all members to understand the aim of attaining an innovation.

One could learn that sacrifice was very prudent where each and every member was required to sacrifice all his personal views that could be of high help to the group towards achieving its goal (Strohmaier & Lindstaedt, 2007). Through doing this, the team working could be a more effective activity and managing innovation processes could be made better.

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Another lesson learnt from the teamwork was that commitment to a team is very crucial in achieving its success which is the ultimate goal. Any member who proves not to be committed to achieving success in managing innovation process, will be a great stumbling block to the team. Commitment encourages any team member to be devoted to attaining the set goal as well as make contributions that will help the team move ahead in its operations (Yun, Shin, Kim, & Lee, 2011).

From the new organisational forms that supported knowledge work in the group, one could learn that knowledge work in innovation matters is supported by different forms of organisation in existence. All the knowledge workers who manage innovation process were very distinctive and forms of control as well as the required rewards.

The knowledge work is very useful in managing innovation process; hence, rewards are necessary to be given to the leaders for developing useful competencies required for use in the future. Whenever organisation grow in large size, it becomes hard to sustain adhocracies and also hard to manage the innovation process taking place within their premises.

Conclusion

This paper gives an explanation of the analysis of innovation processes and how they were experienced under different activities. All the group efforts that were evident are also elaborated as well as the lessons learnt about teamwork.

Appendix

(Group leaders) – He was determined in achieving a specific leadership, goal that was managing the innovation process of the team. The group leader was entitled to plan and control all the activities that were required by the team in making sure that all its activities towards managing the innovation process were attained accordingly.

Evans (group organiser) – Evans was entitled to the role of organising the group meetings and time as well as venues where they could be taking place. He was additionally the one to start another task for the gathering to handle and also guaranteeing that every one of the ventures met the required due date. Evans was in charge of making sure that every group member knew his role and played it effectively.

Mary (specialist) – Mary was in charge of ensuring that the product of the project was done in a more professional manner as required.

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Joseph (Peace Keeper) – Joseph was entitled to the role of keeping peace and making sure that all activities were taking place as required. Joseph ensured that once a conflict occurred, it was solved with an immediate effect to avoid disorientating the functionality of the group.

John (Editor) – All the work of the group members was edited by John and he ensured that there was no repetition that could make working slow and adamant. Everyone’s writing was made sufficient and in a more professional way under the guidance of John

Other members – The rest of the group members were entitled with the task of participating in the project, communicating, and submitting their assigned work upon deadlines. Group members are entitled with the role of ensuring that they do their duties as required to avoid failure of the groups.

References

Akhavan, P. & Zahedi, M.R. 2014, “Critical Success Factors in Knowledge Management Among Project-Based Organizations: A Multi-Case Analysis”, IUP Journal of Knowledge Management, vol. 12, no. 1, pp. 20-38.

Akhavan, P., Reza Zahedi, M. & Hosein Hosein, S. 2014, “A conceptual framework to address barriers to knowledge management in project-based organizations”, Education, Business and Society: Contemporary Middle Eastern Issues, vol. 7, no. 2, pp. 98.

Andreeva, T. & Kianto, A. 2011, “Knowledge processes, knowledge-intensity and innovation: a moderated mediation analysis“, Journal of Knowledge Management, vol. 15, no. 6, pp. 1016-1034.

Ciabuschi, F., Forsgren, M. & Martín, O.M. 2011, “Rationality vs ignorance: The role of MNE headquarters in subsidiaries’ innovation processes”, Journal of International Business Studies, vol. 42, no. 7, pp. 958-970.

Corniani, M. 2012, “Innovation, Imitation and Competitive Value Analysis”, Symphonya, , no. 2, pp. 37-52.

Day, S. G. 2006. Aligning the Organization with the Market. MITSloan Management Review. VOL .48 NO.1

Edmondson, A. (2011). How to master the new art of teaming. Teamwork On the Fly. ARTWORK Andy Gilmore, Hemicube digital drawing

Ernst, C. and Chrobot-Mason, C. (2011). Flat world, hard boundaries: How to lead across them MITSloan Management Review.

Ernst, C., Chrobot-Mason, D. 2011. Flat World, Hard Boundaries-How To Lead Across Them. MITSloan Management Review.

Giedraityte, V. & Raipa, A. 2012, “Risk Management in the Public Sector Innovation Processes”, Viesoji Politika ir Administravimas, vol. 11, no. 4.

Hennala, L., Parjanen, S. & Uotila, T. 2011, “Challenges of multi-actor involvement in the public sector front-end innovation processes”, European Journal of Innovation Management, vol. 14, no. 3, pp. 364-387.

Hoehl, M., & Parboteeah, P. 2006.Autonomy and Teamwork in Innovative Project. Human Resource Management, Vol. 45, No. 1, Pp. 67–79

Jafari, M., Rezaeenour, J., Mohammad, M.M. & Hooshmandi, A. 2011, “Development and evaluation of a knowledge risk management model for project-based organizations”, Management Decision, vol. 49, no. 3, pp. 309-329.

Kong, E. 2010, “Innovation processes in social enterprises: an IC perspective”, Journal of Intellectual Capital, vol. 11, no. 2, pp. 158-178.

Kosala, M. 2015, “Innovation Processes as a Stimulant of Internationalisation Process of Firms”, Entrepreneurial Business and Economics Review, vol. 3, no. 2, pp. 65-84.

Nonaka, I. 2007.The Knowledge-Creating Company. Harvard Business Review

Patton, J.R. 2007, “Metrics for Knowledge-Based Project Organizations”, S.A.M.Advanced Management Journal, vol. 72, no. 1, pp. 33-43,2.

Schuurman, D., De Marez, L. & Ballon, P. 2013, “Open Innovation Processes in Living Lab Innovation Systems: Insights from the LeYLab”, Technology Innovation Management Review, vol. 3, no. 11, pp. 28-36.

Strohmaier, M. & Lindstaedt, S. 2007, “Rapid knowledge work visualization for organizations”, Journal of Knowledge Management, vol. 11, no. 4, pp. 97-111.

Worley, C., & Lawler, E. 2006. Designing Organizations That Are Built to Change. Mit Sloan Management Review

Yun, G., Shin, D., Kim, H. & Lee, S. 2011, “Knowledge-mapping model for construction project organizations”, Journal of Knowledge Management, vol. 15, no. 3, pp. 528-548.

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People, Management, & Organizations

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People, Management, & Organisations

Introduction

Human resource management (HRM) is one of the most important departments in the operations of an organization. Different entities as well share HRM responsibilities differently depending on the size, situation/context, and the goals of the organization among other functions. HRM in overall aims at improving the performance of the business by extracting maximum value from the capabilities, knowledge and skills and efforts of employees in the most cost effective manner as possible.

To achieve this value, organizations share various responsibilities through shared service centres, HRM department, and outsourcing or through line managers. The paper therefore, focuses on the different ways of sharing responsibilities using the case of Vodafone Company. The paper further deliberates on how this work and ways to improve the same putting into consideration the drivers of trends in service delivery.

People, Management, & Organizations

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Case study

Vodafone is one of the leading multinational corporations in the area of telecommunication companies operating in India. The company ranks second after Airtel in terms of mobile network coverage. The company offers an array of services including services that relates to voice, mobile phones, and internet services such as 3G and many others. The company dominates the mobile telephony market because of the quality of services it renders to its customers. The company has as well managed to grow because of the competitive personnel it has.

The nature of HRM delivery the company uses is both outsourcing and HRM department. The company has a HRM department that deals with the affairs of its employees. It as well on various occasions uses outsourcing services to supplement its HRM department functions. Various drivers or trends in service delivery exist such as technological advancement/change, competitive pressures, and globalization and are critical in the operations of HRM systems. These drivers as well have played a key role in the operations and HRM responsibilities of the company.

For instance, competitive pressures have contributed to the innovations and creativity experienced in the company. The company has managed to come up with competitive products and services that have contributed to its success. Globalization has also contributed to the adoption of the HRM strategy in the company. The company has as well adopted best practices embraced by different companies across the world to be competitive.

People, Management, & Organizations

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Advantages and disadvantages of outsourcing of HR mode of delivery the company has adopted

Outsourcing of HR activities is one of the HR service delivery the company uses. Various HR practice areas such as training and development and recruitment, and payroll, and general administration are sourced from various HR specialists. This however, does not mean the company has poor systems, but some of the personnel’s to be recruited requires vigorous scrutiny (Torrington, Hall &Taylor, 2008). Recruitment agencies for instance, possess greater skills and experience concerning suitable caliber of candidates to recruit.

Furthermore, outsourcing reduces costs of operation, especially in the short run because it can be expensive to maintain or retain internal staffs due to employment cost such as holiday pay, office accommodation, and pension pays. Outsourcing removes, potential rigidities as they are not covered (Bresnen & Marchington, 2014). Outsourcing has advantages because it allows the company to buy in external expertise not available in house. It is also useful and appropriate in change programmes, and is cheaper in the long run.

However, using outsourcing as a method of delivery have potential problems that the organization put into consideration to ensure that they does not derail smooth operations and functioning of the organization. This includes loss of internal synergy in the Human resource functions in the company. It also limits the company when it comes to application of best practices and there may cause interference in the process of reaching amicable solutions (Torrington, Hall &Taylor, 2008).

Furthermore, the company faces threat of experiencing additional costs because of monitoring and definition of performance that must be undertaken even after the outsourced experts or specialists leaves the organization (Bresnen & Marchington, 2014).

People, Management, & Organizations

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Advantages and disadvantages of HRM department mode of delivery the company has adopted

HRM department is cheaper to administer and to run because personnel’s are familiar with the internal process of the organization (Torrington, Hall &Taylor, 2008). However, some of the challenges or problems that this company experience using this mode of service delivery is when it comes to policy implementation and implementation of programmes due to long processes created in the organization structure.

These delivery methods as indicated from the discussion are appropriate and help the organization to gain value. The company does not incur huge costs operating on these delivery methods. Furthermore, returns in terms of value are higher.

Outsourcing has contributed to recruitment of skilled and knowledgeable staffs that have contributed to achievement of the objectives and goals of the organization. Furthermore, it has contributed to smooth operations because; the right people that have the requisite skills are employed to help champion the issues of the organization forward.

Other modes of HR service deliver

Advantages and disadvantage of front-line managers

Even though, the company uses outsourcing and HRM department, Purcell & Hutchinson (2007) argues that using other modes such as front line managers and shared service centers (SSC) can as well add value to an entity. According to Bresnen & Marchington (2014), the potential advantages of using front line managers is that is easy to intervene in any HR issues as they are closer to issues that the department of HR perform.

Furthermore, line managers have higher understanding of the business and they own ideas that help them to engage with others (Purcell & Hutchinson, 2007). However, they have some drawbacks such as may not be familiar with the goals of the organization, may lack skills and competencies, may experience work overload that may derail their smooth operations and may as well face inconsistencies when it comes to application of HR rules.

People, Management, & Organizations

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Advantages and disadvantage shared service centers HRM service delivery mode

On the other hand, shared services centres are also becoming popular in entities. This involves a small group of HR professionals that drive the strategic vision of an organization at the same time a call center exists that provides advice to line managers as well as administrators and individual workers (Marchington & Wilkinson, 2011).

Some benefits of this include higher customer satisfaction, efficient processes, and economies of scale, transparency of costs, among others. Potential problems using this kind of delivery mode is increased workload to line manager that may affect service delivery, higher than expected costs and staffs may experience IT problems among many others.

Wider theoretical perspectives

Various theories provide wider perspectives on the functioning of different organization. Resource based view is one of the theories that explains how the key drivers of HRM and organization performance are shaped (Bresnen & Marchington, 2014). In Vodafone, the primary forces that impacts on its performance is based on the inside out approach. The internal capabilities including the skills of employees and processes as well as employment relation play a critical role in its success (Lepak & Snell, 2007).

The organization therefore has used different individuals in different areas they cause greater impacts. Practices or goals that are ascertained to be are, valuable, not easy to copy, and not easy to substitute are given preferential treatment. Therefore, HRM architecture has as well been of greater value in the functioning of HRM as the modes of delivery is based on centrality to the mission of the company (Bresnen & Marchington, 2014).

People, Management, & Organizations

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Ways of improving delivery and alternative HRM service delivery modes recommendations

Based on the literature and discussion, delivery can still be improved to ensure that the organization achieves higher performance. One way of improving delivery is applying various models of delivery that suit the company and which help achieve the goals and visions of the organization (Lepak & Snell, 2007).

It is also important to select the mode of delivery that is cost effective, ensure that problems are solved and those that ensure adoption of best practices in the functioning of the organization. It is also important to utilize resource based view theories by incorporating internal capabilities that can add value to the organization. I recommend use of HR departments and outsourcing of HR in circumstances where an organization wants to save costs and to attract talented individuals.

Conclusion

Human resource management is critical in the operation of the organization. It is prudent that organizations adopt suitable service delivery modes that can help them meet their goals. Organization such as Vodafone uses HR department and outsourcing and this has contributed to its success. In dealing with various problems entities encounter, it becomes prudent to adapt to most suitable and appropriate modes of service delivery.

People, Management, & Organizations

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Other modes that entities can use include front-line managers and Shared Service centers. It is also important to consider the drivers of factors of service delivery such as globalisation, technological changes, and competitive pressures in deciding the appropriate service delivery mode to use. Theoretical views such as resource based and architectural modes are important to consider in service delivery.

Using inside approach by considering internal capabilities of individuals can go extra miles in ensuring that an entity remains competitive. It is therefore recommended that organizations make appropriate decisions on the modes they want to use by weighing their benefits against drawbacks and putting into consideration the context or the situation they are operating in.

Reference

Bresnen, M, & Marchington, M 2014, People, Management & Organisations, study guide; The University of Manchester; Manchester.

Lepak, D, & Snell, S 2007, ‘Employment subsystems and the ‘HR architecture’, in Boxall, P.,Purcell, J. and Wright, P. (eds), The Oxford Handbook of Human Resource Management, Oxford University Press, Oxford.

Marchington, M, & Wilkinson, A 2011, Human Resource Management at Work (4^th Edition), London: CIPD.

Purcell, J, & Hutchinson, S 2007, ‘Front-line managers as agents in the HRM performance causal chain: theory, analysis and evidence,’ Human Resource Management Journal, 17(1), pp 3- 20.

Torrington, D, Hall, L, & Taylor, S 2008, Human Resource Management, 7th edition, FT Prentice Hall, London.

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Scientific Management Approaches

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Scientific Management Approaches

To what extent are the principles of scientific management applicable to the 21st century?

Fredrick Taylor is credited to have come up with Taylor’s management theories. These theories were later renamed scientific management theories due to how Taylor used scientific concepts to decode how organizations should be run. He came up with the concept of a scientific approach to management of organizations. While working at a steel company, Taylor had noted that the productivity of the labor force was inefficient. He attributed this inefficiency to the use of the rule of thumbs. Taylor’s management experiments were initiated on this fact.

He would conduct experiments on the workforce by coming up with ways to change or improve the rule of thumbs. His experiments were based on theories derived from science. He came up with a theory where he wanted to reduce the movement of workers while performing a single task in the industry. This move was to increase the productivity of the labor force. This theory is one of the few traditional theories by Taylor that are used in modern management even to date(Thomas 2007).

Scientific management approaches are still part of most organizations of this day and age. The widest concept adopted today is dividing the functions of the management and those of the staff. The replacement of the rule of thumbs with scientific facts has also led to the widespread application, adoption, and modification of Taylor’s theories. Most if not all modern organizations have a factual basis for their operations. As a result, they have structures for both the managerial and staff functions. The external and internal competition is managed by facts that have little to do with the scientific management approaches theories and principles (Thomas 2007).

Scientific Management Approaches

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The model of scientific management emphasizes on using one way in the overall management of organizations. It also advocates for the following of natural principles that guide human behavior and actions Ancona, D., et al. (2009). It is, however, not impossible to find organizations in the 21st century who operate using a different model or theory. The disparity in the 21st-century management can be seen in technology, infrastructures, and even the education system. The way the government is run and the family setting are also a clear example of how the management of organizations has changed in the 21st century.

The five principles of scientific management are a clear division of tasks and responsibilities for the staff. There is also the selection of the best person to perform a task that has been newly designed using scientific knowledge.Fredrick Taylor’s scientific management theory was an integral part of the understanding of how organizations in the traditional world were managed. At the same time, as the theory grew with time there were several critics who were opposed to some of its principles.

The result of the criticism was the decreased role the theory played in later management decisions of organizations. Today, there is only but traces of the theory in the management of these twenty-first organizations. Examples of the scientific management theory today are few and hard to come by. However, there are some industries that have strived to keep hold of the principles derived by Taylor on the management of organizations. The car industry is one such industry.

The computer manufacturing and healthcare industries also have traces of Taylor’s theory within their ranks. However, what is visible are similarities of the original theory rather than the actual adaptation of the theory itself. It is not known if there is any modern industry that used Fredrick Taylor’s theory in its original non-influenced theory(IAIN 2009).

Scientific Management Approaches

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Thirdly, the staff knows exactly what to do and when to do it. The use of scientific methods has been adopted to come up with how best an individual can perform an assigned task.Taylor had had vast experience in the Midvale Steel Company. Companies like McDonalds, which have their staff follow one standardized process to come up with the finished product, have adopted the technique.

The standardized process and the use of five scientific approach principles in combination have been successfully used by an organization to achieve maximum productivity. In the fast food industry, customers are usually assured to get their orders ready is a little as one minute after placing their orders. The success of the industry can be hugely attributed to the adoption of the Time and motion theory developed by Taylor.

Ensuring the workers are adequately trained for them to perform their assigned tasks is another management principle McDonalds and Google are two different but successful companies that use different scientific management approaches for their employees. Both are also in different market sectors, but one is required to be innovative and have creative skills. The other company, however, needs the hands and feet of their employees for efficient running.

Taylor’s theories can, therefore, be said to be in use in the twenty-first century running of organizations. Google does not use a piece rate system and thus will not have that theory in their organizational management plans. Taylor’s best theories can also not be suitable for all the organization. For a modern company innovation and flexibility has to be part of the plan for there to be success in its operations (Richard 2011).

Scientific Management Approaches

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The fifth principle is to have a strict surveillance and supervision of the workers’ activities using a set hierarchy of power and authority in the organization (Thomas 2007). Every manager has their individual ways and styles of managing an organization. The managers, however, have to use principles and concept of management that can work for their particular organizations. The concepts have to blend with the culture of the organization and the nature of work there. Taylor’s theory was often criticized for not being dynamic as the employees did not want to perform their tasks differently.

For this reason, managers have to think critically and deeply on their intended principles. They also have to look for ways to make their management concepts flexible with the changing situations in the organization. Google, an internet giant, does not apply Taylor’s metaphor of the machine for its employees. It, however, uses the Hawthorne experiment that was developed by George Elton Mayo. The results of these experiments showed that workers should be regarded as assets to any organization.

The result was an increase in the motivation of the employees. The employees produced better and consequently the increase in the overall productivity of the organization. George’s work was distributed over some years and, therefore, had more data to analyze than had Taylor (Martins 2014). Google’s staff has the liberty to work at the time they feel fit. These employees also design the working environment. The organizational structure at Google ensures that the staff can work as a team on their various projects. Teamwork was seen by Mayo as a major booster to the efficiency of employees.

Scientific Management Approaches

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During Taylor’s times, charitable organizations had started to mushroom. This proves that he was wrong to think that money was the only factor to consider when managing an organization. It is, therefore, correct to say that charitable organizations that have emerged in great numbers today do not apply any of Taylor’s methods and theories in their daily operations.

However, special circumstances can lead to these organizations using one or more of Taylor’s best methods. The use of these theories can be in the assembly lines where they have to reach the needy in the shortest duration of time. This observation means that Taylor’s methods are being used even if not in their pure forms (Martins 2014).

Another scientific management theory is referred to as Fordism. The theory uses the theories of a moving assembly and the division of labor and piece rate theories by Taylor simultaneously. The result is the automation of jobs. The jobs can also be classified according to the level of skills of the employees. The flow of work in a continuous way means that there is work being done. This theory developed by Ford was used in the manufacture of his cars. However, this theory has similar discrepancies as Taylor’s.

This theory relies mainly on the division of labor for the mass production of goods to run efficiently. This process little freedom to the staff who end up being dissatisfied with their jobs (Nelson, 1980). Moreover, the machinery and infrastructure are taken to be more important than the works themselves. The only applicable element of this theory in the twenty-first century is the piece rate. The overall scientific system can be seen to be lacking in many aspects. The managers of the twenty-first century try to fill these gaps with other foreign elements like the Maslow and Herzberg theories.

Scientific Management Approaches

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Herzbergdeveloped a theory that can be seen as a deeper side of the scientific theories by Taylor. Herzberg built a basic framework for motivation after conducting many experiments and surveys. After a critical analysis of the data he had obtained, he concluded that the motivation of employees is influenced by factors he called motivators. Dissatisfaction aspects he called hygiene. When the hygiene factors are removed, one cannot know of the existence of absence of satisfaction on the employee.

He said that employee satisfaction and motivation is greatly attributed to the treatment the employee receives. To Herzberg, there exists a difference between facts on satisfaction and dissatisfaction. Managers may bring in the factor of eliminating bad factors, but this may also mean there is only peace achieved rather that motivation. The safest way to motivate employees, according to Herzberg is to give them attainable tasks and responsibilities (Armstrong 2009).

After many successful surveys, experiments and studies, Maslow developed the Maslow’s hierarchy of needs theory. The theory can also be used to analyze the efficiency of the scientific management theory developed by Taylor. Maslow is thought to believe that human beings have a high belief and expectation of self-actualization. He had also postulated that the expectations of humans were in most cases inexplicable and undervalued. To Maslow, human beings have five goals in life. Love, safety, esteem, self-actualization and psychology are these goals.

The goals can also be said to be the basic needs of most human beings (Armstrong 2009). Maslow also said that both employees and their employers are also motivated to achieve all these goals one after the other. To him, man is a creature whose desires run to eternity and the achievement of all these goals is impossible. All individuals, therefore, have the partial satisfaction of the fulfillment of their desires. Maslow’s theory proves an important asset for the managers of organizations in the twenty-first century.

The theory advises these managers to motivate their staff by setting for them goals that lead to their personal satisfaction. Modern organizations also should start programs aimed at managing and monitoring the levels of stress among the employees.

Scientific Management Approaches

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Scientific management may seem to be an integral part of modern organizations management, but one cannot miss the defects that are part of the concept used in the twenty-first century. It can then be said that not all the modern concepts of management can be adopted in the management of organizations (Gould 2000).

Employees of organizations in the twenty-first century are seemingly very intelligent. They value themselves better compared to their counterparts in the days of Taylor and Ford. However, there is the fear of the employees being under-skilled due to the specialization and use of standardized procedures in most organizations. The employees are not given room to use their creativity to come up with the finished products offered by their employers. This phenomenon is most common in fast food outlets like McDonalds that use a standard process to make their delicacies.

The breakdown of tasks makes the work of the employees easier and manageable. The staff is converted to machine-like pieces of a large operational process in an organization. They become less satisfied with the jobs this has led to their low motivation. In modern organizations, however, there is an understanding that money and power are not the only aspects of the management of organizations.

By contributing to the social welfare of their employees, these organizations has become more flexible in the affairs of their staff. The organization is regarding their staff as assets to the organization. Workers now fight for promotion and financial gains rather than work as machine sin the operational processes of the organization(Soron 2013).

Scientific Management Approaches

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Most of the institutions are thought to work entirely on concept based on rational mindsets as observed by Dr. Brown (2014). There is, therefore, a movement that is based on four factors as Ritzer postulated in his 1983 book, The McDonaldization of society. Ritzer claimed that organizations are managed and affected by management decisions as a whole and thus are regulated by these four factors completely. A society that is full of individuals with a rational mind has a lot of efficiencies, sustainability and emphasis on human factors like technology and power.

The running of organizations at a such a society is therefore not based on uncertainty and regret. All these factors are common from a rational point of view. These changes have been so common that they can be said to have been as a result of a century-old management revolution. The major talking point is, however, how these modern management points of view for organizations are affecting the overall management of these organizations in the 21st century.

One can ask themselves whether these principles of are the way forward in the 21st-century management of organizations. Dr. Brown (2014) is quoted asking whether these principles are a better way to respond to traditional management and if technology is the best way to respond to these changes.

Social factors have now become a priority for most modern organizations. Employees’ initiatives and welfare is a major concern for these organizations. They are also growing focus on the on how the employees adapt to their operational processes and closely monitor their employees’ performance. The issue of employee loyalty is also an area that is being focused on modern organizations. The entire social responsibility of organizations differs with Taylor’s notion that staffs are concerned with financial matters solely. Today the idea that employees have to be controlled from above is not very welcome in many organization like Google, who have given their employees the liberty to choose their work schedules (James &Schwarzbach 2011).

Scientific Management Approaches

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The future of organizations may be influenced a lot by technology. Technology is already manifesting itself as a contributing factor in the management of these organizations. The advancement in technology has influenced key factors in an organization like competitiveness and efficiency. This has made it necessary the managers of organizations in the twenty-first century adapt quickly to these technologies for their survival in these changing times. With the growth of technology, most societies have had to respond to these fast technological changes with adaptability techniques.

Irvine et al. (2011) think that artificial intelligent units might be used to replace human altogether as the main workforce. Managers today and in the future have to adapt to the trends so as to keep up the pace of technological change. Just like the managerial revolution of the twenty-first century, there may be an impending change in management approaches in the future.

It is impossible to see the scientific theory in its purest form in today’s management of organizations. There are, however, traces of the most common elements of this theory. The elements are mixed and matched and thus become deeply embedded in the organizational structure of modern organizations. This phenomenon can be used to explain why management of organizations has taken such a drastic change in the twenty-first century. Pure forms of Taylor’s methods can still be found in developing countries.

The reason for this observation is that most developing countries managers put their interest to where there is an availability of a cheap and reliable labor force. In places like this, the workforce is mainly desperate for money putting Taylor’s original scientific management theory in practice entirely (IAIN 2009).

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In conclusion, we have to answer the question as to what extent are the principles of scientific management applicable to the 21st century. It can be observed that technical management based on a rational point of view is being widely used in today’s management options. It can also be proven that several other theories critically analyze Taylor’s theories. Examples from Herzberg, Maslow, Ford, McDonalds, Googleand other modern managers all can be used to analyzeTaylor’s theories.

By applying school of thought based on Taylor’s theories, there can be a challenge in the future on the use of technology. The scientific management approach is not the only applicable theory when managing modern organizations. However, great strengths can be drawn from the theory in the management of organizations in the twenty-first century. Adopting the use of a clear-cut procedure has been a definite success in the fast food industry as used at McDonalds. Other strengths are the piece rate operations theory that when combined with Ford’s automation can result in improved productivity.

The major talking point in the differences between the scientific approach and modern approaches is on employees values. Taylor saw employees as parts of an operational process that is aimed at improved productivity of the workforce. He viewed them to be only interested in being paid. However, today organizations are more interested in employee initiatives and welfare as a major concern for these organizations. They are also very much interested in understanding how the employees adapt to their operational processes and closely monitor their employees performance.

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The issue of employee loyalty is also an area that is being focused on modern organizations. The entire social responsibility of organizations differs with Taylor’s notion that staff are concerned with financial matters solely. Today the idea that employees have to be controlled from above is not very welcome in many organizations. Technology has also been seen as a major factor that is being used by the managers of organizations in the twenty-first century.

References

123HelpMe.com. (2014) Terrorism and Technology. Available at: http://www.123HelpMe.com/view.asp?id=27675 [Accessed 15th July, 2014]

Armstrong, M., 2009.Armstrong’s Handbook of Human Resource Management Practice.11th ed. London:

Ancona, D., et al. (2009). Managing for the future—Organizational behaviours& processes 3rd ed. Massachusetts: Thomson Available at: http://ebookw.net/ebook/business-job/36467-anconad-et-al-2009-managing-for-the-futureorganizational-behavior-processes3rd-ed.html [Accessed on 2nd July 2014]

Cory Doctorow Meets the Public,” Nov-Dec 2010, pp. 22. Available at: file:///Z:/Forecasts%20From%20The%20Futurist%20magazine%20%20%20World%20Future%20Society.htm [Accessed on 1st July, 2014]

Daniel N. (1980). Frederick W. Taylor and the Rise of Scientific Management.Madison university of Wisconsin Press. Andrea Graziosi. Pp.259

Gregory G. (2008) the Real Life Search for E.T. Heats Up, pp. 20

IAIN M. (2009) The Divided Brain and the Making of the Western World (Yale University Press,). Available at: http://brainworldmagazine.com/what-at-any-one-moment-is-governing-our-actions/#sthash.J8qFiJH1.dpuf [Accessed 7th June, 2014]

James, H. I. and Schwarzbach, S. (2011) The Top 20 (Plus5) Technologies for the World Ahead,” pp. 17-18

Marcuse, H. (1964). One-dimensional man: Studies in the ideology of advanced industrial society. Boston: Beacon Press.

Marcuse, H. (1968). Industrialization and capitalism in the work of Max Weber. In Herbert Marcuse, Negations: Essays in critical theory, pp. 201-226. Boston: Beacon PressAvailable at: http://www.wfs.org/node/568 [Accessed on 1st of July, 2014]

Martins B. (2014), Managing for the Future, a Lectured delivered for MSc Management Student at the Birmingham City University. Birmingham England.

Raphael Rooms, The School of Athens: the foundation of the western mind philosophy and science Available at: http://sandystrachan.wordpress.com/tag/roman-catholic-church/ [Accessed 16th June, 2014]

Richard, Y. (2011) Treading in the Sea of Data,” pp. 33. Available at: file:///Z:/Forecasts%20From%20The%20Futurist%20magazine%20%20%20World%20Future%20Society.htm [Accessed 1st July, 2014]

Robert, P. (2009) “The Automation of Invention,” pp. 24. Available at: file:///Z:/Forecasts%20From%20The%20Futurist%20magazine%20%20%20World%20Future%20Society.htm [Accessed 1st July, 2014]

Soron, D. (2013) George Ritzer, the McDonaldization of Society: 20th Anniversary Edition. Canadian Journal of Sociology , Vol. 38(3)

Steven, M. S. (2011), “The Coming Robot Evolution Race,” pp. 20. Available at: http://www.chapman.edu/business/_files/journals-and-essays/jbm-editions/jmb-vol-17-01.pdf [Accessed 15th June, 2014] Available at: http://amanpour.blogs.cnn.com/2014/07/03/nigeria-minister-admits-bad-communication-on-missing-girls-vows-safer-schools/?iref=allsearch [Accessed 15thJune, 2014]

Thomas, F. (2007), “Fractal Transactions: Launching the Future of Money,” pp.11.

Tomorrow in Brief, Nov-Dec 2010, pp. 2 Available at: file:///Z:/Forecasts%20From%20The%20Futurist%20magazine%20%20%20World%20Future%20Society.htm [Accessed 1st of July, 2014]

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Performance Management System Coursework

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Performance management system

A key aspect of performance management entails managing staff members and managers, given that their performance would have a significant effect on the company’s performance altogether. In this posting, the student is exactly right by pointing out that employee rewards for performance should actually be linked directly to goal setting, employee development, competency measures as well as team performance and helps workers to feel empowered.

The student states that rewards could be delivered in different ways, which is very true. A reward system basically comprises all the psychological, non-financial, and financial payments that a company offers to its staff members in exchange for the work they carry out (Aguinis, 2012). Not every employee is motivated by money and therefore it is important to also have non-monetary reward methods such as flexible working patterns.

Performance management system

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Linking performance to distribution of incentives, bonuses and salary contributes effectively to talent management and helps to motivate people. Researchers have reported that when executed well, pay for performance could actually motivate employees to do their work tasks well (Chiang & Birtch, 2012). In addition, the student is also correct by stating that an organization should set attainable goals for its employees and give support and encouragement to the employees to achieve the goal and then reward them after they have achieved the goals as this would demonstrate commitment from both sides.

On the whole, the main objectives of having a reward scheme are as follows: to conform to legal regulations; to motivate staff members; and to be ethical. Other objectives are to support the corporate goals by aligning the goals of the company with the goals of the staff members; to align the risk preferences of employees and managers with the risk preferences of the organization; and to ensure that the company can recruit and retain an adequate number of staffs with the appropriate skills (Mujtaba & Shauaib, 2010).

References

Aguinis, H. (2012) Performance management, 3rd ed. Upper Saddle River, NJ: Pearson Prentice Hall. Chapter 10, ‘Reward systems and legal issues’

Chiang, F, & Birtch, T. (2012). ‘The Performance Implications of Financial and Non-Financial Rewards: An Asian Nordic Comparison’, Journal Of Management Studies, 49, 3, pp. 538-570, Business Source Complete, EBSCOhost, viewed 8 December 2015.

Mujtaba, B. G. & Shauaib, S. (2010). An equitable total rewards approach to pay for performance management. Journal of Management Policy and Practice, 11 (4), pp.111-121.

Performance management system

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Bottom of the Pyramid Strategy

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Arguments for and Against the Bottom of the Pyramid Strategy

Overview

The arguments for and against the bottom of the pyramid approach are well used in the argument. Greedy behaviours contribute to the company management taking advantage of the poor as a way of exploring new markets that have not been explored to gain more profits in return. Ensuring that the stakeholders are not only the businesses but owners is a useful strategy towards preventing these acts that might not be of use to the poor.

Introduction

Marketing to the bottom of the pyramid is an act that is useful to customers because; they tend to get all that they require from companies that are seeking to cater to the needs of the poor people in the society (Beddewela & Herzig, 2013). Once the strategy is well used the poor benefits as well as the company; hence the aspect of Win-to-win is evident. Managers of companies working on the marketing to the bottom of the pyramid are advised not to focus more on profit making as it might interfere with their actual plan, which is providing products to all especially poor customers.

In most cases, marketing to the bottom of the pyramid is a win-to-win strategy for most of the companies as it seeks to ensure that consumers are provided with the right products that they require catering for their needs and then company benefits in return. This paper explains the aspect of a company using the marketing to the bottom of the pyramid to its benefit and diasnatage as a bad action that does not prove to be a social act rather a way of exploiting new business grounds.

Bottom of the Pyramid Strategy

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Arguments for the Bottom of the Pyramid Strategy

Ethical behaviour

Most of the multinationals are encouraged to do business using the bottom of the Pyramid approach; because many people in the world are very poor and catering for their needs is ethical. However, there are ethical issues that are connected to this act that results from the strategy due to some of the multinational corporations taking advantage of making profits. For success to be attained in marketing at the bottom of the pyramid strategy, CSR is very crucial in making sure that all operations are done as required.

It is true that organisations cannot make any reasonable profits from the marketing at the bottom of the pyramid, but in case they are ready and willing they can help the poor by distributing products to them accordingly. Making profits for any company that is operating using the marketing at the bottom of the pyramid only brings the issues of exploiting new markets instead of being socially responsible for helping the poor and bringing the aspect of a win to win strategy (Crane, Matten & Spencer, 2014).

Such organisations are just out to make sure that they look for new markets where they can sell their products and make money for their benefit of expansion. Individuals who earn less than $2 per day are not mostly recognised and this is the reason as to why, most of the companies are encouraged to use the marketing at the bottom of the pyramid to cater for all people in the society especially the poor (Rangnekar, 2010). Individuals who earn very little are difficult to reach to as they have very little to spend whereby; companies that want to reach them must employ the use of the marketing at the bottom of the pyramid (Filatotchev & Dotsenko, 2015).

Bottom of the Pyramid Strategy

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Some companies have become richer by using poor agents to reach the hard-to-reach villagers who instead are entrepreneurs and only do this with the aim of making profits proving to explore new dormant markets. Searching for the villagers who are hard to find with the aim of selling products to them on a profit-making basis can be referred as a way of exploring new markets for the company, not a win-win strategy. The case of eradicating poverty cannot be commercialised and if done so the it becomes a strategy to explore new markets under the marketing at the bottom of the pyramid approach (Garavan & McGuire, 2010).

Use of CSR

CSR will work to ensure that the stakeholders of the firm not only includes the media, but customers, employees, media, and government agencies are there to stop the act of commercialising the marketing at the bottom of the pyramid approach. Ensuring that the stakeholders are not only the businesses but owners is a useful strategy towards preventing these acts that might not be of use to the poor. Commercialising the marketing at the bottom of the pyramid approach will only benefit the company alone, whereas; use of CSR ensures that the approach aims at helping the poor who had been forgotten in the society.

CSR ensures that all social responsibilities of any organisation are directly connected to its strategic direction as this makes its operations aim at the set purpose alone (Gond, Kang & Moon, 2011. Through doing this, success will be obtained and all activities will work as planned to achieve the win-win strategy. It is clear to state that use of CSR by any company operating at the bottom of the pyramid will make it behave ethically and reach the poor as per the requirements. The shareholders’ interest of affirming operating at the bottom of the pyramid will be interfered with and it might be hard to subject them to the issue of profit making which is a secondary deal to them.

Bottom of the Pyramid Strategy

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Most of the companies operating at the bottom of the market approach are currently reducing their rate of emissions with the aim of making more profits and saving the environment as well. Paying off a living wage to such companies helps reduce the turnover of shareholders who might not be willing to take the profit making issue. They will, therefore, get an increased morale once they start getting paid for their services and help the company to increase its productivity (Goranova & Ryan, 2014).

Marketing at the bottom of the pyramid proves to be a more efficiency act because, better information is provided, productivity is increased and made safer to use and through doing this change will be enhanced in the whole world. It is, therefore, prudent to say that the bottom of the pyramid marketing is a great opportunity for both the seller and the buyer as they are making a lot of money in return, but exploring new markets instead of performing their social responsibility.

A company that makes profits by operating at the bottom of the pyramid is not being socially responsible as it is not catering to the needs of all the customers to their benefit. It will be providing products to customers across the globe with the entrepreneurial aim proving to be exploring new markets not helping the poor as perceived (Karnani, 2009). Any socially responsible company will be more concerned about the welfare of the poor and help them, for they have been neglected by big multinationals which only caters for the needs of the rich while forgetting the poor.

The making of profit means that a company is not socially responsible as some poor people will not afford their products, thus end up not getting that product as it was earlier planned. In some instances, a company should focus on more than just making profits that will benefit the firm alone and also focus on the less destitute in the society for they are also in need of the product as well. Doing this will save the company reputation and ensure that all plans are worked out well to attain the win-to-win strategy (Lam and Khare, 2010).

Bottom of the Pyramid Strategy

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The company will have won by saving its reputation and at the same time poor customers will have an access to the product that they could not access before. Pursuing the core of action is the right thing and has to be done by companies that are marketing at the bottom of the pyramid once they obey the set rules and regulations of operations. Companies advocating for the marketing at the bottom of the pyramid have all it takes to carry the operations without making profits and achieve their goal of providing products to customers without any stress.

Business responsibility and sustainability

A business is responsible for making sure that it advocates for good actions that lead to a better outcome and guarantees its survival for a longer period. The only way of making such plans work out is by ensuring that the organisation does not major on profit making practices rather it engages in social responsibilities to help the destitute (Prahalad & Hammond, 2002). There are principles that are encompassed by Corporate Social Responsibility of any given firm using the bottom line of the pyramid marketing approach.

The company that is making profits by operating at the bottom of the pyramid is exploiting a new market that is not good to the citizens who are being humiliated. Profit making and poverty eradication do not mix well in a given organisation while making profits will make the management forget their aim in business that is helping the poor by proving product to customers across the globe.

Provision of products across the globe implies that making of profits will make the organization be considered exploiting a new market strategy (Vo, Karen, 2013). Companies in developed countries tend to adopt the use of the CSR in making sure that they yield to the needs of the customers by proving their desired product accordingly.

Bottom of the Pyramid Strategy

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The poor customers in most of the developing countries will not be better positioned to buy such products; hence, the organisation will have made a very big mistake by exploiting them in the name of selling products to them while making profits. It will be prudent to say that such originations are exploiting a new market opportunity in the name of providing products to customers on a global level (Akter, Ray & D’ambra, 2013).

There have been many corporate scandals that are linked with the supply chain scandals globally and this means that organisations are using the marketing to the bottom of the Pyramid strategy to exploit new market opportunities. It is because of the advantage of taking marketing to then bottom of the pyramid for their use that CSR has been transformed to cover the mistakes of the entire supply chain.

Reputation and brand making have driven CSR, use to the supply chain in stopping the exploitation of the new market using the marketing to the bottom of the pyramid by various organisations (CPedersen, 2015). Use of CSR in the supply chain is very useful in matters of generating business benefits and as well as a driver of innovation to stop the malicious use of the marketing to then bottom of pyramid. The marketing to the bottom of the pyramid is considered as a win to win strategy and profit making issues will make it be a win-lose strategy as the organisation will gain while the poor customers will lose the little amount of money that they have to others.

Bottom of the Pyramid Strategy

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Code of Conduct (CoC)

The profit issue has led to CoC becoming a way of managing the CSR in the supply chain. All the internal operations will be well guided by the use of CoC to prevent the organisation from making high profits that will exploit the poor in the developing countries. There are set standard as that have been employed for use through the CoC to ensure that the marketing to the bottom of the pyramid is not profit oriented. Managing of the supply chains in the right way will reduce the issue of companies operating at the bottom of the pyramid to explore new markets through providing products while making profits as well.

CSR in the supply chain ensures that companies behave ethically towards fulfilling the required need of the societies who are looking up to them for assistance and help (Berger, Choi & Kim, 2011). Companies have to provide products to customers to keep them moving and carry out activities that will bring improvements in their lives. Greedy behaviours are the ones that contribute to the company management taking advantage of the poor while exploring new markets.

They have free products, and yet they want to sell them to make money out of a business that is not profit oriented (Chikweche, 2013). Non-profit companies should not change their aim and operate like the profit oriented companies; since, they will lose focus and join the other side of the business. Abusing the power that a company holds in the marketplace is very unethical and will benefit the management while the poor will suffer. It is ethical to support communities that are in need of help and forget the issue of profit making as such communities with time will support the companies’ in various forms.

Bottom of the Pyramid Strategy

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Link between (Human Resource) HR and (Corporate Social Responsibility) CSR

A company whose HR operations are linked to the CSR will emerge to be successful in achieving the set goal of win-win strategy. The employees concerns are well listened to under a good HRM due to better planning of job and all the organisations activities (Chipp, Corder & Kapelianis, 2012). Use of CSR in HRM guarantees equality of opportunity to all the company workers under a diversity management that aims to cater to the needs of the poor. Learning, training and development will be guaranteed and all employees will be led in the right way towards helping the poor in the society.

The employee relations will be improved under a good HRM operating under the right cover of CSR, which will guarantee ethical behaviour like catering for the poor by proving them with the products they desire. Succession planning will ensure that all the products are well distributed to customers and not issues of making profits are majored on as it is unethical to operate at the bottom of the pyramid while making profits (Habib & Zurawicki, 2010).

It is clear to say that HRM operations undergo CSR will prove to be successful in all activities undertaken by the company. HRM will not make profits at the expense of the poor if its operations are based on following the set rules in the company. CSR ensures that any company operating using the bottom of the pyramid approach attains what is required of it and avoids malicious actions that benefit the management alone.

HRM ensures that mentoring programmes are well facilitated to foster inclusion and avoid the greedy act of making profits and exploring new markets. Encouraging the employment of CSR is better in ensuring that a company does what is expected and provides the best for the poor who can’t access it due to lack of money (Majumder, 2012).

Bottom of the Pyramid Strategy

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Managing CSR in the supply chain

Use of CSR could ensure that all the required principles and codes of ethics are followed to the latter to ensure that the marketing to then bottom of pyramid win-to-win strategy guarantees an organisation to be socially responsible and avoid exploitation of new markets (Tarafdar, Singh & Anekal, 2013). Whenever supply chain is not outsourced, it implies that organisations will major on the marketing to the bottom of the pyramid to make profits and exploit new markets. Organisations whose CSR strategies have to be aligned with the purchasing practice under marketing to the bottom of the pyramid strategy are out to exploit different markets.

Critiques of code of conduct (CoC)

CoC is not very detailed and organisations take advantage of this in carrying out the marketing to then bottom of pyramid with the aim of making profits. Making of profits depends on whether it is high or low whereby; in case it is high; it will be termed as a way of exploiting new market opportunities. Failure to monitor CoC activities and to audit them as required means that the buyers and the suppliers have the opportunity of not taking their activities seriously; hence, will focus on exploiting new markets than focusing on the win to win strategy (Nathaniel, 2013).

Buying criteria and the buyer requirements might be conflicting leading to exploitation of new markets using the marketing to then bottom of pyramid . The benefits of sharing and distribution of the required cost will be uneven as CSR requirements will not be well focused on under failure to follow the required rules. The implementation of CoC in a top-down fashion makes it possible for organisations using the marketing to then bottom of pyramid strategy to make more profits and exploit new markets. This exploitation will take place mostly in the developing countries where customers can’t access the particular products (Pervez, Maritz & Waal, 2013).

Arguments against the use of Bottom of Pyramid approach

Significantly offering to the base of the pyramid is troublesome, yet it should be possible. It obliges relationship to concentrate on business stray pieces and begin their tries with an escalated comprehension of two key inconveniences in low-pay markets: changing the clients’ conduct and changing the way things are made and went on. Affiliations that put down these deterrents confound the preferences, change limits, and time included, and meander social events wind up efficiently orchestrated to accomplish the task set aside.

Bottom of the Pyramid Strategy

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Separate with center association

As an aftereffect of their colossal business recommendations, BoP-engineered practices all around can’t be executed by only a social event by submitted people –they typically require a huge availability over the alliance. To be possible, coalitions for change must make both on a level plane (uniting sensible regions inside and crosswise over affiliations) and top-down (joining different leveled power with center association).

This is a troublesome requesting for any alliance; however, is especially making progress toward gigantic association with noteworthy sunk expenses implanted in the present circumstance, which conveys a characteristic horrendousness for change. Coordination among affiliation levels just finds the opportunity to be judicious when the new activity fits in with the association’s qualities, strategies and date-books. The encounters thought reliably uncovered a refinement between upper authoritative levels, which push the development, and center association, which is required to execute it (CPedersen, 2015).

At another multinational, which connected with the BoP bit taking after a charge from its controlling shareholder, center association started to voice discontent 18 months into the task, when it wound up being clear the BoP endeavor was not an achievement in business terms. The affiliation had built up an alternate line of business with an uncommonly assigned course show that, in a manner of speaking, depended on upon a cross-part association with a grassroots pioneer.

In the perspective of center association, the affiliation gave a broad assortment of great circumstances and grants to the social pioneer, with no commitment in regards to comes about (Vo, & Karen, 2013). Heads’ disputes were released with the enlightenment that these deviations were honest to goodness because of the “social work” being finished. The way that the affiliation’s “social undertaking” had unmistakable qualities and rules than other affiliation errands started to undermine center association’s strengthen, producing a hole between top association’s affirmations.

Bottom of the Pyramid Strategy

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Conclusion

This paper explains the aspect of a company using the marketing to then bottom of pyramid to its benefit and disadvantage as a bad action that does not prove to be a social act rather proving to be a way of exploiting new business grounds. Failure to monitor CoC activities and to audit them as required means that the buyers and the suppliers have the opportunity of not taking their activities seriously; hence, will focus on exploiting new markets than focusing on the win to win strategy.

Greedy behaviours contribute to the company management taking advantage of the poor as a way of exploring new markets that have not been explored to gain more profits in return. Marketing at the bottom of the Pyramid proves that a company must focus on its goal and employ the use of CSR, which will guide the attainment of set plans ahead.

References

Beddewela, E., & Herzig, C. (2013). Corporate social reporting by MNCs’ subsidiaries in Sri Lanka. Accounting Forum, 37(2), 135-149

C Pedersen, E. R. (2015). Corporate social responsibility. London: SAGE

Crane, A., Matten, D., & Spencer, L. (Eds.). (2014). Corporate Social Responsibility: Readings and cases in a global context (2nd ed.). London: Routledge

Filatotchev, I., & Dotsenko, O. (2015). Shareholder activism in the UK: types of activists, forms of activism, and their impact on a target’s performance. Journal of Management & Governance, 19(1), 5-24

Garavan, T. N., & McGuire, D. (2010). Human resource development and society: Human resource development’s role in embedding corporate social responsibility, sustainability, and ethics in organizations. Advances in Developing Human Resources, 12(5), 487-507

Gond, J.P., Kang, N. & Moon, J. 2011. The government of self-regulation: on the comparative dynamics of corporate social responsibility. Economy and society, 40, 640-671

Goranova, M., & Ryan, L. V. (2014). Shareholder Activism: A Multidisciplinary Review. Journal of Management, 40(5), 1230-1268

Karnani, A. (2009, Winter). Romanticizing the poor. Stanford Social Innovation Review, 7, 38-43

Lam, H. and Khare, A., 2010. HR’s Crucial role for successful CSR . Journal of International Business Ethics, 3(2), pp. 3-15,82

Porter, M. E., & Kramer, M. R. (2006). Strategy & Society: The Link Between Competitive Advantage and Corporate Social Responsibility. Harvard Business Review, 84(12), 78-92

Prahalad, C.K. and Hammond, A. (2002). ‘Serving the World’s Poor, Profitably’, Harvard Business Review, September 2002, Vol. 80(9), pp.48–58

Vo, L.C. & Karen D. (2013). Classification of CSR standards in the light of ISO 26000. Society and Business Review, 8(2), 134 -144

Akter, S., Ray, P., & D’ambra, J. (2013). Continuance of mHealth services at the bottom of the pyramid: The roles of service quality and trust. Electronic Markets, 23(1), 29-47

Berger, R., Choi, C. J., & Kim, J. B. (2011). Responsible leadership for multinational enterprises in bottom of pyramid countries: The knowledge of local managers. Journal of Business Ethics, 101(4), 553-561

Chikweche, T. (2013). Marketing at the bottom of pyramid: Market attractiveness and strategic requirements. Marketing Intelligence & Planning, 31(7), 764-787

Chipp, K., Corder, C., & Kapelianis, D. (2012). Where practice meets theory: Defining and reviewing the bottom of the pyramid for south african marketers. Management Dynamics, 21(1), 18-29

Habib, M., & Zurawicki, L. (2010). The bottom of the pyramid: Key roles for businesses. Journal of Business & Economics Research, 8(5), 23-32

Majumder, M. (2012). A critical approach in understanding bottom of the pyramid propositions. Journal of Management and Public Policy, 3(2), 18-25

Nathaniel, A. A. (2013). Assessing market for multi-national corporations at nigeria’s bottom of the pyramid; hints from consumer behaviour. International Journal of Management, Economics and Social Sciences, 2(3)

Pervez, T., Maritz, A., & Waal, A. D. (2013). Innovation and social entrepreneurship at the bottom of the pyramid – A conceptual framework. South African Journal of Economic and Management Sciences, 16(5), 54-66

Rangnekar, S. S. (2010). Nano strategy: Focusing on the bottom of the pyramid. SIES Journal of Management, 6(2), 53-56

Tarafdar, M., Singh, R., & Anekal, P. (2013). Impact of ICT-enabled product and process innovations at the bottom of the pyramid: A market separations perspective. Journal of Information Technology, 28(4), 279-295

Bottom of the Pyramid Strategy

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Performance Management System

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Performance Management

It is essential to determine that there are several factors that need to be considered in improving the performance of an organization. Companies that operate internationally need to be vast with the region they operate in and consider the people within this region, their cultures, social contexts, different beliefs and practices, including the government’s rules and regulations.

In determining the approaches involved in international performance management, an organization needs to ensure that the five approaches involved are critically observed (Armstrong, pp.233-242. 2014). These approaches include: total divergence, partial convergence, partial divergence and dual system and total convergence. It is therefore essential to determine the fact that the HR management systems need to weave this approaches with the culture of a region, the environmental differences into the functions of an organization.

However, incorporating these elements in international performance management may meet some barriers that may articulately affect the performance of expatriates. These factors are therefore closely tied to the cross-cultural environment the skills and abilities to manage different tasks within different cultures and the challenges with communication which relates to the norms and practices of the region (Malek, Budhwar, & Reiche, pp. 258. 2015).

Performance management also needs to consider other external factors that affect the performances of individual and which may be out of the control of individuals with the aim of impacting good practice within an organization.

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This therefore requires the development of hybrid performance management systems that incorporates the goals and objectives of an organization aimed at promoting high performance practices within the functions of an organization (O’Sullivan, & O’Sullivan, pp. 999-.2008). In conclusion, it is therefore important that the local managers and staffs of an organization receive training to learn and understand the local lifestyles and how people socially interact with the aim of blending within a social context.

References

Armstrong, A. (2014) Armstrong’s handbook of performance management: an evidence-based guide to delivering high performance, 5th ed. London: Kogan Page. Chapter 18, ‘International performance management’, pp.233-242

Malek, M, Budhwar, P, & Reiche, B 2015, ‘Sources of support and expatriation: A multiple stakeholder perspective of expatriate adjustment and performance in Malaysia’, The International Journal Of Human Resource Management, 26, 2, pp. 258-276, PsycINFO, EBSCOhost, [Online] Available from: http://search.ebscohost.com.ezproxy.liv.ac.uk/login.aspx?direct=true&db=psyh&AN=2014-52089-008&site=eds-live&scope=site.

O’Sullivan, A, & O’Sullivan, S 2008, ‘The performance challenges of expatriate supplier teams: a multi-firm case study’, International Journal Of Human Resource Management, 19, 6, pp. 999-1017, Business Source Complete, EBSCOhost, [Online] Available from: http://search.ebscohost.com.ezproxy.liv.ac.uk/login.aspx?direct=true&db=bth&AN=32744007&site=eds-live&scope=site

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Human Resources School of Management Theory

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Human Resources School of Management Theory

The human resources school of management theory is widely accepted and has been in existence for quite some time. However, even though not every manager or company embraces it today, it is undeniable that it has transformed overall management practice not only in health care settings, but in all sectors for better (Dunn, 2010). Human resources management theory, which is often referred to as behavioral management or motivational theory has a different view of the employee compared to the previous management theories that are more autocratic (Dunn, 2010).

In particular, this theory puts more focus on the individuals in a place of work instead of processes, rules and procedures. Thus, in human resources theory employees are not viewed as a mere cog in the wheel of the company, but it asserts that the prosperity of an organization can only be achieved by helping its employees to prosper (Dunn, 2010).

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The human resources school of management theory has various features, but the most important ones include:

1) communication between managers and employees is provided rather than directives emanating directly from an organization’s management, which allows interactions with one another in the decision-making process;

2) instead of employees been given quotas or been required to follow certain procedures, they are exposed to emotional and motivational tactics to promote their motivation for improved productivity;

3) the focus is in ensuring that employees are satisfied, productive and helping them invest and be loyal to the company;

4) empowering employees to be innovative through training and career development; and

5) providing appropriate rewards, appreciation and recognition methods when the company goals are achieved (Dunn, 2010).

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The components of the human resources theory can be effectively used in health care setting today by encouraging motivation of health care practitioners, which subsequently results to improved job satisfaction and increased productivity. The components can also be used to boost employees’ sense of belonging by involving them in the company’s decision-making process, which improves their morale to work and loyalty to the company (Dunn, 2010).

Reference

Dunn, R. (2010). Dunn and Haimann’s Healthcare Management, (9^th ed.). Chicago, IL: Health Administration Press.

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Operation Management Research Paper

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Operation Management

Introduction

Many companies emphasizes mostly in operation management. They are mainly alarmed with the company’s planning, organizing, supervising as far as manufacturing, production and other service are concerned. The operation management departments ensures that the company inputs are been transformed to outputs at an efficient and effective manner. Operation management runs across two fields of operations.

That is the supply chain management and the logistics. It helps the operations mangers to have the knowledge of comprehending the current supply chain management so that they can meet the clients demand in a timely manner. As far as logistics is concerned, the operation managers are very keen when using the resources available on a cost effective basis.

An operation manager is mandated to know all the process of a company. Comprehending them make it easier for the operation manager to run them swiftly. Also, the operation manager must have the supply chain skills to run this operations and the skills related to logistics in order to integrate both the coordination and know-how of the organization work. This will make the operation manager to be successful when running company’s processes, (Gunasekaran, and Ngai, 2012).

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Kolak snack food limited is known to be the leading manufacturing company for snacks and crisps based products. Been the leading company, Kolak understands the interests of the company working in food services, retail, catering, cash and carry and specialty food sector to work with their trusted suppliers. For this reason, they have committed themselves by give their customer’s quality services from the sales of innovated crisps and snacks.

Putting the customers at their heart of operation, Kolak has been to grow and develop rapidly since 1984 and it is well known for its quality and flexible services and products for been the largest crisps and snack producers in Europe. The company has invested heavily in thee infrastructure with manufacturing machines and in people to. They aim at considering the finest inputs, flavors and ingredients and also restructure their supply chain so that they when they purchase their input, they do it at a cost effective way.

They consider their customers taste and preferences and when their customers select the brand of products they want, the company assure them of what they need since they have the experts, resources and they aim to deliver at a cost effective manner.

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With such a reputation, Kolak Company need to have a competent operation manager to ensure that the company brand name is maintained. Operations managers have a vital role in a company. They are meant to put everything in equilibrium according to the company policies and processes that run along all the company department.

Also they are meant to foresee the company’s plans on its onsite operations, (Burke, 2013) When launching a new product in the market, the operation manager should be flexible to coup up with challenges that will come with the product development and market development. Some of the challenges the operation manager will have to deal with include the following, (Dekker, Bloemhof, and Mallidis 2012)

Competing practices- a new operation manager will find it difficult to manage a business that is highly competing in the global market and also that have competing activities within the company. Various business procedures of the firm can have disadvantageous results on the company’s actions when they challenge the efficiency of the company distributing quality products and services. However, using the Kolak Company brand name, it will be easier for the operation manager to win the market since the company is well established.

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Sustainability-the operations manager have a task of coming up with long term customers and maintaining them, formulating a long term strategies employees that help them coup up with the company political, economic, socio-cultural, and technological environment. The strategies formulated is meant to minimize the negatives effects by eliminating wastes which aims to reduce the wellbeing of the clients.

The operation managers may face this challenge because the environment work are seemed to be more insular, (Teittinen, Pellinen, and Järvenpää, 2013). By doing so, the company can secure an opportunity that they should implement to the fullest and be in a position to meet the client’s needs.

Corporate reporting-in many organizations, the operation managers are accountable for issuing corporates reports to the top management. The reports given includes performance and financial data and they are involved to communicate this information to the shareholders. The challenges they face is when the company has not kept up to date and accurate reports for the business.

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Social responsibility-the operation managers oversee on how the organization is interacting with the community at large beyond the fact that they want them to buy the products. It becomes a problem to the operation manager to be able to organize projects that aims at involving the community to show them that the firm recognizes them and they are concerned about them and their customers beyond making profits and create awareness of their business and keep its brand name, (Tano, and, Data Tec, 2013)

A new manager is be able to accomplish a fast fluctuating commercial and technological environment. To do so, the new manger should be able to address to the human side in a systematic way. It will involve the manager emphasizing on the transformation of peoples issues. The managers will have to step out of their cocoon, develop new skills and abilities and convince the employees on their tasks to handle.

The manager should be able coup up with the change and involve all the stakeholders, integrate all the changes and formulate a strategy that will help them to make an informed decisions. The strategic direction taken by the manager should be realistic and must be congruent to the company history and must be flexible enough to a capacity of a change, (Pérez-Feijoo, Martínez-López, and García-Ordaz, 2015). For example the Kolak Company operation manager should try to use the product’s strength in order to overcome this changes and make their brand name to be well recognized and keep their reputation.

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Also, the manger should start at the top since change in an organization is unsettling for staff. The manager should come up with a new approach that will motivate the employees and at the same time challenge them. The approach should limit the employees from looking upon the top management team for direction, support and strength.

The manager should be able to work with other people so that they analyze vividly on the direction they have to take for change, be able to comprehend the behaviors and the culture the change is inducing to the organization, and be able to find a solution to those changes, (Lunenburg, 2012). The new operation manager at Kolak Company should be able to communicate the dynamic changes that are facing the company operations. With a flow of communication, it will become easier for the company to know how they will deal with the internal or external environmental issues affecting the business.

In addition, the manager should involve every department of the company. The changes in the company running involve the changes in the company’s reengineering their plans and coming up with new targets that are to be implemented. The transformation of company activities must be part of the strategies that identify the management in the company and be able to roll the change down to the staffs so that they can help implement the changes throughout the organization, (Cameron, and Green, 2015.).

The changes that may be facing the Kolak Company may be outside their reach. The operation manager should involve every member of staff in order to come up with a plan that will help the company to adopt and coup up with the changes but keeps the company’s vision alive.

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The manager should make the change process as a formal case. To avoid questioning by the staff, the manager have to formalize the changes and write a new vision statement that will help create team work, (Scarbrough, and Corbett, 2013.)

The manager will to operate in a changing environment, should be willing to overwork during the time of change and be a fanatics who is willing to launch a serious figure amongst the work force in the kindness of change. The leader must be willing to own the company responsibility for overseeing change and coping with it in all the company’s department. The ownership by the manager will involve people who will help recognize problems and come up informed solutions.

The manager must be willing to motivate the so that they can work effectively and efficiently. Failing to coup up with the changes, the Kolak Company will face a bigger threat from any political, economic, social, technological, and ecological conditions that will hit the company unexpectedly causing a change in their operations.

The mangers who operates in a changing environment of commercial and technological change, should be able to communicate the message to the entire stakeholders. A good flow of communication from the top management to the junior staffs is aimed to communicate and pass the right information to the employees about the changes at the right time through communication from multiple and terminated networks, (Hayes, 2014).

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Lastly the manager is expected to prepare and plan for the unexpected. The manager should always review the company operations on their impact on a day to day activities. This will help the management to fully adopt to any unpredictable transformation.

Kolak Company have to formulate a strategy that’s abide to its marketing operation. The strategy may be as follows, (Bettis, Gambardella, Helfat, and Mitchell, 2015)

Operating location– The Company should come up with a strategic place where it is aiming to develop a market for its product. The decision about the market should be independent and should make sense regarding the company operations.

Customer analysis-the company through the marketing department should carry out analysis for developing their target market and gets the know-how on what their customers really needs. When a bigger number of customers are happy with the product offered, then the demand will vary as per the needs of them, (Lee, Chiu, Y.L, Wu, and Liu, 2014)

Competition analysis-the company should be able to analysis and understand the competition in the market. This will help to create a distinction with their competitors operations.

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Analysis of capability and system of one’s own company– it will be of necessity when the company will have to achieve a continuous and a continuous abilities and also be able to come up with a stable system in order to offer a endless value to their client and show a different approach as compared to what the competitor is offering, (De Mooij, 2013)

Setting Quantitative targets– the company will set up a target they are aiming to achieve by the end of a certain period. The target will go hand in hand with the customers’ needs and if there is any change, the operations should be evaluated amicably, (Jain, 2014)

Aiming in context with the divisional strategies– each department in the organization should come up with their own plans that will help push the project onward.

Performance analysis-this will involve analyzing the gap between the desired performance and planned performance. It will encompasses on analyzing of the company historical performance that will help to forecast on future performance.

Choice of strategy– after a careful assessment of company goals, strengths, potential and limitations operations, the best alternative and strategy that will be congruent to the vision of the company will be implemented, (Gunasekaran, and Ngai, 2012)

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SWOT analysis

Kolak Company is best known for its snacks products. Producing another health product to the market will be a significant role to play since the company is well known by its brand name and the quality products it offers to its clients that come with efficient and effective services.

In the new market, the target market are the young populations who goes for snacks products. The company must be willing to meet the clients taste and preferences and fulfil they request when they order a special type of snack.

The company beliefs that the customers are the heart of the business. It means that the new product established will be according to the customers’ needs and it will be health so that it does not affect customer’s health issues.

The new product should be launched into a market where there is demand for a particular product. The company should be able to analyze the market gap in all its global markets and see an opportunity that will make them fulfill their target.

After establishing the customers’ needs and seizing an opportunity, the company will have to employ a competent person who will manage to administer quality services to the customers and be creative enough to know what the taste of the customer is. Also, the location of the business should be strategically placed such that it becomes easier to produce product with the new technology and also easier to distribute the products. With this, it will be easier to make profits due to better know how of the market, (Hollensen, 2015.)

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PESTEL Analysis

The Kolak Company should set up the market for the new product where there is political stability. This will ensure that the business is running swiftly and there is customers for the product.

Establishing a business in a political stable market, the Kolak Company is well assured that the economy of the market is stable and they make sales for their products.

The company should be socially responsible. They should interact with the community beyond the aspect of making profit. This will make the company to be well established and in return will be able to make maximum sales

Due to advanced technology, the company should set up the market for the new product where there is availability and accessibility of latest technology that will help them with ease of production, (Rachet, 2014)

The Kolak Company should develop a market in an environment that best suit its products and will be convenient for its customer’s hygiene.

To come up with a market, the company will have to adhere the government rules and regulations and it should have proper documentation before it starts operating.

It can be summarized that operation management in a company is well concerned with control, redesigning, the organization operation in the productions of goods and services. The operation manger should be competent in a way that he or she is very keen to ensure that the operations are handled in an effective way and at cost effective when meeting the customer’s needs.

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It can be concluded that the operation manager is the key person who is at the higher notch of maintaining the company operations. Any misinformation by the operation manger will eventually leads to unpredicted changes and this will alter with the company progress because of dynamic unexpected changes that may lead to the company incurring various cost when trying to control redesign, and oversee the company operations running swiftly. , (Belleflamme, and Peitz, 2015).

Having a competent operations manager, Kolak Company will be able to launch its new product in the market. Following the operation strategy and the operations manager has the skills of supply chain management and logistics, the company will develop the new product and develop a new market which it will be able to meet the customer’s requirements effectively and efficiently at a minimum hurdle rate.

It can be recommended that Kolak Company can launch the new product into the market. Having analyzed the market fully and the customers at the same time, the company through the operation management team can spear head the launch of the product that will be of high quality and will satisfy the customer taste and preferences.

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References

Belleflamme, P. and Peitz, M., 2015. Industrial organization: markets and strategies. Cambridge University Press.

Bettis, R.A., Gambardella, A., Helfat, C. and Mitchell, W., 2015. Qualitative empirical research in strategic management. Strategic Management Journal, 36(5), pp.637-639.

Burke, R., 2013. Project management: planning and control techniques. New Jersey, USA.

Cameron, E. and Green, M., 2015. Making sense of change management: a complete guide to the models, tools and techniques of organizational change. Kogan Page Publishers.

De Mooij, M., 2013. Global Marketing and Advertising: Understanding Cultural Paradoxes: Understanding Cultural Paradoxes. Sage Publications.

Dekker, R., Bloemhof, J. and Mallidis, I., 2012. Operations Research for green logistics–An overview of aspects, issues, contributions and challenges. European Journal of Operational Research, 219(3), pp.671-679.

Gunasekaran, A. and Ngai, E.W., 2012. The future of operations management: an outlook and analysis. International Journal of Production Economics, 135(2), pp.687-701.

Hayes, J., 2014. The theory and practice of change management. Palgrave Macmillan.

Hollensen, S., 2015. Marketing management: A relationship approach. Pearson Education.

Jain, S.K., 2014. Impact of advertisement on the consumer behaviour a case study of some selected fmcg products in union territory of chandigarh.

Lee, T.W., Chiu, Y.L., Wu, Y.S. and Liu, H.S., 2014, September. An intelligent image-based customer analysis service. In Network Operations and Management Symposium (APNOMS), 2014 16th Asia-Pacific (pp. 1-4). IEEE.

Lunenburg, F.C., 2012. Organizational structure: Mintzberg’s framework. International journal of scholarly, academic, intellectual diversity, 14(1), pp.1-8.

Patel, S.R., Hayes, A.L., Blackwell, T., Evans, D.S., Ancoli-Israel, S., Wing, Y.K. and Stone, K.L., 2014. The association between sleep patterns and obesity in older adults. International Journal of Obesity, 38(9), pp.1159-1164.

Pérez-Feijoo, H.M., Martínez-López, F.J. and García-Ordaz, M., 2015. Potential benefits of employee portals in public administrations: implementation and proactive behaviour towards the organization. Atlantic Review of Economics, 1, p.1.

Rachet, B., 2014. PESTEL analysis and Porters Five Forces For Innocent Drinks Company. Docs. school Publications.

Scarbrough, H. and Corbett, J.M., 2013. Technology and Organization (RLE: Organizations): Power, Meaning and Deisgn. Routledge.

Tano, M., Data Tec Co., Ltd., 2013. Operation management device to be mounted to a moving object, portable information terminal, operation management server, and computer program. U.S. Patent 8,421,864.

Teittinen, H., Pellinen, J. and Järvenpää, M., 2013. ERP in action—Challenges and benefits for management control in SME context. International Journal of Accounting Information Systems, 14(4), pp.278-296.

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McGregor’s Theory X and Theory Y of Motivation

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McGregor’s Theory X and Theory Y of Motivation

Introduction

According to this theory, the managers view employees in different human nature concepts which he labels as Theory X and Theory Y. This theory demands the managers to reflect about their employees including issues such as how do you treat the employees? How does the manager talk to them? This is important to know because it enables the management learn where they are in the Theory X-Theory Y continuum.

In Theory X, managers assume that employees generally heat work and that the average employee is lazy, lacks ambitions and is generally lazy. This theory assumes that employee motivation is money. This type of manager is sharp contrast to Theory Y. Theory Y managers assume that employees and highly satisfied by their work and exhibit high level of creativity. According to this theory, employees seek recognition and self-fulfilment than money (Korzynski, 2013).

How I Identify and Differ With This Style

I identify with this management theory because I believe that it is very important to understand the various ways to treat human nature, as most of the employee behaviour observed in their work place is a reaction to management style. For instance, the management that believes employees avoids responsibility and must be coerced to achieve organizational goals are likely to set strict measures to the employees dictating what they want the employees to do, ways they want it done and closely monitor them.

This communicates lack of trust to the employees In this regards, the employees reaction towards work is negative, which convinces the managers that their assumptions is actually correct. On the other hand, Theory Y managers have entirely different assumptions. In this type of management, they make their decisions by consensus. This enhances the employee’s sense of belonging. By empowering the employee, the employee’s authority increases and tends to be responsible. This management encourages the employee creativity as well as teamwork and are more likely to reward them. As a result, the employee’s reaction is positive because they are treated with respect and support (Mikkelsen, Jacobsen, & Andersen, 2015).

Despite the fact that the theory explanations of management and employees performance are feasible- I highly doubt that there are managers who are purely X or Y. The theories are designed to help the management understand their natural instincts and help them appreciate their attitudes such that they can adjust to certain situations within specific environment and organizational culture.

In this regards, it’s not a question if one is a Theory X or Theory manager. Irrespective of the type of management, the work must be done. Therefore, the key to success is evaluating your organization to identify the styles that are more consistent with bringing out the highest motivation levels and improve employee’s productivity (Reed & Bogardus, 2012).

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An Example of Business That Has Applied Theory Management Style

An example of business that has applied Theory Management style in their organization is Google Company. The Google Company gives their students much freedom to ensure that they enjoy working at this company. The management looks at the employees tend to believe that they are self-actualizing as well as self-fulfilling. In Google Company, there is no micromanagement of the employees because they want them to be creative and improve their sense of belonging by making them take ownership of their work.

This company does not motivate the employees with fear of getting fired if they do not deliver quality work, but rather it encourages and empower employees to ensure that they take initiative to pursue their life goals. When the employee’s psychological needs are improved, they become motivated and are ultimately more likely to accomplish their company’s goals. The organizations push their workers to ensure that they understand their self-actualisation alongside the company’s goals set. The employees are given flexibility and ensure that the work place is comfortable. This motivates the employees to remain productive (Korzynski, 2013).

Case study

During the unstable economic times, many companies management are expected to make tough decisions regarding the organization work force structure and size. The director of Tri-County Home Health Agency is expected to implement a reduction in force (RIF) program also commonly known as lay-off. This requires a lot of interaction with the top management officials and human resource manager to evaluate the jobs that need to be eliminated and ways the employees needs to be notified about the decisions. In this case, Theory X will work effectively (Gandolfi, & Hansson, 2010).

Before implementing RIF, the management should explore all the alternatives available. This is because RIF could be a quick answer, but may not make sense in the long-term. Other alternatives such as reducing work schedules, salary reduction, freeze of hiring, reduction of employee’s contribution and natural attrition. After reviewing these options and RIF still remains the best step for the company it is important for the management to explore ways to go about it.

The following should be put into consideration, including what departments or divisions are likely to be affected or will RIF affect the entire organization. In this case, what employees are essential to keep the company running, what set of skills are very vital in the organization for future (McConnell, 2010).

One of the challenges during this process is selection of employees who will undergo lay-offs. This is complex due to the impact of disparate analysis. In this regards, the selection criteria should be based on employee’s level of experience, versatility and proficiency. The unnecessary jobs categories and classifications should be eliminated. The employee’s performance can be evaluated using data from job appraisal. To decide on whom to let go or stay, the management should strive an objective comparison of its employees. Strict compliance with the requirements must be maintained, failure to which employee’s claim of discrimination can be enforced (Gandolfi, & Hansson, 2010).

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Conclusion

To communicate to the employees, a note of warning must be given to organizations. This facilitates quick action which is important for people who are staying and those who are leaving. All information about severance should be clear to ensure that every person understands it. The management should predict the questions anticipated and address the issue from the start.

Additionally it is important to the employees sign a release to avoid the employees taking action against the organization. It is also important to communicate with the survivors as they are equally affected. Additionally, the survivors are expected to match the same output level or even higher, which calls for motivation, giving the employees sense of hope and belief (McConnell, 2010).

References

Gandolfi, F., & Hansson, M. (2010). Reduction-in-force (RIF) – New developments and a brief historical analysis of a business strategy. Journal of Management & Organization, 16(5), 727-743. http://dx.doi.org/10.5172/jmo.2010.16.5.727

Korzynski, P. (2013). Employee motivation in new working environment. International Journal of Academic Research, 5(5), 184-188. http://dx.doi.org/10.7813/2075-4124.2013/5-5/b.28

McConnell, C. (2010). Umiker’s management skills for the new health care supervisor. Sudbury, Mass.: Jones and Bartlett Publishers.

Mikkelsen, M., Jacobsen, C., & Andersen, L. (2015). Managing Employee Motivation: Exploring the Connections Between Managersâ€™ Enforcement Actions, Employee Perceptions, and Employee Intrinsic Motivation. International Public Management Journal, 1-23. http://dx.doi.org/10.1080/10967494.2015.1043166

Reed, S., & Bogardus, A. (2012). PHR. Hoboken: John Wiley & Sons

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