OB assignment on: Implementation of Effective Design , Structure and Strategy at Airstar

OB assignment on: Implementation of Effective Design , Structure and Strategy at Airstar

Assignment Help AustraliaOrganizational design is a method of constructing and altering changes for an organization structure to achieve its goals .Organizational design can be formed with the help of  differentiation, integration , Environment and Strategy. Organizational structure is the process of linking of departments and jobs within it.Mintzberg has highlighted the basic Organizational structures as simple structure, machine bureaucracy, professional bureaucracy, divisionalized form, and adhocracy. Organizational Structure of Airstar is not being able to cope up with the other Industries because it has been following the machine bureaucracy structure .The problem lies in the Organizational design including its structure and the strategy .Organization design should be formal process for integrating the people, information and Technology. As, a consultant to sustain in a competitive business environment some of the problems have been identified which were affecting the organization as a whole. Factors have been well identified and explained below in the following paragraphs.

Vision

Vision of the Organization was diluted because employees were not aware where they  wanted to go .The management & employees didn’t knew why organization was formed. What was the purpose behind forming it and what were their values?

Identify the work needed to achieve the vision

Buy Assignments OnlineThe company was unable to distribute the roles and responsibilities to the employees as per their standards .It was following the traditional method which resulted in chaos within their Organization. There was a lack of proper and timely documentation of work , and the desired outcome from it. The Company focused more in high expense based activities rather than efficient and effective solutions( Advance Strategies Inc  2012).

Configure the work into organizational Roles

The employees are less responsible to the Senior management .The responsibilities has been changed by the employees as per their expediency ,that resulted in lots of confusion and problems in the Organization .The activities of employees should be centralized and more of administrative basis.

Organization Structure is a process which helps the organization to manage its employees and job so that work can be performed efficiently and effectively to achieve the goals .It explains how Job responsibilities fits together. In Airstar these factors were missing .A well organized organizational structure increases the value of the firm. (EdrawSoft   2012).

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  • It is a Traditional structure following decentralization process where systematic reporting was lacking.
  • There is no co-operation within the employees to handle the problematic and the critical situation.
  • The management and the employees are unable to change because they have been following the older trends of the business. (The Authors of this Publication  2006)
  • Employees lacked the Team Spirit and multi tasking qualities within them.
  • The Vice President was lacking some of the Leadership traits.
  • There is unequal distribution of authority and responsibility.
  • The Top management employees lacked the appropriate skill sets required for the change in their organization.
  • There unstructured flow of communication , and involvement of employees.
  • The management is unable maintain the number of employees and correspondingly unable to clarify their Job Description’s roles and responsibilities. (Business Balls   2012)

Strategy was not properly planned before implementing it .It was planned as and when required by the Senior employees without keeping in mind the SWOT Analysis of the Organization .They had a strength that they had niche segment in manufacturing and repairing of such products .The company did not try to overview and implement the Michael Porter Generic Strategy related to the Business (Mind Tools  2012).The customers order was less because they did not try to focus on cost leadership strategy. Though they had a niche segment but they were unable to create the difference in markets by good innovation and developmental activities. As a Focus strategy the company was unable to provide extra new thing to the market .The management never thought to convert its strength into the opportunities and had a overview that the weakness could result into the threat for their organization.

As a consultant following strategies can be recommended and implemented to improve the Organizational Design , Structure and Strategy .Following stages should followed to make the changes in the Design , Structure , & Strategy.

First Stage

Organizational designed can be framed in the following way to improve the Problems of management and the employees .It should be interrelated to its Employees.

Get Sample Assignment1. Set the Stage

The management should create awareness to its employees about the mission and vision .It should maintain business relationship. Employees should be motivate to develop  team spirit with them. It should focus on customer requirements their and follow the industry standards to get the desired result or output.

2. Gather the data

The management must access the current structure so that key work flows systematically .The employees performance must be measured and the roles & responsibilities must be clarified properly. The gap should be analyzed and management must be adaptive to change as per the requirement (Rubin Consulting Group  2005).

3. Design Information

The employees must be able to achieve the determined goals .The organizational policies and chart should be well explained to the employees .The management must focus on designing proper job Description , skill requirements and priorities.

4. Implement and Evaluate

The employees should be hired with a proper selection method .There should be proper change plan .Training and development sessions for the employees should be conducted  to enhance their lateral thinking process.The training  given to employees should be evaluated before and after those sessions

(Source: Rubin Consulting Group  2005)

Second Stage

Modify the old organizational Structure into a new one. Modern or standardized organizational structure should be followed by the management where there are different levels in it. Open system approach is considered effective & more relevant .It should be dynamic, flexible, skill focused , and team based involvement should be there .It should be customer oriented and should have diverse work force. The points that can be followed in such situation are explained below.

  • Organization should be able to analyze its business fields , types of product being manufactured , and the various types of the market combinations which are suitable for them.
  • The management must be able to evaluate the success factors and the drivers which leads to its customers and suppliers satisfactions.
  • The should be proper explaination of the  business process ,functions and units to carry the work smoothly.
  • If required the management must be able to redesign its process as per the requirement.
  • There must be proper synchronization of all the activities related to the business.
  • There must be a proper channel of communication  being followed with in the organization (International Gmbh   2012).

Mintzberg’s has identified the various managerial roles that employees can follow from time to time in Airstar organization .There are  three  types of managerial roles like interpersonal  , Informational  & and decisional (Elsevier  2002).

Interpersonal are those which involves people and their duties that are ceremonial & symbolic in nature .They are divided into three categories.

  • Figurehead is the symbolic head , obliged to perform a number of routine duties .
  • Liaison who maintains self developed networks inside and outside the organization.
  • Leader is one who has an ability so show the direction and is involved in decision making process .The vice president lacked some of the leadership styles because he was always supportive rather than directive or Autocratic.

Informational is a process of  receiving , collecting, and disseminating information as per the requirements.

  • Monitoring of activities should be done by the top management to have a thorough understanding of the external environment.
  • Disseminator should always transmit the outside information to the inside organization. The wrong documentation process should be stopped by appointing a proper disseminator.
  • Spokesperson should be given authority to speak about the plans, policies to various departments.

Decisional process revolves around making choices that emphasize on managers to give them various roles to change with their organizational level.

  • Entrepreneur quality was not there because of which Senior Employees were unable to take the risk. They never tried to create some new ideas.
  • Conflict between two top officials was not being handled and they blamed each other because of lack of corrective action taken at that time.
  • Resource allocator should be there to check what resources have been used efficiently and effectively. A formal structure of budget should be planned for such situations.
  • Negotiator should be there to participate with various top, bottom and lower level of management.

The employees should be provided technical, human and conceptual skills. Employees should be involved in training and development programmes for enhancing their thought process. First an Organization should be prepared for change, manage the change and reinforce the change process.

Third Stage.

Strategic Planning is the core work of an Organization .Without a strategic Framework organization cannot decide where it want’s to lead. The strategies made by the top management must be always pushed to the bottom level. It should represent the organization’s wider approach (ToolKitcivicus   n.d). They are also linked with the positive and the negative aspects . Goals of this organization should be SMART enough ,which means it should be Specific , Measurable , Achievable , Realistic and Time-Bound. A proper SWOT Analysis should be done before implementing any strategy .The are two types of environment which affects the organization and they are external and the internal environment .

Internal Environment.

It includes strength and the weakness. Strength is positively related where as weakness is negatively related for the Organizational Success.

Strength relates to the internal resources which works well and helps to progress further .It is a core competency or unique skill that represents the competitive edge over others.

  • Technological skills.
  • Proper distribution channel to remove the late delivery.
  • Customer Relationship management.
  • Quality Production.
  • Collaborative Approach.
  • Efficient and Effective Management.

Weakness represents the Resources that an organization lacks or activities that does not work well. It affects the organization negatively.

  • Lack of important skills.
  • Weaker products or brands.
  • Poor access to distribution channel.
  • Low customer retention.
  • Lack of critical thinking process.
  • Failure to communicate well between the departments.
  • Achievements of the Competitors.

External environment represents the Opportunities and the threats .Opportunity results to positive factors and threats are negative factors (Recreation Tourism Research Institute   2007).

Assignment Writing Tutor AustraliaOpportunity is the favourable situation for any organization.

  • Change in customer taste and preference.
  • Technological advances.
  • Liberalization of geographical markets.

Threat is unfavorable situation in the organization which potentially damages the strategy.

  • Performance of the competitors.
  • Government policies.
  • Cash-flow problems.
  • Losing the market share.
  • Changes in technology and creating problems.
  • Conflict within the employees.

Porters five force model is a tool to understand where the power lies and avoid taking wrong steps. There are five important forces that determine the Competitive power of a business situation.

1. Threat of new entrants

Threat of new entrants affect the power because people can easily enter to the business domain. The little cost and time difference can create a major problem .The technology is being affected as new competitors are easily entering and trying to weaken your position and capture the market share .Therefore strong durable strategies must be there to have a stability in the market.

2. Threat of Substitutes

This is affected when the customers find the new substitutes of their products due to change in the fashion and trends. If the substitute is available easily the power does not remain for the longer duration with the particular organization.

3.Potential Power of the supplier

Here the Organization wants to know what prices are being charged by the suppliers to them . There are number of suppliers in the market .The supplier is being differentiated in terms of the quality , price and delivery .The more suppliers you have the better option to choose the quality of products.

4.Threat of Buyer

University Assignment Help AustraliaThis is driven by number of buyers and their choices to switch from one product to the others. If a product is being charged at a higher price to the buyer then he will definitely switch to other product .If few buyers are there then it is possible that they can dictate terms to you.

 

5.Competitive Rivalry

The important aspect here is to know the number and potential level of your competitors. If you have large number of competitors, and they are offering  equally attractive products and services, then one can have snatch the power in such situation. The suppliers and buyers will go elsewhere if they don’t get a good business from you (Mind Tool   2012).

According to Robert S. Kaplan and David P. Norton “The Balanced Scorecard provides a simple, clear message about organizational strategy that all employees can understand and internalize”(Working Knowledge  2012).It is a strategic plan which aligns with the vision of the organization. A balance score card will result in improving the processes , motivating and educating the employees , enhancing the information systems , monitoring the progress , providing greater customer satisfaction level ,and increasing the financial usage. It is linked with the four main process .They are financial, Internal Business Process , learning and growth , and customers.

1.Financial aspects helps to analyze the return on investment, to manage the cash flow ,return on the capital employed .It also helps to measure the financial results quarterly/yearly .To maintain the proper financial drive the cost structure should be designed properly.

 

2.Internal Business Process helps to know about the number of activities per function .It avoids the duplication of the activities across the other various departments .Right process at right time is been taken at the departments .It helps in building customer based relationship .It helps in carrying out the distribution channel’s work in a much smoother manner .It helps in operating excellently.

 

3.Customers should be provided better quality at reasonable price .It helps in timely functioning of the activities  and also maintains the brand image among the customers .It helps to know about the customer satisfaction rate .It helps to know about the retention rate of the customers .Customers should be also classified as external and internal customers.

 

4.Learning and growth is a very important aspect which provide strategic competencies .It is a tool to motivate the employees to get the desired output and prepare a better climatic situation for the employees. This process will help to identify the correct level of expertise required for particular job .It helps to know about the employees turnover rate and the satisfaction level. A proper career development plan of employees is formed for the bright future of the Company(Business Balls   2009).

Assignment Expert AustraliaAfter indentifying all the problems related to design , structure ,and system the above mentioned solutions can be implemented to cope up with changes in the industry .The above  mentioned stages and balance Score Card method will help in creating professionalism , diversity , growth , integrity and accountability towards the organization. Airstar is a technology based industry which requires talented manpower to overcome all the hurdles .The company should also focus on the requirements of the clients .Time to time business meetings should be held within structured based departments .Core values must written down well along with the mission and the vision of the organization so that is being well written down in a formal way. The employees should remember it. The Job description should explain all the required skill sets and also help the employees to know about the Key Result Areas .There must be various checkpoints to measure the employees and financial activities.

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