Organization structure and design report on: Airstar

Organizational Structure of Airstar is not being able to cope up with the other Industries .The problem lies in the Organizational design including its structure and the strategy .Organization design is a formal process for integrating the people, information and Technology. As, a consultant to sustain in the competitive business environment some of the problems have been identified . Factors that affect the Organizational Design are as follows.

Vision

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

Identify the work needed to achieve the vision

The company was unable to distribute the roles and responsibilities to the employees as per their standards .It was following the traditional method which resulted the chaos in 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 performed efficiently and effectively to achieve the goals .It explains how Job responsibilities fits together. In your organization these factors were missing .A well organized organization structure increases the value of the firm. (EdrawSoft   2012).

• 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 Qualities.
• 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 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 different 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 to the threat for their organization.

As a consultant following strategies can be recommended and implemented to improve the Organizational Design , Structure and Strategy .

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

(Rubin Consulting Group  2005)

1. Set the Stage

The management should clearly make aware to its employees about the mission and vision .It should maintain business relationship. It must be able to motivate the employees to develop the team spirit with them .It should focus on customer requirements and follow the industry standards to get the desired result.

2. Gather the data

The management must access the current structure so that key works flows systematically .The employees performance must be measured and roles and responsibilities must be clarified properly. The gap should be analyzed and management must be adaptive to change as per the requirement.

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 and Training and development sessions for the employees to think out the box in critical situation .The training  given to employees should be evaluated before and after those sessions (Rubin Consulting Group  2005).

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 effective considered more relevant .It should be dynamic, flexible, skill focused ,team based involvement should be there ,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 your organization .There are  three  types of managerial roles like interpersonal  , Informational  & and decisional (Elsevier  2002).

Interpersonal that  involves people and duties that are ceremonial and 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 organization to the inside process .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 the various roles to change with their organizational level.

• Entrepreneur quality was not there because of which they were unable to take the risk. They never tried to create some new ideas.
• Disturbance between the two top officials was not being handled and they blamed to each other because of lack of corrective action taken at that time.
• Resource allocator should be there to check what resources have been used how 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 the technical, human and the conceptual skills. Employees should be involved in training and development programmes for enhancing their thought process. First an Organization should be prepare for change, manage the change and reinforce the change process. -1 

• Strengths (Strategic)
  • Internal resources that are available or things that an organization does well.

v  Core competency: a unique skill or resource that represents a competitive edge.

• Weaknesses
  • Resources that an organization lacks or activities that it does not do well.
• Opportunities (Strategic)
  • Positive external environmental factors.
• Threats
  • Negative external environmental factors.

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