Business Basics-Case Study

Embed Size (px)

Citation preview

  • 7/31/2019 Business Basics-Case Study

    1/20

  • 7/31/2019 Business Basics-Case Study

    2/20

    sustained over a long period of time. They form a common core which binds

    people together.

    Work culture, on the other hand, is a totality of various levels of interactionamong organizational factors (boundaries, goals, objectives, technology,

    managerial practices, material and human resources, and the constraints)

    and factors (skills, knowledge, needs, and expectations) interact among

    themselves at various levels. Over a period of time they develop roles,

    norms and values focusing work and is called work culture.

    ABC Airlines takes pride in its history and culture. The mission of the Airlinesis dedication to the highest quality of customer service delivered with a

    sense of warmth, friendliness, individual pride, and company spirit. Due to

    which it has been able to go over its setbacks and face all challenges. It

    primarily provides short haul, high-frequency, point-to-point, low-fare air

    transportation service among 50+ cities.

    Spirituality and Organizational Culture:

    Workplace Attributes: A spiritual or value-based organization relies on

    individual development as well as a proactive and supportive workplace

    climate. Morris notes,Good people in a good environment do good work.

    The literature identifiesa long list of key workplace attributes.

  • 7/31/2019 Business Basics-Case Study

    3/20

    Attributes include

    1. work that is valued,

    2. work that stretches workers capabilities,

    3. high-quality interpersonal relationships,

    4. efforts that are recognized, supported, and rewarded,

    5. managers who act as guides,

    6. the opportunity to find meaning in work that transcends economic gain,

    7. a strong work ethic,

    8. empowerment,

    9. collaboration,

    10. respect for workers,

    11. commitment to a cause,

    12. ability to take care of the customer,

    13. the opportunity to learn from mistakes,14. the responsibility to behave in a self-managing way, and

    15. clear and consistent leadership.

    Ultimately, workplace attributes help workers align their work habits to the

    core values of the organization and help instill a culture of success.

  • 7/31/2019 Business Basics-Case Study

    4/20

  • 7/31/2019 Business Basics-Case Study

    5/20

  • 7/31/2019 Business Basics-Case Study

    6/20

    Social connection also enables shared change and organizational learning.

    Managers at all levels have a responsibility to stimulate and support socia

    growth.

    Competence requires that managers recognize and utilize employees

    capabilities. Competence emerges as the organization acknowledges the

    individuals need for growth and then encourages and invests in that

    growth. An open learning environment reinforced by appropriate training,

    holistic job design, and policies of empowerment increases workforce

    competence and employees ability to both achieve and participate as

    contributing members of the community.

    Therefore for ABC Airlines These practices cultivate a culture that can

    transform an organizations workforce into a key source of creativity and

    innovative solutions

    SECTION- B

    Answer the following questions:-

    Q1.What is organization structure? Why is it important?

    A: An organizational structure consists of activities such as task

    allocation, coordination and supervision, which are directed towards the

    achievement of organizational aims. It can also be considered as the

    viewing glass or perspective through which individuals see their

    organization and its environment.

  • 7/31/2019 Business Basics-Case Study

    7/20

    An organization can be structured in many different ways, depending on

    their objectives. The structure of an organization will determine the modes

    in which it operates and performs. Organizational structure allows the

    expressed allocation of responsibilities for different functions and processes

    to different entities such as the branch, department, workgroup and

    individual.

    Organizational structure affects organizational action in two big ways. First,

    it provides the foundation on which standard operating procedures androutines rest. Second, it determines which individuals get to participate in

    which decision-making processes, and thus to what extent their views shape

    the organizations actions.

    Small companies usually use one of two types of organizational structure:

    Functional and product. Functional areas such as marketing and

    engineering report to the president or CEO in a functional organizational

    structure. Product structures are used when a company sells numerousproducts or brands. It is important for companies to find the organizational

    structure that best fits their needs.

    Chain of Command : An organizational structure involves a chain of

    command which determines and defines: job positions, who makes the

    decisions, and who's accountable for various duties.

    http://en.wikipedia.org/wiki/Branch_(banking)http://en.wikipedia.org/wiki/Departmentalizationhttp://en.wikipedia.org/wiki/Working_grouphttp://en.wikipedia.org/wiki/Employeehttp://smallbusiness.chron.com/DM-Resize/photos.demandstudios.com/59/211/fotolia_1184344_XS.jpg?w=600&h=600&keep_ratio=1http://en.wikipedia.org/wiki/Branch_(banking)http://en.wikipedia.org/wiki/Departmentalizationhttp://en.wikipedia.org/wiki/Working_grouphttp://en.wikipedia.org/wiki/Employee
  • 7/31/2019 Business Basics-Case Study

    8/20

    Span of Control : Span of control determines and quantifies the actua

    amount of employees a manager supervises.

    Departmentalization : Departments within an organization structure are

    sections of the structure divided into functional divisions (such as the

    Sales Department) relevant to specific tasks.

    Distribution of Authority : Distribution of authority determines if

    decision-making authority is concentrated among a few high-levefigures commonly seen in bureaucratic organizations.

    Organization Height : Organization height defines how many

    departments, divisions, and layers there are between the highest levels

    and the lowest levels of an organization.

    The Importance of Organizational Structure

    The importance of an organizational structure involves assisting business

    owners, CEOs, and entrepreneurs to conceptualize, visualize, and construct

    a hierarchical system to be implemented into their organization. For

    example, the building blocks of an organizational structure include: a chain

    of command, span of control, departmentalization, distribution of authority,

    and organization height.

    Organizational structure is important for knowing to whom each employeereports.

    Function : Organizational structure is particularly important for decision

    making. Most companies either have a tall or flat organizational structure.

    Small companies usually use a flat organizational structure. For example, a

    manager can report directly to the president instead of a director, and her

    assistants are only two levels below the president. Flat structures enable

    small companies to make quicker decisions, as they are often growingrapidly with new products and need this flexibility.

  • 7/31/2019 Business Basics-Case Study

    9/20

    The reason is that employees in extremely small organizations have

    numerous responsibilities, some of which can include multiple functions

    For example, a product manager also might be responsible for

    marketing research and advertising. Large organizations often have

    many tiers or echelons of management. As a smaller organization

    grows, it can decide to add more management levels. Roles become

    more defined. Therefore, it is important to know which people oversee

    certain functions.

    Communication : The importance of organizational structure is particularly

    crucial for communication. Organizational structure enables the

    distribution of authority. When a person starts a job, he knows from day

    one to whom he will report. Most companies funnel their communication

    through department leaders. For example, marketing employees wil

    discuss various issues with their director. The director, in turn, wil

    discuss these issues with the vice president or upper management.

    Evaluating Employee Performance : Organizational structure is

    important for evaluating employee performance. The linear structure of

    functional and product organizational structures allow supervisors to

    better evaluate the work of their subordinates. Supervisors can evaluate

    the skills employees demonstrate, how they get along with other

    workers, and the timeliness in which they complete their work.

    Consequently, supervisors can more readily complete semiannual orannual performance appraisals, which are usually mandatory in most

    companies.

    Achieving Goals : Organizational structure is particularly important in

    achieving goals and results. Organizational structure allows for the

    chain of command. Department leaders are in charge of delegating

    tasks and projects to subordinates so the department can meet project

    deadlines. In essence, organizational structure fosters teamwork, where

    everyone in the department works toward a common goal.

  • 7/31/2019 Business Basics-Case Study

    10/20

    Prevention/Solution : Organizational structure enables companies to

    better manage change in the marketplace, including consumer needs,

    government regulation and new technology. Department heads and

    managers can meet, outline various problem areas, and come up with a

    solution as a group. Change can be expected in any industry. Company

    leaders always should strive to find the best organizational structure to

    meet those changes.

    Q2. What is the impact of culture on an Organization?

    A: Organizational culture is defined as A pattern of shared basic

    assumptions invented, discovered, or developed by a given group as it

    learns to cope with its problems of external adaptation and interna

    integration" that have worked well enough to be considered valid and

    therefore, to be taught to new members as the correct way to perceive,

    think and feel in relation to those problems.

    It has also been defined as "the specific collection of values and norms that

    are shared by people and groups in an organization and that control the

    way they interact with each other and with stakeholders outside theorganization

    http://en.wikipedia.org/wiki/Stakeholder_(corporate)http://en.wikipedia.org/wiki/Stakeholder_(corporate)
  • 7/31/2019 Business Basics-Case Study

    11/20

    Impacts

    Research suggests that numerous outcomes have been associated either

    directly or indirectly with organizational culture. A healthy and robust

    organizational culture may provide various benefits, including the following:

    Competitive edge derived from innovation and customer service

    Consistent, efficient employee performance Team cohesiveness

    High employee morale

    Strong company alignment towards goal achievement

    Organizational culture is reflected in the way people perform tasks, setobjectives, and administer the necessary resources to achieve objectives.

    Culture affects the way individuals make decisions, feel, and act in response

    to the opportunities and threats affecting the organization.

    It has been proposed that organizational culture may impact the level of

    employee creativity, the strength of employee motivation, and the reporting

    of unethical behavior, but more research is needed to support these

    conclusions.

    Organizational culture also has an impact on recruitment and retention

    Individuals tend to be attracted to and remain engaged in organizations that

    they perceive to be compatible. Additionally, high turnover may be a

    mediating factor in the relationship between culture and organizationa

    performance. Deteriorating company performance and an unhealthy work

    environment are signs of an overdue cultural assessment.

    Measures of Culture : Culture in this study refers to the socio-cultura

    environment in its entirety. It is measured in terms of the attitudes, beliefs,

    norms and values which the people of a nation have and hold on to in

    general. The point of focus in this study is on

    how these concepts influence behaviour at work and how this in turn

    influence

    organizational performance.

  • 7/31/2019 Business Basics-Case Study

    12/20

    Q3. Draw Kolb's Cycle of Learning and briefly describe the four learning

    styles.

    A: Kolb's learning theory sets out four distinct learning styles , which are

    based on a four-stage learning cycle. (which might also be interpreted as a

    'training cycle'). In this respect Kolb's model is particularly elegant, since it

    offers both a way to understand individual people's different learning styles,

    and also an explanation of a cycle of experiential learning that applies to us

    all.

    Kolb includes this 'cycle of learning' as a central principle his experiential

    learning theory, typically expressed as four-stage cycle of learning, in which

    immediate or concrete experiences provide a basis for observations andreflections. These observations and reflections are assimilated and distilled

    into abstract concepts producing new implications for action which can be

    actively tested in turn creating new experiences.

    Kolb says that ideally , this process represents a learning cycle or spiral

    where the learner 'touches all the bases', ie., a cycle of experiencing,

    reflecting, thinking, and acting. Immediate or concrete experiences lead to

  • 7/31/2019 Business Basics-Case Study

    13/20

    observations and reflections. These reflections are then assimilated

    (absorbed and translated) into abstract concepts with implications for

    action, which the person can actively test and experiment with, which in

    turn enable the creation of new experiences.

    Kolb's model therefore works on two levels - a four-stage cycle:

    1. Concrete Experience - (CE)

    2. Reflective Observation - (RO)3. Abstract Conceptualization - (AC)

    4. Active Experimentation - (AE)

    and a four-type definition of learning styles, (each representing the

    combination of two preferred styles, rather like a two-by-two matrix of the

    four-stage cycle styles, as illustrated below), for which Kolb used the terms:

    1. Diverging (CE/RO)

    2. Assimilating (AC/RO)3. Converging (AC/AE)

    4. Accommodating (CE/AE)

  • 7/31/2019 Business Basics-Case Study

    14/20

    David Kolb proposed a 4-stage experiential learning cycle that applies to alllearners. He suggested that immediate or concrete experiences provide a

    basis for observation and reflection. These are assimilated and distilled into

    abstract concepts which can be actively tested, in turn creating new

    learning experiences.

    Individual learners will demonstrate differences in the way they think about

    things and the way they do things. These differences can be plotted on aPerception continuum (along a spectrum that ranges from a preference for

    thinking about things in a Concrete or Abstract way) and along a Processing

    continuum (along a spectrum that ranges from Active to Reflective).

  • 7/31/2019 Business Basics-Case Study

    15/20

    This results in identification of 4 Learning Styles.

    Kolb refers to these as Accommodating - Diverging - Assimilating -

    Converging.

    These approximate to the Learning Styles identified by Peter Honey & Alan

    Mumford.

    Here are brief descriptions of the four Kolb learning styles:

    Diverging (feeling and watching - CE/RO) - These people are able

    to look at things from different perspectives. They are sensitive. They

    prefer to watch rather than do, tending to gather information and use

    imagination to solve problems. They are best at viewing concrete

    situations several different viewpoints. Kolb called this style 'Diverging

    because these people perform better in situations that require ideas-

    generation, for example, brainstorming. People with a Diverging

    learning style have broad cultural interests and like to gather

    information. They are interested in people, tend to be imaginative and

    emotional, and tend to be strong in the arts. People with the Diverging

    style prefer to work in groups, to listen with an open mind and to

    receive personal feedback.

  • 7/31/2019 Business Basics-Case Study

    16/20

    Assimilating (watching and thinking - AC/RO) - The Assimilating

    learning preference is for a concise, logical approach. Ideas and

    concepts are more important than people. These people require good

    clear explanation rather than practical opportunity. They excel at

    understanding wide-ranging information and organising it a clear

    logical format. People with an Assimilating learning style are less

    focused on people and more interested in ideas and abstract concepts.

    People with this style are more attracted to logically sound theories

    than approaches based on practical value. These learning style people

    is important for effectiveness in information and science careers. Informal learning situations, people with this style prefer readings,

    lectures, exploring analytical models, and having time to think things

    through.

    Converging (doing and thinking - AC/AE) - People with a

    Converging learning style can solve problems and will use their

    learning to find solutions to practical issues. They prefer technica

    tasks, and are less concerned with people and interpersonal aspects.

    People with a Converging learning style are best at finding practica

    uses for ideas and theories. They can solve problems and make

    decisions by finding solutions to questions and problems. People with a

    Converging learning style are more attracted to technical tasks and

    problems than social or interpersonal issues. A Converging learning

    style enables specialist and technology abilities. People with a

    Converging style like to experiment with new ideas, to simulate, and to

    work with practical applications.

    Accommodating (doing and feeling - CE/AE) - The Accommodating

    learning style is 'hands-on', and relies on intuition rather than logic.

    These people use other people's analysis, and prefer to take a

  • 7/31/2019 Business Basics-Case Study

    17/20

    practical, experiential approach. They are attracted to new challenges

    and experiences, and to carrying out plans. They commonly act on

    'gut' instinct rather than logical analysis. People with an

    Accommodating learning style will tend to rely on others for

    information than carry out their own analysis. This learning style is

    prevalent and useful in roles requiring action and initiative. People with

    an Accommodating learning style prefer to work in teams to complete

    tasks. They set targets and actively work in the field trying different

    ways to achieve an objective.

    Nevertheless most people clearly exhibit clear strong preferences for a

    given learning style. The ability to use or 'switch between' different styles isnot one that we should assume comes easily or naturally to many people.

    Simply, people who have a clear learning style preference, for whatever

    reason, will tend to learn more effectively if learning is orientated according

    to their preference.

    For instance - people who prefer the 'Assimilating' learning style will not be

    comfortable being thrown in at the deep end without notes and instructions.

    People who like prefer to use an 'Accommodating' learning style are likely to

    become frustrated if they are forced to read lots of instructions and rules,

    and are unable to get hands on experience as soon as possible.

  • 7/31/2019 Business Basics-Case Study

    18/20

    Q4. State the two purposes of Learning Style Inventory

    A: The concept of learning style is used to describe individual differences in

    the way people learn. Each person has a unique way to absorb and processexperiences and information. Consideration of learning styles has become

    increasingly important for individuals, parents, educators and organizations

    at large to understand what is the appropriate learning environment that

    fosters and honors individuals differences. For example, research had

    indicated that particular learning environment seem better suited for

    particular learning content and learning preferences and that students

    perform better when the learning environment is consistent with their

    learning preferences.

    The Learning Style Inventory (LSI) was created to fulfill two

    purposes:

    To serve as an educational tool to increase individuals understanding

    of the process of learning from experience and their unique individual

    approach to learning. By increasing awareness of how they learn, the

    aim is to increase learners capacity for meta-cognitive control of theirlearning process, enabling them to monitor and select learning

    approaches that work best for them in different learning situations.

    By providing a language for talking about learning styles and the

    learning process, the inventory can foster conversation among learners

    and educators about how to create the most effective learning

    environment for those involved.

  • 7/31/2019 Business Basics-Case Study

    19/20

    For this purpose, the inventory is best presented not as a test, but as

    an experience in understanding how one learns. Scores on the

    inventory should not be interpreted as definitive, but as a starting

    point for exploration of how one learns best.

    To facilitate this purpose, a self-scoring and interpretation book that

    explains the experiential learning cycle and the characteristics of the

    different learning styles, along with scoring and profiling instructions, is

    included with the inventory.

    To provide a research tool for investigating experiential learning theory

    (ELT) and the characteristics of individual learning styles. This research

    can contribute to the broad advancement of experiential learning and,

    specifically, to the validity of interpretations of individual learning style

    scores. A research version of the instrument, including only theinventory to be scored by the researcher, is available for this purpose.

    The LSI is not a criterion-referenced test and is not intended for use to

    predict behavior for purposes of selection, placement, job assignment,

    or selective treatment. This includes not using the instrument to assign

    learners to different educational treatments, a process sometimes

    referred to as tracking. Such categorizations based on a single test

    score amount to stereotyping that runs counter to the philosophy of

    experiential learning, which emphasizes individual uniqueness.

    When it is used in the simple, straightforward, and open way

    intended, the LSI usually provides a valuable self-examination and

    discussion that recognizes the uniqueness, complexity, and variability

    in individual approaches to learning. The danger lies in the reification

  • 7/31/2019 Business Basics-Case Study

    20/20

    of learning styles into fixed traits, such that learning styles become

    stereotypes used to pigeonhole individuals and their behavior.

    The LSI is constructed as a self-assessment exercise and tool for

    construct validation of ELT. Tests designed for predictive validity

    typically begin with a criterion, such as academic achievement, and

    work backward to identify items or tests with high criterion

    correlations. Even so, even the most sophisticated of these tests rarely

    rises above a .5 correlation with the criterion.