Organisational Structure, Culture, and Leadership at Adidas: A Report

This report provides a comprehensive analysis of Adidas's organizational structure and culture, examining their relationship and impact on performance. It begins with an introduction to organizational structure and culture, highlighting their importance for business success. The report then profiles Adidas, detailing its history, products, and organizational structure, including its use of functional, divisional, hybrid, and matrix structures. It further explores the connection between organizational structure and culture, emphasizing how they influence each other and affect employee behavior and business outcomes. The report also delves into the leadership and management approaches used by Adidas, particularly focusing on the systems leadership approach and its advantages. Additionally, it discusses factors that influence team and group behaviors, and the link between motivation, perception, and overall organizational performance. The report concludes by summarizing the key findings and insights regarding Adidas's organizational strategies.

Assessment - 2 Organisational
Structure and Culture
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Table of Contents
INTRODUCTION ..........................................................................................................................3
TASK ..............................................................................................................................................4
A profile of chosen organisation ................................................................................................4
Orrganisational structure and its relationship with organisational culture .................................5
Leadership and management approaches utilised in Adidas 1000..............................................6
Factors which impact group and team behaviours .....................................................................8
Link between motivation, perception and organisational performance .....................................8
CONCLUSION ...............................................................................................................................8
.........................................................................................................................................................8
REFERENCES ...............................................................................................................................9
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INTRODUCTION
Organisational structure is defined as policies, norms and rules that an organisation form in order
to accomplish its objectives and goals. While on the other hand, if it is talked about
organisational culture it involves attitudes, values and behaviour of individual those who perform
their roles and responsibilities in company (Le Coze, 2020). Both organisational structure and
culture plays equally important role for organisational success. Proper knowledge and
understanding of this will facilitate company to enhance its competitiveness in respective
industrial structure. Furthermore, it has been evaluated that organisational culture and structure
enhance performance ability of company and allow them to conduct business operations by
undertaking use of resources in effective manner. In addition to this, it has been underlined that
organisational culture is defined as a way that allows companies to behave properly within
organisation. It mainly involve values and shared believes that has been established by leaders
and then further communicated and reinforced with the help of different methods. It further
facilitates company to effectively shape employees understanding behaviour as well as
perceptions. It is essential for an organisation to have proper understanding of organisational
culture and structure, as it defines the policy and rules that further formulate positive culture
within company. Both of these are essential for success of company and it also allows
organisation to be more creative, open and innovative in which employees can adjust easily and
can further gain satisfaction from the work environment (Stalph, 2020). Along with it has been
identified that organisational culture is mainly company expectation these are rules that are
mainly dedicated to work ethic and structure of overall business. It is essential for employees to
learn and follow these rules in order to effectively fit in business along with its culture.
Furthermore it has been underlined that it is essential for a business organisation to have flexible
organisational structure, as it empowers employees in an effective manner. It involves less
centralisation, few managers and less formal regulation and rules. This has been evaluated that
flexible organisational structure is a set at department level of the hierarchy that further
encourage employees to experiment with new ideas that facilitate innovation and creativeness
within company. However it is essential for company to implement organisational structure and
culture according to their own requirements with the help of effective strategy.
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Present report has been conducted on Adidas which is a German multinational corporation
headquartered in Germany. The company mainly engaged in the process of designing and
manufacturing shoes, accessories and clothing. This report involves discussion upon the
relationship between structure, individual culture and organisational performance. In addition to
this report also identifies the essential nature of managerial work in both process and functional.
Role of leadership is also discussed in this report along with the variable that determines
effective leadership and management. In addition to this report also involve factors that influence
team as well as group behaviour. At last report discuss the manner in which perception and
motivation all linked to organisational performances.
TASK
A profile of chosen organisation
Adidas is a German manufacturer of athletic shoes, apparel and sporting goods. Organisation
performs its business operation as the largest manufacturer in Europe and second largest in the
globe. This organisation provides high quality products and services to its customer and was
founded in the year and 1924 (adidas Group AG - Company Profile, Information, Business
Description, History, Background Information on adidas Group AG. 2021). This company is
conducting its business functioning in textile and footwear industry and was founded by, Adolf
Dassler and Rudolf Dassler. Adidas headquarters in Herzogenaurach, Germany and offers their
services worldwide. Main products of this company involve sportswear, apparel, sports
equipment, footwear and toiletries. In addition to this it has been evaluated that this company is
currently having net income of more than €1.702 billion and are performing their services with
more than 57,000 employees (Sepulveda, Lyon and Vickers, 2020). This company undertake
advantage of functional divisional, hybrid and matrix organisational structure that allows
company to effectively perform their business roles and responsibilities. In addition to
underlined that this company mainly emphasize upon building the culture that effectively enable
creativity and innovation in order to thrive competitiveness in respective industry. Furthermore,
it has been underline that Adidas mainly focus upon developing a culture of employee’s
collaboration in which they mainly focused upon employee’s career and growth management.
Managers of this organisation undertake use of strong policies and practices in order to take
advantage of resources at full extent (Yang and Cheng, 2020). In addition to this it has been
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identified that this company continuously engages in the process of improving its quality, image,
feel and look of the product along with its organisational structure in order to match and fulfil the
expectation of customers, by offering them products that the highest value. They are performing
their business practices with innovation in which they take advantage of effective organisational
structure and culture in order to enhance performance and capability of employees (Yabarow and
Muathe, 2020). With the help of continuously strengthening the organisational structure and
culture this company improve its competitive position and financial performance in respect to
industrial sector.
Orrganisational structure and its relationship with organisational culture
Organisational structure and culture underline the practices, value, beliefs, the role and
responsibilities that are required to effectively monitor by an organisation in order to perform
that business operations in effective manner. With help of implementing organisational culture
and structure in an effective manner company can significantly enhance their competitiveness
and effective industrial sector (Hernaus, Sitar and Mirić, 2020). Furthermore, it has been
underlined that proper understanding of both of these concepts facilitates company to conduct
their roles and responsibilities in a systematic manner through which they can enhance
performance and capabilities of employees. It has been identified that organisational structure
and culture defines the manner in which organisation is required to conduct the activities. It has
been determined that organisational culture at some extent underline the organisational structure
of an organisation but the structure of partially evaluates the culture of company. Structure is
defined as a framework for the culture that is required to be implemented and while culture
effectively dedicates the manner in which company is required to be structured. Organisational
culture effectively reflects the work ethics, values and mentality of organisation employees and
workers. While organisational structure is define as actual framework of an organisation. There
is significant relationship between organisational and culture as it has a direct impact of
organisational performance and profitability. In order to accomplished business question
objective it is essential for company to take effective use of the resource it as full extent for
which it is essential for company to understand the significant relationship between
organisational structure and culture, as it lead company to conduct their business practices in
effective manner (Umar, Wilson and Heyl, 2021). In addition to this has been identified that it is
essential for an organisation to effectively maintain balance between organisation culture and
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structure as mismatch between these two can lead company to face major disaster. It has been
evaluated that there is significant and dynamic change prevails in business environment that
forces company to change their structure as to adopt the practice prevailing in business
environment in order to satisfy customers. With the help of proper understanding of
organisational structure and culture facilitate company decision-makers can undertake right
things. It is essential for Adidas executives to conduct prior planning in order to implement new
structure elements in effective manner Along with this they are also required to emphasize and
strengthen communication flow of organisational structure and make sure that employees are
aware about the changes and they are introduced with the organisational culture. It allows
company to improve its productivity and performance in effective manner.
Leadership and management approaches utilised in Adidas 1000
Leadership and management approaches adopted by senior staff of a business firm play
an important role in determining the culture of the company. Effective leaders are able to inspire
the staff members of the company to increase their performance and work with full dedication.
This is reflected in workplace culture and forms the basis of future decisions made by the
company. The leadership approach adopted by senior leaders at the company dictates
organisational culture and forms the basis of hierarchy and reporting structure of the firm.
Business organisations adopt various leadership approaches in order to lead company employees
towards organisational success. The main leadership approach adopted by business organisations
are contingency leadership approach, system leadership approach, transformational leadership,
innovative leadership approach, transformational leadership approach and servant leadership
approach. Every leadership approach has various merits and demerits and business organisations
adopt leadership approach after understating every aspect of the approach in order to select the
most suitable approach for their firm.
Adidas is German multinational company which has implemented various programmes in
order to develop future leaders of the company and build leadership capabilities in the firm. The
company has adopted systems leadership approach in order to create effective leadership and
ensure that they gain success in various business ventures. Systems leadership approach helps
senior leaders at the respective organisation create conditions which maximise productivity level
of each employee. The company is able to create business organisations which help the company
create business organisations for the benefit of the company. System leadership is a set of tools
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used by business organisation to catalyse, enable and support the procedure of systems level
change. Community, systems and the company are the main factors elements of this approach to
leadership. Business organisations are able to utilise this leadership approach to implement
organisational wide change while ensuring that the future leadership of the company is
developed for long term survival of the company. This leadership approach combines
collaborative leadership, coalition building and systems insight to create innovation and action
across a large decentralised network of business firms. This factor of the leadership approach
depicts the suitability of this approach for a large business firm such as Adidas which has
decentralised network of outlets and subside roes across the globe. Systems leadership approach
determines the interdependences and relation between various parts of the company. This helps
Adidas gain a atomistic view of various business activities which paves the way of improving
productivity of the company. The usage of this leadership approach provides the company
various advantages and disadvantages.
The main advantage of this leadership approach is that Adidas gains the ability to
decreases the impact of environmental changes. This happens as the respective company is
viewed as a whole and not by the different parts which form the multinational company.
Decision making under this leadership approach is mdse on the basis of internal as well as
external environment of the company. This helps the respective company adopt to changes in
environment. This plays an important role in helping Adidas survive in their industry for a longer
time period. Uniform decision making process present under this leadership approach is
beneficial for Adidas. This is because the respective company is able to focus on every aspect of
the company and any single aspect of the company does not gain discriminatory treatment. In
addition to this, systems leadership approach has another advantage which is that it allows the
senior leaders at Adidas to focus on various dimensions of management at the same time . This
leadership approach is dynamic in nature compared to to other approaches which helps the
respective company tackle various challenges of operating international business effectively.
This leadership approach has various disadvantage which affect daily business operations
at Adidas. A main disadvantage of this leadership approach is that it is not practical and slows
the decision making process of the company. This disadvantageous affects daily decision making
at Adidas as operating an international business firm requires swift decision making. In addition
to this this approach is not clearly defined as does not describe relationship and
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interdependencies between various parts of the company. The respective company is not able to
effectively utilise this leadership approach as it does not included detailed description about
various interrelation and dependencies between organisational factors of the company.
Management approach adopted by an organisation is another important factor which
affect organisational structure as well as organisational culture. Business organisations adopt
engagement approach on the basis of their goals and objective. Adoption of suitable management
approach not only helps the company smoothly accomplish daily business objectives but also
plays an important role in creating an organisational culture which facilitates attainment of
business strategy in a timely manner. Business organisations utilise various classical approaches
to management as they have wide amount of data and can be used by business organisations
despite their size. Primary classical management approaches utilised by business organisation
are provided below:
Scientific management theory: This management theory of F Taylor is one of the most
influential management theories used by business organisations all across the globe.
Factors which impact group and team behaviours
Link between motivation, perception and organisational performance
CONCLUSION
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REFERENCES
Books and Journals
Le Coze, J.C., 2020. Hopkins' view of structure and culture (one step closer to strategy). Safety
science, 122, p.104541.
Stalph, F., 2020. Evolving data teams: Tensions between organisational structure and
professional subculture. Big Data & Society, 7(1), p.2053951720919964.
Sepulveda, L., Lyon, F. and Vickers, I., 2020. Implementing democratic governance and
ownership: the interplay of structure and culture in public service social
enterprises. VOLUNTAS: International Journal of Voluntary and Nonprofit
Organizations, pp.1-15.
Reino, A., Rõigas, K. and Müürsepp, M., 2020. Connections between organisational culture and
financial performance in Estonian service and production companies. Baltic Journal of
Management.
Yang, J. and Cheng, Q., 2020. The impact of organisational resilience on construction project
success: evidence from large-scale construction in China. Journal of Civil Engineering
and Management, 26(8), pp.775-788.
Vnoučková, L. and Urbancová, H., 2020. Setting Organisational Culture to Develop Potential
and Innovativeness. Quality Innovation Prosperity, 24(1), pp.54-68.
Yabarow, M.M. and Muathe, S.M., 2020. Organisational Structure and Strategy Implementation:
Empirical Evidence from Oil Marketing Companies in Kenya. International Journal of
Management and Applied Research, 7(1), pp.42-54.
Umar, M., Wilson, M. and Heyl, J., 2021. The structure of knowledge management in inter-
organisational exchanges for resilient supply chains. Journal of Knowledge Management.
Hernaus, T., Sitar, A.S. and Mirić, A.A., 2020. Futuristic Organisational Design: The Role of
Technological Imperative in Defining the Changing Nature of Structure, Coordination
and People Practices. In Human & Technological Resource Management (HTRM): New
Insights into Revolution 4.0. Emerald Publishing Limited.
Online
adidas Group AG - Company Profile, Information, Business Description, History, Background
Information on adidas Group AG. 2021. [Online]. Available
throughhttps://www.referenceforbusiness.com/history2/99/adidas-Group-AG.html
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