Evaluation of managerial style, structure and culture of British Airways
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This report evaluates the effectiveness of the managerial style of the CEO of British Airways using the Hersey-Blanchard model, assesses the current structure and culture of the organization, examines entrepreneurial strategies and corporate governance policies to enhance organizational effectiveness, and more.
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Contents INTRODUCTION...........................................................................................................................3 Issues within British Airways......................................................................................................3 TASK A...........................................................................................................................................3 Evaluation of effectiveness of managerial style of CEO of British Airways using relevant model............................................................................................................................................3 TASK B...........................................................................................................................................5 Assess current structure and culture of organisation as well as CEO role impact in creating.....5 TASK C...........................................................................................................................................6 Explanationofentrepreneurialstrategiesandcorporategovernancepoliciestoenhance organisational effectiveness.........................................................................................................6 TASK D...........................................................................................................................................7 Examination of effects of power, influence and conflict resolutions to manage change............7 TASK E............................................................................................................................................8 Differential types of motivational strategies and their influence on performance of employees8 TASK F...........................................................................................................................................9 Appropriate corporate example and literature for justifying research.........................................9 TASK G...........................................................................................................................................9 Suggestions and recommendations for improving organisational performance.........................9 CONCLUSION..............................................................................................................................10 REFERENCES..............................................................................................................................12
INTRODUCTION Organisational theory is the study of structure, culture and operations of enterprises which analyse the productivity as well as performances of its workforce. It comprises set of conceptsandtheoriesthatareinterlinkedwithoneanother.Extensiveunderstandingof organisational theories help managers and leaders to decide which approach to undertake that will result in maximum output and profitability(Balan, Maritz and McKinlay, 2017).In addition to that, it is the involvement of individuals goals with company's objectives and their relationship with each other. For this report, the chosen company is British Airways which is an airline organisation in UK founded in 1919. Its headquarter is in London and it is second biggest carrier in UK. This report covers effectiveness of leadership style through various models. It assess structure and culture of organisation as well as examine entrepreneurial strategies followed by CEO. It highlights effects of power, influence and conflict resolution at company by CEO in managing change. Issues within British Airways With the beginning of global pandemic, British Airways have started to face various challenges. Those issues have adversely impacted the profitability of company as they have to follow guidelines for Covid made by government. The management is also going through some conflicts with both UK government and its employees. British Airways are facing many technical issues which leads to cancellation of many of its flights. Parent company of British Airways implemented restructuring program which results in 12000 redundancies. Staff of firm faced the threat of big pay cuts as the result of Covid impact on business. TASK A Evaluation of effectiveness of managerial style of CEO of British Airways using relevant model Leadership style can be understood as a characteristics and behaviour of leaders while managing, motivating and directing their team members or followers. Differential leaders adopt various styles in accordance with maturity level, understanding, knowledge and position of their employees(Belzand Binder, 2017).Numerous leaders use transformation leadership style whereby a combination of different styles such as coaching, democratic and visionary are applied by managers for leading their team in an effective manner. For better understanding of chosen
leadership style of CEO Sean Doyle of British Airways, Hersey-Blanchard model is taken into consideration. Hersey-Blanchard modelis a branch of contingency leadership theory which states that leaders should adopt those managerial style which best suits maturity level of their employees. For instance, if maturity level of a employee is high, then leaser can provide them little guidance as compared to those who have low level of understanding. This help a leader in convincing the employees to put their efforts for attainment of organisational goals and objectives. Leadership styles that are discussed through Hersey-Blanchard model in relevance with British Airways are discussed below:Delegating leadership style-Here, leaders do not tend to make relations with their team members and delegate them authority as well as responsibility for the decision they have made. This leadership style suited to those followers who are belong to the category of high maturity(BourneMelnyk and Bititci,2018).Sean Doyle adopt this leadership style for those employees who are highly matured and understand their responsibilities well. Basically, this is applied to high level of managers of British Airways.Participating leadership style- Under this style, leaders maintain a strong relationship with their team members and ask them to share their ideas as well as suggestions. This leadership style suited for those employees who have moderate level of maturity. These employees are experienced one but they lack the confidence while performing a assigned task.Doyleapplythisleadershipstyletoexperiencedemployeeswhohavelack confidence in taking decision in an effective manner.Selling leadership style-Here, a leader has to execute its excellent leadership style as he has to persuade his followers or team members to perform a task in an effective and rational manner(Crecente, Sarabia and del Val,2021).This leadership style is best suited for those employees who have the capability of performing a task but are unwilling to do it. Sean Doyle has adopted this leadership style for those capable employees who perform unwillingly. This is done by Doyle by motivating them with monetary or non- monetary rewards. Telling leadership style– Under this leadership style, a leader is tend to give extensive directions to their team members as well as has to supervise their work by keeping a close check. This is best suited for employees of low maturity level. Doyle apply this
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leadership style by keeping a close check on the performance of employees who are belong to low maturity level. Sean Doyle has adopted various leadership style in order to manage, motivate and encourage their differential employees in an effective manner. TASK B Assess current structure and culture of organisation as well as CEO role impact in creating The outlined set of practices and principles that provides employees structure on how company works is referred as organisational structure. Roles, duties and responsibilities of every employee and management are also part of structure which helps in mitigating overlapping of work. An organisation has various department concerned with many areas like human resources, marketing, sales etc. thus structure provides easy and smooth flow of communication between those departments. Several kind of organisational structure with reference to British Airways are described underneath:ï‚·Functionalstructure- This structure facilitates organisations to determine certain roles and duties for specified groups which acts as one team. Organisation is divided into variouspartsandallpartslookafteronlytheiractivitiesforinstancemarketing departmentundertakesallpromotionalactivitiesofbusiness,humanresources management is responsible to hire and develop employees etc(Garrett and Welcher, 2018).It is beneficial for firms as every member of organisation understands their duties which maximises productivity.ï‚·Divisionalstructure- Within this structure, different teams of organisation works with each other to attain certain goal of company. Each department is headed by a manager whose duty is to look after their team member and to motivate them. It is beneficial for organisations as it results in more centralised kind of leadership in management.ï‚·Flatarchy- This type of structure follows no management or hierarchy as it employs only one manager over whole staff(Hsieh and Wu, 2019).This is beneficial for organisation as it saves time and cost of management as well as boosts smooth communication. ï‚·Matrix- In this structure, whole organisation is divided into two parts who report to their assignedmanagers.Itisbeneficialfororganisationsasitaimsatsimplifying communication and decision making process.
British Airways followed divisional structure where it distributes firm in two teams namely customer operation executive and management board. Customer operations executives are responsible to offer quality services to its customers and follow up on their reviews as well as feedback(Jamil and Berwanger, 2019).Likewise, management board's duty is to make strategic decisions on weekly basis about company's operations. Set of values, expectations and beliefs of organisations that act as guide for employees is known as organisational culture. Handy's culture model describes organisational culture through various measures. Factors of this model in context of British Airways are explained below:ï‚·Power- It means that full control and power remains in hands of decisions makers of organisation and they make plan without considering opinions of employees. British Airways does not follow this structure as they take many suggestions from their employees.ï‚·Task- This culture facilitates organisation to make teams on basis of their skills, interests and expertise so that they can achieve maximum efficiency. This culture can be followed by big firms as they need to provide every employees with certain duty that can collectively attain organisational goals.ï‚·Person- In this culture, preference is given to persons instead of organisation goals. British Airways does not follow this culture as there major priority is to achieve determined company's objectives with help of its employees. ï‚·Role- Within this culture, company assigns various tasks to its staff according to their skills and expertise(CJohnston, 2020).British Airways adopts this culture as it assists them to enhance performances of employees which increases productivity of firm. TASK C Explanationofentrepreneurialstrategiesandcorporategovernancepoliciestoenhance organisational effectiveness Entrepreneurial strategy are the mediums through which a company establishes and re establishes their communication with macro environment. This also provides measures to create, modifyorcommencebusinessactivitiesforpurposeofincreasingprofitability.Ithelps organisations as it gives them an outline to analyse purposes and motives behind their objectives.
British Airways CEO provides strategic standards for development of enterprise which will further help in maintaining efficiency in operations. Practices by which companies are guided and controlled to remain rightful in law eyes are known as corporate governance. It is a group of rules, policies and regulations that prescribe system of how managers will undertake operations of company. It consist principles of opacity, answerability and safety(Kickul and Lyons,2020).According to corporate governance, board of directors are accountable to govern management, shareholders and workforce. It represents major factors that enhance economic efficiency, growth and revenue which further boost trust of investors in company. Higher level management of British Airways adopts various corporate governance policies in order to keep its stakeholders satisfied. Several corporate governance policies in relation with British Airways are as follows:ï‚·Hygiene- Management of British Airways have appointed proper sanitation workers whose responsibility is to clean flights and airport area to maintain hygiene level. The department of hygiene used HEPA technique to get rid of any microscopic bacteria and viruses.British Airways puts great importance on their customers and treat them as their stakeholders. They provide excellent services to customers and take effective care of them so they do not face any problem in their journey. ï‚·Follow all regulations- After Covid, British Airways have to undertake many changes in its operations to comply with regulations made by government. They make required alternations in management to effectively serve to its customers(Kreiser and Et. Al., 2021).In airport premises, management maintain social distancing and provide sanitisers at every step. The process of baggage collection and delivering has also modified due to pandemic. TASK D Examination of effects of power, influence and conflict resolutions to manage change Change management is the process of implementing modifications in organisations to increase efficiency. These changes can bebring in both internal or external environment of business as it focuses on guiding the navigation process effectively so that changes are accepted fully by workforce. Lewin model of change management is been applied to understand change management in British Airways. Analyse of model in relevance to British Airways is as follows:
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Unfreezing- In this step, employees are advised to forget about their past experiences or unfreezethemtoensurethattheyadoptnewchangeseffectively.Generally,employees resistance to any changes proposed by organisation as they were familiar with their work. Employees of British Airways refuse to accept abrupt changes implemented by management due to Covid(McAdam, Miller and McSorley, 2019).This resistance results in hampering efficiency and performances of company as they struggle to deal with changes. Changing- In this level, workforce of enterprises take decisions together to implement new changes in their day to day working. They come out of their comfort zone and unfreeze their past experience. At this phase, employees understands the cause behind changes proposed by organisation. Their attitude, demeanour and perception started to change as they adopt new changes.WithinBritishAirways,employeesslowlybuteventuallybecameflexiblewith alternations made by management to comply with Covid protocols. Refreezing- In this stage, the changed behaviours of employees become solidifying and they work with their full potential to give expected outcomes. Change accepted by employees effectively is supported with appreciation or reward by company(Mckeown,2019).British Airways management encourages its employees to stick with the changes to ensure long term profitability. TASK E Differential types of motivational strategies and their influence on performance of employees Motivation can be described as a guiding force which helps in turning individual's thoughts into actions on a immediate basis. Motivational strategies can be described as influence which are exerted consciously for attaining systematic as well as enduring effect in a positive manner. Motivated workforce assists in increasing commitment of employees, job satisfaction and efficacy in performed tasks at the workplace(Sahut,Iandoli, Teulon, 2021).For have a better understanding of motivational strategies adopted by British Airways for motivating their employees, Herzberg two factor theory is taken into consideration. Herzberg two factor theory is considered as a powerful motivator tool for motivating employees at workplace which helps them to feel directed for achieving the pre-determined goals and objectives. Herzberg and his team interviewed numerous employees in order to investigate
the areas regarding job satisfaction and dissatisfaction. Elements of Herzberg two factor theory in relevance with British Airways are mentioned below:ï‚·Hygiene factors-These forces are believed to be crucial for employees at the workplace as it tends to satisfy their basic needs such as pay, security, transparent operations, compensationbenefits,comfortableworkingenvironmentandmanymore.Top management of British Airways offer competitive salary to their employees as well as opportunitiesfortheirdevelopment.Employeesarealsoprovidedon-sitecatering services as well as free leisure activities. They are also provided with life insurance and other related benefits for personal and family use(Salt, 2018).These all benefits motivate and engage them to British Airways for a longer period of time. ï‚·Motivators- These are considered as a key elements which help employees to grow and grabdevelopmentopportunitiesforfeelinghighlysatisfied.Theseencompasses recognition, personal development, status, interpersonal relationships and many more. Strategists at British Airways frame motivational strategies for their employees which provides them enough space for building and maintaining interpersonal relations in a strategic manner. Employees are provides with flexible working hours in order to balance their work and life in an effective manner(Wagner,2017).They also provided with efficient retirement and pension plans that help them to develop in a job in a signifiant manner. They are also provided with opportunities to grow and timely promotions. These motivational strategies assist employees to remain satisfied with their employer and improve their performance level. This also managers to keep their employees satisfied and valued. TASK F Appropriate corporate example and literature for justifying research British Airways is going through several issues and challenges in their operations as a result of Covid-19 pandemic. Their information technology failure resulting in cancellation of many flights causes heavy inconvenience to its customers. This adversely affect brand position and value in market. Pandemic forces them to fire many of its staff members which leads to great shortage of qualified workforce. Many countries closes their boundaries which adversely impacts
British Airways revenues. Cyberattacks and flight cancellations were not one huge issues faced by the organisation. TASK G Suggestions and recommendations for improving organisational performance ItissuggestedthatthemanageroftheBritishAirwayscanusemultipleteam management and motivation theory to encourage the employees to work with their full efforts to increasing the productivity and profitability of the company. They can use also various incentive techniques to fulfil the demand of employees to they create feeling to be valued in the company and increase their effortsfor their personal and organisationgrowth. By using effective communication methods and mode the manager can share important information directly to the potential employees for urgent and effective work. They can also use effective team management policies to make different group for many task with the same skills and knowledge for better understanding as well as seem less working. The management of British Airways can make easy and clear rule or polices of the working of the employees so they can get clear understanding about the role of their and task for conducting efficient working. By motivating them to provide better work place and environment which create confidence among employees to take initiate to lead the task with their own ideas in order to achieve organisation gaols effectively. The manager can also conduct get together programme for employees so they know better about the values, mindset, background, skills and weakness of other department employees to develop better relationship and coordination to work as a team for the achievement of goals. They can also useeffective communication mode such as by sending message through e mail direct to the employees regarding modified policies and technologies for the effective performance. Also, the employees can share their problems and issuesrelatedtotask,workingandenvironmentwhichdeclinetheproductivityoftheir performance to the management for quick solutions. The manager can consult the leaders about the needs of training for improve the performance of employees. The manager can conduct training and development program as per the needs of employees to improve specific skills to perform the specific task in order to complete the target on time. By conducting seminars, conference, work shops they can provide training to the many
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employees according to their current skills, knowledge and understanding so they easily adopt the changes in their current working in increase the quality of product and services. CONCLUSION As per the above presented information, it is concluded that the theory of organisation is interlinked with the procedure, rules, policies and practices to analyses the performance of multiple departmental activities. The managers of organisation use the delegating leadership style to delegate the responsibility and power to employees as per their job role to achieve the target of task in effective manner. By using effective team management theory the manager can motivate employees to work as a team as well as improve overall productivity of the company. By providing effective training programme to the employees to improve their current skills and knowledge for the growth of the business and meet the demand of the customers.
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