Table of Contents INTRODUCTION...........................................................................................................................1 PROJECT 2......................................................................................................................................1 1. Factors influencing institute to restructure the organization and......................................1 2.Uncertaintiesintroducedbychangingexternalenvironmentandappropriate recommendation to uncertainties............................................................................................2 3. Impact of change in the organizational culture on the performance of the ETI.................3 4. Effective tactics for enhancing collaboration between individuals and groups and long term strategy to resolve the problem...............................................................................................4 CONCLUSION................................................................................................................................5 REFERENCES................................................................................................................................6
INTRODUCTION This study highlights the factors which influence the Education and Training Institute Ltd (ETI) to restructure the organization and analyse the challenges faced by the organization in restructuring process (Barry, 2017). This study also analyses the uncertainties faced by institute duetochangingexternalenvironmentandincludesnecessaryrecommendationtothe uncertainties. Furthermore, this study also highlights how change in the organizational culture impact the performance of institute. It also includes effective tactics for building relationship between individuals and groups and evaluate long term strategy for effective working of organization. PROJECT 2 1. Factors influencing institute to restructure the organization and Education and training institute Ltd is a London based training institute which aims to provide high quality education and training and offers around 30 long term and short term courses. Factors influencing institute to restructure the organization. Institute aimed at expanding the business to diversify the scope of area by offering large range of courses which will help in growth and success of the business. Institute function under organic design which lack written rules and regulations which leads to lower productivity and efficiency at workplace (Argenti, 2018). Organization had loose hierarchical structure which leads to ineffective decision making and lower profitability. This also hampers the growth of the organization which leads to lower operational efficiency and productivity. Institute aims to build strong organizational structure which leads to achieve goals and objective of the organization effectively by effectively implementing strategic plans which are beneficial for the growth and expansion of the company. Challenges faced in restructuring process. Restructuring of the organization was a major challenge for the organization. Institute aimed at shifting its focus from organic design to mechanic design which leads to strong operational efficiency. Implementation of strategic and operational plan:Institute faced major challenges in implementing various strategic and operational plans which were necessary for the growth of an organization which eventually hamper the productivity of institute. 1
Miscommunication:Restructuring in the organization leads to increase communication gap among the management and individuals in an organization which eventually lowers the productivity (Schaltegger, Burritt and Petersen, 2017). Inefficiency in implementing project on time:Management of the organization delays in implementing important plan or projects which leads to inefficiency in completing work on a timely manner. Unstructured hierarchical structure and undefined roles:Overlapping of roles in an organization leads to increase conflict within the organization which leads to poor coordination and disagreements within various department at workplace. Timeconsuming:Restructuringprocesswastimeconsumingwhichdeviates managementfromfocusingoncoreprojectwhichareimportantforgrowthof organization. Mismanagementandchaosinorganization:Restructuringprocessposesmajor challenge on the working of organization which led to increase in frustration and chaos and lower efficiency of work (Erasmus, Strydom and Rudansky-Kloppers, 2016). 2. Uncertainties introduced by changing external environment and appropriate recommendation to uncertainties. External environment consist of all those factors which are outside the control of the organizationandinfluencesbusinessoperations.Environmentaluncertaintymeansthat organizational lacks factual and conceptual information which are necessary for the growth of the organization. Competitive factors:Large number of new and powerful competitors are entering into the market in the same industry. This leads to lower market share and increased competition. Recommendation: Institute need to focus on its core activities and improvise the quality of its services by implementing new strategic plans which help them maintain a competitive edge in the market. They should also focus on maintaining relationship with its trainees to enhance their customerbasewhicheventuallyincreasesproductivityandprofitabilityofthecompany (Chandler, 2017). 2
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Political factors:Government enforce various policies and regulations which are to be followed by organization. ETI expands its business by creating various new departments whichleadstoimplementationofvariouslawsandprocedureaccordingtothe department.Thiscreatesconflictamongemployeesofthecompanyandreduces productivity. This leads to improper decision making and negotiating and bargaining plays a key role in the industry. Recommendation:Managementoftheorganizationshouldworkincompliancewiththe standard rules and procedures enforced by government by setting defined lines of command which leads to smooth working in the organization. Technological factors: Technology is changing at a faster pace which means that it can become obsolete very fast (Pearson, 2016). Instructors or trainees of the institute may face problem in adapting to new technological change which lowers the productivity and performance of the individuals. Recommendation: Institute should adapt to new technological changes like robust and advanced information technology to maintain competitive edge in the market. Management team should conduct various training programs to enhance the skills and knowledge of employees. Legal factors: Institute has expanded business by creating new departments which leads to unstructured business hierarchical department and non-compliance with law. Recommendation: Management should adhere to various laws enforced by government on different departmental structure (Corfield and Paton, 2016). They should meet in regulation with national standards which leads to smooth working of organization according to the legal laws and terms. 3. Impact of change in the organizational culture on the performance of the ETI. Organizational culture consists of employees with different sets of beliefs, attitude, values,personalityandassumptions.Organizationalcultureisasignificantfactorwhich influences the performance of the ETI. Value based leadership theory: ETI maintains high degree of professionalism with strong uphold values like transparency, morality, gratitude, mutual respect, honesty and integrity.Management and leaders of the organization motivate employees to work in uniformityandbuildstrongrelationshipbetweenemployerandemployeewhich enhances operational efficiency of institute. ETI focuses on strengthening organizational 3
values by implementing value based leadership strategy which leads to build level of trust and enthusiasm among employees. Clan culture:ETI improve the performance of the organization by implementing clan culture which helps create sense of belonging and responsibility in the institute and also achieve organizational goal effectively and efficiently. This culture lowers employee turnoverratioandhelpsretainproductiveemployeesintheorganizationwhich ultimately increases performance of ETI. Employees in the organization are treated with respect which increases employees commitment and engagement towards work and drives productivity in the organization (Young and Ghoshal, 2016). Bureaucraticculture:Implementationofvariousorganizationalcultureinthe organization hampers the performance of the employees. Management of ETI enforces bureaucratic culture which leads to negative impact on institute as it reduces employee involvement and shifts its focus on implementing new process and protocols. Employees feel demotivated and takes time to adapt to new changes in organization which lowers the performance and productivity of employees. 4. Effective tactics for enhancing collaboration between individuals and groups and long term strategy to resolve the problem. Effectivecollaborationbetweenindividualsintheorganizationhelpsattain organizational goal effectively and efficiently. ETI aims at implementing various tactics at the institute for enhancing relationship and cooperation between individuals and groups in the organization (Samson, Donnet and Daft, 2018). This reduces conflict and confusion in the organization and attain roles and responsibilities effectively. Clearcommunication:Informationshouldbesharedbythemanagementtoits subordinates in a clear and transparent manner. It also helps in addressing important information quickly. There should not be any wrong misinterpretation of the message and should be decoded effectively. This helps in clearly stating goals to employees which helps in increased performance and coordination among individuals and group of the ETI. Establish trust: Building trust among individuals and groups help establish sense of commitment towards work and increases credibility and reliability of employees at 4
workplace.Thisincreasemotivationofemployeesandcommitmenttowardsthe organization. Clarify decision making authority: Individuals and group in the organization should be clearly guided with the task and roles which they have to perform (Gomes, Barnes and Mahmood, 2016). This helps in clarifying their roles which helps in strong hierarchical and committee structure. This reduces overlapping of work which eventually increases performance of individual and group. Long-term strategy ETI should focus on strengthening internal design of organization and should focus on building strong ethical organizational culture which increases employee motivation which leads to higher productivity and efficiency. There should be formalized organizational structure where employees perform their roles effectively. ETI should adapt to new technological changes like robust and advanced information technology which increases operational efficiency and productivity (Volery and Mazzarol, 2015). Proper training should be given to employees for effective use of technology at institute. CONCLUSION From the above study it has been summarized that ETI aimed at expanding the business whichfocusesonrestructuringorganizationforincreasedproductivityandprofitability. Variousrecommendationstochallengeslikemiscommunication,unstructuredhierarchical structure, time consuming process, chaos were taken effectively by improvising committee and setting various rules, procedure and standard for attaining organizational efficiency. It also concludes that ETI is affected by various external factors like political, legal, technological and competition. Organization aimed at effective decisionmaking and increase quality by developing various strategies and theories. Furthermore, it states that implementation of various organizational culture lowers productivity. ETI aims to maintain efficiency of organization by implementing ethical and value based theory and clan theory for increased performance. Lastly, it states various tactics and recommendation for attaining long term objective of organization. 5
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