Transforming Business Operations

The assignment delves into the complexities of transforming business operations, highlighting the paradoxical needs businesses face. It analyzes historical examples like Fordism and Toyotism to illustrate how focusing on a single objective can create conflicts with other business goals. The importance of balancing objectives and achieving economies of scale and scope is emphasized for effective organizational development and market competitiveness.

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Foundation of
Business

Table of Contents
1...................................................................................................................................................3
2...................................................................................................................................................3
3...................................................................................................................................................4
4...................................................................................................................................................5
REFERENCES................................................................................................................................7
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1
Organization is a social gathering which provides an effective platform for the attaining
the corporate objectives through optimum utilization of physical, financial and human resources.
Managerial ideology plays a significant role in attaining the set objectives of the company. The
chapter discusses the concept of managerial ideologies in the section to clearly portray the
impact of management on employee performance and contribution in the business (Hatch and
Cunliffe, 2013). The historical approach of factory system helped in developing a well defined
overview of employee management issues faced by the businesses and approaches adopted by
the businesses for the same.
The managerial ideologies in the industrial era focused on attaining maximum output
from the employees and for attaining the same management of the company developed a formal
system for the employees. The evaluation stated that the stated era led the basic foundation of
formal working structure in the organizations. The managerial ideologies in the era reflected that
employees were the organizational resources and were used to attain maximum outcome for
business development (Scott and Davis, 2015). Bendix however evaluated that resistance of
employees and cultural restrictions were the major issues which created a significant resistance
for the staff which submerged the level of expected output. It was evaluated that major issues
faced by the organizations were related to culture differences and employee resistance. These
aspects as per the author could be molded by understanding the needs of employees and
changing the managerial perspective to ensure employee motivation. The author thus analyzed
that changing management perspective as per the needs and demands of the employees would
enhance the employee performance in a significant manner (Watson, 2013). Morgan’s metaphor
of organization and the change flux effectively reflect the Bendix ideology for management. This
laid an effective and well defined foundation for organizational theory in the business.
2
Bureaucratic approach is one of the classic measure adopted by the business unit in order
to create a significant and well defined growth aspects for the business. The stated approach
developed a structured aspect to carry out the business operations and attain organizational
growth. It developed a well defined base of roles and responsibilities for the employees involved
(Anheier, 2014). The application of the stated approach in the current business scenario is
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however highly ineffective. It has been analyzed Bureaucratic approach has significant obstacles
attached in making effective decision making process in the organizations. Rigidity of the
approach is one of the major factor which makes it ineffective for making effective and well
defined decisions. The formal structure is rigid and has a rigid set of roles and responsibilities
for the employees. This structure develops a significant layer which restricts communication
system of the business. Flexibility in order to deal with contingent situation is a significant and
most crucial need of the business unit in order to enhance quick and effective decisions however
bureaucratic approach lacks the same. In addition the stated process restricts the effective
mobilization of knowledge in the business. This aspect has an ineffective impact on overall
business growth and development in the competitive era. Moreover effective decision making
can be significantly affected by the same (Anheier, 2014). It has been analyzed that well defined
decision making aspect of the business is a challenging aspect for the companies. However
making restrictive knowledge may lead to ineffective consequences for the business unit which
has negative impact on business growth and development for the organization. Lastly
bureaucratic approach has limits the information flow within the business in an effective manner.
Due to a rigid structure flow of vital information is highly restricted for the business unit which
may result in reducing the efficiency in the decision make process of the firm. Hence it can be
said that though bureaucratic approach helped in developing a well defined aspect of formal
system of business management however the application of the stated process has become
obsolete for current business needs (Dioguardi, 2010).
3
Barnard gave an effective theoretical perspective regarding common moral purpose of the
business which helps the company in attaining effective and well defined business objectives.
The analysis of the theory regarding internal and external perspective factors is valid significant
for every business unit to understand. As per the theory a business unit must invest effective time
and resources to maintain the balance between the employee needs and demands in the market.
Evaluation of employee need is significant for business growth and development. This helps the
company in creating a well defined and high impact on organizational development (Elger and
Smith, 2010). The analysis of the evaluation reveals that the tension between employee internal
and external needs must effectively determine and attained. The moral purpose thus focuses on
an approach of attaining the common objectives of the firms. However it has been analyzed that
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business objectives are the broader perspective analyzing individual needs of the business unit a
challenging business aspect this results in focusing on effective output to employees by
developing effective motivational techniques. As per the theory a business unit must invest
effective time and resources to maintain the balance between the employee needs and demands
in the market. The motivational techniques such as financial benefits, fringe benefits etc are
effective adopted by the approach (Scott and Davis, 2015). Author mentioned that company must
adopted non financial measures such as promotion, increment in business growth. Thus it can be
clearly analyzed that application of the stated model is a difficult task for the present file. This
creates an ineffective business growth impact on every organizational aspect within the market.
the common moral value is an effective theoretical aspect of the business however implementing
it in actual business performance is significantly difficult task for the business.
4
The organizational process has transformed widely from a rigid formal structure to
current flexible means of working (Bezzina and Burford, 2010). The transformational process of
the business always poses a significant challenge for the business operations and improvements
as well. Different paradoxical needs has been analyzed and adopted by different firms in the
market. Case of Fordism has reflected that non transformation made the business uncompetitive
within the market as it faced significant market competition from the small businesses. The
company transformed the business operations in order to manage its competitive position in the
market. this helped the business unit in developing a significant and well defined impact on the
growth and development of the company (Bosco and et.al., 2010). The business objective of the
company was to enhance the quality aspects however single focus lead to increase the overhead
business cost which again effected the overall business operations. The evaluation of the same
revealed that the business objectives of the company demanded multiple factors to manage the
market competitiveness. Economies of scale and scope are few common attributes which a
business demands in order to meet effective and well defined growth measures in the market. It
has been analysed that businesses adopt the process to focus on one business objective which
creates a conflit between the other objectives. For example Foirdism focused on producing
standard product of high quality which increased the cost of the business. This aspect created an
insignificant business impact on the organization however adopting of lean management system
by Toyota led to effective and significant results (Etzioni, 2010). Thus it can be analyzed that
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managing balance between different organizational objectives is significant for the business. A
company must seek fro the equilibrium position which may lead to economies of scale and
scope. Every demand of the business unit means a competitive edge in the market.
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REFERENCES
Alvesson, M. and Willmott, H., 2012. Making sense of management: A critical introduction.
Sage.
Anheier, H.K., 2014. Nonprofit organizations: Theory, management, policy. Routledge.
Bezzina, M. and Burford, C., 2010. Leaders transforming learning and learners: An Australian
innovation in leadership, learning and moral purpose. Global perspectives on educational
leadership reform: The development and preparation of leaders of learning and learners
of leadership, pp.265-285.
Bosco, S.M., Melchar, D.E., Beauvais, L.L. and Desplaces, D.E., 2010. Teaching business
ethics: The effectiveness of common pedagogical practices in developing students’ moral
judgment competence. Ethics and Education, 5(3), pp.263-280.
Dioguardi, G., 2010. The Production Pole: From Fordism to Toyotism. In Network
Enterprises (pp. 51-59). Springer New York.
Etzioni, A., 2010. Moral dimension: Toward a new economics. Simon and Schuster.
Hatch, M.J. and Cunliffe, A.L., 2013. Organization theory: modern, symbolic and postmodern
perspectives. Oxford university press.
Scott, W.R. and Davis, G.F., 2015. Organizations and organizing: Rational, natural and open
systems perspectives. Routledge.
Watson, T., 2013. Management, organisation and employment strategy: New directions in theory
and practice. Routledge.
Elger, T. and Smith, C. eds., 2010. Global japanization?: the transnational transformation of the
labour process. Routledge.
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