Importance of Organisational Design Theory in HR

Human Resource Value

Table of Contents
INTRODUCTION...........................................................................................................................1
Task 1...............................................................................................................................................1
P1 Importance of organisational design theory ..........................................................................1
Task 2...............................................................................................................................................4
P2 Approaches and techniques used for attracting, maintaining, developing and rewarding
human resources...........................................................................................................................4
Task 3...............................................................................................................................................6
P3 Research and use contemporary knowledge to support evidence for emerging HR
developments ..............................................................................................................................6
Task 4 ..............................................................................................................................................7
P4 Organisational design has to respond and adapt to change management and relationship ...7
CONCLUSION................................................................................................................................8
REFERENCES..............................................................................................................................10

INTRODUCTION
Human resource is the main department of organisation who manages all functions and
activities effectively in order to run a business and increase profitability. In organisation number
of employees works together for the betterment of organisation as well as themselves. The main
aim of HR department is to understand the needs and wants of people and provide them products
and services so they can be satisfied and feel happy (Amankwah-Amoah, 2016). To understand
about this Aston Martin has selected that is luxury sports cars and grand tourers which was
founded in 1913 by Lionel Martin and Robert Bamford. Different topics are discussed in this
report such as importance of organisation design theory, different approaches and techniques
used for attracting and maintaining human resource to create skilled and dedicated workforce,
research and use of contemporary knowledge to support evidence and design of organisation that
has to respond and adopt to change management.
Task 1
P1 Importance of organisational design theory
HR is the valuable department in all organisation that contribute in success and
profitability by running all activities effectively. In Aston Martin, HR is playing important role
and responsibilities by understanding employees needs and make feel them good. The
organisational design theory in context to chosen organisation are as defined:
Organisational design theory – The design theory to organisation is considered as a
framework which is used for the purpose of running a business and structuring the hierarchy of
management in company. In other words, organisational design is the way in which a company
structured and operated by people. The organisational design of Aston Martin is in hierarchical
form where rules and regulations are formulated and implemented by HR manager in order to
run their business effectively. In this form superior and subordinates coordinate with each other
and share the information which is related to business. The main target of organisation is to
increase the profitability and execute operations independently. This assist HR management to
identify the dysfunctional aspects, procedures, system and structures of workflow that helps to
maintain the productivity (Bradford, Guzmán and Trujillo, 2017).
Importance of organisational design theory – The design theory in relation to
organisation is considered as a step by step methodology which is used to identify dysfunctional

aspects of work flow, procedures, systems etc. that helps to implement the changes efficiently. In
context to Aston Martin design theory is important that can help to meet with long term goals
and strategy effectively. If organisation have good design and attractive structure then people get
ready to work easily and accept the challenges in order to increase the profitability.
The importance of design theory are as defined:
Dealing with contingencies – Contingency can be defined as event that can occur at any
time without any expectations in organisation. It is the duty of management to plan properly and
meet with contingencies that can change the business environment. Design of company states
that how efficiently management control various factors in environment. The design of Aston
Martin is highly attractive and managers are capable to plans for contingencies that help to run a
business continuously. Herein, HR manager have ability to attract skilled employees, permanent
customers and government contracts. It manage all environmental factor that can impact on
business (Importance of organisational design, 2019).
Competitive advantages – In competitive time, all organisation wants to design their
structure in a way where it can get maximum sustainable advantages and increase profitability.
Competition allow a company to develop a proper business strategy to out perform competitors
by offering quality of products and services. In Aston Martin, managers make solid business
strategy in which they offer better quality of sports cars with new features that attracts customers
and increase competitive advantages (Wang, Cooke and Huang, 2014).
Diversity in workforce – Workforce is the main element of organisation who contributes
in organisational activities together with HR that increases value and productivity. For running a
business effectively there is need to skilled and diversified employees who get ready to work in
challenging situation. This is also important for Aston Martin to make plans in advance for
accepting the changes with the help of diversify employees. This helps to increase the
organisational effectiveness (Mabasa and Ngirande, 2015).
Improvement in communication – The design of organisation should be effective so
employers feel free to share the information that can help to work efficiently. In Aston Martin,
design is important as having effective design help to communicate properly between employer
and employees. It helps to increase the productivity and profitability effectively.
The theories and model used in design related to organisation that are as defined: