This document discusses the various factors that play major roles in the development of Shell Canada in the given markets. It covers topics such as SWOT analysis, environmental constraints, stakeholders, organizational structure, motivating employees, recommendations, and controls.
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Running head: INTRODUCTION TO MANAGEMENT INTRODUCTION TO MANAGEMENT Name of the Student Name of the University Author Note
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1INTRODUCTION TO MANAGEMENT Table of Contents Summary..............................................................................................................................2 SWOT – Formulating Strategies.........................................................................................3 Environmental Constraints..................................................................................................3 Stakeholders.........................................................................................................................4 Organizational Structure and Design...................................................................................4 Motivating Employees.........................................................................................................6 Recommendations................................................................................................................6 Controls................................................................................................................................7 References............................................................................................................................8
2INTRODUCTION TO MANAGEMENT Summary Shell Canada is one of the major subsidiaries of the British-Dutch company, Royal Dutch Shell. The parent company is a well-known name in the oil and gas industry present all over the world. The company in discussion is one of the largest integrated companies in the Canadian territories that deal with the oil products. The company was founded in the year 1911 (Shell.ca., 2019). The major functions that are maintained by the organization include the exploration as well as the production of sulphur, natural gas and oil. The company is also known for the activities related to the marketing of the several oil and gas products like gasoline. The company in discussion, Shell Canada, is known to have been operating through over 1800 gas stations all over the country (Shell.ca., 2019). The company is known to have been employing over 4000 employees all over the Canadian territories (Shell.ca., 2019). The company is known to have earned a revenue of around 305,179 million dollars in the year 2017 (Shell.ca., 2019). The following paper attempts to discuss the various factors that play major roles in the development of the company in the given markets. The paper opens with the discussion on the findings of the SWOT analysis on the company. The paper proceeds to discuss the constraints within the environment that affect the company. The paper thereafter discusses the stakeholders of the organization followed by a discussion on the organizational structure that is maintained by the organization. The paper further sheds light on the various stakeholders of the organization as well as discusses the organizational structure and design followed by Shell Canada Limited. The paper then discusses the various motivational factors that are extended by the company towards the employees. The paper nears a conclusion with certain recommendations that would help improve the issues faced by Shell Canada Limited. The paper ends with the discussion on the various control measures that are maintained by the company.
3INTRODUCTION TO MANAGEMENT SWOT – Formulating Strategies The major strengths of the company lie in the huge presence of the company in the sector of the oil and gas. The strengths of the company are revealed through the adaptability of the company in the given markets. The major weakness of Shell Canada lies in the fact that the company does not implement the ethical practices within the various operations as are maintained by the company (Shell.ca., 2019). This in turn might lead to the company facing a high employee retention rate which in turn would affect the overall performance of the organization. The opportunities that might be faced by the company refers to the providing of the alternative energy sources that are maintained by the organization (Reports.shell.com., 2019). The company faces a major threat due to the high amount of competition that it faces in the Canadian markets. Environmental Constraints The company in discussion is known to have been facing issues in the matters that are related to the political, economic, social, technological, environmental and legal factors that have been presented in the given markets. The majority of the issues that are faced by the company in the Canadian markets refer to the technological and the economic issues that have been existent within the given country. The company has been facing issues due to the high growth of the inequality that is presented among the Canadian society (Shell.com., 2019). This has been adversely affecting the behavior of the clientele. The company has been facing further issues regarding the capability of the company to introduce diversity within the workplace. The company is observed to have resorted to the development of the technological factors that have been proven to be beneficial in terms of the issues that are faced by the company in the given market (Cho, Furey & Mohr, 2017). This in turn would help the company in the development of
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4INTRODUCTION TO MANAGEMENT the environmental factors that have been influencing the overall performance of the company. The technological developments within the company would also help in the development of the CSR activities maintained within the company in discussion. Stakeholders The major stakeholders of the company in discussion, Shell Canada Limited include both the internal and the external stakeholders of the organization. The major internal stakeholders of the company refer to the employees of the company who have been serving the company at the various hierarchical levels within the company (Brem & Viardot, 2015). The internal stakeholders of the organization might also include the managerial departments that have been featuring within the concerned organization. The internal stakeholders of the organization generally refer to the employees of the organization who have been maintaining their direct involvement with the operational processes that have been implemented by the organization (Buttner & Lowe, 2017). The internal stakeholders of the organization are known to play the greatest roles in the achievement of the goals that had been set by the organization. The external stakeholders of the company on the other hand refer to the clients, the shareholders, the suppliers, the governmental bodies and other such entities that might influence the development of the company. The external stakeholders of the organization thereby hold an important place in the organizational progress (Hur, 2018). The feedback as well as the suggestions that are provided by the external organizational stakeholders help in the determination of the future courses of action within the organization. Organizational Structure and Design The organizational chart of Shell Canada Limited is as follows.
5INTRODUCTION TO MANAGEMENT Figure: Organizational Chart of Shell Canada Source: (Shell.ca., 2019) The internal structure of the company is tall. The major aims of this kind of the organizational structure is the demonstration of the various activities that are undertaken by the organization in the given market. The tall structure of the organization deals with a single chain of command (Pastra, Gkliatis & Koufopoulos, 2017). The tall organizational structure leads to the lower amount of power that is vested within the managers serving the organization. The tall organizational structure helps in providing a proper clarity as well as the managerial control in terms of the issues that are presented within the organization. The higher management of the organization is capable of implementing a narrower level of control over the subordinate managers, thereby ensuring a closer supervision of the subordinate members of the organization (Yukongdi & Rowley, 2017). The tall organizational structure helps in the maintenance of the clarity in terms of the organizational layers and thus defines the responsibility of the employees in the proper order maintained by the concerned organizational structure in the company.
6INTRODUCTION TO MANAGEMENT Motivating Employees The employees of the organization might be provided with the required motivation through the development of the motivational measures that are implemented by the organization. The major styles that are used to motivate the employees refer to the two-factor model as has been discussed by Hertzberg. The model discusses the motivational factors alongside the hygiene factors in order to develop a proper motivational plan for the organizational employees (Holmberg, Caro & Sobis, 2018). The management of the organization is advised to look into the matters that help in alleviating the mood of the concerned employee. The company is further advised to deal with the delivery of the proper feedback towards the concerned organizational employees. This in turn would assists in the development of a long-lasting relationship within the organization as well as the employees. The company should further take notice of the fact that the concerned employees of the organization are satisfied with their dealings within the organization (Alfayad & Arif, 2017). The concerned organization might also need to deal with the individual tastes of the employees in cases wherein the personal tastes of the employee might have been interfering with the issues of the job-satisfaction within the organization. The organization is advised to take care of the hygiene needs of the employee rather than the motivational needs. Recommendations The major recommendations that could be suggested to Shell Canada are enlisted below. Implementation of ethical behavior The company should implement the ethical behavior in order to retain the staff of the organization. Inclusion of the research and development in the department of technology.
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7INTRODUCTION TO MANAGEMENT The company should also implement the inclusion of the department of research and development present within the organization. this in turn would help the company maintain a difference in the technological matters as have been implemented by the competitors of the company. Clear communication with the stakeholders. The communication with the stakeholders of the company must demonstrate clarity. This in turn helps in the attraction as well as the retention of the stakeholders within the organization. Proper motivational measures towards the employees of the organization. The employees of the organization should be motivated in a manner that is necessary for the creation of a workforce that would contribute to the best of their abilities towards the achievement of the goals that are set by the organization. Controls The company might be advised to implement the various processes for collecting the feedback from the employees of the organization as well as the organizational management. The feedback would help the concerned company to deal with the issues that are related to the overall development of the organization. The implementation of the proper feedback to the concerned department would enable the concerned department of the company to implement the proper changes in order to serve the clients in a better manner.
8INTRODUCTION TO MANAGEMENT References Alfayad, Z., & Arif, L. S. M. (2017). Employee voice and job satisfaction: An application of Herzberg two-factor theory.International Review of Management and Marketing,7(1), 150-156. Available at: http://www.econjournals.com/index.php/irmm/article/view/3342 Brem, A., & Viardot, É. (2015). Adoption of innovation: Balancing internal and external stakeholders in the marketing of innovation. InAdoption of Innovation(pp. 1-10). Springer, Cham. Available at DOI: 10.1007/978-3-319-14523-5_1 Buttner, E. H., & Lowe, K. B. (2017). Addressing internal stakeholders’ concerns: The interactive effect of perceived pay equity and diversity climate on turnover intentions.Journal of Business Ethics,143(3), 621-633. Available at DOI: 10.1007/s10551-015-2795-x Cho, M., Furey, L. D., & Mohr, T. (2017). Communicating corporate social responsibility on social media: Strategies, stakeholders, and public engagement on corporate Facebook.Business and Professional Communication Quarterly,80(1), 52-69. Available at DOI: 10.1177/2329490616663708 Holmberg, C., Caro, J., & Sobis, I. (2018). Job satisfaction among Swedish mental health nursing personnel: Revisiting the two‐factor theory.International journal of mental health nursing,27(2), 581-592. Available at DOI: 10.1111/inm.12339 Hur, Y. (2018). Testing Herzberg’s Two-Factor Theory of Motivation in the Public Sector: Is it Applicable to Public Managers?.Public Organization Review,18(3), 329-343. Available at DOI: 10.1007/s11115-017-0379-1
9INTRODUCTION TO MANAGEMENT Pastra, A., Gkliatis, I., & Koufopoulos, D. N. (2017). Organisational Behaviour in Shipping. InShipping Operations Management(pp. 25-46). Springer, Cham. Available at DOI: 10.1007/978-3-319-62365-8_2 Reports.shell.com. (2019). Disclaimer - Shell Annual Report 2017. Retrieved from https://reports.shell.com/annual-report/2017/consolidated-financial-statements/statement- of-income.php Shell.ca. (2019). About Us. Retrieved from https://www.shell.ca/en_ca/about-us.html Shell.ca. (2019). Shell Canada. Retrieved from https://www.shell.ca/ Shell.com. (2019). How we report. Retrieved from https://www.shell.com/sustainability/sustainability-reporting-and-performance-data/how- we-report.html Yukongdi, V., & Rowley, C. (2017). Business Networks and Varieties of Capitalism in Thailand: Adding the Context of History, Political Structures, and Social and Cultural Values. InBusiness Networks in East Asian Capitalisms(pp. 235-268). Elsevier. Available at DOI: 10.1016/B978-0-08-100639-9.00011-6