Reconciling Institutional Theory with Organizational Theories

The assignment requires the student to reconcile institutional theory with organizational theories by resolving five paradoxes. The student is expected to provide a detailed analysis of how neoinstitutionalism resolves these paradoxes, supported by references from various sources including academic journals and books. The assignment also includes references to online resources such as Tutor2u and MindTools.

ORGANISATIONAL
BEHAVIOUR

TABLE OF CONTENTS
INTRODUCTION...........................................................................................................................1
TASK 1............................................................................................................................................1
P1. Impact of culture, politics and power on the behaviour and performance of organisation ..1
M1. Influence of culture, politics and power on team behaviour ..............................................2
TASK 2............................................................................................................................................3
P2. Role of motivational theory in achieving the goals and objectives of firm .........................3
M2 Influence of motivational theory on the behaviour of organisation. ...................................5
D1 Relation between culture, politics, power and motivation and their role in the success of
firm..............................................................................................................................................5
TASK 3............................................................................................................................................5
P3 Type of team and factors making effective team...................................................................5
M3 Team and group development theory for the development of dynamic cooperation. .........7
TASK 4............................................................................................................................................7
P4 Concept and philosophy of organisational behaviour ...........................................................7
M4 Positive and negative behaviour of organisational behaviour concept and philosophies. ...9
D2 Relevance of team development theories in regard of organisational behaviour .................9
CONCLUSION................................................................................................................................9
REFERENCES .............................................................................................................................10

INTRODUCTION
Organisation behaviour can be describe as the study of human interaction and behaviour
within the organisation (Belschak and Hartog, 2013). This analysis helps the firm in resolving
different conflicts that arise in the firm. It has become one of the important tool that help firm in
bringing efficiency and effectiveness in firm. In the current report, A David &Co Ltd. has been
taken into account. It is a medium sized entity with annual turnover of £10 M to £20 Million.
The firm operates in food industry and known for its fresh fruits and ready to eat product. Report
will cover the effect of organisational culture, politics and power on behaviour and performance
of employees along with types of motivational theories and their role in achieving the goals and
objectives of firm. Different concept and philosophy will also be discussed in given context.
Factors that help in building effective team will also be analysed.
TASK 1
P1. Impact of culture, politics and power on the behaviour and performance of organisation
Culture of an organization can be defined as the shared belief, values and principles
which determine the way things are worked in firm. It helps A David and Co Ltd., in carrying
out its various activities in an efficient manner and also helps them in creating a healthy working
environment (Vasu, Stewart and Garson, 2017). Culture has a strong impact on the behaviour of
an employee as it provides employees with better understanding on how to act and perform.
Handy has given different types of culture that has been adopted by many firms.
 Power culture: In this culture, all the power is given to chosen few, in organisation and
they are responsible to take all the necessary decision of firm. This make whole process
og decision making fast and swift. Employees are highly depended on the individual at
centre for direction, growth and success. Power culture can also have adverse effect on
the attitude of employee and quick decision can also create problem in long run.
 Role culture: In this type of culture, all individuals have their own roles and
responsibilities predetermined and it is expected from them to carry out their tasks in an
efficient manner. It helps in reducing the chances of conflicts and confusion (Northouse,
2015Miner, 2015) .
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 Task culture: In this, a team is formed in organisation in order to tackle a particular task
or project. This team is generally made up of expertise and specialists of fields. This
helps the firm in maintaining efficiency and quality in their work.
 Person culture: In this type of culture, the preference is given to number of people in
firm. In this culture, task is assigned to people on the basis of their preference.
Other than the above theory, there is also some other theories such as Hofstede cultural
dimension that promotes cross cultural communication in the working, it has four dimension that
made it different from any other culture. This method will be quite effective in improving the
performance of A David & Co Ltd. They can also adopt role model or power model in their
working so that they can direct their staff in right direction, This will bring efficiency in their
working.
Organisational politics can be determined as informal and unofficial effort made behind
the scene in order to improve the performance. Furthermore, when these changes or efforts are
made for personal gain disregard of its impact, it can have an adverse effect on the business
performance as well as on the behaviour of organisation as well as can also give rise to conflicts
in firm.
Power can be defined as an ability to influence the views of others. Higher authority is
provided with power to lead staff in the right direction. It is necessary for the higher authority
that they use power bestowed upon them in a right way by leading persuading and empowering
them so that it can have a positive impact on the performance of employee (Karriker, Madden
and Katell, 2017). If a person uses power to force its decision on employees, it can have a
negative effect on their behaviour .
From above study it can be concluded that A David and Co Ltd. should pay attention to
the power in firm so that no politics or misuse occur and all employee are getting fair chance to
present their views
M1. Influence of culture, politics and power on team behaviour
Culture, politics and power of organisation are interconnected to each other and have
major impact on the behaviour of staff. When the empowered person use its power to influence
other for its own benefit neglecting its impact it can have adverse effect, it gives rise to many
conflicts such as unequal distribution of power, resistance etc. it also has negative impact on the
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culture of firm. Its necessary of firm to promote good culture in the firm so that it can create
healthy working environment for labour to work in.
TASK 2
P2. Role of motivational theory in achieving the goals and objectives of firm
There are many factors in the organisation that affect the behaviour of an individual.
Different motivational theories help the firm in building confidence of people so that they can
perform efficiently and contribute in the success of firm.
Content theory: This theory focuses on the things that can help person to feel motivated. It
focuses on the needs of employees. In this, motivated behaviour arises from within the person as
they feel that their needs are being fulfilled.
Process theory: It focusses more on the process and provide information regarding the
behaviour of person so that necessary step can be taken in order to direct sustain and energize
them (Hashim and Wok, 2014).
Other than above two there are also intrinsic and extrinsic motivational theory.
According to intrinsic motivational theory the behaviour comes from within the person while
extrinsic theory focuses on the reward that can peak the interest of individual.
All this theory make sure that people are feeling motivated and boosted so that they can
carry out their work efficiently.
Firm can also use other motivational theory like Maslow hierarchy of needs and equity
theory.
Maslow Motivational theory
Maslow stated that each individual have their own sets of need and requirement and
when they feel that this needs are being fulfilled they automatically feel satisfied and motivated
this theory help firm in identifying the need of employee and take necessary steps in order to
fulfil them, it also help firm in increasing the commitment of employees toward the firm they
also start taking initiative for firm. Maslow has given basic needs that are requirement of each
person
 Psychological needs
 Safety needs
 Love needs
 Esteem needs
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 Self-actualisation needs
From above it can be stated that this motivational theory covers all aspect and needs of
individual that can help them feel motivated.
Equity theory
Illustration 1: Adam's equity theory
(Source: Adams’ Equity Theory. 2013)
This theory believe in maintaining the balance between the inputs of employee and
output of firm (.Sweetman and et.al., 2015). According to this theory an individual feel
dissatisfied if he thinks that effort he is putting in his work are much more than the result he is
gaining that he feels demotivated. Its necessary of firm to maintain the proper balance between
the effort made by workers and reward and incentives provided by firm. By doing this not only
the person will feel satisfied but it will also feel motivated in performing well.
A David and Co is small business enterprise who is growing at rapid pace in such a time
its necessary of firm to keep motivating their employees so that they can carry out their
responsibility efficiently and help firm in achieving its goal and objectives.
M2 Influence of motivational theory on the behaviour of organisation.
For the success of firm its necessary for them to use their resource in well manner so that
they can maximum use and benefit of it. For this its essential of firm to pay attention to not only
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its financial resources but also on it human resources. Motivational theory help firm in fulfilling
the needs of employee and providing them with rewards so that thy can feel motivated this have
positive impact on the behaviour of person and also help firm in building healthy working
environment. Motivated staff perform their work efficiently and contribute in the success of
firm.
D1 Relation between culture, politics, power and motivation and their role in the success of firm.
We have already established that culture power and politics are interrelated to each other
and correct use of it help firm in motivating employee. By establishing a political culture
employee can understand the values and belief of firm that help them in working efficient
manner. Culture also promote healthy working environment where other employees are also
empowered with power to take necessary decision at the time of need it helps in building the
confidence and motivation of employee.
TASK 3
P3 Type of team and factors making effective team
There are various activity that a firm has to carry out daily in order to attain their
objectives. The roles and responsibility of each individual are predetermined and they are
required to complete their task within the given time. It is impossible for a single person to carry
out various activity in within a time limit with great efficiency (Saks and Gruman, 2014). In
order to complete the task in given time organisation has formed various team, people who are
expert in their field of work together, this not only help in finishing the task in limited time but
also assist in maintaining the quality of work. Working in team provide them with a chance to
develop their skills and enhance their performance level. Few teams in organisation are
mentioned below:
Problem solving team: This team is formed of people who have diverse capabilities and are
expert in their field of work, this all people work together in order to overcome the problem or
issue that firm is facing (Perkins and Arvinen-Muondo 2013). It a temporary team that get
dissolve after their task is completed.
Functional team: This team is made of people who all are functional expertise and have same
goals and objectives. This team are permanent team of organisation. It includes financial
department team, HR department team etc.
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Project team: In these people from different function come together to handle a single project so
that given work can be completed efficiently within the given time.
Vision team: This team is formed of people with different geographical location who work
together so that goal and objectives of firm can be achieved. This team use internet Skype etc.
for daily communication and for the passing of important information so that work can be
carried out efficiently (Parikh., 2013).
Its not mere presence of team that bring the efficiency in firm its necessary of a team to
have some basic characteristics so that they can be effective in their work. Following are the
characteristics that make a team an effective team. Logical argument: This team believe in logic to come to a single decision. They use
logical argument to prove their points instead of using the method of voting. Situational leadership: Effective team is not lead by single person. In team power of
leadership keep shifting as each member have its own capability and style of leadership
that may be suitable for the working in different situation (Luthans and et.al., 2012). Open discussion: Effective group create space for open discussion so that each
individual can get chance to present their view. It also helps the team in choosing the best
idea that have the highest potential of success.
 Own assessment: An effective team make sure there is regular and continuous
assessment so that they can evaluate their performance and can make necessary changes
if required so that efficiency can be maintained and goals and objectives can also be
achieved.
Other than above characteristics David and Co can also focuses on other characteristics
that can help them in maintaining the effectiveness of team.
Unified commitment of goals: A team is formed so that goal and objectives of firm
could be achieved. A team to be effective its necessary of them to be committed to their goal and
completion of its task by using all the available resources efficiently (Knights and Willmott,
2017). A team is formed of different people with different view, an effective team make sure that
only that idea get selected which will help them in achieving their goals and objectives.
Participation: The cited firm should influence their employee so that they can partake in
all the activity which include decision making process and also in problem solving. For the
success of team its involvement in all activity is necessary.
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Efficient use of idea : Creative and innovative idea determine the success of a team.
David and Co. Ltd can use activity like brainstorming so that best idea can come forward. In
addition to it idea of each member should be gathered and listen carefully so that purpose of
solving different problem can be resolved.
A work performed by team is most qualitative as it includes the perception of different
type of people which had helped them in understand the issue to best of their quality and also
helped them in selecting the best way through which the problem can be resolved.
M3 Team and group development theory for the development of dynamic cooperation.
Tucksman theory of team development is most efficient for the development of team.
This theory establishes the relationship between group relation and task focus. Forming: It's the first stage of development where all member come together with the
basic knowledge of task and its strength and weaknesses, they have yet to be colluded
together, each member try to find their place in the team Storming: In this each team member began to see them self as the part of team. In this
the flow of working and how things will be done in team get determine. Individuals start
presenting their views and start challenging the view of other. Norming: At this stage each team member come together to come up with the best
possible way to solve the problem, this is the stage where respects for other start forming.
 Performing: At last stage, the focus is increased on both task and team building.
TASK 4
P4 Concept and philosophy of organisational behaviour
There are five major philosophy of organisation behaviour that A David and Co has to
pay attention so that healthy environment can be maintained in firm.
 Autocratic philosophy
 Custodial philosophy
 supportive philosophy
 Collegial philosophy System philosophy
Autocratic: This philosophy focuses on the power, strength and authority. In this leader
use formal way to communicate and direct their subordinates power lies in the hand of higher
authority and all the important decision are taken by them. In this idea and view of employee at
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lower level does not count or taken into consideration. The reason behind the less involvement
of people at lower section is that they don't have much experience and knowledge that they can
partake in important decision of firm (Eid and et.al., 2015).
Custodial: In this firm focuses on economic security to controlled and motivate their
employees, They provide their employees with economic security by giving them reward and
incentives. This aid firm in retaining their valuable employees and also beneficial in creating
trust and winning the loyalty of employees. A David and Co Ltd can use this philosophy and
can provide their employee with health benefits, overtime, bonus etc. This will increase the
efficiency of employee and will also enhance their performance.
Supportive philosophy: It focuses on the positive attitude of leader and aspiring
leadership. According to this theory a leader instead of using control power and authority should
focus more on the things like incentives, reward that can help them in building strong
relationship with their subordinated. This theory put emphasis on the better value and insight of
employee.
Collegial: This model focuses team building within the organisation. This theory believe
in maintaining balance and aligned the overall culture and environment of the organisation with
employee so that each employee can get chance to participate in business operation.
System philosophy: This theory believe that each person have its own individuality,
talent and goals, and its essential of firm to maintain fine balance between the goal of firm and
goal of individual (de la luz Fernández-Alles and Valle-Cabrera 2013)
Other than this philosophy there are other organisational behaviour concepts that A
David and Co. Ltd can adopt. Such as path goal theory that provide different type of leadership
style that firm can adopt according to need. It focuses on the behaviour of leader so that it can
adopt the best behaviour and attitude that can help them in leading people in right
direction(Miner, 2015). David and Co. Ltd., can adopt system philosophy that provide individual
a chance for the development of its own goal along with that of firm. It can also adapt path goal
theory in their working so that best leadership style can be selected on the basis of situation.
M4 Positive and negative behaviour of organisational behaviour concept and philosophies.
Organisational behaviour philosophy can have both positive and negative impact on the
working of firm and behaviour of an individual. If firm is using autocratic style in their working
than there are chances that individual may not feel satisfied and burden the way they are directed
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and made accept the decision of other. On the other hand if firm is using system philosophy than
it may have positive impact on the behaviour of employees as they can feel satisfied as they also
get chance to fulfil their personal goal and objectives.
D2 Relevance of team development theories in regard of organisational behaviour
Team development theories will help A David &Co Ltd. In building effective team that
can carry out their role and responsibility in efficient manner and their performance will also
enhance. This theory will also guide management of firm in taking right action at right time so
that various conflicts at the time of team formation can be resolved.
CONCLUSION
From the above report it can be concluded that culture, politics power can have major
impact on the behaviour and performance of organisation. The report focuses on the various
impact of culture politics and power on the working of manger, employees and the behaviour of
overall organisation. It also provides different motivational theory such as hierarchy and equity
theory which help firm in motivating their employee and achieving their goals and objectives.
Different philosophy of organisational behaviour are also mentioned in the report.
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REFERENCES
Books and Journals
Belschak, F. D. and Hartog, D. N., 2013. Pro‐self, prosocial, and pro‐organizational foci of
proactive behaviour: Differential antecedents and consequences. Journal of Occupational
and Organizational Psychology. 83(2). pp. 475-498.
de la luz Fernández-Alles, M. and Valle-Cabrera, R., 2013. Reconciling institutional theory with
organizational theories: how neoinstitutionalism resolves five paradoxes. Journal of
Organizational Change Management. 19(4). pp. 503-517.
Eid, J. and et.al., 2015. Leadership, psychological capital and safety research: Conceptual issues
and future research questions. Safety science. 50(1). pp. 55-61.
Hashim, J. and Wok, S., 2014. Predictors to employees with disabilities’ organisational
behaviour and involvement in employment. Equality, Diversity and Inclusion: An
International Journal. 33(2). pp.193 – 209.
Karriker, J. H., Madden, L. T. and Katell, L. A., 2017. Team Composition, Distributed
Leadership, and Performance: It’s Good to Share. Journal of Leadership &
Organizational Studies. pp.1548051817709006.
Knights, D. and Willmott, H., 2017. Introducing Organizational Behaviour and Management.
Cengage Learning EMEA.
Luthans, F. and et.al., 2012. More evidence on the value of Chinese workers' psychological
capital: A potentially unlimited competitive resource? The International Journal of
Human Resource Management. 19(5). pp. 818-827.
Miner, J. B., 2015. Organizational behavior 1: Essential theories of motivation and leadership.
Routledge.
Northouse, P. G., 2015. Leadership: Theory and practice. Sage publications.
Parikh., 2013. Organizational Behaviour. Tata McGraw-Hill Education.
Perkins, S. and Arvinen-Muondo, R., 2013. Organizational Behaviour: People, Process, Work
and Human Resource Management. Kogan Page Publishers.
Saks, A. M. and Gruman, J. A., 2014. Organizational socialization and positive organizational
behaviour: Implications for theory, research, and practice. Canadian Journal of
Administrative Sciences/Revue Canadienne des Sciences de l'Administration. 28(1). pp.
14-26.
Sweetman, D. and et.al., 2015. Relationship between positive psychological capital and creative
performance. Canadian Journal of Administrative Sciences/Revue Canadienne des
Sciences de l'Administration. 28(1). pp. 4-13.
Vasu, M.L., Stewart, D.W. and Garson, G.D. eds., 2017. Organizational Behavior and Public
Management, Revised and Expanded. Routledge.
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Weller, J., Boyd, M. and Cumin, D., 2014. Teams, tribes and patient safety: overcoming barriers
to effective teamwork in healthcare. Postgraduate medical journal. 90(1061). pp.149-
154.
Online
Adams’ Equity Theory. 2013 [Online]. Available through
<https://www.mindtools.com/pages/article/newLDR_96.htm> .
Models of Organisational Culture. 2015. [Online]. Available through
<https://www.tutor2u.net/business/reference/models-of-organisational-culture-handy> .
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