Organisational Theory and Practices

Organisational
Theory and Practices

Table of Contents
INTRODUCTION...........................................................................................................................1
MAIN BODY...................................................................................................................................1
Management style, principles and functions of management used by CEO of company............1
Steps taken in regards to organisational structure to achieve high performance and
organisation culture in organisation and its impact on employees..............................................2
Description of leadership style used by CEO of organisation to enhance the organisational
effectiveness.................................................................................................................................3
Evaluate the impacts of power, influence and conflicts at British American Tobacco...............4
Explain different types of motivation used by British American Tobacco.................................5
Corporate examples for justifying answer...................................................................................7
Suggestions and recommendation to enhance performance of British American Tobacco........8
CONCLUSION ...............................................................................................................................9
REFERENCES..............................................................................................................................10

INTRODUCTION
Organisational theory can be defined as the set of concepts which are interrelated, the behaviour
of individuals and groups, who have interaction with each other to perform the tasks with
intension to accomplish the goal (Acharya and Jena, 2016). The company selected for this
project report is BRITISH AMERICAN TOBACCO which is second largest tobacco group,
produces cigarettes which is demanded by adult smokers all over world. The topics focused in
this report are management style, principles and functions of management, steps taken in regards
to organisational structure to achieve high performance of company. Apart from this of
leadership style used by CEO of organisation to enhance the organisational effectiveness is also
focused.
MAIN BODY
Management style, principles and functions of management used by CEO of company.
Management style refers to those specific principles and techniques that managers use to
handle situations that arise during business operations. It includes the decisions that reflects their
leadership style. It involves decisions taken during the execution of their managerial functions of
planning, organising, controlling, etc. Management styles vary with company leadership,
objectives, policies and situation. The management style used by CEO of BRITISH AMERICAN
TOBACCO is Autocratic style (Alonso and Austin, 2017). It is the most pessimistic style of
management. Some leaders are directive autocrats while some are permissive autocrats.
Directive autocrats believe in supervising their subordinates very closely and the subordinates
are required to just follows the orders. Permissive autocrats on the other hand allow little
flexibility to subordinates on the way of performance of directed duty. Although this style
restricts creative freedom, it is suitable when sub-ordinates are inexperienced or the situation
requires quick decision-making. Autocratic managers of British American Tobacco company
believes in taking all the decisions by themselves at the workplace.
Management principles are those means which helps and guides the management in
getting the designated tasks done from others. It includes all those activities that helps in giving
direction to all human endeavours using machines, materials and money to achieve targets and
goals of the company. This framework is often called as aid to executing P-O-L-C i.e. planning,
1

organising, leadership and control. The principles on which CEO of BRITISH AMERICAN
TOBACCO works are discussed as follows: Planning- Planning is a preliminary management function aimed at achieving a fixed
objective. Management undertakes planning function for short, medium and long-term
depending on the type of business. Planning is the key to growing a business, which helps
managers of selected company to maintain a business strategy (Billis, 2020). Organizing- It is another management activity that aims at optimum distribution of
resources to carry out specific plan made earlier. It includes activities such as
reorganizing and assigning tasks then grouping them into departments, and ultimately
allocating resources to those departments to carry out those tasks. Leading- It is a very important function which aims at giving directions to activities of
others. With these perspective leaders of BRITISH AMERICAN TOBACCO wants its
employees to contribute to achieving organizational goals. Leading from the front means
that the leader believes in guiding, motivating and influencing others to achieve targets of
organisation. They are the people who can influence others just by showing up in front.
 Controlling- It is an important function because it allows for error checking and
corrective action to be taken so that deviations from standards can be restricted to
minimum possible in the direction of achieving the company's set targets. Controlling in
BRITISH AMERICAN TOBACCO is a predictive action, wherein set standards of
control were used only when deviations were spotted.
Steps taken in regards to organisational structure to achieve high performance and organisation
culture in organisation and its impact on employees.
An organizational structure refers to the system which describes how activities are given
directions towards obtaining the desired goals of an organization. These activities can include
rules, roles and responsibilities. The organizational structure also determines how information
flows between levels within the company (Burgstaller, 2020). The following are the steps which
are taken by CEO of BRITISH AMERICAN TOBACCO to achieve high performance within
company:
Outlining of management plans- The CEO of company determines what kind of
management they need to make decisions. Apart from this identification of different roles in the
2