Organisational Theory and Practice

This report explores the principles and functions of management, leadership style, organisational structure, power and influence, and motivation at BRITISH AMERICAN TOBACCO. It discusses the management style and principles used by the CEO, the impact of the organisational structure on employees, the leadership style of the CEO, the effects of power and influence, and the various types of motivation used at the company.

Organisational
Theory and Practice

Table of Contents
INTRODUCTION...........................................................................................................................1
About organisation and Business leader .....................................................................................1
Examine the management style and state the principle and functions ........................................1
Analysis of steps taken regarding the organisation structure and its impact on employees........3
Describe the leadership style of the CEO of BRITISH AMERICAN TOBACCO to enhance
the organisational effectiveness...................................................................................................4
Analysis of the effects of power, influence and conflict in an organisation................................5
Discuss the various types of motivation used at BRITISH AMERICAN TOBACCO...............6
Use appropriate corporate examples and literature to justify your stand.....................................7
Suggestions..................................................................................................................................7
CONCLUSION................................................................................................................................8
REFERNECES................................................................................................................................9

INTRODUCTION
Organisational theory is defined as study of organisational design, relationship and
structure which uses by management in order to complete the task and attain the business goals.
It is important for management to focus on organisation's level such as formalisation,
specialisation, standardisation, hierarchy of authority, complexity, size and strategy which uses
to establish a successful business and increase the profitability. The management are applying
different management and leadership style for the purpose of managing task and increase the
brand image (Subedi and Sthapit, 2020). This report is based on BRISTISH AMERICAN
TOBACCO that is British multinational company that manufactures and sells cigarettes, tobacco
and other items. The CEO of organisation is Mr. Jack Marie Henry David Bowles who
analysis the business performance and manage the task effectively. This report covers
management style, principles and functions of management, organisational structure for
achieving the high performance, leadership style for enhancing organisational effectiveness,
types of motivation and corporate examples that uses to run a business.
About organisation and Business leader
Mr. Jack Marie Henry David Bowles is the CEO of BRISTISH AMERICAN
TOBACCO company which is manufacturing of cigarettes, and nicotine products that are
demand by customers. This is larger size organisation in which manager plays a vital role as all
functions and activities are perform and manage effectively by sharing the information and
formulating plans which supports to operate the business. This organisation is operating its
business in more than 180 countries and aims to becoming the largest retailer in all over the
world. The net revenues of such organisation are increasing year to year as it operate its business
and manage the all activities (Asante, 2020).
Examine the management style and state the principle and functions
Management is the larger term to use which is important to manage the organisational
performance and productivity. This is important for management to analysis the performance and
formulate plans that can help to operate and run the business effectively. To run a business and
manage the performance, management style is important for organisation that uses to manage the
task and behaviour of employees. In this, planning, organising, directing and controlling the
activities are focusing which mainly designed to attain the business goals. Mr. Jack Marie
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Henry David Bowles is the CEO of BRISTISH AMERICAN TOBACCO is a great business
leader who analysis the need of youngster and established a business of tobacco and cigarettes
that is running effectively in whole world. Different management style are autocratic,
democratic, transformation, and others that are uses to manage good performance (Babu and
Thomas, 2020).
Transformational management style is adopted by Jack Marie Henry David Bowles
after analysing all performance and task which can help to operate the business and increase
profitability. The management analysis the performance and bring change in their products and
services which influence customers and increase sales.
Principle of management:
Discipline: This principle is related to core value for any project and maintain the good
performance by managing all task. In BRISTISH AMERICAN TOBACCO, management and
employees are working by maintaining discipline and good behaviour of employees that helps to
increase the performance.
Unity of direction: This is common principle that states there is need to focus on group
of people who have same thoughts and goals about organisational success by managing teams.
Jack Marie Henry David Bowles is responsible to provide the right direction to their employees
who are working and managing the task effectively by ensuring goals and objectives have been
met with growth of company (Crompton, 2019).
Stability: This is important which is adopted by Jack Marie Henry David Bowles in
BRISTISH AMERICAN TOBACCO company in order to perform all functions and activities. In
this, employees are delivering best services that make feel them secure in their jobs and increase
the performance.
Functions of management
Planning: To achieve the target it is necessary to perform proper planning as it is the first
step of any management. It is the duty of Jack Marie Henry David Bowles in BRISTISH
AMERICAN TOBACCO to make plan of their work and choosing the best option among
available (Durach and Wiengarten, 2017).
Organising: Organising the resource in a proper manner is the major function performed
by every manager in BRISTISH AMERICAN TOBACCO that helps to manage all activities and
functions accurately.
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Staffing: Proper allocation of human resource is the important function that is to be
performed by company. As human resource of BRISTISH AMERICAN TOBACCO are the
assets of organisation who analysis the needs of employees and recruit best one.
Directing: The management of BRISTISH AMERICAN TOBACCO is focusing on this
function and provide them guidance that increases performance (Hales and Riach, 2017).
Controlling: To avoid mistakes and deficiencies management of chosen company
control over all activities and task that helps to attain the business goals.
Analysis of steps taken regarding the organisation structure and its impact on employees.
Organisational structure defines all the activities such as allocation of task, coordination
and supervision which are directed towards achievement of organizational goals. There are
various types of organisational structure such as Hierarchical, functional, divisional, matrix,
network, projectized, flatarchy and team structure which can be adopted by the organisation
according to its activities. British American Tobacco uses has matrix structure in its organisation.
It is a centralized organisational structure which allows its employees to move from one
department to another as per needs. The employees in such structure are highly influenced
because they get opportunity to learn and adopt skills which are outside their primary roles. By
implementing such structure, organisation allows multiple departments to communicate easily
and collaborate on the projects (Hind, 2018).
The advantages and disadvantages of Matrix Organisation Structure in an organisation are as
follows:
Advantages Disadvantages
 This structure allows easy
communication with multiple
departments and collaborate with each
other on projects.
 In such type of organisation structure
employees have more autonomy and
inputs in the projects as they are
encouraged to contribute their point of
views.
 As employees have to report to two or
more mangers on multiple works, it
creates conflicts between the managers
and employees.
 Employees are assigned multiple tasks
across a number of projects the
effectiveness is reduced and ambiguity
increases as they try to decide which
tasks are more important.
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Organisational culture is a set of value, behaviour, ethics and the practices that helps in
guiding employees in organisation and make it successful in its work. There are various types of
organisational culture like clan, adhocracy, market and hierarchy culture which can be adopted
by company. The Clan culture is adopted by selected entity because it focuses on providing
people necessary knowledge and treat them as family members. The culture influences
employees as they feel better and perform well because they have feeling of being part of team
with business ethics and values. It also reduces the conflicts between mangers and term and helps
in getting best strategics. The working environment in organisation is also influenced by such
culture which increases productivity level of employees which helps them achieve individual and
organisational goals (MacKillop, 2018).
Describe the leadership style of the CEO of BRITISH AMERICAN TOBACCO to enhance the
organisational effectiveness
Leadership style is defined as method and ways which uses by management to provide
the direction and implement plans for the purpose of attaining business goals. For organisation it
is important to understand the situation and uses effective leadership style that can help to
increase the performance. In business environment there are different leadership style are
Bureaucratic, Transactional, Pacesetter, Laissez-faire and Coach that are uses to operate and
manage the business activities. If effective leadership style is adopted by management then it
become easy to make plans and implement in organisation which supports to attain the goals
(Nast, 2020). The different types of leadership styles are as defined:
Transformational leadership style: This is a leadership style which uses by leaders to
encourage, inspire and motivate the employees to innovate and create change for the purpose of
growing business. By adopting this, BRISTISH AMERICAN TOBACCO can bring changes in
their activities and performance that helps to grow the business and increase the profitability.
Democratic leadership style: This style is related to division of work between
employees and encourage them to give input during decision making process. This can be opt by
BRISTISH AMERICAN TOBACCO management by sharing the information with employees
and making the decision with the concern of all staff (Ndambuki, 2018)
Laissez-faire leadership style: This leadership style adverse to the autocratic leadership
style that uses by leaders to make the working easy and complete the task. The leaders of
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BRISTISH AMERICAN TOBACCO company uses this leadership style in delegating the task
between team members and provide supervision to manage all performance (Pana and Kreye,
2020).
The chosen organisation have been selected to adopt Laissez-faire leadership style that
is effective leadership style which uses to allocate the work between employees and control over
their performance. Jack Bowles who is the CEO of BAT performing different role and
responsibilities in organisation by understand goals and delivering the better quality of products
which increases performance and profitability. The leader of organisation set the goals and share
with workers so that they uses their skills and abilities for performing roles efficaciously. The
CEO of chosen company having different leadership quality such as integrity, delegation,
empowerment, effective communicator, Humility, transparency and innovation which are uses to
run the business and increase the profitability. Such qualities of person are utilised to manage the
performance and deliver the good quality of products which improves brand image and increases
profitability (Part, 2018).
Analysis of the effects of power, influence and conflict in an organisation.
Power in context with organisation refers to influencing behaviour of people in the
organisation. The type of power used in an company defines culture of people in an entity and
analysis of powers helps in understanding employees need which help them achieve success.
There are various types of powers, where British American Tobacco uses reward has a power as
it motivated its employees to perform as a team and gives reward which can help them
financially. The effect of power are very productive as use of power effectively helps in
accomplishing tasks of the organisation. Reward is given to those who performs well and has
great impact towards organisational goals. But sometimes it effects negatively on working of
company because the competition increases which affects performance of people and work
which has to be achieved according to standards of company (Pereira, Malik and Froese, 2017) .
Influence is kind of any characteristic or attribute of organisation which has huge impact
on people and their work. There are variety of factors which help in influencing the
organisational behaviour like the structure of company, management effectiveness, interactions
between colleagues and management effectiveness in the organisation. Influence in British
American Tobacco is a two way process, in which entity cannot accomplish its goals if they
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cannot influence the members to do the work. Were as people cannot do the work if their needs
are not satisfied (Priyanka, 2019).
Conflict refers to the difference that subsist between needs, values and interests of
individuals of an organisation. It can be constructive or destructive. Conflict is an interpersonal
process that may arise from disagreements over the goals of the company. In other words, it is an
explicit struggle between two or more interdependent people in an organisation who perceive
mutually exclusive goals and intervention of the other person in achieving their goals. In British
American Tobacco, conflict effects in both positive and negative manner. The positive effects
are good decision-making as the members are forced to explore the issues and interests, it
strengthens unity in groups which helps the members to discuss and negotiate their interest. The
negative effect is that conflict causes frustration in the mind of people if they start feeling their
may be no solution to get recognised in the organisation (Sayed, Hendry and Bell, 2017).
Discuss the various types of motivation used at BRITISH AMERICAN TOBACCO
In organisation number of people are working and giving their contribution towards
activities which can help to manage the good performance and increase the business
performance. This is important for management to analysis the needs of employees who are
working at workplace and provide them different benefits that can motivate them and retain for
long period of time. If employees are receiving proper motivation and benefits while working
then it become easy to getting the work done and accept the challenges in relation to productivity
which increases performance. BRISTISH AMERICAN TOBACCO is focusing on Maslow's
theory that is related to motivation uses to influence and retain the employees that are as defined
below:
Psychological needs: The basic needs of employees in BRISTISH AMERICAN
TOBACCO be completed by providing food, water, shelter and air and rest which are important
to live.
Safety needs: Once basic needs of employees have been completed then employees are
desiring safety and security needs that can influence to work more.
Belongingness and love needs: The employees of chosen organisation fill their
belongingness and love needs by maintaining good relations that increases morale.
Esteem needs: This is related to self-esteem and respect which is demanding by
employees in order to work more effectively (Stephen, 2017).
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Self actualisation: The employees of chosen organisation analysis their performance and
bring the changes which motivate to develop skills and get opportunity to work properly.
Types of motivation:
Intrinsic Motivation: This types of motivation is related to internal desires and needs
which are required to fulfil by management to motivate the employees such as providing
feedback, rewards, bonus, promotion, and encouraging collaboration.
Extrinsic Motivation: This motivation represents all required things that motivates
employees on the basis of external rewards like money and praise. This involves tangible
incentives, fear, and transfer which can motivate the employees of chosen organisation and
increase the insights to work effectively.
Use appropriate corporate examples and literature to justify your stand.
From the discussion it has defined that there is need to adopt effective leadership and
management style which can help to operate the business and increase the organisational
productivity. As per view point of Zhou (2019), The success of business mainly depends on
people and their skills which are uses to understand the task and perform their roles effectively
which can help to increase the performance. To make the right business decision and attaining
goals there is need to focus on management and motivation which influence employees to getting
the work done on time. For example, BRITISH AMERICAN TOBACCO is cigarette
manufacturing company that is operating business at various place and providing good quality as
well as flavour of cigarettes. In this organisation employees who are working are focusing on
their role and responsibilities that are important to perform and manage the activities. In starting
the chosen organised faced the problem of lower sales and lower productivity because employees
were not ready to accept the modern method and new technology for manufacturing process. At
that time, Jack Bowles as introduced and adopted the transformational leadership style that
helped to bring changes and new technology in their organisation and improved the performance.
Similarly, Tesco is larger organisation uses the effective leadership style and Maslow
motivational theory for the purpose of motivating employees and getting the work done
effectively. If employees are facing any problems and conflicts then Laissez-faire leadership
style is used by management which supported to allocate the work between them and complete
the task effectively.
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Suggestions
Every organisation works on certain principles and functions on which management
carries out its work. The manger of company selected above, British American Tobacco which
follows transformational management style follows the principles and functions accordingly. The
employees of the company are important resources without whom no work can be carried out. To
achieve high performance and get the work done effectively the organisation adopted Matrix
structure and clan culture. Though these structure and culture fits very well to the entity but with
change in time if has to change them then Hierarchical structure and Hierarchy culture is the
suggestion. This is because the work can be carried out in proper manner and employees can be
more informative and effective in the work. Leadership style adopted by leaders of company is
Laissez-Faire style which is used for highly skilled and experienced employees in company who
are always motivated with their work. But leader can also use Affiliative Style to know the
employees closely and personally which would help him in support them in emotional needs also
(Welch and Yates, 2018).
Besides this, Power which is the authority to do work and get work done from people
also effects the working in company. Use of excess power is harmful for the working in any
entity, it is suggested that power should not be used by person to control other people of
company and if not used in controlled way then it would create conflicts within terms or groups.
The effective ways to resolve such conflicts can be taking to people with open mind set,
understanding and listening to each other, providing guidance and being quick to forgive people.
Other then all this things, an organisation has to focus on the main factor which is motivation as
it is necessary to get work done with full effectiveness. Motivation is inspiring employees
knowledge and skills to grow and develop in organisation. The act of persuading people in
company to work for accomplishment of goals and aims which are set by mangers. It defines
psychological process which increase the working of employees. Motiving employees is key to
success which levels commitment, energizes working procedures to bring out everyday role of
employees. It will also help in achieving personal goals and have job satisfaction.
CONCLUSION
From the above project report it can be concluded that organisational theory is set of
concepts which are inter-related and explains behaviour of individuals or groups who have
interaction with each other to carry out their activities to accomplish common goals.
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Management styles are ways through which the principles and functions of management can be
effectively implemented by CEO of company. With the proper selection of leadership style and
management style the work of entity can be done in correct manner.
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REFERNECES
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