Organisational Theory and Practice

This report discusses the management style, organization structure, leadership style, effects of power and conflict, and types of motivation in the context of British American Tobacco (BAT). It provides insights into how these factors contribute to the overall performance of the organization.

ORGANISATIONAL
THEORY AND PRACTICE

TABLE OF CONTENTS
INTRODUCTION...........................................................................................................................3
MAIN BODY..................................................................................................................................3
A. Management style and functions and principles of management...........................................3
B. Organization structure and culture..........................................................................................5
C. Leadership style......................................................................................................................6
D. Effects of power, conflict and influence in the organization..................................................7
E. Types of motivation................................................................................................................8
F. Corporate examples and literature for justifying own stand...................................................9
G. Suggestions and recommendations for increasing organisational performance...................10
CONCLUSION..............................................................................................................................11
REFERENCES..............................................................................................................................12

INTRODUCTION
Leadership and management are major aspects of an organisation which always
contributes in all over growth. Currently most companies and businesses in market place are
trying to make their leadership and management aspects very effective to gain long term benefits
in market place. Many times, companies not gain appropriate outcomes in market place just
because of poor management and leadership qualities of upper management or CEO (Perry and
Mason, 2016). Adoption and implementation of proper leadership style mostly helps to
management for taking very productive and excellent work from various employees or workers.
This report discusses style of management and functions and principles of management used by
CEO of British American Tobacco (BAT), named; Mr. Jack Marie Henry David Bowles. BAT is
cigarette manufacturing company, headquartered in London, United Kingdom. This report
discusses different ways or methods of company which contributes in achieving high
performance in market place. Organisational culture and its impact on the employees have been
also covered in this report. Report covers some effective leadership style of CEO as well.
Various types of motivation, effective of power, conflict and influence and proper
recommendations also has been covered in this report.
MAIN BODY
A. Management style and functions and principles of management
Currently CEO at British American Tobacco company uses different productive styles of
management. He uses different functions and principle of management as well for properly
managing its different organisational activities and operations. Management style of Mr. Bowles
has been discussed below with key principle and functions of management used by him.
MANAGEMENT STYLE
Directive: This is the first management style that is highly used by the CEO of BAT. Basically,
this style of management supports him for properly directing its different employees and people
in workplace (Hunt and Chalmers, 2017). No manager can manage its different activities and
operations without adopting this style of management, because directive style improves direction
quality of manager in workplace, and at the end, it will be enabled to give appropriate orders to is

employees for conducing different organisational practices. That’s why this management style is
completely used by chief executive officer.
Affiliative: Affiliative style of management is also used by upper management of company in its
daily operations. Basically, this style gives opportunity to CEO for maintaining very effective
relations with different employees in workplace. In this situation, when upper management has
great relationship with its employees, then these employees feels valued by company, and get
motivated to work effectively in workplace. These are main reasons that, Mr. Bowles mostly
considers this style of management as well.
FUNCTIONS OF MANAGEMENT
Planning: Planning is the most common and productive function of the management, in which
CEO of company is completely aware about the impact of this planning, and that’s why it always
creates an appropriate plan to its next operation or activity to achieve final aim of BAT.
Organising: This is function is also properly conducted by upper management of company
(Keeton, 2018). Generally, organising function of management helps to chief executive officer to
organise different useful resources in workplace which can support in conducting different
activities in workplace effectively. For example; human resources, raw-material, transportation,
funding sources etc.
Monitoring and controlling: Monitoring and controlling are also major functions to upper
management of British American Tobacco. These functions help to CEO for properly monitoring
different activities of organisation, and also contributes in controlling various organisational
operations in a very productive manner.
PRINCIPLES OF MANAGEMENT
Discipline: Discipline is the first principle of management that is fully considered by upper
management of Tobacco company. According to CEO Jack Bowles, discipline is very necessary
to a manager for enhancing different positive values in workplace. Discipline promotes
factuality, ethics and laws in workplace, and that’s why he has considered this principle of
management in its workplace.

Unity of command: Management principle of unity of command is also followed by CEO
Bowles to give appropriate and favourable commands to its different employees in workplace
(Swanwick and McKimm, 2017). This principle has enabled to him for maintaining an
effectiveness within is workplace by giving proper command to various functional departments.
B. Organization structure and culture
In this dynamic and modern world, it is very necessary to an organisation or business to
gain high performance and productivity in market place for achieving great success. So that,
upper management at British American Tobacco also has taken lots of productive steps towards
for achieving high performance in market place, in which some major step of existing tobacco
organisation has been discussed below which it has taken for achieving very higher performance.
Hires talented and skilled people
This is one of major steps of organisation in the context of achieve high performance in
market place. Top-level management at company knows that, when any business has workforce
of many talented and skilled always works very effectively in workplace, and the management of
that business will be enabled to take very productive work from them as well (Truong, Hallinger
and Sanga, 2017). That’s why upper management of company focuses on hiring talented and
skilled people in workplace in order to achieve high organisational performance.
Uses modern business strategies
This step adds the most productive value in organisation for achieving high performance
and productivity. CEO Mr. Bowles believes in adopting and implementing modern business
strategies in workplace for gaining effective performance. For example; company uses product
differentiation strategy that enables for developing new exclusive range of products and services.
BAT uses digital marketing strategy as well for effectively promoting its brand at the large scale
in market. These types of business strategies are enough to venture in improving its levels of
performance in market.
These are major steps of tobacco company’s CEO which it has taken for achieving high
performance. On the other side, Mr. Bowles always tries to make its organisational culture very
effective as well as very productive, because an effective work culture mostly positively affects

to performance of employees in workplace. That’s why he always tries to conduct such activities
in workplace which contributes in the formation of healthy organisational culture (Sadler-Smith
and et.al., 2018). For example; Mr. Jack Bowles follows ethical and legal considerations in its
workplace, because ethics and law always help to a business for making a healthy and effective
work culture or environment. He tries to remove those all elements from its workplace as well
which can affect its work culture in negative manner.
According to CEO of company, these all are major steps to him for maintaining an
effectiveness within organisational culture. An effective or healthy work culture always very
positively affect to employees’ workability in workplace, and this is the main reason he never
compromising with effectiveness of his company’s work culture or environment. Basically,
when company’s most employees have very productive workability, then organisation will
simply achieve high performance and productivity in market place.
C. Leadership style
CEO Mr. Jack Bowles uses different styles of leadership in its daily operation for
enhancing effectiveness of organisation. Generally, enhanced organisational effectiveness is very
necessary to an organisation for gaining huge profit margins and competitive advantage in
market place. In this situation, leadership styles play an excellent role to upper management of a
business for gaining effectiveness in organisational activities and operations (Long, 2017). There
are some key styles of leadership has been discussed below which adopts by chief executive
officer of tobacco company to maintain an effectiveness in its workplace.
Servant leadership style: This style of leadership is currently adopted CEO Bowles for
enhancing effectiveness in organisation. Basically, servant leadership style helps him for
properly serving its different services to customers in market place. This style encouraged him
for developing positive interaction values with employees as well, in which after establishing
great interaction with employees he has enabled to maintain effective employees’ relations in
organisation. He knows that, currently many successfully leaders are taking lots of advantages
through servant leadership styles, and this is the main reason that, he has also adopted this style
in order to enhance its organisational effectiveness.

Coaching style: Coaching is another major style of leadership that has many times adopted by
the CEO of company for gaining very appropriate results in workplace. Basically, coaching style
has enabled to him for being a coach to its different employees or people in order to provide
them proper learnings, guidance and direction. After employing this style in daily operations,
Mr, Bowles starts act like coach its people. It tries to encourage people for putting their great
efforts in all over growth of the organisation. On the other side, this style enables to him for
motivating people to maintain effective relationship with each other (Martinuzzi, 2019). Finally,
he will be ready to enhance effectiveness of its organisation by using coaching style of
leadership.
Transformational style: Transformational leadership style is also very productive to chief
executive officer of BAT, because after adopting this style of leadership, he can simply enable to
transform itself according to different situations of organisation. For example; a venture has
always required to deal with many positive and negative situations, in which when upper
management of that venture has proper knowledge of transformational leadership, then it can
simply deal with any type of organisational situations. Currently CEO of existing tobacco
company is completely aware about the role of transformational leadership style, and this is the
main reason that he adopts this style as well for improving or enhancing effectiveness of its
company in market place.
D. Effects of power, conflict and influence in the organization
There are power and conflicts highly influence to different aspects of organisation. In this
situation, top-level management at BAT has always required to properly manage the influence of
power and conflict in its workplace. Currently upper management has given power to its
different people in organisation. For example; a leader in British American Tobacco has power
to lead and direct different team members and employees in workplace. On the other side, a line
manager has power to manage different aspects of existing work place (Guerrero, Teng-Calleja
and Hechanova, 2018). The HRM has power to provide different productive training and
development sessions to employees. It means, upper management of company has distributed
power to different people in workplace according to their speciality and attributes. In this
situation, this power aspect highly affects to all over performance and productivity of BAT in
market. That’s why this is very necessary to CEO of company that, properly manage the impact

of power. He needs to ensure that people are using their power in proper and ethical manner or
not, because many times people uses their power in unethical way for gaining personal benefits.
That’s why he needs to motivate its functional departments and people to use the power in proper
manner that can affect organisational growth positively.
On the other side, the CEO of company always needs to be ready for dealing influence of
organisational conflicts as well. Basically, each business or company have to deal to conflicts in
workplace, because these are not favourable for organisational final objective. This is the main
reason that, Mr. Bowles always prepares a specific plan to deal with the impact of organisational
conflicts (Place and Vardeman-Winter, 2018). Currently BAT faces many conflicts in workplace,
for example; many times, employees not coordinates with each other due to different mind-set
and motivation, many times contractors has breached contract with company without any
negotiation, sometimes conflicts raises because of political instability. In this situation, these all
types of conflicts always very badly affected to company’s performance in market place, so that
upper management uses different productive techniques to reduce the negative impact of all
conflicts. For example; it develops effective interaction values between all employees to
motivate them for maintaining effective relations with each other. On the other side, follows
different laws, regulations and standards also contributes in removing different conflicts from
workplace. At the end, company will be enabled to effectively manage the influence to power
and conflicts in own workplace after conducting these all practices.
E. Types of motivation
Currently CEO at British American Tobacco uses different type of motivation to highly
motivate its different employees or people in workplace for achieving very appropriate results in
market place (King, 2018). Day to day competition in market place in increasing, in which this is
very necessary company for having a highly motivated workforce, in which adopting various
productive types of motivation is the most favourable deal to chief executive officer to motivate
employees in workplace. Some major motivation types have been discussed below used by BAT.
Achievement Motivation: This one of major type of motivation that has used by existing tobacco
company to motivate people in workplace. Basically, while using this type of motivation the
upper management of BAT aware employees about what are main targets and objectives of

company, then employees will be motivated to achieve these targets and objectives in given time
period.
Competence Motivation: Competence motivation plays an excellent role to business, because
this gives opportunity to achieve a skilled and talented workforce to company. Basically, this this
motivation type has enabled to upper management of venture for motivating all people or
employees in workplace to develop their skills and abilities. However, while implementing this
type of motivation in workplace, the management have to provide appropriate training and
development sessions as well to its employees.
Power Motivation: Power motivation highly motivate to people in organisation for working hard
in workplace to improve their performance, because when nay person performs very well, the
upper management of company promote it (Stanley, 2016). After promotion, any employees can
simply gain more power than its previous job role, and this is the main reason that existing
tobacco venture highly uses this type of motivation as well.
Attitude Motivation: Attitude motivation type helps to company for positively changing attitude
aspect of employees. Top-level management of BAT completely knows that, attitude of an
employee highly matters in improving productivity and performance of an organisation.
Basically, when most employees within an organisation has very positive attitude and perception
for achieving its final goals, then that organisation will simply achieve very appropriate
outcomes ion market place. That’s why upper management gives rewards and appreciation to
employees for positively changing attitude of employees.
Incentive Motivation: Tobacco company provides incentives also to its various employees and
people within workplace against their extra work. Basically, company knows that incentives
always very positively affects to employees and motivate them working more hardly to achieve
very appropriate outcomes in work place. That’s why company provides favourable incentive
amount to its employees to motivate them in workplace.
F. Corporate examples and literature for justifying own stand
According to Amar (2017)currently each and every business wants to make its leadership
and management aspects very effective, because a manager or a leader are main people in an
organisation who works for gaining huge performance by taking an effective work from all
employees or people. A manager always has power to plan, organise, select, control or direct

different activities in the workplace. On the other side, a leader plays an excellent role in leading
various team members or employees in workplace. An employee can’t perform very well without
taking proper guidance or direction of its leader and manager. This is the main reason that,
currently most organisations providing some productive training and development sessions to
their leaders and managers for aware them about effective role of leadership and management
styles. Currently this is the very necessary to a manager or a leader to adopt and implement
different styles of leadership to gain appropriate outcomes in workplace. These styles have
enables leaders or manager for perfectly managing various aspects in their organisation.
As illustrated by Gorchani and et.al. (2017) there are many factors always exists in an
organisation’s business environment which has affected it in both ways positively and
negatively. In this situation, top-level management of organisation has always required to make
some appropriate strategies to deal with the impact of these all factors. For example; high market
competition factor can impact business for develop its levels of customer service to attract many
new customers towards own brand. In this situation, when company attract many new customers,
then it can simply gain excellent competitive advantage in market place.
On the basis of these all corporate examples and literatures, CEO of British American
Tobacco need to develop or innovate some productive strategies which will be contributed in it’s
all over growth in market place.
G. Suggestions and recommendations for increasing organisational performance
Day to day market competition in each industry or sector is increasing, so this is not favourable
factor for the organisational growth of BAT. In this dynamic and modern world, only those
ventures are able to gain huge profit margins where upper management has proper knowledge
about different principles of management. So that, top-level management of British American
Tobacco should gain proper knowledge of leadership and management styles, because this is
very necessary to positively impact the performance of employees or workers (Becker, 2020).
However, CEO Mr. Jack Bowles at existing company is fully aware about an extra-ordinary role
of various style, and that’s why he is taking huge advantages from these all styles by applying
them in its daily operations. Currently performance management task is also very necessary to
the management of company for gaining an effective workforce, in which upper management
have to make some productive policies for managing performance of all people and employees to

make them highly talented and skilled. After considering these all factors and aspects in daily
operations, chief executive officer of BAT can simply gain huge profit margins in market place.
CONCLUSION
On the basis of above findings, it can be concluded that chief executive officer of British
American Tobacco has lots of skills and abilities to manage its various organisational operations
in proper manner. He has succeeded in maintaining an effectiveness within its work culture or
environment which is really great thing. With the support of proper direction and monitoring of
CEO Mr. Henry Bowles, currently BAT is gaining excellent outcomes in market place.

REFERENCES
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Online
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Available Through: < https://blog.hubspot.com/marketing/leadership-styles>.
Martinuzzi, B. 2019. The 7 Most Common Leadership Styles (and How to Find Your Own).
[Online]. Available Through: <
https://www.americanexpress.com/en-us/business/trends-and-insights/articles/the-7-
most-common-leadership-styles-and-how-to-find-your-own/>.