People and Organizations: An Analysis of IKEA and Indian Oil Corporation

Running head: PEOPLE AND ORGANIZATIONS
PEOPLE AND ORGANIZATIONS: AN ANALYSIS OF IKEA AND INDIAN OIL
CORPORATION
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1PEOPLE AND ORGANIZATIONS
Table of Contents
Section 1: Organization Structure, Culture and Behavior...............................................................2
Structural Differentiation.............................................................................................................2
Cultural Differentiation...............................................................................................................5
Impact of organization structure and culture on the ways in which leaders, managers and
employees behave........................................................................................................................6
Section 2: Drivers of Organizational Change................................................................................10
References......................................................................................................................................13

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Section 1: Organization Structure, Culture and Behavior
Structural Differentiation
As stated by Wu et al. (2019), the contemporary business corporations are increasingly
amending the different traditional organizational structures to suit the needs or the requirements
of their corporations or the nature of their business operations. San Cristóbal, Fernández and
Diaz (2018) are of the viewpoint that the primary objective of the corporations behind doing this
is to enhance the effectiveness or the efficiency of the different structural departments of their
corporations and thereby to facilitate the attainment of their overall business goals or objectives.
This in turn is the reason why the different corporations have started to take the help of structural
departments which are entrusted with the completion of specific tasks within the corporations
and thereby enhance the overall organizational performance or the productivity of the
organizations (Heidenreich, Hiller and Dörhöfer 2018). This even holds true in the context of
Indian Oil Corporation and IKEA.
In Indian Oil Corporation, it is seen that the concerned corporation takes the help of the
process of structural differentiation for the purpose of having different specialized departments
which in turn would help in the effective completion of the entire work of the concerned
corporation. There are six major structural departments of the concerned corporation which are
being outlined by the below given figure-

3PEOPLE AND ORGANIZATIONS
Figure 1: Structural Departments of Indian Oil Corporation
Source: Iocl.com (2020)
The above highlighted six major structural departments of the corporation are being
further structured into various smaller structures to enhance the effectiveness of the same. More
importantly, it is seen that during the different meetings of the corporation, the leaders of each of
these structural departments are there so as to ensure the fact that there is a strategic link between
these departments and also the work of the corporation is being completed in an effective manner
(Iocl.com 2020). In the case of IKEA it is seen that the structural division used by the concerned
corporation is a bit different from the one used by Indian Oil Corporation-