Influence of Leadership and Culture on Organization

This assignment examines the interplay between leadership styles, organizational culture, and employee motivation. It analyzes different leadership approaches (laissez-faire, etc.) and how they shape organizational culture. The influence of motivational theories like Herzberg's Two-Factor Theory and McGregor's X and Y Theory is also discussed in relation to managerial effectiveness within organizations.

ORGANIZATION
BEHAVIOR

Table of Contents
INTRODUCTION...........................................................................................................................1
TASK 1............................................................................................................................................1
1.1 Types of organisation culture and structure .........................................................................1
1.2 The relationship between an organisation culture and their structure and the impact on
business performance..................................................................................................................3
1.3 factor which influence individual behaviour at work...........................................................3
TASK 2............................................................................................................................................4
2.1 Effect of different leadership style in organization...............................................................4
2.2 Organization behaviour theory raise the practices of management......................................5
2.3 Different approaches of management used by City College and Enterprise Car Rental
Company.....................................................................................................................................6
TASK 3............................................................................................................................................6
3.1 The impact that different leadership styles may have on motivation in organisations in
periods of change........................................................................................................................6
3.2 The application of different motivational theories within the workplace.............................8
3.3 Usefulness of a motivational theory for the mangers..........................................................10
TASK 4 .........................................................................................................................................10
4.1 Nature of groups and group behaviour in both organisation...............................................10
4.2 Factors that promote the development in the organization and the team work in the
organization...............................................................................................................................11
4.3 The impact of technology on team functioning in the City College and car rental company
...................................................................................................................................................11
CONCLUSION..............................................................................................................................12
REFERENCES..............................................................................................................................13

Illustration Index
Illustration 1: Organization Culture.................................................................................................2
Illustration 2: Leadership Styles......................................................................................................7
Illustration 3: X and Y theory of motivation...................................................................................8
Illustration 4: Herzberg's motivational theory.................................................................................9

INTRODUCTION
Organisation behaviour plays an important role in organisation because it is a study
which are based on individual and group behaviour toward the workplace. By using OB theory
managers boost up employees' energy and clear the mission and vision of firm. To understand
the nature and behaviour of person it is the best theory because it develops the knowledge of
workers and also clear roles and responsibility to each other (Robbins, Judge and Boyle, 2013).
This approach also managed all work in company and also reduce the misunderstanding between
all department. It classified the action and attitude of individual person and group members
toward organisation and how firm handle all difficult situation at their workplace. The present
report is based on two different organisation where first firm is based on City College, it is a
teaching firm who teach their student and raise their knowledge and development skills. Further,
second organisation is based on enterprise car rental, it is a driving firm who provides cab and
taxi services to their customers and also allot driver for travelling (Mendes and Stander, 2011). It
also includes roles and responsibility of different department and how company use leadership
styles at their management system. Moreover, how both organisation create a good relationship
with their employees and customers have been covered in this report.
TASK 1
1.1 Types of organisation culture and structure
City College and Enterprise Company both follow different organisation culture and
structure at their internal environment. City College use departmental organisation structure
which are explained as follows:
Departmental structure- In this structure Enterprise divide their whole work into sub
parts like firm separate their finance, human resources and project department separate for better
work efficiency. This firm also allot one team leader in each team who guide their employees in
their work and motivate them time to time (Nafz, Seebach and Reif, 2011). This structure also
shows the span of control where who guide employees and who follow the all instruction all
things have been covered in this structure. It is a beneficiary structure because with the help of
this company can easily find out which department gaining more profit and work of employees.
Vertical specialization structure- It is the best structure for City College, in this principal
divide work as per teacher capability and their knowledge. In other way, head department allot
differ classes to every teacher so by this they can easily spread their knowledge to all students
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and raise students skills and knowledge (Cronin and Müller, 2012). In this structure the chain of
command is based on high authority decision an all staff members follow them. For better
creativity principal time to time take a feedback from their teacher and according to their review
change their classes timing and schedule.
There are also some cultural differences in both organisation which are explained as
follows:
Power culture- In every organisation power is key element, it is good for small and
medium size firm. The reason behind this is in small firm single head manager can easily control
all things. Usually enterprise car rental follow this culture at their workplace and for this head
managers used centralised decision making (Organisational Structure & Corporate Culture,
2014/2015). In this process company follows standard format and do not take quickly decision.
Manager of Enterprise first evaluate all situation and according to review they take a right
decision which are beneficiary for both parties.
Role culture-It is one of the best culture which follows by City College. In this culture
firm split their all function and adopt one leader for each activity. By this, all teachers can easily
2
Illustration 1: Organization Culture
Sources:(Organisational Structure &
Corporate Culture, 2014/2015)

handle their all situation and focus on their future planing which are based on students'
developmen (Suppiah and Singh Sandhu, 2011)t. This culture is beneficiary for all big
organisation because when people know their role and power so they can easily manage their
work and also give their best in work.
1.2 The relationship between an organisation culture and their structure and the impact on
business performance
Business culture and structure are usually decided by the head department of organization
because they know all internal and external factors of firm. Moreover, it is beneficiary for each
and every level of firm because it analysis the whole situation and according to feedback, firm
plan their strategies. This culture and suture apply to every place like in companies, government
and In sports organization etc . The culture and structure of firm effect their performance in
positive or negative way. For example, if company polices, communication structure and
promotion format is good so by this, employee feel motivated and give their best penitential at
workplace. Further some dissatisfaction factors like hard and strict working policies, working
environment and low salary demotivated the employees and they do not give their best
performance. According to Preston, (2012) if company have good internal environment and
effective policies so employees feel enthusiastic and shared their different norms and values to
organization. City College and Enterprise are famous for their employees and customers
satisfaction. So for better development firm time to time take a feedback from their customers
and according to their staff members reviews change their management strategies. Further,
organization structure shows the roles and responsibility to all staff members like who will give
all instruction and all (Watson and Korczynski, 2011). For example, in college all teacher follow
the instruction of their principal an in Enterprise all staff members follow their team leader
instruction. By adopting right organization structure, firm can easily take their all decision at
right time.
1.3 factor which influence individual behaviour at work
There are so many factors which influence individual behavior like working environment,
job responsibility and training etc (Salahuddin, 2010). But the main factors which change
employees behavior and option which are based on personality and perception toward their
company. Personality is defined as traits and how one person deal with other person. It also
showing the nature of employees toward their other staff members and how they deal with it.
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Personality includes five factors which are known as OCEAN that influence individual behavior
at working place. Description of this five factors explained as follows:
Openness at workplace- This factors shows how new employees or workers feel relax-
able with their other team members (Hands, 2011) .moreover, how people feel to share their
ideas and view's to other team members.
Consolidation- It shows the self discipline, aim behind achieve some goals etc.
Extroversion- How employees deal with their emotion and how manager and employees
manage their personal and professional life at workplace.
Accommodation- It represents the area of organization and cooperative nature of
employees.
Need for stability- How managers and staff members control their anger, depression and
negative emotion, have been come in this part (Singh, 2010).
Further, perception of employees and staff members also put their impact on individual
performance . For example, every people have their different perception for every work.
Sometimes different perception effect the working performance. For example, in Enterprise ,
mangers perception is based on analysis (Hatch and Cunliffe, 2013). So first thy analysis whole
work then make a strategy. According to their planning managers instruct their employees in
work like what they have to do or which process they have to follow. Further, in City College
principal first look out at work they start working according to customers comment. Then at last
evaluate their whole work with their last performance. So it shows that every firm and each
people have different perception for same work.
TASK 2
2.1 Effect of different leadership style in organization
Leadership styles are based on the leadership theories which are used by organization for
their better development. Mostly all team leaders and head department of organization decide
leadership style for employees because they know company internal environment as compare to
other employees (Dent and Whitehead, 2013). This styles helps company management system to
know better things about their employees. Enterprise Car Rental Company use autocratic
leadership style at their workplace. Explanation have been given in the below lines:
Autocratic leadership style: This style also knows as Hitler styles it means it is very strict
and head department take all the decision. In this process managers do not involved other team
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members (Andrews, 2010). The reason behind this is workers do not know about company roles
and power structure very well so they are not able to give a suggestion to their head department.
Moreover, by this leadership style employees feel demotivated and do not give their best
potential at workplace.
Democratic leadership style- The second name of this leadership style is participated
style. This style is used by City College at their college. By using this style, principal involve
their other staff members in decision making process
(Aaker and Joac. The final decision is taken by the head department but with the help of
suggestion they can easily take a decision. By applying this leadership style, employees feel that
they all are important part of organization and give their best performance at workplace. The
second reason to use this style at workplace is developed the team spirit at organization.
2.2 Organization behaviour theory raise the practices of management
Organization behavior theory is based on individual and group behavior where firm
identify the changing behavior of their employees for the company. By applying OB theory at
workplace managers can easily understand the changing behavior of employees and according to
their nature firm can evaluate the reason behind misunderstanding (Andrews, 2010). This theory
is based on purpose oriented approach, where firm try their best to achieve all the advantage and
maintain their position in competitive wold. This theory raises the knowledge of employees and
also build confidence power for taking decision. There are some theories which are explains in
below lines, with the help of this both organization can easily manage their all work.
Human relation theory- This theory is used by City College, it is based on internal
environment of organization by applying this theory firm can easily understand the need and
desire of employees. Further, by this theory all department can easily share their views to each
other and create a friendly atmosphere at workplace (Green, 2012). For example, principal time
to time motivate their teachers by giving them appraisal, promotion etc. So they feel motivated
and give their best potential.
Classical theory- It is used by Enterprise ,this theory is based on systematic approach
where manager of company follow one standard format. For better efficiency head department
divide their whole work into groups and each team have their one leaders, who guide their
employees (Cummings and Worley, 2014).
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2.3 Different approaches of management used by City College and Enterprise Car Rental
Company
Company's approaches are based on the need of customers and staff members. For better
effectiveness both organization categorized their managerial approaches into three pats which are
explained as follows;
Management approaches are based on diversify of technology like how firm adopt new
technology at their workplace and how to teach their employees (Shafritz, Ott and Jang, 2015).
Further, complexity which are based on delivery, it means how company deliver their product or
services to their clients. For better understanding these approaches are characterized as follows:
Active listening- For development of company it is important for firm to update and
develop their active listing power. For this both organization time to time take a beefcake from
their employees and their staff members (Hatch and Cunliffe, 2013). By their review firm can
know their positive and negative points. Then they change their management strategies and raise
their brand name into competitive world.
Cultivating- In this manager or principal of organization analysis their employees skills
and according to their positive points give them wort (Singh, 2010). By applying this thing firm
raise their working capability and in other hand satisfy their employees by providing them their
favorite work.
Steering- It is different approach which are based on instrumental projects. In this
business divide their work into team and team members guide their all workers and partners. It is
short term approach (Hands, 2011). For better development and effectiveness organization
change all groups and team. The reason behind this is by changing team member's all employees
can do work with each other workers and raise their knowledge.
TASK 3
3.1 The impact that different leadership styles may have on motivation in organisations in
periods of change
Leadership is based on direction, planning, motivation and implementation. There are so
many leadership styles like autocratic, participate and free reign styles (Salahuddin, 2010). These
style help both organization to manage and set their all work and beat the targets. Explanation of
different leadership styles and motivation In organization explains as follows:
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Autocratic style- In this style all decision are taken by head department like board of
director, principal because they know the internal environment, company polices,
communication structure etc. In this style decision are taken by head department and they do not
involve other team members like they do not even take a suggestion from them.
Participate style- This style believe in work together for everyone, in this all employees
complete their work in team(Laissez-Faire Leadership – Is Less More? , 2013) . By applying
this styles leaders build trust power among all of them. Moreover, head department take a
suggestion from their other members or employees so they feel motivated and give their best
potential at workplace.
Free reign style- In this style all employees are free to do their work as per their styles
and also they can take decision. Team leaders just guide them and give suggestion (Robbins,
Judge and Boyle, 2013). But the negative point of this style is fresher are not able to understand
the vision and mission of company so some time they take a wrong decision which are harmful
for firm brand name.
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Illustration 2: Leadership Styles
Sources: (Laissez-Faire Leadership – Is Less More? , 2013)

3.2 The application of different motivational theories within the workplace
City College and Enterprise Car Rental Company use different motivational theories
which are as follows:
Motivational X and Y theory- This approach is used by Enterprise Car Rental Company,
where manager of firm plays a role of X factor. It shows the role and responsibility of mangers
for their company. In this, head person give an instruction to their employees and they follow
them. But the negative point of this style is leader do not take the suggestion from their
employees in decision making process so sometimes workers feel demotivated and do not give
their best efforts to company(MOTIVATION, 2014). By applying X and Y motivation theory
managers change their management style and convert into soft approach. For example, head
department of this company start involving their staff members in decision making process and
as per the suggestion leader take a decision. By this thing, employees feel motivated and give
their best efforts to firm.
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Illustration 3: X and Y theory of motivation
Sources : ( MOTIVATION , 2014)

Frederick Herzberg's theory- This theory is used by City College and the main profit of
this theory is it define some factors which are based on satisfaction and dissatisfaction of
employees. For example, college policies, salary structure and the negative behavior of other
staff remember come into dissatisfaction factors. In other hand, motivation, appraisal and college
positive responses' comes in this factor(Herzberg's Two-Factor Theor, 2016). So when employee
or teachers feel satisfied so they can easily give their best efforts to college and raise their brand
image. Moreover, present model of herzberg also explains the nature and behavior of human
when their desire are fulfilled or not fulfilled. So basically needs are divided into two pars. First
one is physiological need, which are based on basic need of human person like shelter, food and
water. The second one is psychological need which explains development factors.
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Illustration 4: Herzberg's motivational theory
Sources: (Herzberg's Two-factor Theory, 2016)

3.3 Usefulness of a motivational theory for the mangers
Motivational theories are based on employees' need and desire. It also provides an
information which are based on workers' perception toward their company. So with the help of
motivational theories team leader and managers can easily evaluate the changing behaviour of
workers. For example, with herzberg theory head department easily know the basic need of their
new freshers so head department set their salary according to theory. By this, they can fulfil l
their basic needs like food, shelter and water(Mendes and Stander, 2011). Moreover, this theory
also explains satisfaction and disinfection factors so when leaders plan for training they keep all
these things in their mind then plan for their employees. In other hand with X and Y motivational
theory head department can easily know that, why it is important to involved all employees in
decision making process. There are also some useful points which are explained as follows:
 By this theory, mangers reduce misunderstanding which are based on communication
among all department.
 With the help of motivational theory leaders guide and motivate their employees.
 For freshers, it is a learning process, so managers and head department guide them in
their work and raise their knowledge and skills.
 By applying motivation theory, productivity of employees goes high and they can give
their 100% to company.
 It also provides a job satisfaction.
 Motivational theories are based on comprehensive study of workers nature (Nafz,
Seebach and Reif, 2011). So by this manger evaluate the nature of employees.
 For better development of organization and achieve all the goals of company these
theories are necessary.
TASK 4
4.1 Nature of groups and group behaviour in both organisation
Both organization believe in team work rather than individual work. The reason behind
this is when people do some work in group so they raise their knowledge and also build trust
power among all of them for better development of organization it is important to develop better
understanding In their all department (Suppiah and Singh Sandhu, 2011). Enterprise divide their
work in groups and allot one team member who guide and motivate them, in college principal
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time to time give a proper training to their teacher which are based on how to make a better
relationship with their other team members. The success or failure of group is depends on how
team leaders guide them and which leadership style are using by leaders at workplace. For better
efficiency both organization divided their groups into two parts. First one is formal group ,this
group follow all rules and regulation of company (Cronin and Müller, 2012. It also follows the
standard format of working. Further, second group is known as informal group, this group is
based on some activities or hobbies. This group do not follow any structure or format. When
workers do some work in groups, so they raise their working efficiency, trust power, improve
their skills and complete whole work in less time.
4.2 Factors that promote the development in the organization and the team work in the
organization
In company, there are so many factors which effect the performance of teamwork. For
example, both company time to time give a proper training to their staff members which are
related to work. Further, it also includes high standard performance of employees, cost
minimising, team work and motivations (Watson and Korczynski, 2011). These factors affect
employees working ability. In the absences of these factors workers feel demotivated and do not
perform well at workplace. It is 21st centenary and for better development it is necessary for both
organisation to improve team work and motivate their employee. The reason behind this is,
company success is not only based on leaders and managers but workers plays an important role
at firm. They complete all work and beat the target. Moreover, they also maintain the brand
name of company into competitive world.
4.3 The impact of technology on team functioning in the City College and car rental company
For business development and better performance media, the latest technology and
communication plays an important role (Preston, 2012). Nowadays, technology change everyday
so it is important for organization to change their management strategies and update all latest
technology at their workplace. For example, City College teach there students by using power
point presentation and video calling. So by this, other student also gain knowledge from college .
Moreover, It also provides an internet and computer facilities to their students so by this, they all
can easily complete their project on time (Salahuddin, 2010). In other hand Enterprise Company
provide WiFi facilities to their drivers. By this, all drivers can easily find out the way (Hands,
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2011). For better communication in each department of both organization using mobile phones
and mail facilities. So by this, all employees can easily share their views to each other.
CONCLUSION
According to present file, it has been concluded that the knowledge of organization
behavior theory is an important for better development of firm. By applying this theory City
College and Enterprise can easily evaluate the changing behavior of their employees. Moreover,
this theory guide team members in their work and also teach them which leadership style is
better for new freshers. Moreover, with the help of organization culture and structure firm can
easily set tier strategies for employees. In other hand, by providing right motivation company
raise the effectiveness of workers.
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Cummings, T. and Worley, C., 2014. Organization development and change. Cengage learning.
Dent, M. and Whitehead, S., 2013. Managing professional identities: Knowledge,
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Green, T. J., 2012. TQM and organisational culture: How do they link?. Total Quality
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Hatch, M. J. and Cunliffe, A. L., 2013. Organization theory: modern, symbolic and postmodern
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Mendes, F. and Stander, M. W., 2011. Positive organisation: The role of leader behaviour in
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Nafz, F., Seebach, H. and Reif, W., 2011. Constraining self-organisation through corridors of
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Preston, T., 2012. The president and his inner circle: Leadership style and the advisory process
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Robbins, S., Judge, T. A. and Boyle, M., 2013. Organisational behaviour. Pearson Higher
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Salahuddin, M. M., 2010. Generational differences impact on leadership style and organizational
success. Journal of Diversity Management. 5(2). p.1.
Shafritz, J., Ott, J. and Jang, Y., 2015. Classics of organization theory. Cengage Learning.
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Singh, A. K., 2010. Impact of the HRM practices and organisation culture on managerial
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