Management Putting Theory into Practice LDT3103 Component 1

This article discusses the leadership and management issues faced by TUM, the merger of Wasabi and Tortilla. It describes the contingency, transformational, and transactional theories that can be implemented to resolve these issues. Additionally, it explains the importance of organizational structure and suggests a flat structure for TUM. Course code: LDT3103

MANAGEMENT PUTTING
THEORY INTO PRACTICE
LDT3103 COMPONENT 1

MANAGEMENT PUTTING THEORY INTO PRACTICE
INTRODUCTION
This file is a precise representation of the
management and leadership issues faced by
an organization in the fast-food sector that has
done a merger with another organization. The
discussion will describe the leadership and
management theories that can be implemented
by the merger that two organizations have.
created in order to resolve the major issues
faced by the organization.
LEADERSHIP AND MANAGEMENT THEORIES
Contingency theory
Contingency theory basically focuses on that only one
style or way of doing leadership s not enough in any
organization. This means depending upon the particular
people, timings and tasks the leadership styles can differ
(Otley., 2016). It is not necessary to be extremely rigid
within an organization with a single leadership or
management style.
Transformational theory
Transformational leadership and management theory can
also be called as the relationship theories, because it
basically and specifically targets the relationship of the
leaders or managers and the subordinates of a company
(Korejan. and Shahbazi., 2016). This theory focuses on
the personality and nature of the leader, like being
charismatic, inspirational and encouraging.

A huge company name in the United Kingdom is
Wasabi, known for its delicious Japanese, East-Asian
fast food, mainly bento and sushi. The company did a
merger with another well-known company named
Tortilla, that provides amazing Mexican cuisine.
customers. The name of the merger company is
“TUM” which is an abbreviation for “the unexpected
mix”.
Transactional theory
Transactional theories are also known as
exchange leadership theories or management
theories (Afshari. and Gibson., 2016).
precisely focuses on the organization, team
work and supervision related issues or
problems.
ORGANIZATIONAL
STRUCTURE
Organizational structure
refers to a system present
in an organization that
specifically outlines
various activities for the
achievement of the
organization's goals
(Ahmady. Mehrpour. and
Nikooravesh., 2016).
CONCLUSION
This discussion focuses on the leadership and management issues faced by the company Tum.

NOTES:
The company wanted to expand its target audience from majorly focusing on the people who
enjoyed Japanese cuisine it wanted to go on another level, by giving people more options, so
the company did a merger with another well-known company named Tortilla, that provides
amazing Mexican cuisine to its customers. The name of the merger company is “TUM”
which is an abbreviation for “the unexpected mix”.
CONTINGENCY THEORY
Theorists have pointed out that an effective and efficient leadership and management is precisely
what focuses striking the correct balance between context, behaviour and needs. The appropriate
managers and leaders have the right traits and also have the capability for the assessment of the
needs of the subordinates, evaluate the situation and then act accordingly.
In the case of Tum either of the organizations have major differences, such as cultural
differences, taste palette differences and differences regarding dealing with customers (Williams.
Ashill. and Naumann., 2017). Due to all of these differences if the employees are not dealt
accordingly, they might feel less connected and required in the organization. Hence, by
application of the contingency theory the leaders and managers in the company can deal with
employees according to their requirements and also the requirement of the project. If the
employees will be importance and be respected in the organization, this will enhance the levels
of motivation within the employees. This will also reduce the levels of miscommunications and
misunderstandings and hence the employee productivity will also increase, which will further
help in organizational growth.
TRANSFPRMATIONAL THEORY
. An individual who is most appropriate and has all of these qualities should only be appointed as
a leader. It also points that a leader or manager should be good in communicating the relevant
and particular tasks to the particular employees and also be clear and precise about the planned
targets and outcomes from the tasks. This kind of leadership not only focuses on team
development but also focuses on personal development of every team member. The requirement
of this theory is not to achieve the targets or goals, but maintenance of a good and healthy
relationship between the managers and subordinates.

It is very necessary for a newly developed organization like Tum to enhance the relationship the
leaders or managers and the subordinates have among each other (Baškarada. Watson. and
Cromarty., 2017). The implementation of this theory will help the human resource of the
company to coordinate and collaborate well with each other. Through betterment of relationships
the understanding will also improve and the environment of the company will also remain less
chaotic and the number of conflicts and disagreements will also reduce.
TRANSACTIONAL THREORY
This theory precisely focuses on the organization, team work and supervision related issues or
problems. This theory states that giving punishments and rewards according to the work done by
the employee from the leader or manager is the most important aspect required in an
organization. This theory is used by many businesses.
For Tum, this is essential because the motivation levels of employees have been hindered
through the mix, hence if the leaders or managers provide the right rewards and punishments to
the employees, the employee motivation will increase which will increase the productivity rate of
employees which will further give competitive advantage to the company.
ORGANIZATIONAL STRUCTURE
These activities include roles, responsibilities and rules. The structure of an organization also
supports in the process of determination of the levels through which information in an
organization will flow. An organizational structure of a company should be in accordance with
the feature of the company in particular. The organizational structure should be selected after
relevant evaluation and examination of the internal as well as external environment of the
company. Each and every company has distinct factors that impact the company in different
ways. Therefore, the selection of an organizational structure should be according to those factors.
There are majorly four structures of an organizations, these are, divisional structure, functional
structure, flat structure and tall structure.
In the case of Tum the most appropriate organizational structure is flat structure of
organization. Flat structure of organization refers to an approach of organizational structure
which has a very few numbers of managerial levels between the front-line employees and the
executives of the organization (Parthasarthy. and Sethi., 2018). The goal of this organizational
structure is to have the least rate of hierarchy that is possible in an organization. A flat structure

of an organization provides the employees of the company with more responsibilities which
gives them a sense of importance and due to fewer layers of management in the organization the
employees or workers of the organization directly report to the senior level managers. This
divides the roles and responsibilities of the middle level managers in between the senior level
managers and the workers. It specifically refers to greater levels of authority and autonomy to the
workers. Also, the lesser levels of bureaucracy can increase the efficiency of the efficiency of the
organization. This structure also focuses on motivating the employees.
There are a lot of ways through which flat structure affects the organizations working and
growth for example, is a company has flat structure of organization and one of the employees
want to report to the manager, he or she will not have a single manager, each manager has a huge
number of employees reporting to them, in this structure. This can cause inconvenience and
chaos in certain situations. In the case of huge companies flat organizational structure is not
considered preferable, but in case of not so big, developing and new companies, flat
organizational structure is the most suitable and preferable choice.
Within Tum, flat organizational structure is a more preferable and most appropriate
choice because it provides flexible working conditions to the employees of the organization. The
employees working in Wasabi and Tortilla and at present working collaboratively in Tum are of
distinct cultures and have been following diverse set of rules and regulations implemented their
own individual companies. If the employees are in regular supervision and are not given space to
work their creative thinking approach, which is the most important requirement of the company
will be harmed. Due to which they will be more stressful and stop enjoying the work they are
doing.
The implementation of this structure will also give the employees a sense of
responsibility, and they will feel important and necessary in the place they work in. This will also
motivate them to work better and give their best to the organization which will for sure support
the growth and development of the organization and also their increased rate of productivity will
help the organization to gain an advantage in regard to their competitors in the market. Flat
organizational structure also makes processes or organizational communication less time
consuming and clear, like if there are any issues or conflicts faced by the workers of the
organization they are easily able to connect to the higher level management so that the particular
issues or conflicts can be solved, similarly if the higher management of the organization requires

to convey any important information or decisions to the workers of the organization, they can do
so with extreme convenience and also without and misinterpretation, miscommunication and
wastage of time and resources.
CONCLUSION
Which is specifically a merger of Wasabi and Tortilla. Relevant and appropriate theories of
leadership and management are also described above and the change in organizational structure
is also defined above.

REFERENCES
Books and journals
Otley, D., 2016. The contingency theory of management accounting and control: 1980–
2014. Management accounting research. 31. pp.45-62.
Williams, P., Ashill, N. and Naumann, E., 2017. Toward a contingency theory of CRM
adoption. Journal of Strategic Marketing. 25(5-6). pp.454-474.
Korejan, M.M. and Shahbazi, H., 2016. An analysis of the transformational leadership
theory. Journal of Fundamental and Applied Sciences. 8(3). pp.452-461.
Baškarada, S., Watson, J. and Cromarty, J., 2017. Balancing transactional and transformational
leadership. International Journal of Organizational Analysis.
Afshari, L. and Gibson, P., 2016. How to increase organizational commitment through
transactional leadership. Leadership & Organization Development Journal.
Ahmady, G.A., Mehrpour, M. and Nikooravesh, A., 2016. Organizational structure. Procedia-
Social and Behavioral Sciences. 230. pp.455-462.
Parthasarthy, R. and Sethi, S.P., 2018. The impact of flexible automation on business strategy
and organizational structure. In Organizational Innovatio. (pp. 319-344). Routledge.
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