Importance of Organizational Design in Achieving Success - Desklib

This report discusses the importance of organizational design in achieving success and how it impacts efficiency and effectiveness. It focuses on Marks & Spencer, a multinational retail firm, and explores the benefits of effective organizational design. The report also discusses the relationship between organizational design and change management.

Unit 36 Human Resources -
Value and Contribution to
Organisational Success

Table of Contents
INTRODUCTION...........................................................................................................................3
TASK 1............................................................................................................................................3
Evaluation of the importance of Organizational Design.............................................................3
TASK 2............................................................................................................................................6
Analysis of the need to develop motivated, knowledgeable and experienced individuals and
teams...........................................................................................................................................6
TASK 3............................................................................................................................................8
Covered in PPT...........................................................................................................................8
TASK 4............................................................................................................................................8
Evaluate how organisational design has to respond and adapt change management and the
relationship that exists between the two......................................................................................8
CONCLUSION..............................................................................................................................10
REFERENCES..............................................................................................................................12

INTRODUCTION
Organisational values are internal principles as well as practices which are being
implemented by organisation which dealing with the particular situation. The values over which
an organisation operates help it in perform operation in efficient manner and assist in achieving
success at market (Armstrong and et. al., 2014). The current report is based on Marks & Spencer
which a multinational retail firm that deals in range of product line such as grocery item, food,
clothing etc. The present report involve a discussion of importance of organisational design
along with various techniques in developing human resources. Despite of this it also make a
discussion about emerging HR development along with a explanation regarding the
organisational design and change management relationship.
TASK 1
Evaluation of the importance of Organizational Design
Organization design is consider as an effective process which an organization mainly
adopt for shaping up their structure as well as implementing the organizational activities in an
effective manner. This involve the consolidation of several aspects which cover up delegation of
authority, responsibilities, delegation of work, reporting pattern, decision making process and
communication flow. Within an organization that operates at larger scale, organizational design
is consider to be very much important as it help in presenting the appropriate pattern of executing
the set of actions that must be conducted to achieve a particular objective. The organizational
structure also help in ensuring that the work get flow within the systematic manner.
Despite of this the organizational design is mainly refer to the process of aligning the
structure of organization with that of its objective with an aim to improve the efficiency and
effectiveness of operations that get executed. Marks & Spencer is larger multinational
organization that operates at several different location throughout the world (Chudzikowski,
2012). This organization is well known for its high quality product or services which become
possible due to its effective organizational structure which direct and guide the operations of
employees. The importance of organizational structure for Marks & Spencer can be determined
in several areas and these are mentioned below:

 Effective organizational design provide a clear picture of process as well as functioning
of operations that help in reducing the wastage of time and resources which in turn
improve the efficiency of employees and their performance.
 Organizational structure also allows the manager of Marks & Spencer in boosting up the
decision making process which in turn help in solving all the problem and issues in more
quicker manner.
 Another benefit of organizational design that can be seen at the side of Marks & Spencer
is that it support in improving the quality of good and services by ensuring that the
activities performed are aligned with the organizational objectives.
These are some of the common benefit Marks & Spencer will get with the adopting of
effective organizational design, as by using the good corporate structure major changes that are
required can be implemented within the organization toward its success in more quicker manner.
Despite of this it has been identified that the organizational structure and design both are
collaboratively used within the growth and development of an organization (Fernández-Muñiz,
Montes-Peón and Vázquez-Ordás, 2012). The organizational structure is mainly consider as the
division of roles and responsibilities and when this structuring is connected with the objective of
organization then it form up an organizational design. There are several kind of organizational
structure that mainly adopted by the large scale organization such as matrix, divisional,
hierarchical, functional, flat etc. In case of Marks & Spencer it follow the divisional
organizational structure, where company group its organizational functions into division which
consist of certain resources as well as functions within it to support to a particular product line.
This is one of the effective organizational structure which allows Marks & Spencer in bringing
changes much easily which not have any influence on whole organization as it can bring
changes on a part of organization where it want to improve the operations.
The Marks & Spencer is planning to bring some change within the organization where it
is bringing a software which help in avoiding the queue for bill payment in its store rather people
just have to scan the bar code over the scanner which are placed in several part of the store and
amount is automatically deduct from their account which is attached with their profile (North and
Kumta, 2018). There are several organization design theories that can be used by Marks &
Spencer in order to design and implement the changes such as transformation leadership theory
and change theory. These are explained below:

Transformation theory: Under this theory the main focus of manager is to direct its
employees and try to build up the positive effect of change among the followers. This theory
suggests that the manager must focuses toward support the employees as well as business as a
whole. Here the main focus of leaders or manager lies toward ensuring that the employees
perform their work in right direction as per the new change so that decided outcome can be
achieved. In case of Marks & Spencer the managers are required to understand its team, member
and motivate them accordingly. On the other hand, this approach also support the manager in
bringing changes within the organization by keeping employees motivated and realize them
about the benefit of introducing changes (Schwabenland, 2016). For introducing the changes the
transformation theory consist of four parts such as inspirational motivation according to which
the manager must promotes the mission, vision and value to member. In second stage the
intellectual Stimulation support the members to remain more creative and innovative so that they
bring up new ideas while implementing the change. Another one is idealized influence which
believes that the manager must have certain values which they want from their followers. Last
step is Individualized consideration which suggest that the leader must be act as a mentor for
their followers and praise them for their productivity and creativity to ensure that change get
implemented.
Change theory: - This theory was given by Kurt Lewin which put emphases toward
three different stage of change that need to have prior learning. In this mode the first stage is
Unfreezing where the employees are being freed from the current methods and techniques they
are using in order to make space for new one. In second stage change, modification is done
within current system by working over developing the skills of attitude, feeling and behavior for
bringing changes within the Marks & Spencer current practices (Von Geibler, 2013). The last
stage is refreezing, in which when employees become able to learn about and get adjusted with
new changes then this current process of working is freeze to fully implement the working
process. This model support the manager of Marks & Spencer in bringing changes within the
operations by working over organizational structure or design which in turn ensure the smooth
flow of operations.

TASK 2
Analysis of the need to develop motivated, knowledgeable and experienced individuals and
teams
Employees are consider to be a crucial part of an organization that work harder for the
success of each organization. But in order to improve performance of employees it is very crucial
for an organization to make continuous efforts toward motivating and directing the employees so
that their interest toward the accomplishment of their targets remain active within their work and
performance of employees can be enhanced. For this organization put several efforts such as
rewarding, training and development, career growth opportunity etc. The motivation among the
employees can be developed using intrinsic factor such as personal value or might be developed
through extrinsic factors like incentives (Zainuddin, Russell-Bennett and Previte, 2013). For
enhancing the performance of employees and efficiency of operations it is crucial for the
managers of marks & Spencer to remain more active toward keeping the employees motivated.
As by maintaining the motivated workforce, the manager of Marks & Spencer would be able to
direct them toward improving the quality of operations. There are several approaches that can be
adopted by manager of Marks & Spencer in keeping the employees motivated such as,
Hiring right candidate: This approach mainly state that an organization while
conducting recruitment must try to position right candidate at right position who have required
skills and capability for a particular position. This is so because in appropriate hiring is the main
cause behind demotivate as when the employees is not having skills that are required to perform
a particular job role them it make it more difficult for them to complete the responsibilities
assigned to them. Therefore, the HR manager of Marks & Spencer must focuses toward
assessing the skills and quality of individual as per the job role which ensures that the work can
be easily handle by them with their capability.
Training and development: This is another important approach of motivating
employees, as it involve the sharpening up the skills and capability of employees to perform
well. So when the employees are being trained with best possible ways to perform their work
then it help not only in reducing their work stress but also motivate them to enhance their
efficiency which take them a level up and hence support in getting a good growth in career. The
manager of Marks & Spencer must focuses toward organizing the training events for their
employees whenever a new change is implemented. As when the employees get opportunity to

improve or develop themselves then they get automatically motivated toward their work and
always try to improve themselves which in turn help in keeping them motivated to perform well.
By incorporating with these changes the company not only help in keeping the employees
motivated but also help organization in achieving sustainability at marketplace. As the Marks &
Spencer is planning to bring a new software for changing the old time consuming process of
billing, this will increase the work of employees as they have to remain more focused toward the
products purchased by the consumer as well as its transaction (Lukoschek and et. al., 2018). This
in turn required them to motivated employees in such a manner that they will support in
implementing the change effectively. For this the manager of Marks & Spencer can also make
use of several motivational theory which in turn provide it with a chance to perform step by step
actions toward motivating the employees. Some of the motivation theory are explained below:
McClelland theory of motivation: This theory describe about the three human
motivators such as achievement, affiliation and authority motivation. These are consider as three
main factors through which employees can be motivated by the manager of Marks & Spencer. In
this achievement motivation stage involve that the employees must be motivated with providing
regular feedback over their progress and appreciated on their performance so that they get
regular intrinsic motivation to perform well. This in turn help in accepting new change in less
possible time period. The second stage is about affiliation, where the manager of Marks &
Spencer must focuses toward providing a regular gathering of employees so that they can share
their feeling and get relaxed, as well as also resolve the issues coordinately. The last stage is
authority and power, which state that the manager of Marks & Spencer must provide its
employees with adequate power to take actions when there is certain issues in their new work.
This allow them in getting engaged with new changes in effective manner.
Herzberg two factor theory: This theory explains that there are some factors present
within the organization which help in keeping the employees motivated. This theory is given by
Herzberg who divided the factors that influence the motivation factor into two i.e. satisfaction
which is known as motivation factor and dissatisfaction which is known as hygiene factor
(Pulcini and et. al., 2017). So the manager of Marks & Spencer must focuses toward improving
these factors to keep employees motivated. Hence for this the manager of Marks & Spencer must
ensure that the hygiene factors such as working condition, compensation and safety of employees
must be remain good so that it help in keeping them motivated. Other than this the motivational

factors such as personal and professional growth of employee must also be ensured by the
manager of Marks & Spencer to keep employee motivated.
TASK 3
Covered in PPT
TASK 4
Evaluate how organisational design has to respond and adapt change management and the
relationship that exists between the two
Organisational design is a methodology which is useful in identifying the dysfunctional
aspects of workflow and procedure regarding the structure and system that leads to realigns the
current business goals and also useful in developing plans in order to implement the new
changes. There is a strong relationship between the change and design as in order to redesign the
structure of an organisation it is important for the manager to significantly implement change
(Stachova, Stacho and Vicen, 2017). For this, change management is the collective term with the
effective approaches and it leads to prepare, support and help individuals for the betterment of an
organisation to make change more effective. Change management is the guide which is
supported by the individuals in terms of prominently adopt change for the organisational success
and result. In relation with this, change is introduced in Marks & Spencer within their policies
and norms and also leads to reduce few percent of salary amount of those people who work at
higher level that leads to generate resistance of employees within an organisation that put
negative impact on the running and functioning of an organisation. In order to execute this
change, Lewin's change model is used:
Unfreeze: It is the first step and critical for the process of change of change management
as it include willingness of people regarding change and also foster the realization in order to
move from current comfort zone for the transformed situation. In terms of Marks and Spencer,
leaders and managers spread awareness regarding the requirement of new policies and why they
are introduced within an organisation in order to accept change including new method for the
better result. In terms of this, effective communication is important within an organisation in
order to get desired support and engagement of people in change process.
Change: It is described as the stage of transition or actual execution of change as it
include the prominent acceptance including new methods. It depicts that people are unfroze and

need to accept change. For this factor, effective communication, planning and proper motivation
is involved regarding the endorsement of change with is important (Daniels and et. al., 2017). In
terms of Marks and Spencer, leaders believe that this stage of transition is not so easy because of
uncertainties and risk regarding the consequence of adopting change procedure. In result of this,
employees leads to resist in order to give up on their salary package and it leads to increase
employee turnover.
Refreeze: As per this stage, people move from various stages of change towards the more
stable state which is considered as equilibrium. This stage is refreeze as the ultimate stage in
which people accept the new way of change for their overall work (Fee and McGrath-Champ,
2017). Along with this, they also develop new relationship in order to reinforce and
strengthening the new criteria of change which is rewarded and support policies for the
betterment of employees. Furthermore, there are some employees who agrees with the terms and
condition leads to stay in the organisation.
Different types of change that impact organisational design
Identifying the need of change makes the change more successful considering various
skills and these changes have significant influence on the overall organisation and it impact the
goals, offerings and operations that is considered under the organisational change. In terms of
this, the change management plan significantly determine the kind of organisational change
which is executed for the better result. In terms of this, few types of changes of mentioned
below: Transformational change: As per this change, it is important for the company to identify
the organisation and considered strategies. Along with this, it leads to include the
identified cultural trends, understand the social climate and tuned up with technological
advancement. Along with this, it also leads to depict the prominent change that occurs
within the technological services and also focus on the digital technologies like mobile
analytics, service transforming and so on (Sdrolias and et. al., 2017). In terms of Marks
and Spencer, if change in norms and policies introduces within the company then it leads
to focus on solving discrete business issues and cut off in salary occurs because of the
economic condition of company. Psychological change: Psychology leads to impact change which is useful in
understanding and identifying the resistance of change. As per this change employees

does not admit that there is the need of change within an organisation and does not try to
accept change that leads to decrease the overall performance. Moreover, employees also
get new position for the environment and does not want to find other excuses that are
related with new situation. Moreover, employees of Marks and Spencer also leads to start
understanding the new procedure and also understand that change is inevitable and they
need to become adaptive and normal with their behaviour.
Relationship between organisational design and change management
The efforts of organizational design are directed in order to assess and reshape the
structure of organization and it also include the prominent process, methods and skills that leads
to facilitate the overall workflow that enables the mission and vision of company. For this,
organizational design leads to create the effective structure that fits the prominent requirement of
the strategy that should be implemented (Anastasiou, 2020). Change defines the modifications in
structure over the period of time that need suitable strategy for the execution. In terms of Marks
and Spencer, they follow functional structure which is beneficial for company and if company
wants to introduce any type of change within an organization then it is important for them to
constantly change their structure in order to align with significant design. Along with this, an
organization need to follow significant design which is helpful for them in terms of effective
execution of prominent change that is for the betterment of company and employees as well.
Moreover, for them it is also important to consider the coordination and cooperation of each and
every unit regarding the smooth running of an organization.
CONCLUSION
From the above performed report it can be summarized that the main focus of each
organization is toward enhancing their value at marketplace by bringing regular improvement
within the operations. As regular anticipation of changes within organization allows a business to
get compete with increasing competition and challenges in marketplace. But to implementing
these changes in effective manner it is crucial for the manager of organization to keep employees
motivated so that they accept the changes and work accordingly. There are several motivational
theories that can be adopted by an organization such as McClelland theory of motivation and
Herzberg two factor theory. Other than this, for managing employees several emerging trend are
also anticipated within business environment and are used by organization. The most common

trends are Employee experience, Cross-cultural engagement, Work life balance and Workforce
behavior and culture.

REFERENCES
Books and Journals
Anastasiou, S., 2020. The Moderating Effect of Age on Preschool Teachers' Trait Emotional
Intelligence in Greece and Implications for Preschool Human Resources
Management. International Journal of Education and Practice, 8(1), pp.26-36.
Armstrong, G., and et.al., 2014. Principles of marketing. Pearson Australia.Bradley, G.,
2016. Benefit Realisation Management: A practical guide to achieving benefits through
change. Routledge.
Chudzikowski, K., 2012. Career transitions and career success in the ‘new’career era. Journal of
Vocational Behavior. 81(2). pp.298-306.
Daniels, S.R and et. al., 2017. Collective assessment of the human resources management field:
Meta-analytic needs and theory development prospects for the future. Human Resource
Management Review, 27(1), pp.8-25.
Fee, A. and McGrath-Champ, S., 2017. The role of human resources in protecting expatriates:
Insights from the international aid and development sector. The International Journal of
Human Resource Management, 28(14), pp.1960-1985.
Fernández-Muñiz, B., Montes-Peón, J.M. and Vázquez-Ordás, C.J., 2012. Safety climate in
OHSAS 18001-certified organisations: Antecedents and consequences of safety
behaviour. Accident Analysis & Prevention. 45. pp.745-758.
Lukoschek, C.S and et. al., 2018. Leading to sustainable organizational unit performance:
Antecedents and outcomes of executives' dual innovation leadership. Journal of
Business Research, 91, pp.266-276.
North, K. and Kumta, G., 2018. Knowledge management: Value creation through organizational
learning. Springer.
Pulcini, C and et. al., 2017. Human resources estimates and funding for antibiotic stewardship
teams are urgently needed. Clin Microbiol Infect, 23(11), pp.785-787.
Schwabenland, C., 2016. Stories, visions and values in voluntary organisations. Routledge.
Sdrolias, L and et. al., 2017. The Importance of Human Resource Management for the
Development of Effective Corporate Culture in Hotel Units. In Tourism, Culture and
Heritage in a Smart Economy (pp. 183-188). Springer, Cham.
Stachova, K., Stacho, Z. and Vicen, V., 2017. Efficient involvement of human resources in
innovations through effective communication. Business: Theory and Practice, 18, p.33.
Von Geibler, J., 2013. Market-based governance for sustainability in value chains: conditions for
successful standard setting in the palm oil sector. Journal of Cleaner Production. 56.
pp.39-53.
Zainuddin, N., Russell-Bennett, R. and Previte, J., 2013. The value of health and wellbeing: an
empirical model of value creation in social marketing. European Journal of
Marketing. 47(9). pp.1504-1524.