Importance of Organisational Design Theory in HR and Change Management

Human Resources-Value
and Contribution to
Organisational Success

EXECUTIVE SUMMARY
The human resources of company play an important role in achieving company goals and
objectives who must be developed in such a manner that they can use their skills and talents and
put their full efforts in improving the productivity of company. In this report the importance of
organisational design, human resources, contemporary HR developments, change management
etc. in improving employee value and contribution towards organisational success will be
studied.

Table of Contents
EXECUTIVE SUMMARY.............................................................................................................2
INTRODUCTION...........................................................................................................................4
TASK 1............................................................................................................................................4
P1 Importance of organisational design theory......................................................................4
M1 Appropriate theories and concepts to critically evaluate importance of organisational
design......................................................................................................................................6
TASK 2............................................................................................................................................6
P2 Approaches and techniques used by HRM.......................................................................6
M2 Critically analyse different approaches to motivate human capital and knowledge
management............................................................................................................................7
TASK 3............................................................................................................................................8
P3 Research and knowledge for emerging HR developments...............................................8
M3 Evaluation of how HR developments affect role of HR function in future.....................9
TASK 4............................................................................................................................................9
P4 Evaluation of how organisational design respond and adapt to change management......9
M4 Evaluation of changes which can affect organisational design.....................................10
RECOMMENDATIONS...............................................................................................................11
CONCLUSION..............................................................................................................................11
REFERENCES..............................................................................................................................12

INTRODUCTION
HR of an organisation plays an important role in motivating employees so that their
performance can be enhanced and they can contribute their skills and knowledge towards
achievement of company goals in an efficient manner. HR functions and strategies help in
increasing the contribution of employees towards the success of organisation by motivating them
so that they can come up with new and innovative ideas which can help the company in gaining a
competitive advantage in market (Amankwah-Amoah and Nyuur, 2016). This report is based on
ARM Holdings plc which is a global semiconductor and software design company which was
founded in 1990 and has its headquarters in England, UK. In this report importance of
organisational design theory, approaches which are beneficial for employees, research to support
HR developments, change management etc. will be discussed.
TASK 1
P1 Importance of organisational design theory
Organisational design is a sequential process in which the dysfunctional aspects of work
flow, procedures, structures and systems are identified which are then realigned with
organisational goals and then plans are developed so that new changes can be implemented. This
process is followed is so that improvement can be brought in employee performance and also to
involve innovations in company. This helps the company in achieving better customer
satisfaction, employee performance and competitive edge in market.
Organisational design theory: This theory helps organisations in structuring the
company's hierarchy so that the relationship between organisation and and its members can be
designed within a set of defined rules and procedures (Chiappetta Jabbour, Mauricio and
Jabbour, 2017). This theory helps in building the relation of staff members with company so that
they can work together in a proper manner in order to achieve company goals. It also help in
determining the level of employee engagement in company which defines the level of motivation
among workers and their enthusiasm to increase their value and contribution towards the
company success. In ARM about 2,050 employees work across its 30 sites in 15 countries who
are highly involved in company procedures and the HR of company focus on employee
development, training and reward system so that high innovations are brought in company.