Acme Manufacturing: Leadership, Motivation, and Organizational Report

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Added on  2023/02/02

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This report provides an analysis of Acme Manufacturing's organizational structure, leadership styles, and employee motivation strategies. Acme, a company with a highly controlled structure, employs work specialization to create standardized jobs. The report examines the company's departmentalization, chain of command, span of control, centralization, and formalization. It delves into Acme's motivation techniques, including incentives, bonuses, and an open-door policy, as well as its application of Maslow's hierarchy of needs. The report also explores the company's use of goal-setting theory and its leadership styles, including autocratic and democratic approaches, along with contingency styles such as the Least Preferred Co-worker scale. Furthermore, the report assesses situational variables like leader-member relations, task structure, and position power, and the five sources of leadership power employed by Acme, providing a comprehensive overview of the company's management practices.
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SIX KEY ELEMENTS
WORK SPECTIALIZATION:
Acme is a manufacturing company with a highly controlled structure. In the manufacturing
structure work specialization creates jobs that are simple routine and standardized. The tasks are
divided into different segments that are then accomplished by employees with specific skill for
the task. On the other hand omega don’t use these
DEPARTMENTALIZATION:
The organizations formal frame work by job tasks is divided in groups but is coordinated. The
basis on which jobs are groups in order to accomplish organizational goals is functional
departmentalization and process departmentalization.
CHAIN OF COMMAND
It is the line of authority that extends from upper levels of an organization to the lowest level of
the organization and clarifies who report whom .Decision are taken and goals are set by the top
management and the manager than delegate the work to their sub ordinates and guide them in
acme. On the other hand in omega There are no clearly established norms and regulations, and
no well defined authority hierarchy. The decision-making authority has been dispersed to the
lowest management levels
SPAN OF COMMAND
There is no specific span of control that is being followed by Omega rather it follow a very lean
hierarchy they think it’s a barrier. Each department’s span of control varies according to its
functioning. For example the operations manager supervises about 80-100 employees, the IT
manager however has a team comprising of hardly 4-5 employees.
CENTRALIZED
Acme is a centralized company example decision-making is done by upper levels of the
organization. The upper level made the company’s key decision which then flows top to bottom.
Unlike, Omega.
FORMALIZATION
Acme is a highly formalized organization because rule and regulation strictly followed by
employees. And vice versa in Omega.
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MOTIVATION
How to motivate people (Incentives/Bonus/Benefits)?
Effectively motivating employees has long been one of the management most important and
Challenging duties. An employee’s performance typically is influenced by motivation, ability,
and the work environment. In our company every year there is an appraisal of increment to
motivate employees.
Its employees by giving incentive, bonuses, monetary benefits, open door policy and then other
Benefits of allowances are also provided to the employees.
Motivation is only effective if it boosts up an individual’s Morales. Every employee’s
requirements or desires won’t be the same. Managers need to identify what would satisfy which
employee. For some it may be an increase in his salary, some may want allowances for residence
Rent or medical facilities, for some it may be appreciation in public, while some may only for
respect. Managers identify employees’ needs and satisfy them accordingly. Another impressing
practice in Acme is its open door policy.
Motivation with Reference to Maslow’s Hierarchy of Needs Theory:
There are many theories of motivation but according to our Case we Select Maslow’s hierarchy
of need theory. Maslow viewed motivation on the basis of a hierarchy of need because the
person cannot move to the next level of need without satisfying the previous level need his
hierarchy basically start at the lowest level of need.
Physiological Needs: They provide all physiological needs to their employees to
Motivate them. Such as food, water, break timings, lunch timing etc.
Safety Needs: They give safety needs to their employees by providing safe working
Condition, secure compensation and job security, which is especially important in the
Organization.
Social Needs: They also give social need of their employees by providing friendly
Environment, good interaction among employees and managers.
Esteem Needs: They give respect to their employees and get the respect from them.
Self-actualization: They provide challenging work, inviting employees to participate in decision
making and giving them flexibility and autonomy in their job.
The company understands that if these needs are not provided as per the expectation of
employees he may start getting dissatisfied with his job
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Goal-Setting Theory
Setting goals that are accepted, specific, and challenging yet achievable will result in higher
performance than having no or easy goals.
In our organization in every project to set the goal is beneficial to achieved
Benefits of Participation in Goal-Setting
Increases the acceptance of goals.
Positive chance to achieve the goal
Provides for self-feedback (internal locus of control) that guides behavior and
motivates performance (self-efficacy).
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Leadership
Leadership styles
Autocratic and democratic:
Acme’s top level management mostly use the autocratic style of leadership. They use this style to
control and keep the organization out of any harm and this also helps the employees who are
rarely unfamiliar and unaware of the different situations while before making the final decision.
Autocratic leaders simply give orders and employees are supposed to follow them. In addition
they finely use the democratic style and ask for suggestions wherever needed.
Contingency styles of leadership
Least preferred co-worker scale:
High Score: Acme uses this contingency style in order to create a healthy and relationship
oriented environment where employees can discuss their comfort zone and problems they face in
particular situation.
Low Score: As the employees of Acme meet their required easiness they are meant to be more
focused and task oriented or task motivated in order to increase the productivity in the
organization. This company consider task oriented style more than relationship style because it
helps them to deal with the favourable and unfavourable situations.
Situational variables
Leader member relation: Leaders have positive and good degree of confidence; attraction
and interest that followers have for their leaders because when skilful leaders give challenges
followers are inspired to accomplish them.
Task Structure:Tasks of the company are conveyed profoundly and job assignments are
highly formalized and structured. Task structure is very much important because it provides a
clear and concise direction of accomplishments to the company. For example creating fine
discipline and splendid environment reduces stress and frustration during work.
Position Power:
Leaders of the company Acme have strong authority over the activities such as hiring
controlling, punishing and rewarding the workers. This type of power leads the leaders to use
the power effectively which benefits the origination in a set of circumstances.
Five Sources of Leadership Power
Legitimate Power: Leaders have effective positional power to control and assign the job
duties to junior followers and followers report to the managers.
Coercive Power: Acme forging leaders have authority to influence people by their actions of
threats, punishments, firing and transfer whosoever disrespect other employees, working late,
giving poor performance and avoid disciplinary rules and regulations. Leaders have power to
control the employees in the organization.
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