BHP Billiton: Management Roles, Functions, and SWOT Analysis

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This report provides a critical analysis of the management roles and functions within BHP Billiton, exploring its history, organizational structure, and the application of Garrett Morgan's metaphors to understand its operational dynamics. It delves into the advantages of the matrix organizational structure, effective data interchange, and increased motivation. The report also examines Henry Fayol's management theory, outlining its advantages and impact on organizational productivity. Furthermore, it discusses the influence of cultural values, ethics, and diversity on the company's performance and concludes with a SWOT analysis, recommendations for improvement, and an assessment of the roles, behaviors, and performance of managers within the organization. The report aims to provide a comprehensive understanding of BHP Billiton's management practices and challenges.
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Running Head: MANAGEMENT PERSPECTIVE
Management Perspective
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Executive summary
The main aim of this report is to analyze the role and function of BHP Billiton Plc. This report
discusses the history of BHP Billion Limited. It is a business unit of BHP Billiton Plc and BHP
Billiton Limited that earlier known as BHP Billiton. It also demonstrates that BHP used the
matrix organization structure in their business operation. In addition, the management roles and
function are classified on behalf of garret Morgan’s metaphors to effectively operate the
business in long run. It provides depth understanding about the Henry Fayol management
theory to gain the productivity of the business. It also demonstrates the role of values, culture,
and diversity in the organization. In last, it discusses the SWOT analysis of BHP Billiton.
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Table of Contents
Introduction...................................................................................................................................4
History of company.......................................................................................................................4
Organizational structure................................................................................................................4
Matrix organizational structure.................................................................................................4
Advantages of matrix organizational structure.........................................................................4
Effective Data Interchange....................................................................................................5
Increased Motivation.............................................................................................................5
Management roles and functions based on Garret Morgan’s metaphors......................................6
Business as Mechanism.............................................................................................................6
Organization as organism..........................................................................................................6
Organization as Culture.............................................................................................................7
Organization as Intellectual Prison...........................................................................................7
Organization as System of Change and Flux............................................................................7
Organization as Instrument of Domination...............................................................................7
Management theory......................................................................................................................8
Advantages of Henry Fayol.....................................................................................................11
Impact of cultural values, ethics, diversity in the organization..................................................12
Values......................................................................................................................................12
Ethics.......................................................................................................................................12
Diversity..................................................................................................................................12
SWOT analysis...........................................................................................................................13
Role, behavior, and performance of managers within that organization....................................13
Recommendation to improve......................................................................................................14
References...................................................................................................................................15
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Introduction
This report presents the critical analysis of roles and functions of managers in an organization.
Additionally, it also discusses the challenges that may face by a manager at the time of
performing their roles at the workplace. Moreover, it also demonstrates the structure of the
organization. It also shows recommendation to overcome the challenges that are faced by the
manager at the working place.
History of company
BHP is a business entity of BHP Billiton Plc and BHP Billiton Limited which is previously
recognized as BHP Billiton. It deals with an Anglo-Australian multinational public company
such as mining, petroleum, and metals. It was established in 1885 which headquarters is in
Melbourne, Victoria, Australia. It was initiated in 2001 by the merger of Australian BHP
(Broken Hill Proprietary Company Limited) as well as Anglo-Dutch Billiton Plc. In the era of
2017, the high amount of previous resources of Billiton has been drawn out into south areas
and it has started to rebrand itself as BHP.
Organizational structure
Matrix organizational structure
The matrix organizational structure can play a significant role in an organization. It can be
supportive to make a link among various departments of employees for accomplishing an
organization goal. Addition, it can be said that the matrix structure is a mixture of divisional
and functional structures. Furthermore, the matrix structure can enable the organization to a
combined various department like goods, consumers, and geographical location. Moreover, the
small firm is created their knowledge about the advantages and disadvantages of the
organizational matrix structure earlier executing in the business operation. The matrix structure
can be beneficial to increase the motivation and effective data interchange (Griffin, 2013).
Advantages of matrix organizational structure
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Effective Data Interchange
The most benefit of executing the matrix organizational structure in the operation of the
business can direct to an effective data interchange. Additional, the organizational matrix
structure can support to work closely and directly communicate with each other too frequently
solve problems. Effective ways of communication increase production and permit for prompt
decision-making. For illustration, in the matrix organizational structure, employees of the
different departments such as finance, research and development, and marketing could confer
with each other before executing the strategies. The particular data interchange permits
executives to react promptly regarding customer and organization needs (Certo, 2015).
Increased Motivation
The matrix structure enabled the employees to a democratic leadership style. Additionally, it
can be said that the organizational matrix structure includes all member of the team before
making a decision. Furthermore, it also provides the capacity to the organization for
contributing valuable data to each department of the firm before decision making regarding the
employee satisfaction and inspires the employees. In the matrix organizational each workforce
gives the equal importance to share their views and opinion regarding decision making
(Dumas, et al., 2013).
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(Source: Dumas, et al., 2013).
Management roles and functions based on Garret Morgan’s metaphors
The management roles and functions play a significant role to accomplish a specified task. In
additionally, Garret Morgan’s metaphors categorize the roles and functions of the management.
It is discussed as below:
Business as Mechanism
It is basic symbol and foundation of the Taylorism. Additionally, it can be said that the
geometrically structuralist approach helps to identify the views and opinion of employees
towards the organization. There are different types of departments that can be included by an
organization like top-down, bottom-up, centralize, and decentralize (Hopkin, 2017).
Organization as organism
This section categorizes an organization function or roles as an organizational DNA, which
considers some factors like Introduction, Maturity, and Death. It can also be supportive to
develop the views and opinion regarding the organizational issue. In addition to this, it can also
be said that it enabled the organization to exchange the ideas and information of employees
towards the solution of issues of organization (Johnson, 2014).
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Organization as Culture
In this function, the organization is given the importance of culture before making any kinds of
decision about the issues of the company. Furthermore, it can be said that culture metaphor
direct impact on a company to increase the productivity in long-term. Therefore, an
organization is mainly including the culture to improve the financial performance of an
organization (Daft, et al., 2016).
Organization as Intellectual Prison
The organization can classify the roles and function of management by considering the
intellectual prison. It can support to perform each activity of an organization in a logical way at
the same time it can also enhance the productivity of a firm. Furthermore, the Intellectual
prison can also help to accomplish the task of an organization in a systematic way.
Organization as System of Change and Flux
The organization can also categorize the management roles as a scheme of alteration and flux
because it emphasized similar aspects of the company as an organism metaphor by the
systematic way. It will help to improve the profitability of the business in the upcoming
period. In addition, there are different components that are considered like notion stability,
entropy, physics ideas, and dissipation. It can also enhance the market share of the company
through appropriately deal with market risk (Too, et al., 2014).
Organization as Instrument of Domination
The management roles and responsibilities classified by power. Power is important factors that
can directly influence the productivity of organization as well as employees. Additionally,
when an organization used negative power then it can be caused of declining the performance
of workforces. Besides this, the positive power of management can be supportive to inspire the
employees regarding the accomplishment of organization goal in long term. Therefore, it can
be said that power can be a significant factor for an organization (Verzuh, 2015).
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(Source: Verzuh, 2015).
Management theory
The management theory can be utilized by an organization to manage the issues of the
organization in at working place. The Henry Feyol is important management theory in the
working place. In addition, it can also be said there are different types of management theories
that are discussed as below:
Serial Number Theories Result
1 Classification of work It can help to categorize the
work of an employee, which
can also supportive to
decline effort of employees.
In addition, classification of
work can gain the
productivity of an employee.
2 Authority It will be supportive to
provide the order. It cannot
be considered in lack of
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responsibility.
3 Self-control Self-control can determine
the relationship between
organization and employees.
It could be a major cause to
influence the productivity of
the firm.
4 Control One executive can lead the
function of the organization.
5 Direction One main executive one plan
for group actions to
accomplish same objectives.
6 Different interest of
employees
In an organization, each
individual has differed
interest that can influence
the working style at the
workplace. It can create the
complexity to accomplish
the same task of an
organization. Therefore, it
can be said that it can also
be a major issue for BHP
limited (Maxwell, et al.,
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2017).
7 Compensation Compensation can be a
significant factor for both
organizations as well as the
employee. In addition, the
compensation should be
appropriate for both
workforces and corporate.
8 Centralisation It presents the degree of
performance that can be
relied on the size of
corporate and quality of
executives.
9 Scalar chain It supports to demonstrates
the line of executives from
the bottom level to top level.
10 Command It can show the place of
employees. It means a right
person at the right place. A
right person can make
command on the
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management function
systematically.
11 Equity A mixture of harmony and
justice about the employees.
12 Stability of occupancy of
personnel
Workforce’s requisites to be
given a time period for
making stability in the job.
Therefore, managers can
provide can provide a
flexible and friendly
environment for the
sustainability of employees
(Lussier 2011).
13 Creativity Each employee of an
organization can show their
creativity within limits of the
organization.
14 esprit de corps Harmony can be imperative
for a corporate to encourage
the employees for teamwork.
Advantages of Henry Fayol
Henry Fayol developed the management theory of organization. It is used by the organization
to forecast and plan, to establish, to control, to direct and to manage the activity of an
organization. Henry Fayol provided many technology and concepts that will be used by the
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upcoming researchers named scalar chain, a division of labor, centralization, and unity of
command (Shockley, 2014).
Impact of cultural values, ethics, diversity in the organization
There are different components that can impact on the organization such as cultural values,
ethics, and diversity. It is discussed as below:
Values
Values play a crucial role in a company to make an appositive image in the market. It defines
an image as unified sets of administrative values which orient their team members, direct their
prospects and division activities. In addition to this, it can also be said that an effective value of
an organization can enable to increase the creativity, efficiency, and productivity in long-term
(Feng, et al., 2013).
Ethics
Ethics can also a vital component for an organization as well as employees because it directs
influence the productivity. Ethics can be the moral principle which governs the employee
behavior. Ethics can influence both small as well as the large organization. The unethical
behavior of an organization of can declines the financial condition of the company in long
term. While the ethical behavior of the company can easily attract a large number of customers
in long-term. At the same time, it can also be said that different organizations have a different
set of ethics standard. There are some components that can be common for all the organization
such as psychology, law, and law (Rainer, et al., 2014).
Diversity
Diversity also influences the performance of the organization. At the same time, it can be said
that the diversity can create problem to complete the task of the company in long-term. In this
case, the company can use effective strategy to improve the diversity issues together with
inspiring the employees for feeling comfortable at the working place. It also provides an equal
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