BMC Company: Evaluating Organisational Performance and Culture

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This report provides an analysis of organisational performance and culture in practice, using BMC as a case study. It evaluates the advantages and disadvantages of centralised and decentralised organisational structures, examines the connections between organisational strategy, products, services, customers, and revenue generation, and identifies external factors and trends impacting BMC's future strategic direction. The report also assesses current strategic priorities for BMC, critically evaluates the relationship between the employee lifecycle and people practice, explains key themes impacting people practice, and assesses how people practices can impact organisational systems and structures. The analysis considers the impact of factors like competition, environmental uncertainties such as Covid-19, and technological advancements on BMC's strategic planning and overall business performance.
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Organisational
performance and
culture in practice
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Contents
INTRODUCTION...........................................................................................................................3
PART 1............................................................................................................................................3
An evaluation of the advantages and disadvantages of two different types of organisational
structures......................................................................................................................................3
An analysis of the connections between organisational strategy, products & services,
customers and revenue generation...............................................................................................5
External factors and trends that are impacting or are likely to impact BMC’s future strategic
direction.......................................................................................................................................6
An assessment of two current strategic priorities for BMC........................................................7
PART 2............................................................................................................................................7
A critical evaluation of the relationship between the employee lifecycle and people
professional..................................................................................................................................7
Explanation of two key themes that are currently impacting people practice and shaping how
your area of people practice supports the organisation...............................................................8
An assessment of how people practices can impact on organisational systems and structures...9
An assessment of how the BMC People Practice Team............................................................10
TASK 2 (Covered in PPT).............................................................................................................11
CONCLUSION..............................................................................................................................11
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INTRODUCTION
Organisational culture is defined as the set of various values, practices and expectations that
facilitates organisation to guide as well as inform actions of all team members. Business culture
helps organisation to perform its operations it right direction and attain overall goals and
objective of organisation. Organisation need to analyse business operations than decide
organisational culture that enhances overall efficiency and effectiveness of organisation.
Organisation directly impact on business performance such as it improves business performance,
support organisational goals and objective as well as enhance productivity of business. In this
report BMC organisation’s case study is taken into consideration. Organisational headquarter is
situated in London. Organisation has purchased food premises in Manchester that adds its
already portfolio of acquisition in London. During the pandemic of Covid-19, CEO of BMC
analysed that current business structure and strategy need to be updated. This report covers two
types of organisational structure along with their advantages and disadvantages and connection
between organisational strategy. External factors and trends that impacts BMC’s future strategic
direction and relationship between employee life cycle and work is explained in this project
report.
PART 1
An evaluation of the advantages and disadvantages of two different types of organisational
structures
Strategic planning: Strategic planning is defined as the process in which organisational
leaders defined overall organisational vision for future as well as identifies business goals and
objective. It is important for the BMC to develop effective strategic planning that includes
various steps such as strategy formulation, strategy implementation and strategy evaluation that
ensure that all strategies are executed in business properly.
Organisational structure: Organisational structure is defined as the system that outline
how business activities are directed properly to attain organisational goals and objectives (Anafo,
et. al. 2022). These activities are related to allocating rules, roles and responsibilities among
organisation as well as ensure that information flows between all level of organisation properly.
It is important for the organisation to adopt suitable business structure that lead business
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operations in right direction. Some organisational structure along with advantages and
disadvantages are mentioned below:
Centralised or top-down business structure: Centralised organisational structure is
defined as the business structure in which all decisions are made at top level of organisation and
distributed down through chain of command. BMC organisation uses strict centralised policy and
traditional top-down management structure across the organisation in which top management of
organisation take all decisions and employees have to follow all decisions. Information tends to
flow slowly and only in one direction (Aremu, Shahzad, and Hassan, 2021). Some advantages
and disadvantages of centralised organisational structure are mentioned below:
Advantages:
BMC organisation can take efficient and quick decisions through implementing
centralised organisational structure.
Centralised organisational structure has clear chain of command as well as defined
hierarchy of authority that helps BMC to delegate all roles and responsibility among
employees in proper manner.
In centralised organisational structure, decisions are taken by the top management that
ensures that uniformed actions are taken to attain business determined goals and
objectives.
Disadvantages:
In centralised organisational structure, employees feel demotivated because they are not
included in decisions-making process that reduces their performance and productivity. In this business structure, employees fee disconnected from organisational values and
enhance staff turnover and employee’s satisfaction level.
Decentralised organisational structure: Decentralised business structure is related to
business stricture in which top management of organisation shifted the authority of specific
decision-making to lower level in organisation or include employees in decision-making
process. It motivates employees and enhances their engagement and satisfaction from
organisation (Ball, and Lunt, 2020). BMC organisation CEO understands that neglecting
people in decision-making impact overall performance and proficiency of organisation such
as it enhances staff turnover rate and reduce employee’s satisfaction level. It becomes
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important for BMC to adopt centralised business structure. Advantages and disadvantages are
mentioned below:
Advantages
In this structure, employees are included in decision-making who have best knowledge
and understanding related to situation. So, it improves tactical decision-making in
organisation. It reduces employees turnover rate as well as enhances their creativity level.
Disadvantages
There are no strong leadership so, there is no clear chain of command that provide
direction to business.
Lack of coordination, emergency decisions are not possible and wastages of resources are
the disadvantages of decentralised organisational structure.
Organisational structure of Sony
The management of the Sony has used Balanced matrix organisational structure and the whole
structure of the company are divided in three part such as
Function base group
Business type decision
Geographic decision
Function base group
This division of the organisation has contained the business functions of the company such as
research and development department. The main objectives of this group is to achieve the
effectiveness and efficiency in the organisation. The groups involves in this group are given
below:
Finance
research and development
CEO
Business type decision
The group which are involved in this section of the organisational structure are Storage media
business, media business and many more.
Geographic divisions
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Under these type of structure, the management of the company has divided their business in
different geographical region such as Japan, China, Asia and many more.
Pros and cons of the organisational stricture
It helps to develop flexibility in the work of the company which enables the management
to operate their business effectively.
The negative part of this it disables the employees to negative work because of the high
flexibility in the work.
An analysis of the connections between organisational strategy, products & services, customers
and revenue generation
Organisational strategy: Organisational strategy is defined as the combination of actions
that are taken by the organisation to attain determined goals and objectives on time. it provides
guidance to business and describes how to allocate resources and supportive activities to
accomplish determined task on time with great efficiency and effectiveness. It is important for
business to create effective organisational strategy that lead business is right direction and gain
competitive advantages (Bourne, Melnyk, and Bititci, 2018) . Organisation develops different
level strategies such as corporate, business and functional level strategies that guide business to
run operations in right direction. BMC organisation develops strategy for overall organisation
such as enhancing sales of products and services, attracting customers and improve business
revenue. All these objectives are fulfilled through implementing effective and systematic
business strategies.
Products and services: Products are tangible items that are introduced by organisation in
market for the purpose of sale. On the other hand, services are the intangible items that enhances
overall experience of customers from organisation and retain them with organisation for longer
period of time. BMC provides range of food products in market and ensures their quality provide
better experience to customers and retain them with organisation from longer period of time.
Respective organisation develops strategies regarding what products are served by organisation
that attract customers towards organisation. BMC also ensures that resources are allocate for
smooth production along with the organisation creates strategy for products pricing, distribution
and allocation.
Customers: Customer are defined as the individuals or business entity that purchases
another organisational products and services. Customers plays important role in enhancing
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business revenue and lead it towards growth and development. It is essential for organisation to
understand customer’s needs, demands and preferences as well as provide quality products that
enhance their satisfaction level (Ghadermarzi, 2020). BMC conducts market research to analyse
customer’s requirements than provide them accordingly. Organisation also conducts marketing
strategies that lead business attract customers and inspire them to purchase business offerings.
Revenue generation: Revenue generation is defined as the process that is related to
creating sales of products and services with the generating income for business. It is related to
planning, marketing and selling products and services. BMC organisation develops revenue
generation plan that helps business to attain the objective of higher profitability. Respective
organisation develops effective marketing strategy, pricing and product development strategy
that lead business towards growth and development as well as improve organisational revenue.
The revenue generation are directly connected to the product and service of the
organisation because the number of product sole in the market should be increase and the
increase in the sale of the company enables the growth of the revenue in the organisation.
External factors and trends that are impacting or are likely to impact BMC’s future strategic
direction
There are various external factors and trends that are exist outside the organisation and not
in the control in business impact organisational performance and strategies. It is essential for
BMC organisation to analyse these factors and trends than develop effective strategies to run
business operations in right direction. Some factors that impact on BMC future strategies are
mentioned below:
Competitive factors: Competition is the most important factors that impact on
organisational strategic direction. There are various independent cafes that offers variety of
menus as well as locally produced food that impact on organisation’s overall performance and
profitability (Harahap, 2021). BMC organisation need to identify competitors offering, pricing
strategies and advertisement strategies than develop effective planning and strategies for future
that lead business towards gaining competitive advantages in competitive business environment.
BMC organisation uses all collected information to develop new idea for product development
and adding new feature in products.
Environmental factors: BMC organisation’s strategic planning and direction also getting
impacted by some environmental uncertainties such as Covid-19. During the pandemic
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organisation realised that its current organisational strategies and planning are not appropriate to
run business in efficient manner so, all strategies need to be updated accordingly to improve
business performance and sustainability during the period of uncertainties (Loukili, Cherqaoui,
and Elhaq, 2021). In lockdown, BMC has to developed its strategies as well as in post-lockdown,
management of organisation realised that it is become difficult for organisation to recruit suitable
staff members and current employees of organisation are dissatisfied with business policies that
impact on overall business performance in competitive business environment.
External trends :- There are different types of trends are developed in the market of UK
due to the happening of the Covid pandemic. The brief discussion related to the same are given
below:
One of the key trend which is shown in the market is that the preference of the customers
are shifted towards the use of healthy products. It impacts positively on the business of
the BMC if the company has provide healthy food.
The preference of the customers are shifted towards the use of advance technology which
is one of the important trend.
External factors: It refers to those factors which is present outside the organisation but has
impact on the business of the organisation. The brief discussion related to external factors
affecting the organisation are given below:
Economic factor: The economy of the United Kingdom are badly impacted from the
covid pandemic which enables the economy to reflects negative growth. The negative
growth of the economy are very harmful for the business.
Technological factors: There are new and advanced technology are developed in the
market regularly which positively impacts the business of the organisation. If the
management of the BMC has used modern technology, then it helps them to attracts the
customers from the market.
An assessment of two current strategic priorities for BMC
Strategic planning is defined as the management tool that is used by the organisation clarify
its future direction as well as lead all group efforts in right direction to attained determined goals
and objectives. These are the strategic priority are the objectives of organisation that organisation
want to achieve in specific period of time (Holbeche, 2018). BMC faces various difficulties so,
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respective organisation develops strategic priorities that accordingly that helps business to gain
competitive advantages. Two current strategic priorities are mentioned below:
Updating or adopting more suitable business structure in the current strategic priority of
BMC organisation that helps business to run its operations in right direction. Respective
organisation need to adopt decentralised organisational structure that motivates
employees and enhances their engagement and satisfaction from organisation.
Maintaining appropriate business structure impact on people practices such as it improves
employees sense regarding their position in organisation as well as all roles and
responsibilities are allotted at all level of department in systematic manner that lead their
effort and actions in right direction. in decentralised business structure, employees are
motivated to provide innovative ideas, thoughts and innovative concepts to management.
It greatly impact on people practice solutions.
BMC organisation need to develop various marketing strategies and conduct campaigns
on social media that attract customers towards customers towards organisation. Current
strategic priority of BMC is maintaining differentiation in products through improving
quality of products or bring innovation in existing products and provide them to
customers at affordable prices that help business to gain competitive advantages and help
business to generate higher revenues. Efficient marketing campaigns also plays important
role in people practice solutions and encourage customers to purchase organisational
products and services in order to gain higher profits and revenues. Marketing campaigns
create depth impact on consumer’s perspective and business image in their minds.
Causes and issues of these priorities
One of the most important issue which is involved in the development of new structure
for the company is that the management has to make changes in their organisation and
management. There are many employees are present in the organisation which resist
change so the management of the company has to face criticism.
It is very important for the management that they organise huge if they want to develop
effective marketing channels in the organisation which is one of the key issue.
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PART 2
A critical evaluation of the relationship between the employee lifecycle and people professional
Employee lifecycle: Employee lifecycle is the HR model that includes different stages a
worker advances in organisation. It is organisational method that is used by the business to
visualise how employees engaged with organisation that includes various stages such as
attraction, recruitment, on boarding, development, retention and separation. All these stages are
related to the employee’s experience that are felt by them in organisation. BMC organisation
implement all stages of employee lifecycle that elaborates journey of employees and their
experience from organisation. It helps business to retain talented employees and maintain strong
business reputation in market place. Respective organisation ensures that all resources that
enable business to reduce turnover issues as well as reduce time, money and efforts n right
direction that lead business towards growth and development. Employee lifecycle is closely
related to work of people professionals because they analyse all requirement of business than
take actions accordingly (McNoe, et. al. 2022). BMC organisation faces problem regarding high
turnover, recruitment and low employee satisfaction that impact business overall efficiency. To
overcome these problems people professional department of BMC concentrate on recruitment
and retention strategies that retain talented employees with organisation for longer period of
time. It helps business to recruit talented employees, on board them properly, provide appropriate
training and development opportunities to retain them with organisation that provides
competitive advantages to BMC over other competitors.
Recommendations
It is recommended to the management of the BMC that they develop effective marketing
channels so that more and more employees can be recruited in the organisation.
It is recommended to the management that they have made various benefits and
incentives scheme for the company because it helps to retain the employees.
Explanation of two key themes that are currently impacting people practice and shaping how
your area of people practice supports the organisation
There are various themes and factors that impact on the people practices in organisation. So it
becomes important for the organisation to analyse these factors and develop effective strategies
to support organisational people practices that lead business in the direction of growth and
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development. BMC organisation evaluates all these factors through conducting depth research
than take actions that enable business to handle situations in appropriate manner and lead
business in right direction to attain determined goals and objectives (Mendy, 2022). Some factors
are mentioned below:
Organisational structure, culture and policies: All these aspects directly impacts on
people practices of organisation. If organisational culture and structure is not appropriate them
employees cannot perform business operations with efficiency and effectiveness. If business
policies and strategies are not communicated to all hierarchical level of business that impacts on
organisational people policies, managing grievances and other aspects as well as unsupportive
business culture lead employees towards dissatisfaction.
Ineffective recruitment policies: Ineffective or long procedure of employee recruitment
impacts organisational practices related to employees (Molloy and Mödlinger, 2020). As
recruitment process requires higher budget and time as well as pool of candidates to select the
best out of them.
There are various actions are taken by the people practice team or people professionals
support organisation. These actions are mentioned below:
People practice team take effective actions to maintain effective and systematic
recruitment and selection process in organisation that enable business to occur talented
and skilled employees who can perform business operations with efficiency and
effectiveness.
People practice team maintains strong and flexible business structure and culture that
motivates employees to take active participation in business decision-making process
through coming with innovative and creative ideas. It motivates organisation to improve
people practices in business and retain them organisational for longer period of time.
Through this, people practice team can support organisation and lead it towards the
direction of attaining determined goals and objectives.
An assessment of how people practices can impact on organisational systems and structures
People practices: People practices are defined as the approaches and practices that are
used by the organisation across the employee lifecycle. There are various activities are included
in people practices such as need analysis, developing people policy, creating talent pool,
managing grievances, analysing people data and recruiting them in organisation. Some people
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practices are related to the specialist knowledge areas like resourcing, learning and development.
People practices play an important role in the life-cycle of an employee as they impact the
overall working operations of that employee (Omopariola, 2021). These practices play an
important role in more employee retention, employee's engagement with an organisation, overall
growth and development and many other factors. These practices even attract more employees
for an organisation and even let’s all employees to work more for better promotions and
monetary benefits.
Organisation structure: Organisation structure is a framework that defines the activities and
processes that an organisation has to follow for the achievement of pre-described goals and
objectives of organisation. Structure are made for proper working and operating of BMC
organisation. These structures are important for clarity in work of employees in the firm.
Organisational structures provide clear duties and clarity all the levels of a company and thus
improving operational efficiency and effectiveness of organisation (Samson, 2018). By having a
complete knowledge of organisational structures of an organisation and its working, the internal
departments can work better and can only concentrate on productive and useful tasks without
wasting personal and professional resources. People practices plays important role in business
structure and impact it in positive as well as negative manner. If employees of organisation found
positive and systematic structure in business than they can perform their defined operations in
best possible manner and contribute in attaining business goals and objective with greater
efficiency. People practices such as recruitment, people policies, training and create talent pool
requites appropriate business structure so information flow properly and business operations are
conducted in best possible manner.
Organisation system: A organisation system is made for proper utilisation of all resources
available and is arranged in a way that allows the human resource to interact with these
resources. BMC needs organisational structure for overall efficiency, for increasing productivity
and profitability and for more clarity of work in between its employees. BMC checks that all its
working and operating tasks are provided to the right people with their respective duties and
responsibilities. It also guides them with their overall roles and their reporting seniors (Siswanto,
et. al. 2021). It also lets people of BMC to be more creative and being very clarified with
problem solving, however complex a problem it is. Approaches of people practice create impact
on organisational system because for recruiting employees and provide them training required
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