Analyzing Organizational Behaviour at British Petroleum: A Report

This report examines the organizational behaviour within British Petroleum, focusing on critical issues such as employee turnover and absenteeism, which have negatively impacted sales and productivity. The study delves into organizational politics and power dynamics, analyzing their effects on employees and the company's overall performance. It explores different types of power, including coercive, legitimate, reward, referent, and expert power, using the French and Raven model to assess their impact. The report provides recommendations for addressing these issues, emphasizing the importance of fair management practices, employee engagement, and the use of rewards and incentives to foster a positive work environment. The conclusion highlights the need for changes in management practices to improve operational efficiency and gain a competitive edge. The report recommends fair decision-making, employee participation, and flexible working hours to mitigate employee turnover and absenteeism.

ORGANIZATIONAL BEHAVIOUR
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Executive summary-
The current report has been based on British Petroleum Company, where management
are facing two major issues such as employee turnover and absenteeism at workplace that lead to
decrease sales and productivity of business. This assignment has been analysed that by following
and implementing appropriate suggestions, firm will overcome these problems.
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Table of Contents
INTRODUCTION...........................................................................................................................3
MAIN BODY...................................................................................................................................3
Organizational politics and power..........................................................................................3
CONCLUSION................................................................................................................................6
RECOMMENDATIONS.................................................................................................................6
REFERENCES................................................................................................................................8
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INTRODUCTION
Organizational behaviour can be defined as application of knowledge and understanding
about how teams and workers act within a firm. It is a subset of administration activities and
actions concerned with appropriate understanding and influencing person behaviour in
organizational setting. This assignment will be based British Petroleum, which falls under
category of multinational gas & oil companies in London, UK. This study will explain
organizational politics and power and issues identified in company as well as workers.
Furthermore, this report will provide appropriate suggestions in context of change when it is
suitable for company.
MAIN BODY
Organizational politics and power
Organizational politics refers to informal manners workers or managers try to exercise
influence in enterprises through administration. It is essential for companies in context of
managing political and working environment (Abbas and Awan, 2017). When management use
their power without making differences between female and male employees regarding
performance appraisal, he or she can motivate them in effective manner. But it brings several
issues when judgment is taken with favouritism as it increase high employee turnover. It is one
of the problems that affect growth and progress of British Petroleum. Within organization,
manager take decision by making differences between applicants that creates negative
environment at workplace and affects productivity level of staff. It impact workers and business
performance negatively, which is not suitable for greater success of company.
Organizational politics is harmful for applicants and influence staff perceptions of job
satisfaction, their well being, and organizational commitment and sales (Ahmad and et.al., 2017).
It lowers results of employees and eventually put negative impact on productivity of chosen
brand. It can be said that, candidates and management who play politics at work areas pay less
attention to his or her work. Those kinds of peoples are less interested in achieving common
objectives and are highly interested in back biting as well as leg pulling. Organizational politics
lead to high employee turnover and absenteeism. This term is a worker’s habitual or intentional
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absence from workplace. Misuse of power enhance stress level of staff and develop negative
feeling among them that can cause applicants to avoid going into firm.
Organizational power can be defined as capability of a firm structure to use all
mandatory assets in favour of business development such as workers, technology and other
resources (Ramos and et.al., 2019). This factor put positive impact on companies, when power
can be used in ethical manner. But, it can affect negatively when manager use their authority,
with favouritism. Here, French and Raven model can be applied in context of British Petroleum
Company to define types of power and its impact on workers and firm.
Coercive power-
This kind of power utilizes threat of pressure to gain compliance from another. Pressure
may include social, physical and economic means (da Silva and et.al., 2019). It includes forcing
each worker to do work and accomplish task against their will; this sort of power can be
achieved by being effectively able to punish staffs for non compliance. Punishment is the main
source of coercive power that influence behaviour & performance of individual and team. As it
decrease productivity of candidates. Workers do not like any kind of punishment because it
impacts on their behaviour and leads to increase high employee turnover. It can be said that
coercive power, lower job satisfaction and increase absenteeism or employee turnover. Due to
this factor, staff may eventually seek alternative suggestions and options of employment, which
cause these two issues that, are quite expensive to British Petroleum. As it leads to low
productivity and profitability & impact sales of firm.
Manager with this power make control on overall business activities and employees
actions. When worker continue to defy brand standards and policies, management need authority
to correct that thing and this element gives them power.
Legitimate power-
It is authority management within British Petroleum drive from its formal position in
company’s hierarchy of authority (Tweedie and et.al., 2019). For instance, CEO of companies
has certain powers because of business he or she holds in enterprise. By being senior in
company, manager takes decision to appraise staff and promote them. When judgment is fair,
management would enhance performance of workers even better and increase productivity. In
chosen firm, manager can misuse his or her power that brings many issues; employee turnover is
one of that. For example, utilize of decision making and other power in fair manner can
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effectively influence performance of group and team members and also enhance positive
behaviour of each applicant towards their work positively. People in workplace are influenced by
this power and they can do what they are told by senior due to rules of work area.
When power related to anything used in negative manner, it increase absenteeism and
workers switch to another job which is not good progress of company and its impact on brand
market image.
Reward power-
This type of authority includes providing benefits to workers for doing something or
accomplishing task on timely manner (Atwiine and et.al., 2020). When leader and manager of
British Petroleum provide incentives in form of rewards to their staff after completion of work,
they can influence each work and team member to perform even better and enhance their
behaviour as well. This power is just opposite to other forms such as coercive power. It is
conveyed through rewarding each applicant for compliance with one’s needs. It may be
accomplish through raises, bonuses and extra time off from day to day work once in a week. It
can be analysed that misuse of reward power can hurt individual morale, who work for company
since for so long and lower their productivity as well. These conditions often happen when
applicant feel they have no one to turn to.
Referent power-
It is based on being respected and liked as a senior officer or worker. This power derived
from a person perceived value and attractiveness. When workers respect leader in company and
follow their order without resistance, it influence performance and behaviour of team and
individual in positive manner. As people like to work with those people who gained respect from
juniors and give as same to others. This kind of power is a type of reverence obtained by leader
and manager who has strong connections relationship abilities. As an aspect of personal
authority, becomes specific essential as organizational leader becomes increasingly about
influence & collaboration, more than control and command. When leaders do not have effective
interpersonal skills, they would influence worker in negative manner.
Expert power-
This is last form of power that relies on an individual high stage of abilities and skills.
When manager in British Petroleum utilize their expert power in context of suitable and relevant
guidance to team and individual they can help to increase performance of staff. When senior
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have appropriate talent and knowledge that allow them to understand condition or organizational
environment, suggest solutions and then utilize solid decision, each workers can listen to them
what managers say. It is perception that some worker in company has an elevated degree of
knowledge that others in firm do not have.
CONCLUSION
By summing up above discussion, it has been concluded that managers and leaders in
British petroleum by providing similar growth opportunities to workers are increasingly
enhancing their motivational & productivity level. It has been provided several benefits to
company in term of increasing profitability and performance of business rather than its rival.
There are varied ways accessible in world of business that firm should use to manage
organizational power and use it in context of employees and venture benefits. Furthermore, by
considering appropriate suggestions for change, organization enhances their operational
efficiency even better and also obtains competitive edge. There are following recommendations
in regards to firm.
RECOMMENDATIONS
1. It has been analysed that misuse of power in British Petroleum company putting negative
impact on performance and productivity of workers. It leads to high employee turnover,
which is not suitable for business growth. In order to overcome this issue, management
should use their power for making fair decision instead of differentiation. It is one of the
best methods, he or she will utilize in regard to problem. By using power without making
differences, manager would get varied benefits in term of increasing employee
motivational level.
2. Furthermore, it has been identified that there are several options available in the world of
business that British Petroleum should consider to make changes within their existing
management practices. Manager must change the ways he or she take decisions for
business and workers growth. They should encourage workers to take part in judgement
process because it makes management able to retain skilled applicants and enhance
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motivation effectively. They would not take any decision without assuring workers
needs, which is actually very important for chosen brand.
3. Due to lack of fair judgment, workers in British Petroleum do not like to work for long as
it leads to absenteeism that is not appropriate for company. In context of this problem,
management should change their activities and practices, which they conducted for
business well fare. Manager must take decision related to anything without making
differences between male & female employees as he or she should take judgment by
considering growth chances for everyone, not for special one.
4. In order to overcome employee turnover as issue in British Petroleum, management
should give bonuses and flexible working hours to all workers, which is quite beneficial
for company in term of building positive working environment around workplace where
staff perform their task daily. It can be said that, workers tend to do more work when
manager recognize and appraise them for hard work. It helps to retain skilled and talented
applicants for longer period of time.
5. Along with all above ways, manager and leader in chosen brand should consider another
approaches and suggestions to change the way they act and make plans for compensation.
They must conduct a meeting where leaders are invited to make important discussion
about staff performance. It will help to make plan who will be rewarded or not in the
future, which create productive and inclusive work culture at workplace.
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REFERENCES
Book and Journals
Abbas, Q. and Awan, S.H., 2017. Impact of organizational politics on employee performance in
public sector organizations. Pakistan Administrative Review. 1(1). pp.19-31.
Ahmad, S and et.al., 2017. Do emotional intelligence & organizational politics influence the
employee work behaviors and attitudes? Mediating role of political skill. Jurnal
Pengurusan (UKM Journal of Management). 51.
Atwiine, J and et.al., 2020. Organizational Rewards and Performance of Health Centre IV
Workers in Greater Mbarara District, Uganda.
da Silva, A.W.P and et.al., 2019. Correlations between power and affective organizational
commitment. Revista de Gestão e Secretariado. 10(1). pp.91-118.
Ramos, V and et.al., 2019. Analysis of organizational power networks through a holistic
approach using consensus strategies. Heliyon. 5(2). p.e01172.
Tweedie, D and et.al., 2019. How does performance management affect workers? Beyond
human resource management and its critique. International Journal of Management
Reviews. 21(1). pp.76-96.
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