Organizational Performance: BUNI Travel Case Study - BMP4006, Sem 2

This case study examines the organizational performance of BUNI Travel, a UK-based travel agency, focusing on tools and techniques for improvement, the role of employee well-being in motivation, and the impact of the macro environment through a PESTLE analysis. Key performance indicators (KPIs), 360-degree feedback, employee motivation, training and development, effective traveling services, and human resource management are discussed as strategies to enhance performance. The report emphasizes the importance of employee well-being, highlighting its impact on productivity, motivation, innovation, employee engagement, absenteeism, employer-employee relationships, and employee loyalty. The study concludes that prioritizing employee motivation and well-being is crucial for improving organizational performance and achieving business objectives.

Business Management
BMP4006
People and Performance
Assessment 1
Case Study: BUNI Travel
Semester 2
Submitted by:
Name:
ID:
1

Contents
Table of Contents
Introduction................................................................................................................................3
What tools and techniques will help improve organizational performance?.......................3
Role of employee well being in improving motivation and performance............................5
Conclusion .................................................................................................................................7
References..................................................................................................................................8
Appendix.....................................................................................................................................9
A PESTLE analysis for BUNI Travel.........................................................................................9
2

Introduction
Every business organization wants to improve its business performance to increase
the productivity level of its employees and make them undertake major tasks to increase
economies of scale of the business and to get the competitive advantage. Organizational
performance can be monitored in respect of financial, economic or functional performance of
the business (Aalerud, 2021). For organization's success, providing motivation to employees
is very crucial. The following report will discuss about the organizational performance of
Buni Travels. It is a UK based Travel Agency, headquartered in Bolton, England. It deals in
travelling and booking tickets for customers of different countries for various destinations
worldwide. This report will deal about the tools and techniques to improve organizational
performance, role of employees wellbeing in improving motivation and business
performance. Further, it will also cover the impact of macro environment on the business of
Buni travels through PESTLE Analysis.
What tools and techniques will help improve organizational performance?
To improve the organizational performance, it is necessary to make the effective use
of human as well as functional resources to conduct the smooth functioning of the business.
The management needs to have effective leadership power to inspire the employees for
increasing productivity. It should strive to ensure collaborative teamwork in the organization
for improving its performance and overcome the competitors. Buni travel can use the
following techniques to improve the performance of its business:
 Key Performance Indicators (KPIs) : It is a tool for measuring the performance of
employees. It includes a set of measurements to improve the overall performance of
the organization on a long term basis. There are various indicators that are used to
measure the financial focused, customer focused or process focused performances.
For operational performance, process focused KPI indicators are used to improve the
organization performance. So, Buni Travels can use this tool for evaluating the
operational performance of its employees that will contribute to the overall
performance of the business.
 360-degree Feedback : It is a method of performance appraisal that includes
receiving of feedback by the employees from the managers or peers. Individuals
included in the feedback process are given feedback forms that include questions for
managers to give rating on the performance of employees via written comments.
3

Employees are also given feedback forms for providing self rating on their
performances (Sethibe, 2018). This method ensures better understanding of the
strengths and weaknesses of individuals working in the organization. By getting the
feedback, management is able to form and implement a development plan for the
employees. It facilitates improving the performance of employees and thereby of the
entire organization.
 Employ motivational factors: A motivated staff is the most considering factor for
ensuring the success of the organization and its improved performance. The
demotivated factors make the employees consider their self-interests and ignore the
vision and mission of the organization. So organizations should employ rewards and
punishments to bring motivation in the behaviour of employees to increase the
productivity of the business (Alanzi, 2018). Buni Travels can also conduct reward and
recognition programs for its Customer services personnel like tickets booking staff,
Travel agents and other financial and operational employees to make them committed
to the objective of company.
 Training and Development of workforce : Organizations should focus on
improving the educational skills of its staff i.e. employees, managers and other
professionals according to their area of specialization to increase revenues and
thereby improve performance. Buni travels can facilitate enhancement in the skills of
its workforce. For example, it can conduct IT training for Ticket booking staff so as to
make them more efficient in searching the destinations and develop bonds with
Destinations companies or Hotels for providing more improved services to the
customers or it can hire a finance professional to conduct financial training in the
organization.
 Effective Travelling Services : Companies should focus on cost effective methods
while providing quality services to enhance customer satisfaction and provide good
travelling experience and increase customer base to overcome the competition. They
should set a standard budget for pricing their services and should ensure the
maintenance of this budget (Ferreira and Franco, 2017). Buni travels must improve its
services by providing entertainment and easiness to customers while travelling, it
should offer quality meals and employ effective waiters for customers to attract large
customer base from across the globe and simultaneously managing its budget
requirements.
4

 Effective use of Human Resources: Human resources are the most crucial assets of
any organization. They are the major contributors for the success of any organization.
Human resources department facilitates in improving the performance of business by
facilitating in the implementation of business strategies. Organization should engage
professional human resources to take perspective regarding effective strategies to be
implemented leaders should take active participation in hiring professional human
resources for new positions to achieve the desired objective of the company. So, Buni
Travels can also improve its human resource issues by using performance appraisals
for the employees , by providing training programs to them.
 Performance appraisals: To achieve the long term profitability for the organization,
it should constantly monitor the performance of its workforce to take corrective
measures to improve it (Ganiyu , 2019). For example, Buni Travels can implement a
performance based promotion system to allow the effective performers get high
package and perks as compared to low performers. This will encourage the low
performers to contribute more in improving the performance of the organization.
Role of employee well being in improving motivation and performance
Employee wellbeing refers to the psychological or mental health of employees at the
workplace that contributes to their quality of performance and productivity level. Improved
wellbeing facilitates higher job satisfaction and brings higher morale and voluntary working
in the behaviour of employees (Hoerl and Snee, 2020). Employee wellbeing is advantageous
in terms of productivity, absenteeism, collaborative teamwork and job satisfaction. It
contributes to value and ethics, teamwork, recognition and thereby in improving
organizational performance. The following are the major roles of employee wellbeing in
improving organizational performance that Buni Travels should also consider to improve its
business performance:
 Increases Productivity: When employee will have job satisfaction due to the
consideration by the company of their physical and mental wellbeing at the
workplace, they will work for the vision and mission of the company and increase
their productivity level that will further facilitate increased economies of scale for the
organization and improve the organizational performance thereby. So, Buni Travels
must facilitate the healthy working conditions and facilities for its staff at travel
destinations. It must ensure collaborative and positive working environment at their
respective workplaces for increasing their job satisfaction and productivity.
5

 Increases motivation towards work of employees: When management of an
organization conducts merit based promotions by employing rewards and recognitions
as motivational factors to ensure good employee being, it provides motivation to the
employees and they work for the organization beyond their self-interests (Kaufman,
2018). Buni Travels can use different theories of motivation like Maslow's Hierarchy
needs of motivation theory to satisfy the psychological needs of the individuals, Hertz
berg's theory of motivation, and self-determination theory of motivation to increase
productivity of employees to satisfy their needs and make them productive towards
work.
 Increases innovation and decision making : When employees have good
wellbeing, they tend to feel positive and energetic at the workplace that brings
positive thinking and develops positive attitudes towards work due to which they are
able to be creative.It ensures effective decision making that facilitate innovation in
the organization. They have optimistic mind-set that assists in taking rational
decisions and problem solving. Buni travels must consider this aspect and provide its
employees with positive working environment in the business to make them
productive and innovative towards the work.
 Improves employee engagement: When in the organization, employees wellbeing is
not considered and employees do not feel well because of any financial or health
issues, they tend to feel disengagement from work. It is due to distraction and high
stress that ultimately leads to discontinued employment that has negative impact on
employee engagement (Kotni and Karumuri, 2018). So, Buni Travels must focus on
the financial and health related aspects of its employees to improve their engagement.
It must strive to attract and hire more employees in its organization to increase
economies of scale by offering them highly positive environment and employee
wellbeing.
 Reduces Absenteeism: Employee wellbeing impacts the functioning of employee at
workplace as it involves psychological, financial, physical, emotional, social and
health approaches that employers use to make their workplace as a best place to work
with productivity and enhanced performance level. When employees have all these
approaches of wellbeing in the organization, they enjoy positive environment that
reduces absenteeism. Buni Travels should conduct Employee wellness programs to
ensure more stay of employees in the organization and to avoid absenteeism of
employees.
6

 Employer-Employee relationship : In the organization, when employers focuses on
employee wellbeing by providing them with healthy working conditions, employee
wellness programs and different merit based promotions, employees tend to develop
good employment relations that facilitate improved performance of the organization
(Nanda and Randhawa, 2019). Buni Travels can also execute psychological contracts
to ensure employee wellbeing and good employment relations in the organization to
improve its performance.
 Increases Employee Loyalty : When considering the employee well being,
organizations conduct wellness programmes for their employees by providing them
healthy and positive working environment, employees tend to feel secured in the
organization when their basic needs are considered (Ugwu and Asogwa , 2017). If
employers focus on the health, cleanliness and wellness of the employees that make
the employees satisfied, they tend to become more loyal and committed to the
organization and work in the interests of the organization to improve its performance
and achieve the desired objectives to increase its status in the market.
Conclusion
From the above discussion, it has been concluded that to increase the productivity
level of the employees and thereby improve the performance of the organization, it is
imperative to keep the employees motivated and take care of their interests. To increase the
economies of scale for the organization, its human resources are considered as the most
crucial factor that contribute the most to the success of organization. Companies must ensure
employee wellbeing for improved organizational performance to reduce employee
absenteeism by creating positive working environment at the workplace in their interests.
They should use various techniques to measure and improve the performance of business.
Organizations should analyse the impact of external environment through various
frameworks like PESTEL Analysis to improve the performance of their businesses. So,
businesses need to consider the motivational factors to increase employee well being in the
organization for making employees committed to the objectives of organization and work
beyond their self interests.
References
Aalerud, H., 2021. En PESTEL analyse av egnede områder for akvakulturkonseptet"
Octopus" (Master's thesis, uis).
Alanzi, S., 2018. PESTLE Analysis. Project Management.
7

Ferreira, A. and Franco, M., 2017. Strategic alliances, intellectual capital and organisational
performance in technology-based SMEs: is there really a connection?. International Journal
of Business and Globalisation, 18(1). pp.130-151.
Ganiyu, K., 2019. Impact of Risk Management on Organization Performance: Evidence from
Selected Insurance Companies in Lagos Metropolis (Doctoral dissertation, Kwara State
University (Nigeria)).
Hoerl, R.W. and Snee, R.D., 2020. Statistical thinking: Improving business performance.
John Wiley & Sons.
Kaufman, S.B., 2018. Self-actualizing people in the 21st century: Integration with
contemporary theory and research on personality and well-being. Journal of Humanistic
Psychology, p.0022167818809187.
Kotni, V.D.P. and Karumuri, V., 2018. Application of Herzberg two-factor theory model for
motivating retail salesforce. IUP Journal of Organizational Behavior, 17(1). pp.24-42.
Nanda, M. and Randhawa, G., 2019. Emotional Intelligence, Well-Being, and Employee
Behavior: A Proposed Model. Journal of Management Research (09725814), 19(3).
Salehi, F. and Sajjady, S., 2020. Impact of Talent Management in the Stage of Fourth
Industrial Revolution on Organization Performance in the Manufacturing Companies in
Iran. Asian Research Journal of Current Science, pp.95-101.
Sethibe, T.G., 2018. Towards a comprehensive model on the relationship between leadership
styles, organisational climate, innovation and organisational performance. International
Journal of Innovation Management, 22(02). p.1850021.
Ugwu, F. and Asogwa, F., 2017. Examining the moderating role of mindfulness in the
relationship between perceived job insecurity and psychological well-being among
telecommunication workers in Nigeria. GOUni Journal of Management and Social
Sciences, 3(1). pp.72-88.
8

Appendix
A PESTLE analysis for BUNI Travel
This Analysis is a tool that helps the organizations to analyse the positive or negative
impact of external environment on the business and its performance and take measures to
improve it (Salehi and Sajjady , 2020). The following is the PESTEL Analysis of Buni
Travels:
 Political factors: Brexit in Europe will impact the political relations of UK with
other countries. The visa and travel licenses and permits also impact the business
operations of travel agencies like Buni Travels.
 Economic factors: Buni Travels needs to consider the inflation rate as it affects the
salary of employees. It needs to consider the disposable income of people of different
countries as people with high disposable income spend more on leisure travel and
tour.
 Social Factors: Buni Travels needs to consider the safety measures for physical
environment that makes interactions between service providers and travellers. Also,
people prefer to travel by getting impressed with the trends of social media.
 Technological Factors: Buni Travels can take the benefit of technological factors by
demonstrating the visiting destinations and Hotels at its website, social media
platforms to attract the customers globally. It should enhance its IT process to take
more bookings.
 Environmental Factors: Travelling via flights leads to emissions of carbon that
causes air pollution. So Travel agencies like Buni Travels needs to be eco-friendly
and should conduct environment sustainability programmes.
 Legal factors: Buni Travels need to consider the laws and legal formalities relating to
visa processes and licenses and permits etc. It should also follow safety laws for its
employees and health laws for its customers to ensure adherence to laws.
9