Organizational Theory and Practice: Deliveroo Case Study Analysis

This case study examines Deliveroo's organizational theories, management styles, and leadership approaches within the online food delivery sector. It analyzes the company's autocratic management style, strategic planning, and the CEO's role in driving organizational change, including restructuring efforts and communication strategies. The study explores the impact of different leadership styles, particularly the democratic approach, and the importance of employee motivation and engagement. It also delves into the effects of power, influence, and conflict within Deliveroo, highlighting the significance of fair treatment and respect among employees. Furthermore, the case study discusses various types of motivation, the importance of adapting to market competition, and the need for effective decision-making and internal transparency to maintain a competitive edge. The analysis provides suggestions and recommendations for improving Deliveroo's performance and ensuring its long-term success.

INDIVIDUAL CASE STUDY

TABLE OF CONTENT
INTRODUCTION...........................................................................................................................3
MAIN BODY...................................................................................................................................3
A) Management style and principle and functions.................................................................3
B) Steps taken by CEO to get change in organization structure............................................4
C) Leadership style of CEO...................................................................................................5
D) Effect of power, influence and conflict.............................................................................6
E) Various types of motivation...............................................................................................7
F) Corporate examples and literature.....................................................................................8
G) Suggestions and recommendations...................................................................................8
CONCLUSION................................................................................................................................9
REFERENCES..............................................................................................................................10

INTRODUCTION
Organizational theories are used by businesses to make sure that there is a good
relationship between the organization and the environment in which the companies are working
within. Organizational theories always get in a sense of direction which is a very important factor
for the company to have so that they can maintain their competitive advantage and portfolio in
the market. Deliveroo is a private type business which is belonging from online food ordering
delivery sector. The company is having its headquarters in London, United Kingdom which is
operating in the industry since 2003. The company is having revenue of £476 million and the
company has not been able to make a profit till now. The company has been able to successfully
make a place and also expand themselves successfully as well. The report is going to consist of
management and leader styles which the company is using and the measures which the company
is taking to be able to get in changes effectively which is going to make sure that the company is
being able to have higher operations and functioning. The competition in the market is increasing
which needs to be analysed and improved upon so that there are better ideas and competitive
methods can be gained.
MAIN BODY
A) Management style and principle and functions
Deliveroo is using autocratic style of management so that they would be able to make the
right decisions. It is very important for the company to make sure that they are taking the right
actions and understanding the employees as well as the clients of the company which is going to
help in making sure that there is effective working (Gregory and Macnamara, 2019). The
competition in the fields is very high which has to be overcome otherwise the company will not
be able to develop. The company has not been able to make a profit yet but not a loss as well
which is a very good factor for the company to have for stability in the market. Performance of
the employees has to be high so that the demands of the clients is going to be matched which is
going to be a great factor for the company to have. Job satisfaction, situations, morals,
engagement, etc. has to be looked after by the manager in order to make sure that Deliveroo is
being able to have higher benefits (Weideman, 2017). Participation of employees is not present

in this aspect which is not going to be very helpful and make sure that the company is not being
able to have a smooth operation and productivity which is good for the portfolio, brand image
and brand value.
For the management it is very important to make sure that there is effective engagement
which is present from the employees and that is going to make the satisfaction level be higher.
Meetings, communication, etc. is going to be provided by the management in order to make sure
that there is one direction which is present for everyone (Hossain, Kannan and Raman, 2020).
Long term goals are going to be set for the employees and organization which is good for the
overall working and performance of the company. Strategic planning is done by management
which is planning, organizing, leading and controlling the company which is going to help in
achieving the targets and goals which is going to make the company be able to have higher
achievement of aims. Discipline is going to be present when the communication would be strong
enough which a good factor for the company to have is and makes Deliveroo be able to have
higher functioning as well (Farquharson, Sinha and Clarke, 2018). Actions have to be set which
is going to make sure that there is effective planning and strategic improvement which is going
to come in the company which is good for the organizations long run.
B) Steps taken by CEO to get change in organization structure
CEO has to take a lot of measures in order to make sure that the organizational structure
is being followed and implemented well. There are going to be resistance and conflicts which
may rise but they have to be overcome by the management and CEO on time which is going to
make the company have higher reputation (Kim and et.al., 2017). Challenges are going to rise in
front of the CEO which must be addressed and looked closely at which is going to be helpful for
a long run and make sure that the company is benefiting from it. Positioning of the company has
to be high which is going to make sure that the company is having a good loyalty and operations
in the company which is beneficial. Restructuring by the CEO for all the actions have to be done
in order to be able to operate and work effectively which is going to be a great factor.
Inefficiency is no good for the opportunities which the company is having in the market which is
going to make sure that the tasks are being completed on time. Improvement with opportunities

is the work of CEO but they also have to understand the employees well before taking decisions
(Barnard, 2020).
There has to be a clear defined direction in which the company must operate which is going to be
decided by the CEO and be approved by them as well. The communication strategy is going to
be decided by them as well which is going to be a great factor for the overall working of the
business. Changes have to be bringing out a strong goal which is going to make sure that the
impact is going to be stronger and make the company be able to have higher working and
functioning which is going to be a great factor. Training also has to be provided to the workforce
from time to time of Deliveroo so that they can help the organization be able to compete with the
competitors in the market effectively (Mohammad and et.al., 2020). Internal working and
transparency is very important for the company to be able to operate and be able to make sure
that they are matching the standards and observing the organization to be able to operate
effectively and efficiently. Delegating work is important and observation has to be strong enough
in order to be able to create a healthy working space for everyone (Al-Taie and Cater-Steel,
2020).
C) Leadership style of CEO
Leaders of Deliveroo are using democratic style in order to make sure that all the actions
are being shared and making the company is able to have higher functioning and reporting. It is
the work of leaders in Deliveroo that they are motivating and guiding the employees. There has
to be a good sense of direction which the company has to take in order to be able to have a good
sense of direction (Biscotti, D’Amico and Monge, 2018). Influence of the leaders is huge in the
employees even more than the management which is present and decisions can also change with
the input of the leaders when the management is making decisions. Innovation and creativity has
to exist in the leaders so that they can encourage the employees as well to be able to do so in the
company. Command on the employees has to be strong of the leader in order to be able to
operate the company effectively. Deliveroo is very depending on the employees and to make the
clients be satisfied it is very important for the company to make sure that they are taking the right

decision. Encouraging the employees professionally is very important so that there is going to be
good emphasis which is going to be present (Burnes, Hughes and By, 2018).
Leaders need to understand the needs of the employees like Maslow’s theory helps the
leader of Deliveroo leaders to make sure that they are taking the right actions. Company has to
make sure that the basic needs which are physiological and self actualization needs of human
being are being matched. Quick decisions have to be taken in situations so that there is not going
to be bigger issues which are going to come up in the company. Effective planning is always
better for the company to have which is going to make the working and performance of the
company is higher (Collins and et.al., 2020). Leaders of Deliveroo always ask for the best of the
employees and take feedback from the employees as well so that there are going to be effective
decisions which can be taken and that is going to be a great factor. Managing the people is very
important decision for the team which is going to make the operations better higher. The
company has to be sure of the exact actions which are going to be good for the overall
development and make sure that the organization is having a good working (Adolfsson and
Alvunger, 2017).
D) Effect of power, influence and conflict
There is a huge impact of power, influence and conflicts which are present in Deliveroo
which is going to make the performance level be reduced. Reward, legitimate, referent, expert,
coercive, etc. are power theories which are present. It is very important for the managers and
leaders of the company to make sure that these powers are not being misused so that there is
going to be higher functioning and performance which the organization can have for along run
(Azeez, Shonaike and Adenuga, 2020). There are a lot of experts which are present in Deliveroo
which must be able to share their experience in the field so that everyone can benefit from it but
this is missing which needs to be addressed. Work distribution and responsibilities have to be
well assigned to all the employees in the organization so that there are going to be higher
working and performance which the company would be able to have for a long run. Decision
making of the senior management has to be for all the employees of the company which are

going to make the company be able to work as one and get the reputation and trust of the clients
be higher in the firm (Tunley and et.al., 2018).
Influence and conflicts are going to rise more if the power is being misused in the
company which is going to be impacting the overall performance and working of the
organization. Deliveroo has not had any losses in the market but they have to make sure that they
are not going to have them in future as well which is going to be a great factor for the overall
working (Dickson and et.al., 2019). All the workforce have to be treated equally so that there is a
good sense of working which is going to be present and that is a good factor for the overall
working as well. Emotions and opinions of the clients have to be matched by the organization
but for the the internal environment of the company has to be well maintained so that there are
going to be higher abilities which the company is going to have (Whysall, Owtram and Brittain,
2019). Respect for all the employees must be present for each other so that there is going to be a
positive behaviour and the working of the company is also going to be higher which is a great
factor. Sense of direction is also going to be higher when the company is being able to follow
and understand the market well (Roscoe and et.al., 2019).
E) Various types of motivation
Deliveroo will have to make sure that the workforce which is present in the company are
well motivated so that there are going to be higher performance. Deliveroo has not been able to
make a profit till now because of the lack of experience and also because the workforce is not
being able to match the expectation of the clients as well (SERGEEVA and et.al., 2018).
Objectives and goals have to be clear with the employees and decisions are being made with the
influence of the employees in them which is another sense of high motivation which is going to
be present as well. Individuals have to make sure that there is effective working from their side
which the company is receiving which is going to give them something in return as well. There
are not many promotions which take place in Deliveroo for most of the employees but there are a
lot of rewards and other benefits which are being provided (Nwanzu and Babalola, 2019).
Understanding of the employees is very important to make sure that there are right working and

performances which are going to be present and that is a great factor for the overall working and
influence of the organization in the market.
There are a lot of theories and methods which can be implemented in an organization in
order to be able to gain the attention of the employees in the working of the company. Giving
physical and mental rewards are very important for the company to have so that there is going to
be higher performance and working which the company is going to have (Rosenbaum, More, and
Steane, 2018). The basic needs are being fulfilled of the workforce by Deliveroo from time to
time but there are other benefits as well which have to be provided so that they continue to give
in their best to the company (Sarbazhosseini, 2019). Businesses have to make sure that they are
being able to have the right working and motivation in the working environment as well so that
there is right working. Employees of Deliveroo are not working according to climate which is
why they need more appreciations making the company be able to have higher working abilities.
The goals and objectives are in front of the employees so that they would be able to give in their
opinions as well which is going to make the company work according to them which is going to
be a great factor for the overall organization (Bendermacher and et.al., 2019).
F) Corporate examples and literature
As per the view of Rossetti and Wall, (2017), Deliveroo has not been able have a loss in
the market which means they have the right methods to be able to find the right stability in the
economic factor and other aspects which is going to be a great factor. Businesses have to make
sure that they have the right internal working which is proven by Deliveroo by getting in stability
and making sure that the retention level of the employees is not high which is going to make the
overall working of the company be present for a long run. Leaders and managers have also
helped the company to have a strong internal environment which is impact the employees and
the clients in a positive manner which is a very good factor (Chidiac, 2017). The companies in
market must be able to have a good working environment so that there is going to be raised
stability which is present and better working is going to be there as well.

G) Suggestions and recommendations
Capabilities have to be high of the employees who are going to make the company be
able to have the right measures and input of employees must be high as well. The company has
to make sure that the services are on time and the delivery timing has reduced despite of the
traffic and other factors so that the clients are going to be higher working. Trust among the
employees has to be high and make value of organization be higher which is going to make the
organization be able to set better targets and goals (Badenhorst, 2018). The company is operating
in the market to be able to have higher operations and value in the market even after having high
competition in the market which is going to be a great element. Expenses and profits are high in
this field therefore good investment has to be made in the company in order to be able to get the
right working and performance which is a great factor for a long run (Zheng and et.al., 2018).
Linear relationship has to be well maintained in the company with workforce in order to
be able to gain the right working and functioning which is a great factor. Tracking of the
workforce is important not just for the clients but also the company in order to make sure that
they can train their workforce accordingly and also make the right working in the company as
well (Ardi and et.al., 2020). Delegation of work and reducing distraction for the workforce in
essential to be able to operate effectively so that there is going to be higher sales and operations
(Alonso and Austin, 2017). Clients satisfaction is essential in company which is going to make
working be faster and make sure that he schedules are being followed as well which is going to
make the commitment be higher. Right tools and equipment has to be used so that there is going
to be efficiency which the company is going to have for a long run which would be good for the
competitive advantage (Auschra, 2018). Employees in Deliveroo are trained and experienced
which is going to make the company be able to gain the right brand image and value in the
market.
CONCLUSION
From the above report it can be analysed that company has to make sure that they are
taking the right styles and measures to be able to make sure that there is effective working. For
the company to be able to have higher organizational performance the company will have to

make sure that they are taking the right actions for the employees. Flexibility and pressure from
the employees of Deliveroo has to be removed in order to be able to make sure that the
productivity and operations can be higher. Situations have to be solved on time in order to be
able to make sure that there is healthy environment which is present for the employees which
would be raised. Trust of the employees and realistic measures have to be decided for the
employees to be able to gain the right working and performance which the company is going to
have. There must be good target setting as well which the organization must have so that there is
going to be safe working environment and make the company be able to have higher trust of the
employees. More involvement of the delivery employees has to be considered in the decision
making which is going to be a great factor as well.

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