Kellogg's Organizational Performance: Structure, Culture, and People

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Running head: ESSAY
Essay - Kellogg
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ESSAY 2
Contents
Introduction.................................................................................................................................................3
Relationship between organization structure and organization performance (role of leadership and
management)...............................................................................................................................................3
Relationship between culture and organization performance (iceberg model of culture)............................4
Relationship between people and organization performance (behavioral approach to management)..........6
Conclusion...................................................................................................................................................9
References.................................................................................................................................................10
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ESSAY 3
Introduction
In current business time, Kellogg’s facing the issues of declining their organizational
performance hence it should focus on organization structure, culture and people. Because, these
are three pillar of organization that helps to increase their performance in terms of sales,
profitability and market share. This essay presents the relationship between organization
structure and organization performance. It also discusses the relationship between culture and
organization performance. This essay also demonstrates the relationship between people and
organizational performance.
Relationship between organization structure and organization performance (role of
leadership and management)
Kellogg’s uses hierarchical organization structure that can positive impact on organizational
performance. In this organizational structure, one or more individual is positioned at the higher
management level and hundreds of employees are reporting to them. On the top authority of
Kellogg’s, there are different individuals considered such as directors, chief executive officers,
directors and managers of several functional fields. Under hierarchy, there are specified
structure, bureaucracy and ranks. Roles, management level as well as responsibilities are clear
with little to no cross-team alliance. Hierarchies has several layers of management and be flatter
with only some coats of reporting (Thompson, 2017).
In this structure of Kellogg’s, people behave as a system they are working. When a leader is
unhappy with the behavior of individual within an organization then they require to take into
consideration of system where they are working. When an individual is behaving as a
bureaucrats then they would behave like they are working in bureaucracy system. In this
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ESSAY 4
structure of Kellogg’s, decision making is diffuse but, it is hard to tell who has final experts.
Thus, it shows that there is positive relationship between organizational structure and
organizational performance (Argyris, 2017).
The efficiency of managerial employee has a broad reaching impact on organization due to
hierarchical organizational structure. Incompetent management at any extent of company will
spread during the company because bad managerial judgment in those department also
influences the departments that comes into contact with each them as well as, declines the
productivity. It is also addressed that good management can have opposite impact as intelligent
and efficient decision making can support for enhancing the productivity as well as increases the
overall efficiency of Kellogg’s. Thus, it can be stated that there is positive relationship between
organization structure and organization performance (Forés, and Camisón, 2016).
Relationship between culture and organization performance (iceberg model of culture)
Company culture is the environment related to shared belief as well as, practices in Kellogg’s. A
favorable culture has shared beliefs that links to mission of an organization while a bad culture
has large set of unhappy as well as, self-serving workforces. Business leaders should execute the
plan for attaining it but sometimes taking time with high energy can negative impact on sales
goals as well as, short-term revenues. In addition, those employees who do not make effort will
reap the rewards related to employee engagement (Wu, Straub, & Liang, 2015). One approach is
to assess the human resource procedure for working hours hence the company may become more
flexible without losing the coverage of workforces in Kellogg’s.
Another approach of considering is to redesign the office of cubicles in order to become an open
floor plan for producing cookie and cracker. In this approach, team members are motivated to
socialize, cooperate and feel more stress-free. Kellogg’s should also emphasize on kid friendly
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ESSAY 5
and pet-friendly solutions is another strategy to make it stress-free for workforces to become at
workplace and to emphasize on job as compared to worry regarding being late in the context of
loved ones. In Kellogg’s, team building and event outside the workday is another mode of
enhancing the company culture in terms of engaging the workforces (Ralston, Blackhurst,
Cantor, and Crum, 2015).This would lead to enhance the organizational performance.
The properties of Iceberg model is a representation of actual iceberg. Kellogg’s can only observe
10% of actual iceberg and rest is hidden beneath related to surface of water. While observing the
culture, 90% of that culture is hidden through casual observation and company can only
demonstrate the basic features of the culture (Masa'deh, Obeidat, & Tarhini, 2016).
The Iceberg model focuses on all aspect of culture into different categories where each one is
diving deeper into cultural iceberg of Kellogg’s. An integration of these kind of characteristics
can develop every culture in around the globe (Valmohammadi, & Roshanzamir, 2015). These
categories are described as given below:
Surface Culture
These characteristics could be categorized into different levels where, initial phase is being
surface that involves all effortlessly observable features of culture. There are some feature of
surface level in Kellogg’s such as currency, cooking, music, language, holiday, art style, sports,
religion, literature, holidays, and art style (Naranjo-Valencia, Jiménez-Jiménez, and Sanz-Valle,
2016).
Unspoken rules
The second level under Iceberg model is hidden under these surface features that is known as
unspoken rules. This takes more time for outsider to comprehend. These features are modesty,
social etiquette, modesty as well as symbolism of objects, individuals, and colors (Miner, 2015).
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ESSAY 6
Unconscious rules
The final level of features is related to unconscious rules of Kellogg’s. These are complex
features for navigating and learn in around. Since, they are rooted deeply within the culture,
hence it is complex for individual within the given culture in terms of articulating and even
observe these specific concepts. Along with this, unconscious rules can be critical for outsider to
comprehend. For instance, unconscious rules are sense of time, gender, concept of death, age,
physical space, emotional response, concern regarding the present and future, and concept of
right or wrong (Bergh, et. al., 2016).
Relationship between people and organization performance (behavioral approach to
management)
Kellogg’s cookie and cracker Company can face several problems and risk at the time of
recruiting employees for the organization that could be insubordination, work-related injuries
and argument. Human resource managers of the company are accountable for managing the
compensation of workforce, grievance handling and safety of employees. Above mentioned are
handled by HR and the way of handling these issues could affect the financial growth of the
company. As example, when an employee of organization complain for a safety issue or injury
than worker could file a case against to the organization. It could directly affect the growth of
Kellogg’s cookie and cracker Company in terms of declining the goodwill of organization.
Hence, it showed that there is a positive relationship between people and performance of
organization (Shin, and Konrad, 2017).
In the modern era of business, Kellogg’s cookie and cracker company to grab the new
opportunity and technology for growing their business. In this case, employees of the
organization should have updated knowledge and should efficient in proper skills towards their
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ESSAY 7
task. Human resource manager of the company should conduct training program for workers,
who doesn’t have good knowledge about their task. It is the main responsibility of HR manager
and it would improve the growth of company. Thus, it demonstrates that there is favorable
association between people and company’s performance (Inkinen, 2016).
Recruiting plays as an imperative facet in enhancing the productivity of the organization as it
supplies appropriate workforce to the organization. HR (human resource) department of
Kellogg’s Company manage the recruitment of workforce as per the need of company and they
also determine the appropriate employee for firm who have adequate knowledge and proper
skills. Consequently, it would enhance the performance of organization in terms of market share,
profitability and sale. Recruiting process consider certain factors which are conducting the
multiple interviews, looking at resumes and attending job fairs (Shin, Sung, Choi, & Kim, 2015).
In the Kellogg’s cookie and cracker Company, HR (human resource) department handles several
tasks such as pay and benefits distribution of employee, respond on worker’s issue towards the
pay and benefit matter. For instance, when an employee have health problem and doesn’t have
knowledge that how health insurance could be claimed then he or she moves to the human
resource department for support (Thompson, 2017). Along with this, if a worker of company
doesn’t get expected payment then he or she may clear their confusion from HR manager. But at
the same time, when employees don’t get timely and appropriate response from human resource
department then it may give irritation to the employee which would decrease the performance
and morale of employees (Chen, et. al., 2015).
HR manager should utilize behavioral management theory that is also known as human relation
movement as it supports to improve the performance of employee and increase their morale. As
per this theory, human behavior at working place could be effectively understand and improved
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ESSAY 8
by using certain aspects like expectations, motivation, group dynamics, enhanced productivity
and conflict. Behavioral style manager makes the healthy workplace that satisfies and motivates
the employees towards their allocated task (Joslin, & Müller, 2016).
Positive reinforcement provided by the behavioral approach that would supports to enhance the
productivity and growth of organization. Behavioral style manager could use this strategy and
make the employees more capable to accomplish their allocated task effectively as compared to
normal manager. Managers could improve the performance of workers by giving them reward
for their appropriate task and it could enable the employees to perform better at the workplace.
As per the need of positive reinforcement manager have to spend more time among the
employees of Kellogg’s cookie and cracker manufacturing company to observe them effectively.
It would make more familiar and positive relationship between manager and employees
(Valmohammadi, & Roshanzamir, 2015).
As per the needs-based approach, staff has managed on the basis of their primary needs which
could supports to get the success. Manager should observe the basic needs of employees and
make the hierarchical list that is developed by the psychologist Abraham Maslow. List could
consider self-actualization needs, psychological needs, love-belonging and safety needs.
According to the behavioral approach, employees of the organization could be more motivated
when their basic needs would be fulfill (Argyris2017). However, at the same time, it is also
analyzed that whole needs of employees cannot be completed hence, employees should develop
logical needs. For instance, if an employee is getting demoralize from their ling working time
than manager could provide more flexible task to that employee for boosting their morale and
motivate them to accomplish their allocated task. Along with this, HR manager could change the
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ESSAY 9
working culture by giving their best effort in making the healthy workplace culture (Miner,
2015).
Conclusion
From the above interpretation, it can be conclude that there is favorable relationship between
organizational structure and organizational performance. It can be summarized that there is
positive association between culture and organizational performance. It can be concluded that
there is significant relationship between people and organizational performance. There is
integration between these factors as it would aid to increase the market share, sales and
profitability.
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ESSAY 10
References
Argyris, C. (2017). Integrating the Individual and the Organization. UK: Routledge.
Bergh, D. D., Aguinis, H., Heavey, C., Ketchen, D. J., Boyd, B. K., Su, P., ... & Joo, H. (2016).
Using meta‐analytic structural equation modeling to advance strategic management research:
Guidelines and an empirical illustration via the strategic leadership‐performance
relationship. Strategic Management Journal, 37(3), 477-497.
Chen, Y., Wang, Y., Nevo, S., Benitez-Amado, J., & Kou, G. (2015). IT capabilities and product
innovation performance: The roles of corporate entrepreneurship and competitive
intensity. Information & Management, 52(6), 643-657.
Forés, B., & Camisón, C. (2016). Does incremental and radical innovation performance depend
on different types of knowledge accumulation capabilities and organizational size?. Journal of
Business Research, 69(2), 831-848.
Inkinen, H. (2016). Review of empirical research on knowledge management practices and firm
performance. Journal of knowledge management, 20(2), 230-257.
Joslin, R., & Müller, R. (2016). The relationship between project governance and project
success. International Journal of Project Management, 34(4), 613-626.
Masa'deh, R. E., Obeidat, B. Y., & Tarhini, A. (2016). A Jordanian empirical study of the
associations among transformational leadership, transactional leadership, knowledge sharing, job
performance, and firm performance: A structural equation modelling approach. Journal of
Management Development, 35(5), 681-705.
Miner, J. B. (2015). Organizational behavior 1: Essential theories of motivation and leadership.
UK: Routledge.
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ESSAY 11
Naranjo-Valencia, J. C., Jiménez-Jiménez, D., & Sanz-Valle, R. (2016). Studying the links
between organizational culture, innovation, and performance in Spanish companies. Revista
Latinoamericana de Psicología, 48(1), 30-41.
Ralston, P. M., Blackhurst, J., Cantor, D. E., & Crum, M. R. (2015). A structure–conduct–
performance perspective of how strategic supply chain integration affects firm
performance. Journal of Supply Chain Management, 51(2), 47-64.
Shin, D., & Konrad, A. M. (2017). Causality between high-performance work systems and
organizational performance. Journal of Management, 43(4), 973-997.
Shin, Y., Sung, S. Y., Choi, J. N., & Kim, M. S. (2015). Top management ethical leadership and
firm performance: Mediating role of ethical and procedural justice climate. Journal of Business
Ethics, 129(1), 43-57.
Thompson, J. D. (2017). Organizations in action: Social science bases of administrative theory.
UK: Routledge.
Valmohammadi, C., & Roshanzamir, S. (2015). The guidelines of improvement: Relations
among organizational culture, TQM and performance. International Journal of Production
Economics, 164, 167-178.
Wu, S. P. J., Straub, D. W., & Liang, T. P. (2015). How information technology governance
mechanisms and strategic alignment influence organizational performance: Insights from a
matched survey of business and IT managers. Mis Quarterly, 39(2), 497-518.
Wu, S. P. J., Straub, D. W., & Liang, T. P. (2015). How information technology governance
mechanisms and strategic alignment influence organizational performance: Insights from a
matched survey of business and IT managers. Mis Quarterly, 39(2), 497-518.
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