Management Principles: Case Study, Fayol's Principles & Analysis

This report analyzes managerial situations within an organization, focusing on the impact of external environmental factors such as social, economic, and technological environments. It identifies commanding and coordination as key functions based on Fayol's management principles, noting deficiencies in the commanding function. The report assesses Frank Piechowski's role as a middle-level manager and his responsibilities in employee management. It concludes that while the organization coordinates effectively, its commanding function needs improvement. The report recommends strategies including two-way communication processes and consensus-based decision-making to mitigate identified issues and enhance overall management effectiveness. Desklib offers this and other solved assignments for students.

Running head: MANAGEMENT PRINCIPLES
Management principles
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Executive summary
The aim of this report is to discuss about the managerial situations in the organization stated in
the given case. This report discussed about the major and relevant external environmental factors
that are having influence on the business operation of this organization. It is identified that
social, economical and technological environments are the major determining factors in the case.
In addition, this report also identified that two major functions in terms of Fayol’s management
principles are relevant with the case, which are commanding and coordination. However, this
organization is not working effectively in terms of commanding functions. A few recommended
strategies are also discussed in this report, which will help the organization in dealing with the
identified issues.

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Table of Contents
Introduction......................................................................................................................................3
Designation of Frank Piechowski....................................................................................................3
External environmental analysis......................................................................................................4
Critical analysis of the management functions................................................................................5
Conclusion.......................................................................................................................................6
Recommendations............................................................................................................................7
Reference.........................................................................................................................................9

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Introduction
Effectiveness and efficiency of the managers is important in determining the
organizational success in terms of the management of the employees. This is due to the reason
that the more effectively managers can manage the employees, the more will be the productivity
from their side and organizational performance will be enhanced. However, on the other hand,
there are number of challenges also to be faced by the managers in terms of different business
elements, which should be properly mitigated (Rabi et al., 2014). One of the major challenges for
the contemporary managers is managing the diverse workforce with having employees from
different social and cultural backgrounds. In the given case study, the major challenge for the
manager identified is the employee related issue.
This report will discuss about the external environment of the company along with their
impact on the business. In addition, the designation of Frank will also be analyzed and on the
basis of the Fayol’s management functions, the current operation of the company will be
critically analyzed. Based on the identified factors, recommended strategies will be discussed.
Designation of Frank Piechowski
As stated in the given case study, it is analyzed that Frank is a middle level manager. This
is due to the reason that he is directly getting communicated by the vice president of the
company, which denotes that he is not a first line manager as vice president will not directly
communicate with a front line manager. On the other hand, Frank is also not a top level manager
because he is being instructed by the vice president about the new recruitment, which denotes
that he is under the top level management (Ahearne, Lam & Kraus, 2014). Thus, Frank is
working as the middle level managers in the company. As per the case study, the role of the

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manager is to manage the employees along with ensuring proper workplace culture and
environment for them. This is due to the reason that Frank is responsible in providing the
religious needs of the Somali workers and ensuring their performance. On the other hand, his
managerial function also includes accommodating and initiates the on boarding facilities for the
new employees. Thus, the core managerial function of Frank is employee management (Jansen
& Samuel, 2014).
External environmental analysis
As per the case study, the major external environmental factor that is having implications
on the company is the social environment. This is due to the reason that religious factors and
requirements of the employees are based on their social trends. The social trends of the given
company are diverse due to the reason that Muslim workers are working in the western country
with having different cultures. One of major and direct impacts of the social environmental
factor will be on the employee productivity and performance (Gifford & Nilsson, 2014). This is
because of the fact that if the Muslim employees are not getting their required prayer room or the
time allotted for the prayer, then they will be less willing to work with the company and their
level of motivation will get reduced. Thus, the managers will find it difficult to manage them and
in ensuring the maximum productivity from them. In addition, this will also have impacts on the
economic conditions of the company because they are hiring Somali workers due to low cost
(Felton & Jowett, 2013). Hence, without the Somali workers, the average cost of manufacturing
will get increased and the end profit margin will be affected.
Economic environment is also relevant in the business operation of the company. This is
due to the fact that due to the change in the economic condition, the level of competition got

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increased in the market and profit margins are being affected. In addition, due to the increase in
competition, price wars are also getting emerged as the competitors are trying to tap the
maximum return from the market. Thus, the economic environment of the company is also not
favorable enough and this will affect the profit margin as well as market share of the company
(Ghisellini, Cialani & Ulgiati, 2016). Lastly, technological environment is also having impact on
the business of the given company. This is because that development of the technology caused
access of internet to the customers. Thus, the customers are comparing the price and other
features prior to coming for buying the appliances leaving low chance for the executives to make
any change in the mindset of the customers. Thus, the current technological environment of the
company is also posing challenges and is affecting their sales potentiality.
Critical analysis of the management functions
According to the Fayol’s management functions, there are core five functions that are
required and important for the managers in having proper outcome. On the basis of the case
study, it is identified that coordinating and commanding are the two functions, which are relevant
with the management of the given company. As per the coordinating function of the
management, it is important for the managers to harmonize all the organizational activities and
ensuring the right placements of all the activities (Dent & Bozeman, 2014). In the case of the
company given in the case study, coordination is done right by Frank due to the fact he had
consulted with the spokesperson of the Somali workers in arranging all the requirements of them
and ensuring their productivity. Moreover, there are no issues identified regarding the
coordination in the workplace. Right employees are selected for having low cost high
performance workplace with having all the requirements met. Thus, it can be concluded that as

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per the coordination function of the Fayol’s management functions, this organization is operating
effectively (Medin & Green, 2014).
According to the commanding function of the management, the manager should have
clear working instructions for the subordinates and they should have the proper idea about what
is expected from them. In addition, it is also the responsibility of managers to ensure that the
subordinates are properly communicated prior to implementation of any change along with
gathering the feedback from them (Nhema, 2015). However, in the case of the organization in
the case study, there are no instances of proper and effective commanding function is identified.
In the case study, it is identified that Frank was just instructed and informed about the hiring of
the new batch of 40 Somali workers by the vice president. However, it was important for the vice
president to first consult with Frank about the requirements for accommodating the new
employees and what types of challenges can get emerged. Moreover, it should also be noted that
Frank being the middle level manager is having more knowledge and information about the root
level situation in the workplace compared to the vice president (Christensen & Cornelissen,
2013). Thus, vice president should have consulted or communicated with Frank prior to the
decision of hiring added 40 employees. The information is just commanded to Frank without
offering him any chance of providing feedback. Thus, it can be concluded that as per the
commanding function of Fayol, this organization is not working or operating effectively or
efficiently.
Conclusion
Thus, this report concludes that this organization is working effectively in terms of the
coordinating but not in terms of commanding. In addition, it is also identified in this report that

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social, economical and technological are major environmental factors that are being faced by the
organization and each one of them will have adverse impact on the business if not get mitigated.
This report concludes that effective and proper mechanism is important to manage the diverse
workforce and to ensure the maximum productivity and performance from the side of the
employees. The following section will discuss about a few recommended steps that will help to
mitigate the identified issues.
Recommendations
It is recommended that the organizations should have two ways communication processes
between the management levels. This is due to the reason that with the help of the two ways
communication process, information flow will be both top down and bottom up. This will ensure
the middle level managers such as Frank to share their feedback to the top level management and
vice versa. This will ensure that all the changes being to be implemented will be based on the
requirements and according to the feedback received (Jiang & Men, 2017). It is also
recommended that Frank should continue their existing workplace process with the new
employees as well. This will help to identify the gaps by adding the new employees. If there are
no issues identified by accommodating the new employees in the existing processes, then there is
no need to change or modify the policy. However, on the other hand, if the issues are getting
emerged after the on boarding process of the new employees, then Frank should initiate
consensus based decision making process (Karanges et al., 2015). This is due to the reason that
business approach will not be effective in dealing with the religious issues. In this case,
consensus should be created by discussing with the employees, which will also motivate them to
accommodate with the existing process by compromising a bit. Thus, the engagement with the

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new employees is important for Frank to prevent the emergence of large scale issue in the
workplace.

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Reference
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Jiang, H., & Men, R. L. (2017). Creating an engaged workforce: The impact of authentic
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