Organisational Behaviour Analysis: Structures, Leadership and Culture

This report delves into the multifaceted realm of organisational behaviour, exploring the interplay of structure, culture, and leadership. It begins by contrasting different organisational structures, such as horizontal and vertical models, and analysing their impact on business performance, using Oticon as a case study. The report then examines the factors that influence individual behaviour in the workplace, including leadership, work culture, and personality traits. A comparative analysis of leadership styles, particularly autocratic and democratic approaches, is undertaken, using Nice Cars and Shin-gijutsu as examples. The report further explores organisational theories, such as scientific management and human relations, and their application in practice. Motivational theories, including McGregor's Theory X and Y, and Herzberg's two-factor theory, are compared. Finally, the report investigates the nature of groups, teamwork dynamics, and the impact of technology on team functioning within organisations, concluding with a comprehensive overview of the key findings and their implications.

Organisational and
Behaviour

TABLE OF CONTENTS
INTRODUCTION...........................................................................................................................3
TASK 1............................................................................................................................................3
1.1 compare and contrast different organisational structures and culture...................................3
1.2 Relationship between organisational structure and culture and its impacts on business
performance ................................................................................................................................4
1.3 the factors which influence individual behaviour at work....................................................5
TASK 2............................................................................................................................................6
2.1 Compare the effectiveness of different leadership styles in different organisations.............6
2.2 organisation theories underpin the practice of Nice cars......................................................7
2.3 advantages and disadvantages of different management approaches...................................8
Task 3.............................................................................................................................................10
3.1 Impact of leadership styles on motivation..........................................................................10
3.2 Comparison of mcGrego and Herzberg motivational theories...........................................10
3.3 Usefulness of motivational theories....................................................................................12
TASK 4..........................................................................................................................................13
4,1 the nature of groups and group behaviour within organisations. .......................................13
4.2 Factors that may promote or inhibit the development of effective teamwork in
organisations.............................................................................................................................14
4.3 Impact of technology...........................................................................................................15
CONCLUSION..............................................................................................................................15
REFERENCES..............................................................................................................................17

INTRODUCTION
Organizational behaviour is the study that understand how people will perform and
behave within the organization. Normally this study is applied to create more efficient business
organisation. This study examines human behaviour in a work environment and determines its
impact on job structure, performance, communication, motivation , leadership, etc. in the central
of this study, scientific study is also applied to the management of workers. Organisational
structure of Oticon's has been discussed. Along with this, it also focuses on assessing the
different leadership styles that directly impact the activities within the organisation. Different
approaches to management with respect to different management styles also been discussed.
Impact of technology on team functioning is being mentioned.
TASK 1
1.1 compare and contrast different organisational structures and culture
Organisations features more complex and social structures which seeks to make the best
and optimum use of the people as vital and essential resource, especially in today's dynamic and
competitive environment. Economic and efficient business performance and accountability along
with coordination across the business can be achieved by the proper structure of organisation.
There are different types of organisational structures that the company can use in its
organisation. Oticon, a Danish company,which is the second largest company producing hearing
aids, have adopted horizontal structure to manage its organisation (Boselie, 2010.). Horizontal
structures have different aspects in comparison to vertical structures. Horizontal structure is the
structure which consists of various subordinates under the manager. Management of Oticon's has
many subordinates under them. The manager of Oticon's supervises large number of people. The
chain of command above one is small. The manager of Oticon's have large number of
responsibilities because there is a great number of individual in organisation immediately under
him. The people under manager are dependent upon direction, help and support.
While Oticon's have changed its organisational structure to bring innovation in the
company. Now the company have adopted vertical form of organisation. In comparison to
Horizontal structure of management , it is the concept which is also known as Top -down
management. In this senior authorities are responsible for strategy making and implies
responsibilities to their subordinates . In this factor manager handle five to eight sub ordinates. In

this good communication can be done as manager has to handle minimum people. It results in
one long chain of command. Managers form many ranks and each has a mall area of control.
Organisation culture is a concept, which is the set of values , rules and beliefs. There are many
types of organisational culture (Brown, 2013). Oticon has adopted task culture form of
organisational cultural organisation, which means management of oticon has formed various
teams to achieve the targets or solve critical issues. Individuals with common interests and
specialization form a team. Each member of team gives its best to achieve the objectives and
goals of Oticon.
1.2 Relationship between organisational structure and culture and its impacts on business
performance
As mentioned above, Organisational structure and culture is very important for any
organisation. It tells about level of hierarchy that who is responsible to whom and also shows
position of person. To achieve the goals and objectives of the company, Oticon always need a
formal structure because It is important to distribute the tasks into different groups to ensure that
every individual in company is performing its own task so that company can attain desired
output (Chahal and Mehta, 2010). When the employees formally work in an organisation with
different informal structure or environment in, consisting of different attitudes, perceptions and
behaviours it gives rise to an organisation culture. It can also said that structure is a framework
for the culture that needs to be implemented, on the other hand culture dictates how the company
should be structured. Oticon has adopted vertical form of organisation, which has an impact on
the culture of Oticon.
In vertical form of organisation, there are five to eight employees under the manager of
company, having same kind of perceptions and beliefs. Manager of each team assigns tasks to
them and they are supposed to report manager. As the Oticon has adopted the task culture form,
which is based on the formation of team on the basis of tasks allotted to a team having same
interests and beliefs. (Chiboiwa, Chipunza and Samuel, 2011). It has both positive and negative
impacts on the business performance of Oticon. The positive impact of the vertical form of
organisation on the business performance is that it shows different policies, rules and regulations
about communication with its employees. Proper communication is presented in vertical form.
It also enables the manager to let its employees know about whom they are accountable
and responsible for. It is done for the proper organisation of resources in company. The

drawback is the organisation culture of Oticon is too complex and sometimes it leads to
centralised decision-making, in which the lower level employees are not entertained.
1.3 the factors which influence individual behaviour at work
Organisations are formed by individuals, who have organised in proper manner so that
they may directly contribute in achieving the common objective and goals. There behaviour can
be affected by both internal and external factors (Chin, Anantharaman and Tong, 2011). In case
of Oticon many of these factors influences the behaviour of its employees at the work place.
There are several internal and external factors which are as follows:
 Leadership- managers and leaders plays an important role in influencing the behaviour
of employees in work place. Manager of Oticon should make their employees
comfortable so that they feel like working in organization and helps in achieving the
goals.
 Work culture-Employees should feel comfortable at their work place as to be happy and
positive. Rules and regulations are same for everyone so, employees of oticon should be
encouraged to abide by all the rules and regulations and report to manager timely.
 Job responsibilities- if employees of the company is provided with extra work which in
turn creates overburden, it can badly effect its performance. As Oticon operated in
vertical form of organisation, manager should divide the task into its subordinates and
should ensures proper communication.
 Personality- personality differs from person to person or employees of organisation. It
differs according to the back grounds , temperaments and skills (Emami and et. al.,
2012.). Employees can also have a negative impact of other's good personality .
 Racial back ground -it also varies from person to person employed in Oticon. As there
are different racial background within this company, this will be highly. discrimination
should be avoided in the work place.
 Status of workers- it is also a key factor which influences the behaviour of employees. It
means the manager have different traits of behaviour for its subordinates, who work
under him, due to the differences in their skills, status and power.
 Culture of geographical area- if the manager of Oticon is from another country other
then Denmark, it will influence its subordinates to a great extent, Due to difference in

their views and actions. It will have a positive impact if the manager is cooperative in
nature.
 Relationship at work- it is also said that it is very necessary to have friends in the work
place of a company (Mahembe and Engelbrecht, 2014). Employees need to talk, discuss
and share experiences with other people. It will increase the work efficiency to work, as
one cannot work in isolation.
TASK 2
2.1 Compare the effectiveness of different leadership styles in different organisations
Leadership can be defined as the process in which an individual provides direction,
guides and influences others through a shared vision for working in common direction to achieve
the desired goals. It involves influencing others to gather around a common vision to change for
the betterment of their future. there are many types of leadership styles which can have the
impact on different organisations. These styles effect everyone from senior management to lower
management. Companies namely Nice cars and Shin-gijutsu, two different business
organisations ,engaged in the business of car manufacturing have adopted different styles of
leadership which are as follows:
Nice Cars Shin-gijutsu
Autocratic Democratic
 The company has adopted autocratic
form of leadership which involves that
the there is a clear division between
leaders and workers. Autocratic leaders
make decisions with no or little
involvement from employees.
 In Nice Cars , there is no involvement
of employees of its lower level in any
kind of decision making (Mullins and
Christy, 2013.). The organisation has a
lot of strict set of policies and
 It is also called as participative
leadership effects. It is the concept in
which the management of company
offers its guidance to teams and
departments while accepting any input
from individual staff member.
 In this leaders are having the right to
make final decisions , but the asks for
opinions from each and every team
member.
 the company shin-gijutsu, follows

procedures which that ever one is
required to follow.
 The top level managers consists of
majority of staff.
 In this kind of leadership style, the
leaders are effective , confident and
comfortable in decision making
process.
 Although, leaders in autocratic
leadership are less creative and adopt
more contemporary styles, with no
involvement of lower level workers,
which is not a factor to success of a
company.
democratic style of leadership which
involves the decisions and views of
every staff members.
 The owners of the said company always
treated its employees at their family
members.
 This style of leadership relies on the
consultation, although the final decision
is required to be taken by the leaders
only.
The results shows that company should adopt democratic style of leadership for the
effectiveness on its business performance.
2.2 organisation theories underpin the practice of Nice cars
Organisational theories are the discipline that studies the design and structure of an
organisation. it helps in analysing the actual structure of the organisation and also offers
suggestions on improving their effectiveness. The manager of Nice cars is required to apply
different management styles and theories in the company (Mohammad, Habib and Alias, 2011)
In order to manage the work force effectively and to gain better results participatory decision
making styles has been adopted. different theories are required to be followed by organisation in
order to attain its goals. Different types of theories are:
 Scientific management theory- it is the theory which analyse the workflows. Its main
objective is to improve efficiency especially, labour productivity. There are 4 principles
of taylor's scientific management:
1. replace working by rule of thumb. Which means that use the scientific method to study
work and determine the most efficient way to perform work.
2. Assign jobs that are suitable to the employees on the basis of their capabilities and
abilities.

3. Work performance should be timely monitored.
4. Allocation of work between management and workers.
This theory believes that workers should be motivated and there should be cooperation between
workers and management. If the workers are motivated by different ways, their work efficiency
will be increased.
 Human relations theory- this theory also known as behavioural theory focuses on
individuals in a workplace than the rules and procedures and processes. It facilitates the
communication between employees and managers and allow them to interact with each
other to make decisions (Nutbeam, Harris and Wise, 2010 ). The company namely Nice
cars have been adopted this theory because the management wants to motivate employees
by using motivational and emotional tactics that increases the productivity. It want their
employees to be work oriented ,efficient and productive.
 Contingency theory- the contingency theory is a concept which is based on group
effectiveness. It has two factors that are task motivation or relation motivation and
circumstances. According to this theory situational assessment can be determined by 3
factors:
1. Leader member relations.
2. task structure.
3. position power.
Certain leadership traits can help in managing the organisation in best way . Leader must be able
to identify which management style will help the most which helps the organisation in achieving
its objectives more efficiently.
2.3 advantages and disadvantages of different management approaches
There are many approaches to management by which management team can have for
managing their teams. The whole process of organisational team work begins with the company
leadership, which further creates a business strategy and should focus on the critical goals of an
enterprise. There are 2 approaches to management.
Scientific management is used by Nice cars company . It is the approach comprising of 3
parts : input ,process and output. It introduces a structured configuration where personnel works
as a combined unit. It is a efficient system. Management of Nice cars has been improved its
strategic and management decision-making due to the interrelationships between the

management and its subordinates. The drawback of this system is that it is a rigid method and it
is not suitable for the service industry.
Another theory is behavioural approach to management, which has been adopted by a
company namely Shin -gijutsu (Solomon, Russell-Bennett and Previte, 2013). It is the concept
which emphasises on the human aspect. It is the theory which aims at the view point of
individual. The management team of Shin -gijutsu focuses on to increase morale of its
employees by motivating them. It is also called human relations movement because it address the
human dimension of work.
The advantage of this theory is that is very easy to put into practice. It also does not
require a specialist to implement. The results can be measures and process can be demonstrated.
On the other hand its drawback is that this theory is not always easy to change the views
of people. Also, it does not consider the client's thought or feelings and opinions.

Task 3
3.1 Impact of leadership styles on motivation
The Benefits Agency works for delivering the state benefits to the public. It is necessary
that all staff members feel motivated that would help in achieving goal of the company. Change
in public policy can impact negative on staff members, as government structure can make
changes in working procedures and management in the workplace then people can feel
demotivated and their morale can get down. This modification can impact on the recruitment
process, controlling etc., at the time modifications in process it is necessary that authorities of
The Benefits Agency adopts good leadership style this will help in motivating employees (Fuchs
and Edwards, 2012.).
Autocratic leadership style: When changes are taking place in the organization then they can
adopt this leadership style. They can motivate people by giving monitory benefits it will
encourage them to put their best efforts. Rewards can inspire people to do much better and
they will support to the cited firm at the time of changing period.
Democratic leadership: This leadership style is very effective and positively impact on
employees and enhance their satisfaction level. Leaders of The Benefits Agency can involve
people and can discus with them regarding upcoming changes. This involvement will
motivate them and they will give innovative ideas which can help in achieving goal of the
organization. Active participation and taking suggestion from staff members will inspire
them and they will feel satisfy in the workplace (Harackiewicz and et.al. 2014).
Laissez-faire leadership style: Sudden changes can create negative environment in the
organization. In such condition management team of The Benefits Agency can adopt this
leadership style it will impact positive on the workers. As higher authorities can provide
flexible working environment and can give them freedom. By this way people will not feel
discouraged, hey will support the company. This will motivate them and they will put their
best efforts for improving their services towards public (Fuchs and Edwards, 2012.).
3.2 Comparison of mcGrego and Herzberg motivational theories
Employees are key assets of the organization, it is very important that they feel
motivated. Motivation can encourage them to perform better and to contribute well in the success
of the company (Theories X and Y, 2008).

Mcgrego motivational theory:
Douglas has given this concept, in has formulated two models which can describe
motivation level of employees.
 Theory X: This hypothesis assumes that people do not like the workplace, it is based on
the pessimistic view. This theory assumes that workers are not ambitious and they avoid
their responsibilities. They do not accept changes and are self centered. Managers can
motivate people by giving monitory benefits, it is the only way of motivating people in
the organization (Harackiewicz and et.al. 2014).
 Theory Y: This concept assumes that people like the working environment and they are
able to find innovative ways of performing well. Mangers can motivate employees by
fulling their self-esteem needs. By giving promotion opportunities, and involve them in
decision making process higher authorities can motivate them.
By applying this theory The Benefits Agency can motivate its staff members, it can
divide two groups of employees and can treat both differently.
Hertzberg's theory
Illustration 1: Mcgrego motivational theory
Source: (Theories X and Y, 2008)

This concept defines two factors to encourage people in the workplace. Motivation and
hygiene are two main aspects of this hypothese. By giving recognition, responsibilities, growth
company can inspire its workers. Apart from this good pay scale, relationship with per group can
also motivate employees.
Illustration 2: Hertzberg's theory
Source: (Herzberg's Motivators and Hygiene Factors, 2017)
Difference in both motivational theory is that X and Y focuses on two groups of people
whereas Hertzberg loo all workers in single group and suggest different ways o motivate them, it
treats all workers equally. X and Y is descriptive in nature whereas Heertzberg is prescriptive.
mcGrego concentrates that by giving monitory rewards company can motivate people whereas
dual factor concept discuss hat lower level needs can not motivate people, by fulfilling higher
needs and by providing them achievements and recognition people can get motivated.
From the discussion it can be said that X and Y motivational theory is applicable for The
Benefits Agency. This concept can give huge benefit o the organization and by looking upon
different perceptions of various people cited firm can accomplish its objective significantly.
3.3 Usefulness of motivational theories
For increasing the productivity of the organization it is necessary to motivate people. If
The Benefits Agency does not give incentives and cash bonuses to its staff members then people