Organisational Behaviour Analysis: Marks & Spencer Case Study Report

This report provides an in-depth analysis of organisational behaviour (OB), focusing on the concepts of organisational culture, motivational theories, and group/teamwork development. The report begins by defining OB and its significance in human resource management, using Marks & Spencer (M&S) as a case study. It explores various organisational cultures, including bureaucratic, community, competitive, and entrepreneurial cultures, and their impact on employee behaviour. The report then delves into prominent motivation theories such as Maslow's Need Hierarchy, Herzberg's Motivation-Hygiene theory, McClelland's Need theory, and Alderfer's ERG theory, evaluating their relevance and application within M&S. The report further examines organisational politics and power dynamics, discussing how culture, politics, and power influence employee behaviour and performance. Finally, the report analyses group and teamwork development theories, exploring the differences between effective and ineffective teams, team dynamics, and the roles and behaviours of team members. The conclusion summarizes the key findings, emphasizing the importance of understanding and managing OB principles for improved organisational performance and employee satisfaction.

Organisational
Behaviour

Contents
INTRODUCTION...........................................................................................................................1
PART 1............................................................................................................................................1
Analyse kinds of organisational cultures and motivational theories......................................1
Motivation theories.................................................................................................................2
Overview of organisation's culture, politics and power.........................................................4
TASK 2............................................................................................................................................6
Analyse group and teamwork development theories..............................................................6
Difference between effective and ineffective teams..............................................................8
Concepts and Philosophies.....................................................................................................9
CONCLUSION................................................................................................................................9
REFERENCES..............................................................................................................................10

INTRODUCTION
Organisational behaviour (OB) refers to the concept about behaviour of people working
in the organisations. In this, patterns followed by individuals are studied by HR manager for
formulating strategies in order to influence them in a positive way. It helps in understanding the
workforce for motivating them to perform in an efficient and effective order. It is the basis of
human resource management and development. This project has been drawn on Marks &
Spencer (M&S) which is British multinational retailed having its headquarters at Westminster,
London. It sells clothing, home products and food products of premium quality. This assignment
covers analysis of different organisational cultures, motivation theories, evaluation of its impact
and contribution in performance. Furthermore, analysis of group and teamwork development
theories along with their effectiveness, dynamics of team performance, roles and behaviour of
team members.
PART 1
Analyse kinds of organisational cultures and motivational theories
Organisational culture is a system of shared assumptions, values and beliefs which
governs the behaviour and action of individuals within an entity. It is the framework considered
as the base on which people working in the organisation interact with each other. It is a part of
internal operations and management. Leaders play a significant role in encouraging the
subordinates to follow guidelines in order to maintain organisation's culture. It helps employees
to act in a certain way to difficult situations so that productivity and efficiency are not affected
adversely. There are many kinds of organisational cultures which are as follows:
 Bureaucratic culture- It refers to a structure which is formal and well defined
comprising of authorities. Also, there is a set hierarchy and procedures for managing the
operations of business organisation without any hurdle. Generally, top management such
as CEO, CFO, directors etc. hold decision making power. Every personnel is assigned
clear tasks and responsibilities according to their individual abilities and skills. It helps
the management to oversee the performance of organisation in order to resolve the issues.
However, there exist rigid rules and procedures which lack in flexibility.
 Community culture- This type of business culture is very friendly. People in the
organisation tend to make relationships with an intention to carry them for a long time.
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Also, there is enhanced freedom to express and teams are developed which show greater
teamwork. Trust and morale are the two most significant factors that govern the
activities. HR manager design policies by considering the expectations and for the benefit
of all the employees.
 Competitive culture- In this culture, the main focus in on the customers. Every strategy
and plans are made to fulfil the needs, demands and requirements of current as well as
potential clients. The policies are formulated to expand the business and capture huge
market shares by selling the goods or services in the challenging and competitive market.
 Entrepreneurial- This culture emphasise on an business practices which includes
innovation. The management and employees consider taking risks, do experiments and
show their creativity. Every employee is given individual space and are encouraged to
perform in an environment that has increased democracy.
Motivation theories
Content theories refer to changes that people feel with the time. These provide the facts
as to why the human needs change and there is no justification is provided in which way they are
changed. On the other hand, process theories are explains the ideas which bring changes together
with developments. These are related with variance which is created among dependent and
independent variables.
Motivation refers to the desire to achieve a goal or perform to reach a specific level. This
factor is important in making the employees to push their limits in order to accomplish the goals
in both positive as well as negative environment. The types of motivation theories have been
discussed below:
1. Maslow's Need Hierarchy Theory- This theory is based on classical depiction of the
factors related to motivation of employees. It comprises of a hierarchy which is divided
into five stages reflecting all those needs which are important in influencing the
behaviour of personnel. These are placed in a pyramid in which needs are categorised
from low level to highest one. Physiological needs such as water, air, food etc. are placed
at the lowest level. Then on moving to upwards direction, safety and security, social like
friendship and love, esteem needs which are about pride at personal life and at workplace.
Finally, self-actualisation needs are put at the priority which are most important for a
person. This theory is widely used because it covers all the needs that hold value and
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worth in the a person's life. With the use of this, employees can be motivated to provide
quality in their performance and outcomes. When the unfulfilled needs of the staff are
met, they get higher job satisfaction which influence them to behave in a positive manner.
The needs are psychological as well as physiological which impact the behavioural
response. This leads to higher efficiency as there is a constant desire of personnel to
perform well.
2. Herzberg's Motivation Hygiene theory- Frederick Herzberg provided this theory which
is actually extended form of Maslow theory. It is also known as “two-factor” theory.
These are divided into hygiene factors which refer to salary, working conditions,
relationship with co-workers, physical workplace etc. Motivating factors being the
second type which comprises recognition, performance, responsibility, opportunities etc.
These are also called satisfaction and dissatisfaction factors respectively. According to
research, it has been observed that hygiene factors are placed secondary by the employees
when it come to motivation. And, the components of motivating factors are what keep
personnel motivated. A company can use many other ways such as promotion, non
monetary benefits etc. to increase motivation in employees. There is no need to give
monetary rewards as it is considered secondary. But there is no direct nexus between job
satisfaction and productivity. On evaluating this theory, if the motivating factors of
employees are achieved especially recognition factor, then an employee become more
responsible to work and responsibilities. This change in behaviour is helpful in creating a
positive environment at the workplace. If all the people are highly satisfied then,
employee turnover gets reduced.
3. McClelland's Need Theory- McClelland developed this theory which believes that
motivation of employees revolve around three needs such as achievement, power and
affiliation. It is alternatively known as acquired needs which focus on particular needs of
a person which have been evolved with the time and experience. On analysing the need
for achievement which is a constant with the employees. Workforce struggle to perform
efficiently in order to achieve the wants. Need for power is to have effective control and
authority over another person and to have this much impact to make them modify their
decision. Lastly, need for affiliation is related to having relationships which are
interpersonal and social. With this theory, that there are some of the desires of a person
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by which they wish to feel more powerful and have authority to make decisions. This
gives them a freedom which make them follow the guidelines of company. This increases
accountability and transparency among all the individuals. Therefore, the scope of errors
get reduced which ultimately lead to reduction in conflicts in the workforce.
4. Alderfer- ERG Theory- This theory is also takes into consideration the needs of an
individual which are actually three needs. These are important in motivating the
employees. ERG stands for existence which is about physiological health and safety,
relatedness which is about interpersonal connection, social status and recognition and
lastly, growth which covers creative and meaningful work. On analysing this theory,
there are some needs which can be fulfilled by giving incentives which can be used for
meeting the basic needs. With the use of this theory, the behaviour of employees can be
motivated in a way which make them use more innovation. This can be achieved by
fulfilling the basic needs of health, safety etc. The influence on the work is likely to be
influenced in a positive way. Innovative ideas are used by employees which leads to
higher competitive advantage.
Marks & Spencer is a large company which in follows customer driven culture in the
organisation. The strategies and goals revolve around meeting the needs and requirements of the
customers. The buyers are put at the priority and providing higher satisfaction to them is the
main motive of the company. Employees are right training for increase the efficiency and
productivity. It uses more than one theories for motivating the workforce which are Maslow's
Need Hierarchy theory for which it provides monetary rewards to fulfil them. Individuals feel
motivated after being paid extra for their work.
Overview of organisation's culture, politics and power
Culture- It refers to underlying beliefs, perceptions and opinions of the people working in
an organisation. These are important in governing the behaviour of employees in a way which
could be positive as well as negative. For instance, if the staff is not allowed to share their ideas
or say anything in decision making then this can create a negative business atmosphere.
Therefore, HR manager should focus on fulfilling the expectations and needs of workforce for
creating positive impact. It is of four types which are elaborated below: Power culture- This culture gives power to make decision in the hands of some
employees only in order to make it a quick process.
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 Task culture- Every person in this culture is assigned individual tasks on the basis of their
skills and capabilities. Person culture- Employees are given freedom to make their own decisions. This give
them a chance to show their superiority.
 Role culture- The amount of power is given to each person is based on the role and
position held by them within the entity.
Politics- It is related to interaction of the people within an entity. This involves power
and authority which influence the views of personnel in the organisation. It includes social
networking to know the interests which can be related to profession as well as personal. Every
workplace has politics which can change the views of sub-ordinates in positive as well as
negative manner. There should be a balance in this and the below-mentioned are the ways in
which employees of Marks & Spencer can be affected:
Demotivation- The discrimination between employees wherein a situation like bad
performing employees are praised can create huge demotivation for rest of the employees. This
make them lose their interest in the work leading to increased losses.
Lower productivity- The organisational politics reduce the productivity because of low
focus on the activities. When there is too much politics involved, personnel get distracted from
their aim which results in low efficiency and bad performance.
Undesirable environment- In general term, politics is considered as a negative term at
workplace. This involves grapevine which spread all the wrong information about the
employees. Rumours ruin the atmosphere that prevails in the workplace. This make good
performing employee demotivated.
Power- It is defined as the ability to influence other people. Employees are required to
follow guidelines and policies which can be done with the power held by the leaders. An
organisation may have some employees who are can make decisions that are applied within the
whole entity. Marks & Spencer is a company operating at international level and to manage the
work properly by reducing the level of complexity, it has adequate number of managers. For
example, HR manager is responsible for recruiting employees and making policies which can be
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applied for the benefits of employees. There are different kinds of powers which have been
discussed below:
Legitimate Power- This power is about an individual who has authority to make
decisions. All these decisions are applied on all the employees which they have to follow. The
decisions in Marks & Spencer are taken by the top management.
Reward Power- In this power, the employees are given rewards on the basis of their
performance for keeping them motivated. It includes salary, bonuses, and similar incentives. This
helps in encouraging them to perform with enhanced efforts.
This shows that culture, politics and power are connected to each other which impact the
performance of employees in the workplace. The behaviour of employees is dependent on these
factors. In the context of Marks & Spencer, every individual is either motivated or demotivated
on the basis of the above-mentioned elements.
TASK 2
Analyse group and teamwork development theories
Organisations often include their individual employees into different groups for helping
them perform in teams. This is called teamwork which is useful in achieving the goals and
objectives with co-ordination and collaboration. It is great in connecting the people together and
make them motivated to performance with combined efforts. In order to get the enhanced benefit
of teamwork, there are development theories which have been provided below:
Tuckman's Team Development Model- It was given by Dr. Bruce Tuckman in the year
1965. It comprises on five stages which helps in developing teams that can perform well. The
underlying facts are maturity and ability followed by right leadership style. There are certain
activities which starts from coaching, encouraging the employees to participate, finish delegating
and detach. With the use of this theory, new leaders developed who are succeeded by previous
leaders. This theory is effective as teams are formed by following the five stages which give the
opportunity to analyse and then include people in a team. Furthermore, the new leaders can learn
from the mistakes made by previous leaders which enhance the chances of providing right
guidance along with motivation that can lead to more profits.
Belbin’s Team Roles Theory- According to this theory, successful teams were
comprised of members with different and compatible roles, while unsuccessful ones were
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characterized by constant conflicts between members with similar tendencies and personalities.
By using Belbin, individuals have a greater self-understanding of their strengths, which leads to
more effective communication between colleagues and managers. Great teams can be put
together, existing teams can be understood and improved, and everyone can feel that they
are making a difference in the workplace.
Apart from the theories there are skills and factors which affect the teams in positive as
well as negative terms. These are as follows:
Communication skill- This skill assist the flow of information from one person to another.
Employees can share their ideas, views and opinions with each other. This reduces the
occurrence of conflicts and work can be done efficiently. Two way communication is always
helpful in clearing all the doubts. With the use of this skill, team members can perform
accurately without any ambiguity. The right information through effective communication
channel can help meeting the goals within the allotted time. Leaders can use this skill to
communicate what exactly the company expects from every employee.
Time management- When there are more than one worker working in teams, it is obvious
that there may arise conflicts due to non-coordination. This can further leads to delay in
achieving the goals and objectives. Also, teamwork is something which requires every individual
to put their efforts equally. Therefore, conflicts or any other internal as well as external reasons
may hamper the efficiency. Thus, it is the responsibility of leader to allot the work according to
skills and capabilities of every personnel in order to get it completed within the prescribed time.
Management skill- This skills is about managing the individual work with the use of
tactics and strategies. This is about accomplishment of goals without any hurdle and make the
team work without any difficulty. The team who has understood the importance of achievement
of goals can use this skill to manage the work at their own individual level as well as in the
context of team also. This can be done by following the guidance of the leaders. If there is
mismanagement within the team, then work of other teams or departments may be hampered.
Some of the factors that may make a difference in the efficiency of teams. The same are
as follows:
Working conditions- This is the circumstances prevailing at the workplace. Every
employee look for comfortable, amicable, etc. factors at the place of work. Teams wish to work
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in an environment which can make fulfil their basic needs. This can increase their efficiency
however, if the working conditions are not satisfactory then people may feel demotivated.
Flexible policies- It is one of the most important factors which may make the team with
to work efficiently or become inefficient. The terms in the policies should be favourable to the
demands of people working in the organisation. If these are strict or rigid, then members may not
feel encouraged to work.
Difference between effective and ineffective teams
Effective Ineffective
Interdependence is a factor which can be
seen within the organisation for motivating
the people in a positive way in order to
achieve the goals efficiently.
Interdependence is not given importance by
ineffective team due to which it does not
achieve the goals effectively.
Goals are provided in a clear and defined
manner which are also modified so that it can
be inconsistent with the individual goals.
This helps in working together for
accomplishing the common goal.
The goals and guidance are imposed on the
members without taking into account their
individual desires. This demotivate team
members.
Communication is two-way, and effective
team members are encouraged to participate
in sharing their ideas and views.
Communication is one-way and only ideas
are expressed; feelings are suppressed or
ignored. Dialogue is discouraged.
All the members are involved as leaders
which increase their participation that leads
to achievement of goals along with their
development.
Leadership is delegated to other team
members on the basis of authority this leads
to unequal participation with and the
members at the higher position have
dominance on the achievement of goals.
The focus is on meeting the individual needs
in order to bring equality within the
organisation and among the team members.
Every responsibility is shared equally.
In this, position hold the value as power and
influence is based on the position held by the
person working in the organisation. Every
team member is required to abide by the rules
and instructions provided by the higher
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authority.
The views of sub-ordinates are taken into
account in decision making process. For this
purpose, different methods are used by
involving the groups in the whole procedure.
The decisions are taken by highest authorities
and there is very low involvement of team
members in decision making.
Conflicts are resolved through integrative
negotiations and mediation so agreements are
reached that maximize joint outcomes and
leave all members satisfied.
Conflicts are resolved through distributive
negotiations or avoidance; some members
win and some members lose, or else conflict
is ignored and everyone is unhappy.
Concepts and Philosophies
Organisational behaviour is the outcome of factors that prevailing inside and outside the
organisation. These are significant in influencing the behaviour of every person working in there.
The ultimate motive of organisational behaviour is to create positive results. If the business
atmosphere is positive, then this can increase the efficiency of the employees along with their job
satisfaction. This concept which can be applied is as Path Goal leadership theory. The Path goal
theory is a theory that is based on specifying the style or behaviour of leader that best fits the
employee and work environment for attaining organisational goals. The major objective of
Marks and Spencer is to enhance employee motivation and involvement. The Path goal theory
depends upon Vroom's theory and in this an individual has to act in a certain way that depends
upon the expectation of an individual. Path goal theory generally follows three basic steps -
 Determining the employee and environmental environment
 Selecting a leadership style
 Focusing on motivational factors which will help in success of employees
Within Marks and Spencer, employees are motivated by leaders effectively. Workers are
analysed on the basis of their performance. After the evaluation of their performance, it is
concluded that how this employee will be motivated for doing better work. The main motive is to
increase motivation and satisfaction level of employees. By using this theory, HR manager
usually follow three steps viz. to understand the environment every employee is looking for
followed by finding appropriate leadership style which can be applied and lastly, the
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implementation of factors to motivate employees with an intention to make them successful.
There are goals which should be identified to become a leader according to this theory such as:
Directive- This is helps the leaders to provide appropriate guidance to all the team
members for co-ordinating then work with each other. This clears all the doubts.
Supportive- There should be a constant support from the leaders for to make them
positive. This can be achieved by being friendly with them.
Participation- There should be huge participation from both the sides. This should be
done with effective communication so as to help every individual to make decisions. Also, there
ideas can be shared which can be included in decision.
CONCLUSION
From the above report, it has been concluded that organisational behaviour is governed
through many factors which can be external as well as internal. These shows the patterns,
attitudes and beliefs of every person working in the organisation get affected. HR manager
should make policies for helping the workforce attain their goals efficiently and effectively
without any delay. Furthermore, the leaders should understand their roles and responsibilities in
making the team work hard. This can be done with right guidance and tactics. There should be a
positive environment in order to make teams feel motivated and encouraged to work. Also, there
are theories that can be applied for providing job satisfaction and motivation to all the personnel.
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