Organisational Behaviour Report: Dur Hospitality Group Change Strategy

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This report provides a comprehensive analysis of Dur Hospitality Group's organizational behaviour, focusing on its current vertical structure and the need for structural changes to improve communication and foster innovation. The report identifies the company's vision and mission statements, analyzes its corporate culture based on the Schein model, and suggests a shift towards a horizontal structure to enhance teamwork and interdepartmental cooperation. It also examines the types of resistance Dur Hospitality might encounter during the change process, including rational, emotional, and political resistance, and suggests conflict resolution strategies using the Thomas Kilman conflict model. The report further discusses the influence of key stakeholders and the impact of information technology on the organization. Finally, it recommends strategies for change and provides recommendations for improving communication and team leadership within Dur Hospitality Group, emphasizing the importance of IT solutions for streamlining operations.
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Running head: ORGANISATIONAL BEHAVIOUR
Organisational Behaviour
Student’s name:
Name of the university:
Author’s note:
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1ORGANISATIONAL BEHAVIOUR
Executive Summary
Organizational behaviour is one of the important aspects existing within any and every business
environment. It is basically the way in which the individuals interact within an organization. In
this report, Dur Hospitality Group has been chosen in order to find the limitation of the structure
of the organisation.
Dur Hospitality Group follows the vertical structure and in order to improve the culture of the
organisation, it needs to change the structure of the organisation. In this regard, the Schein model
of the culture of the organisation has been stated with a change in the leadership style. Moreover,
the in bringing the change in the organisation, Our Hospitality will face resistance in change in
emotional, political and managerial. Moreover, conflict of changes can happen in the emotional
sphere and major stakeholders of the organisation like General Manager, Board of Directors and
Functional Leaders need to take the charge to bring the changes.
It can be concluded that Dur Hospitality has been going through turmoil and they need to change
the structure in order to bring success. This can be controlled by the members of the IT group
and it enables in bringing the functioning of all the different branches of the company under one
head.
It can be recommended to Dur Hospitality:
Improve communication flow within organisation
Team leaders need to take extra care
IT solution can help
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2ORGANISATIONAL BEHAVIOUR
Table of Contents
Introduction......................................................................................................................................3
1. Identifying Vision Statement and Mission Statement of Dur Hospitality Group........................4
2. Describe the corporate structure of Dur Hospitality Group.........................................................5
3. Identify an area of planned change in the organization...............................................................6
4. Describing corporate culture and leadership style.......................................................................7
5. Visible and invisible control systems..........................................................................................9
6. Describe the types of resistance encounter..................................................................................9
7. Identifying an area of conflict and explain how to resolve it....................................................10
8. Select strategy of change...........................................................................................................11
9. Identifying the key stakeholders and your methods to influence them in your decisions.........12
10. The process how an organisation has affected due to Information Technology and what
positive & negative changes have occurred...................................................................................13
Conclusions....................................................................................................................................14
Reference List................................................................................................................................15
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3ORGANISATIONAL BEHAVIOUR
Introduction
In order to a successful run of a business, it is very much essential to ensure that there is a
complete transparency existing between all the employees (Murat, 2015, p.45).
a) Background
Over the decades, The Dur Hospitality group has been successfully rendering hospitality services
to all its guests. They have a tradition of greeting their guests by saying My Home is yours. It
was established in the year 1976, and since then it has been trying its level best to deliver the best
and premium services to all its clients (Dur.sa, 2017). The Dur Hospitality Group is very much
concerned about the rich cultural heritage of Saudi Arabia. According to the Savola group, the
best successful mantra for each and every company always will be to plat to their respective
strengths.
b) Aims and Objectives:
The major objectives of the study are:
To identify the corporate structure of the organisation Dur Hospitality Group
To evaluate the limitation of current functional organisational structure of Dur
Hospitality Group
To identify the areas of required changes in the organisation Dur Hospitality Group
To explain about corporate culture with specific instances given from Dur Hospitality
Group
To recognise the areas of conflict within the organisation Dur Hospitality Group
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4ORGANISATIONAL BEHAVIOUR
To describe the methods of influence in decision-making by stakeholders of the
organisation
To point out the impact of information technology on the organisation
c) Scope
In this report, the main highlight will be the corporate structure of Dur Hospitality Group with
aligning mission and vision statement of the organisation. This study will also explain the current
organisational structure and will also shed light on the planned changes. Moreover, the corporate
culture of Dur Hospitality Group will be described with explaining the leadership style. This
report will talk about the resistance in continuing the changes with highlighting the process to
solve. The report will measure the strategies identifying the stakeholders of the organisation.
1. Identifying Vision Statement and Mission Statement of Dur Hospitality Group
The mission statement of the company is to serve as an example by greeting the guests in nature
as if they are in their homes, both within as well as beyond that of Saudi Arabia (Dur.sa, 2017).
The vision of this company is to be the partner of choice in the hospitality and the real estate
sector across the entire Kingdom in the fields of investment, development and operations. They
want to adopt and use an international standard with the local spirit. The organisation believes in
the combination of skills, vision and capabilities.
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5ORGANISATIONAL BEHAVIOUR
2. Describe the corporate structure of Dur Hospitality Group
Figure 1: Organogram of Dur Hospitality Group
(Source: Dur.sa, 2017)
Vertical structure is followed in the Dur Hospitality Group. The above structure defines the
organizational structure that is followed in the Dur Hospitality. The employees over here are
placed at different posts and different levels in accordance with their level of knowledge and
their level of expertise. CEO of the organisation is on the top and other middle managers are in
the next hierarchy. Under those managers, there are subordinates of the managers. In department
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6ORGANISATIONAL BEHAVIOUR
wise, the managers, middle managers, senior managers, marketing and human resource
departments direct the activities to their subordinates and they do according to the specific lines
of business. The main advantage of vertical structure is that it has defined the chain of command
with the areas of responsibility (Swanson and Creed, 2014, p.30). However, the problem of
vertical structure is that it takes much time to make decision and bureaucracy are mainly seen in
the vertical structure.
3. Identify an area of planned change in the organization
Structural change is required for the organisation Dur Hospitality Group that can stem the
internal and external factors. The change is required in organisational hierarchy, management
systems, administrative procedures, job structure and chain of commands. Dur Hospitality is
following the vertical structure and in this structure, it is seen that Board of Directors at the top
of the management and after that it follows the CEO. However, the communication flow is not
helpful for the employees to understand the job roles. The information gets changed when
communication goes down from CEO to middle managers. It often happens that this structure
leaves little room for motivation and creativity. Employees do not put their own ideas in the
organisational decision-making process. The communication flow within Dur Hospitality Group
is inflexible and slow. Most importantly, vertical structure gives less interdepartmental
cooperation and coordination, cooperation and communication can suffer (Hogan and Coote,
2014, p.1610). In Dur Hospitality Group, departments and hierarchy cannot insulate people to
work for the organisation. The structural changes of the organisation are also a response to the
market shift and it would help Dur Hospitality in creating new departments. They can follow the
structure of horizontal structure as it empathises on the collective goals of the organisation with
teamwork. In the first step, the management must support the changes and employee
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7ORGANISATIONAL BEHAVIOUR
involvement is necessary. Communicating the changes to the stakeholders will make easy for the
implementation.
4. Describing corporate culture and leadership style
Corporate culture is important for the organisation as it is related to the organisation learning,
planned change and development of the organisation. According to Burke (2017, p.34), planned
change cannot happen without culture as the core sources of resistance to change. In the first
part, artefacts are the surface which can be discerned easily and these are visual organisational
structure and process (Baffi and Nardi, 2017, p.46). Dur Hospitality Group can start a dress code
for the employees. Espoused values are the organisation’s concerned strategies, philosophies and
objectives. Dur Hospitality can change the cultural management through recruiting employees
from the different background. Basic assumptions are core essence of the culture and these are
hard to decipher. Dur Hospitality has some taken for granted beliefs and that can be achieved
through teamwork only as it is in human existence with human relationships.
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Figure 2: Culture of the organisation
(Source: Lewin, 2013, p.45)
The leadership of the Dur Hospitality must be a pattern of shared knowledge in group-based
learning. Structure of the organisation is vertical, however, it is needed to make horizontal in
order to solve the issues of external adaptation and internal cooperation. Leaders of the
organisation must teach members in the correct way and that must solve the issues. The
leadership of Dur Hospitality must be democratic style and it would help the organisation in
keeping in touch with the employees' issues.
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9ORGANISATIONAL BEHAVIOUR
5. Visible and invisible control systems
The visible aspect of the organisation can be reflected in artefacts, dress, slogans and behaviour
of the employees and dress codes of the employees (Yildrim, 2015, p.65). These can be
controlled through measurement systems, financial and non-financial systems. Dur Hospitality
can plan resource allocation systems through planning, standards, budget and analysis of
financial resources. On the other side, the invisible aspect of the organisation is related to the
underlying values that an employee can make regarding the unacceptable and acceptable
behaviours. Invisible systems of the organisation can be changed through socio-cultural systems
and Dur Hospitality can bring changes in the communication system, value sharing, meeting and
control by a peer. Employees' psychological changes can be changed through psychological
systems, like incentives and rewards and risk sensitivity issues.
6. Describe the types of resistance encounter
This change is strategic changes of the organisation and resistance occurred when the alteration
is not interpreted well by the management. Dur Hospitality can face rational resistance from the
structure of the organisation as the assigned number of managers will be reduced in structural
changes and the amount of work pressure to each and every regional manager and the vice
president will be increased. Moreover, emotional resistance can come from the employees in
structural changes as there can be a sudden loss of job, then there will be a great despair caused
among the employees who have been working for a large number of years (Wirth, 2016, p.56).
New changes always bring insecurity and the employees will also suffer from the lack of
security. Low tolerance will be there that will be responsible for increasing the depletion of the
human resource. However, political resistance can come from internal management as higher
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10ORGANISATIONAL BEHAVIOUR
executives will not try to relocate to the new location and informal resistance from top
executives at decision-making time will hamper creating a concrete strategy.
7. Identifying an area of conflict and explain how to resolve it
Dur Hospitality can face the issue of emotional conflict as the new horizontal structure of the
organisation can bring the huge change in the behaviour of the senior managers in alteration
period. Moreover, the employees can feel lack of interest and change process can bring the lower
productivity as employees can do strike from the interests of upper management. Employees can
feel tensed for the fear of loss of job and stability of new job roles and positions (Suh et al. 2016,
p.256). In addition, struggle among the employees can lead to the organisational resistance and
this structural change can bring coalition between high and middle-level management.
The Thomas Kilman conflict model can be used to find out the solutions of the conflicts
(Yildirim 2015). The board of directors can group with the top-notch political parties. This will
help in achieving the goals. The company must always aim at making only win-win situations for
the overall benefit. In order to prevent the employees from losing their jobs, a large and wide
range of roles are to be allocated to the concerned employees.
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11ORGANISATIONAL BEHAVIOUR
Figure 3: Thomas Kilman conflict model of resolution style
(Source: Thomas, 2016, p.45)
8. Select strategy of change
Kurt Lewin Field Force analysis is distinguished factors within the situation and it drives the
organisation towards the goals. As supported by Robbins and Judge (2013, p.67), developing
emotional intelligence and self-awareness can help to explain the forces that work within the
organisation. In the first place, Dur Hospitality Group needs to define the structural changes and
the desired objectives in the meeting in order to escape from present status quo. Then, it is
needed to brainstorm the driving forces that are most favourable for the change. However, those
are unfavourable for the organisation, can be recorded to force field diagram. Then, it is needed
to review both driving and restraining forces. Moreover, review of the changes is important with
making the strategy to implement these.
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