Leadership Styles, Motivation, and Behavior at CAPCO and InvestTech

This report provides a comprehensive analysis of organizational behavior, focusing on a comparative study of CAPCO and InvestTech Systems Consulting. It begins by contrasting the organizational structures and cultures of the two companies, highlighting CAPCO's matrix structure and innovative culture versus InvestTech's hierarchical structure and role-based culture. The report then examines the impact of these structures and cultures on operational performance and individual behavior, including the influence of skills, job responsibilities, organizational culture, and workplace relationships. Leadership styles are compared, with CAPCO's democratic leadership and InvestTech's autocratic approach. Furthermore, the report explores how organizational theories, such as classical and modern theories, influence management practices at CAPCO, evaluating the use of scientific management, systems, and contingency approaches. The report also discusses the impact of different leadership styles on motivation, comparing Maslow's and Herzberg's theories, and emphasizing the importance of understanding and applying these theories in the workplace. Finally, the report examines the nature of groups and teamwork at CAPCO, analyzing factors that promote or inhibit effective teamwork, and evaluating the impact of technology on team functioning.

Organization and
behavior

TABLE OF CONTENTS
INTRODUCTION...........................................................................................................................3
TASK 1............................................................................................................................................3
1.1Compare CAPCO’s structure and culture with Investtech Systems Consulting:.................3
1.2 Explain how the relationship between CAPCO’s structure and culture can impact on the...4
performance of its operation: ......................................................................................................4
1.3Discuss the factors which influence individual behavior in CAPCO:....................................5
2.1Compare the effectiveness of the different leaderships at CAPCO and InvestTech Systems
Consulting:...................................................................................................................................6
2.2 Explanation of ways in which organizational theories influence the practice of
management.................................................................................................................................7
2.3 Evaluate the different approaches to management used by CAPCO and InvestTech
Systems Consulting .....................................................................................................................8
Task 3...............................................................................................................................................8
3.1 Discuss the impact that different leadership style may have on motivation..........................8
3.2 Compare Maslow's and Herzberg's motivational theories within organizational setting....10
3.3 Explain the necessity of managers to understand and apply motivation theories within the
workplace...................................................................................................................................11
Task 4 ............................................................................................................................................11
4.1Explanation of the nature of groups and group behavior within Capco...............................11
4.2 Discussing the factors that promote or inhibit the effective teamwork in Capco................12
4.3 Evaluate the impact of technology on team functioning at Capco......................................13
CONCLUSION..............................................................................................................................13
REFRENCES.................................................................................................................................15

INTRODUCTION
Organizational behavior is the study of the business environment where people interact
to each other within groups and organization. It is the study of group and individual behavior in
organization so as to understand impact on job structure, performance and motivation. This study
of organizational behavior facilitates management to carry effective practices to keep people
motivated in the organization. The report is based on case study of CAPCO, a leading company
in UK financial market(A Capco case study, 2016). This project covers organizational structure
and culture of CAPCO by comparing it with its competitor Investtech Systems Consulting the
impact of structure and culture, leadership styles, motivation theories on employee behavior is
explained in the report. furthermore the effectiveness of leadership and factors which influence
individual behavior are discussed along with explaining, approaches and role of technology in
organizations. The report also discusses individual element of organizational behavior at work
place.
TASK 1
1.1Compare CAPCO’s structure and culture with Investtech Systems Consulting:
Contrast and caparison of both organizational culture and structure are given below:
Structure and culture of CAPCO'S: Organization is established to achieve objective by
providing goods and services to its customers. The organization structure and culture are based
on objective of company, its size and nature of the business. CAPCO follows matrix structure
which supports nature of business in the mentioned organization. The company has adopted this
structure because they are doing specific projects which require different skilled people in the
firm(Randeree and Chaudhry, 2012). The employees move on to another group when one project
has been completed. This structure supports the management in achieving highly motivated and
innovative workforce.
The organizational culture of CAPCO is innovative and entrepreneurial, which supports
its matrix structure. This organizational culture helps the employee to achieve personal growth,
performance and rewards, experience and learning in their workplace. These culture and
structure of CAPCO create flexibility in work, creativity and encourages people to meet
challenging task of the financial service industry.
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Structure and culture of InvestTech Systems Consulting: As compared to CAPACO
The organizational structure of InvestTech is hierarchical. The structure of organization is based
on business culture, size, product or service, objectives, external environment and its location.
The hierarchical structure of organization is ensured that the effective command on
organizational processes or work is given. In such structure the large number of people report or
giving information to supervisor which further provided to manager. The chain of this structure
is top to bottom which is short but, the control is wide in organization(Saame, Reino and Vadi,
2011). This type of structure is used InvestTech mostly for project based work where specialist
skills employees such as HR, marketing, who work together on a specific project.
The culture of InvestTech follows role culture because in its organization the managers
assign projects according to employee’s skills. The role culture supports the hierarchical
structure of organization. Every employees or managers know that what roles and
responsibilities and this structure less likely to taking risk.
1.2 Explain how the relationship between CAPCO’s structure and culture can impact on the
performance of its operation:
The relationship between CAPCO structure and culture: The organizational structure
and culture have a dependent relationship with one another. In organization, structure determines
the attitudes, behaviors and ethics that create organizational culture. The CAPCO matrix
structure helps to contact with many people and sharing information with each other. It creates
innovative culture of organization and facilitates employee motivated so that can feel
empowered. The matrix organizational structure of CAPCO develops its innovative and
entrepreneurial culture.
Impact of structure and culture on CAPCO performance: The structure of mentioned
company is matrix which is define that the employees has relationship with both a functional
manager and product manager. The culture of company is entrepreneurial and innovative which
celebrates individuality, openness in their work place, unity and realize own
weaknesses(Sevincer, Kluge and Oettingen, 2014). The impact of this culture and structures is
given below:
 The employees openly communication with supervisor and manager which helps to
improve performance of employee.
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 Matrix structure and innovative culture gives growth opportunities to employee.
 Entrepreneurial culture motivated employees through rewards and appreciation which
helps to retain employee in long term.
 Build team in organization because different department or functions work on a specific
project which helps to achieve best output
 Organization Gives challenging work which enhance employees creativity skills and
flexibility in their work which helps in organization growth.
 The innovative culture gives employee learning and experiences (Sevincer, Kluge and
Oettingen, 2014.).
 The impact on its operations that employee used resources effectively and efficiently.
1.3Discuss the factors which influence individual behavior in CAPCO:
The factor which influence individual behavior in CAPCO is given below:
 Skills and abilities: The skills and abilities of an individual influence his behavior at
Capco. Possessing knowledge about important work areas and skills for communication
will aid an employee in addressing his responsibilities. Also, these individual will
demonstrate a positive and helping behavior towards other staff. The abilities of an
employee assist him to do work in an efficient manner. Hence, this will influence his
behavior by keeping him motivated towards work (Shahin, Naftchali, and Pool 2014).
 Alignment with Job Responsibilities: The alignment between responsibilities that are
assigned to an individual and his personality also influence his behavior at work. If the
job responsibilities provided to an individual suitably match with his personality, then he
demonstrates interest in the work. Hence, it influences his behavior.
 Organizational culture: The culture of an organization is another factor that influence
the behavior of an individual at work (Randeree, and Chaudhry, 2012). If an organization
has open culture, the employees will demonstrate a highly participative and motivated
behavior. The culture at Capco is innovative which would influence the behavior of
employees and encourage them to use novel ideas in work.
 Relationship at work- The relationships that an individual maintains with his colleagues,
subordinates and seniors also influence his behavior at work at Capco. If an employee has
healthy relationships with his colleagues, they he will demonstrate a cooperative behavior
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towards work (Iqbal, 2011). He will coordinate with the other employees efficiently. In
contrast to this, presence of conflicts at workplace and disrupted relationships will
discourage an individual. He may not find the work interesting which in turn will affect
his behavior.
2.1Compare the effectiveness of the different leaderships at CAPCO and InvestTech Systems
Consulting:
The effectiveness of leadership at CAPCO: The company used democratic style of
leadership because in matrix structure employee communicate with different department and
function. In the company the final decision is taken by top management but they involve
employees to share their ideas, views and feedback. This leadership style effective for employees
because if they involve and communicate with them, the employee improve their morale and
workforce for their workplace(Organizational behavior, 2015). Democratic style helps to
employee feels comfortable in work environment and they put their ideas openly in front of
supervisor and manager. The managers empower their members through training and coaching
which help to employee that they accomplish their task. This all factors are impact on individual
performance in organization.
The effectiveness of leadership at InvestTech Systems Consulting: As compared to
CAPCO, The InvestTech adopt autocratic style of leadership. In this style, leader takes decision
own. They do not involve an individual at decision time. This type of leaders are more confident
and comfortable with decision making power or strategic plans as compared to democratic
leader. This type Of leadership is effective when in InvestTech company wants to take decision
quickly or when it is not important to communicate with individual. This leadership effective
when in organization experienced employee and unmotivated workers are there in organization.
The autocratic style is also good for low- skilled task decision. This style control strict on their
workforce which is effective for organization(Vella, 2013). This mentioned style is provide
strong motivation and reward.
2.2 Explanation of ways in which organizational theories influence the practice of management
There are several theories which had influence on the practice of management at CAPCO
they are given below:
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Classical theory: In classical theory there are 3 approaches which explain organizational
structure such as scientific management approach, Weber's bureaucratic approach and
administrative theory. The scientific approach is based on concept of planning of work to
achieve objectives efficiently. The concept of this approach to achieve efficiency, simplification,
specialization and standardization(Shahin, Naftchali, and Pool, 2014). The approach is increased
productivity is through mutual trust between employees and managers. The mentioned company
applied this approach in their workplace to maintain relation between management and workers
which on employee performance and organizational overall performance. According to this
approach the principle is that management and labor cooperation rather than conflict. The
CAPCO applied this principle in their workplace to communicate with employee openly which
reduce chance of conflict in organization(Khan, Asghar, and Zaheer, 2014.). Furthermore the
Weber's bureaucratic approach is considered rigid, self-perpetuating and empire building. It is
also considered organizations as a part of broader society. This approach design a formal
structure in organization and flow of communication is top to bottom. In this approach the roles
and responsibilities of employees are clear defined according their expertise field. The
administrative theory is based on functions of management such as planning, organizing,
controlling, training and so on.
Modern theories: In the modern theories there are three types of approaches such as the
system approach, the socio-technical approach and contingency and situational approach. In the
system approach considered the organization functions are inter-related and mutual dependent
each other(Spagnoli, P. and et. al., 2012.). According to this approach above company used as a
link between department and goal achieve goals through link process which is effective for
organization. The socio-technical approach, in this approach the employees interact with each
other for effective functioning in their workplace. The situational approach used by CAPCO, in
this approach the human resource interact to each other with different department for create
effective team for efficiently achieve objective. In this approach they ensured that the task has
access to the people who are tailored with their field.
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2.3 Evaluate the different approaches to management used by CAPCO and InvestTech Systems
Consulting
Approaches used by CAPCO: It is evaluated that CAPCO used scientific management
approach, system approach and contingency approach. According to scientific approach the
company based on planning to work effectively and efficiently. The company increases their
productivity through mutual trust between management and employees(Mahembe, and
Engelbrecht, 2014.). To reduce conflict they openly communicate with workers which helps to
improve morale. They gives training to employees to done work efficiently. The system
approach used this company, through this approach managers and employees mutual dependent
and inter related with sub system and different department to achieve different task objectives.
The contingency approach is approach where they inter related with own department employees
and other department employees for effective working in the organization(Daft, 2010). In
CAPCO the individual doing different project with different team for cordinate with different
team the organization use this approach. By applying the contingency approach, a company
ensures that the task has access to the people who are tailored with their field.
Approaches used by InvestTech Systems Consulting: It is evaluated that Approaches
used by this company is bureaucratic approach and administrative approach. The mentioned
company used this approach through they rules and procedures for employees decide for every
week which leads consistency ion employee behavior. The roles and responsibility are clearly
defined for every employee. The selection and promotion process of organization is based on
merit and expertise which leads work efficiency (Iqbal, 2011). According this approach if any
person leave then organization not suffer they select another person and occupies their place.
The administrative approach, the invest Tech company applied this theory in organization. The
organization design a formal structure in organization, where clear roles and responsibilities,
duties and authority of individual. The flow of communication in organization is top to bottom.
They assign their jobs according their expertise field.
TASK 3
3.1 Discuss the impact that different leadership style may have on motivation
Behavior of the individual in the organization is influenced by the leaders. Leadership
can be defined as inspiring, influencing and motivating people in company (Islam, T., Ahmed, I.,
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Ali, G. and Sadiq, T., 2016). If employees are not motivated by leaders, then human resources
will not be effectively used in the organization.
There are different types of leadership style and each has its own impact on motivation at
Capco and Invest Tech system consulting
Democratic style: At Capco democratic leadership style adopted. Employees get
involved in decision making process of company. In major decision of compay employees are
involved for giving their views. This style motivates the employee to work hard at the time of
change. . Employees of company can discuss their problem with manager; if the workers
problems are solved by the leader then they feel that they are part of the company (Gainforth,
and et.al., 2014). By training and development, the leaders can create effective teams. For
example, at Capco employees are involved in all important decisions of company and leaders
helps in solving their problem related to work. It motivates them to work hard and give their best
performance in an organization.
Autocratic style: Invest tech system is a company where autocratic leadership style is
adopted. In this, the employees are not involved in the decision making process. This kind of
management style can be helpful if company is required to make decision quickly for daily work
task. With this leadership style (Biswas, 2015), employees may sometime get de-motivated
because leaders are strict. If the workers problems are not solved by leader then employee get
disappointed with them and will not work efficiently.
Autocratic leadership style is benefits in some cases in an organization. Some projects of
company are required strong leaders to get things complete quickly and efficiently. It allow the
team member to focus on specific task without making any complex decision (Victor, N. E.,
2014). This style is also effective because it makes employee highly skilled for performing
certain duties which is befitted for t the success of entire group.
Transnational style: When manger use this style of leadership at Capco goals are set by
mangers. Certain task perform by employees for which workers are rewarded for good
performance or punished for bad performance (Molina, 2016). Manger and team member set
predetermine goal in group. Mangers have power to review the result or correct employees when
they fail to meet their goals. Employees receive reward such as Bonuses when they complete
their target. Mangers also give training facility for accomplishing their goal. This style leader
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want everything to remain strict no direct communication can be done between employee. leader
do not encourage employees to think creative for themselves. They are happy to work within the
existing system, they can handle the routine affairs of coampny and can take creative action
when required
3.2 Compare Maslow's and Herzberg's motivational theories within organizational setting.
Maslow's theory
Maslow theory is for motivating the employee in company. According to this theory,
employees are required to be motivated so that they can work more efficiently in company to
achieve the target. With the help of this theory, Capco workers are motivated to achieve certain
needs. In Maslow theory, there are five stages to motivate the employees; it starts with basic and
physiological needs (Mehdi, Khiruddin and Omar, 2014.). The basic needs are required to
motivate person when they are not satisfied. For example, if person goes longer without food
then more hungry they will become it demotivate them. Capco required to follow this theory
because with this theory employees needs are satisfied and they work longer and efficiently for
company.
At Capco, workers can be motivated if the manager gives them reward for their
performance. Capco is required to satisfy lower level need of employee before satisfying the
higher level of needs. If they are unsecured regarding their job they cannot perform well for
company. According to Maslow theory, employees need increases from lower level to the upper
level (Jain, and Jain, 2015). Capco can motivate employees by fulfilling their needs whenever
employee get demotivated by certain reason. As compare to Herzberg theory employees are
required to motivate in certain cases for company benefits.
Herzberg's two factor theory
In Herzberg two factor theory, there are two factors one is hygiene factor and motivation
factor. Hygiene factor are those factor which are necessary for motivation at the workplace. At
capco, pay and salary structure should be equal and competitive for employees (Epstein, 2013).
Policy of company should be fair and should not be too rigid. Status within the organization
should be familiar. This factor can motivate employees at Capco. While motivational factor are
growth and promotional opportunities there must be growth and opportunists for the employee it
motivate them to perform well. At Capco Maslow theory is best as compare to Herzberg theory.
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3.3 Explain the necessity of managers to understand and apply motivation theories within the
workplace
Manager need to understand and apply motivation theory to create motivation among the
employee to perform the best of their abilities. At Capco employees are required to be motivate
by manager, so that employees work more efficiently and effectively. It also increase the overall
production of company (Mestdagh, and et.al.,2016.). Organization can achieve their goal and
earn profitability. Employees are sometime get demotivated because of many reason like if their
needs are not fulfilled. Managers are required to focus on the employees basic needs ( food and
shelter) it can make them work more effectively. Many employee not understand their work so
they cant perform well it can demotivate them. Training and development facilities should be
provided by manager to their employee regarding their work it also motivate them.
Reward on best performance of employee can be given by leaders to motivate other
employees for working hard. Employee in a company should be equally treated and fairly
without any type of discrimination it demotivates employees (Malik, 2015). For example, if one
employee believes that he will be rewarded less then other employee for the same amount of
effort ,then employee likely will reduce his job performance. It is important for manager to
engage employees in decision making process of company and make them feel they are part of
the organization.
TASK 4
4.1Explanation of the nature of groups and group behavior within Capco.
There are different type of groups created in organization for getting some specific result
at Capco.
Formal group: A formal group is the systematic grouping of people to achieve target in
an organization (Kumar, and Sundareshan, 2015). At Capco structure of organization is very
formal and responsibility and task are assigned to different members of group to achieve the
goals. Example of formal group are task group and command group. All the work is done
systematically and with proper management. There is no direct communication between
employees and workers. All workers work according to the direction given by leaders. At Capco
there are rules and regulation are strict for employees. Punishment give to employees if they
break any rules made by company (Sengupta, and Kundu, 2012, March). Task are given in
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different groups and all have to work in systematic manner with other employee to achieve target
of organization.
Informal group: Informal groups are natural group, this group formed when members in
a group work for longer period of time. It can be created by closeness, support, interest or
growth. Example of informal group are friendship group or interest group (Islam, Ahmed, Ali
and Sadiq, 2016). This groups are different to those of organization group because aims and
intention may be different group. This groups are not permanent, their behavior is derived from
interpersonal relationship. In informal groups their no direction given by a team leader. All
employees work with their own interest and complete their task.
4.2 Discussing the factors that promote or inhibit the effective teamwork in Capco
Factors that may promote the development of effective team work at Capco are as follow
Diversity: Diversity can promote creativity innovation raise awareness it can support
effective teamwork. Different culture of people work together and promote the effective team
work.
Communication: At Capco for effectiveness in team work it is necessary their should be
proper communication between employees and manager. All team member can solve their
problem by direct communicating with their team leader (Mehdi, Khiruddin and Omar, 014.).
Employees can freely give their suggestion to team leader regarding their work target. When any
type of conflict arises effective team will engage and overcome it with proper communication.
Leadership: At Capco Effective leaders can support the team work. Leaders can
motivates employees for working hard for achieving the target. Leader can give innovative idea
so that workers can work easily. Effective leaders keep good relation with employee and solve
their problem. So that employee feel comfortable with their team leader.
Team-building exercise: By sharing experience and practices team can work effectively.
In team employee should help each other in their work. Team building exercise can target to
improve particular aspects of team performance like problem solving, communication etc
(Mestdagh, and et.al.,2016). Make strong relationship with each other for development of
effective teamwork.
Factors that inhibit the development of effective teamwork at Capco are
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