Analyzing Effective Organizational Management Strategies

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ORGANIZATIONAL MANAGEMENT
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Contents
INTRODUCTION............................................................................................................................. 3
HUMAN RESOURCE MANAGEMENT..............................................................................................4
ROLES AND RESPONSIBILITIES................................................................................................... 4
IMPORTANCE.............................................................................................................................5
MARKETING................................................................................................................................... 6
ROLES AND RESPONSIBILITIES................................................................................................... 6
IMPORTANCE.............................................................................................................................7
ORGANIZATIONAL STRUCTURE......................................................................................................9
TYPES OF ORGANIZATIONAL STRUCTURE......................................................................................9
HIERARCHICAL STRUCTURE....................................................................................................... 9
DIVISIONAL STRUCTURE............................................................................................................ 9
MATRIX STRUCTURE................................................................................................................ 10
FLAT STRUCTURE..................................................................................................................... 10
IMPACT OF ORGANIZATIONAL STRUCTURE.................................................................................11
CONCLUSION............................................................................................................................... 12
REFERENCES.................................................................................................................................13
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INTRODUCTION
Organizational management can be defined as the process undertaken by an organization to
manage the resources and members in a manner through which it can achieve the objective for
which it was formed (Namada, 2018). Organizational management has been a crucial
management process which considers all the aspects of an organization so that it could be
effectively managed.
Through this report, the importance of organizational management has been understood and
aims of different functions that are performed in an organization have been determined. The
report covers the different models of organizational structure that are present in an
organization and how they impact in achieving the objective of the organization.
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For managing an organization, the management of the organization performs various functions,
together of which the successful management of the organization is being done. All the
different functions that are performed in organizations lead in the effective management of the
activities of the organization, through which the organizational objective can be achieved.
HUMAN RESOURCE MANAGEMENT
Human resource management is one of the most essential functions that are performed in an
organization. Human resource management in an organization is concerned with the
management of the human resource which is employed for the achievement of the
organizational objective (Stewart & Brown, 2019). It includes all the activities related to human
resource, i.e. recruitment and selection, training and development, motivating the employees,
forming policies and regulations for their government, etc.
ROLES AND RESPONSIBILITIES
 Recruitment and Selection of Employees
Of the various roles played by the human resource management function, the most
essential one is recruiting workforce for the organization. It is the responsibility of HRM
function to conduct recruitment and selection process so that they can hire the required
skilled workforce who would be performing the activities of different functions (Banfield
et al., 2018). This role is considered as the most essential one as the recruiters have to
ensure that they’re hiring the right person for the right job to be performed.
 Framing Policies
Framing policies is also a vital responsibility played by the HRM function in an
organization. The HRM function forms the rules and regulations that are to be followed
within the organization so that the employees can work accordingly (Bratton & Gold,
2017). There are various aspects regarding which the human resource management
forms policies, for example, the flow of information, behavior to be conducted in the
organization, do’s and don’ts for the employees, etc.
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 Monitoring Organizational Culture
The human resource management also monitors the culture which is followed in the
organization and ensures that it is a healthy one so that all the activities in the
organization can be conducted efficiently (Cascio, 2015). Through framing the policies
that support all the functions performed, HRM function also monitors the culture that is
followed ion the organization so that employee satisfaction can be maintained and
employee turnover can be reduced.
 Training and Development
This is one of the most important roles played by the human resource department
through which they conduct training and development programs for the employees so
that they can perform the functions efficiently and effectively (DeCenzo et al., 2016). For
the new employees that have joined the organization, training is being given so that
they can develop a better understanding of the firm and can be familiar with the
working styles and culture. Training and development programs are planned for the
existing employees so that they can attain the required skills and abilities to compete
against the competitors.
IMPORTANCE
 Selecting the Right Workforce
It is essential for an organization to perform the HRM function so that it can select the
right employee for the right job. This is significant for an organization so that it can
increase the efficiency of the activities performed and increase its productivity (Banfield
et al., 2018). Recruiting the right person for the right job also assists the organization in
saving costs over their training programs and saves time for completion of the activities.
 Maintaining Quality of Work Life
Human resource management function has to be performed in organizations so that the
quality of work life followed in the firm can be maintained healthy (Cascio, 2015).
Through maintaining the work culture in accordance with the employees so that they
can be benefitted, the quality of the work performed in the organization enhances and
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the employees are satisfied by their work life. This assists the firm in establishing a good
image in the market and attracts employees to join the firm.
 Retain and Motivate Employees
Efficient human resource management also allows the organization to retaining the
existing employees by working towards their own career development and motivating
them to work efficiently in the organization (Stewart & Brown, 2019). Through
developing an environment in the organization through which employees can plan their
development and streamlining the same with that of the objective of the organization,
HRM function motivates the employees to work efficiently and reduces employee
turnover in the organization.
MARKETING
Marketing can be defined as the activities undertaken by an organization to develop, promote
and sell the products and services of the organization (Baker, 2016). It includes all the activities
that are performed in an organization so that the sales of the products and services can be
enhanced and the organization can gain higher profits.
ROLES AND RESPONSIBILITIES
 Determining Needs of Customers
Determining the requirements of the customer is one of the major roles played by the
marketing function of an organization. This role assists the firm in developing a product
or service which would provide solutions to the requirements of the customers and
ensure production of products or services which would be easily acceptable by the
customers (Churchill, 2017). This role ensures higher profitability for the firm from the
product or services which is being manufactured.
 Create Awareness of the Product
The marketing function is also essential to be performed in an organization so that it can
create awareness of the product or services in the market and attract people to
purchase the same (Tuten & Solomon, 2017). This role performed by the marketing
function allows the organization in generating demand of the product in the market by
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creating its awareness in the market and attracting customers to purchase the same so
that their needs and requirements can be fulfilled.
 Developing a Marketing Strategy
One of the most significant roles played by the marketing function in an organization is
the development of a marketing strategy based upon which the customers can be
attracted to purchase the product or service (Blythe & Martin, 2019). Through
developing a marketing strategy, an organization develops a plan which allows the firm
in considering various factors so that it can use an appropriate method to promote the
product or service in the market and develop its demand in the minds of the consumer.
 Innovating Products and Services
Marketing function performed in an organization also assist the organization in using
innovative techniques to produce products and services so that it can provide an
additional advantage to the customer by its purchase (Fahy & Jobber, 2015). The
marketing function also assists the firm in using innovative techniques to promote the
products and services produced by the firm so that it can increase its demand in the
market and allow the firm to relish higher popularity. Innovative measures are also
undertaken by the organization so that they can create a distinctive image in the market
of its products so that they can be distinguished by the products provided by the
competitors (Bagozzi et al., 2018).
IMPORTANCE
 Establishing Brand Value
The marketing function plays a huge importance in creating a brand value of an
organization by using innovative promotion techniques so that the customers can
differentiate the brand of the organization distinctively. With the assistance of the
marketing function, an organization can develop a distinctive image in the market and
allows the name of the organization to be converted into a brand (Churchill, 2017).
 Improves Customer Satisfaction
Through understanding the needs of the customers, the marketing function stands of
huge significance for an organization as it allows the products and services
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manufactured to increase the satisfaction provided (Fahy & Jobber, 2015). Through
understanding the needs of the consumers and developing a product/service
accordingly, the marketing function helps the firm in providing products or services
which are relevant to their requirements.
 Monitoring Competition
Marketing function stands of huge importance for an organization as it helps an
organization in monitoring the competition in the market and allows the firm in
adopting ton the strategies accordingly so that it can sustain in the market (Baker,
2016). Through determining the level of competition in the market, the marketing
function allows the firm in developing strategies through which the sale of the product
in the market can be ensured and the competition in the market does not impact the
profitability of the firm.
 Tracking Trends
Of all the activities performed by the marketing function, one of the most essential
activities performed is tracking the trends that have been going in the business
environment (Bagozzi et al., 2018). It stands of huge importance for a firm to determine
the current trends so that it can enhance its product/services, as well as the marketing,
activates so provide higher satisfaction to the customers. The marketing function tracks
the current as well as the future trends so that it can grab a competitive advantage in
the market by providing products or service according to the changing preferences of
the customers and increase the profitability of the firm (Tuten & Solomon, 2017).
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ORGANIZATIONAL STRUCTURE
Organizational structure can be defined as an outline based on which activities are conducted in
an organization. It is considered as a system which determines how the activities are to be
directed so that the objective of the organization can be achieved (Jones, 2013). Through an
organizational structure, the flow of information that has to be followed in the organization
considering different levels is determined.
TYPES OF ORGANIZATIONAL STRUCTURE
There are various types of organizational structure that can be used in an organization so that
its activities can be conducted appropriately. It is essential for an organization to select the right
form of organizational structure so that efficiency in its activities can be gained and the
objective of the organization can be achieved.
HIERARCHICAL STRUCTURE
This form of organizational structure is most commonly used in organizations. In this form of
structure, a hierarchy is decided based on which functions and reporting of employees are
carried out (Gallistel, 2013). This hierarchy is being decided based upon functions to be
performed, product or services on which employees have to work upon, specialization of
employees, etc. This form is considered to be a dominant structure as the reporting of
employees is predefined and has to be rigidly followed in the organization.
This form is most commonly used in large organizations to manage the various activities
performed. Through this form of organizational structure, higher productivity can be received
by grouping employees based on a specific function to be performed which allows them to
focus on their task and gain higher efficiency (Fadeyi et al., 2015). However, this form might
face challenges due to a lack of communication between two structure hierarchies and major
issues might arise out of it.
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DIVISIONAL STRUCTURE
Divisional structure of the organization is also a frequently used organizational form through
which each function of the organization is created into a separate division and develops its own
divisional chart according to which it would be operating. In this form of organization, each
division formed operates and manages the activities on its own. In the divisional structure, each
division is divided separately and reports to the executive staff of the organization.
This structure is used by the organization so that each division can be managed successfully and
detailed control over them is maintained (Child, 2015). This also provides flexibility to all the
divisions so that they can act relevantly as required and does not impact the working of other
functions in the organization. However, this form of the structure might focus on achieving
individual division’s goal rather than focusing on the organization’s goal and thus holds this
drawback.
MATRIX STRUCTURE
A matrix structure is considered to be a hybrid form of organizational structure in which a
combination of two or more organizational structure is utilized for forming the structure to be
followed in the organization (Burton et al., 2015). Instead of following a typical hierarchy, this
organizational form pools employees based upon the task which is to be performed and does
not follow one specific form in the organization.
Through this form of organization, the advantages of all forms can be taken by the firm by
utilizing a relevant form based upon the activity to be conducted. However, this form might
create challenges to the organization as there is no specified form of reporting and
communication among the organization might be negatively affected due to the same (Burton
et al., 2015). Also, reporting to multiple managers might confuse the employees and affect the
growth of the organization.
FLAT STRUCTURE
This form of organizational structure is mostly used by small companies through which an
organization adopts a vertical form of the organizational structure instead of adding numerous
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levels to management (Daft, 2015). Through this form of organization, employees are found to
be more productive as the chains of command in the organization are minimized and there is
no specific form of communication followed in the firm.
Flat organizational structure enhances the skills and abilities of employees by providing them
the flexibility to take decisions independently and increases the productivity of a decision-
making process (Jones, 2013). However, due to a lack in the chain of command in the firm,
productivity can also be affected negatively if the decisions are taken without having expertise.
IMPACT OF ORGANIZATIONAL STRUCTURE
The organizational structure has to be rightfully chosen by an organization by understanding
the activities that are to be conducted and choosing the structure which would maximize its
efficiency. Through selecting an appropriate organizational structure, official relationships
among the employees are defined and it provides guidelines to the employees regarding the
governance of activities of the organization (Fadeyi et al., 2015). Organizational structure leads
to the success of an organization depending upon the relationships formed due to it and how
effectively they contribute to the productivity of the activities.
Depending on the functions of the firm, the organization structure has to determine the
reporting of the employees and also considers the flow of information in the organization.
Through an adequate organizational structure, less time is invested in repairing the flaws and
higher efficiency form the activities can be received (Galbraith, 2013). Thus, for an
organization’s success, choosing an appropriate organizational structure is a must so that its
activities and functions can be performed without any hindrances and higher profits can be
generated from lower costs.
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CONCLUSION
Thus, it can be concluded that managing an organization is an essential role so that the
objective of its formation can be attained. Through this report, it can be concluded that through
the management of different functions performed by an organization, its overall management
can be done. The report also assists in understanding the vital role played by the organizational
structure in contributing to the success of an organization and it can be concluded that it is a
significant part of organizational management.
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