Individual Case Study Analysis: Thomas Cook Management Principles

This case study analyzes Thomas Cook, a prominent UK travel and tourism company. It examines the principles and functions of management, highlighting the CEO's role in planning, organizing, staffing, and controlling operations. The report delves into organizational culture, discussing training, rewards, and objective setting to improve employee performance. It also explores leadership styles, including situational, democratic, and coaching approaches. Furthermore, the analysis assesses the impact of power, influence, and organizational culture, including referent, legitimate, and reward power bases. The study also covers types of motivation and Maslow’s theory, providing corporate examples to support the findings and concluding with recommendations for the company.

Individual Case Study Analysis

Table of Contents
Contents
Contents...........................................................................................................................................2
INTRODUCTION...........................................................................................................................1
State the principles and functions of management......................................................................1
Discuss the steps taken in regard to organisation culture and its impact on employees.............3
Demonstrate leadership style in the context of organisation.......................................................4
Analyse the effect of power, influence and culture in the context of organisation.....................5
Demonstrate types of motivation.................................................................................................6
Use appropriate corporate examples in order to justify your stand.............................................7
Recommendations............................................................................................................................8
REFERENCES................................................................................................................................9

INTRODUCTION
This report comprises of a case study of Thomas Cook which is a renowned brand in UK.
The company deal in travel and tourism industry that aims to provide fast and efficient services
to their customers as the respective firm renders information regarding packages of hotel,
holidays and many more (Basu and Bano, 2016). This is one of the oldest companies which is
founded in 1841 and currently the CEO of a firm is Peter Fankhauser who manage all operations
and take all decision which lead to smooth flow of activities in a business enterprise. The CEO of
respective firm has completed its education in the field of political science and then engage in
tourism business as its integrity help in contributing success and providing an opportunity so as
to contribute a significant positioning within a market. This report comprises of several
principles and functions of management and also styles of leadership which promote a good
atmosphere in the company. This report also covers power, influence and culture of organisation
as well as its impact on employees as it enables them to perform higher in an organisation. this
report also includes types of motivation and Maslow’s theory that assist the firm in meeting the
needs of employees and also they perform their best in a workplace which determine the
effectiveness.
State the principles and functions of management
Management is better understood as the process of designing an environment in which
everyone in a workplace work together for the accomplishment of goal efficiently (Choi, Kim
and Kang, 2017). In other words, it involves the process of getting work done from people using
limited resources in order to facilitate coordination. The CEO of Thomas Cook has excellent
communication skills who make proper division of task that matches their skills and lead to
accomplishment of business objectives. In the context of Thomas Cook, the functions of
management are as follows:
Effective planning: Planning is done in advance that provide direction of action and render
guidance among the subordinates as what action should be done. The manager of respective firm
prepares an appropriate strategy and allows proper allocation of work among the staff and also
emphasises on avoiding duplication of activities.
Organising of work: It is process of grouping the task and establish proper authority and
responsibility by bringing people together for the achievement of target within limited time
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(Dobrovol’skij and Piirainen, 2018). The manager of Thomas Cook assign the work among the
staff in their appropriate talent which increase the overall efficiency and productivity and thus
improves the overall performance.
Staffing: It is a broader term in management that includes recruitment and selection, training
and development, performance appraisal and many more. The manager of Thomas Cook hire
potential candidates in their workplace so they could work with enthusiasm and enhance the
productivity.
Directing and monitoring: Controlling is one of the essential functions that help in
accomplishment of predetermined goals (Fayol, 2016). The senior authority of respective firm
monitors the activities of employees that creates an atmosphere and bring proper implementation
of hierarchy in an organisation. Also, the top management makes efficient use of resources
which improves the overall performance and help in gaining maximum exposure across the
globe.
Principles of management:
Division of work: According to this principle, there must be proper division of work among
the people as it involves proper working procedure and clarity in work. The senior authority of
Thomas Cook makes division of task among its staff in according to their specialisation that
improves the overall efficiency and decrease the chances of overlapping of activities.
Authority and responsibility: There should be the optimum balance between authority and
responsibility as former emphasises on power to take decisions while latter emphasises on
obligations or duties to perform a task with greater accuracy and transparency. So, the manager
keeps this principle in his mind and implement proper delegation and coordination in a
workplace.
Unity of command: In this principle, the subordinates should receive order from one
supervisor and if instructions are received from more than two boss than it could lead to conflicts
and misunderstandings in an organisation (Holynskyy, 2017). The supervisor of Thomas Cook
provide expert advice among their subordinates with great verbal skills which eliminate the
violation of confusion and clashes of ego.
Esprit De Corps: This principle of management emphasises on promoting a sense of team
spirit and maintain proper harmony in an organisation. The manager of respective firm focuses
on promoting a harmonious environment and give rise to trust and belongingness that create a
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proper coordination and efficiency in an business entity. This increase the effectiveness and
minimise the stress in the mind of workers which ensure maximum productivity.
Discuss the steps taken in regard to organisation culture and its impact on employees
Improvement in performance of employees boost the productivity and help in achieving
targets in an appropriate time period (Hwang and Jin, 2016). There are several ways that help in
improving the effectiveness and performance of subordinates in regard to Thomas Cook are
given beneath:
Proper training: The leader of concerned firm renders an effective training amongst their
employees and to make them capable of accepting challenging task and responsibilities. This
increase the skills and knowledge base that help them in contributing them for greater
performance with additional responsibility and also, they are capable for accepting challenging
roles which in turn accelerates in efficiency.
Resistance to change: The manager of respective firm resists to make changes easily in a
flexible environment which is most significant part in a modern era. Also, it motivates the staff
by appreciating their efforts that help in increasing their performance and thus maximising the
productivity.
Providing rewards: The senior authority of Thomas Cook provide several benefits to their
employees both in terms of financial and non financial incentives such as providing insurance,
health benefits, compensation benefits and also provide awards to their subordinates which
enable them to work with zeal and thus improves the overall performances (Manta, 2017).
Setting objectives: The top manager of concerned firm prepares an appropriate strategy and
allocation of resources so that it could achieve the target in a short span of time. Moreover, is
divides the task among the subordinates and set a deadline for each task which ensure proper and
systematic working procedure in an organisation.
Facilitate coordination: Coordination is considered as an essential ingredient of management
that ensure unity of action for the common purpose of an organisation. The manager of Thomas
Cook promotes an eligible atmosphere and provide proper guidance with clarity so that goal is
attained with proper efficiency and with accuracy of time as it increases the productivity and thus
help in conducting systematic procedure in a corporation.
The CEO of Thomas Cook maintain a proper operation in a firm as it follows hierarchy
structure and follow a sequence of steps that help in achievement of goal within proper period of
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time. Also, the subordinates abide all rules and regulations as well as policies and procedures
which ensure proper hierarchy as well as systematic organising of work. This improves the
overall business performance and bring delegation of authority in a workplace. This improve the
productivity and generate positive reputation across the globe.
Demonstrate leadership style in the context of organisation
Leadership play a significant part in a business entity as it seeks to influence the ability of
others and share the common vision. In addition to this, the main role of leader is to render an
effective advice that emphasise them on accomplishment of task (Murnieks and et.al., 2020).
Also, it provides effective training among their subordinates and also increase their skills and
knowledge base so that they could contribute majorly in the success in a workplace. The leader
of Thomas Cook implement the plan that is set by top management and encourage their
subordinates so that they could work with greater potential and determination. In the context of
Thomas Cook, the leadership styles are showcased below:
Situational leadership style: Under this, the behaviour and act of leader is unique in
comparison to the situation which is prevailing in the marketplace. In relation to this, the leader
of Thomas Cook adapt the changes quickly in an era of business environment as it ensures
increase the efficiency and productivity in a workplace. The manager of concerned firm also
provides an effective solution in a quicker manner allow conducting fast operations of a
business. The role of leader in this is to assign the work among the staff that matches their talent
and skills which facilitate smooth conduct of business and promote vast growth opportunities
towards the business.
Democratic style: In this aspect, the senior management invites the ideas, thoughts and
opinions of subordinates so as to make them feel that their role is essential in an organisation.
The manager of Thomas Cook consider the views and opinions of employees so as to make them
feel happy and delighted and also develop greatest interest towards the job (Ross, Perkins and
Bodey, 2016). This accelerates the job satisfaction and boost the morale by inspiring and
motivating them. One of the benefits is that it creates employee loyalty and boost the morale and
trust of employees in a workplace.
Coaching style: Under this style, the leader has ability to cope up with pressure and complete
the task with patience and clam. Such behaviour of leadership influence others and bring unity
and build an effective team spirit which in turn develop positive atmosphere. The manager of
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Thomas Cook provide proper guidance and training to their subordinates and coaching with
proper and systematic manner so as to develop greater understanding and mutual trust among
them. This is well known effective styles of leadership as it helps in achievement of task in a
systematic and coordinated manner and promote team spirit among them.
Analyse the effect of power, influence and culture in the context of organisation
The organisation culture in case of Thomas Cook is considered as flexible and diverse in
nature that help in maximising the effectiveness which is possible through proper judgement and
also aims to satisfy the needs and requirements of customers by delivering efficient services. In
the context of Thomas Cook, the effect of power and culture is detailed beneath:
Power: It is the way of influencing others and ability to take an appropriate decision so that
goal is accomplished in a respective time period. The bases of power are as follows:
Referent: This base of power is provided on the basis of respect, admire that aims to
influence others on the basis of their behaviour (Stenius and et.al., 2016). The CEO of Thomas
Cook has high level of dignity and respect by employees as it creates a lasting impression by its
behaviour and conduct which influence other and also its communication skills also grab the
attention of subordinates.
Legitimate: This type of power is also known as positional power as it is provided on the
basis of respective positions in an organisation. the CEO has all power and is autonomous in
decision making as it provides instructions and direct the senior manager and then to junior
managers that aids in implementation of proper planning and thus achieve positive outcomes.
Reward: This motive of this power is to provide rewards and several monetary benefits and
incentives amongst staff so that they could work with enthusiasm. The senior authority inspires
and encourage their subordinates by providing bonuses, recognition, raise in pay, promotion and
many more among their subordinates so that they could work beyond their potential as a result
this motivates them to improve their performance.
Expert: This type of power is influenced by individual who has increase knowledge and
skills that help in completing the task in a proper period of time. The senior authority of Thomas
Cook renders great skills and knowledge base among their employees to make them talented and
to ensure greater transparency in a workplace.
The manager of Thomas Cook aims to provide best amenities to their clients by also make
them comfortable by providing fast solutions of their problems so as to ensure maximum
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productivity and efficiency in a workplace. Also, the Human Resource manager hire a best
candidate by implementing proper recruitment and selection procedure so that they could achieve
a desired level of output. The senior authority of respective firm emphasises majorly on
rendering an effective training and divide the work in accordance to specialisation so that they
could achieve a maximum level of output (Urick, 2016). In addition to this, they emphasise on
providing excellent offerings to their customers so as to maximum satisfaction and also it
achieves maximum exposure across the world. The management of concerned firm also prefer
transformation in a corporation by bringing new and creative merchandise or services which
provide assistance in fast activities in a proper and transparent manner.
Demonstrate types of motivation
Motivation is the process of stimulating others which derive aspirations, urge, desires or
motives that assist the firm in attainment of objectives in a proper period of time (Yusuf, 2016).
In relation to this, it is a psychological process that aims to satisfy the needs and wants of people
in a desired manner. With reference to Thomas Cook, the types of motivation are presented as
follows:
Positive and negative motivation: Positive motivation develop a positive climate in an
organisation by motivating employees with rewards and appreciating their efforts so that they
could work with greater efficiency and also, they work with greater interest that increases the
productivity and efficiency in a workplace. Negative motivation promotes an unfavourable
atmosphere as it creates fear, anger and annoyance attitude of individual towards the job which
affect the overall performance in an adverse manner.
Intrinsic and extrinsic motivation: Intrinsic motivation is created by inner drive and desire
that improve the performance of individual as it includes sense of appreciation, pleasurable,
joyful which create a positive environment among the workers. Extrinsic factors are taking place
in outside the organisation that include elements such as rewards, compensation to employees so
as to enable them for higher performance.
Financial and non-financial motivation: Financial motivation includes monetary incentives
such as salary, wages, allowance and other fringe benefits that are provided to employees so that
they could perform better and work beyond their potential. Non-financial motivation are non-
monetary incentives that includes praise, job enrichment and participative management which
makes employees happy and thus increase the level of job satisfaction.
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Maslow’s need hierarchy theory: In this, the needs of human beings are infinite as one
need satisfy then there is arrival of new needs (Zhao and et.al., 2016). This is ongoing process
and also each need are interlinked towards each other. In the context of Thomas Cook, the
hierarchy of needs are presented in a proper sequence which are as follows:
Basic Physiological needs: This need emphasises on satisfying the basic requirements of
human beings that includes food, shelter, air, clothing and many more as these are important for
the survival of human beings. These needs are significant and are regarded as the primary need
of motivation.
Safety and security needs: These needs are important for safety and security of humans as it
emphasise on job security, medical and vehicle insurance, pension and many more that provide
financial security and also it maintains a reasonable standard of living that create a good status of
an individual.
Social needs: These are also very important as human want someone in his life to whom it
can share thoughts or feelings and also eliminate loneliness, anger, stress and so on. A good
community and culture are necessary which reflects a true identity.
Esteem needs: This type of need can be earned thorough immense level of hard work which
includes competencies, self-confidence, gratitude and determine individual has achieve a
considerable amount of goodwill and a higher status in a society.
Self-actualisation needs: This is the final stage of Maslow’s theory as individual is thirsty of
knowledge and has high ambitions in its life. Also, human beings accept several challenges and
become successful through its hard work that help in reaching the targets in shorter time.
Use appropriate corporate examples in order to justify your stand
As per the view of Kimberlee Leonard 2019 management has a core part in business
enterprise as it has numerous functions such as planning, organising, directing, controlling and
monitoring the activities and emphasise mainly on achieving targets within a limited time. The
senior authority of Thomas Cook makes proper division of work among the subordinates so that
there is proper systematic working procedure in an organisation. This avoids duplication of
activities and make judicious use of resources which increase the productivity. The manager of
respective firm makes an appropriate planning and organise the work among the staff in such a
manner which leads to proper coordination in a workplace. In an era of globalisation, the
manager of Thomas Cook promotes internal changes in an organisation as it brings new and
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advanced technology and deliver efficient services to their customer so as to gain maximum
satisfaction. This also generates a positive reputation across the globe and aids in promoting of
goals in an effective manner. Moreover, the manager also controls and monitor the activities
through Enterprise Resource Planning that assist the firm in taking fast and appropriate
decisions.
Recommendations
There are several ways to improve the performance of employee so that they could
contribute major role and aids in attainment of business objectives. The leader of Thomas Cook
could conduct on the job training as it provides great learning opportunity to employees and
inculcate team spirit and openness in them. The top manager of respective firm also makes an
appropriate planning in advance and assign the task in a proper manner among the subordinates
as it ensures greater productivity and proper ability which in turn results in greater success in
future. The senior authority could provide more rewards and recognition among their employees
which enable them to work for high performance and result in an effective and efficient working
in an organisation. In addition to this, performance appraisal is another method that contribute
towards the success of an organisation and thus proper cooperation and implement the principle
of unity of command in a workplace. Moreover, the manager of concerned firm could invite the
ideas and suggestions of their subordinates and to make them preparing for promotions and
transfers which improves the overall performance of business.
REFERENCES
Books and Journals
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