Organizational structure of the business Essay Example for Free

Organizational structure of the business Essay Businesses can take different approaches on the way they structure the organization of their business. The different types of structures include flat, matrix, and tall. These represent hierarchical, centralized and decentralized forms of organization. These different structures are used in different types of organization relating to the needs the business may require. In a tall structure there are many levels. People of different status within the business take each level. This is hierarchical. As the levels get higher in the structure, the power and responsibility usually increases. In a tall structured organization there would the top layer of the structure but many at the bottom represent few people. This structure would be used in a large business where there would be many members of staff, many groups under different supervision. This form of organization would cause there to be a lack of communication throughout the business as issues would be passed through the levels, supervisors to managers and may never reach the managing director. Elements like this in a tall structure could lead to a lack of control throughout the business. Flat is another style of organizational structure. This is still of a hierarchical form yet there is less layers in the business. This is more of a democratic approach as there is a smaller span of control throughout the organization. As there is less levels in the structure there is less separate sections of power. The reduction in the amount of layers means that communication throughout the business is greatly improved therefore the managing director has a greater level of control over the business as a whole. This would be used in a smaller business. It would consist of a managing director followed by possibly a number of directors then supervisors then staff in a hierarchical fashion. A matrix approach can also be used. This is constructed by the business itself. It can be a democratic, autocratic or lassiez-faire approach or a mixture of the three. Very large businesses, PLC or LTDs use this. As the business is so large a tall matrix would not be appropriate as there would be a lack of interaction and control of the business would not be great. To prevent this happening, Boots designed a structure of its own. These are known as matrix structures. Each level has independent managers and spans of control that do not lead up or down the hierarchy of the business. Each level has independent managers and line supervisors so they are self-contained. The local span of control is the responsibility of the line manager. To keep communication strong within the business there is a strong chain of command throughout the structure. This ensures that any problems; ideas or achievement are known throughout the business. This approach keeps communication and control strong, as although there are a great number of people within the structure it is easy to find out what is happening at present through the chain of commanding supervisors who are responsible at that level. The different sections of the business that are present within the matrix are   Boots the Chemist Wellbeing services   Supply and support services   Boots Healthcare international Each of these sections (levels) of the business has line managers and supervisors. These communicate through the chain of command through out the business. This gives a firm structure of a high level of control and interaction, which is within the best interests of the smooth running of the business. The diagram below shows the set out of the business and how the different sections relate to each other. Within these sections the directing and supervisory structure is set out like this throughout the business This is Richard Baker; he is the chief executive of Boots PLC. He does not work in a store but control along with Howard Dodd Paul Bateman the running nationwide of the Boots Empire. They have control over every structure in every store throughout the country from managers to floor workers however it is rare they interact with any one but senior staff in the department stores. Boots to maximize the benefits created the matrix structure. This shows that they have taken their own approach upon their business and changed with the times. Using a matrix structure as the business expanded to the size it is now has proved beneficial and reaches an objective. Boots aimed to Develop, modernize technology and strategies. Using the matrix structure has been a form of modernizing therefore reaching a set objective. Boots aim of globalization would need to lead from a base of a stable market in the UK business sector. To gain a stable grasp in the UK economy Boots needs a stable business. The matrix structure consisting of effective interaction through out the levels and a hold on control ensures that the business runs smoothly and is stable in doing so. This reaches the objective of taking a strong hold in the UK business field, which can lead, to greater expansion and globalization. Companies can survive at a steady pace without altering too much about the workings of the business. However to expand, as Boots wish to, some of the most beneficial ideas may come from staff low down in the hierarchical structure. It is for this reason that the matrix structure is extremely beneficial as communication and interaction is strong between the levels so ideas can quickly be picked up on along with problems. This benefits the performance of the business and issues are quickly picked up on. This also contributes to the working towards of the objective relevant to expansion and customer loyalty as both business and custom seek to gain return from the matrix structures benefits and overall performance of the business as a whole. The matrix structure has many advantages that would not be applicable if the organization structure was of another form. The chain of command within the business ensures that the communication within the different groups is regular and effective. Within the boots organization there are many different sections that deal with different aspects of the business. The seven sections within the Boots group deal with their specific part of the business whether it is the chemist, retail or health care. The specialization within the business is a great advantage to all concerned. The staff employed in each of the sections are special trained in that area. Specialization is a great advantage to the business as it means that jobs can be carried out informatively and effectively. As staff is specialized in their area they provide great customer service as they are well educated in the fields in which they work. Empowerment enables the staff within the different sections to have freedom to do tasks that they are delegated without supervisions. This increases moral and self-motivation, as the staff feels confident and independent within the business. High motivation increases staff productivity, which improves the performance of the business. The span of control within the individual areas of the business ensures that the business is smooth running and any problems that occur can be dealt with quickly and efficiently. This is an advantage, as problems do not have to travel into other areas of the business through the chain of command. The separate sections of the business are independent in the way they work. This ensures the business has high levels of control throughout the whole business in all sections and all can be accessed quickly through the chain of command. All these are advantages that help a great deal towards improving the performance of the business for the reasons listed. Communication within Boots There are many different types of communication that businesses can adopt. Different forms of communication are used in different situations within a business. The main types of communication that are used now a day revolve around ICT. ICT stands for Information Communication Technology. Communication is used everyday from the second a business opens in the morning till the second that it closes. With out communication a business would never reach its full potential or have the smooth operations it could achieve. Within a large business, like a PLC or LTD like boots communication is essential. Without communication different sections of the business would not operate well together and issues could quickly fall out of hand. Communication through the chain of command is so important in keeping a business afloat and operating efficiently. Good communication ensures that the business keeps control and the top of the hierarchical structure is aware, or can easily find out the major movements from day to day. Between departments and hierarchical levels communication links must be strong as decisions and movements are often made that effect other departments. There are many different types of communication method. The specific sectors include   Written   Non-verbal. Verbal   Electronic Face to face Each of these has specific areas in which it is of most benefit to use. Different types of communication are used dependant on the issue that is relevant, who is sending it, and who is receiving it. It is important that communication towards employees is regular and efficient. This is because employees need to be kept informed of the movement of the business in all aspects. If there is product alterations or price changes employees must be informed straight away so that no problems occur within the business. Also information about extra shifts, overtime, work hours and bonuses, especially over Christmas are very important in the smooth operation and motivation of the staff. Supervisors and managers are usually the ones who would communicate with the staff. There are many methods that could be used. Employees could be informed and communicated with by the use of notice boards. This is a cheap method, which means that everyone can see the information present. This is a good method if everyone is aware there is a notice to be seen. This could easily be ignored or not notice quickly however. Letters with the employees pay slips are a good method to use, as it is likely that a very high majority of the employees will read them. This is good if it can wait till payday for the notice to go out although still staff may not read them. A team meeting at the beginning of the day is a very efficient way of communicating with staff as issues can be raised and the employees can communicate also. This means that everyone can be informed and there are no excuses why staff ignores issues raised. Employees who have computers (not floor workers) such as administration areas and HRM can be communicated with many more forms of modern communication such as email and uses of the Intranet. Managers and supervisors need to be able to receive communication from higher up in the chain of command and also to be able to distribute down the chain. This is very important. Higher levels in the hierarchical structure need to be able to communicate regularly and efficiently in order to hold a strong level of control over the business and make alterations and give advice where necessary. It is very important this area of the business is easy to communicate with so that no time is wasted in trying to do so. Managers in the Boots organization have offices in individual branches and headquarters; some supervisors also have computer access. This enables Boots to provide computers for the staff that is a great benefit when it comes to communication. The use of computers means that these managers can be easily and quickly communicated with via the use of email, Intranet messaging and time tabled events that may be stored and altered on network software that is specific to the Boots store. Different forms of communication are used in different parts of the business depending on different factors. These factors determine the form of communication and approach taken. These are described below.   Formal   Informal   Important   Urgent   Optional   Open to all   Sent to a specific person   Person   Impersonal   Relaxed   Who its aimed towards   Who its from Confidential This all affect what type of communication are used in different situations within the business. The different categories that the forms of communication fall into are know as the channels of communication.

Banning Tobacco Essay -- Smoking Cigarettes Cigarette Smoker Smoke

Tobacco Tobacco has been around for many years, and it should be stopped, but can the economy handle it. The tobacco is reaching young children, and not to mention the nonsmokers as well. The medical effects alone should convince people to stop smoking. Even if the people wanted to quit, it's hard because they are already addicted. If the health doesn't stop people from smoking the cost should because this year the tax on tobacco has gone up dramatically. So now the cost is weakening our pockets. The only ones that win in the tobacco field are the Tobacco Company, because they make all the money. If profits fall, all they have to do is advertise a little harder and profits will roll in. But the Tobacco Company does employ a lot of people and is a huge part of the economy. There are a lot of smokers and rising, but today more then ever the smokers are the children. "By the age 18, about two-thirds of the young people in the United States have tried smoking."(Elders 1994) We must not let this happen, the kids are our future, and we should want the best for them, but this will help the tobacco company because "Most people are going to smoke are hooked by the time they are 20 years old."(Elders 1994) This will keep the young people from smoking for a long time. We must protect the children from smoking or we are put them in to an early grave. "Tobacco is estimated to have caused around three million deaths a year in the early 1990'a and rising."(Mccuen 1997) Pretty soon the smokers will get younger and young, we must save the children, or who will. Smokers are not the only ones that are effected by tobacco smoke. "Cigarettes don't only kill the smoker, they also kil... ...inors In Your Community, 1992, Stanford CRDP 5. Gold, Mark S. Tobacco, 1995, plenum 6. Hyde, Margaret O. Know About Smoking, 1990, New York 7. Kessler, David A. Smoking; Regulating Nicotine as a Drug be Necessary, 1995, San Diego 8. Mackenzie, Thomas D. Smoking; Smoking Should Be Regulated. 1995, San Diego 9. Marketguide (1996) http://www.marketguide.com/mgi/snap/7043N.html 10. McCuen, Gary E. Tobacco; People Profits and Public Health, 1997, Wisconsin 11. Pringle, Laurence. Smoking; A Risky Business, 1996. New York 12. Robertson, Brian. Smoking; Cigarette Tax Increase Would Be Harmful, 1995, San Diego 13. Waxman, Henry A. Smoking; Smoking Should Be Banned in Nonresidential Building, 1995, San Diego 14. Wilson, Catherine. The Orange County register; Secondhand smoke linked To more illnesses Health, 1997, Miami

Unit 21: Level 2 Btec Business, P1 + P2

Subject: Two different businesses in London. Procedure: I have visited da coca cola enterprise in Edmonton, Never the less I have also been to Ash’s cafe. Findings: Coca- Cola enterprise limited in Edmonton. Purpose: Framework defines what being the best means for CCE, and outlines the strategic priorities that will help us become the best so we can drive consistent, longterm, profitable growth. Strategic Priorities: Grow value of existing brands and expand our product portfolio responsibly, Transform our gotomarket model to improve efficiency and effectiveness and Attract, develop and retain a highly talented and diverse workforce.Values: Accountable: We do what we say we will do, Customerfocused: We succeed only when we exceed the expectations of our customers and Teamdriven: We win as a team, and do it the right way. Business model /ownership: The coca cola enterprise is a public limited company. Nevertheless the company sells shares to raise investment, and it is owned and controlled by the managing director and other employed staff to run the plant. The brand name of coca- cola is known globally- in most countries in the world including the United States of America and countries outside of Europe.Location of the business: The organisation of coca cola enterprise is located in Edmonton. Nevertheless it is located off the A406 which is situated off the Lee valley industrial estate. Sector of business: The sector of the coca cola enterprise is in the secondary and the tertiary sector. This is because; the factory buys raw materials from other companies such as sugar from Tate and Lyle and produces their beverages. Coca- Cola enterprise Edmonton also sells their products and offers a service to the customer in relation, to storage of the product and how best to market it.Size of the business: The size of coca cola enterprise in Edmonton is medium because, it employs approximately 226 staff, who works 9:00- 17:00 or shifts to keep the plants up run. Reta il channel: The coca cola enterprise in Edmonton is a bottling company. Nevertheless the retail channel is to allocate their products to other companies like supermarkets, warehouse, shops and other business. The appropriate of coca cola enterprise: It is a successful business and is running successful. It is appropriate because it is the only bottling factor in Edmonton. It is also suitable because it is it is on an industrial estate with other factories.

A CRITICAL EVALUATION OF CHALLENGES FACED BY MANAGERS IN THE PUBLIC SECTOR - Free Essay Example

Sample details Pages: 9 Words: 2717 Downloads: 10 Date added: 2017/06/26 Category Management Essay Type Analytical essay Did you like this example? There are different levels of management in the three different sectors of the economy. There are non-managerial employees, first-line managers, middle managers and the top managers. Robbins et al ;( 2009). This essay will critically evaluate the challenges faced by managers in the public sector organisations. The essay will assess the roles of the manager in this sector and the difficulties managers encounter whilst carrying out their duties. The challenges posed by organisational structure and design with an example from the Northampton Borough Council, the issues due to the organisational culture, privatisation of some of the public sector services, the strategic management of the public sector and the complexities due to the constant changing environment in which these organisations operate, and the challenges to managers of the most recent comprehensive budget cuts, will be evaluated in this essay. The typical roles of a manager in any organisation is to organise, lead, plan and control the activities of the people and other resources within it towards achieving the objectives of that organisation; Naylor (2004). The role a manager plays is dependent on the level of management position although each level has its challenges. At the senior level, the managers role is much broader and in depth and it requires creativity and innovativeness; Robbins et al (2009). The senior manager is involved in decision making, strategic management planning and control, the manager, at this level of management is expected to have an understanding of all areas of the organisation to enable sensible handling of any given situation Hanagan;(2008). The role of the manager did not change in the 21st century rather the method of carrying out the above mentioned roles are different, for instance the manager has to organise work differently, communication is more sophisticated such as, the use of internet, mobile telephones and e-mail. In recent times, the manageme nt of change is considered as the most important skill of management due to the pace of change in the 21st century Hanagan, (2008).The rapid changes in technology, enormous improvements in communication, the increase in focus on global economy, and the environment are issues to the modern day manager. In addition to the above, the role of the manager in the public sector is challenged by the constant changes in legislation and political policies subject to government in power Hanagan (2008). An organisation is an arrangement which has been set up for a particular purpose. Robbins et al (2009). Different organisations belong to different sectors of the economy. There are three sectors; the public, the private and the third sector such as social enterprises. This three sectors have some common characteristics which are: they all have distinct purpose, each organisation is made up of people, and all create a structure within which the people could carry out their duties Robbins et a l(2009). Organisations are grouped as public sector depending on certain factors such as; how much the organisation competes with similar organisations, goods and services are charged indirectly and how much it allows itself to be influenced by demand and supply of goods and services. The less such organisations are influenced by the above factors the more the organisations are considered as public sector organisations Hanagan (2008). Instances of these organisations are; Local Government council, Libraries, the National Police Force, the Defence Ministry, Colleges and Universities. The common features of these organisations are; they are set up to fulfil specific purposes, they are service motivated, they are accountable to many stakeholders and the public, they carry out their duties for the good of the people and they are funded through the use of taxpayers money. Avery important challenge to a manager whether in the public sector or in the private sector is to be aware of the ir relevant stakeholders and operate the organisation in ways which will yield maximum returns to each stakeholder group Bloisi et al (2007). The public sector organisation has a centralised organisational structure whereby authority and decision making is made at the senior managerial level. Organisational structure is a connected arrangement of positions and work units through which the important tasks of an organisation are subdivided and categorised to form decision centres from where the strategic plans of the organisation are carried out Bloisi et al (2007). Most of these organisations have a Matrix design structure which enables double responsibility and reporting roles with particular projects. Bloisi et al (2007). The managers in the matrix organisation are challenged by the constant need to resolve conflicts due to differences in perspectives and priority Bloisi et al (2007). For instance, the organisational structure of the Northampton Borough Council has over five man agerial levels of management. According to Nicole Macdonald, a HR Manager Strategy with the council, one of the challenges they have is getting approval to carry out plans as quickly as possible. The council has about forty-seven councillors through whom decisions are made. These councillors represent different political fronts. Sometimes it is difficult to reach a consensus on certain issues and therefore arriving at a decision is elongated said, Cassie Triggs, a Democratic Chief Executive Services Manager at the Northampton Borough Council. The manager in the private sector will in relation to their organisational structure which is much flatter be able to arrive at a decision much quicker. Private sector organisational structures are designed to embrace the pace of changes in technology and also to survive. Flatter structure allows for incorporation of ideas from almost every employee in the organisation Bloisi et al (2007). The manager in the private sector will be challenge d by how to control an employee who is working from home and coming to the place of work only one day in a working week Naylor (2004). Included in the challenges encountered by managers in the public sector are challenges due to the cultural beliefs of the organisation. Organisational culture is the way we do things around here Robbins et al (2009). According to Meek (1988), organisational culture could be used as a means to find out how people behave in a complex setting Hanagan, (2008). Organisational culture can be something abstract or peoples perception and experience within an organised setting. According to Stacey, the culture of any group of people is that set of beliefs, customs, practices and ways of thinking that they have come to share with each other through being and working together. Hanagan (2008). According to Handy, there are four major types of organisational cultures; the power culture in which the power and authority is from one person in a central position, the role culture which is labelled as a bureaucracy where the role of the individual specialists are more important than position and power, the task culture is about the activity which is being carried out and lastly the person culture which focuses more on what individuals do in a particular setting Mullins (2005). The challenge of managing cultural change in a public sector organisation will depend on how strong the existing culture is and the weight of the proposed change Hanagan (2008).The difficulty is in bringing about the change. For instance the Further and Higher Education Act which made colleges and higher education in England to become Corporate Bodies Limited by Guarantee indicates that organisational culture can be overtaken by accountability to more prominent stakeholders as the organisation would want to survive Hanagan (2008). The challenge is even more where there is existence of subcultures within the organisation. For decades, Public organisations have been ma naged by people who have been raised into managerial positions through years of service to the organisation, for instance; football clubs were managed by ex-footballers, and schools were managed by former teachers, local government council by people who were promoted through long years of service Hanagan (2008). There are difficulties faced by managers moving from the private sector to the public sector. The manager from the private sector is more focused on profits and accounting to shareholders, decision making is simplified, there is much flexibility and autonomy, there is power and authority attached therefore, the challenge to the private sector manager moving into the public sector will be changing the profit making, quick decision making mindset, there is less power and authority, no flexibility and autonomy Hanagan (2008). These challenges are not without approaches with which the managers could use to minimise them. For instance, the managers could use the recruitment pr ocess to recruit people who will fit into the existing culture, by the method of questioning they are made aware of what is important in the organisation, the induction process, promotion policy, training and development Hanagan (2008). Following the challenges posed by organisational structure, design and culture, are the challenges which managers face with the move of the UK government in the 1980s to privatise some of the services of the public sector when they realised that the costs of providing services were becoming too much, costs were weighing much on National budgets and the motive to make public sector organisations to work more effectively and efficiently Hanagan (2008). The move gave rise to such contractual arrangements as the Public Private Partnership (PPP) and the London underground contractual arrangement which came from a simpler Private Finance Initiative (PFI) which was set up to establish contracts between the local authority controlled London Underground an d Tubelines and Metronet Hanagan (2008). Privatisation as defined by Bryan Hurl (1992), is the sale of government owned equity in nationalised industries or other commercial enterprises, to private investors with or without the loss of government control of the organisation. There are three methods which have been used by the government, these are; denationalisation which is the sale of public sector assets, deregulation which is removal of barriers to entry to a previously protected market to allow private enterprises to compete and franchising whereby the public sector provides the finance and the private sector provide the services Hurl (1992). One of the key principles of managing resources to deliver better services is by setting up strong partnerships which means that various departments of the public sector are relying on other public, private and third sector to deliver public services, these organisations, most of the time may have better expertise and better underst anding of the needs of the citizens Bourn (2003, p26). The increasing difficulty with which public services are delivered is a challenge. According to the National Audit Office, delivery of public services are no longer the duty of a single department for instance, different organisations are involved in provision of criminal justice such as the police, the crown prosecution service, the forensic Science service and the courts. Changes in economic conditions and unforeseen circumstances could place much demand for public services, for instance, the sudden rise in unemployment during the most recent inflationary period. The volume and value of benefits payment made by the job centre plus or the unexpected foot and mouth disease and its effect to the public requires a good resource management Bourn (2003 p18). Some of the services provided by the public sector organisations are; Defence by the Army, Public Health by the NHS, Direct service delivery agencies which handle payments of benefits, issuing of prescriptions and National insurance numbers, processing of student loans, access to heritage, museums and galleries, developing frameworks for other service providers such as regulation of educational standards, teacher training and social housing, promotion of business opportunities abroad, transport integration, purchasing information technology systems and professional services and others. The challenge to the manager is the ability to coordinate and monitor the different service chains involved in the delivery of public services and also the difficulty in ensuring that resources are channelled appropriately to the provision of the most required service Bourn (2003 p.20) . Strategic thinking, planning and continuous are important in every organisation Bloisi et al (2007). Strategic thinking means being able as a manager to device ways to balance both the human, technical and the limited resources of the organisation and the environmental forces Blois i et al (2007). The public sector manager has no power and authority, no autonomy and flexibility and therefore may not have as much influence in the decision making as their counterpart in the private sector Hanagan (2008). Strategic management is used in the public sector to find out schedules of activities in the sector which fit into the political agendas taking into consideration the politicians who might be looking for quick returns which they can point to as their successes and achievements Hanagan (2008). This means that the strategic planning has to be short term. There is lack of clarity in relation to what the manager is trying to achieve. There is the constant challenge to the manager in the public sector as to whether you are trying to fulfil your statutory obligation, please the politicians, follow the directions of the board or the people for whom the services were meant for. The manager in the public sector is challenged as he cannot change or alter the system. Th ere are too many stakeholders, interest groups to satisfy in the public sector therefore the manager in this sector has to device different kinds of ways to deliver information to the different groups in the public who believes they have a stake in the public sector, such methods are through, governing bodies, advisory committees, taskforces, public meetings and public announcements Hanagan (2008). The manager in the private sector uses strategic management to review actions, slow down processes and hence make changes where necessary, the manager in the private sector has a profit making mindset and therefore considers product viability, the private sector manager has power and authority, flexibility and autonomy and therefore decision making is quicker. The private sector manager is accountable to shareholders Bloisi et al (2007). The public sector is funded by the government and the managers are accountable to whichever ruling political party at any given time. According to the National Audit Office, before the 1998 public service agreements, different departments were funded annually with some exception such as the Department of Health, so there was uncertainty as to whether funding will be the same as the previous year or reduced or increased. This was a challenge to managers as there was no certainty with the flow of funds to make long term plans as the private sector with assurance of long term financing. The agreement was set out with the awareness of the aims, ideals and targets of the various departments Bourn (2003 p.20). Assessed so far are internal factors which challenge managers in the public sector however there are certain external factors which managers have to contend with as well. Some of these are; the speed of technology which has affected every process in organisations irrespective of sector, the force of competing interests who are not ordinary rivals to gain customers but those seeking for resources and those trying to make their points to be heard and the fluctuations in social behaviour which starts with movements in peoples expectations and values Bloisi et al (2007). Finally, managers are currently facing challenges due to the recent comprehensive budget cut. There is greater demand for services however there are fewer resources to meet demand. It is morally challenging to managers to prioritize who to help and who not to In conclusion, Suggested approaches from management science which could alleviate some of the challenges are; the systems approach and contingency approach. With systems approach, managers could discuss their departmental needs in terms of the general organisational requirement. The use of this approach requires open communication and the removal of barriers between the individual departments, also the approach shows management consideration of all the systems involved, synergy that is the whole is greater than the sum of its parts, open and closed systems, limits, movements of information, materials and feedback through which the manager could monitor and evaluate progress reports Hanagan (2008). The second recommended approach is the contingency approach. This approach says that different problems requires different ways of solving them it all depends on how much experience the manager has because what might work well in one situation may not work well in another situation Hanagan (2008). Application of this approach requires that the manager recognises several view points, one of which is the pragmatic view point. Pragmatic viewpoint says that no approach is generally acceptable which means that the manager has to check the motives for every action taken for instance, the services being delivered, the availability of equipment required and also the internal and external environment Hanagan (2008). Don’t waste time! Our writers will create an original "A CRITICAL EVALUATION OF CHALLENGES FACED BY MANAGERS IN THE PUBLIC SECTOR" essay for you Create order