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Description Of The UK Grocery Retailers Structure - Essay Example

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This essay describes the structure of one of the recognized international grocery retailers of United Kingdom - Tesco Plc which expanded its operations significantly in the entire globe in a very small time frame that amplified its reputation and total sale by a considerable extent…
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Description Of The UK Grocery Retailers Structure
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Describe the structure of an organization that you are familiar with (e.g. a previous employer, or a well known organization) with particular focus on its bureaucratic and post-bureaucratic features. Assess how these structural characteristics influence the ways that power and authority are used in the organisation. Table of Contents Table of Contents 2 Classical Organizational Theory (Administrative Management) 4 Weber’s and Michel’s Bureaucratic organizational theory 5 Human Relations theory 7 Management by Objectives 8 Human Resource Theory 9 Analysis 10 Conclusion and Recommendation 11 References 13 In this age of saturated domestic market scenario and extreme economic turmoil, the structure and internal traditions of an organization changed significantly. Type of structural and traditional transformations took place mainly to maintain a sustainable image and position in the market among other rival players. Moreover strict bureaucratic rules and regulations facilitate an organization to maintain its operations effectively. Such bureaucratic culture also helps in proper management and control of the human resources thereby amplifying their motivation and dedication towards work. As a result, the level of productivity and equity of the organization might get amplified that may prove extremely effective in retention of its popularity in the market among others. Thus, it might be clearly depicted that in order to maintain proper coordination among quality, quantity, time and activities of an organization, strict or bureaucratic structure is extremely essential (Sutherland & et . al, 2010). Similarly, type of bureaucratic and strict business structure or features is viewed within the organization of Tesco Plc. It is one of the recognised international grocery retailers of United Kingdom. Tesco Plc expanded its operations significantly in the entire globe in a very small time frame that amplified its reputation and total sale by a considerable extent (Stacey, 2012). It is mainly due to its strict organizational features implemented by the dominant leader or manager, Mr Philip Clarke. The leadership style of him not only enhanced the activities of the human resources but also amplified their coordination that helped the organization of Tesco Plc to attain optimum results in future age. Hence, it might be stated that bureaucratic and post bureaucratic features or traditions helped the organization of Tesco Plc to improve its market share in the entire globe (Ulrich, 1997). This essay is divided into five phrases mainly highlighting the importance and effectiveness of bureaucratic and post bureaucratic features or traditions with an organization. Along with this, it also includes various organizational theories such as classical organization theory (administrative management), human relation theory, modern theory of organization and many others in order to analyse the importance of bureaucratic characteristics. Other than this, it also discusses the ways by which the bureaucratic structural characteristics influence the power and authority of the organization of Tesco Plc. And a brief conclusion is also presented at the end of the essay. Classical Organizational Theory (Administrative Management) According to classical organizational theory, an organization is described as a social system or an association of employees or individual. It develops and expands, only if the workers or labours of the organization perform their duties in an appropriate way. This might facilitate the organization to improve its productivity in current and future days. However, growth and development of the organization offers significant impact over the progress of the employees as well. This means that, if the employees get motivated towards their assigned duties then their level of performance and rankings might get enhanced. Similarly, due to increased efforts, the image of the organization might also get amplified. Thus, it might be stated that organizational development is a two –way process (Ulrich, 1997). Apart from this, appropriate management and control of the activities and actions of the human resources is also extremely essential for the success of the organization. However, it might be possible only if proper division of work responsibilities among the workers of the organization (Tushman & Anderson, 2004). Only then, it might help the employees to perform their duties in an effective way thereby enhancing their inner motivation and confidence. As a result, the level of performance of the employees as well as the organization enhances resulting in amplification of its total output in the market among other existing contenders (Tidd & Bessant, 2005). Furthermore, rationality is also another essential aspect of administrative management of classical theory. This means, all the employees or the labours need to be maintained with uniformity and consistency so as to preserve equality within the organization. Only then, the employees might become inspired to offer high-level of dedication and commitment in order to fulfil the goals and objectives of the organization. Similar aspects or features might be viewed within the organization of Tesco Plc. The CEO of the organization, Mr. Philip Clarke also tried to divide the responsibilities of the work in an equal way so as to enhance positive results. Moreover, division of work according to the skills and talents of the employees also helped in enhancement of their level of confidence and morale thereby amplifying its performance. For example: in the organization of Tesco Plc, Mr Clarke implemented varied types of modern machines and technologies such as energy boards to the front-desk members, in order to enhance their output and skills. On the other hand, accounting staffs are offered with bar-code readers within the organization of Tesco Plc in order to amplify their performance. Thus, from the above mentioned paragraphs, it might clearly depicted that the organizational management of Tesco Plc tried to offer equal technologies and machineries to its employees so as to maintain uniformity or rationality among all. This is possible only due to strict decisions and opinions of Clarke. Hence, it might clearly depicted that bureaucratic features or strict decision making power of Mr Philip Clarke improved the competitive advantage of Tesco Plc in global perspectives. Weber’s and Michel’s Bureaucratic organizational theory According to Weber’s bureaucratic organizational theory, human behaviour is entirely based on the rules and regulations specified by the organizational hierarchy. This is because; if the duties and responsibilities assigned to the employees are not followed in accurate manner then their level of competency and inner skills may not get enhanced. As a consequence, their level of dedication and commitment to perform their duties might get reduced thereby hindering the productivity of the organization. Moreover, the level of self-esteem of the employees might also get reduced that may affect their performance and talents. Along with this, due to proper following of the policies and notions helps in enhancement of interpersonal relationships thereby reducing the intensity of conflicts or arguments (Sutherland & et. al. 2010). Consequently, a uniform culture might be maintained within the organization with diverse workforces. This is mainly due to the presence of a bureaucratic leader or manager within the organization, who acts as the prime decision maker in all aspects. Similarly scenario is seen n case of Tesco Plc. In this organization, Clarke is the main decision maker, and everyone is bound to follow him. In order to enhance the image of the organization of Tesco Plc, decided to reduce the impacts of green-houses from the society or economy of United Kingdom. However, in order to do so, Clarke decided to implement renewable energy lights of PIR (Passive Infra Red) and Led within the organization. After presenting a decision, every employee of the organization of Tesco Plc tried to obey his orders in order to reduce the carbon-footprints. By doing so, the organization enhanced its corporate social responsibilities over the societies that proved extremely beneficial for the organization in future era. Moreover, introduction of CHP units (combines heat and power units) also proved helpful for the organization of Tesco Plc. Thus, from these above mentioned examples, it might be clearly depicted that all the employees effectively obeyed the orders of the hierarchy or management, in order to achieve the goals or objectives of the organization in a collaborated way. Thus, it is a perfect example of bureaucratic organization that enhanced its position and identity in the market due to ideal business rules and regulations (Saks & et. al. 2010). Human Relations theory According to human relations theory, the performance of the organization is mainly present within the hands of the manager or leader. As he assists the workers in performing their duties efficiently and effectively thereby resolving various situational challenges. Along with this, the leader needs to be highly competent and intelligent so that he might become able to select the intelligent and experienced executives or staffs to perform various organizational duties in an effective way (Mabey & Lees, 2007). It might help to improve the operations as well as profit margins of the organization. This is because; intelligent and talented workers act as the catalyst that enhances the volume of operations and efficiency of the organization in this competitive market. Moreover, at time of crisis, these employees join hands with the leader to implement positive ideas and policies within the organization, so as to retain its portfolio. This also helps in enhancement of the interpersonal relationships thereby reducing the scope of clashes or attritions. Thus, proper human relation theory helps in enhancement of the scope of future development and growth of the organization among many other rival players (Sims, 1998). Similarly, within the organization of Tesco Plc, Clarke decided to reduce the carbon-footprints thereby amplifying the scope of CSR over the community (McKimm & Philips, 2009). However, in order to make a strategy successful, he decided to reduce the distance among the distribution centres and warehouses. By doing so, the indirect carbon footprints are also reduced and the interpersonal relationship among them became quite enhanced. This proved extremely beneficial for the organization of Tesco Plc in days of competitiveness or economic downturn (Von Stamm, 2008). Management by Objectives Management by Objectives is defined as a system or method in which all the hierarchical managers jointly identifies or evaluates the goals or objectives of an organization. They distribute the responsibilities of the duties evenly among the employees or staffs of the organization so as to accomplish them in an effective way. Moreover, on attainment of the desired results, varied types of rewards are also offered to the members of specific departments. Therefore, types of participative decision making or managing style, the managers or leaders always desire to future improvements of the organization (Loysk, 1996). However, in order to make it successful, proper planning and scheduling of the ideas and suggestions might take place, so as to reduce any sort of confusions. Along with this, all the managers and the higher authority members might take the initiative of attaining type of decision making in order to enhance the prosperity and position of the organization among others. Likewise, all the employees and staffs of the organization of Tesco Plc took the initiative to reduce the carbon-footprints thereby enhancing the corporate social responsibility over the community. They decided to work effectively with the lexan films implemented refrigerator cabinets. An initiative proved effective for the employees and the organization of Tesco Plc that amplified its scope of success. Moreover, the initiative of reducing the carbon footprints from the society improved the reliability and loyalty of the customers over the brand thereby boosting its recognition in the market among others. It also helped the organization of Tesco Plc to increase its range of customers, which is extremely essential for enhancing its competitiveness and sustainability (Cartwright, 2003). Therefore, from these points, it might be clearly revealed that the employees of Tesco Plc strictly follow the rules or decisions of the higher authority or CEO, Clarke. Thus, it might be depicted from the above paragraphs that coordinated efforts of both the employees and leader may only offer fruitful results in future era. Human Resource Theory According to theory, an initiative or idea might become successful only if it is mutually agreed by both the higher authority and the staffs of an organization. Only then, the objectives or goals of that initiative might get fulfilled effectively without any sort of conflicts or arguments. This is because; mutual conversation or communication is extremely essential for the employees and the higher authorities in order to enhance their level of relationships. Moreover, type of mutual communication may prove effective for the organization in enhancing its profitability thereby reducing various up-coming challenges (Max Weber & et. al. 1964). Similarly scenario is seen within the organization of Tesco Plc at the time of introduction of club-cards and special cards. Due to the introduction of these cards, the employees might attain special discounts on purchase from the stores of Tesco Plc (Barrow, 2003). It acted as a catalyst for the employees of Tesco Plc that enhanced their commitments towards work. As a result, the relationship among the members of the organization became highly enhanced with the leader or manager, Clarke that improved, organizational culture and image in the market (Green & et.al. 2012). Thus, the characteristic feature of high–involvement of Mr. Philip Clarke not only enhanced the level of coordination among the employees but also improved their motivation towards work. Hence, the above mentioned bureaucratic or post bureaucratic features of Clarke acts as the cornerstone for the organization of Tesco Plc thereby amplifying its brand value among others (Isaksen & Tiddy, 2006). Analysis In this age of stiff economic slump-down, centralization in decision-making is extremely essential for the success of an organization in the market among others. This is because; it might help the employees to follow the orders and rules of the organization in an effective way thereby amplifying its prosperity among other rival players (Henry, 1973). Moreover, such type of decision-making authority might amplify the coordination and communication among the members of the organization thereby reducing the rate of attrition to a certain extent. Thus, such type of characteristic feature is seen within the decision-making policy of the organization of Tesco Plc (Davenport, 2005). In Tesco Plc, only Mr. Philip Clarke comprised of the decision-making authority and each and every employee followed his decisions and rules in an effective way. Due to which the rate of interpersonal relationships and retention ratio of the employees enhanced that amplified its scope of success in this competitive world. Apart from this, proper discipline and equity is also witnessed within the employees of the organization of Tesco Plc. All of them comprised of a specific uniform and timings within the organization of Tesco Plc. This clearly shows the employees of Tesco Plc are highly disciple and obedient in nature (Beatty & Schneier, 1997). Moreover, within the organization of Tesco Plc, strictly a hierarchical structure or scalar chain is followed at the time of implementation of any rule or policy. This means, the idea is presented by the higher authority members to the lower staffs in a general meeting. In addition, each and every member is bound to devote their valuable time to accomplish the objective impersonally (Devoe, 1999). So that, the future goal of the organization might get accomplished thereby paving its path for success. As a result of which, the employees are entitled to varied types of incentives or bonuses along with their remunerations. This might improve the self esteem of the employees. Thus, the above points are some of the essential features of bureaucratic and post bureaucratic organizational culture or leader. After analysing and evaluating the above mentioned paragraphs, it might be clearly revealed that bureaucratic features highly affects the decision making power of the leader. As a result of which, only a single person is responsible for making varied types of decisions thereby enhancing the brand image and reputation of the organization. Similarly, in order to enhance corporate social responsibilities over the community, the CEO of Tesco Plc decided to implement HFC gases within the refrigerators so as to reduce carbon foot-prints. This decision is obeyed by all the employees of Tesco Plc as they are bound to do so (Beck, 2003). Moreover, as all the employees are highly involved with the leader, Mr. Philip Clarke, they had to obey all his orders. Implementation of the idea of ECOH (offering assistance to every customer) at the time of buying in order to enhance their shopping experience seemed risky for all at earlier days. However, later it proved effective for the organization of Tesco Plc thereby enhancing the reliability and trust of the customers towards the brand (Adair, 2010). Thus, the optimistic outlook and risk taking attitude are some of essential features of bureaucratic leaders, that proved extremely worthy for the organization of Tesco Plc. Hence bureaucratic or post bureaucratic features offer significant impact over the decision-making authority of the organization. Conclusion and Recommendation Conclusively, it might be stated bureaucratic leader like Philip Clarke is a perfect example of unconventional manager. This is because; he may tackle any sort of situational challenges with the help of sheer intelligence of optimistic outlook. Along with this, his high involvement attitude enhanced the dedication and motivation of the employees towards their assigned duties that easily fulfilled the final objective of the organization. Moreover, Clarke might very easily inspire his followers or employees towards his decision by his high tactical skills that enhanced his power and authority within the organization. Apart from this, due to his high confidence and determination power, Clarke may easily tackle organization conflicts or arguments thereby enhancing uniformity and consistency. Thus, strict administrative features of bureaucratic culture and strong decision making power help the organization of Tesco Plc to reduce its threats and increase its strengths. However, as per post bureaucratic organizational characteristics, specific job-related training programs are implemented to improve the skills of the employees. By doing so, not only the employees but also the leaders or managers might attain varied types of innovative information or facts. Along with this, varied types of inventive skills and techniques might also be implemented within the organization so as to enhance its brand value and identity in the market. Moreover, due to the implementation of such types of trainings, inner knowledge and talents of the employees gets amplified that may be used to improve organizational productivity. References Adair, J. 2010. Effective Motivation: How to Get the Best Results From Everyone. New York: Cengage Learning. Barrow, C. 2003. E-Training and Development: Training and Development 11.3. New York: Springer. Beatty, R. W. & Schneier, C. E. 1997. New human resource roles to impact organizational performance: From "partners" to "players". Boston: Harvard Business School Press. Beck, R, C. 2003. Motivation: Theories And Principles, 4/e. New York: Cengage Learning. Cartwright, R. 2003. Implementing a Training and Development Strategy: Training and Development 11.8. John Wiley & Sons. Davenport, T. H. 2005. Thinking for a living: How to get better performance and results from knowledge workers. Boston: Harvard Business School Press. Devoe, D. 1999. Managing a diverse workforce. SanMateo: InfoWorld Media Group. Green, K, A. & et.al. 2012. Diversity in the Workplace: Benefits, Challenges, and the Required Managerial Tools. [Online] Available at: https://edis.ifas.ufl.edu/pdffiles/HR/HR02200.pdf [Accessed on 11th December, 2013]. Henry, J. 1973. The Bureaucratization of the World. Berkeley: University of California Press. Isaksen, S. & Tiddy, J. 2006. Meeting the Innovation Challenge: Leadership for Transformation and growth. Chichester: Wiley. Loysk, Bob. 1996. Managing a changing workforce: Achieving outstanding service with today’s employees. Davie, FL: Workplace Trends Publishing. Mabey, C. & Lees, T. F. 2007. Management and Leadership Development. London: Sage. Max Weber & et. al. 1964. The Theory of Social and Economic Organization. New York: Free Press, 184–191. McKimm, J. & Philips, K. 2009. Leadership and Management in Integrated Services. London: Springer. Saks, M. A. & et. al. 2010. Managing Performance Through Training and Development. London: Sage. Sims, R. R. 1998. Reinventing Training and Development. New York: Springer. Stacey, R. D. 2012. Tools and Techniques of Leadership and Management: Meeting the Challenge of complexity. New York: Cengage Learning. Sutherland, V. S. & et . al. 2010. Organizational Stress Management: A Strategic Approach. London: Palgrave Macmillan. Tidd, J. & Bessant , J. 2005. “Managing Innovation: Integrating Technological, Market and Organizational Change” . Germany: JohnWiley & Sons. Tushman, M. L. & Anderson, P. 2004. Managing Strategic Innovation and Change. New York: Oxford University Press. Ulrich, D. 1997. Human resource champions: the next agenda for adding value and delivering results. Boston: Harvard Business School Press. Von Stamm, B. 2008. Managíng lnnovation, Design and Creativity. Chichester: Wiley. Read More
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