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Case discussion activity for Topic 9
In the given case study, Renate Schmidt has been faced with a management problem which deals with the compensation of the newly appointed expatriate (Baker, 2017). The case study has various managerial threats for the firm whereby the compensation which will be offered to Anne is more than what is paid to the head of the organization and hence, Renate believes that she will be required to adjust the pay but as Anne will be leaving the job in America and hence, will be required to be compensated in that case.
The answer to Question 1
The different conflicting values in the case study:
Conflicting management values can be rightfully described as the presence of certain factors which tend to have an extensive impact on the functioning of a firm. The values in the case are as follows:
1. The efficiency of the expatriate:Anne has been a crucial candidate for the job positioning at the firm and has single-handedly looked after various ventures of her prior companies which makes her even more suitable for her previous organization (Kramar et al., 2014). Engaging in this, the organization will be successfully able to ensure success and hence, her recruitment is crucial.
2. The problem with the other employees: The primary problem with the other employees is that they believe that the pay system is unfair in nature and that the new expatriates are being paid more than themselves which demotivates them and hence, affects the performance of the employees.
3. The different costs associated: With the extra pay there are a large number of costs associated with the organization and hence, this has an impact on the profitability of the organization (Youtube.com. ,2018).
The answer to Question 2
Advice to Renate
After analyzing the case study the following advice can be given to Renate:
Research deeper: She needs to have a solid research background for the case of Anne and her compensation package is required to be prepared based on comparison with the other organizations which shall thereby assist her to ensure success in the long run (Schermerhorn, 2016). With respect to this it is very important that Renate considers the case study of other related organizations and forms a research on the same.
Undertake a cost benefit analysis: As the pay being given to Anne is very high, Renate is required to see to it that the organization conducts an efficient cost benefit analysis which will be discussing the pros as well as cons of the employment and the benefits she will be providing to the organization.
Engage in a conversation with the CEO for a fair pay system: The unequal pay system needs to be removed at present and thus for this reason, Renate needs to discuss the issue with the CEO in order to ensure success.
The answer to Question 3
The management competencies which are important in the VUCA world are as follows:
1. Cross-cultural awareness: The managers are required to be cross culturally aware in a multinational firm so that they are easily able to ensure success for the firm.
2. Legal knowledge: Secondly the managers are required to possess legal knowledge about the organization which shall then enable them to successfully decide on the salary structure of the firm.
3. Conflict resolution: The third competency is that the manager must possess the capability of a conflict resolution which will go a long way in ensuring success for the organization.
4. Decision making: Lastly in a VUCA setup the managers are required to possess adequate decision making skills.
Case discussion activity for Topic 10
From the given case study of the Parivar organization, it can be rightfully stated that the main problem with the firm is the clash of culture which takes place. It can be rightfully witnessed in the case study that the organization is being managed by people who belong to different mindsets and the direct impact of this can be witnessed in the high turnover rate.
The given case study states the organizational structure can be described to be hierarchical in nature whereby the division between the top management and the lower level employed people can be stated to be quite large and the newer employees benefits are allotted the different mentors from the upper level of the organization which makes the culture associated with a love culture (Schermerhorn, 2016). According to me, as the company is based in India, its organizational culture has been greatly influenced by the culture of the country and due to this reason, there have been considerable clashes among the mindset of the different members as the country has been progressing considerably.
The answerto Question 1
The different conflicting values as present in the case study with respect to organizational design are as follows:
The culture of the organization: The culture of Parivar is quite paternalistic which acts as one of the biggest conflicting values as present in the organization. The new employees prefer a culture which is competitive and provides them with a greater advantage at large, with higher salaries (Mohrman & Lawler, 2014). However, the mentorship culture of the organization is believed to have restricted the different employees and acts as a conflicting culture.
The thought process of various board members: The thought process of the different board members is quite different from one another and it is due to this reason that the conflict arises. The members are not supportive of the People program and hence, this has led to different arguments.
The positioning of the company: The positioning of the firm in the market has been quite lower than expected as compared to competitor firms and hence, this acts as a conflicting value.
The answer to Question 2
Advice to Sudhir
After reading the case study, the following advice can be provided to Sudhir
Letting loose of the culture: Sudhir needs to let go of the love culture. From the beginning of the case study, Sudhir has been very consistent about the success of his love culture even though the turnover rate of the organization has reached to a rate of 35%. Hence, to bring about any change it is suggested that he lets go of this culture component (McGregor & Doshi, 2015).
Encouraging the People support program: As stated by the different experts, the People support program is quite good and helps the existing employees to find some relief with respect to work pressure (Youtube.com. ,2018). Hence, it is very important that the program continues which will then go a long way in assisting the firm`s success.
Increasing compensation: The compensation of the organization needs to increase considerably and at par with the competitors of the firm.
The answer to Question 3
It is advised that as per the retention rate it can be stated that the hierarchical culture of the firm has not been working well for the organization and thus for this reason, the organization will be benefiting more in a case it applies a flat structure with all the employees at par and no mentorship program.
1. Baker, T. (2017). How can we solve the problem of harmful organising structures? Retrieved from http://www.hrmonline.com.au/social-media/solve-harmful-organisingstructures/
2. Kramar, Bartram, DeCieri, Noe, Hollenbeck, Gerhart, Wright (2014). Human resource management in Australia - Strategy, people, performance(5th ed., pp. 6-12. ). North Ryde, NSW: McGraw-Hill.
3. McGregor, L., & Doshi, N. (2015). How company culture affects employee motivation. Harvard Business Review Digital Articles, 2-9.
4. Mohrman, S., & Lawler, E. E. (2014). Designing organizations for sustainable effectiveness: A new paradigm for organizations and academic researchers. Journal of Organizational Effectiveness: People and Performance, 1(1), 14-34.
5. Schermerhorn, J. R. (2016). Computer Network structures. Management (6th Asia-Pacific ed., pp. 276-292) [Wiley]. Retrieved from https://ebookcentral-proquestcom.ezproxy.csu.edu.au/lib/CSUAU/detail.action?docID=4748100.
6. Schermerhorn, J. R. (2016). Organising as a management function. Management (6th Asia-Pacific ed., p. 279) [Wiley]. Retrieved from https://ebookcentral-proquestcom.ezproxy.csu.edu.au/lib/CSUAU/detail.action?docID=4748100.
7. Youtube.com. (2018). `Topic 10 Designing organisations [the parts, and how and why they fit together] (YouTube) | Available at: https://youtu.be/KDfvESEESUI (Accessed on 26 Sept.2018)
8. Youtube.com. (2018). `Topic 9 Managing people [hands, hearts and minds] (YouTube) | Available at: https://youtu.be/TcrwII6gbTU (Accessed on 26 Sept.2018