One of the key roles of organizational management is to manage human resources. The effectiveness of organizational leaders in managing and leading people has a significant influence on overall performance. Among the key aspects of human resources that influence their performance and the performance of an organization is human behavior. Precisely, the behavior of workers influences their level of commitment to work. At the same time, the behavior of workers is influenced by various factors, some of which can be managed by organizational leaders (Betz, 2010, p. 5). This paper explores the impact of various factors on human behaviors and the ultimate impact on the performance of Faboil Ltd., an organization that produces and sells biotechnological products. In particular, the paper explores the impact of the relationship between the company’s structure and culture. Secondly, the paper explores the existing approaches to leadership and management at Faboil. Further, the paper examines how motivational theories apply in the case of Faboil. Lastly, the paper proposes mechanisms for developing and enhancing effectiveness of teamwork in Faboil.

P1. Relationship between Faboil’s Structure and its Culture

P1.1 Contrasts in different organizational structures and cultures of Faboil

Organizational structure entails the manner in which supervision, coordination and allocation of tasks is carried out in order to achieve specific organizational goals. Organizational structure influences the manner in which responsibilities and functions are allocated to individuals, workgroups, departments and branches. It encompasses the design or arrangement through which power, authority and responsibilities are passed down an established chain of command and how communication takes place down the command (Ivancevich, Konopaske & Matteson, 2013, p. 17). On the other hand, organizational culture entails the overall human behaviors and the meaning attached by internal stakeholders attach to those behaviors (Nguyen & Mohamed, 2011, p. 211). Precisely, organizational culture encompasses the collective principles, beliefs and values held by members of a given organization. An organization can have sub-cultures and different structures within the main culture and structure.

Faboil’s management adopts a tall and wide management structure. This is a type of organizational structure in which the manager has many sub-co-ordinates (Ivancevich et al., 2013, p. 17). Dr. Brownlow is the manager of Faboil and under him are sub-coordinates who are in charge of different departments, such as Cranberry, Frame, Smythe and Windows. This structure can also be regarded as paternal structure in the case of Faboil. Also, Faboil can also be said to have a matrix management structure. This is a structure in which management is organized by tasks (Ivancevich et al., 2013, p. 17). At Faboil, each sub-coordinate who operates under the general manager is in charge of a specific department that is assigned specific tasks. For instance, Smythe is in charge of sales and marketing, while Windows is in charge of financial department. The most evident type of culture in Faboil is power culture. Power culture is one in which power is centralized and occurs in organizations with one centralized decision-maker (Nguyen & Mohamed, 2011, p. 212). Dr. Brownlow is the key decision-maker in Faboil. In the case of Faboil, the existing main culture can also be regarded as paternal culture. Recently, Frame and Smythe have been propagating a task culture, in which a project team leads team members to complete specific tasks. Cranberry has been propagating role culture, in which each individual in a department is assigned a specific role to complete (Nguyen & Mohamed, 2011, p. 211).

 

 

P1.2 How the relationship between paternal structure and culture can impact on the performance of Faboil

An organization’s structure and culture act as its backbone and influence the strategies and concepts adopted by an organization to achieve goals and objectives. The relationship between the two elements can influence the performance of an organization positively or negatively (Staw, 2010, p. 123). As noted earlier, Faboil has paternal structure and culture. The structure of senior management in Faboil is presented in the Appendix. The paternal structure can enhance the progress of Faboil only if the key decision-maker, Dr. Brownlow, utilizes his power well. Firstly, paternal structure and culture opens chances for quick-decision-making since there is one key decision-maker. Secondly, paternal structure and culture can enhance satisfaction of the workers if the key decision-maker protects them from exploitation by sub-coordinators. There can be improved morale among the workers due to quick feedback that is given by the key decision-maker.  Paternal structure and power usually cultivates loyalty and trust among the workers, leading to lower rates of absenteeism and turnover (Staw, 2010, p. 124). However, paternal culture and structure can have negative impact on progress of Faboil if the paternal leader, Dr. Brownlow, is not effective and efficient in carrying out his role or if he misuses his power.  For instance, workers can be demoralized if Dr. Brownlow favors some employees. Also, there is a problem of lack of close connection between the key decision-maker and the employees in such structure, which can lead to a reduction in the level of morale. It is difficult for the key decision-maker to understand what takes place daily in different departments and thus, he/she may not quickly learn the problems faced by the workers (Betz, 2010, p. 66). This is evident in the case of Carole, who experiences work overload and stress without Dr. Brownlow learning about it. Such issues are likely to hinder the performance of the employees and ultimately, the progress of Faboil.

P1.3 Factors influencing individual working behaviors at Faboil

One of key factors that influence individual working behaviors at Faboil is leadership.  As Northouse (2013, p. 54) explains, the kind of leadership adopted by leader in an organization may motivate workers to improve their performance or de-motivate them.  Leaders who dictate to the employees de-motivate workers. On the other hand, leaders who listen to the concerns of the employees and involve them in decision-making encourage them to improve their performance. A leader who motivates workers to improve their performance adopts strategies that make them feel that they are valued. At Faboil, the leaders who have direct contact with the workers have the most significant impact on working behaviors. Initially, Judith Smyth and Brenda Frame adopted a leadership style that involved workers following strict rules, without contributing to decision-making process. This kind of leadership discouraged workers and hence, their level of productivity was low. After attending management training courses, the two leaders changed style of leadership and adopted a participative leadership style. They started showing workers that they are valued and invited then to make decisions. As a result, the workers started showing enthusiasm and improved their performance. Another leader, Cranberry, still requires workers to follow rules without contributing to decision-making process. This explains why there is low productivity in his department and rampant conflicts between workers.

The second important factor that influences working behaviors at Faboil is work culture. Work culture covers all relationship elements between members of working teams (Northouse, 2013, p. 55).  At Faboil, work productivity and quality is high in departments where relationships, collaboration and communication between team members is effective, such as the departments headed by Smythe and Frame. On the other hand, work productivity is low and relationship between workers is poor in the department headed by Richard because of a work culture that discourages effective communication, relationship between team members and collaboration. Further, working behavior among workers at Faboil is influenced by personal and family life. For instance, Joanne is not available to take extra work because she attends Golf matches. Ian is not willing to work extra time because he has a young family that needs to be taken to evening activities. Further, working behavior at Faboil is influenced by Job responsibilities assigned to the workers. For instance, Carole is discouraged from working due to too much work that is assigned to her.

P2 Approaches to management and leadership at Faboil

P2.1 Effectiveness of different management styles of Dr. Brownlow and Richard Cranberry

As Rost (2009, p. 117) notes, different styles of leadership have different implications on the performance of workers and overall organizational performance. As noted earlier, Dr. Brownlow adopts a paternalistic leadership style. In this leadership style, a male figure leads an organization and plays the role of a father. In particular, the leader makes all the key decisions and gives protection to subordinates in the same manner that a parent does to children. In return, the workers are expected to show royalty and trust to the paternal leader. The workers are required to strictly follow the directions of the paternal leader. As such, this kind of leadership has some dictatorial elements. The main advantage of the kind of leadership adopted by Dr. Brownlow, as noted earlier, is that the leader easily solves problems facing the workers and the subordinates are hardly mistreated by other leaders (Rost, 2009, p. 118). Also, the workers live and solve problems facing them like family members do, both within and outside the organization. As well, interests of the employees are taken into account during decision-making. However, leadership problems are likely to arise if the paternalistic leader departs from an organization (Rost, 2009, p. 118).

On the other hand, Cranberry adopts a task-oriented form of leadership. In this type of leadership, the leader directs the workers to follow strict rules and regulations. Most significantly, the leader requires workers to focus on getting the assigned jobs and ensure that there are done within the given time. Just like Cranberry in Faboil, a task-oriented leader focuses on defining the obligations of each worker and supervising them to make sure the expected end-outcome is achieved (Rost, 2009, p. 112). This type of leadership is effective only in cases where there are short-term tasks to be completed in a project and no repetition of similar tasks. Task-oriented leadership has several flaws, as observed in the case of Faboil. Firstly, the leader is hardly concerned with the social wellbeing and health of the workers. As such, workers are hardly motivated. This is evident in Faboil in the case of Ian and Joanne. As in the case of Carole in Faboil, task-oriented leadership may leader to over-burdening of the workers (Rost, 2009, p. 113).

P2.2 How organizational theory underpins the practice of management at Faboil

Organizational theory is a body of knowledge that focuses on various organizational concepts and aspects, such as human behavior, management, the relationship of an organization with external environment, organizational culture, organizational change, organizational structure and organizational designs (Ramsey, 2011, p. 57). Organizational theory provides guidance on how various organizational activities and practices should be carried out. Organizational theory supports some of the management practices and activities carried out at Faboil. According to the manager’s role theory developed by Henry mintz berg, an effective manager should be able to carry out effective decision roles in a way that enhances organizational progress (Ullman, 2006, p. 119). Dr. Brownlow plays the role of making key decisions at Faboil. In the past, he has led the organization in making key entrepreneurial decisions, such as developing of the company’s product range. Also, Dr. Brownlow has been leading in making key resource-allocation decisions such as appointing senior managers. According to the theory, the general manager cannot make all management decisions alone and thus, he/she needs to delegate authority to others who act as assistants. Similarly, Dr. Brownlow delegates power to senior managers, despite the fact that he makes key decisions. Fayal’s theory explains the key roles of management, namely, coordinating, controlling, planning, organizing and commanding (Ullman, 2006, p. 119). Dr. Brownlow and senior managers carry out the functions of management described in Fayal’s theory. According to motivational theory, organizational leaders should adopt leadership styles that empower and enhance satisfaction and enthusiasm of the workers. Doing so enhances their performance and ultimately, the performance of the overall organization (Ullman, 2006, p. 120). Dr. After undertaking management training, Frame and Smythe adopt a participative approach in leading members of their teams. In doing so, they enhance motivation, enthusiasm and productivity of the team members.

P2.3 The different approaches to management used by various managers at Faboil

Different managers at Faboil adopt different approaches to management. Dr. Brownlow adopts social system approach. In this management approach, the manager focuses on understanding the behaviors of individuals and groups within an organization. The manager enhances a single cultural relationship among all individuals, groups and systems within an organization (Werner & DeSimone, 2009, p. 215). Dr. Brownlow supports a single cultural relationship within Faboil; individuals and groups of workers live like one family.  Further, all individuals and groups are required to work hard towards meeting specific goals and objectives. At Faboil, workers in each department are required to meet specific goals and objectives that are well laid out. Just like Dr. Brownlow does, the manager focuses on the interests of all parties within an organization. On the other hand, Brenda and Judith adopt a human behavioral approach after training. In this type of leadership, the manager applies knowledge of organizational behavior in managing people. The manager views the performance of an organization as being mainly influenced by the behavior of the subjects. In this regard, the manager focuses on understanding and managing interpersonal relationship behaviors, as well as group behaviors. The leader applies psychology and sociology in understanding and managing the behaviors of subjects. The manager participates in tasks carried out by workers and involves the subjects in decision-making processes. This management approach enhances human relations, motivation and productivity in an organization. Worker’s motivation, human relations and productivity increased in departments headed by Brenda and Judith after applying this approach. Cranberry and Windows adopt a mathematical approach to management. In this approach, a manager perceives an organization as a logical entity and mainly focuses on measurable data and mathematical symbols. The main focus of a manager is the work being done and management variables are quantified (Werner & DeSimone, 2009, p. 217).

P3 Applying motivational theories at Faboil

P3.1 The impact of different leadership styles on motivation in Faboil in periods of change

Different leadership styles have different impacts on the motivation or Faboil’s workers in periods of change. The paternalistic approach adopted by Dr. Brownlow may motivate workers to adopt change if the workers are well informed about the benefits of the change. However, as noted earlier, paternalistic approach usually leads to low level of motivation because of lack of involvement of workers in the decision-.making process (Pierce & Newstrom, 2011, p. 24). Also, low motivation may occur in case the change favors some workers or has a negative impact on some or all workers. The task-oriented leadership style adopted by Cranberry fails to give consideration to the social, psychological and physical wellbeing of the workers. Also, there is lack of adequate and effective communication between the leader and the workers. Most significantly, the views and opinions of workers are not included in decision-making processes. As a result, task-oriented approach leads to low level of motivation among workers, and hence, low level of support for change (Pierce & Newstrom, 2011, p. 25). Before attending training, Judith and Brenda adopted an autocratic leadership style, which involves giving orders to workers and directing them to complete tasks within set time limits. The leader applies authority over the subjects. In this style of leadership, workers are not involved in decision-making at all and their views and perceptions are not considered. Consequently, workers are not motivated (Pierce & Newstrom, 2011, p. 27). Workers hardly support change in this kind of leadership unless they are aware that it will be beneficial to them. After attending training courses Brenda and Judith adopted participative leadership styles. In this style of leadership, the leaders involve workers in decision-making processes throughout and during periods of change. Consequently, the workers feel as if they own the change. They are thus motivated to support it. Another form of leadership that can be adopted in the organization is bureaucratic leadership. In this style of leadership, workers usually follow strict rules and regulations and hardly participate in decisions that lead to change. For this reason, workers are hardly motivated to adopt and support change (Pierce & Newstrom, 2011, p. 23).

P3.2 The application of different motivational theories within Faboil

There are several motivational theories that are applicable in the case of Faboil. One of the key motivational theories is the hierarchy of needs theory proposed in 1943 by Abraham Maslow. Maslow proposed that human motivation emanates from the drive to satisfy specific needs that are grouped in five categories. The categories of needs are grouped in hierarchical format as shown in the following diagram:

Maslow’s Hierarchy of Needs

Source: Management Study Guide (2012)

Maslow grouped these needs further into two categories; low-order needs and high-order needs. Low-order needs are the psychological and safety needs while high-order needs are the social, self esteem and self-actualization needs. According to Maslow, human motivation emanates from unsatisfied needs. Human beings start by satisfying the needs in the lowest level.  Once a particular need is satisfied, higher level need emerges (Luthans & Youssef, 2007, p. 327). For Faboil workers to be motivated by the work they do, the returns must satisfy the various needs noted by Maslow. However, low-order needs must be satisfied first.

Another key theory is motivator – hygiene theory developed by Herzberg. The theory describes a category of factors that lead to job satisfaction and another category that leads to job dissatisfaction. According to Herzberg, factors that lead to job satisfaction are those that are related to activities carried out by employees such as rewards, achievement of goals, time-off, promotion gaining responsibility, and receiving recognition (Luthans & Youssef, 2007, p. 328). On the other hand, factors that lead influence job dissatisfaction are those that are related to working environment, such as salary, workplace conditions, supervision and company policy. According to Herzberg, job dissatisfaction occurs when there is absence of these factors (Luthans & Youssef, 2007, p. 328).  For Faboil leaders to motivate their employees, they need to ensure that both environmental and motivating factors are present. Adam developed equity theory that is also applicable in the case of Faboil. The theory suggests that in addition to satisfying the common needs of the workers, they must be treated in a fair manner in order to motivate them (Luthans & Youssef, 2007, p. 329). Precisely, an employee should be rewarded in accordance to his or her contribution at workplace. Thus, leaders at Faboil can motivate workers if they treat them fairly, with regard to their contribution.

P3.3 The usefulness of a motivational theory for managers in Faboil

Motivational theory is important to managers in Faboil for various reasons. Firstly, it will enable the managers to understand the significant of motivation in energizing workers to work harder. Secondly, the managers will learn that in addition to salary, workers require additional incentives in order to enhance their productivity. Also, the managers will learn that motivated workers are more innovative than workers who are not motivated. Importantly, the managers will understand that motivated workers produce higher output, leading to an improvement in the speed, quality and level of output. This occurs since motivation enhances efficiency of the workers (Larson & Gray 2011, p. 98). This will be vital to Faboil since low speed of productivity is one of the major problems that the company is facing. Improved production speed and quality of output will translate into higher levels of customer satisfaction. Ultimately, the market share of the Faboil will increase. Also, the managers of Faboil will understand the importance of motivation in reducing worker’s turnover rate and rate of absenteeism. This is due to the fact that higher levels of motivation will help to reduce stress and dissatisfaction among workers (Larson & Gray 2011, p. 98).

P4 Mechanisms for developing effective teamwork in Faboil

P4.1 The nature of groups and group behaviors within Faboil

Team working is one of the key strategies that facilitate productivity of workers within organizations. In turn, effective teams lead to increase in the level and quality of performance of workers, leading to overall improvement in organizational performance (Pierce & Newstrom, 2011, p. 7). Thus, it is essential for organizations to develop and manage effective teams. Developing of effective teams in organizations is the role of management. In Faboil, workers carry out activities in teams. However, the teams have not been effective in the past. Before Smythe and Frame undertook management training courses, for instance, they used to just give instructions to their teams and demand completion of tasks. Evidently, there was no clear communication between team leaders and team members, which is vital in the development of effective teams. These leaders were not acting as part of the teams that they led. This led to lack of motivation to work among workers. Only after taking training courses that Smythe and Frame started communicating fellow team members. After undertaking training, the two leaders have developed effective teams and there is good communication between them and team members. Consequently, workers in their teams show enthusiasm to work and have improved their performance.

However, working in groups is discouraged in the department headed by Cranberry. Evidently, each worker in that department is assigned his or her own responsibility and is expected to complete it a lone. There is also poor relationship between workers in that department, evidenced by the conflict between Carole and Joanne. Communication within that department is also poor. In addition, there is poor communication between different groups of workers in Faboil. For instance, Goodall, the purchasing manager, was the last to be informed when the sales and marketing department made plans to promote one of the company’s products. In short, there is need for more effective leadership at Faboil that will enhance development of effective working teams.

P4.2 Factors that may promote or inhibit the development of effective teamwork in Faboil
There are several factors that may affect the development of effective teams in Faboil. The first factor is presence common goal. Members of an effective team must focus on a common goal that is well known and understood by all (Werner & DeSimone, 2009, p. 78). Thus, the goals should be spelt to members and presented to them in written form. Also, the members must work together to achieve that common goal. Without a common goal, members can get confused or can hardly work hard to achieve organizational objectives. Thus, the presence or absence of a common goal may influence the ability for Faboil leaders to develop effective teams. Secondly, team members must be provided with adequate compensation in order to motivate them to work hard. Without adequate compensation, workers may get demoralized and their productivity is likely to reduce (Werner & DeSimone, 2009, p. 79). Therefore, Faboil should offer adequate remuneration to workers in order to develop effective teams.

Thirdly, efficiency and effectiveness communication is likely to affect the ability of Faboil leaders to develop effective teams. In order to develop effective teams, effective and efficient communication must be maintained among team workers, between team leaders and team workers and between different teams (Werner & DeSimone, 2009, p. 79). If this is not attained, leaders in Faboil may not be able to develop effective teams. Another important factor is team leadership. An effective team can only be developed by a willing leader who is also effective in doing so (Werner & DeSimone, 2009, p. 79). Cranberry, for instance, may not be able to develop effective teams because he is not willing. On the other hand, willing leaders such as Brenda and Judith are likely to develop effective teams.

P4.3 The potential impact of technology on team functioning at Faboil

Technology can highly enhance team functioning and performance at Faboil. As noted earlier, one of the key factors that influence the effectiveness of teams is communication. Amidst technological advancement, there are numerous devices that have emerged, which can enhance communication within and between teams. Examples of technological devices that can enhance communication within and between teams are laptops and computers, groupware, mobile phones, email and social sites such as FaceBook and Twitter. Mobile phones have contributed immensely in enhancing communication between people who are in different settings (Betz, 2010, p. 34). One can use it when out of office or organization or communicate with people who are out in the field. Also, team members can engage in asynchronous via email. They do not have to be in the same place in order to engage in efficient and effective communication. Through the use of groupware, team members can easily delegate, collaborate and plan meetings. Besides communication gadgets, there are other technological devices that may have a positive impact on team functioning and performance. For instance, printers, web cam, video conferencing and scanners have both direct and indirect positive impact on team functioning. Teams can also use technology to achieve goals such as carrying out businesses via websites, managing customer base, managing sales forecast and communicating with customers (Betz, 2010, p. 36).

Conclusion

Overall, Faboil has a paternalistic structure and culture. The structure and culture can have both positive and negative effects to the organization, depending on the effectiveness of the key leader, Dr. Brownlow, in undertaking his management and leadership roles. Different leaders in the organization adopt different leadership styles. Ineffectiveness of some approaches, such as the task-oriented style adopted by Cranberry, is one of the key factors that have led to low performance of workers and the company. Thus, there is a need for the leaders in the company to adopt better leadership styles, such as the participative style adopted by Frame and Smythe. In order to enhance performance of the workers, the leaders in the organization need to adopt leadership and management strategies that motivate employees. Also, they should focus on developing effective working teams.

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Appendix: Faboil’s senior management organizational structure