Now all the leading organization are flexible and adopt the change in market rapidly. The business environment in the market and operational strategies according to it changes gradually. This process is continuous and runs according to the trends of global and local economies with the advancement in technology. This provides the guidance and awareness to the organization to design and change accordingly with the exceptional skills of management. The change will not involve only the business nature but also the system, process and continuous change in strategies. This help the organization to retain their position in the competitive market and provides the supportive infrastructure to win the competitive edge on the competitors. The change process can be related with the simple examples in order to understand simply and broadly that like organization eve in the small room in which one moved into first will design for the first time and maintain the design during the time one is living there. The design needs the skills to implement which can be get through management skill and after sometime the changes will be adapted from time to time. The exact same thing happens with the organization which is done by carefully planning and execution for the design and the change management.
The concept of managing change refers to the continuous process not just the one time that’s why emphasizing on the managing is critical. Several of important points are being taken into consideration while designing and changing in the organization hose consideration involves those plans which should be aligned with the goals of the organization. Then it comes to affects and impact which is going to be happened through this process and the strong communication will make it work and the communication needs the best strategy for designing and changing. Change and design process leaves the deep impact on the resources which are employees because employees will have to look for those management programs for change and design. Brining these points into consideration are the need of best practice and his area includes every aspect of organization. Change and design agents will have to be vigilant throughout the process of change. It is a traditional approach which gives the organization idea of following new trends and needs in the market, so they only directed the people to work on it which lacks the understanding and involvement. These two understanding and involvement leads to best possible understanding and an insight towards the road to success. But here, this assignment will cover all the aspects of this organization including starts of the business process to economic impact of both the organization and the country. There are several other benefits which can get from managing the organization redesign and change. It focuses on the customer service improvement, increase profit, less cost of operation, efficiency, committed works culture and growth of the business. Effective design and change ensures that all the aspects of organization are covered and can prevent suffers like less efficient workflow, knowledge lack ness, delays and no trust among workers and owners (Yüksel, 2012).
Section 1: Exploring Organisations (answer all three questions)
Question: What are Organisations?
What are organizations?
Organization is a set of individual who works among each other for achieving the shared goal or goals. Several theorists and researches on the basis of observation and researches define organization differently but few as follow are the common concepts which can be seen in all the definitions:
- Organizations are based on the composition of individual basis and the group of individuals.
- In the organization, all the groups and individuals aims towards one shared goal or set of goals.
- Those individuals working in the organization works on the different functions in order to provide support for achieving the goals.
- In the organization, the functions which are being conducted should be done with the proper coordination.
- Regardless of the number of people, the coming and leaving of the individuals the organization never stop working because of the separate entity.
There are several type organization who more or less works under the concepts stated above by following and conducting their assigned functions. Few of the known types are:
- Government and on-government.
- Armed forces.
- Not for profit.
- Sole, partnership and cooperation.
The study of organization also emphasis on the structure which helps understanding the internal forces working an influences on the functions and culture.
- Committees the structure in which members are being selected through proper voting and assigned different task to be done. They are the decision makers’ of the organizations new move.
- Matrix, the type of structure in which each individual employee answerable to two bosses. The one boss works alongside the employee in the matter of functions of the organization. The second boss uses the expertise of that employee on the specific project.
- Ecologies, the type of structure focuses deeply on the inside of the organization. They follow the rule of getting the work done by those who are willing and pay according to the amount of work done by any set of individuals.
Hierarchies or Pyramids, this type goes from one leader who assigned task by providing the directions and those follows the leader under the hierarchy done their share of work to achieve objectives which collectively contributes to achieve the vision of higher leader (Tapinos, Dyson & Meadows, 2005).
What do organisations do?
The reason of the existing of organization is because the efficiency and effectiveness can only be achieved through the group work. When the individuals working separately the collective goal cannot be achieved because they don’t share the common value under one vision. For example, if a man who wants to take the piano on the top floor, he will take the whole day to achieve his motive alone but when the number of people increased the effort will be shared and they will be conduct this task effectively and efficiently with less time and less resources. Even if in the organization people are working on different tasks but the goal which they want to achieve will be supported by hose tasks. The coordination among individual under the umbrella of one organization is the fundamental thing and this set up is called the management which is backbone of the organization.
The benefit of organization can also be determined through the cost efficiency. When every individual who are working on the same goal but in a different set up cost higher than to those who are working under one house and sharing the cost. After the industrialization, all the skilled workers especially craftsman and artists worked alone away from each other which not only costly for them but the productivity was also low. Organization provides to the society when working together whether goods or services, the importance of work determines when the work is being done in an organization, it provides the inspiration and motivation to people working together, it provides the sense of responsibility to people working there because of the environment creates the importance of work and the most essential role organizational play is to give the opportunities to employees working there because ideas are being shared to each other (Tapinos, Dyson & Meadows, 2005).
What are they composed of?
The composition of organization is based upon the structure through which organization nature of work can be determined. These are the strictures which helps in defining the responsibilities and roles of workers in the organization and also the departments, groups or the work is determined. The structure of organization is the system which divides the tasks and the reporting policies which are assigned to individuals according to the work. The efficient and good structure can be recognized by the effectiveness of work and overall ethics followed by the workers. There are four general structure types which determines the composition of organization and also serves as the elements serve building the organization (Bryson, 1988). Those structures are:
The first structure which is known as functional, describes the nature of tasks which are being conducted by the individual or collective task in the organization. These tasks or skills determines as the functional structure. There are several advantages of this structure which an organization uses to serve the purpose and achieve goals. The first advantage is quick decision making with effective communication among workers. These structures provide continuous learning to workers which they can acquire through each other because of the collective sills and tasks.
The next structure is the divisional structure, in this type of structure organization creates the sub-group as the division and each group serves the same role by facilitating the customers. The coordination among groups or teams are effective because all of them serves the same role but in different places.
The third one is matrix structure, in this structure each individual is answerable and support two bosses. The one will work with the employees on a functional level and the other one works only on he projects. The advantage of this structure is that it increases the productivity of the organization because the employee is working on the diversity of works and the second benefits is decision making because all the employees working on different level of tasks gives them the exposure.
The third structure is project organization, in this structure specific number of individuals are designated to work on a specific project. This type teach the workers to work collectively by using limited resources and time to complete assigned task and to meet the objectives of the organization. The objectives are always clear in this type of structure.
How are organisations organised?
The organization organized through the different departments which performs the functions to run the organization and collaborate with each other in order to meet the requirements of the goal. The function of those departments are clear and according to the nature. Workers who are performing their tasks in those departments have the clear objectives, resources and tools according of the nature of work and defined time (Bryson, 1988). The collaboration between those departments organized the organization. Following are the main departments of a simple manufacturing organization:
- Human Resources Management.
- Research and Development.
- Account and Finances.
The first department which is core purpose serving of the organization. This department execute necessary activities which provides the organization all the services and the goods which full fills the goals of the organization. There are some universal task and responsibilities which are performed in this department. Those tasks includes the planning of the production and to schedule the arrangements through which production will take place. The next task is controlling the workforce which are working under this department and provide the supervision. The quality control is the core which is conducted in this departments because it serves the vision of an organization and the quality took place by controlling and monitor that how the task is under taken, which material is being used and meeting the timeline. The next task is regarding the maintenance, not just the equipment and plant which is being used but also the workforce from whom the task will going to be done. They also control the incoming and outgoing inventory and mark the progress by it. Organization also provides them the authority for continuous design and change, which means the authorities working in this department continuously improve themselves by adopting the effective and efficient methods through which task should be done including the cost saving and maximum output (Peng & Nunes, 2007).
After understanding the functions of this department, their collaboration with other department will provide necessary knowledge which overall serve in the organizing of the organization. The close and necessary collaboration of production done with other departments are as follow:
- The collaboration with Research and Development is regarding implication concerning the design and method through which production design take place. The Research and development provides necessary requirements if any problem comes up and the production also provide their concern regarding each task because they have the complete insight of production department and its requirement.
- Marketing department instruct the production department to include specific functions, quality, appearances and durability so that they could meet the demands and needs of consumers.
- Between finance and production the collaboration done regarding the funds which are being for the task of production involves purchasing of tools and equipment.
- Human resource departments provides work force and serves as the motivator force so that the task will not stop in production department.
The next department is research and development department of the organization which share equal importance in the organization among other departments. Their aim is to provide the insight of methods that how the task will be done, to production about new products and processes. They work as the continuous improvement force of the organization. They conduct research for the marketing as well to provide them the information of the market situation and position of the organization. Research and Development is the key force for the higher management which serves as the insight of economic and effective way.
The other department which helps in organizing the organization is purchasing department. This department serves as the provider the tools and equipment to all the departments which serves the supporting tools so that the organization can continue the work assigned. This production include the tools and equipment for the production department and also the raw material which will be used in the production department. They don’t only provide necessary goods to just production department but also to other departments as well. The office equipment, computer and stationary also comes under tis department roles. While conducting their task, this department take into consideration the purchasing mix which includes quality, deliver, quantity and price. Managers should be efficient with all of these mentioned (Yüksel, 2012).
The role of organizing the organization by the marketing department is to serve them with income and profit. They also serve the purpose of facilitating customer needs and wants, to satisfy them and retain them with their marketing skills and campaign. Their strategy is follows the rules of 4 Ps. The product, promotion, price and place.
The human resources department serves the organization by providing work force and serve the employees regarding the needs of those employees. Their core functions are recruiting, training, employee’s relation and health & safety.
The last department according to the list mentioned earlier is accounting and finances. Their function is to track the finances of the organization and keeping inflow and outflow of the cash. They organize the organization by preparing income and cash flow statement along with balance sheet, payroll management and the information of accounts of the organization (Yüksel, 2012).
Are they all the same or are there differences?
All the organization are same when it comes to their major purposes which is to serve the customers and earn profit. The nature of organization is different from each other and also the structure through which they conduct the tasks.
If they are different in what way do they differ?
Nature includes the project based organization who works whether to provide services and to provide manufacture goods. The structure of the organization also defines the difference among them.
What are the reasons for the differences?
The reasons behind the difference is the scope of organization. Some organization only provides one project at a time, some organization serves with long agreements, some organization works on their own to manufacture goods and some organization’s scope is to provide services (Ho, 2014).
Question: Organisational Context
Why is understanding the context within which an organisation operates important?
Context refers to the circumstance in which any work or event happens. When it comes to organization and its context in which they conduct business is refers to the environment in which it operates. This environment is external and influences by the external forces. The strategic planning requires to take the context under consideration when it comes to plan the conducting business with building up the organization. When an organization start establishing the information regarding the context they should take into consideration all the factors from the environment which effects them directly or indirectly. These factors are the risks for the organization and to use that risk in their favour. These factors includes customers, competitors, stakeholders, suppliers, market conditions, technological aspects, political surroundings, rules and regulations, stake holders, financial resources, laws regarding the agreements and the changes in the environment (Babatunde & Adebisi, 2012).
Context is an important force through which organization set their moves and priorities and to address the concerns of all the stakeholders. The planning helps in the building of sustainable systems and procedures which makes the organization able to reach the place in regards with their goals and vision. There are several ways which part of the policies when it comes to address the context in which organization is conducting the business. The external environment affects the operations of the organization. Even how they will conduct business and it moulds the direction of decisions. These external factors considers to be the macro-economics of the organization and leaves the direct impact in the failure and success of the organization. Following are some of the factors description and how to address those context:
- The first and most important factor is customers. Organization main focus is always to attract and retain the consumer of its products and services. To satisfy the needs and wants will help them grow. Customer perception about the organization decides whether they are going to retain the position in market or not.
- The next factor is the supplier which provides and transfers both the raw material and final goods to market. Even the suppliers are outsourced sometimes but still they are considered to be the most influential asset of the organization. The services of the supplier’s shapes the progress of the organization. The quick and qualitative performance of the supplier help meting demands and needs of the market. The threat is when a supplier delays or when the relation between the supplier and organization damages then the organization will suffer.
- The next contextual factor in the external environment is competitor of the organization. Organization from time to time ask the question about their goods quality and services worthiness because if they are good or bad comparing with customers matters to the customer and their priority. Organization while doing their own work should also do the monitoring what competitors are up to and what they are doing in the market. This monitoring shapes the priority and decision making. Sometimes the organization who ignores the competitors’ progress suffers loss and stays behind in the market.
- The other factor which is stakeholders also effects the organisation. Stakeholders include employees, investors and shareholders. All of these entities are concerned about the progress of the organization so they have to look after the concerns including all the other factors. Shareholders are the people who have invested in the organization not on the bigger level but still the number of shareholders matters to the organization. The employees are the workforce who work together in order to maintain the organization progress and the only contributor in the goal and vision of the organization. Facilitating them with their wants and needs should be the priority. Investors are those who have invested in the organization’s plan with the confidence that they will earn back the profit. When they invest, organization is answerable to those investors and they will have to take into the confidence of those investors before taking the decisions.
The other factor is market, it’s the place where they are going to work. Market conditions will let the organization know what their next move should be and what needs to be done to stay in the market. The market have different conditions sometime it focuses on the different things then to those organization is creating. The overall customer priorities can only be known in the market. This factor includes the technological factors and social trends as well. The emerging in the technology is continuous and organization have to look for it. As mentioned earlier, organization also have to track the customer demands and needs which is a social factor (Ravanfar, 2015).
Question: Strategic decision making and strategic frameworks
Strategy is the planning through which organization wants to achieve the goals. When it comes to strategic decision making it means organization desire to change the direction of the organization or taking the big decisions. These big decisions are mostly related to launching of new product or changing the market of any current product. The other reason is when an organization desire to merge or acquiring another organization. Starting any new project also requires the strategic decision (Gallo et al., 2017).
When organization needs to tackle with extreme competition, or to meet the change in the market which gives the organization a competitive edge. Following are major benefits which organization can get from strategic decision making:
- Strategic decision helps in shaping the future the way organization desire. The difference between being reactive and reactive is when the organization makes the proactive decision by strategic decision making it helps them to grow with the pace rather reactive decision which affects them even for a short time make them leave behind in the market.
- The next benefit is it helps establishing the direction. A clear decision means the definite goals and objects. The consisting work can only be done when these goals and objects are clear and the direction of those gaols are provided by the management. The workers will know that how the work is contributing part in those goals. Organization can evaluate and monitor their progress to a higher achievement they are aiming.
- Strategic decision making helps the organization in taking the wise decision which will only give benefits rather risk of loss. A focused and wise decision will not only provide the financial benefits because time can be saved but also people’s skills can be used wisely.
- The strategic decision making will provide the organization a clear path of future so that organization can have the future and the work which needs to be done to survive in the future.
There are several of decision making strategic frame works designed by the researchers to help the organization but selecting nay one of them is hard for the organization. These models are simple and complex which varies from the nature of the organization. There are many strategic decision making frameworks which depends on the organization what organization is trying to do and what decision they are taking which needs a proper and appropriate framework (Bhatti, 2011). There are three important steps which should be taken by the organization which helps them selecting the best framework for them:
- Selecting right framework requires to clear what decision organization is ting to take and that decision is related to which part of the organization.
- The second step is to apply the frameworks to the goals organization is trying to achieve. Two things will happen, one is that the goals are fitting to all the steps of the framework or the other thing is that framework will not be filling the demands of that decision.
- The third step is review the plans when selecting the framework, the goals of the organization should be balanced on the steps of that framework.
There are three framework best and common when it comes to decision taking.
- The first one SWOT, in swot analysis organization focuses on the strengths, weaknesses, opportunities and in the last threats to product or the organization.
- The second most famous framework is Porter’s five forces, in this frame work organization conduct evaluation to major resources. The first one is supplier, second is rivalry, third is threat which comes from the substitutes, the fourth force is the threat which is from the new businesses and the last force which being analysed in this framework is to understand the fundamentals of the industry.
The third framework is PESTEL, this framework provides the insight and the forces which greatly influences the organization. Those forces includes political, social, economic, technological, environment and legal forces. It focuses on the external factors to give the understanding of the all forces which should be taken into consideration before taking decision (Bhatti, 2011).
Section 2: External Analysis
Question: PESTLE Analysis
Critically evaluate why organisations perform PESTLE analysis?
The Pestle analysis is the concept of the marketing principles which organization uses in order to evaluate and analyse the external market if they are planning the launch of new product, project or services. Pestle analysis contains the following factors:
These factors and their analysis help the organization to consider all the possible outcomes before the project, product or service goes into the market. Each factor on the different factor which can possibly affects the organization and its product.
- In the political factor, the government influences the economic system of the country. If the government impose a new tax which will affects the prices of the goods organization id offering will eventually effects the overall profit.
- In economic factor, the organization will take into consideration of the people and their purchasing power before launching the product and what range should the product lies in.
- The social factor influences the trends of the market and customers. For example when it comes to some special occasion customer buys more than they usually do. The other example is there are products which gets influences with the preferences of the customer depends on the cultural factor.
- Technological factor affects in great amount. The example of phones can give the understanding that in the market competition between companies are based on the advanced technological features. Organization should consider updating and adopting new technologies coming into the market.
- The legal factor is based on external and sometimes internal. There are laws which can affect organization. Those laws includes consumer laws and labour laws. The consumer laws are that product should give what organization is stating in the marketing. The Labour law focuses on the employee wellbeing and health or safety.
Environment factor influences the organization on the bases of weather or geographical changes. For example clothes are seasonal and the launch of new product should focus the weather or the geographical factor (Ward, 2005).
Carry out a PESTLE analysis of a manufacturing organisation of your choice?
The PESTLE analysis of the Nestle will help identifying how external environment influences the organization policies.
- Political factor influences Nestle: The political factor which can influence nestle is the standard of food and their marketing actions. The other effect will be stability of economy of any country depends on the government policies. There are several rules regarding the food and beverages and those laws are not in every country because of the adaptation preferences of the any ruling political group.
- Social: It depends on the trends which people follow. If their preferences changes according to the trends and that is going to healthier diet will affect nestle. The other factor comes under social is the change in lifestyle, if people preferences changes to more home food rather artificial flavoured.
- Legal: Nestle will be affected by the legal factor if any country starts to impose the taxes on the food items and every country have different regulations.
- Environmental: The rise in the awareness to protect environment will affect nestle because of their packaging. The climate change have changed the thinking of people and they are concerned about the plastic packaging which badly effects the environment.
- Technological: The rise in the use of social media have introduce the e-commerce and people fining it easy to buy with just a click. This will affect nestle because they are not doing e commerce.
Economical: The economic condition changes the preferences of people buying behaviour and they have to look for purchasing power. Every country have different prices for the raw material (Ward, 2005).
Discuss the results of your analysis and any conclusions you can make concerning the organisations mid to long-term future.
The PESTLE analysis helps in making the decisions which will affect the organization in both way short and long term. After thoroughly going through all the steps and all the factors which can influence nestle the conclusion remarks is that the organization must take into consideration these forces which affects the organization working and objectives. Regarding the short term goals these forces when taking into under consideration helps the organization to know that in the current market hey are working the forces will influence them little but regarding long term which influences greatly because it takes hose decisions when comes to international market. Every country have different scenarios and conditions, the progress and failure of the organization depends upon these factors (Thakur & Workman, 2016).
What trends might be useful to monitor as a performance indicator for strategic actions the organisation might take?
The Balance Score Card is the most famous and effective way to set the strategic indicators to measure performance. The strategic planning needs continuous monitory and evaluation and by using balance score card organization can measure following:
- The first one is the communication between all the teams about what is the aim to achieve.
- Aligning the activities according to day to day.
- Giving priorities which needs to be done first.
Measuring the progress and monitoring what is achieved and what is next to achieve (Bharati & Chaudhury, 2015).
You are expected to use the PESTLE grids we used in the seminar and include in the appendix section to support your answer.
PESTLE Grid in the Appendix.
Section 3: Internal Analysis
Question: McKinsey 7S Analysis
Critically evaluate the McKinsey 7S model?
McKinsey 7s model is used by the organization to analyse the design of organization by implementing 7s. The tool in which 7s are being used are strategy, shared value, systems, staff, style, structure and skills. This 7s tool is divide between hard S and soft S. The hard S includes, strategy, structure and systems. Whereas, Soft S includes style, staff, skills and shared values. It was developed by the McKinsey consultants and now it’s been widely used by many organizations (Sammut‐Bonnici, 2015). It focuses on all aspects of organizations including the staff. The use of this system helps organization in following points:
- Provide facilitation in change.
- Implementing new strategy.
- Insight in the future changes.
- Provide facilitation in the mergers.
Applying a real world example – discuss how it could be used in an organisational change programme after a PESTLE and 5 Force Analysis had been completed?
Following is the McKinsey’s 7s model applied on the Tesco:
- Shared Value: This S tells that what are the values and objective of the company and what they believe. Tesco shared value is increasing the management skills which are sophisticated and provide manufacturing companies the value which will be high standard and aligns with the supply chain.
- Strategy: Strategies are the methods and plans which organization applies. Tesco applies balance score card method for all the strategies.
- Structure: It tells what is the management style and hierarchy of the company. Tesco doesn’t believe in one leader and provide leadership power to all the employees.
- System: It describes how the task is being done from start to end. Tesco have steering wheel method to conduct the tasks. This provides the skill which is helpful for the staff in future.
- Staff: Tesco have more than 400,000 employees working on different tasks.
- Style: Tesco achieve its objective by using steering wheel method which focuses on financial, operations, customers and performance of employees.
Skill: It describes that how capable staff is when conducting task and achieving the objectives. Tesco emphasis on the transfer of knowledge to its employees and trainings are provided them to give necessary skills (Roa & Suárez, 2015).
Question: Product & Service Portfolio Analysis
When considering the Boston Matrix explain what causes products and services to be ‘cash users’, ‘cash neutral’ or ‘cash generators’.
The real example of the organization which provides maximum and easy facilitation to the shareholders is Microsoft which is the only organization which provides maximum facilitation. Microsoft had this reputation when starting the operation because of the market growth started slowly but now it have grown to biggest organization. Customer of Microsoft are loyal because it’s a reliable company and have high percentage share in the market. Microsoft now don’t need any further capital to boost the product because of their position in the market. This is the reason Microsoft keeps on providing their products and services in the market (Groen, Wilderom & Wouters, 2017).
Explain why an organisation might decide to keep providing a product or service long after it has reached the decline and low return stage of the life cycle.
The reason behind some services and products stays cash user or cash users is the major cost of production have already been occurred and its additional profit which will come. They have earned the profit margin which was planned and now other cost. For instance, Apple even after the launch of new model keep on sharing the old product because the profit margin is achieved but additional supply fills the market and possibility of sale of every product stays (Van Der Aalst et al., 2016).
Question: Value chain, Porter’s value chain
Critically review value chain analysis?
Value Chain analysis is the procedure in which an organization analyse the activities which are primary and supportive for the production and after that it helps reducing the cost and increasing the differentiation. Looking at the internal activity and critically analysing it helps the organization to figure out the reasons behind their current position and how they can take the benefit by adopting effective and efficient ways. Making changes in old ways to conduct activities helps in saving the cost. M. Portal have introduced this model and it is known by the name of Portal Value chain model (Roghani, Macciotta & Hendry, 2015).
Produce a generic value chain model for the sector/industry of your organisation and provide a short description of each value added stage.
Porter’s value chain model consist of two types of activates. One is primary activities and other is supportive activities. These activities helps in strengthen and sustainability of the organization. Each product have to gone through all the activities from start to end which covers its whole production.
Following are five primary activities which plays its role in the production of the product:
- Inbound logistics: This activity involve acquiring the raw material which will be used in the production of the product. In this organization needs to look for quality raw material and how much cost it is taking.
- Operations: After getting the raw material, the production of the product started with the help of tools and machines. The value to customer is provided in this activity by manufacturing the quality product which includes all the aspects which a customer is expecting.
- Outbound logistics: When the product is ready it goes out to retailers and distributor. In this step organization needs to take care of the quality of the transportation so the customer can get the product in its original shape.
- Marketing & Sales: During the product is in production and not yet reached to market, the marketing activity gives the information to customer about the product and sale activity involves when the product is going out in the market. The sale activity enforce the maximum sale through which organization can cover cost and earn accepted profit.
- Services: This activity involves the services given to customers after the sale of the product. The warrant and guarantee is the domain of this activity.
Followings are the secondary activities which provide the support to primary activity:
- Procurement: This activity provides the dealing with vendors who are providing the raw material and make sure the need is full filled of the production department.
- Technology development: This activity keeps the technology update which will be used in primary activity so that it can cut the cost and work effectively.
- Human Resource: This help in providing the needed workforce, provide trainings and deals with their matters.
Firm infrastructure: It provides the support of all the kind to primary activity. The support is legal support, administration support and financial support (Lozano, Nummert & Ceulemans, 2016).
Now produce a detailed Porter’s Value Chain of your chosen organisations clearly identifying key ‘primary and support’ activities.
Coca Cola value chain model:
- Inbound logistics of Coca cola: They have built a very strong relationship with all the suppliers and that’s the reason the products of coca cola is never got absent from the market worldwide.
- Operations of coca cola: he operation of this company is two types, the first one is done in the headquarter which makes the flavour and the second part is done in their regional branches in which only the filling is done because they value the customer and never took a risk in which the quality decreases.
- Outbound activity of coca cola: Coca cola distributors and suppliers are many in numbers in each region. The have outsourced this part of their organization according to cost cutting technique.
- Marketing and Sale of coca cola: The Company don’t need marketing but still their focus on marketing is active. Their logo is recognized all over the world. They have the business in more than 200 countries worldwide.
- Technology of coca cola: Their focus on technology and R&D is recognised all over the world. They have partnered with many universities and tech start-ups to conduct the research and business analysis for them.
- Human Resources of Coca Cola: They emphasis on the young and talented resources and that is why they conduct career fairs in the reputed universities and also they have renown management training program to get the best employees for them.
Firm infrastructure of Coca Cola: Containing all the key departments like HR, finance and management they believe in the knowledge and education sharing not just employees but to suppliers as well (Lozano, Nummert & Ceulemans, 2016).
Make some suggestions of how to improve the cost effectiveness of some of the value chain ‘primary’ and ‘support’ activities.
Organization should focus on the ways in which cost can be less and the tasks should be effective and efficient. The focus should be on the new technological adaption. In the overall activities organization should see if the inbound and outbound should be their own or it should be outsourced depending upon the size of products. Some organization outsourced the both activities and some keep it to themselves. Suggestion is to make sure that sometimes these activities should be outsourced because it will help cutting the cost (Pollack & Pollack, 2015).
Section 4: Exploring Strategy
Question: Strategic Choice and Development
Critically review strategic drift and what are the issues for managers when preventing strategic drift?
It’s a concept which also refers as the strategic management, strategic drift happens when the organization starts to deal with the changing of the environment. During this time period, organization have to face different situations and challenges which are unexpected. When the organization driving and developing he strategic change they will have to face different difficult aspects. During facing those challenges, the organization sometime fails to get what the expected result is and this is what strategic drift can be referred.
The difficulties which managers face during these strategic drifts is losing the focus and give priority to these problems rather focuses on the actual plan. Sometimes the problem which organization identified which is crucial and need urgent solution becomes secondary and the managers stop giving attention to that problem. Strategic is the reason of change in priority which is a problem because urgent and crucial problem need the attention (Buckingham & Goodall, 2015).
Section 5: Exploring Quality and Organisational Change
Question: Quality Performance and Organisational Change
Research the academic literature to find an article or paper that describes how an organization uses one (or more) of the quality concepts, tools or techniques.
Due to the globalization, the market competition is increasing and customer awareness is also increasing by getting to know the variety of products and services available in the market. That’s why manufacturing organization should give priority to the quality products. And this is the only way through which organization can gain the position in the global market. With the use of quality products to satisfy the customer by implementing cost efficient methods, tools and techniques gives the organization the success. That’s why management focus on the quality methods and the focus on managing these methods is essential. There are several tools and techniques through which the organization can monitor and evaluate that it’s achieving the goals of providing the quality products. The problem organization face is to implement these tolls because of lack of commitment or sometimes lack of resources. The other force which requires the total quality management is employees commitment and the skills which organization should teach them by trainings and aware them the importance. The total quality management is the approach management for gaining the long term success by gaining the satisfaction of the customers. This management requires involvement of all the staff and all the activities including process, services, products and the culture (Singh, Khan & Grover, 2012).
There are few of the primary principles which requires to achieve total quality management:
- The first principle is customer focused in which quality should be gain in order to satisfy customer. The feedback and requirement of customer should be one the priority.
- The next principle is total employee involvement, organization should involve all the employees by training and awareness regarding its importance. The only way to get total employee involvement is by valuing the employees.
- The next principle is process centered in which organization maintain the primary activities of the manufacturing so that quality could be maintained.
- The next principle is integrated system, this focuses on the integration of the system so that collaboration and communication can be efficient and effective.
- The next principle is using the approach of strategic and systematic. In this principle, organization do proper planning to gain vision and objectives with high quality products.
Now the next principle is important and continuous which improvement. This principle emphasis on the continuous improvement in all the activities (Singh, Khan & Grover, 2012).
Write a summary of the article or paper and critically comment on it.
The research paper emphasized on the vital component which gives the success to the achieve quality for manufacturing organization. The only benefit to the organizational quality is by give the employees’ necessary trainings. The weak point is the support by the higher management. The article provide brief of the tools and techniques but it requires the cost and taking confidence of the stakeholders is missing. The manufacturing organization when implementing the quality methods which is a strategic planning but these tools should also add the strategic drift management. The commitment and consistency of the organization is the core to achieve quality goals. The cultural factor should also be focused and the employee’s attitude towards the work and objective influence the total quality management (Singh, Khan & Grover, 2012).
Section 6: Exploring Performance and Organisational Change (answer all question tasks)
Question: Performance Management Systems and the Balanced Score Card
What is performance management?
The performance is the procedure in which the organization focuses on the feedback, documentation and accountability regarding the performance of the employees and organization. It helps in the integration of the employee’s talent and skills with the goals of organization (Hoque, 2014).
What is the Balanced Scorecard?
The Balancedscore card is the system used by the organization to set the tasks according to goals. It also helps in the monitoring the staff performance and compare it with the standards which helps in recognizing the actions outcomes. The main aim it serves that to make sure that the organization is meeting the goals by the task being done (Tjader et al., 2014).
Why is Balance Scorecard different to traditional performance management systems?
The difference between traditional performance management and Balancedscore card is that traditional system only focuses on the financial performance that how much an organization is earning, whereas the Balanced score card focuses on the overall performance of the organization and its employees (Rojon, McDowall & Saunders, 2015).
The change will not involve only the business nature but also the system, process and continuous change in strategies. This help the organization to retain their position in the competitive market and provides the supportive infrastructure to win the competitive edge on the competitors Several of important points are being taken into consideration while designing and changing in the organization hose consideration involves those plans which should be aligned with the goals of the organization It focuses on the customer service improvement, increase profit, less cost of operation, efficiency, committed works culture and growth of the business. When the individuals working separately the collective goal cannot be achieved because they don’t share the common value under one vision. The coordination among individual under the umbrella of one organization is the fundamental thing and this set up is called the management which is backbone of the organization. Organization provides to the society when working together whether goods or services, the importance of work determines when the work is being done in an organization, it provides the inspiration and motivation to people working together, it provides the sense of responsibility to people working there because of the environment creates the importance of work and the most essential role organizational play is to give the opportunities to employees working there because ideas are being shared to each other. The efficient and good structure can be recognized by the effectiveness of work and overall ethics followed by the workers. Their aim is to provide the insight of methods that how the task will be done, to production about new products and processes. They work as the continuous improvement force of the organization.When an organization start establishing the information regarding the context they should take into consideration all the factors from the environment which effects them directly or indirectly. These factors are the risks for the organization and to use that risk in their favour. Considering all the factors and forces which effects the organization it’s important to look for ways. Manager are often advised to follow the tools and methods which are being designed through years of research. The organization needs the change after not just now but since the industrialization and now the technological revolution have changes the whole working style and procedures. This assignment have stated several of concepts which can give the understanding that the design and change in the organization is a must thing. The process should be rapid and continuous or else the organization will stay behind. Keep in view the examples from past who showed resistance in the adopting change are no longer remembered and even the names come the reason is to give example of how mistakes can take you out from the market.
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