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Building Organizational Culture for High Performance - Case Study Example

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The paper "Building Organizational Culture for High Performance" Is a great example of a Management Case Study. The report shows that there is a problem that is experienced at BSG LTD. It shows that there are several problems in the company. The report tries to address these problems and find permanent solutions. BSG LTD has over the years recorded diminishing profits. …
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Extract of sample "Building Organizational Culture for High Performance"

Running Header: Case Study Report Student’s Name: Instructor’s Name: Course Code: Date of Submission: Table of Contents Table of Contents 2 Executive Summary 2 Introduction 3 Benefits of a Strong Organizational Culture 5 Changes that Need Implementation 7 How to Implement the Changes 8 Maintenance of Organizational Change 9 Recommendations 10 Conclusion 12 References 12 Executive Summary The report shows that there is a problem that is experienced at BSG LTD. It shows that there are several problems in the company. The report tries to address these problems and find permanent solutions. BSG LTD has over the years recorded diminishing profits. This is because of the fact that there are very many firms that offer stiff competition for the company. The general economy is not helping as individuals and companies battle with the high cost of living. This has greatly increased the overall cost of production of the goods and services. This then requires them to be sold at a high price. BSG LTD has numerous internal problems which contribute to the negative results experienced. The employees that work for the organization have not forged on a united front for the company’s sake. They are not satisfied with the current organizational culture and they are therefore not committed to their duties and responsibilities. This factor brings forth a very weak team that is not keen on company advancement. All this is coupled by the fact that there is absolutely no trust between the employees and their employers. This creates room for constant theft of company resources. The company continues to lose many of its employees, who look for other jobs elsewhere. The report aims to show what should be done to reverse the current trend at BSG LTD. It aims to highlight the importance of an organizational culture and what should be done to retain the positive effects that are encountered in the organization. Introduction The report aims to educate all interested parties at BSG LTD of the negative trends at the company and their effects. A conducted survey has realised that there are very many internal factors that contribute to its current poor ratings. The report aims to find solutions to the internal problems that are experienced by the company. This is in relation to the management and all the members of staff. The report aims to answer this question: what can be done to correct the current situation in relation to BSG LTD internal affairs? It is evident that there is need to improve on very many aspects of how the company conducts and operates its affairs. There is need for the entire BSG team to work together for the company’s benefit. There is an urgent and desperate need for a united front which will propagate all the goals and objectives of the company. Benefits of a Strong Organizational Culture Every organization is bound by certain codes, values and cultures. All these enable it to have the ability to carry out its set mandate. Without these set issues it would be practically impossible for organizations to make profits, train and retain their staff and expand their businesses. Culture consists of very many elements in society. It is mostly concerned with human behaviours and their general ability to conduct themselves in certain ways. It highlights and emphasizes the need to follow strict set practises from time to time. This is because of the benefits that accrue from sticking to the set practises (Khan 2010). a) Strict adherence to protocol Organizational culture ensures that there is a certain observed protocol in the way that things are done. It creates room for clear cut innovations and the sharing of experiences. This is between members of staff and the management team. This leaves room for the creation of healthy and rich ideas. They will automatically have positive and far reaching effects for the organization. It is at this level that it should be noted that a strict and consistent organizational culture allows and insists on a strict adherence to rules and regulations in an organization. This means that individuals working in an organization will be bound by the set rules and regulations in a company or an organization. This creates a steady environment that has very high standards of discipline at employee and employer level (Gomez 2008). b) Increased effectiveness and efficiency An organization that has set and insists on a strict organizational culture witnesses high levels of effectiveness and efficiency. This is especially so in the way the employees conduct themselves. This is because of the ability to coordinate the required activities in the organization. There is room for segregation of duties and activities based on the best performer of the task. This therefore ensures that once a specific task or duty is carried out, it is done by the most experienced person. This will definitely yield positive results for the individual and the overall organization. c) Paves way for the flow of ideas It enables a steady stream of ideas that flow from top to middle to lower management. This will be the case because they all consider themselves employees who have the organization’s best interest at heart. There are very many management teams that do not take time to realise that their employees might have a say in any raised issue. This puts off the employees and they keep their ideas to themselves. This is despite the fact that the idea might have been a good one that would change a company’s fortunes. A well organized company, institution or organization always ensures that it takes the time to listen to what the others have to say. Employees should listen to one another. Employers should consult amongst themselves, and they should listen to their employees. This might be the key to improved communications and the inventiveness of new and profitable ideas for the organization (Khan 2010). d) Peaceful work environment An environment where majority of the individuals all share in the overall thoughts and opinions is ideal. This means that BSG LTD should take into account aspects of set rules, laws and regulations that can be adhered to by all the workers in the organization. It should be mandatory for all those working in the organization to follow the set rules. This also discourages the notion that there is only one leader in the organization. An organization with a strong organizational culture insists that there should be leaders amongst all their employees. This means that all the employees realise that they have a general duty towards the leadership and management of the organization. This will encourage them to do all that they can for the organization. The ownership of the organization will encourage them to deliver goods and services that are of the best quality always. This will automatically ensure that the clients are well served and satisfied. Once this happens in any organization, the client base increases and so do the profits. Changes that Need Implementation 1. Lack of Communication BSG LTD is undergoing tough times. This is because of both internal and external factors. There is a lot that they can do to improve the current trends in the organization. In many instances the issues raised by the survey highlight several shortcomings of the employers and their employees. The employees that work for this organization have limited faith in the growth and sustainability of the organization. They strongly believe that they cannot advance in the organization. There is no communication between the employees and their employers. This leaves no room for growth, advancement or the exchange of ideas and opinions. 2. Issues of Trust There is no known work environment that can survive without trust. This means that all the stakeholders have to trust each other. The clients that come to seek for services and products have to have some level of trust in the overall management team. This will enable everyone to have faith in the work, expectations, products and services that have been created. BSG LTD has not acquired these levels of trust. It is therefore impossible for them to conduct business amicably amongst themselves and their clients. It is this lack of trust that makes it very easy for members of staff to take their services to other areas. Any organization that cannot retain its staff members will have a hard time improving in relation to maximised profits. This is because once the employees are trained and they get the chance to employ their skills in the organization, they will find an excuse to leave. This leaves the management team with the duty of constantly advertising, interviewing, hiring and training employees. This is time consuming and very expensive for the organization. It also leaves a lot to be desired in the way issues are handled in the organization. 3. Poor Work Etiquette Poor work etiquette reported in BSG LTD show that the employees have absolutely no respect for the organization’s property. Employees are expected to care for materials in their care. This is also because they get to use the materials in their day to day activities. Theft and the disappearance of office ware and supplies show that the organization’s management is spending a fortune on materials and supplies that are not being put into good use in the organization. It is very urgent and necessary for all the above mentioned negative trends to change. Change can be effected by all the interested parties in the organization. They could all decide to forge on and provide a strong base for the organization. This will ensure that the organization is able to rise from its negative characteristics to more positive ones. Implementation of the changes needs to be in accordance to certain set management theories. This will ensure that the general process of implementation is guided by proven theories that could actually yield positive results in any instance or circumstance (Rodney 2011). How to Implement the Changes The process of implementation should start with the employees. This is because organizations that have highly motivated staff bring in many positive results. It is therefore the duty of the management team to put in place measures that will motivate and encourage the employees. This could range from provision of special incentives for any task done. They could range from financial benefits to time off once in a while (Hiatt 2010). Employees should also be given the chance to showcase their own abilities in an institution or organization. This means the management team at BSG LTD should provide a platform for the employees to work the best way that they know how to. Managers should realise that during the process of hiring; they hired the best qualified people for the jobs. They should therefore give the people room and space to carry out their set roles and duties. Employee mistrust employers who are constantly hounding them to carry out their duties. They feel looked down upon especially if the employer keeps double checking and rudely questioning their work. An employee should be given the room to exercise with his or her thoughts. They could actually yield very positive results for the organization. These observations are based on the X and Y theories of management (Papa 2008). It is also very important to change the current organizational structure. This is with the realization that for different results to be experienced, different things need to be done. This is in relation to top, middle and low management. This encourages and creates room for different ideas and different guidance in relation to leadership. Smaller organizational structures can be created with the aim of ensuring that there is efficient coordination of the jobs and tasks to be conducted. This creates satisfaction of job duties for all those that are involved. It also goes a long way in strengthening the work that is carried out by the team. It will be easy to recognise mistakes and correct them in ample time. Maintenance of Organizational Change It is not enough to create an organizational culture. It is important that it is maintained at all costs. This means that for the organization to continue enjoying the benefits experienced from a strong organizational culture, measures should be put in place to maintain the culture. The culture of communication could be maintained by creating an avenue where constant communication is upheld always (Laurie 2011). It is also important to regularly and constantly reward employees. This is a sign of appreciation for their efforts in many of the duties that they carry out. Rewards and tokens of appreciation are many and varied. They all depend on the material ability of the organization. It is also affected by how willing the organization is in terms of employee motivation. Organization change has been described as a continuous positive principle that is applied in an organization. It aims to yield positive and consistent results in an organization (Black 2003). This means that all the positive things that were carried out in the organization should be adhered to. This is in relation to a peaceful work environment, salary payments and timely provision of office supplies and wares. Another way that ensures that organizational change has been maintained is the regular revision of its set goals, vision and mission statements. This is a good principle to live by. This is because it takes time to constantly remind its employees what they are working towards and what they should do to attain the set goals. This will help the employees and the employers to keep themselves in check constantly to meet the set goals (Filicetti 2009). Salaries and remunerations are also good motivators for many employees all over the world. It is essential to keep the regular mode of payment. This is in respect to time frames that have been set for the employees to be paid. This should be a continuous exercise that enables the employees to be confident in the way that employers conduct themselves. Recommendations BSG LTD should aim to ensure that they have regular meetings and team building exercises. The sole aim of this is that it will ensure that there is communication amongst all its staff members. This affects the members of staff as well as the employers. Once they see the management team engaging in certain exercises and activities, it will encourage and motivate them to have the ability to approach them, share ideas and opinions. These will create a strong team that has the ability to correct each other for the overall good of the organization. They will be able to effectively and efficiently communicate to bring in the best possible results in terms of client satisfaction and profit improvement (Black 2003). It is very easy to reward employees. The organization can set timeframes in which they offer promotions to their staff members. Constant and regular promotions are very essential because they have a positive way of motivating employees. They could also offer regular on- the- job training. This will ensure that the employees become knowledgeable in their field. In the event that they offer off -the- job training they should ensure that their employees get their remunerations on time. BSG LTD should ensure that it has a check in system especially for the stores department. This means that it is paramount for it to have a store which will act as the central point for the distribution of office ware and supplies. Once the employees have orders for certain things that they need, they get the chance to sign against a provided for platform. This will ensure that there is accountability in the goods received and how they are being spent in the organization. This helps to cut back on the losses incurred by the organization once these products are stolen (Rodney 2011). The organization should ensure that the vision, goals and mission statements are placed strategically. This will act as constant reminders of what needs to be done and how it needs to be done. The set goals and objectives can be discussed from time to time in meetings, seminars that aim to check the progress of the overall goal attainment in the organization. The discussions conducted could include the input of the employees and employers (James 2004). Another recommendation that can be effective for the revival of BSG LTD is the review of the salaries and remunerations accorded to the employees. They could receive additions on their salaries. This could be in terms of allowances and special perks. This could be something that is done after a specified agreed upon time. It should be carefully communicated and executed to ensure that all those involved understand the reasons and impact of the act. An example of an additional perk could be the provision of transport allowance in an area where there was none. Allowance on commuters could be increased from maybe ten to eleven percent. It may look like something small but it shows that the employer has thought of the hard times that the employee is going through (James 2004). Conclusion BSG LTD has the ability to incorporate very many issues to ensure that they improve on their current ratings. This should be a joint effort by the employees and the employers. They should work together in unity. This will ensure that they work to meet the goals and objectives that have been set by the organization. They should realise that a strong organizational culture will ensure that they retain their clients and enjoy maximised profits. This is in relation to the adherence of the set cultures that have been carefully selected and discussed by all of them in the organization (Khan 2010). References ‘A Strong Organizational Culture’ 2008’ http://www.cultureorganizational.com/a-strong-organizational-culture.html Black, RJ 2003, Organizational Culture: Creating the Influence Needed for Strategic Success, Sage Publications, London. Corporate Leadership Council 2003, ‘Building Organizational Culture for High Performance’, Corporate Executive Board, viewed on 8 September 2011, www.corporateleadershipcouncil.com  Filicetti, J 2009, Project management dictionary, PM Hut, Michigan. Gomez-Mejia, LR, David, BB & Robert, LC 2008, Management: People, Performance, Change, 3rd edn, McGraw-Hill, New York. Hiatt, J 2010, The definition and history of change management, Bantam Books, Chicago. James, LH, Earl, SW & Joe, W 2004, ‘10 Reasons to Design a Better Corporate Culture’, Research and Ideas, viewed 8 September 2011, http://hbswk.hbs.edu/item/5917.html Khan, IU, Usoro, A, Majewski, G & Kuofie, M 2010, ‘An Organisational Culture Model for Comparative Studies: A Conceptual View’, International Journal of Global Business, vol. 3/ no. 1, pp 53-82. Laurie, KL 2011, Organizational Change: Creating Change Through Strategic Communication, Aspen Press, New York. Papa, MJ 2008, Organizational Communication Perspectives and Trends, 4th edn, Sage Publications. Rodney, R. J., & Kristi, Y (2011), ‘Organizational change: in search of the golden mean. Type: Case study’, Journal of Accounting & Organizational Change, vol. 7, no. 1, viewed 8 September 2011, http://www.emerald-library.com/journals.htm?issn=1832-5912&volume=7&issue=1&articleid=1913605&show=abstract Read More
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