Industrial and Organizational Psychology al Affiliation Industrial and Organizational Psychology It is critical to that different firms have different organizational structures. The difference in organizational structures is a result of different levels of differentiation, integration as well as environmental factors evident within the firm (Aamodt, 2010). This project aims at linking the influence of environment factors and the organizational structure in businesses. The focus is based on Cavaraty, a local retailer based in Kuwait. Cavaraty majorly deals on sales of mobile related accessories and products. The contact person of Cavaraty is Ali AlQenaei.
He happens to be the manager of the store. His phone number is 96002220. It is important to note that organizational structures can either be flexible or mechanistic. Volatile and turbulent environments characterize flexible organizational structures. On the other hand, stable and increasingly munificent environments characterize mechanistic organizational structures. Different firms have different organizational structures. Organizational structures can be classified as mechanistic of flexile depending on a number of factors. Cavaraty is one of the local stores that provide its customers with an opportunity to either walk in the store and purchase items or engage in online purchases.
Whenever an order is made online, the products are delivered to the customers at their doors. In addition, the store gives the customers an opportunity to order for products online and pick them from the store. On the same note, the manager believes that their economy is stable as well as highly munificent. The customers are very loyal and command a relatively large customer base. On this basis, it is important to note that Cavaraty depicts a flexible organizational structure. It is critical to note that different firms have different clearly stated goals.
In Cavaraty, the goals of the firm are team oriented. This means that the emphasis is strongly based on team performance in Cavaraty. In addition, the incentives focus on both the team achievement and individual achievement in equal measures. This functions to dispel any form of conflict that may render the firm inefficient. In this regard, it is of crucial significance to note that the firm depicts a flexible organizational structure. Environmental factors within the business firms always function in different ways to influence the organizational structures.
Some of the environmental factors comprise of the economy, community as well as the location of the business premises (Aamodt, 2010). In addition, environmental factors comprise of different attributes of the customers including loyalty and the customer base. In Cavaraty, the economic environment has been relatively munificent. The community has been supportive thus making the environment to be highly munificent. The store is in a favorable location that commands ease of access to customers. The customers are very loyal to the store.
The store caters for the needs of the customers in the most appropriate way. In general, it is prudent to note that the business environment is very stable. This depicts a flexible organizational structure. It is important to note that different firms use technology in different ways in their lines of operations. Technology can be used in serving customers. In addition, technology is also applied in businesses to reduce the costs of operations and maximize efficiency. Cavaraty uses technology to serve its customers. This involves online payments as well as testing for the products before buying them.
This helps to minimize the costs as well as maximize the loyalty levels of the customers. The store has an automated order processing system that makes service delivery fast, efficient and reliable. In addition, the store heavily depends on compact storage system with automated product retrieval. This helps in minimizing time wastage, reduction of costs as well as raises the levels of efficiency. This raises the levels of customer satisfaction, thereby result to increased performance in the store. However, it is of crucial significance to note that technology is highly applied in automatic execution of several activities in the store.
Therefore, in order to enrich the job, it is advisable to differentiate the tasks further. As such, the employees will also enjoy the taste of their services in the store. Cavaraty is a relatively large store. It is neither new to the market nor too old in the market. The store depicts a relatively low growth rate in employment. As such, it is important to note that as a relatively new firm in the market with relatively slow growth rate, Cavaraty requires a flexible organizational structure. It is important to highlight that flexible organizational structure is the most appropriate for Cavaraty store.
This is evident in a number of contextual factors that characterize the operations within the store. The environment of the store is highly munificent. In addition, the store has a favorable economy with supportive community. The law and order situation in the store has been under control and the customers are very loyal to the firm. This makes the business environment become very stable.
The life cycle of the store also depicts that it requires a flexible organizational structure. This follows that the store is not too old in the market and commands a moderate size as well as growth rate in employment. On the same note, the employees of the store are trained in multiple tasks. As such, an employee can execute various duties thereby confirming flexibility within the store. On the other hand, flexible organizational structure is appropriate for the store following the nature of the laws. The laws are relatively few and are enforced in the most appropriate ways.
Moreover, most training, recruitment and promotion decisions can be made either in the store or in the head office on equal measures. This shows that flexible organizational structure is the most desirable for this store. In this regard, it is prudent to acknowledge the fact that the current structure is similar to what is required of the Cavaraty store. As such, the store should maintain the flexible organizational structure to satisfy the needs of its customers fully. In conclusion, the report focused on how different environmental factors linked with the nature of the organizational structure in Cavaraty store.
Different environmental factors favored the flexible organizational structure in the store. In addition, the flexible organizational structure has emerged as the most appropriate in the store. It aides in fast and efficient service delivery to the customers thereby making the customers become increasingly loyal to the products of the store. However, one of the challenges faced is the fact that the manager avoided answering some questions, especially those touching on the performance of the store.
References Aamodt, M. G. (2010). Industrial/organizational psychology: An applied approach. Belmont, Calif: Wadsworth.