Motivation, Teamwork, and Organization Structure of Abu Dhabi National Oil Company - Case Study Example

Motivation, Teamwork and Organization Structure of Abu Dhabi National Oil Company Name Institution Motivation, Teamwork and Organization Structure of Abu Dhabi National Oil Company Introduction to motivation The production rate of any organisation depends on the level of motivation of its workers especially the team players in the direct production departments. Motivation is a source of happiness for most employees, therefore, acts a foundation to an indicator of satisfaction in their performance. Such satisfaction sums to the overall improved performance of such organisations. In cases of operations, whereby the workers receive limited, or no appreciation, they usually target to complete their working hours without considering the level of output. Moreover, such employees tend to remain silent over issues that are likely to affect the operations of the company leading to short term and long-term risks, which are likely to lower or rather, hinder the operations of the company contributing to heavy losses (Bénabou and Tirole, 2002). Various companies have adopted different mechanisms of showing appreciation to their employees, which are the acts of motivation in the end. Most companies reward great performances through bonuses and other financial incentives awarded to the employees in addition to their minimum income. Such bonuses tend to boost the morale of the workers developing their urge to raise the performance for increased benefits. In others companies, organized perks such as casual days, half days, social events outside the workplace and office parties are other modes of motivating the employees. Such people would always want to remain within the organisation for long hours just to enjoy the company of other employees. According to Bénabou and Tirole (2002), education together with positive recognition forms a greater effect on the behavior of the employees. For instance, companies that offers incentives for further education stands a better chance of building their loyalty with the employees than that, which limits its operations to production alone. In order to achieve maximum production, the company must carter for continuous training of its members to achieve the set of standard skills required. Likewise, public recognition of an employee who does a commendable job tends to build one’s self-esteem providing positive reinforcement. Initiation of programs that recognize employees opens way to motivating them. Introduction to teamwork Teamwork is a norm within the management of an organisation that drives the operations of a company. It makes the company and its staff gets to understand one another and learn to work together for higher performance. Within the team, each member has a role to play. The team leader and members divide tasks helping the managers to determine the various employees capable of accomplishing tasks within the stipulated time. Likewise, teamwork improves efficiency and accuracy since most of the team players are skilled and aware of their own responsibilities. The decisions of any company majorly rely on the team players who must work hand in hand to make affirmed ideas a reality without compromising the current operations of the company (Park, Spitzmuller and DeShon, 2013). For effective arrival of decisions, seven to nine in number of team members provide the most cooperative team since a large number might be challenging to deal with. Moreover, in such teams the secrets of the company needs to be conserved since such secrets form the strengths of operation ideal for competition with other companies operating in the same line of goods. A good and efficient team comprises of individuals from different departments, academic level, age and gender and this would draw comparisons from all aspects of management and knowledge providing constructive conclusions. Within the team players, no delegation is necessary. The norm of passing the conclusion of the team players for approval from a third party remains the greatest challenge to most companies. For effective implementation, immediate action is important to prevent show of interest that may thwart the decision arrived at. Teamwork under the guidelines of right reasons provides an alternative to single-leader units improving performance. Park, Spitzmuller and DeShon (2013) note that even though teamwork is mostly advantageous to companies, at times it can lower the productivity level of employees. For instances, a collection of closely related people within a single team is likely to contribute to laxity in the accomplishment of the duties assigned. Moreover, a greater number of people within a team are likely to consume much time and adoption of the rule of the majority if decisions fail. In such cases, the group is likely to adopt wrong conclusions, which eventually affects the operations of the company negatively. Introduction to organization Organization is an entity that works collectively to accomplish a particular objective. Within a company, an organization comprises different departments operating within outlined guidelines to accomplish a specific duty within a given period. Csaszar (2012) posits that most of the members of an organization form part of the management scheme of the company concerned, however, members within the external environment at times form part of such committees. The organization structure and culture comprises a hierarchy of leaders from which information and conclusions follow. Organization of any company must aim at achieving the set objectives. The accomplishment of the set task allocation, coordination and supervision requires a well set organization structure. A proper organizational structure relates to the environment of work. Within a company, the organization dictates the extent of operations. For instance under the organizational structures, a company dictates the allocation of duties to varied entities such as departments, workgroups, or an individual who is questionable for all the actions of operations within a given specified period. The organization structure of a company sets the standards of operational procedures and routines within and outside the company that relates to production. Additionally, it dictates the kind of people to form part of the team players in decision-making and other debatable actions to shape the organization. Analysis of motivation in ADNOC Abu Dhabi National Oil Company (ADNOC) is one of the major companies within the United Arab Emirates (UAE) that shows the highest level of motivation to its employees as well as suppliers. Regardless of being a production plant, the company continues to motivate its customers through enhancing accessibility to the factory. ADNOC possess and controls major airports in the UAE region mainly used by its customers and employees to reach their industries in both the upstream and the downstream. Employees that live far away from their two subsidiary industries are capable of reaching their workstations within the stipulated time through subsidized airfares at Buhasa Airport and Jebel Dhana Airport. Through this the workers are ever motivated to work since they transportation is efficient and reliable (Mezher, Tabbara and Al-Hosany, 2010). The adoption of different educational programs and institutions continue to give ADNOC a better hand in the motivation of its workers. The ADNOC Scholarship Program started in 1974 provides the necessary quality skills that help the UAE nationals to acquire skills required in the national industry (Daya, 2014). Therefore, most of their employees are always happy at work since they possess the necessary skills enabling them to operate professionally. Other education systems that motivate employees and their families include Achievers Oasis Program, The Glenelg School of Abu Dhabi and ADNOC Technical Institute among others. Apart from educational motivation, ADNOC also organizes varied annual events that bring together diverse cultures from all over UAE. Events such as camel race, athletics, cultural clubbing, and social events for people with disability are some of the programs sponsored by ADNOC that provides a motivation to both the employees and the community at large. Analysis of teamwork at ADNOC ADNOC is a government owned company. Nevertheless, it operates on a basis of teamwork under the umbrella of a body referred to as Supreme Petroleum Council. Within, the council each member has a role to play in the accomplishment of the objectives of the company. ADNOC operates on a committed and connected team approach to maintain and improve their client service delivery. The management team comprises a global network of professionals who meet on monthly basis to foster ideas towards a common purpose. The team works together in implementing policies, setting budgets, leadership development and debating on business performance. However, the government has the final say to the implementation of the strategies laid down. It, therefore, means that the operations of ADNOC must meet the boundaries of the arms of government. According to Olsen (2010), teamwork power of an employee is only possible if the team players are happy. Therefore, the employer must maintain good relations with its employees keeping them happy most of the time without compromising production. A conducive environment is the secret to keeping employees happy and vigil. Generally, an understanding of the key objective of any company forms the basis of deciding on the team players. Likewise, a clear outline of the obstacles that hinder the teamwork of employees is essential as it reduces operational risks. Changes in the company such as recruitment freeze deserve great consideration as this might limit the effectiveness of different models of teamwork. Analysis of Organizational structure in ADNOC ADNOC comprises a defined structural organization, which is hierarchical in its operations both within and outside the company. Though owned by the state, the company has a chief executive officer (CEO) at its top most position who is responsible for all the aspects of management within the organisation. The CEO controls and monitors all the operations within the company. An employee within the company reports to him or her. However, they work as a team with other senior officials in the company (Csaszar, 2012). Nevertheless, he makes the final decision on discussed matters. Apart from the CEO, other senior officials include the head of finance, marketing, quality, operations, manufacturing, human resource and public relations in hierarchical manner respectively. In the absence of the CEO, the head of finance assumes his or her duties. Within the larger divisions of the departments, there are chains of other officials, which enhance the operations of the company. In addition to the governing body within the company, another external organizational structure also exists. This is the Supreme Petroleum Council (SPC), which oversees all the production process within Abu Dhabi. The SPC is in charge of all the other branches of the company. The body operates under defined rules and regulations as outlined in the national oil production Act and the law of United Arab Emirates of 1988 (Tran and Tian, 2013). The body set the policies and objectives of the oil producing companies, monitoring them to ensure implementation of such policies and meeting of the objectives set. The SPC, however, works together with the National Oil Department and the Board of Directors of ADNOC, which the CEO forms part. Most of the members of the Board are not employees within the company. The SPC is the most powerful arm of the oil production company and the CEO reports to it. Suggestions on improving motivation, teamwork and organizational structure Motivation forms the basis of operation of the employees. In order to improve on the level of production, the company needs to incorporate a system to receive feedback from its customers. In doing so, maintenance of a high degree of confidentiality is important. Customer feedback contributes greatly to the performance of the company since the organisation is capable of identifying customer dissatisfaction, opportunities, and needs among others. This opens door for alternatives or improvement. Secondly, training is an essential code of motivation among employees. Constant and convenient training in the fields of quality improvement, information technology, environment, health and safety and management concepts is source of motivation since the employees will operate efficiently and effectively without fear of errors in the production process. Improved incentives, insurance, increased holidays on high performance, free licensing and personal loans also act as a strong motivation determinant. Such added advantages would ensure retaining of highly qualified personnel who boost the performance of the company. Teamwork is also another factor essential in the maintenance of a higher performance. In order to improve teamwork, I would suggest that ADNOC should implement more recognition programs through constant rewarding of groups with good performances. The company officials should give praise and a small token with the company label. This instills a sense of belonging and value in a given job bracket boosting teamwork among members. Mediation of disputes is also another suggestion to boost teamwork. The company should provide defined instructions to seeking remedy in case of disputes among team members. Such channels ensure effective and productive arrival at solutions among the team members. An outline of clear roles of every team member also eases teamwork. Assuming of such roles depend on the skills and deadlines with consultation from other members of the team. This reduces unrealistic expectations. The organization structure of ADNOC should comprise of internal forces only without the incorporation of other forces from outside the company. The SPC, mostly influenced politically, sometimes interferes with the general operations of the company. For instance, the incorporation of the energy regulation law in 2008 reduced the production of the company leading to its dwindling performance (Bhat and Srinivas, 2010). Such moves resulted due to interest by private developers to get into the oil market greatly covered by the ADNOC. The external organisation structure is a great threat to the company and, therefore, should cease to be the final operational body. Precisely, the CEO should be the final decision maker of the company. Implications of the recommendations Through the adoption of the new concepts of motivation suggested above, the company would be in a position to work collectively with its employees. The employees, therefore, would be willing and ready to work for long hours, during holidays and even at odd hours promoting the efficiency, consistency, and high production all the year round. Motivation is the psychological catalyst in the production and setting high standards of motivation would ensure timely meeting of the objectives and sometimes even exceeding the expectations. A proper empowerment to the employees ensures positive mental and physical reactions of the human force enhancing production, increased revenue and cost savings (Smeets and Bayar, 2012). Adoption of the suggested teamwork concepts provides an essence of trust and experience in the organisation. With job specification among the team members, new team players are able to build themselves gaining experience through constant learning form the experienced employees. Through this practice, the company maintains a network of experienced employees capable of replacing of such individuals upon retirement or transfer. The operations of the company, therefore, remains constant causing limited negative effects to production. Additionally, the company through the team is capable of building trust to particular teams and individuals ensuring completion of tasks within the stipulated time. It also provides an understanding of emotions and moods among employees limiting chances of differences among employees. An higher degree of teamwork enhances performance with a greater measure ensuring high productivity and revenue. The suggested organizational structure would provide a scope of privatization, whereby the company would strive to make outstanding profits. Presently, ADNOC is operating in credit with reduced wages to the employees (Ghanem, 2007). The main factor contributing to this is constant competition from other private firms owned mostly by the members of the SPC. Therefore, adoption of new organizational structure without SPC would enhance production due to reduced economic importance. Additionally, the restricting of the internal organization structure to incorporate senior officers in other branches of ADNOC would reduce the workload of the CEO in ensuring higher performance. This will reduce the operational time and cost enhancing production. References Bhat, G. M., & Srinivas, K. (2010). Economic developments of GCC countries: An overview. Energy and Environment, 22(9), 338-346. Bénabou, R., & Tirole, J. (2002). Self-Confidence and Personal Motivation. Quarterly Journal of Economics, 117(3), 871-915. Csaszar, F. A. (2012). Organizational Structure as a Determinant of Performance: Evidence From Mutual Funds1. Strategic Management, 33(6), 611-632. Daya, A. (2014, October 29). As Abu Dhabi Sizes Up Oil Partners, Western Firms Risk Being Left Out. The New York Times. Ghanem, S. M. (2007). Industrialization in the UAE. Economic and Social Development in UAE, 21(6), 260-276. Mezher, T., Tabbara, S., & Al-Hosany, N. (2010). 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