LO1: UNDERSTAND THE RELATIONSHIP BETWEEN ORGANIZATIONAL STRUCTURE AND CULTURE
Q1.1 Compare and contrast KBR’s organizational structure and culture to that of a similar organization.
The organization follows a matrix structure and the hierarchy is respected across the verticals of KBR. It employs some 57000 people and hence maintaining the whole team in the right manner is very critical for the organization. The company has maintained the whole culture in the company in the right manner (Kirkley, 2011). As an organization where the nature of the work is very monotonous and hence the objective of KBR has been to foster culture in the right manner. This will result in proper development of the workforce of the company. As ultimate accountability for achieving any improvements rests with the business owners of the relevant activities, the business stakeholders should have the final say on realistic improvement expectations.
On the other side if we see any organization which is into product development like Apple, we can see that organization has the culture to foster creativity in the organization. Culture management has been critical function and APPLE incorporation has worked on the creativity part while KBR has worked on building the culture of geography where people try to make every day work easy in the right manner. The culture of the organization is to work together in the right manner and then foster the same to develop the organization.
Q 1.2 Explain how KBR’s organizational structure and culture affects the performance of the business.
KBR has created a strong team and work culture for the people in the company and this is where it scores over most of the other organization. Companies that are successful in using a high-quality KBR to gain differentiable competitive advantage do so by augmenting staff, cultivating new skills, changing processes, and incorporating new tools and technologies to support changed processes (Shelton, 2011). However, these are necessary, but not always sufficient for success.
Culture can be simply defined as “this is the way we do things around here.” Culture defines what the organization values — for example, new ideas, people and relationships, openness, diversity, honesty, and accountability. Culture guides and shapes the behaviours of individuals and groups. New employees receive the standard orientation training that probably includes value statements, but they also obtain informal inputs from their peers about acceptable and unacceptable behaviours, and positive and negative attitudes.
The consequences of a negative workplace culture include staff that only carry out the minimum work required, lost productivity as energies are directed toward negative behaviour and higher staff turnover.
An important success factor is the role of design culture, which is an aspect of the organizational culture. Business improvement culture comes from the top down (senior management articulating priorities), as well as from the bottom up (an influx of KBR-oriented staff, with their world views and affinities), and it leads to a broad awareness of the importance of KBR throughout the organization (Montgomery, 2011).
Q1.3 Give examples and discuss factors that influence individual behaviour at work.
Individual people at organization have worked on the organizational behaviour and this is where it has scored over the other organization. The individual workers in the company have worked on the overall behaviour of the organization and this has helped the company in working on building the user experience of the company. World over the companies have worked on similar model which has helped in shaping the overall behaviour and culture of the organization as a whole. Often, the real differentiated value, the source of success of a business, is in its interactions with customers. In an increasingly digital world, those customer interactions and expectations are more and more related to information and technology, including technology in products and the use of digital channels like mobile, social and the Web (Green, 2012). The individual behaviour of the organisation helps in shaping up the company in the right manner.
As cited earlier, most midsize enterprises have flatter organizations than larger organizations, and therefore have a clearer line-of-site to customers. Take advantage of the opportunity to intimately understand customers’ needs and preferences. Make your customers a core part of your strategy. Know what they want next and position your organization to delivery it quickly (Measurement CMS experiment, 2011).
Motivation: The individual works for the team and the team management works on the behaviour of the members which shapes up the organisation.
LO 2: UNDERSTAND DIFFERENT APPROACHES TO MANAGEMENT AND LEADERSHIP
Q 2.1 Using the case study provided, identify which leadership style is used by KBR and compare the effectiveness of KBR’s leadership style to a similar organisation.
KBR selects a leader who has the necessary skills, authority and esteem to manage the new initiative, and who can provide “cover” for the program participants, keep management quality informed and ensure that the program is properly marketed. The leadership style for KBR has been that of autocratic leaders who work on the core strategy of KBR. When compared with other organisation or leadership strategies like that of Al-Latifia, one can see that they follow the charismatic kind of leadership which is not the case like KBR.
Successful new initiatives — like all enterprise programs — also need passionate and committed supporters, and external stakeholders. The working group must find, train, support and nurture these supporters and keep them involved on an ongoing basis. Programs thrive when there’s a close relationship between national and local health organizations.
It is a common scenario for the ownership of KBR in general, and the external-facing Web channel in particular, to change hands as the initial version of the company Web presence evolves from simple, static brochure-ware site to a complex, transaction-oriented, multi-channel system. What begins with corporate communications and information can be handed over to the organization, and possibly later, once the technology has stabilized, back to the non-business side of the business (senior marketing staff that have online and digital technology backgrounds) (Green, 2012). Leadership style followed in KBR is that of democratic nature which the case in any matrix organisation is typically. Democratic type of leadership hears the points of all individuals in the company and then work on the methods which are best for the common goal of the company.
Q 2.2 Explain how organisational theory including the work of F.W. Taylor underpins management practice.
The whole organization of KBR is based on the fact of having a good feedback loop and that is where they have adopted F.W. Taylor Management practices. This process of control optimization depends on the presence of feedback mechanisms that assess control effectiveness and identify environmental changes that alter the risk environment and requirements for security controls. KBR on based of organisational theory is vivid and an open organisation. From the bottom-most process to the top, there needs to be a clear, unbroken chain of governance that ties all aspects of the digital initiative to business goals and objectives. When this chain breaks, the online presence is cast adrift in the organization. Lack of governance underlies most project failures, even though that gap is not always visible, and the extent of the failure is often obscured by missing metrics. On the other hand, an enterprise may have a sophisticated online presence that includes a large volume of e-commerce transactions across multiple channels (including mobile), with significant support for customer self-service and tight integration with complex back-end systems, such as ERP. In this case, the owner should have a strong technology understanding, in addition to business acumen. In these situations, the owner usually is not part of the corporate communications department (Montgomery, 2011).
Successful high-end online channels evolve via a process of continuous improvement based on objective data about user behaviour, derived from instrumented analytics. This is the top-level change management process. Below this top level can be an aggregation of smaller processes or pipeline stages, each of which can have an owner. Governance is essential for defining measures of success, linking project goals to organizational priorities and strategies, engaging with stakeholders, enforcing adherence to best practices and marshalling coherent responses to changing market requirements.
Q 2.3 Evaluate different approaches to management used by KBR and one of its competitors.
Traditional, hierarchal leadership structures foster an environment of accountability focused on risk mitigation, resource optimization and linear, incremental improvements. In large-scale organisation like KBR, there are one or more individuals per role. This is the management style adopted by KBR at large. In smaller projects, each individual may be responsible for various roles. Whether small or large, it is rare to have all these diverse roles under the direct supervision of one manager. That is, the person who is ultimately responsible for the success of the Web presence will have direct authority over some of the roles and only indirect influence over others. There will often be a matrix-style organization, with some individuals “on loan” from other departments in the organization. This means that the person who owns the external Web presence cannot just be a manager or supervisor, but instead has to be a politician, negotiator, thought leader and persuader to effectively coordinate human resources that cross organizational boundaries.
The owner often directly supervises a central team, which is variously called the e-commerce team, digital team or Web team. However, this core team depends on the good will and support of other departments in the organization to accomplish its goals.
A successful digital operation requires the coordinated activities of people with diverse skills and roles that combine business and information technology. The ultimate owner is often on the business side. That is, the external-facing online presence is owned by the manager who owns all the customer touch points: the CX as it is delivered through the Web channel, the direct-mail channel, the in-person store visits, the call-centre and the interactive voice response (IVR), which is an automated self-service phone system. That person should come from the business side, but he or she must be supported by people with technical backgrounds who understand the evolving capabilities of modern technology. That is, the owner may be part of the marketing department hierarchy, but should have sufficient technical background, or be working closely with technical staff.