CIPD 5CO01 Assignment Example | Organizational Performance and Culture in Practice
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CIPD 5CO01 Organizational Performance and Culture in Practice
Executive Summary
This paper examines many facets of an organization’s strategic planning. The report is divided into six distinct sections. The first section discusses organisational structure and how the many parts of an organisation work together to achieve a shared objective, as well as providing examples of hierarchical and functional organisational structures. The second section addresses the connection between organisational strategy and revenue and products. The third component consists of an external examination of the case study organisation, BMC, utilising the PESTLE analysis tool, as well as the results of this analysis. The fourth section investigates existing difficulties and their root causes, identifying critical priorities that impact product/service delivery.
The fifth section explains how people practises may have an impact on organisational systems and structures, hence affecting the successful employment, management, and development of people, while the final chapter examines how technology affects people, work, and working practises.
Evaluate the advantages and disadvantages of two types of organisation structures, including the reasons underpinning them. (AC 1.1)
An organisational structure is the method in which the many components of an organisation work together to achieve a shared objective (Lee & Edmondson, 2017). Hierarchical and functional organisational structures are examples of organisational structures (Lee & Edmondson, 2017). It is a pyramidal organisation in which the chain of command descends hierarchically from the top, often from the management to the other individuals. Hierarchical organisational structure is most suitable for large corporations and organisations, as it relies on a chain of command to provide varying levels of control (Lee & Edmondson, 2017). The organisational aim is achieved by the management’s clear communication and flow of commands to subordinates. This is more suitable for corporations like Apple Inc. and Horton Corporation. These two companies produce a radically superior product that is in high demand in many nations.
BMC’ follows an Heirachical Organisational culture
Hierarchical organisational structure possesses both advantages and disadvantages. Hierarchical organisational structure is advantageous due to its capacity to define power and responsibility levels more precisely (Lee & Edmondson, 2017). Second, it displays the reporting structure so that there are no disputes in the chain of command. Thirdly, it stimulates employees’ professional advancement, which is clearly specified (Lee & Edmondson, 2017). In addition, it provides each employee with their degree of specialisation inside the firm, enabling them to achieve the required improvements. It also fosters camaraderie among colleagues within the same department. Due to its bureaucratic manner of leadership, this organisational structure is criticised for its potential to stifle innovation as well as significant transformations (Lee & Edmondson, 2017). Second, it may induce employees to operate in the department’s best interest at the detriment of the corporation as a whole (Lee & Edmondson, 2017). Thirdly, it may make employees feel they have less ownership and that they cannot openly communicate their thoughts without going via their immediate managers (Lee & Edmondson, 2017).
Apples’s Functional Organisational Culture
The functional organisational structure is a management strategy in which the company is subdivided into smaller groups based on functional areas such as IT, department, and marketing (Awa, 2016). This organisational structure is better suitable for businesses with a diverse product portfolio. For example, it is applicable to goods with six organised product categories, such as energy, capital, housing, healthcare, and transportation (Awa, 2016). When items are increasingly technical and require higher specialised expertise, this approach divisions are effective. A functional compartmentalization also enables for increased efficiency by grouping together individuals with similar skills and expertise (Awa, 2016). Through cross-functional communication, it becomes feasible to relate to the organization’s overarching mission (Awa, 2016). Without effective communication channels, a functional organisational structure might inhibit the achievement of corporate goals. In addition, it obscures the company’s procedures and plans for various markets or products (Awa, 2016).
Analyse connections between organisational strategy, products, services and customers. (AC 1.2)
An organisational strategy is an executable corporate management plan. The strategy includes price models, marketing methods, branding techniques, and an evaluation of the competition. There are several techniques a business may employ to link its products, services, and income. The first strategy involves budgeting. Budgeting is justified since it serves as the key function connection between a strategy plan and an operation plan. By matching the budget with the business’s goods, the organisation is able to have more realistic revenue forecast. Budgeting also assists in determining the volume of output and forecasting expenditures. However, this strategy is based on estimates rather than real numbers. Consequently, variations may impact the outputs (Baruah & Ward, 2015).
The allocation of resources is a second technique. The distribution of resources necessitates the creation of an operating plan outlining the responsibilities and proper utilisation of resources and equipments. A strategic strategy is regarded realisable if sufficient resources are allocated to provide particular products and services (Baruah & Ward, 2015). If specific equipment is not allocated, it indicates that the corporation has no intention of assigning its goods. This technique is advantageous since it is directly related to the plan (Baruah & Ward, 2015).
In addition to aligning organisational strategy with goods and revenue, workforce planning and performance management is another way. Workforce planning is a basic business procedure that helps to connect the organization’s shifting demands with its strategy (Baruah & Ward, 2015). It focuses on the ongoing improvement of the workforce to fulfill the consumers’ ever-changing demands. It also assists in addressing organisational demands and hence achieves revenue objectives (Somerville et al., 2015). This strategy offers the benefit of correlating expenditures and revenues. In addition, it motivates people to strive towards the achievement of individual and organisational objectives.
Analyse a range of External Factors and Trends Currently Impacting Organisations. Identify Organisational Priorities Arising from the Factors and Trends Analysed. (AC 1.3)
BMC has just bought a culinary establishment in the city of Manchester. As a result, the organisation may be impacted by the numerous external elements that influence the industry. During the COVID-19 pandemic, when negative impacts are still being observed in the business, this is increasingly evident. Using the PESTLE analysis tool, an examination of external influences was conducted:
Political
There is an ongoing trend defined by greater food regulation to comply with the Food and Drug Administration’s ever-evolving safety rules (Trott & Simms, 2017). This is accompanied by the high expense of adhering to quality principles and by high product pricing. Different governments have engaged in a comprehensive examination of the reactions and seriousness of other nations’ pandemic responses (Trott & Simms, 2017). This has the effect of restricting the flow of people and products to certain nations, so impacting business.
Economic
The COVID-19 epidemic has caused a significant fall in the economic propensity of the world’s leading nations. This is evidenced by weak market performance, high unemployment and inflation rates, and exchange rate swings. As a result of these tendencies, market performance and product sales are bad (Trott & Simms, 2017). In addition, BMC and other organisations may have a worker shortage owing to the danger of getting the virus and the movement limitations.
Social
As individuals continue to consider the impact of the food they consume on their health, there is a rise in health consciousness. Dietary limitations are a further challenge for the food sector. The effect of health and dietary constraints on the type of food that BMC would provide for its clients, which should be predicated on these principles, is significant (Trott & Simms, 2017). In addition, as a result of the COVID-19 epidemic, there is an upsurge in both panic and prejudice.
Technological
The Corona virus has expanded the use of technology and home-based employment. As a result, BMC may be needed to make investments in technical tools such as robots. However, this tendency has severe consequences, since it may reduce employee productivity (Trott & Simms, 2017). In addition, some organisational functions, such as food manufacturing, cannot be performed distant from the company’s location.
Environmental
BMC should consider the influence of its actions on the environment when conducting business. This is evaluated based on the carbon footprint and the water footprint. As a result, the corporation may be impacted by their substantial expenditures in renewable energy and water saving techniques (Trott & Simms, 2017).
Legal
In the food business, BMC should take into account the ongoing development of higher safety regulations. Additionally, the business should examine the trade tariffs and rules between the United Kingdom and other countries.
Integrating the fragmented pieces of data and knowledge and understanding could be achieved. This makes the propensity of primary data collection methods through surveys, interviews, observations, feedback and statistical data more important. In the workplace or HR analytics, the people analytics process is enabled by technology to apply statistical methods to interpret people data in the HR process by keeping human capital, HR systems, and organizational performance in mind.
*Examples of information are used by professionals:
– Employees contacts.
– Investigation record.
– Time and attendance.
Assess the Scale of Technology within Organisations and How it Impacts work (AC 1.4)
As the organisation continues to expand, a number of issues impact product and service delivery. Uncertainties such as the one generated by the COVID-19 pandemic and technology are two examples of current concerns that influence enterprises. Uncertainty surrounds economic development, credit and capital market performance, as well as new rules, competition, and technological upheavals (Lastauskas & Nguyen, 2021).
Technology is an additional concern that might have an impact on the business. Other organisations that have continued to use technology have boosted their product and service offerings on the market, resulting in heightened competitiveness and heightened product and service availability in the contemporary day (Lastauskas & Nguyen, 2021). In light of this, technology/innovation becomes a crucial concern for any firm seeking to capitalise on the present economic trend. This was especially evident during the COVID-19 epidemic, when businesses utilised technology as a means of facilitating operations (Lastauskas & Nguyen, 2021). Indeed, many firms have embraced remote and flexible employment arrangements. However, the use of technology has also highlighted the need to address the influence on employee productivity, work-life balance, employee engagement, and employee health.
Adoption of technology and workforce planning are important priorities and issues that may impact product and service delivery as well as practice and solutions. From the research, it is clear that technology is a crucial topic that must be examined by every firm that wishes to remain competitive in the present era (CIPD.org, 2020). In the present day, technology is seen as a vital resource. Despite the hazards involved with technology, there are various possibilities that develop as a result of it (CIPD.org, 2020). AI has being utilised to enhance both customer service and automated decision support.
Other 5CO01 CIPD 5CO01 Organizational Performance and Culture in Practice Topics
- Drawing on your reading, explain one theory or model which examines organisational culture AND interpret one theory or model which examines human behaviour. (AC 2.1)
- Assess how people practices impact on organisational culture and behaviour, drawing on examples to support your arguments. (AC 2.2)
- Many organisations have managed considerable change in recent years. CIPD’s report, People Profession 2030: a collective view of future trends (2020) identifies ‘internal change’ as a key future trend.
- Explain different approaches to managing change (AC 2.3)
- Discuss models for how change is experienced. (AC 2.4)
- CIPD’s Good Work Index provides an annual benchmark of job quality. Data is gathered on seven dimensions of good work, including ‘health and wellbeing’. Assess the importance of wellbeing at work and factors which impact wellbeing. (AC 2.5)
- Discuss the links between the employee lifecycle and different people practice roles. (AC 3.1)
- Analyse how people practice connects with other areas of an organisation and supports wider people and organisational strategies. (AC 3.2)
- People professionals provide a service to internal customers but to truly add value, people professions need to understand their customer’s needs. Discuss processes for consulting and engaging with internal customers to understand their needs. (AC 3.3)
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References
Bryson, A., Forth, J., & Stokes, L. (2017). Does employees’ subjective well-being affect workplace performance?. Human relations, 70(8), 1017-1037.
Cassidy, A. (2016). A practical guide to information systems strategic planning. NY: CRC press.
Cattermole, G. (2019). Developing the employee lifecycle to keep top talent. Strategic HR Review
Kirton, G. (2020). Diversity and inclusion in a changing world of work. In The future of work and employment. NY: Edward Elgar Publishing.
Őnday, Ő. (2016). Classical to modern organization theory. International Journal of Business and Management Review, 4(2), 15-59.
Sundaram, R., Ziade, D., & Quinn, D. (2020). Drivers of Change: An Examination of Factors That Prompt Managers to Enforce Changes in Business. International Journal of Management, 11(5).
Yao, T., Qiu, Q., & Wei, Y. (2019). Retaining hotel employees as internal customers: Effect of organizational commitment on attitudinal and behavioral loyalty of employees. International Journal of Hospitality Management, 76, 1-8.
