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Management autocratic approace vs participative approach

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PART 1

Your consulting firm has been hired by a small company to prepare a research paper aligned with their plans for a global expansion. The business has been successful for the past ten years with steady growth. However, the company believes that creating additional layers of management would increase performance. The company's idea is to create an upper-management team to focus more on the strategic initiatives of the business going global and a lower-level management team to focus more on the day-to-day operations. The company has realized that there may be a few challenges to this reorganizational structure and have asked you to research the situation and advise the executive team.

Address several of the immediate concerns which include:

1. The morale of the employees--half the current employees are very satisfied with their current job and responsibility and the other half of employees are eager to move into higher management position or into management position.
2. The budget--budget does not allow everyone to be promoted.
3. Performance issuesâ?"some individuals are lacking on their performance and are not going to be a good fit as a manager based on their past performance.
4. Identification of high performers.
5. Alternatives for moving forward with the new organizational structure that will not cause unnecessary chaos in the workplace.
6. Evaluation of the importance of the leadership dynamics when it comes to prior knowledge and skills.

PART 2

You are starting up a new coffee shop that will be Wi-Fi accessible and will have 3 locations within a 50-mile radius. You expect to need about 10 employees per store. You know that controlling costs will be very important, and you also know that customers must feel comfortable in your shop if they are to become frequent customers. To survive, this business must focus on customer service.

Management model choices are as follows:

An autocratic approach versus a participative approach toward the decision-making process
Centralized versus decentralized
Self-directed work teams

Answer the following questions:

1. Which management model choices would you make for each of the model choices listed?
2. Why did you choose that model?

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Solution Summary

The response addresses the queries posted in 2021 words with references.

Solution Preview

The response addresses the queries posted in 2021 words with references.

Part 1

// Corporate Restructuring refers to the change in the organization management due to adding up the hierarchy level and expansion of business. In this paper, we will discuss about a company, which is planning to restructure its management levels by adding up more layers of hierarchy to improve the performance of employees as well as of company, so that it can enter into the global market. In the below section, we will also discuss the factors, such as performance issues, budget, leadership role, etc. and their impact on restructuring company. //

Introduction

It is very important to reorganize the structure of the organization whether it is a small or a big company. The company goes for restructuring when it wants to sustain itself in competitive environment. It takes the decision for restructuring may be due to the expansion of its business at global level or for reducing its hierarchy levels. The company's planning to add level of management will improve the performance and efficiency of employees, as well as, its business. The organization restructuring requires proper business planning by including the managers and executives from all the levels of management hierarchy, which will help the top management to take reliable decisions (Gaughan, 2010).

Impact of Reorganization Structure on Employees

The company, which is ready to add more hierarchy levels, has impact on the morale of employees and their performance. There may be some employees who are satisfied with the present jobs and responsibilities, and some of them may want to be promoted for higher positions in the company. If the company has not much funds to invest freely in restructuring, then the focus of management should be on those employees who are more interested in taking up the higher responsibilities and duties. For this, top management can review past performance records, competency level of employees, capacity to manage the stress, work commitment level, etc. All these will help the management to select the best employees suitable for the higher positions (Rainaldi, 2009).

//The Company requires huge funds to invest when it plans to restructure by upgrading the management layers. In the below section of this paper, we will be discussing about implication of budget on the company in which we will study about the situation when the company is not able to promote much employees at higher level. We will also study about the performance issues regarding employees, in which, we will discuss about how the employees will improve their skills to acquire higher position.//

Impact of Budget on Reorganization Structure

Every company has to consider its budget before planning for organization restructuring. A small company requires some funds to invest even if it is deciding to increase the hierarchy levels. Adding more levels in an organization adds up more employees with proper delegation of authorities, responsibilities, and resources, which ultimately requires funds, but at the same time, it improves the productivity of the company and its employees. The higher performance of employees and company will help them to enter into global market and give tough competition to the rivals. The budget of the company does not allow every employee to be promoted at higher levels. The management is required to choose the best suitable employees according to their work profile and competency level to achieve the ...

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Ashish Sharma, MBA (IP)
Education
  • MBA (IP), International Center for Internationa Business
  • BBA, University of Rajasthan
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