Organisational culture and leadership. Some key concepts such as culture, structure, leadership styles, management theories, and employees behaviour are the key concepts which will be described

Authors Avatar

Table of Contents

1. Introduction

This talk will be directed to a group of management students and has as its main areas of subject organisational culture and leadership. The talk will include academic theory and current businesses examples so that students can get a wider view regarding these complex, yet essential management areas.

Some key concepts such as culture, structure, leadership styles, management theories, and employees’ behaviour are the key concepts which will be described and analysed in this talk in the matter of how they may influence organisational performance.

2. Organisational structures, culture and their impact on the performance of the business

There are many ways by which organisations can be structured. The way by which the organisation is structured will determine its chain of command; span of control; formalization; flow of authority, responsibility and accountability; job titles; and relationship amongst departments.

The most common organisational structures are: flat, tall, matrix and virtual.

Flat: less organisational layers, less employees’ supervision, decentralised decision-making, higher interaction amongst employees, empowerment, and wider span of control are a few characteristics of this type of structure which is usually used by smaller companies (i.e. Babbo Group, London).

Tall: many levels of hierarchy, narrow span of control, long lines of communications, centralised decision-making, strict departmentalisation and specific job roles, higher control over employees, and unresponsive to change are a few of its characteristics. This structure is usually used by larger, older companies (i.e. Cadbury, Microsoft).

Matrix: usually used by project-driven companies, synergy, the idea that people are ‘shared’ within the organisation, shared authority and responsibility, and information sharing are the main characteristics of this type of structure usually used in construction industry (i.e. Kier, Amey UK).

Virtual: support of modern telecommunications, relationship of members based on trust, overcomes distance and time constraints. Virtual structure is being more and more used in the current times by multinational companies (i.e. Coca-Cola, Sony).

Tall and Flat structures

Source: bbc.co.uk

Matrix structure

Source: visitask

Virtual Structure

Source: visitask

According to Schein, organisational culture can be defined as the shared assumptions which were developed by a group within the organisation to cope with its internal and external problems. (Schein, 1992). In simple words, culture is the personality of your organisation and it is formed by its values, assumptions, norms and members’ behaviours which is developed and changed along the company’s lifetime.

The inter-relationship between organisational structure and culture impacts the company’s performance under the concept that organisational structure will shape organisational culture and vice-verse. A tall organisation will only be viable when the organisational culture values authority, strict command, job titles and control, for example. Both aspects will work together and shape each other so that the organisation works smoothly. On the other hand, flat organisations work better when employees share the values of empowerment, shared responsibility, wider job descriptions and delegation. Both, organisational structure and culture should correspond and complement each other. And, whenever one slowly begins to change with time, the other should also do.

Join now!

3. How organisational theory supports the practice of management and different approaches to management

After extensive research on different management approaches I was able to create a table with only four of them and its main characteristics in order to support management students to compare them.

 

Each approach has its value as they reflect the business needs of the time they were developed. One complements the other, they represent the progression of ideas over time.

These and other theories serve as guide to managers on how they can practice managerial functions during their daily ...

This is a preview of the whole essay