Flat Organisational structure

A flat organisational structure is one where the leadership does not flows from lower levels to senior management but rather employees work in horizontal clusters as opposed to vertical. The intent of this organisational structure is to enhance homogenous culture and have a decentralised role of management (Worley & Doolen, 2015).

Advantages

·       Communication and collaboration: Flat designs encourage discussion, which leads to a mindset of working together and making quick decisions.

·       Empowering employees this means giving them more freedom and letting them help make decisions, which makes them happier at work and more motivated.

·       Efficiency: When there are fewer levels in a hierarchy, there is less red tape and people can respond faster to problems and possibilities.

·       Flexibility: Organizations can quickly change direction because organic forms are flexible and work well in changing situations (Worley & Doolen, 2015).

Disadvantages

·       Management problems: Fewer organizational levels can make it harder to move up in the job and there arises management problems due to lack of clear chain of command.

·       Role Ambiguity: When there are fewer layers, job roles may become less clear, which can lead to confusion about who does what.

·       Possible Overwork: Because there are fewer bosses, employees may have more work to do, which could affect their work-life balance.

·       Problems with making decisions: If it is not handled well, decentralized decision-making can lead to inconsistencies or disagreements in how decisions are carried out (Worley & Doolen, 2015).

Network Structure

A Network Organizational Structure is a plan for how a central group works with outside companies, partners, or users on different tasks, projects, or services (Sandermoen2017).

Advantages

·       Access to Expertise: Organizations can use the specific skills, knowledge, and resources of external partners to get access to expertise they may not have in-house.

·       Cost-effectiveness: When groups work together with outside partners, they may split the costs of projects and activities, which can save money.

·       Flexibility and adaptability: Network arrangements are very flexible and easy to change, so businesses can react quickly to changes in the business world or the market.

·       Innovation and Diversity: Working with different outside groups can encourage innovation by bringing in new views and ideas. This can lead to creative ways to solve problems and find new possibilities (Sandermoen2017).

Disadvantages

·       Coordination Challenges: Getting many different groups to work together can be hard, which can lead to inefficiency and delays in making decisions and carrying them out.

·       Loss of Control: Organizations may not have much say over what their external partners do and decide, which can put their image and operations at risk.

·       Confidentiality Risks: Sharing private information with external partners can lead to security breaches and worries about privacy, especially if the partners don’t have the same data protection standards.

·       Management of Conflict: When partners have different goals and interests, they can have conflicts or differences that are hard to fix (Sandermoen2017).

A business strategy is defined as a comprehensive plan or road map that describes an organization’s long-term goals and objectives, as well as the means by which it intends to attain them. It entails a methodical strategy for allocating resources, short term and long term decision making, and alignment of the organization’s vision and mission (Holbeche, 2022). A company that develops a well-defined business strategy provides direction, establishes priorities, and aids in navigating the competitive environment (Holbeche, 2022). According to Holbeche(2022). A business strategy is linked to products and customers in various ways:

1. Having a customer centric approach: Effective business strategies commence with an understanding of consumer requirements, preferences, and expectations. This understanding drives the creation of products and services that directly address these user requirements. Therefore, the strategy is customer-centric, ensuring that offerings are tailored to satisfy customer needs.

2. Product and Service Development: Following the identification of consumer requirements, businesses strategize the creation and delivery of products and services that meet these needs. The strategy governs product development, features, pricing, and distribution channels to ensure that they resonate with the target market.

3. Developing products and focusing on revenue generation: Generating revenue is a fundamental component of any business strategy. Often, a successful revenue-generation strategy involves closely matching products and services to consumer requirements and preferences. By providing solutions that directly address consumer needs, businesses can attract more customers and increase sales.

For example, When a company, such as a software developing firm, has a business strategy of growth in revenue and profits, it may use a customer centric approach by soliciting feedback from extant software product consumers. They conduct surveys, acquire user data, and communicate directly with customers to identify their sore points and improvement opportunities.

The company identifies specific features and functionalities that would improve its products based on consumer feedback. They then create revisions and new versions of their software that incorporate these enhancements. In addition, they modify their pricing strategy by offering tiered pricing plans in order to appeal to a variety of consumer segments.

A customer centric approach may increase demand and revenue by adopting the following activities:

·       Meeting the needs of the customers: By addressing the particular requirements and preferences of their user base, the business’s products become more valuable to its customers.

·       Improving the user experience: Enhanced features and functionalities result in an enhanced user experience, which increases consumer satisfaction and loyalty.

·       Word of Mouth: Satisfied consumers are more likely to recommend the software to others, resulting in organic growth via referrals.

·       Flexibility in Pricing: The Company’s ability to offer tiered pricing plans allows it to appeal to a broader spectrum of customers, including those on a budget and those pursuing premium features (Holbeche, 2022).

The combination of a superior product, enhanced user experience, and flexible pricing results in increased sales and, as a result, increased revenue for the business. In this instance, the business strategy is driven by a thorough comprehension of customer requirements and feedback, resulting in a revenue-generating strategy that directly addresses those needs and promotes product demand (Holbeche, 2022).

Political

·       Software development companies are subject to a number of regulations, including data protection and privacy legislation. Changes in regulations, such as the General Data Protection Regulation (GDPR) in Europe, can have an impact on how businesses handle user data.

·       Protection of Intellectual Property Political decisions regarding intellectual property rights and copyright laws can have an effect on software development.

Economic

·       Economic downturns or recessions can reduce IT budgets, impacting software development initiatives and software service demand.

·       Changes in currency exchange rates can have an effect on the cost of outsourcing software development services, particularly in offshore development centres.

Social

·       Digital Transformation: The increasing social embrace of technology creates opportunities for software development firms. Increased reliance on digital solutions, particularly post-COVID-19, has enlarged the market.

·       Social adjustments towards remote work and flexible schedules have become increasingly widespread (Nkang, 2023).

Technological

·       Rapid technological advancements are the driving force behind software development innovation. It is essential to stay abreast of emergent technologies such as artificial intelligence, blockchain, and cloud computing.

·       As software plays an important role in data management, businesses must perpetually invest in cybersecurity to defend themselves from evolving threats (Nkang, 2023).

Environmental

·       Sustainability: Due to environmental concerns, an emphasis has been placed on sustainable practises, such as energy-efficient data centres and eco-friendly software development methods.

·       Carbon Emissions Regulations pertaining to carbon emissions and environmental sustainability can have an impact on data centre operations and software development practises (Nkang, 2023).

Legal

·       Legal protection of intellectual property rights, such as patents and copyrights, influences software development and product offerings.

·       Data Privacy Regulations: Compliance with data privacy laws, such as the General Data Protection Regulation (GDPR) and the California Consumer Privacy Act (CCPA), is crucial and impacts data handling and storage practises (Nkang, 2023).

Based on the PESTLE analysis, two aspects could be of priority:

·       Data Privacy Compliance: Since data privacy regulations (like GDPR and CCPA) are always changing, the organization should make it a top priority to improve how it handles data and make sure it follows all laws.

·       Technological Innovation and product improvement: The company should make technological innovation a top priority in order to stay competitive and take advantage of market possibilities such as use of AI, block chain technology, and R& D.

1.     Automation of operation: The adoption of a comprehensive Customer Relationship Management (CRM) system by companies has facilitated the optimization of client interactions. This technology enables effective client data management, communication history tracking, and provision of customised services (Recuero et al., 2019). Through the process of centralizing customer information, firms have the ability to customize their offers, rapidly address queries, and establish more robust client connections. The use of CRM has enabled employees to continue to be inventive, adaptable, and capable of solving complex problems, which is crucial for our industry since they have free time.

2.     Artificial Intelligence: The utilization of artificial intelligence (AI) has facilitated the development of predictive analytics models by enterprises in order to effectively forecast client demand (Drexler & Lapré, 2019). AI algorithms utilize historical data, market trends, and consumer behaviour in order to make predictions regarding the wants for products and services. This facilitates the ability of firms to enhance inventory management, allocate resources efficiently, and guarantee timely fulfilment of client demands, hence enhancing customer satisfaction and diminishing expenses (Drexler & Lapré, 2019). This has enabled us to optimize inventory levels, reduce excess stock, and mitigate stockout risks. This has led to cost reductions and enhanced resource allocation.

3.     Adoption of Robotics: Despite the transformational potential of robotics, several firms and organizations, including software development companies, have only used robots to a minor degree. Organizations have undertaken the exploration of automation in the context of regular and repetitive processes, such as software testing and deployment (Met et al., 2020). Nevertheless, the primary emphasis persists on augmenting the proficiencies of the human labour force via instructional programs and the acquisition of additional skills, given that the sector primarily depends on human ingenuity and aptitude for resolving complex issues (Met et al., 2020). It has resulted in improved customer engagement, enhanced customer retention, and enhanced sales and marketing efforts. By centralizing customer data, the business is able to provide customized services, resolve issues quickly, and identify upsell and cross-sell opportunities.

Organizational Culture at Schein The Iceberg Model is a framework for comprehending the organizational culture’s strata. Similar to an iceberg, where only a small portion is visible above the water, some aspects of culture are visible while others are concealed.

·       Visible Artifacts: These are the observable aspects of culture, including dress codes, rituals, observable behaviours, and tangible representations. They are readily observable and measurable manifestations of culture at the surface level (Matkó & Takács, 2017).

·       Embraced Values and Beliefs: Values and beliefs govern employee behaviour and decision-making beneath the surface. Frequently, these are articulated in mission statements, vision statements, and corporate philosophies (Matkó & Takács, 2017).

·       Basic Assumptions and Unconscious Beliefs: The deepest and most concealed stratum of culture is comprised of the basic assumptions and unconscious beliefs that members of the organization take for granted. These are profoundly ingrained and frequently implicit beliefs (Matkó & Takács, 2017). They influence how individuals perceive the world and interact with one another within the organization.

The Organizational Culture Iceberg Model ought to be understood by leaders and managers. It helps them recognize that transforming culture requires addressing underlying values and assumptions in order to create enduring change, as opposed to simply modifying visible behaviours (Matkó & Takács, 2017).

Tuckman’s Behavior Model

Human resource management and team development frequently utilize Tuckman’s model, which is a behavior theory. According to this model people working in a group or a team undergo the following phases:

·       Forming: In the context of human resources, this is the first stage of team formation. Individuals meet, typically during recruitment, and are courteous and circumspect as they become acquainted.

·       Storming: During this phase, team members may experience conflicts and disagreements as they begin to assert their ideas. Human resources professionals play a crucial role in facilitating conflict resolution and encouraging open communication.

·       Norming: During this phase, the team establishes its norms, roles, and procedures. The HR department can provide guidance regarding team dynamics, expectations, and performance standards.

·       Performing: At this juncture, the team is highly functional and its members work collaboratively to attain its objectives. HR’s responsibility is to support ongoing team development, resolve any outstanding issues, and ensure sustained performance.

·       Adjourning (or Mourning): This phase is not always included in the original model, but it is common for project-based HR teams to wind up their work at this point. Human Resources may conduct post-project evaluations and assist individuals in transitioning to new positions (Jones, 2019).

Understanding the Tuckman’s model enables the HR professionals in recognizing and addressing challenges that workers undergo when working as a team. The Tuckmans’ model explains the dynamics in-group and team working and hence the management could understand the best time for the workers to deliver the organizational goals (during the performance stage) where collaboration is attained (Jones, 2019).

People practice professionals engage in different activities that impacts on the organisational culture. For instance, in various stages of the people practice there are cultural implications:

Recruitment

HR practices in recruitment and selection are essential for ensuring that new employees align with the ethos and values of the organization. Selecting candidates who are congruent with the existing culture helps maintain cultural cohesion and can facilitate more seamless workplace integration. During this phase, the HR conducts behavioural Interviews (Ahmady et al., 2016). Behavioural interviews, a prevalent HR practice, evaluate how candidates have behaved in the past, providing insights into their potential behaviour in the organization. This information can be utilized by HR to identify individuals who are likely to demonstrate the intended behaviours and attitudes.

Induction and Onboarding stage

The HR induction procedure sets the tone for cultural assimilation. Effective orientation programs that introduce them to the culture, values, and expected behaviors of the organization can accelerate their alignment with the desired culture (Stone et al., 2020). During the induction process, HR can clearly communicate behavioural expectations, assisting new hires in understanding how their actions and interactions contribute to the organization’s culture and goals.

Cultural Training

Human Resources’ responsibility to provide continuous training and development opportunities enables employees to progress and acclimate to changing cultural norms (Stone et al., 2020). This training reinforces the organization’s intended behaviors and core values. Initiatives for behavioural Change HR can lead initiatives for behavioural change by providing resources and training programs that target specific behavioural outcomes. Diversity and inclusion training, for instance, can promote respectful and inclusive behaviour.

Performance Management

Behavioural Feedback: Human resource management practices involve providing feedback on behaviors and outcomes. Employees can be encouraged to align their behaviour with organizational expectations by receiving clear, constructive feedback (Ahmady et al., 2016). The HR function of devising recognition and reward systems reinforces desired behaviors. Recognizing and rewarding employees for behaviors that are consistent with the company’s culture can encourage others to adopt these actions.

Planning for change

The organisation can have proper plans for change. This can be attained by creating a Change management Plan. A well-structured change management plan is a road map outlining the change’s execution. It contains essential elements such as the change’s scope, a timeline with milestones, and roles and responsibilities. In addition, it identifies prospective hazards and outlines mitigation strategies (Siebert et al., 2015). The organisation can also establish Clearly defined objectives. Clearly defined objectives are essential to the success of any change initiative. The objectives should be SMART: specific, measurable, attainable, pertinent, and time-bound. They provide a distinct direction and purpose for the change, guiding decision-making throughout the process.

Avoiding Resistance

The organisation can manage change by identifying and addressing concerns to avoid resistance. Some of the causes for resistance could be fear of the unknown, job insecurity, and disruption of daily routines is typical causes of resistance to change. HR and leadership should proactively identify and resolve potential sources of resistance. Communication that is open, honest, and empathetic can help alleviate concerns and build trust. In addition, the organisation can involve Crucial Stakeholders (Van der Voet & Vermeeren, 2017). It is essential to involve critical employees and constituents from various organizational levels in the change process. Their early participation, input, and engagement can result in improved decision-making and a stronger sense of ownership over the change.

Appropriate use of the Change Management models

The management could make use of accepted and fully proven change management models. For instance, the organisation can use a lewin’s model. This model emphasizes three phases: unfreezing, implementing the change, and then refreeze. It provides a structured method for transitioning from the previous to the new system. Another model is Kotter’s 8-Step Change Model (Van der Voet & Vermeeren, 2017). Kotter’s model emphasizes creating a sense of urgency, constructing a guiding coalition, and communicating a compelling vision for change. It provides a step-by-step framework for effectively leading change (Van der Voet & Vermeeren, 2017). Another model could be the ADKAR model, which emphasizes individual change by addressing Awareness, Desire, Knowledge, Capability, and Reinforcement. It assists HR professionals in adapting change strategies to the unique requirements and obstacles of employees.

1) The ADKAR (Awareness, Desire, Knowledge, Capability, and Reinforcement) Model:

The ADKAR model provides a structured framework for comprehending how individual change occurs:

·       Awareness: Change begins with creating awareness of the necessity of change. Individuals must comprehend the necessity of the change and how it will affect them.

·       Desire: Individuals must cultivate a desire or inclination to support the change after becoming aware of it. This involves comprehending the benefits of the change and how it aligns with their personal and professional objectives.

·       Knowledge: Following awareness and desire is the acquisition of knowledge regarding the change.

·       Ability: Knowledge alone is insufficient; individuals must also possess the ability to effectively implement the change.

·       Reinforcement: sustaining a change requires reinforcement. This involves recognizing and rewarding those who have embraced the change and ensuring that it becomes the new standard (Karambelkar & Bhattacharya, 2017).

2) Kotter’s 8-Step Model of Change:

Within organizations, Kotter’s 8-Step Change Model outlines a process for promoting change:

1.     Develop a Sense of Urgency: Change frequently begins with a sense of urgency, compelling individuals to recognize the need for change.

2.     Create a guiding coalition: Change that is effective requires strong leadership. It is essential to form a coalition of leaders who are committed to the change and can provide leadership and support.

3.     Develop a Vision and Strategy: It is crucial to have a distinct vision of the future state. It paints an enticing vision of the organization after the change has been implemented.

4.     Communicate the Vision: Effective communication is of the utmost importance. Leaders must consistently and openly communicate the vision and strategy to employees in order to ensure that everyone understands and embraces the change’s objectives.

5.     Empower the Action: This step involves eliminating obstacles, promoting risk-taking, and cultivating an empowerment culture.

6.     Generate Short-Term Wins: Celebrating early successes develops momentum and reinforces the belief that the change is achievable.

7.     Maintain Acceleration: Maintaining the momentum of the transformation is essential. This requires constant revaluation of processes, systems, and behaviours to ensure alignment with the new course of action.

8.     Institute change: This phase entails updating policies, procedures, and structures to accommodate the new method of operation (Laig & Abocejo, 2021).

High level of employee engagement: The enhancement of productivity is closely linked to the welfare of employees, since it plays a crucial role in this regard. When employees possess optimal physical and mental well-being, they exhibit heightened levels of concentration, motivation, and commitment towards their professional responsibilities (Charalampous et al., 2019). Additionally, individuals are less prone to encountering burnout or absence, leading to increased levels of production.

Enhanced Job Satisfaction: The aspect of wellbeing plays a substantial role in determining job satisfaction. The total work satisfaction of employees tends to rise when they perceive support, value, and caring from their employer. This phenomenon has the potential to result in increased rates of employee retention, hence mitigating the financial burden associated with turnover expenses (Charalampous et al., 2019).

Positive organisational Culture: The promotion of employee wellness contributes to the cultivation of a healthy company culture. Organizations that place a high emphasis on employee wellness often foster a corporate culture that places importance on achieving a harmonious equilibrium between work and personal life, promoting transparent and effective communication, and investing in the growth and advancement of their workforce. This culture possesses the ability to attract highly skilled individuals and fosters an environment conducive to cooperation and creativity (Charalampous et al., 2019).

Factors that Promote Wellbeing

Social Support: Social connections and the assistance of co-workers and superiors are essential for health. A positive workplace culture that encourages collaboration, communication, and camaraderie can improve social wellbeing. Employee assistance programs (EAPs) can also be a valuable source of assistance (Nielsen et al., 2017).

Leaders’ support: The support and leadership provided by administrators and supervisors has a significant impact on employee well-being (Nielsen et al., 2017). Positive work environments and well-being can be fostered by leaders who prioritize and actively support their team members.

Workload: Workload is a crucial factor that has a direct effect on employee well-being. A burden that is excessive or unmanageable can cause stress, exhaustion, and negatively affect both physical and mental health (Nielsen et al., 2017). A reasonable and balanced burden, on the other hand, promotes wellbeing by reducing tension, promoting work-life balance, and increasing job satisfaction.

The employee lifecycle is an all-encompassing framework that depicts the numerous phases an employee goes through during his or her tenure with an organization. People practice professionals perform a crucial role in all phases of the employee lifecycle:

Attraction phase

People practice professionals collaborates with hiring managers to identify personnel needs and develop position descriptions and requirements. They develop recruitment strategies, such recruitment advertising (Chelladurai & Kim, 2022).

Recruitment and onboarding

They also conduct candidate acquisition, screening, interviews, and evaluations. They oversee the hiring process, extend employment proposals, and negotiate terms (Chelladurai & Kim, 2022). They also supervise the onboarding process, ensuring that new employees receive the necessary documentation, training, and orientation. They facilitate an easy entry into the organization.

Development phase

People professional practice facilitates in establishing performance goals and expectations that are in line with the organization’s objectives. They convey performance metrics and standards to employees. HR is responsible for coordinating performance evaluation processes and assuring regular feedback and evaluations (Chelladurai & Kim, 2022). They aid managers in conducting objective and constructive performance evaluations. At the development phase, they also engage in training and development. Human Resources identify training and development requirements and offers opportunities for skill enhancement. They assist employees in creating development plans and encourage ongoing education.

Retention phase

At this phase, people practice professionals performs a vital role in mediating and resolving workplace disputes. They facilitate employee-management communication and assure compliance with labor laws. They also offer support to employees who face personal or professional obstacles. They might provide counselling, resource referrals, and assistance with work-life balance (Chelladurai & Kim, 2022). It is the role of the people practice professions to oversee salary structures, pay schedules, and benefit programs. They conduct market research to ensure that their compensation is competitive.

At this stage, HR identifies and develops potential leaders within the organization as part of succession planning. For prospective leaders, they create talent pipelines and development strategies. HR assists employees in identifying their career objectives and paths within the organization. They provide guidance on talent development and advancement opportunities (Chelladurai & Kim, 2022).

Separation phase

When employees resign, HR administers the process, including conducting exit interviews to gather feedback and insights. In cases of involuntary termination, HR is responsible for ensuring compliance with labor laws and company policies. They manage logistics and separation shipments. They also ensure that they comply with the labour laws on termination of employment (Chelladurai & Kim, 2022).

Finance Department

The Human Resources (HR) department works closely with the Finance department to handle employee costs, such as pay, benefits, and bonuses. HR gives important information and insights that help with budgeting and handling wages, making sure that the company can stay in business financially. In addition, the HR makes sure that labor laws and rules are followed, which is important for managing financial risk. For reporting reasons, they give financial information about employee pay, perks, and taxes (Mathis et al., 2016).

Senior management

HR works closely with senior management to make sure that HR strategy and projects are in line with the general goals and objectives of the company. To meet long-term business goals, this includes planning for the workforce, managing people, and planning for the next leader. HR offers help to senior management through data-Driven Insights (Mathis et al., 2016).

Line Managers

HR works with line managers to describe job roles, figure out how many people are needed, and make the application and selection process easier. Line managers often play a very important part in the interviewing and choosing of candidates. HR helps line managers set goals for employees’ success, do performance reviews, and give employees input. They help figure out what training and growth employees need to do their jobs better (Davidescu et al., 2020).

HR helps organizations reach their goals by:

·       Getting and keeping qualified and productive employees: HR’s search and retention efforts make sure the company has the right people to reach its goals. Productivity and innovation are helped by a skilled and driven staff.

·       Employee Development: HR sets up training and development programs that help workers get better at what they do and learn new skills. This directly helps the success and competitiveness of the company.

·       Creating a Good Workplace Culture: HR works to create a good workplace culture that encourages workers to be engaged, work together, and have a feeling of purpose. This, in turn, makes people more productive and satisfied (Davidescu et al., 2020).

Conduct employee surveys

Employee surveys are a methodical and structured methodology employed by the human resources department to get vital input from employees. Typically, these surveys encompass inquiries pertaining to many aspects such as job satisfaction, work environment, perks, and the overall experience of employees (Albrecht et al., 2015). The collected data enables the Human Resources department to discern patterns, issues, and opportunities for enhancement, so informing the development of policies and programs aimed at more effectively addressing the requirements of employees.

Hold focus groups

Focus groups are a form of interactive dialogues in which the human resources department gathers small cohorts of workers to explore and examine particular subjects or concerns. This approach facilitates extensive discussions and promotes employees’ inclination to express their viewpoints, concepts, and apprehensions within a less formal environment (Albrecht et al., 2015). Human resources (HR) professionals have the ability to derive significant insights from these sessions, which may be used to inform decision-making processes and develop action plans.

open-door policy

The implementation of an open-door policy fosters an environment wherein employees are encouraged to freely engage with the human resources department or management team to seek clarification, provide recommendations, or express issues without any temporal restrictions. This strategy promotes the enhancement of accessibility and the cultivation of trust. This system enables the HR department to immediately handle issues and participate in meaningful individual conversations with workers, so guaranteeing that their perspectives are acknowledged and their concerns are resolved (Plaskoff, 2017).

conducting regular meetings with employees

Regular meetings, such as individual sessions or group meetings, offer a formal platform for Human Resources (HR) to interact with workers. These conversations have the capacity to encompass a diverse array of subjects, spanning from evaluations of performance to dialogues regarding the advancement of one’s career (Plaskoff, 2017). Maintaining regular and effective communication fosters a positive relationship and enables the human resources department to have a deeper understanding of individual requirements and ambitions, while providing valuable advice and assistance. Additionally, it guarantees that employees experience a sense of appreciation and establish a strong connection with the firm.

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