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Higher Nationals

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INTERNAL VERIFICATION – ASSESSMENT DECISIONS
Programme title Higher National Diploma in Business Management
Mr. Dinusha Liyanage
Assessor Internal Verifier
Unit 12 : Organisational Behaviour
Unit(s)
Understand influence of culture, politics and power on the behavior and application of
Assignment title
philosophies of organisational behaviour
T.M. Kithmina Sandaruwan Thilakarathne
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Higher Nationals - Summative Assignment Feedback Form

Student Name/ID T.M. Kithmina Sandaruwan Thilakarathne


Unit Title Organisational Behaviour
Assignment Number 01 Assessor Mr. Dinusha Liyanage
Date Received 1st 07.08.2022
Submission Date
submission
Date Received 2nd
Re-submission Date
submission
Assessor Feedback:

LO1 Analyse the influence of culture, politics and power on the behaviour of others in an organisational context

Pass, Merit & Distinction P1 M1 D1


Descripts

LO2 Evaluate how to motivate individuals and teams to achieve a goal

Pass, Merit & Distinction P2 M2 D1


Descripts

LO3 Demonstrate an understanding of how to cooperate effectively with others

Pass, Merit & Distinction P3 M3 D2


Descripts

LO4 Apply concepts and philosophies of organisational behaviour to a given business situation
Pass, Merit & Distinction P4 M4 D2
Descripts

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Student Kithminathilakarathne@gmail.com 07.08.2022
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Pearson
Higher Nationals in
Business
Unit 12: Organisational Behaviour
Assignment 01
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Kithminathilakarathne@gmail.com 08.07.2022
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Assignment Brief
Student Name /ID Number T.M. Kithmina Sandaruwan Thilakarathne

Unit Number and Title Unit 12 – Organisational Behaviour

Academic Year 2022

Unit Tutor

Assignment Title Understand influence of culture, politics and power on the behavior
and application of philosophies of organisational behaviour

Issue Date

Submission Date

IV Name & Date

Submission Format:
The submission should consist of two main sections.
Section A:

 A case study handout that provides specific information of the organisation. The recommended
word limit is 1,000–1,500 words, although you will not be penalised for exceeding the total
word limit.
 A reflective statement will also need to be completed evaluating your performance and
contribution to the group discussion. Please provide a reference list using Harvard referencing
system. The recommended word limit is 500–1,000 words, although you will not be penalized
for exceeding the total word limit.
Section B:

 A reflective statement that identifies the challenges and obstacles encountered in a specific
work environment which need the team work . you also need to provide a bibliography using
Harvard referencing system. The recommended word limit is 1,000–1,500 words, although you
will not be penalised for exceeding the total word limit.
Unit Learning Outcomes:
LO1. Analyse the influence of culture, politics and power on the behaviour of others in an organisational
context;
LO2. Evaluate how to motivate individuals and teams to achieve a goal;
LO3. Demonstrate an understanding of how to cooperate effectively with others;
LO4. Apply concepts and philosophies of organisational behaviour to a given business situation

Assignment Brief and Guidance:

Section A
You are required to choose a Sri Lankan based organization and consider that you have been tasked to
produce a case study handout which needs to be presented to the top management of the organisation.
The case study will be an overview of analysis and critical evaluation of the relationship between various
organizational cultures, politics, power and motivation that enables teams and the  organisation to
successfully achieve the organisational goals. . The answer can be enriched by using appropriate
examples and finally, you need to conclude with justified recommendations on how your selected
organisation could improve the performance of their staff to meet the organizational goals.

Scenario for Section B:

You are now required to consider the same organisation and identify a specific business situation to
provide a reflective statement by critically analyzing and evaluating the relevance of team
development theories (for example, Belbin, Tuckman, and hard and soft skills) on effective and
ineffective teams. The answer should be in the context of organisational behaviour concepts and
philosophies that influence the behaviour in both a positive and negative ways in the work place.
Acknowledgment

First, I would like to thank our Lecturer Mr. Dinusha Liyanage and ESOFT METRO CAMPUS
giving me such a good opportunity like this and helped to finish this assignment successfully. As
one of the management students I believe this will be not only good opportunity in our life it will
be one of the turning points when we walk towards in future.

Kithmina Thilakarathne
EXECUTIVE SUMMARY

Organizational behavior can be defined as the analysis of the behavioral dynamics of individual
performance and teamwork within the organization and organizational behaviors are important to
meet the short- and long-term goals, business leaders need to understand what motivates their
employees and how they interact with each other. Accordingly, this report starts with an
introduction to the selected organization to analyze the organizational behavior of the company.
This report has been divided into two parts which are sections A and B. According to section A,
the report analyzes the organizational culture of the company along with the sub-areas of
organizational culture, analyzing the organizational culture in the company and the advantages
and disadvantages also addressed. Then the organizational politics is analyzed along with its
advantages and disadvantages for the organizations. Then the organizational power is described
along with its advantages and disadvantages towards the organizations. After the analysis, the
relationship between organizational culture, politics, and power will be discussed with analyzing
the importance for each as well. Next, the concept of motivation is taken into consideration in
this report along with the motivation theories which are explained based on both content theory
and process theories, and then the application of motivational theories in the selected
organization will be analyzed in detail. Finally, the reflective statement will be described which
including the learning outcomes and recommendations provided through the analysis in section
A.

Next, section B mainly focuses on organizational teams and related theories. Accordingly, this
section begins with the introduction to the organizational team along with types of organizational
teams and differentiating effective and ineffective teams within the organizations. Next, this
section focuses on team development theories including path-goal theory, social capital theory,
and contingency, and relates all three theories with the given situation. Upon completion, the
concept of organizational behavior is briefly explained along with its theories which are Belbin
theory and Tucks man’s team development model as well. Finally, the report will end with a
proper conclusion and suggesting suitable recommendations for improving the performance of
organizations with the use of the organizational behavior concept.
Table of Contents

SECTION A.....................................................................................................................................5

1. Introduction to the
Organization..................................................................................................5
2. Organizational
Culture.................................................................................................................6
2.1 Sub Areas of Organizational Culture.......................................................................7
2.2Analysis of Organizational Culture at CIC Holdings
PLC................................................9
2.3 Recommendations to Improve Organizational Culture at CIC..............................10
2.4 Advantages and Disadvantages of Organizational
Culture....................................11
3. Organizational
Politics...............................................................................................................12
3.1 Recommendations to Minimize the Organizational Politics at CIC......................12
3.2 Advantages and Disadvantages of Organizational Politics...................................13
4. Organizational
Power................................................................................................................14
4.1 Recommendations to Utilize the Organizational Power at CIC...........................14
4.2 Advantages and Disadvantages of Organizational Power....................................15
5. Relationship between Organizational Culture, Politics and
Power...........................................16
6. Motivation..............................................................................................................................
....17
7. Motivational
Theories................................................................................................................18
7.1 Content Theory......................................................................................................18
7.2 Process Theories....................................................................................................20
7.3 Recommendations to use motivational theories at CIC........................................22
7.3 How to influence the behavior of other through the effective application of behavioral
motivation theories, concepts and
models..................................................................................23
8. Application of Motivational Theories to the Issues facing by CIC
Holdings...........................24
8.1 Issues facing by CIC Holdings PLC......................................................................24
8.2 Recommendations to solve those
issues.................................................................25
9. Reflective
Statement..................................................................................................................26
SECTION B...............................................................................................................................27
1.What is Organizational Team?....................................................................................................27
1.1 Types of Organizational Teams.............................................................................27
1.2 The impact of technology on organizational teams...............................................28
1.3 Organizational groups...........................................................................................29
1.4 Effective and Ineffective Teams...........................................................................30
1.5 Differences between effective an ineffective teams..............................................31
2. Team Development
Theories.....................................................................................................31
3.1 Belbin Theory........................................................................................................32
3.2 Tuckman’s Team Development Model.................................................................33
3. What is team co-
operation?.......................................................................................................34
3.1 advantages and disadvantages of team co-operation.............................................34
4. Concept and Philosophies of Organizational
Behavior.............................................................35
4.1 Path-Goal Theory..................................................................................................35
4.2 Social Capital Theory............................................................................................37
4.3 Contingency Theory..............................................................................................37
5. Conclusion and
Recommendations............................................................................................38
References......................................................................................................................................40

List of Tables

Table 1: Advantages and Disadvantages of Organizational


Culture................................................8
Table 2: Advantages and Disadvantages of Organizational
Politics..............................................10 Table 3: Advantages and Disadvantages of
Organizational Power................................................11 Table 4: Advantages and Disadvantages
of Maslow`s Hierarchy of Needs..................................15
Table 5: Advantages and Disadvantages of Herzberg`s Two Factors Theory...............................15
Table 6: Advantages and Disadvantages of Vroom`s
Theory........................................................16 Table 7: Advantages and Disadvantages of Adam`s
Theory.........................................................17

List of Figures

Figure 1: Handy`s model of organizational culture (Handy, 1999)................................................6

SECTION A

1. Introduction to the Organization

CIC was founded in 1964 as Chemical Industries (Colombo) Limited, a supplier of high-quality
chemical products for the local market. Today, it is known as CIC Holdings PLCs and became
one of the leading businesses in Sri Lanka with venture companies in various businesses
ranging from agriculture to chemistry, pharmaceuticals to household goods. With the guidance
of strong ethical and growing culture, CIC has become a wellknown brand for all Sri Lankans
which offers agricultural products, health and personal care, livestock solutions, industrial
solutions, crop solutions, and also offers unique investment opportunities. CIC believes in
sustainable and ethical business practices by following the highest international standards,
providing customers, partners and investors with the best possible results. CIC Holdings PLC is
engaged in the business of merchandising and manufacturing and it is classified into five
segments of business ventures as below.

Agri Produce - This segment includes a product range for the Agriculture industry, with
products, such as seed paddy, rice, fruit, vegetables, eggs, yogurt, and curd.

Livestock solutions - This segment manufactures, formulates, and supplies animal nutrition,
dairy breeding, poultry, and veterinary care.

Crop solutions - This segment provides protection and solutions catering to the management of
weeds, insects, and diseases.
Health & Personal Care - This segment includes the pharmaceutical products range, medical
devices, link natural herbal and healthcare range, and international brands.

Industrial Solutions - This segment includes construction material, such as Dulux, Pentalite
paints, manufacture, and export of chemicals, and manufacturing of specialty plastic packaging.

2. Organizational Culture
Organizational culture consists of the behaviors and values of the organization which includes
different thinking patterns, different experiences, emotional responses, and beliefs, and future
expectations of every organization (Anitha & Begum, 2016). Organizational culture can be
defined as a set of internal values and behaviors in a company that incorporates past experiences,
methods of thinking, beliefs, and future expectations. It is also intuitive, characterized by
recurring habits and emotional responses. The mission, objectives, expectations, and values that
guide a company's personnel are referred to as organizational culture. Because they have
procedures in place that promote employee performance, productivity, and engagement,
businesses with an organizational culture are more successful than those without one. The
culture of any organization can be clearly defined by using the model of organizational culture
which was introduced by Charles Handy (1999), which mainly focuses on four types of
organizational culture which are person, power, task, and role culture of different organizations
and also it focuses on the relationship between organizational culture and the way it could impact
on the individual and group behavior as well. Accordingly, the organizational culture of CIC
Holdings is explained by using Handy`s model of organizational culture as below.

Figure 1: Handy`s model of organizational culture (Handy, 1999)

2.1 Sub Areas of Organizational Culture

 Power Culture

The power culture of the organization is based on the dominance of one or a small group of
individuals who makes the key decisions within the organization. Under this culture, the power
will be given to higher supervisor or authority within the organization, and then they will instruct
and supervise their subordinates regarding the performance of an allocated task in an efficient
manner, meanwhile, the subordinates are more accountable for that supervisor or the higher
authority based on the works assigned to them (Al Saifi, 2015). Therefore, Hardy compares this
type of culture to a spider`s web, where the person who has the highest authority will be in the
center when all the other subordinates would work around him based on his instructions. Further,
under power culture, each department of the business has been given some kind of authority for
decision-making regarding the achievement of company goals and objectives.

 Role Culture

The role of the person could reflect the power within the highly structured organization which is
highly bureaucratic with detailed rules about how the people interact with others and other
departments. According to Jo and Park (2016), the role culture can be defined as each person
from the organization can perform different types of works based on their abilities and skills in
terms of achieving the goals and objectives of the organization. Under role culture, tasks are
assigned to everyone based on their abilities to perform the task successfully. Accordingly in
CIC, the manager of the company is performing various functions while he is responsible for the
decision making and the coordination of activities based on the capabilities of each employee to
ensure the achievement of business goals. From employees’ point of view, this type of culture is
a benefit for them as it provides the opportunity for them based on their expertise which helps
them to perform up to the standard in their job role and it ensures their job security as well.

 Person Culture

Person culture is a sort of culture practiced by some businesses in which employees place a
higher value on themselves than on the company. Every employee in this culture is more
worried about themselves, seeing themselves as an integral part of the organization's task
performance in order to achieve organizational goals. Therefore, the organization creates
several groups or teams with individuals to perform various tasks with the focus of achieving
the personal and organizational goals as well. Further, the personal culture motivates the
employees and makes them feel that they are unique employees among others in their company.
Anyway, this type of culture is good to motivate the employees, however, this has higher
chances to create negative impacts on the relationship among the employees in the
organization.

 Task Culture

This is a culture that is primarily concerned with specific tasks and projects. Simply, it
determines which workers can complete a task within a specific amount of time and resources,
and it also includes training on this culture to improve employee performance. When employees
are addressed to progress to some tasks or projects, the task culture of the organization shows.

2.2Analysis of Organizational Culture at CIC Holdings PLC

When considering in the context of CIC Holdings PLC they are implementing organizational
culture in proper manner. Accordingly, the company's CEO has greater authority to manage all
of the company's employees, from the top to the bottom, and he supervises every action carried
out by their staff while praising their outstanding work. Meanwhile, he won`t hesitate to take
actions regarding the poor work performance of negligence of the employees to work properly
within the organization. By practicing this type of culture, CIC can easily change as per the
trends and it can respond to any kind of uncertain situation, however, sometimes that will
become an issue because the company is heavily depending only on the abilities of the person
who are in the middle of the organizational structure. Based on the role culture, the employees of
the CIC play their role effectively towards the completion of the assigned duties which leads to
enhance the performance of the organization as well. By practicing the role culture, CIC can be
successful in a stable environment where the market can be predictable, steady, and controllable.
In the context of person culture, the employees from service department of CIC believes that
they only can fix the issues arising from the factory and machinery-related problems and no one
except them can do. Anyway, this type of culture is good to motivate the employees.
Furthermore, task culture is vital in CIC because each employee is responsible for completing a
certain task. As a result, CIC has provided staff with the essential training and development
programs to help them improve their performance and accomplish every duty within the
company.
2.3 Recommendations to Improve Organizational Culture at CIC
CEO of the company needs to create a strong organizational culture within the company to
achieve the long-term goals. Leaders and employees can be changed within the organization, but
the culture remains with the organization forever. Therefore, the below recommendations will be
provided to improve the organizational culture which can promote teamwork, coordination,
support from the top-level as below.

• Create and communicate meaningful values - Organizational values are the


guide for everyone in the organization which directs how to act and interact with each-
others. Therefore, first CIC needs to analyze their existing core values and they need to
adjust or remove if any values no longer fit for the company. Based on the current
situation suitable values should be designed and they need to properly communicate with
all the stakeholders and employees.
• Enable and empower employees - Top-level at CIC need to provide accurate
information, required resources, and organizational support to their employees to make
decisions during their work. Leaders must set the expectation, provide employees with
what they need to succeed, and then let their employees do their jobs under their
supervision.
• Recognize the employees - All the employees at CIC need to be recognized
properly which could make them feel appreciated, reinforce positive habits, and also it
could help the company to retain the best-talented employees within the organization.
• Provide flexibility for employees - CIC needs to maintain a flexible working
schedule, favorable working conditions, and employee benefits policies which could
contribute to a flexible company culture that keeps employees engaged.

 Celebrate team wins - Achieving milestones or completing works successfully


as a team should need to be celebrating by the company to motivate the team members.
This could make them happy and make them feel that they are an important part of the
company.
18

2.4 Advantages and Disadvantages of Organizational Culture

Table 1: Advantages and Disadvantages of Organizational Culture

Advantages Disadvantages
• Organizational culture defines the • Poor communication due to lack of
company’s internal and external identity. strong relationship between the employees
• It can reflect the company’s core values can impact the company negatively.
and organized day to day activities of the • Micromanagement can put the
company towards achieve it. employees under unnecessary pressure and
• It has the power to motivate the slows down their work.
employees. • Too Much Competition could impact
• It helps to keep retain the best on employee relationship which will
employees negatively impact the productivity as well.
• It sets expectations regarding the way • An unhealthy focus by companies on
people need to behave and work together, profit could reduce the engagement with
and how well they could function as a their employees which could increase the
team. employee turnover.
• It impacts the employees` performance • Too much gossip can be created within
and employee wellbeing positively the company.
• Strong coordination of functions and • Low engagement in the office could
activities increase the employee turnover.
• Conflict resolution • It is a forceful resistance to change

3. Organizational Politics

As like the organizational culture, organizational politics also can be considered as an important
factor that could influence individual behavior and organizational performance as well.
Organizational politics can be defined as the process and behavior where the organization`s
19

people are involving with power and authority which involves using the power and authority
within the organization to make the changes that could be a benefit for the individuals and the
organization. Organizational politics can lead to illegal behavior among employees inside a
company in order to acquire benefits over which they have no control, such as not working hard
but protecting their position through the use of politics within the firm. This can lead to a
negative ambiance in the workplace which could negatively impact employee relationships as
well. Furthermore, this type of thoughts among employees can lead to negative behavior among
them who are involved in corporate politics and act unethically with their colleagues which
could negatively impact the team behavior and affect the achievement of organizational goals as
well.

3.1 Recommendations to Minimize the Organizational Politics at CIC


The below ways are suggested to CIC to minimize or control the organizational politics within
the organization.

• Ensure job satisfaction - Job mismatch could lead to politics at the workplace;
therefore, jobs need to allocate for the employees based on their education, experience,
and interest in it. Then only they will enjoy the work and stay loyal to the organization.
• Teamwork - CIC needs to promote teamwork within the organization to
strengthen the bond among their employees and the company needs to provide various
opportunities for employees to be as a team such as celebrating birthdays, festivals, get-
together parties, and annual trips.
Communication - CIC needs to maintain effective communication with their employees
which could reduce the chances of politics at the workplace.
• An effective performance appraisal system needs to be implemented which
should be scheduled at once or twice a year to motivate the employees.

3.2 Advantages and Disadvantages of Organizational Politics

Table 2: Advantages and Disadvantages of Organizational Politics

Advantages Disadvantages
• Employees can be easily motivated.
20

• Employees will become more • Employees control the narrative.


discipline with their work due to
• Demotivates the employees.
organizational politics.
• It increased the employees` • It could change the employee attitudes
productivity in negative manner.
• Employees will be convinced about the
plans and goals of the organization.
• It can give dignity and recognition to
the employees’ hopes and aspiration.
• Successful bargaining may take place
in the presence.
• Organizational politics can use group
effort successfully for achieving goals of
any enterprise.
• Organizational politics can select
suitable candidates and leaders.
• Organizational politics can motivates
the people through competition.

• Improvements in efficiency and


workload.

• Confidentiality is maintained without


• More cost is involved in the duplication
of functions.

• It increases the stress levels and impact


on employee wellbeing

• Organizational politics can changes the


attitude of employee
• Employees will be demotivated due to
a decrease in their overall performance.
• Damages trust of the team.
• It affects the concentration of
employees on their work.
21

4. Organizational Power
Organizational power refers to an individual`s ability to influence another person`s behavior, so
that he will act by the individual wishes. It signifies that the more authority a person possesses,
the more powerful his or her influence system becomes. Organizational power can be divided
into several categories, as shown below. Expert power refers to the ability of some employees to
influence their coworkers through the application of their expertise knowledge in specific
organizational functions. Referent power is another type of power, which comes through a strong
relationship between the leader and the employees in the organization. Employee’s
organizational roles and authority can come through legitimate power which helps them to make
things done in their job role. Reward power can be known as the ability to influence others
through the person`s control over the resources. Finally, coercive power is the potential to
influence others through negative activities within the organization. According to the
organization, CIC has legitimate power, Corporate Governance is not simply a matter for the
Board of Directors; it is at the heart of all we do at CIC. It is the system that directs, controls,
and manages a company. The Business Governance framework at CIC directs and propels our
organization forward by establishing and implementing appropriate corporate initiatives. It's a
proactive approach to identifying areas for improvement and maintaining the status quo to
ensure that all aspects of our governance framework are fit for purpose, enabling value creation
and growth while acknowledging the legitimate rights and responsibilities of key stakeholders
and maintaining accountability. The Chairman of the Board of Directors is dedicated to ensuring
that the governance structure, policies, and processes are appropriately robust and relevant in
today's political climate.

4.1 Recommendations to Utilize the Organizational Power at CIC


Strong organizational power is important for CIC as it could help the managers to assign
different tasks to different employees and make them do those tasks and with the power, the top
level can guide their employees towards achieving the organizational goals.
Controlling access to information - Most decisions are based on the availability of
relevant information; this could play a major role in decisions made. For example, only
22

the HR department and senior managers typically have salary information and power for
personnel decisions

• Controlling the Agenda - One of the simplest ways to influence a decision is to


ensure that it never comes up for consideration in the first place. There are a variety of
strategies used for controlling the agenda.
• Using Outside Experts - CIC can gain an advantage is using outside experts. The
unit wishing to exercise power may take the initiative and bring in experts from the field
or experts are known to be in sympathy with their cause.

4.2 Advantages and Disadvantages of Organizational Power

Table 3: Advantages and Disadvantages of Organizational Power


Advantages Disadvantages
• It motivates the company to the growth. Coercive behavior is encouraged in the
workplace.
• Necessary for organization survival and The processes are seen negatively by the
growth
• Resentful employees to accept the change. organization's personnel. The gap between
management and employees widens,
• Formal authority negatively impacting the organization's
• Control of scarce resources performance.
Managers have complete freedom to
• Control of decision process
promote unlawful or unethical behavior
• Managers can perform their leadership
within the company.
responsibilities with the help of power.
Company will be watched all the time. The
organization's decision-making becomes sloppy.
23

5. Relationship between Organizational Culture, Politics and


Power

Based on the above explanations, the relationship between organizational culture, politics and
power are analyzed in detail as below.

• Relationship between Organizational Culture and Organizational Politics

Organizational culture consists of the values, norms, and behavior of the people working within
an organization while they attach to their actions and beliefs. Meanwhile, organizational politics
refers when people find ways to gain advantages that surpass one’s valid authority. The culture
within an organization is very important, as it plays a large role in the organization whether it is
a happy and healthy environment in which to work. Further, it is important for organizations to
manage organizational politics when resources are scarce and it`s important for organizations to
reduce ambiguity. Organizational politics could provide great contribution for team
communication and collaboration through good interaction between leaders and employees.

When strong unified behavior, values and beliefs have been developed, a strong organizational
culture emerges. Leaders must appreciate their function in maintaining an organization's
culture.
24

• Relationship between Organizational Culture and Organizational Power

According to Ferraro (1998), organizational culture is a notion that embodies a company's


character that instructs employees in their everyday working relationships and guides them on
how to conduct and interact within the organization. Organizational power, on the other hand,
influences how tasks and duties are assigned and monitored, as well as the flow of information
between different levels and sectors, and it is fully dependent on the organization's goals and
how it intends to achieve them. All decision-making power is retained at the top level of
management in centralized structures, and all other departments are closely monitored and
controlled, whereas in decentralized structures, decision-making power is delegated to the lower
levels to some extent to increase the speed of implementation and job satisfaction, among other
things. They must always have a formal structure to achieve organizational goals successfully,
and it is critical to allocate jobs into different groups so that they may receive the greatest output
for their input.

• Relationship between Organizational Politics and Organizational Power

Organizational politics refers to the environmental and behavioral manifestations of power in the
workplace, and there are important connections between power and politics in organizations.
Organizational politics has proven to be a useful paradigm to analyze everything from leadership
to performance evaluations. The use of power and social influence to influence organizational
functioning, decision-making, and human behavior while attaining goals in the face of
uncertainty is known as organizational politics. Organizational politics is the use of power to
influence a variety of actions or acts in order to achieve a positive outcome for employees.
Further, power can influence the decision making, or in giving ideas to reach the goal and
productivity of company and organizational politics also influence the decision of the
management such as supervisor rating in performance appraisal of the employees and when
giving idea in organization.

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6. Motivation
Understanding what motivates a person to work toward a specific goal or outcome is vital in all
aspects of life, but notably in business and management. Because a motivated employee is more
productive, and a more productive employee is more profitable to the organization. Employee
motivation is defined as the amount of enthusiasm, devotion, and ingenuity that an employee
consistently brings to the workplace. Employee motivation is defined as an employee's sense of
involvement and empowerment in connection to the organization's objectives. Employee
motivation is essential for a business's success. It refers to the amount of commitment, drive, and
enthusiasm that individuals bring to their employment on a daily basis. Businesses that do not
have it suffer from lower productivity, lower production, and are more likely to miss important
deadlines. Therefore, motivation can be known as a key factor that determines the goal
achievement of the organization which can be explained mainly by two theories which are
content theory and process theory.

7. Motivational Theories

7.1 Content Theory


Content theories are tries to identify the needs and relate motivation to the fulfilling of these
needs. Accordingly, the content theory of motivation focuses on the requirements for motivation
which focus on the different things that people may feel they need in their lives. The theory is
that people’s motivations will be based on acquiring the things that they think they need. Thus,
by understanding their wants and needs, companies can understand why and how people are
motivated. The main two types of content theories are Maslow`s Hierarchy of needs theory and
Herzberg`s two factors theory.

• Maslow`s Hierarchy of needs theory

Maslow's hierarchy of needs is a psychological theory that explains why people are motivated
the way they are. As a result, it explains how humans are motivated to meet their wants in a
hierarchical order, starting with the most fundamental requirements and progressing to more
complex demands.

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Physiological needs - These needs are basic to human life which includes food, clothing, shelter,
air, water and necessities of life.

Safety needs - These are important which find expression in such desires as economic security
and protection from physical dangers and these needs can be fulfilled by the family and society.

Social needs - This refers to a human emotional need for interpersonal relationships, affiliating,
connectedness, and being part of a group, this is why people loves to work in groups.

Esteem needs - These needs include achievement, competence, knowledge and independence
which leads to self-confidence, strength and capability of being useful in the organization.

Self-Actualization needs - This level represents the culmination of all the lower, intermediate,
and higher needs of human beings.

Advantages Disadvantages
• It`s perceptive insight into human It fails to account for cultural or social
nature. differences between individuals.
• It serves to interpret human behavior and Not all individuals think in the same way
motivation. Cultural differences
• Simple to understand It is very difficult to measure the
• It considers the basic human nature satisfaction
• It is relevant in almost all fields of life

Table 4: Advantages and Disadvantages of Maslow`s Hierarchy of Needs

• Herzberg`s Two Factors Theory

According to Herzberg's two-factor theory, certain elements in the workplace cause job
happiness, while another set causes job unhappiness, all of which act independently of one
another. These elements include motivators that inspire employees to work harder and hygiene

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variables that do not inspire employees to work harder but do lead them to become unmotivated
if they are absent.

• Motivating factors include achievement, recognition, the work itself, responsibility,


advancement, and growth.
• Hygiene factors include company policies, supervision, relationships, work conditions,
salary, status, and security.

Table 5: Advantages and Disadvantages of Herzberg`s Two Factors Theory

Advantages Disadvantages
• It helps the companies to motivate their  Job Satisfaction and Job Productivity not
employees rather focusing on other directly related
external factors.  It can be Subjective
• It improves the working environment.  Different people required different things
• Companies can focus on the problem of for job satisfaction
Employees.  The theory's reliability is uncertain.
• Money is treated as secondary as it gives  No comprehensive measure of satisfaction
more importance for job promotion, was used. recognition and relationships.

7.2 Process Theories


Process theories of motivation focus on the “hows” of motivation. Instead, than focusing on what
people require, this primarily focuses on psychological and behavioral processes that encourage
a person to act in a certain way. It is feasible to comprehend the acts, interactions, and settings
that motivate individuals' behavior by studying these processes. These theories are often applied

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in the workplace, and there are several that look into how people might be motivated within a
company.

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• Adams Theory

Adams’ Equity Theory of Motivation describes the relationship between an individual’s inputs and their
benefit which is important for their sense of fairness and equity, thus for their motivation. Simply, this
theory says that people want fair compensation for inputs across the working population of which they are
members. Adams’ Equity Theory of Motivation introduces the idea of fairness and the idea of comparison
where the individuals need to feel that the reward they receive for their contribution is intrinsically fair and
they need to feel that the levels of rewards that they receive are similar to those received by their peers in
the organization.

Advantages Disadvantages
• It reduces the exploitation  Difference perception
• Source of motivation  Difficult for exact comparison
• Better relationship among the employees  Some factors may ignored
Table 7: Advantages and Disadvantages of Adam`s Theory

7.3 Recommendations to use motivational theories at CIC


The below recommendations can be provided for CIC to use motivational theories effectively.

Involve employees from start to finish - All the workers should be involved in the business decisions and
operations from conception to completion. Employees will be more motivated to do a better, more thorough
job if their ideas are valued, and if they can see a project through to its completion. Try inviting employees
into new product meetings and asking them to come up with their concepts and business ideas.

Objectives should be linked to individual goals - The Company needs to encourage better performance and
accountability in their employees by linking business goals to business objectives and team goals. Setting
clear, achievable goals provides a real boost of motivation for employees and it could keep the team on the
right track. Goals should be attainable, then only employees would believe that the goal can be achieved and
they may be motivated to work hard to get to the finish line. People who have high self-esteem are more
likely to continuously improve the work environment. They are willing to take intelligent risks because they
have confidence in their ideas and their competence to take on new challenges while performing capably.
They shine with motivation in the workplace.

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CIC needs to provide training including new employee onboarding, management development, and new
concepts for a workgroup, team building, and how to operate a new computer system.
They all add to a working environment that employees would be proud to call home.

7.3 How to influence the behavior of other through the effective application of
behavioral motivation theories, concepts, and models.

Motivation can be known as a key factor that determines the goal achievement of the organization which can
be explained mainly by two theories which are content theory and process theory. Accordingly, the content
theory of motivation explains the changes in human needs over some time. According to Al Safi (2015),
McGregor`s X & Y theory provides a complete understanding of motivation. According to X theory, the
employees do not perform well if they do not like their job role and they are forced to do so. Meanwhile, Y
theory explains the employees are self-employed and creative which requires for modern-day organizations.
CIC is a strong supporter of equal opportunity in the workplace and prides itself on valuing its people
regardless of gender, age, ethnicity, religion, or sexual orientation any other factor, such as sexual
orientation, political opinions, or any other factor. All the Group's firms fill vacancies only with people who
are the best fit for the job, and all employees have equal access to training and development. CIC also feels
that equal compensation for equal effort is important. During the year under review, no cases of
discrimination were recorded by any of the CIC Group enterprises. Though there is no formal method for
reporting such instances if they occur, the Group has an open-door policy in which any employee can
approach any member of management and express their concerns.

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8. Application of Motivational Theories to the Issues facing by CIC
Holdings
8.1 Issues facing by CIC Holdings PLC

Compliance with laws and regulations - Keeping up with changing employment laws is a struggle for the
business. Sometimes they are ignoring the employment laws, believing they do not want to apply those to
their business. However, the company could get caught by audits and lawsuits which could negatively
impact the company`s reputation.

Management Changes - According to the changes in the management, its strategies, structure, and internal
processes, some employees have a hard time coping with these changes. It impacts the company to
experience decreased productivity and morale during periods of change.

Adapting to Innovation - Technology is constantly changing in the new business world. Businesses must
be quick to adapt, or risk being left in the dust by their competitors. The challenge for CIC is getting
employees to embrace innovation and learn new technology.

Recruiting talented employees - Attracting talent is a huge investment of time and money. It is difficult for
CIC to balance between keeping a business running and hiring the right people at the right time. Also, it is
impossible to know whether a candidate will be a good fit until they have worked for you for some time.

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8.2 Recommendations to solve those issues

CIC need to make sure that they comply with local and state labor laws such as hiring practices, wage
payments, and to workplace safety as well. They should focus on communicating the benefits of the
change for everyone and regular staff meetings should be conducted to make employees aware of the
changes. Further, whatever the changes happen in technology, make sure their employees understand why,
when, and how it occurs.

Further, clear goals should be set for the adoption of initiatives and provide employees with the training they
need to get comfortable with it. One of the best ways to find the right people for them is to use the staffing
method. Recruiting talented employees will help the company to save time, money, and improve
productivity as well. To solve workplace diversity issue, creating a culture of teamwork and respect which
will keep the work environment positive and productive. Also, implementing a diversity training program is
a must and employers are responsible for setting standards of behavior in the workplace. Further, CIC needs
to do a market analysis to identify how their competitors offering benefits for their employees, what are the
salary scale of the industry, and what kind of benefits employees are getting in other businesses. Then it will
be helpful for them to provide good salary with benefits and also, they can take care of their employees
better than their competitors doing which could increase the job satisfaction of the employees.
9. Reflective Statement

The assessor divided the students into four main groups (A, B, C, and D), each with 4-5 members, and we
(Team D) formed a small team with 4 members to conduct a group discussion on the analysis and critical
evaluation of the relationship between various organizational cultures, politics, and power that enables teams
and the organization to effectively accomplish the organizational goals. To continue, we must select Sri
Lankan-based firms to complete the project and conduct the group discussion using Microsoft teams, so we
select a variety of Sri Lankan based firms. I have selected CIC Holdings PLC to conduct this study based on

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organizational behavior. Based on the above analysis, CIC Holdings implements the power culture within
the organization where the CEO of the company has higher authority to manage all of the company's
employees, from the top to the bottom level, and all need to work under his supervision. Further, CIC
implements the role culture as well which help the company to properly distribute the roles to each
employees to complete it effectively which could enhance the organizational performance as well. My other
group members are selected SLT, Commercial Bank and Brandix to analyze the organizational behavior
concept in the selected companies. When it comes to SLT's organizational culture, they promote
professionalism, which stimulates employee communication and participation, and they hold a range of
team-building activities to make their culture even more distinct. When it came to the Commercial Bank, the
managers create good working environment to their employees and it helps to increase company
productivity. In general, the Commercial Bank exhibited good cultural traits such as strong subjectivity,
overly centralized ideals, and maintain good relationship between coworkers. Brandix keeps their business
running smoothly by maintaining the culture is a way of life. Three overlapping elements constitute
Brandix's company 'personality:' principles, work culture, and social responsibility. Accepting and
embracing their beliefs, as well as behaving with social responsibility, are important to their method of
functioning. It is also about a young and energetic business that encourages its employees to flourish in a
stimulating environment.

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SECTION B

1. What is Organizational Team?


A team can be defined as a type of organizational group which consists of those who are dependent on each
other, work towards interchangeable achievements, and share common attainments. According to Richard et
al. (2011), an organizational team is consisting of two or more people who work together to achieve a
common goal and teams can be classified based on the objectives it needs to achieve which can be
functional teams, project teams, and problemsolving teams. Forming a team should have a common purpose,
specific goals and objectives, skills, and commitment to achieve the expected goals and objectives (Workest,
2019). Teamwork is important for organizations that create a positive work environment, support each other,
and combine individual strengths to improve team performance. Teamwork provides opportunities for
employees to connect, improve relationships between employees, and work together as a team to apply
individual perspectives, experiences, and skills to solve complex problems. It is important for any
organization because it can create new things, solutions, and ideas that may be beyond the scope of the
individual. In addition to improving organizational performance, good teamwork also benefits individuals.
1.1 Types of Organizational Teams
The types of teams depend on the purpose, location, and the organizational structure where each type has its
own strengths and weaknesses. Generally, teams can be divided into four main groups which are functional
teams, cross-functional teams, self-managed teams, virtual teams, and operational teams as follows.

Functional teams - These teams are permanent and always include members of the same department with
different responsibilities. Manager is the person who is responsible for everything, and people needs to
report to him. This type of team handles the routine work, link the management to control the project and
identify the technical and professional expertise.

Cross-functional teams - Cross-functional teams are made up of members from various departments which
identifies specific tasks that require different inputs and expertise. This type of team is beneficial for the
company due to its greater speed of task completion and the ability to handle more projects. However, team
diversity can cause conflicts as well.

Self-managed teams - This teams are formed with employees of the same organization who work together
with the aim of reaching a common goal. There is no manager or authority, therefore, members need to
establish rules and objectives themselves. This type of team can motivate employees through autonomy,
strengthen the members to handle everything,

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Virtual teams - Virtual teams are made up of people who work from different locations and rely largely on
collaboration tools to complete tasks together. Members of virtual teams have a better life-work balance, and
business owners can hire the top expertise in the area.

1.2 The impact of technology on organizational teams


The fundamental advantage of utilizing technology teams and groups is that it allows distant groups of
people with differing schedules and locations to collaborate more effectively, reducing project completion
times and costs. It can eliminate travel time, schedule problems, and miscommunications by using email,
instant messaging, video and phone conferencing, and other technologies. Business organizations employ
the following categories of tools and approaches.

Telephone - Many people nowadays use their phones to access the internet, making it easier to connect with
team members. This enables people to collaborate regardless of their geographical location or time zone.

Video conferencing - Video conferencing is another helpful tool for group meetings. People can see each
other while on a group call using a variety of private or public services such as Skype, MS Teams, and
Zoom. This enables a single individual to create visual presentations while also sharing charts and other
data.

Cloud computing - You may build up a platform that allows team members to access and share files from
multiple locations by allowing them to log in to a central repository of data and documents. The data is
stored in a password-protected section of the internet that only your group has access to.

Webinars - The webinar, which allows participants to listen to and follow along with a presentation via
their browser, is another option for hosting a group meeting.

1.3 Organizational groups


A group is defined as two or more interdependent and interacting individuals who gather together to
accomplish a common goal. A group behaviour can be defined as a course of action taken as a family by a
group of people. An individual can form one of two sorts of groups. There are both formal and informal
groups.

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The difference between a team and a group of employees? A group is a collection of people who work
together to achieve a common goal. A team, on the other hand, is a group of people who share a shared goal
and a set of hard objectives. The members of the team are all dedicated to the same aims and to one another.
This shared commitment also creates shared accountability, resulting in a strong bond and a strong desire to
succeed. A team cannot be built without a purpose and goals. The goal must be worthwhile and generate a
sense of working together on something significant. The goals must be hard and specific so that each team
member understands their role in the team's success. A well-defined strategic plan that outlines the team's
purpose, values, goals, and objectives serves as the glue that holds the group together and aids in their
transformation into a team. Participation in the planning process aids in the development of understanding,
consensus, and commitment.

1.4 Effective and Ineffective Teams

The purpose of a team is to provide a framework that will increase the value of employees to participate in
planning, problem-solving, and decision making. Any team has to be effective to achieve the goals and
objectives and according to Senaratne and Gunawardane (2015), the team can be effective, when it provides
open discussion for all the members by allowing them to express their opinion freely and the members need
to obey their leadership as well. And the teams should be effective to accomplish any type of works within
the organization to achieve its goals and effective teams required certain qualities as below.

 Effective leadership
 Clear goals and objectives  Required resources.
 Jobs need to assign to everyone based on their abilities.
 Proper communication
 Trust and support
 Individual and team development

An ineffective team as opposed to an effective team since its members do not listen to one another, closed
talks occur within the organization, and an authoritative leadership style is used.

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In productive teams, decision-making is characterized by a sort of consensus in which all members agree,
whereas in ineffective teams, choices are sometimes made prematurely before the fundamental issues are
resolved. Furthermore, team roles play a significant role in determining whether or not a team is effective,
which can be clearly defined using team development theories.

1. Team Development Theories


CIC planned to establish a new fresh fruit juice centre under the name of “Fresheez” in Kandy. Therefore,
it’s important them to analyse the team development theories in terms of identifying the ways they need to
work as a team to successfully establish the new branch as below.

2.1 Belbin Theory


This is introduced by Meredith Belbin. According to his theory, he recommends certain roles which can
affect the effectiveness of the teams in terms of individual or group behaviours and those roles are as
follows.

Action-oriented roles
• Shaper - He is the dynamic employee at CIC who challenges the Fresheez team for its
improvement through updated information regarding business operation.
• Implementer - He motivates others in the Fresheez team to get the ideas into action and help
others to achieve them.
• Finisher - He is the person who ensures the success of the teamwork without any errors, and
he will be the key employee at the CIC team.

People-oriented roles
• Coordinator - The manager of Fresheez will appoint a person to guide the team known as the
team leader.
• Team worker - He plays an important role in the team by providing support to ensure the
teamwork is done effectively.

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• Investigator - He is an innovative person who investigates the effective usage of resources
during the Fresheez operations.

Thought-oriented roles

• Plant - He is the creative person in the team who suggest new ideas and opinion for the team
development of Fresheez business operations.
• Evaluator - He is the person who evaluates all the ideas suggested by others before deciding
on excellent customer service that needs to be provided in the branch.
• Specialist - They are the people who have specialized knowledge and who are experts in CIC
operations and related areas.

2.2 Tucks man’s Team Development Model

Tucks man’s Stages of Team Development model explains how a team develops over time by
recommending few phases as below which are necessary and inevitable.

Forming - This is the first stage that takes place in team building. During this phase, the manager of
Fresheez needs to arrange a meeting with all their employees to get introduced to everyone and it will give
opportunities for the employees to shows their skills, strengths, and abilities and to make them aware of
everyone. In this stage, every individual`s behaviour should be accepted by the other without any conflict
and serious issues and feelings can be avoided.

Storming - The team will next proceed to the storming stage, where various team member's thoughts and
opinions will be considered. In this stage, the manager of Fresheez business needs to discuss with their
employees to get more ideas and opinions regarding the operations. The team will address questions like
what challenges they are expected to solve, how they will work separately and jointly, and what leadership
model they will accept throughout this stage.

Norming - Under the norming stage, the behaviours of each team member should be adjusted to each other.
Also, team members would agree to the team rules and change their behaviour and improve their skills
based on the task to be done. The behaviours of each team member at Fresheez should be adjusted to each

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other under the norming stage and they agree to the team rules and change their behaviour. Once the
employees work as a team, they should need to be friendly with each other and they need to comply with the
rules of the teams and also need to maintain professional behaviour as well. During this phase, team
member’s start trusts their colleagues, and motivation increases as the team gets more familiar with their
project and goals.

Performing - In the performing stage, the team members will become more independent, motivated, and
knowledgeable and now they can handle the situations and make decisions without the supervision of the
leader. This is the final stage, where the team members get familiar with CIC business operations, and they
got the ability to handle the situations and make decisions as well.

Advantages Disadvantages
• Tucks man’s idea contributes to a  To maintain effective communication better
understanding of primary and and a good relationship with group secondary tension. members,
members must follow
• It also offers suggestions for how to distinct directions.
alleviate these conflicts in order to
keep the group functioning.  Also, though some ideas to lessen conflicts were made, there is no
quick
• It is critical to reduce group tensions fix for all problems in group since these tensions
obstruct the communication. achievement of the group's objectives.
• Tucks man’s model did not account
• It improves the bond between group for what would occur if the storming members and
inspires them to work stage would not end. harder.

Table 9: Advantages and disadvantages of Tucks man’s Team Development Model

3. What is team co-operation?

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The ability to work cooperatively across varied teams, work groups, and across the company to achieve
group and organizational goals is known as teamwork and cooperation. It comprises the desire and skill to
comprehend and successfully respond to people from other origins and perspectives.

Co-operation in the workplace is highly characterized by a team that can be effective or ineffective. An
ineffective team is diametrically opposed to an effective team since its members do not listen to one another,
closed talks occur within the organization, and an authoritative leadership style is used. In productive teams,
decision-making is characterized by a sort of consensus in which all members agree, whereas in ineffective
teams, choices are sometimes made prematurely before the fundamental issues are resolved. Furthermore,
team roles play a significant role in determining whether or not a team is effective, which can be clearly
defined using team development theories.

3.1 advantages and disadvantages of team co-operation

Advantages Disadvantages
• Reduces competition that isn't  Project timelines that are longer constructive.
•  People Who Work Better
• Enhances the sharing of information. Independently Face Personality
• Encourages effective communication. Conflicts
• Organizational goals are easily  Lack of new ideas/reduced innovation achieved. 
Organizational Obstacles
• Creates a sense of trust.  Issues of Blame and Responsibility
Table 10: Advantages and Disadvantages of co-operation

4. Concept and Philosophies of Organizational Behavior


Organizational behaviour can be known as studying the performance and activities of both the individual
and group within the organization (Brooks, 2006). Simply, it analyses the human behaviour’s in the working
environment and identifies its impact on performance, communication, job structure, leadership, etc.
Companies can use organizational behaviour to evaluate their behaviour’s and attitudes along with the value,
goals, and strategies of the company and this can be used to understand each employee (Kitchin, 2017).

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Proper understanding of organizational behavior can help businesses to build teams and manage conflict
among their employees as well as to share the organizational culture as well. The nature of a person refers to
the individual and the basic qualities of the individual involved in the organization and can be similar or
unique. Factors that influence a person's nature are individual differences, the whole person, motivated
behaviour, and perception (Chumg et al. 2016). Factors that influence the nature of an organization are
social systems, ethics, and mutual benefit. Accordingly, the employees of CIC are more positively motivated
by the HR strategies as well as the reward strategies offered by the management however, certain low-level
employees are not satisfied by the policies of the Company which can lead to the negative behaviour of
employees. A team, which can be either effective or ineffective, can have a significant impact on workplace
culture. An ineffective team differs from an effective team in that it is conflict-ridden, distrustfilled,
unfocused, and reeks of negative competition. High turnover and absenteeism, as well as significant levels
of frustration, poor communication, and intolerance, are all symptoms of these problems. Teamwork is
essential as it decide the effectiveness of any team and it can be supported by team development theories as
below.

4.1 Path-Goal Theory

According to this theory, leaders` behavior depends on subordinate satisfaction, motivation, and
performance, and encapsulates the need for a clear role that leaders must play and the leadership
characteristics that managers must acquire in practice (Taylor, 2018). He further argued that the leader's goal
is to help followers identify personal goals, understand organizational goals, and find the best way to
achieve both. Path goal theory argues that leaders need to engage in different types of leadership behavior,
depending on the nature and demands of the immediate situation. Accordingly, House's leadership styles
need to be implemented in the new branch opening of CIC based on the leadership styles as below.
Path-goal clarifying leader - In this type, the leader clearly defines the expectations of employees and
aware of the ways to perform their tasks. Managers of the Fresheez need to explain all the details to their
employees and make aware them of the objectives of the new branch and also need to allocate the tasks for
each employee accordingly. Based on this theory the manager needs to be flexible as he could change his
style depending on the situation that arises within the new branch. Further, the manager will explain to their
employees regarding the way they need to perform every task in the new branch as well.

Achievement-oriented leader - Fresheez managers need to set challenging goals for their employees and let
them perform at their best level and it helps to improve their ability to handle the challenging situations and
achieve the outcomes. Further, this kind of style helps team members determine their strengths and
weaknesses in working toward an organization's goals. However, the branch manager needs to set

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performance standards for the employees for a specific period and in the end, he can select the best
employee and reward him to improve their motivation.

Participative leader - Company managers always need to collaborate with their employees and make them
involved in their decision-making process as well. This style of leadership makes CIC employees accept all
the decisions and it could help the company build commitment and develop initiatives within the teams.
Further, the manager can create an effective relationship between the teams and everyone will work with
more collaboration in the new branch which could lead to increased efficiency, better productivity,
improved morale, and job satisfaction.

Supportive leader - The manager of Fresheez should be responsive to the emotional and psychological
needs of their employees to conduct their tasks without any stress. Supportive leadership involves building
trust, inspiration, and helping colleagues overcome the challenges they encounter. Leaders looking to be
more supportive of their teams should try to encourage teamwork, pay attention to members' relationships,
and also show commitment in the new branch. Further, through this style, the manager of CIC can empower
the team members to develop their professional skills and work well autonomously or with little active
management and guidance.
Advantages Disadvantages

 It gives a framework for leaders to  Studies are unable to confirm that the examine how their
leadership style theory works in the real world due to affects their subordinates' motivation. the large
number of variables  It's one of a kind since it connects involved.
motivational theory to leadership.  A given situation may need the use of  It emphasizes that a
leader's multiple leadership styles.
responsibility is to guide and assist  Path-Goal theory places practically all their subordinates in
achieving their of the burden on the shoulders of the goals. leader in the leader-subordinate
relationship.

Table 11: Advantages and disadvantages of Path-Goal Theory

4.2 Social Capital Theory

According to social capital theory, social relationships are tools that can help people grow and accumulate
human capital. Social capital can be described as any aspect of a social relationship that provides
reproductive benefits in evolutionary terms. Networks with common norms, beliefs, and understandings

T.M.K.S. Thilakarathne
43
that promote cooperation within an organization are referred to as social capital. The internal social and
cultural coherence of society is referred to as social capital. Interconnected networks of relationships
between individuals and communities, levels of confidence that define these connections, and resources or
advantages that are both acquired and transmitted by social ties and social involvement are the three
dimensions of social capital. Accordingly, CIC needs to maintain effective relationships with their
employees to develop the new business and also need to maintain good relationships with the local
community as well to attract more customers towards them. Accordingly, the CIC manager needs to provide
enough resources for their employees for expecting the long-term benefit, and giving to and supporting
others builds trust and establishes their reputation in the market. Further, social capital could help CIC to
build strong, honest, and mutually beneficial relationships within the company.

Advantages Disadvantages
• It enables people to collaborate and  Fostering conduct that looks down on reap the benefits
of social ties. the economy rather than improving it.

• Modern economies rely on social  Acting as a stumbling block to social capital to function
effectively. inclusion and mobility

• It supports societal cohesion by  Communities or societies are being allowing societal


institutions to exist. divided rather than being united.
Table 12: Advantages and disadvantages of Social Capital Theory

4.3 Contingency Theory

Contingency theory is a type of management theory that suggests the most suitable management style based
on the context of the situation and which could be efficient for the long term. This theory was introduced by
Edward Fielder in 1964 which determines the importance of both the personality of the leader and the
situation in which the leader behaves. This theory explains that the effectiveness of the leader is important
whether the leadership style is suitable for the situation or not. And according to this theory, an individual
can be an effective leader in any circumstance and an ineffective leader cannot handle the situation well.
Effective leadership is not only about the style used by the leader, but also the way how he could control the
different situations. Therefore, to be a success, the manager of CIC needs to maintain a strong relationship
with their employees and also they need to define the tasks clearly which should be goal-oriented as well.

T.M.K.S. Thilakarathne
44
Contingency theory could be beneficial to CIC as it provides more opportunities for their employees for
learning from specific situations and using these lessons to influence future management of the same or
similar situations within the branch. Contingency theory may also produce more well-rounded leaders who
can develop their skills in multiple areas. Because the contingency theory gives managers a wide range of
ways to react to problems, it also gives them significant discretion in their decision-making.

Advantages Disadvantages
• The nature of the contingency  The contingency strategy is approach is dynamic. As a
result, it complicated. The approach's concept varies depending on the is straightforward, but putting
it into circumstances. It enables managers to practice is more difficult.
adjust policy in response to changing circumstances.
• The contingency method is primarily

• The contingency strategy aids the reactive. The manager's job might get manager's

leadership and decision- difficult at times while dealing with making abilities. issues.

• The literature base for the contingency strategy is weak. It's not enough to
• Employees have options under the argue that "a managerial action is contingency method,
which allows dependent on" something.
them to grow and share their ideas with the
company.
Table 13: Advantages and disadvantages of Contingency Theory

5. Conclusion and Recommendations


Based on the study, it was analyzed the organizational culture, politics and power of CIC Holdings along
with the justifications and the relationship between those three concepts also analyzed in detail.
Accordingly, CIC Holdings PLC are implementing organizational culture properly while maintaining power
culture by giving higher authority to their company's CEO to manage all of the company's employees, from
the top to the bottom level to supervise all the business functions. This could help CIC to easily change as
per the trends and it can respond to any kind of uncertain situation. Based on the role culture, the employees
of the CIC play their role effectively towards the completion of the assigned duties which leads to enhance
the performance of the organization as well. ‘In the context of person culture, the employees from service

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45
department of CIC believes they only can fix the issues arising from the factory and machinery-related
problems which is good to motivate the employees. Further, the below recommendation can be suggested
for CIC to improve their productivity as well.

Maintain productive behavior - CIC has all the rights to expect good performance from their employees
and to maintain a peaceful workplace without serious interference of union.

Good communication - CIC always need to maintain a good communication which is most valuable
management tactics to maintain good employee relations and also to achieve the organizational goals.

Good employee relations - Strengthen the relationship between the employees and the management by
implementing a healthy work environment and cooperative relationship are important for the company.

Build Better Work Environment - All the employees should get better working conditions with requires
resources and the safety need to be ensured.

Feedback and Follow Up - CIC need to arrange feedback sessions to discuss the issues facing by the
employees which helps to review the company policies and evaluation of management process.

T.M.K.S. Thilakarathne
46

T.M.K.S. Thilakarathne
47

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Grading Rubric

Grading Criteria Achieved Feedback

P1 Analyse how an organisation’s culture, politics and


power influence individual and team behaviour and
performance

M1 Critically analyse how the culture, politics and


power of an organization can influence individual
and team behaviour and performance.

D1 Critically evaluate the relationship between


culture, politics, power and motivation that enables
teams and
organisations to succeed providing justified
recommendations.

P2 Evaluate how content and process theories of


motivation and motivational techniques enable
effective achievement of goals in an organisational
context

M2 Critically evaluate how to influence the behaviour


of others through the effective application of
behavioural motivational theories, concepts and
models.

T.M.K.S. Thilakarathne
51
P3 Explain what makes an effective team as opposed
to an ineffective team

M3 Analyse relevant team and group development


theories to support the development of cooperation
within effective teams.

P4 Apply concepts and philosophies of organisational


behavior within an organizational context and a given
business situation

M4 Evaluate how concepts and philosophies of OB


inform and influence behaviour within a given
business situation.

D2 Critically analyse and evaluate the relevance of


team development theories, concepts and
philosophies that influence behaviour in the work
place to improve business performance and
productivity

T.M.K.S. Thilakarathne

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