Fundamental of Organizational Behaviour
LO1 Understanding the relationship between organisational structure and culture
Organisational structure means the process of task allocation, supervision and coordination within an organisation. Organisational structure can be defined as the viewing glass through which one person can see the environment of an organisation. On the other side, organisational culture is a shared assumption, related to organisational values, beliefs and the process of governing.
1.1 Comparing and contrasting different organisational structures and cultures
Organisational structure is the form that refers the process of employee’s representation and formation within an organisation. These structures can be different based on the organisations. In this respect, GlaxoSmithKline (GSK), a famous healthcare organisation that manufactures and markets the pharmaceuticals company follows a hierarchical structure. In hierarchical company, employees of an organisation are ranked based on the levels and each level is higher than the other (Sandman et al. 2012, p.520). Moreover, in each level of the step, multiple employees can come under one person. GSK follows the flat hierarchical model that provides the executive's power from top to down. Some of the employees like the equality and they prefer to approach top managers.
The flat hierarchy provides better communication with simple and faster decision making. It also provides better decision-making process to the employees and managers. On the other side, AstraZeneca, another pharmaceutical company in the UK follows the matrix organisational structure where the relationship sets as a grid. Matrix structure provides efficient information exchange that provides motivation to the employees. However, it also provides disadvantage related to the internal complexity and maintaining of internal conflict.
Charles Handy’s organisational cultures are mainly four types, power, task culture, person culture and role culture. GSK follows the task culture and person culture within the organisation in most of the cases. Andrew Witty sliced the organisation and he parted some of the groups in order to boost the work culture. The organisational follows day-to-day working culture and transparency in work. In this regard of task culture, team members have to contribute to work in innovative way (Spyriadis et al. 2013, p.80). On the contrary, AstraZeneca follows the Power culture within the organisation. CEO Pascal Soriot is the head of the organisation and authorised people only can take the decision.
1.2 Explaining the relationship between an organisation’s structure and culture that can impact on the performance of the business
GlaxoSmithKline is having healthy, high-performing teams in the workforce that aims to provide better care on this planet. The organisational structure of the organisation is hierarchical; however, they follow flat hierarchical structure within the organisation. This structure gives the power to the executives to rule top and down. However, some of the employees prefer to follow the top management and they believe in equality. In this case, the hierarchical structure provides GSK to have the authority and responsibility to manage the teams in the clear and well-defined way. This structure provides the opportunity to motivate people with developing the expertise. As stated by Pettigrew (2014, p.26), organisational culture is related to the general understanding of the relationship of the employees with integrity. GSK provides open environment to the employees and they can socialise with other employees with flexible working hours. In this scenario, it is to mention that GSK has more than 33,000 employees worldwide from different background, however, they believe in the operating the work in transparent way that can demonstrate the work focusing transparency.
As opined by Koppelaar et al. (2013, p.535), these structure and workplace values and culture provide impact on the mind on the work of the employees. They focus on the patient’s health through their research works. Their works mainly occur on ensuring the patient’s safety with enabling the quality of the products and reliability of supply. Their values and culture emphasises on the standard medicine to the consumers and their integrity at the workplace come through realistic commitment with following basic principles. The employees follow regulation, laws and ethics showing respect to the other colleagues creating atmosphere of trust. They ensure zero bullying at workplace with transparency in honest and fair work.
1.3 Discussing the factors that can influence individual behaviour at work
In workplace, employees’ behaviour can be affected by a number of reasons; these can be personal, demographic, psychological and environmental factors (Van der Velden, 2012, p.235),. These are some of the internal factors of the organisations and some of the external factors. In GSK, more than 33,000 employees are working and they come from different background.
Personal factors: Personal factors of the employees in GSK are related to the biographical characteristics. These characteristics are related to the age, gender, religion, marital status, ability, intelligence and experience. On the other side, learned characteristics are related to the personality, perception, attitudes and values of the employees. In GSK, the employees come from different race, religion and cast, they might come from separate characteristics for the inherited or personal records.
Environmental factors: In this regard, a socio-culture factor of an employee is related to the relationship to the family, friends, colleagues and subordinates. Moreover, political factors are related to the individual behaviour, whereas, legal environment is related to the rules and laws of the organisation GSK.
Demographical factors: Demographical factors are related to the physical facilities at the environment related to the heat, light, ventilation, office furnishing and a number of people. More than that, the demographical significance of the place is related to this. Demographical factors provide motivation to the employees.
Psychological factors: Attitude of an employee is related to the GSK’s employees individual’s positive and negative feeling. Perception is the viewpoint of an employee that an employee interprets the circumstances. Moreover, the personality of an employee is a dynamic concept with values of the employees (Dingemans and Dochtermann, 2014, p.36).