In: Operations Management
Read the fictional scenario and address the checklist items.
Secnario:
ROBolnc is a robotics software company with 100 employees located in South Bend, Indiana, in the United States. Until recently, the corporate culture had been established as a rigid culture that excluded families from company celebrations and in which everyone had an explicit job description. The company hires mostly locals, and only directors make any important decisions. The company has had a formal code of ethics but it has not be enforced. As a result, there have been increasing incidents of personnel doing consulting work for other companies outside of working hours. The CEO is concerned that their robotics software could be compromised. Lately, as the company's software has been increasingly sought out by robot-producing companies around the globe, the CEO realizes it is time to reimagine a more diverse, inclusive, and global type company, while adhering to an ethical code of conduct with uniform responses to infringement.
The CEO knows they will soon need to hire at least another 20 sales staff and additional software developers to address this increasing global demand. The CEP wants to restructure the company while keeping company costs down as much as possible.
Help ROBolnc.address the problems by completing the checklist items.
view the company's current organizational structure:
There are two V.P.'s one for finance and one for human resources. An accountant reports to the budget manager who reports to the V.P. of Finance and a recruiter reports the V.P.of Human resources. Then reporting to the two V.P.s and CEO are 4 directors. The director of production has 10 robot maintenance engineers (maintain the robots once on client site), 20 robot engineers (they design al parts), and 10 software engineers (who program the robots) all reporting to him. The director of sales has 2 assistants, 7 industrial sales staff and 7 medical sales staff reporting to her. The director of customer services has a customer services manager reporting to him and he in turn has and 14 call center customer service staff reporting to him,
Address the following items in your Assessment
1. Identify the characteristics needed to implement a share ethical culture and explain how this will help the organization.
2. Explain how the ethical culture will be affected by the global context. Describe some of the global implications. (Use the Competing Values Framework in assessing the situation)
3. Analyze the current organizational structure and identify the key questions the executives need to answer in order to create the most effective and suitable organizational structure and culture.
4. Explain the importance of ethical leadership involved in implementing a new organization structure and suggest a possible new structure base on the Learning Activity.
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Identify the characteristics needed in implementing a shared culture and explain how this will help the organization
According to Robbins and Judge Organizational Culture is a system of shared importance held by individuals that recognizes the association from other organizations. There are seven essential attributes that catches the epitome of an organization's way of life. Innovation and Risk Taking describes the degree of which an employee is encourage to be risk takers and inventive. Attention to Detail describes the degree of expectation employees are relied upon to show accuracy, examination, and focus.
Outcome Orientation describes the degree in which administration concentrates on results as opposed to procedures and actions used to accomplish them. People Orientation describes the degree in which an organization decides to mull over the impact of results on individuals inside the organization. Team Orientation describes the degree in which the allocation of work is divided among the team as opposed to being divided among individuals. Aggressiveness refers to the degree in which individuals are forceful and driven, relative to being laidback. Finally, Stability describes organizational exercises that highlights keeping up the norm rather than development
Each of these characteristics contributes to building an organizational culture. Out of the seven characteristics ROBolnc must implement Innovation and Risk Taking, Attention to Detail, and Team Orientation. When utilize collectively ROBolnc can develop a policy that rewards and encourages risk taking, trying different things and exercises are planned around work groups. These characteristics gives a composite photo of its way of life and a reason for the common understanding individuals will have about the organization, how things are done in it.
Explain how the culture will be affected by a global context. What are some of the global implications? Use the Competing Values Framework in assessing the situation.
The Competing Values Framework comprises of Collaborative and Cohesive (Clan), the Innovative and Adaptable (Adhocracy), the Controlled and Consistent (Hierarchy), and the Competitive and Customer Focused (Market). In a Clan organization individuals are driven through vision, shared objectives, yields and results; it has an internal concentration and a feeling of family. Like Innovation and Risk Taking, Adhocracy encourages individuals to be risk takers and be inventive. Hierarchy is characterized by a formalized structure, meaning changes are made gradually. Market is described as bottom line results, meaning profits increase are the driving force.
The management of ethical behavior is one area where national culture can have global implication. An Organizational culture is so penetrating; it regularly rises above national parameters. To build a strong culture, ROBolnc must become culturally sensitive; we must ingratiate a policy that is both reflective and sensitive to all employees that will be intensely held and widely shared. Our logistics business operates in Asia, Germany, India, and the United States, we cannot implement a standard culture across all branches. For example, the culture in Asia may allow their employees to come to work in informal uniform, as opposed to in the US where all employees must dress in business attire when present at work. By accepting different cultures traditions, however maintain our ethical core values, we will bridge the two cultures into one.
Explain the importance of ethical leadership involved in implementing a new organization structure.
Ethical Leadership is important when implementing a new organizational structure. It allows the organization to achieve morale and loyalty effectively. There are a few principles we at ROBolnc can utilize to create a more ethical culture. Become a visible role model, communicate ethical expectations, provide ethical training, visibly reward ethical acts and punish unethical ones, and Provide protective mechanisms. When an organization supports high ethical standards, it should have a very powerful and positive influence on employee behavior and a positive organizational culture.
Analyze the current organizational structure and identify the key questions the executives need to answer in order to create the most effective and suitable organizational structure and culture.
When creating the most effective and suitable organizational structure and culture, typically the ideology of the company is formulated by the owner (CEO); they decide the type of culture they want the organization to have. The actions of the Top managers’ set the general climate and the employees implementing these values are dependent on ritual, stories, materials symbols, and languages that are socialized.
In order to create the most effective and suitable organizational structure and culture, executives must emphasize on building employee’s strengths. By focusing on what an employee does well, it will help an organization get the most out of that employee. Rewarding more than punishing will help in creating a positive organizational culture. Emphasizing vitality and growth helps support an employee’s contributions and effectiveness to an organization.