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Student: Tutor:
Marko Benda Univ.- Lekt. Hanno Poeschl
M.B.A.
Zadobrovška c. 76 Wurzingergasse 1/1
SI - 1260 Ljubljana-Polje A-1180 Wien / Austria
Ljubljana, 19.12.2004
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TABLE OF CONTENTS
Question 1
1. Summary 3
2. Introduction 3
3. Description of company stakeholders 3
3.1 Internal stakeholders 4
3.1 External stakeholders 4
4. Analysis of the organizational structure and culture 6
4.1 Organizational structure 6
4.1.1 The mission 6
4.2 Organizational culture 8
4.2.1. Formal rules of the company 8
4.2.2. Informal rules of the company 8
5. Analysis of the appropriateness of the 9
structure and the culture for meeting the
expectations of the organization
5.1. Analysis of the structure 9
5.1.1. Differentiation of structure 11
5.1.2. Integration of structure 11
5.2 Analysis of the culture 11
5.2.1. Cultural differences 12
6. Conclusion 13
7. Recommendation 13
Question 2 14
References 15
Word count:
Question 1 1942
Question 2 302
______________________
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Total 2244
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Question 1
Summary
Each company developed its own culture which influence on the external
and internal behaviour to the company and employees. This behaviour
reflects to external environment and influence on company’s stakeholders
who can affect to the successfulness of the company. The company is
dependent of the external environment by providing the services and
product to its target market. Market – consumers on the other hand,
responds to the company by purchase and use goods and services
provided by the company. The satisfaction of users in long term provides
companies growth and development which in general means that
company meets expectations of its stakeholders.
Introduction
This task will be written in three parts. In this assignment I will focus on
analysis of the stakeholders, organizational structure and culture of
company Vrtnarstvo d.o.o. In first part I will describe stakeholders of the
organization, with their main interests and expectations. In second part
will be analysed the organizational structure and culture and in third part I
will analyse the appropriateness of the culture and structure with stress to
expectation of internal and external stakeholders1.
1
Write a report to your manager which analyses the extent to which
your organisation’s structure and culture help it to meet the
expectations of its stakeholders. ( Course File, Assignments OUBS 2004, p.5)
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External
Stakeholders
Government
Suppliers Lenders
INTERNAL STAKEHOLDERS
Employees M anagers
Employees as
shareholders
Consumers
Shareholders
Customers
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2
The context of management, Session 1-3, Tony Stapelton, p.1-23
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The market – led organization, Jaworsky and Kohli, 1990
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Aims or goals
What?
Objectives
How?
General
Manager
Financial
department
Retail Wholesale
manager Production
manager
manager
Production
planting, S ervice
watering Horticultural
packing arrangment of
transport gardens,
maintaince...
4
The context of management, Sheila Cameron 2003, Session 4-11
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There are formal rules which define how people should behave, how they
are dressed in different uniforms defined by department manager. There
are differences but in general workers are all dressed in green and yellow
colour.
5
The context of management, Handy's four cultures, Figure 5, p.5-16
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Problem Solution
We have a lot of paperwork We have to make company IT
Morale is low because workers are We need to motivate people with
working too much as to level of better working conditions and new
salaries bonus politics
We have a lack of coordination We need to set up real
responsibility for managers and
penalties
We have a lack of communication We need to start with daily
between managers and other meetings with reports and working
working staff plans
Workers are lost on the field and We need to set up system for to
are dependent of management hand over working tasks
We are loosing information’s which We need to set up computer traced
are important for production system for information dispatch
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competition
Unhappy
stakeholders Vrtnarstvo d.o.o.
- employees
-customers
-owners
competition
Happ y stakeholders
- employees
-customers
-owners
Vrtnarstvo
d.o.o.
6
When the company have to much of structural problems began to lose the best employees, customers. If the
management doesent recognize the problem, the company will go down to the bancrupcy.
7
Strong company is making market and dependence to Stakeholders and competition
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We need to start with new culture with low risk and quick feedback. Deal
and Kennedy’s model named this culture “Work hard / Play hard culture”10
The company has to work fast, recognizing news on the market and use
it’s knowledge and know-how. It supposes to get quick feedback with low
risk instead of slow feedback and low risk which is in the company present
now.
This company culture should remind all employees that they should be
proud to work in a company like we are and other stakeholders should see
8
The context of management, Sheila Cameron 2003, 4-25, 4-27
9
The context of management, Handy's four cultures, Figure 5, p.5-16
10
Deal and Kennedy, 1982, p. 108: »Fun and action are the rule here, and employees take few risks, all with
quick feedback; to succeed, the culture encourages them to maintain a high level of relatively low-risk activity.«
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that the company we are can be trusted and that their satisfaction is not
one time but always on.
In company department are mainly women and they felt that they are in
background. They also have lower salaries, mainly because of travel
expenses they don’t have.
But they all felt that they are pushed away, because old management
didn’t accept their contribution to company and they simply send them
away with words: “Mind your own business”.
production
workers
Company
service
workers
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2. Conclusion
The pyramid model of the company structure led to this kind of cultural
differences in the company. The management should become more
familiar with other people work, listen to them and tried to involve them in
working process, including some decision making process. All employees
should become more important not just as workers in the organization,
but as a member of the company.
3. Recommendation
The analysis show, that company has a strong and rough culture and
structure based on the social system which was developed in times when
country was still under communist system. This system was with its
monopoly very advantageous for companies on that market. With changes
in market economy companies had to change quickly. Some of them, like
ours are still under big influence of those past times. Workers cannot
switch, because it’s all what they know to do.
Management has to put more importance to employees work, so that they
feel contributing in company’s achievement. There has to be levelled up
all departments no matter what the work description is. The solution lies
in new fresh and educated individuals who will be able to put news and
changes in behaviour of the company. The structure and the culture must
be changed according to normal market demands. In past market people
were looking for goods, now goods are looking for customers.
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Question 2
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REFERENCES :
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