An organization or organisation is an entity comprising multiple people, such as an institution or an association. That has a collective goal and is the link to an external environment. Organizational, relating to an organization or the way it is set-up, the action of organizing something.
There are a variety of legal types of organizations, including corporations, governments, non-governmental organizations, political organizations, international organizations, arm forces, charities, not-for-profit corporations, partnerships, cooperatives, and educational institutions. A hybrid organization is a body that operates in both the public sector and the private sector simultaneously, fulfilling public duties and developing commercial market activities.
A voluntary association is an organization consisting of volunteers. Such organizations may be able to operate without legal formalities, depending on jurisdiction, including informal clubs. Organizations may also operate in secret and/or illegally in the case of secret societies, criminal organizations and resistance movements.
Industrial relations are the relationships between employees and employers within organizational settings. The field of industrial relations looks at the relationship between management and workers, particular groups of workers represented by a union. This article explains Industrial Relations by their meaning and different definition; Industrial relation is the interactions between employers, employees and the government, and the institutions and associations through which such interactions mediate. Also learn, Know What is Employee Relations?
Learn and Understand, Do You know what is Industrial relations? Meaning and Definition.
The term industrial relation has a broad as well as a narrow outlook. Originally, industrial relations broadly define to include the relationships and interactions between employers and employees. From this perspective, industrial relations covers all aspects of the employment relationship, including human resource management, employee relations, and union-management (or labor) relations. Now its meaning has become more specific and restricted.
Accordingly, industrial relations pertains to the study and practice of collective bargaining, trade unionism, and labor-management relations; while human resource management is a separate, largely distinct field that deals with nonunion employment relationships and the personnel practices and policies of employers.
The meaning of Industrial relations; IR is a multidisciplinary field that studies the employment relationship. Industrial relations are increasingly being called employment relations or employee relations because of the importance of non-industrial employment relationships; this move sometimes sees as further broadening of the human resource management trend. Indeed, some authors now define human resource management as synonymous with employee relations.
Other authors see employee relations as dealing only with non-unionized workers, whereas labor relations see as dealing with unionized workers. Also know more, Industrial relation studies examine various employment situations, not just ones with a unionized workforce. However, According to Bruce E. Kaufman;
“To a large degree, most scholars regard trade unionism, collective bargaining and labor-management relations, and the national labor policy and labor law within which they are embedded, as the core subjects of the field.”
Definition of Industrial Relations:
After, their meaning they define their definition of industrial relations according to different authors below are;
“Employer-employee relationships that are covered specifically under collective bargaining and industrial relation laws.”
According to Dale Yoder’,
“IR is a designation of a whole field of relationship that exists because of the necessary collaboration of men and women in the employment processes of Industry.”
In the opinion of V. B. Singh;
“Industrial relations are an integral aspect of social relations arising out of employer-employee interaction in modern industries which are regulated by the State in varying degrees, in conjunction with organized social forces and influenced by the existing institutions. This involves a study of the State, the legal system, and the workers’ and employers’ organizations at the institutional level; and of the patterns of industrial organization (including management), capital structure (including technology), compensation of the labor force, and a study of market forces all at the economic level.”
Encyclopedia Britannica defined IR more elaborately as;
“The concept of industrial relations has been extended to denote the relations of the state with employers, workers, and other organizations. The subject, therefore, includes individual relations and joint consultation between employers and workers at their places of work, collective relations between employers and trade unions; and the part played by the State in regulating these relations.”
As the name implies, Industry Relations comprises of two words, Industry, and Relations. Where industry covers the production activity in which the group of workmen engages; while the relations show the relationship between the management and the workers within the industry. IR plays a significant role in today’s working scenario where the harmonious relationship between the employers and employees needs to have an uninterrupted production.
Industrial Relations mainly cover the following:
Regulatory body to resolve industrial disputes.
Collective Bargaining.
The role of management, unions, and government.
Labor Legislation.
Worker’s Grievance Redressal system.
Disciplinary policy and practice, and.
They give Training.
The relationships which arise at and out of the workplace generally include the relationships between individual workers; the relationships between workers and their employer and the relationships between employees. Also learn, What is the Importance of Employee Relations? The relationships employers and workers have with the organizations form to promote their respective interests; and, the relations between those organizations, at all levels.
Industrial relation also includes the processes through which these relationships express (such as, collective bargaining, workers’ participation in decision-making, and grievance and dispute settlement); and, the management of conflict between employers, workers and trade unions, when it arises.
Do you know what is Industrial Relations? meaning and definition. Image from Online.
Maintaining healthy Importance of employee relations in an organization is a prerequisite for organizational success. Strong employee relations are required for high productivity and human satisfaction. Employee relations generally deal with avoiding and resolving issues concerning individuals which might arise out of or influence the work scenario. Strong employee relation depends upon a healthy and safe work environment, a cent percent involvement and commitment of all employees, incentives for employee motivation, and an effective communication system in the organization.
Learn, Why Employee Relations at Workplace? and, What is the Importance of Employee Relations?
Healthy employee relations lead to more efficient, motivated, and productive employees which further leads to an increase in sales level. What are Employee Relations? According to the Chartered Institute of Personnel Development, the use of industrial relations to describe workplace relations is no longer as prevalent, due to the widespread deindustrialization of developed economies and declining union membership. Instead, employers now use the term “employee relations,” which refers to relationships that exist in both unionized and nonunionized workplaces. Employers hope to manage employee relations successfully with each respective individual, as a means to raise morale and productivity.
Every individual in the workplace shares a certain relationship with his fellow workers. Human beings are not machines that can start working just at the push of a mere button. They need people to talk to, discuss ideas with each other, and share their happiness and sorrows. An individual cannot work on his own, he needs people around. If the organization is empty, you will not feel like sitting there and working. An isolated environment demotivates an individual and spreads negativity around. People must be comfortable with each other and work together as a single unit towards a common goal.
Introduction
However, when it comes to employee relationships, they can only have a good relationship when they are disappointed with the company. Sometimes cutting through the hard work with some fun games is essential. Some fun outdoor activities and some employee appreciation gifts are always encouraged.
Employees must share a healthy relationship at the workplace. Let us find out why the importance of employee relations in an organization:
There are several issues on which an individual cannot take decisions alone:
He needs the guidance and advice of others as well. Sometimes we might miss out on important points, but our fellow workers may come out with a brilliant idea that would help us to achieve our targets at a much faster rate. Before implementing any plan, the pros and cons must be evaluated in an open forum where every employee has the right to express his opinions freely. On your own, you will never come to know where you are going wrong, you need people who can act as critics and correct you wherever you are wrong. If you do not enjoy a good relationship with others no one will ever come to help you.
Work becomes easy if it is shared among all:
A healthy relationship with your fellow workers would ease the workload on you and in turn, increases your productivity. One cannot do everything on his own. Responsibilities must be divided among team members to accomplish the assigned tasks within the stipulated time frame. If you have a good rapport with your colleagues, they will always be eager to assist you in your assignments making your work easier.
The organization becomes a happy place to work if the employees work together as a family:
An individual tends to lose focus and concentration if his mind is always clouded with unnecessary tensions and stress. It has been observed that if people talk and discuss things with each other, tensions automatically evaporate and one feels better. Learn to trust others, you will feel relaxed. One doesn’t feel like going to the office if he is not on talking terms with the person sitting next to him.
An individual spends around 8-9 hours a day at his workplace and practically it’s not possible that one works nonstop without a break. You should have people with whom you can share your lunch, discuss movies or go out for a stroll once in a while. If you fight with everyone, no one will speak to you and you will be left all alone. It is important to respect others to expect the same from them.
An individual feels motivated in the company of others whom he can trust and fall back on whenever needed:
One feels secure and confident and thus delivers his best. It is okay if you share your secrets with your colleagues but you should know where to draw the line. A sense of trust is important.
Healthy employee relations also discourage conflicts and fights among individuals:
People tend to adjust more and stop finding faults in each other. Individuals don’t waste their time in meaningless conflicts and disputes, rather concentrate on their work and strive hard to perform better. They start treating each other as friends and try their level best to compromise and make everyone happy.
A healthy employee relationship reduces the problem of absenteeism at the workplace:
Individuals are more serious about their work and feel like coming to the office daily. They do not take frequent leaves and start enjoying their work. Employees stop complaining about each other and give their best.
It is wise to share a warm relationship with your fellow workers because you never know when you need them:
You may need them at any time. They would come to your help only when you are nice to them. You might need to leave for some personal reasons; you must have a trusted colleague who can handle the work on your behalf. Moreover, healthy employee relations also spread positivity around.
It is essential that employees are comfortable with each other for better focus and concentration, lesser conflicts, and increased productivity. Now, you may understand the importance of employee relations.
Learn, What is the Conflict in Organizations or Organizational Conflict? Meaning and Definition!
Meaning of Conflict in Organizations: Organizational conflict, A Conflict occurs at various levels within the individuals, between the individuals in a group and between the groups in an organization. An issue between two or more parties who have (or think they have) incompatible goals or ideas. A Conflicts may involve deep-rooted moral or value differences, high stakes distributional questions, or can be about who dominates whom. Also learn, The Theory of Human Relationship Management, What is the Conflict in Organizations or Organizational Conflict?
The Conflict is the perpetual giver of life, although varying views of it may hold. Some may view conflict as being a negative situation which must avoid at any cost. Others may see conflict as being a phenomenon which necessitates management. The Still, others may consider conflict as being. An exciting opportunity for personal growth and so try to use it to his or her best advantage.
Conflict in Organizations or Organizational Conflict: Organizational conflict, or workplace conflict, is a state of discord caused by the actual or perceived. An opposition of needs, values, and interests between people working together. Conflict takes many forms in organizations. There is the inevitable clash between formal authority and power and those individuals and groups affecting. Also, disputes over how revenues should be divided, how the work should do, and how long and hard people should work.
There are jurisdictional disagreements among individuals, departments, and between unions and management. There are subtler forms of conflict involving rivalries, jealousies, personality clashes, role definitions, and struggles for power and favor. Also, conflict within individuals – between competing needs and demands – to which individuals respond in different ways.
Definitions of Organizational Conflict!
“Working together is not always easy”, it is because of conflict. Conflict is a part of everyday life of an individual and of an organization. It has a considerable impact on employee’s performance, satisfaction, and behavior. It’s not possible to compress the essential ingredients of conflict in a precise definition because it may take several forms.In simple words. It can explain as a collision and disagreement. The conflict may be within an individual, between two or more individuals or between two or more groups within an organization. Also learn, What is an Organization?
Some important definitions of conflicts in organizations (organizational conflicts) are:
1. According to J.W.Thomas, “Conflict is a process that begins when one party perceives that another party has negatively affected, or about to negatively affect, something that the first party cares about”.
2. According to Hocker, and Wilmot Conflict, “An expressed struggle between at least two interdependent parties who perceive incompatible goals, scarce rewards, and interference from the other party in achieving their goals”.
3. According to Follett, “Conflict is the appearance of difference- the difference of opinions of interests”.
An organizational structure defines how activities such as task allocation, coordination, and supervision are directed toward the achievement of organizational aims. Also learn, Why is Intrapreneurship Better than Entrepreneurship? This article explains to Organizational Structure for Corporate Entrepreneurship. Organizations need to be efficient, flexible, innovative and caring to achieve sustainable competitive advantage. Organizational structure can also consider as the viewing glass or perspective through which individuals see their organization and its environment.
Learn, Entrepreneurial, What is Organizational Structure for Corporate Entrepreneurship?
“The birth of new business within existing organizations, that is, internal innovation or venturing; and the transformation of organizations through the renewal of the key ideas on which they are built, that is, strategic renewal.”
The organizational structure affects organizational action in two ways:
It provides the foundation on which standard operating procedures and routines rest.
It determines which individuals get to participate in which decision-making processes, and thus to what extent their views shape the organization’s actions.
Organizational Structures for Corporate Entrepreneurship:
Burgelman proposes that the use of a particular organizational structure should determine by:
The strategic importance of the new business to the corporation. and.
The relatedness of the unit’s operations to those of the corporation.
The combination of these two factors results in nine organizational structures for corporate entrepreneurship.
1] Direct Integration:
A new business with a great deal of strategic importance and operational relatedness must be a part of the corporation’s mainstream. Product champion-people who are respected by others in the corporation and who know how to work the system need to manage these projects.
2] New Product Business Department:
A new business with a great deal of strategic importance and partial operational relatedness should be a separate department. Organize around an entrepreneurial project in the division where skills and capabilities can share.
3] Special Business Units:
A new business with a great deal of strategic importance and low operational relatedness should be a special new business unit with specific objectives and time horizons.
4] Micro New Ventures Department:
A new business with uncertain strategic importance and high operational relatedness should be a peripheral project. Which is likely to emerge in the operating divisions continuously. Each division thus has its new ventures department.
5] New Venture Division:
A new business with the uncertain strategic importance that is only partly related to present corporate operations belongs in a new venture division. It brings together projects that either exists in various parts of the corporation or can acquire externally, sizable new businesses are built.
When an entrepreneurial proposal might not be important strategically to the corporation but is strongly related to present operations. Top management might help the entrepreneurial unit to spin-off from the corporation. This allows a friendly competitor, instead of one of the corporation’s major rivals, to capture a small niche.
8] Contracting:
As the required capabilities and sills of the new business are less related to those of the corporation. The parent corporation may spin off the strategically unimportant unit yet keep some relationship through a contractual arrangement with the new firm. The connection s useful in case the new firm eventually develops something of value to the corporation.
9] Complete Spin-Off:
If both the strategic importance and the operational relatedness of the new business are negligible. The corporations are likely to completely sell off the business to another firm or the present employees in some form of ESOP (Employee Stock Ownership Plan). The corporation also could sell off the unit through a leveraged buy-out executives of the unit buy. Also, the unit from the parent company with money from a third source, to be repaid out of the unit’s anticipated earnings.
Entrepreneurial Organizational Structure:
The organizational structure of an entrepreneurial company often has two central requirements based on the nature and size of the business. Because they are innovators, these businesses must develop organizational structures. That promotes frequent interaction and communication among their marketing, sales and production departments. Because they are often smaller businesses that aren’t able to fully departmentalize because they have large sales of one product. They must maximize their management resources through multitasking.
1] Theory Originator:
The theory of an entrepreneurial organizational structure was developing by McGill University professor and management expert Henry Mintzberg. He proposed theories about five different types of organizational structures, including one well suited for operating an entrepreneurial organization. Others have since expanded on his theories, first proposed in the 1970s, as markets and technologies have evolved.
2] Flat vs Hierarchical Structure:
Smaller businesses with few employees that continue to evolve. Their product development and marketing often use a flat organizational structure rather than a hierarchical one. A traditional hierarchical organizational structure organizes a company based on departments. With each department having a leader and subordinates reporting to the department head.
These departments work independently, reporting to a president, chief executive officer or executive management team. A flat organizational structure consists of individuals or small groups that work collaboratively, all reporting to the owner or CEO. A flat structure can require managers to take on or participate in more than one task to maximize scarce human resources.
3] Planning Structure:
An entrepreneurial structure should facilitate cooperative planning rather than top-down strategic and marketing planning. Which features execution of plans assigned to different departments. Marketing activities include product development, pricing strategies, brand creation, and distribution channel selection that occur before any promotions take place.
For example, at a larger business with a hierarchical organizational structure. Also, the marketing department might develop the product and then tell the production department to determine how to make it. In an entrepreneurial organization, all team members are involving in product planning.
So, they can share their concerns or make suggestions about whether they can make the product. At large companies, marketing will know the capabilities of its production department. While at an entrepreneurial company, marketing will pitch an idea, asking production. Information technology, sales, and finance if they can bring the idea to market.
4] Communication Structure:
An entrepreneurial organization holds regular team meetings to discuss ideas before a decision is creating. While a more traditional organizational structure uses meetings of department heads to announce their progress and tell subordinates what has been deciding. An entrepreneurial company might create an intranet or a communication system based on the Cloud to exchange project status in real-time.
A Cloud-based system puts information on a secure Internet site that people can access with a password from anywhere. An intranet resides on a company’s servers. Using such a system, each team member will have his responsibilities but will update his progress on a master document that all other team members can access from their computers at any time of the day.
What is Organizational Structure for Corporate Entrepreneurship? Google Image Searching.
Rise of Corporate entrepreneurs: The current change in the economy throughout the world pressurize to businesses and industries to change the strategies rapidly to satisfy the multiple stakeholders. Also learn, What is the Difference Between an Intrapreneur and Entrepreneur? This article explains to Corporate Entrepreneurship Categories and Organizational Thinking. Large organizations are focusing on innovation. The need for Intrapreneur arises due to the number of problems. The number of competitors is increasing rapidly these competitors are very sophisticated, these competitors are not only their backyard but from other countries as well. Many innovative people leave corporate and became business entrepreneurs. Organizations want to improve efficiency and productivity.
Learn, and Understand, The Corporate Entrepreneurship Categories and Organizational Thinking.
Corporate entrepreneurial leadership Characteristics: A corporate entrepreneur is a person who focuses on innovation and creativity to transform dreams into a profitable reality. A charismatic leader in a company instills an entrepreneurial philosophy in the employees in an organization. These entrepreneurs must have leadership characteristics. They must be visionary and flexible. Also, the Entrepreneur encourages teamwork and builds a coalition of support. For the team, performance entrepreneur understands the organization environment they persist continuously trying to give their best.
What is Corporate Entrepreneurship?
Since the late 1990s, many large companies have been experimenting with the idea of corporate entrepreneurship as a way to launch and manage new ventures within a big corporation. Using the resources of the parent company, individual employees and internal teams can develop new products, innovations or brands. Also, this leads to increased profits and a more competitive stance in the marketplace. It also helps large companies retain talented staff that might otherwise leave to start their ventures.
Corporate entrepreneurship has also been called corporate venturing. This should not be confused with corporate venture capital, which involves large corporations investing directly in external startups as a means of innovation. Also, they happen completely from within the existing company.
Categories of Corporate Entrepreneurship:
As well as Corporate entrepreneurship is the choice for large organizations. They have been categorized into four broad categories.
1] Corporate Venturing:
The Corporate venturing involves is starting a new business within the existing business, e.g. Thermo- Electron company’s core competence in medical laser technology and started a new venture involve hair removal salons utilizing their laser technology.
2] Intrapreneuring:
Is an effort used by entrepreneurs to create and build a business to set up their mind and behaviors. Companies who wish to bring innovation in their companies generally make some intrapreneurs in their company to build a culture of creativity.
3] Corporate renewal or Transformation:
When in a company transformation involves innovation and it leads to economic value it is called a corporate renewal.
4] Industrial Rule Breaking:
When a company transforms itself significantly and the change involves a competitive environment it is called an industry rule-breaking. Amazon.com is one such company that broke the rules of engagement of booksellers.
Organizational Thinking in Corporate Entrepreneurship:
Numbers of corporations are trying to re-engineer corporate thinking and encourage an entrepreneurial environment. But some top managers are finding it difficult to implement policies to encourage freedom and not believe in entrepreneurial ideas that can be nurtured in their environment. Managers need to develop policies to encourage innovative people. Management should identify potential intrapreneurs in their companies early. If someone has these qualities try to promote him before he leaves the organization. Also learn, How to Explain Observing Trends in Entrepreneurship?
Key features in the success of any innovative program are trust, accountability, and confidence. Management should emphasize individual responsibility. To encourage staff to take the risk and achieve management should implement the reward system and give freedom. In case of failure, the project must examine closely for real learning. Also, Individuals must feel free to do all the experiments without the fear of punishment.
Why is Intrapreneur better than an entrepreneur?
Intrapreneur generally has the burning vision which helps them to improve the organization as an Intrapreneur you have the company name and a marketing channel at your back which can increase the chances of success of your enterprise, Intrapreneur does not need to risk his funds but as an entrepreneur have to risk your finances.
Especially if capital for your idea is easier to come from inside the organization, Intrapreneur is better than an entrepreneur. The success of the enterprise needs continuous assesses of the companies technologies to stay competitive. If the Intrapreneur wants to bypass the existing company distribution channel still the company name matters. For the right person, intrapreneurs are invigorating and addicting. Also, the company provides him security with the freedom and creativity of the entrepreneur.
Traditionally, most new ventures arise from the research and development of information technology departments. Also, Corporate entrepreneurship encourages innovative thinking in departments across the organization. A research study by Robert C. Wolcott and Michael J. Lippitz published in MIT Sloan Management Review; outlines four models of corporate entrepreneurship:
1] Opportunist model:
This is sort of the “no model” model. An employee has an innovative idea and happens to get the support of a project champion with the power to say yes to funding and research.
2] Enabler model:
The organization hires entrepreneurially-minded people and encourages all employees and teams to promote and pursue their ideas. Google, for example, aims to hire people with “entrepreneurial DNA,” and allows employees to spend 20% of their time exploring new concepts and prototypes. This model requires that companies communicate clearly how they select projects, provide resources, and track projects.
3] Advocate model:
The company creates a core group of who act as innovation experts and evangelists to work throughout the company and help encourage new business ideas. There are no established funds to participate, so each unit must pay for its ideas. Those that participate do so because they think the initiative is valuable. This model depends on people who can work with different teams and facilitate change.
Producer model:
The company creates internal organizations with funding and a defined process for how new ideas will develop if they don’t fit into the existing business structure. This model requires significant funding and staffing, and support from executive management.
As well as Corporations or management teams that want to encourage intrapreneurship should promote an environment where new ideas are heard and supported, make innovative thinking a part of the corporate culture, and identify and foster those who have an entrepreneurial drive.
Also, Successful corporate entrepreneur initiatives, according to Wolcott and Lippitz, are those that communicate a broad vision and delineate specific objectives. Companies typically start with a small team that can get consensus from senior management to determine these objectives and build support across the board.
The Corporate Entrepreneurship Categories and Organizational Thinking, Image #Pixabay.
Reference:
1. Categories and More – //www.ukessays.com/essays/business/the-need-for-the-corporate-intrapreneurship-business-essay.php 2. Model – //generalassemb.ly/blog/how-to-encourage-corporate-entrepreneurship/ 3. Photo Credit URL – //media-exp2.licdn.com/mpr/mpr/AAIAAgDGAAAAAQAAAAAAAAsuAAAAJDUwODhjYTdiLWMwMDAtNGZkZS1iNTdiLTM3NmNiYTZhYmYxNg.jpg
Organizational Values: An organization is an artifact, social entity, has structured activities, nominal boundaries and it is goal-directed. The Concept of Organizational Values: Definition of Organizational Values, Sources of Organizational Values, Advantages of Organizational Values, and Disadvantages of Organizational Values! Influence of Organizational Values on Organizational Practices and Processes. Values can explain in a few perspectives according to various sources.
Learn, Explain Organizational Values: Definition, Sources, Advantages, and Disadvantages!
In ethics, the value represents the importance of physical and abstract objects which is ideally accepted by individual or group. It can also define as qualities that are considering worthwhile that represent an individual’s highest priorities and deeply held driving forces. Values are often admixture with knowledge, norms, and beliefs. Also learned, What are the Participation and Organizational Climate? Organizational Values: Definition, Sources, Advantages, and Disadvantages!
Beliefs can prove right or wrong by one but not values. Beliefs may vary by cohort, time, geographical differences but values are universal, true for anybody at any time, whenever an individual is. Organizational values are ethical codes that guide behavior by putting assumptions into practice. It also serves as qualities that an organization appreciates and would require members of the organization to chase after.
Organizational values are the ideology of an organization and practiced by the organization from the employee treatment, technology development, customer or any other external environment interaction. It is part of the important element that forms an organization’s culture and it emanates deep from an organization’s soul.
Source and Origin of Organizational Values:
Organizational values are closely associated with human values. It can perceive as an extension of human values, which can categorize into two: instrumental and terminal value. Positive, honest, integrity, responsible, helping the needful are some examples of values. Terminal value relate to goals or desired stage, whereas instrumental values relate to what needs to apply to achieve a terminal value. Example: one’s terminal value being to provide a good life to family members, and instrumental value being to be hardworking and responsible in everything aspects.
Organization values that contradict with human values will leave the members of the organization uncertain and confused about their roles. Problems that plague the society will mirror in the organization. Values do not come from conscious intentions but rather, from the highest expression out of the free will. Some organizational values are not consciously created but are part of the fabric of the organization, as a result of founders’ views.
Values might discover and practice by founders during the early days. Values remain unchanged but evolved over the years unnoticeably until the organization decided to encapsulate it in words and lay as a fundamental part of the way the organization thinks.
Extra knowledge:
Some organizational values are creating consciously by the management team who decide to improve company’s performance systematically. Frameworks, methods might introduce to capture the organizational values to reveal findings. Values could derive from the organization’s goals. It is a set of principles that guide an organization to success and through difficult situations. It is not to compromise for short-term expediency or financial gain.
Organizational values are so special that it superseded corporate strategy, technological advantages or market presence to be the power that resides in shaping a successful organization. Organizational values define the acceptable standards which govern the behavior of individuals within the organization. Without such values, individuals will pursue behaviors that are in sync with their value systems, which may lead to behaviors that the organization doesn’t wish to encourage.
Advantages of Organizational Values:
Organizational values promote the healthy growth of an organization. According to Maslow’s hierarchy of needs, humans have a fundamental need to associate with something that they can feel proud. With the tight association, all members have with an organization, the individual’s membership defines and subsequently creates a committed workforce.
Organizational values also let members of the organizations stay motivated. The external motivation by managers is less effective than in a routine-based society and work process. Therefore organizational values should take into consideration to promote intrinsic motivation of the organization’s members.
The nature, role, and function of values are considering a central part of the organizational value foundation of a corporate brand. Organizations with good organizational values perceived as socially responsible corporate and generally well accepted by the public. Brand value increase and therefore drive good returns from the public, in terms of sales, as well as brand image. Organization identity is strong and helps differentiate the organization from competitors.
Organizational values are vital for continuity, consistency, and credibility in a value-creating process. As values ensure everyone in the organization is working towards the same goals by the same principles and adhering to the same standards. Organizational values foster the organization’s morale and protect an organization’s reputation. Values are cognitive, affective and provide directions. It drives organization groups towards the common target.
Disadvantages of Organizational Values:
Values are important to study organizational behavior because the value is the foundation of how people behave. Personal values might contradict with organizational values although values are typically good. Example some organizations’ reward system is based on seniority. People that value performance higher than seniority will tend to need to deal with disappointment when they are bounding by the reward system based on seniority.
Both seniority and performance are good values but in this case, people disappoint due to different value hierarchy. When there is a contradiction, the individual could either place personal values as a top priority against the organizational value and vice versa. When individual prioritized personal values, organizations’ benefits are at risk of sacrifice. Individuals might feel depressed as well when organizational values took over personal values.
Individuals might suffer imbalanced life from practicing organizational values, such as ‘hardworking’ as organizational value and member of the organization might require to practice it and slack in terms of personal life, which is not a good sign from society harmony point of view.
Organizational value somehow define organizations’ goals to a certain extent. It might limit the organization’s pursuit of other achievable goals due to principles and standards generated by the defined organizational values.
Organizational value makes an organization harder to change their existing reputation if an organization decided to change the public’s perception that has long formed. It makes a reputable organization’s journey to a breakthrough existing image, a hard one.
Influence of Organizational Values on Organizational Practices and Processes:
Personal values shape individuals’ attitude and impact an individual’s behavior. Similarly, organizational value also influences how an organization ‘behaves’ because it will then determine the destiny of that organization.
Organization Practices and Processes are then set up, to follow. Serve as guidebooks to ensure the organization is pursuing the right path towards common goals on a day to day execution perspective. These practices and processes served as written controls and guidelines for members of an organization to perform. Their day to day job to achieve common organizational goals.
Business processes are set of living documents although. There should not be frequent changes to review from time to time. Some organizations spend a huge amount of investment to review and redesign processes. The design teams tend to be ambitious to design processes that ‘work on paper’. Issues arise during the execution phase. Situations become more complicated if staffs are not governed by organizational value’s. Policies and practices are as good as the human that man many subsystems and sub-processes.
An organization can have the best-designed processes but still cannot be a world-class organization if humans. As part of the key factor is not behaving how they should be. Other than processes, policies, and practices also include organizational enablers. An enabler is a technical facility or resource that makes it possible to perform a task, activity or processes. Organizational value also influences the organizational enablers directly which consequently impact the organization’s policies and practices.
More read it:
Typical business processes involved in an invoice and servicing customers include billing the customer. Provide after-sales service and responding to customer inquiries. If an organization induce “trust and personal responsibility to every client’s success”. As an organizational value and this is being practiced across the organization including the invoice department. It is almost certain that customers will receive superb customer services and that organization can expect regular return customers without much of marketing effort. But if the invoice department does not practice the organizational value. It is most likely to be the pain point for customers to deal with, and the staffs do not feel their responsibility towards the organization’s success.
If an organization is sales-Oriente and take customers as the highest priority. The internal policies making would also align to support the organization’s values. This direction does not only apply to external customers but will also determine inter-departmental interaction mode. One department becomes another department’s internal clients and staffs take cross-departmental interaction seriously instead of having a bureaucracy attitude.
By Research;
World-famous technology leader, Sony’s core values are to be a leader, not the follower. The organizational value has been driving the company to be notable as the ‘first’ to introduce cutting-edge electronic devices, recording, and storage technologies to market all time. Sony refuses to stay in the position of adopting standards of other manufacturers set.
Sony spends millions of dollars in the Research and Development Department every year to sustain as the leader in new product introduction. ‘Walkman’ is a Sony brand trademark originally uses for the portable cassette player. It was invented by Sony’s audio division engineer Nobutoshi Kihara in 1979 and other electronic companies then followed the idea, innovatively. Sony also was the first to launch other electronic products such as Compact Disc players, gaming console, Play Station to name a few.
Organizational Values: Definition, Sources, Advantages, and Disadvantages!
Characteristics of Organizational Culture; Like every person has his style of behavior, his personality, similarly the organization has a distinct culture. This culture may define as a set of all the espoused values of the organization. The culture of the organization can tier into 3 levels based on their visibility and how closely they are adhering to in the organization. The first level is Artifacts and Behavior. Artifacts and behavior are the most visible components of organizational culture. Also learn, What is Organizational Commitment? Most Important Characteristics of Organizational Culture!
How to Explain Most Important Characteristics of Organizational Culture?
They include the physical layout of the workplace and the observable behavior of its employees. The next level is Values. Values are less visible than behavior but they can see as they influence the observable behavior of the individuals working in the organization. But the top tier of organizational culture may see at the level of Assumptions and Beliefs. They cannot see, but they are so well ingrained in the employees that they come out quite naturally because that is the way the organization thinks.
Organizational culture is the outcome of both the management’s initial beliefs and employees’ adoption of those beliefs.
Explaining the Primary Characteristics of organizational culture:
As we can see, the unique ‘behavior’ of an organization can attribute to the makeup of the values that it espouses – the organizational culture. Let us understand these primary characteristics that define an organization’s culture as a whole, the ones that help shape up the organization’s ‘personality’.
These are very general characteristics that every organization would have to look into, otherwise, the culture would seem incomplete. Although all these characteristics are at some level a part of every company, the importance and individual interpretation of each differs from business to business, thus making each business unique in its way.
Innovation and Risk-Taking:
Risk and returns go hand in hand. In places where you take a risk (calculate the risk of course!), the chances of returns are higher. The same goes for innovation. You could either be a follower or a pioneer. Pioneering has its share of risks, but at times, it can also have a breakthrough outcome for the organization. Thus, innovation and risk-taking are one of the main characteristics of organizational culture-defining how much room the business allows for innovation.
Companies with cultures that place a high value on innovation encourage their employees to take risks and innovate in the performance of their jobs. Companies with cultures that place a low value on innovation expect their employees to do their jobs the same way that they have the train to do them, without looking for ways to improve their performance.
Attention to Detail:
Attention to detail defines how much importance a company allows precision and detail in the workplace. This is also a universal value as the degree of attention the employees are expecting to give is crucial to the success of any business. The management defines the degree of attention to be given to details.
This characteristic of organizational culture dictates the degree to which employees exist expected to be accurate in their work. A culture that places a high value on attention to detail expects its employees to perform their work with precision. A culture that places a low value on this characteristic does not.
Outcome Orientation or Emphasis:
Some organizations pay more attention to results rather than processes. It is the business model of each business that defines whether the focus should be on the outcome of the processes. This defines the outcome orientation of the business.
Companies that focus on results, but not on how the results exist achieving, place a high emphasis on this value of organizational culture. A company that instructs its sales force to do whatever it takes to get sales orders has a culture that places a high value on the emphasis on outcome characteristics.
People Orientation or Emphasis:
This is still one of the most contentious issues in organizational culture today. How much should be the management focus on the people? Some organizations are famous for being employee orient as they focus more on creating a better work environment for their ‘associates’ to work in. Others still are feudal, treating employees no better than work-machines.
Companies that place a high value on this characteristic of organizational culture place a great deal of importance on how their decisions will affect the people in their organizations. For these companies, it is important to treat their employees with respect and dignity.
Teamwork or Team Orientation:
It is a well-established fact that synergistic teams help give better results as compared to individual efforts. Each organization makes its efforts to create teams that will have complementary skills and will effectively work together.
Companies that organize work activities around teams instead of individuals place a high value on this characteristic of the organizational culture. People who work for these types of companies tend to have a positive relationship with their coworkers and managers.
Aggressiveness:
Every organization also lays down the level of aggressiveness with which their employees work. Some businesses like Microsoft are known for their aggression and market-dominating strategies.
This characteristic of organizational culture dictates whether group members exist expecting to be assertive or easygoing when dealing with companies they compete in the marketplace. Companies with an aggressive culture place a high value on competitiveness and outperform the competition at all costs.
Stability:
While some organizations believe that constant change and innovation are the keys to their growth, others are more focused on making themselves and their operations stable. The management of these organizations is looking at ensuring the stability of the company rather than looking at indiscriminate growth.
Just like having a strong personality adds character to a person, organizational culture does give a business its own special identity. It helps create cohesion among the employees as they share the primary characteristics of organizational culture and imbibes in them the spirit of teamwork.
A company whose culture places a high value on stability is rule-oriented, predictable, and bureaucratic. These types of companies typically provide consistent and predictable levels of output and operate best in non-changing market conditions. The culture of any organization is a reflection of the belief system or the values of its leaders, it is majorly a leadership factor that determines the culture of the firm. When the right leader is in the place he or she can shield the firm from the wrong external negative culture.
Simple Characteristics of Organisational Culture:
The following characteristics help us to understand the nature of organizational culture better. When we mix and match these characteristics, we get to the basis of culture:
Individual Autonomy:
The degree of responsibility, freedom, and opportunities of exercising initiative that individuals have in the organization.
Structure:
The degree to which the organization creates clear objectives and performance expectations. It also includes the degree of direct supervision that is used to control employee behavior.
Management Support:
The degree to which, managers provide clear communication, assistance; warmth, and support to their subordinates.
Identity:
The degree to which, members identify with the organization. As a whole rather than with their particular workgroup or field of professional expertise.
Performance Reward System:
The degree to which reward system in the organization like an increase in salary, promotions, etc. is based on employee performance rather than on seniority, favoritism, and so on.
Conflict Tolerance:
The degree of conflict present in relationships between colleagues and workgroups. As well as the degree to which employees are encouraged to air conflict and criticisms openly.
Risk Tolerance:
The degree to which, employees are encouraged to be innovative, aggressive, and risk-taking.
Communication Patterns:
The degree to which, organizational communications are restricted to the formal hierarchy of authority.
Outcome Orientation:
The degree to which, management focuses on results or outcomes rather than on the techniques and processes used to achieve these outcomes.
People Orientation:
The degree to which, management decisions take into consideration the impact of outcomes on people within the organization. When we appraise the organization based on the above characteristics. We get a complete picture of the organization’s culture. This picture becomes the basis of shared norms, beliefs, and understanding that members have about the organization. How things are done in it and how the members exist supposing to behave.
How to Explain the Most Important Characteristics of Organizational Culture?
Factors affecting Organizational Change; Change is inevitable in the life of an organization. In today’s business world, most organizations are facing a dynamic and changing business environment. Also Learn, What are the Participation and Organizational Change? factors affecting change in organization External, and Internal. They should either change or die, there is no third alternative. Organizations that learn and cope with change will thrive and flourish and others who fail to do so will be wiped out. The major forces which make the changes not only desirable but inevitable are technological, economic, political, social, legal, international, and labor market environments.
Explain are Factors affecting Organizational Change, Difference between External and Internal Factors.
In very simple words, we can say that change means the alteration of the status quo or making things different. The factors affecting change in organisation;“The term change refers to any alterations which occur in the overall work environment of an organization.”
“When an organizational system is disturbed by some internal or external force, change frequently occurs. Change, as a process, is simply the modification of the structure or process of a system. It may be good or bad, the concept is descriptive only.”
Organizational changes are required to maintain equilibrium between various external and internal forces to achieve organizational goals. Therefore various factors that may be important for necessitating organizational changes may group into two categories: external and internal.
#EXTERNAL FACTORS:
Every organization exists in some context: no organization is an island in itself. Each must continually interact with other organizations and individuals – the consumers, suppliers, unions, shareholders, government – and many more. Each organization has goals and responsibilities related to others in its environment. Thus not only an organization must deal with its environment in conducting its affairs, but it must also consider the goals of others as it establishes its foals and conducts its operations.
The present-day environment is dynamic and will continue to be dynamic. Changes in social, political, economic technological, and legal environments force organizations to change themselves. Such change may result in organizational changes like major functions, production processes, labor-management relations, nature of competition, economic constraints, organizational methods, etc. to survive in the changing environment, an organization must change.
How the change in various environmental factors necessitates the change in the organization may see in the following context:
1. Technological Changes:
when there is a change in technology in the organization’s environment and other organizations adopt the new technology, the organization under focus becomes less cost-effective and its competitive position weakens. Therefore, it has to adopt new technology. When organizations adopt new technology, their work structure stands affected and a new equilibrium has to establish. For example computers and automation have made a significant impact on organizational functioning. Also read, Explain Organizational Culture.
2. Changes in Marketing Conditions:
Since every organization exports its outputs to the environment, an organization has to face competition in the market. There may be two types of forces that may affect the competitive position of an organization – other organizations supplying the same products and buyers who are buying the product. Any change in these forces may require suitable changes in the organization. For example, when the Indian economy was liberalized (the process continues), many foreign organizations entered the Indian market.
This forced many Indian organizations to realign themselves with the new situation. The result is that there have been many cases of divesting the businesses and concentrating on the core businesses, acquiring core businesses, and developing competitive competence to face competitive threats. Similarly, there may be changes in buyers in terms of their needs, liking – disliking, and income disposal for a product. These changes force the organizations to bring those products which meet the buyer’s requirements.
3. Social changes:
The social changes reflect in terms of people’s aspirations, their needs, and their way of working. Social change has taken place because of several forces like the level of education, urbanization, feeling of autonomy, and international impact due to new information sources. These social changes affect the behavior of people in the organization. Therefore it is required to adjust its working so that it matches people.
4. Political and Legal Changes:
Political and legal factors broadly define the activities which an organization can undertake and the methods which will follow it in accomplishing those activities. Any change in these political and legal factors may affect the organizational operation. Don’t forget for learning, Dimensions of Organizational Climate.
#INTERNAL FACTORS:
It is not only the change in external factors that may necessitate organizational change, but any change in an organization’s internal factors may also necessitate change. Such a change is required because of two reasons: a change in managerial personnel and a deficiency in existing organizational practices.
1. Change in Managerial Personnel:
Besides environmental; changes, there is a change in managerial personnel. Old managers are replaced by new managers who are necessitating because of retirement, promotion, transfer, or dismissal. Each new manager brings his ideas and way of working in the organization. The manager brings his ideas and way of working to the organization. The relationships more particularly informal ones, change because of changes in managerial personnel. Moreover, attitudes of the personnel change even though there is no change in them. The result is that an organization has to change accordingly.
2. Deficiency in Existing Organization:
Sometimes, changes are necessary because of deficiencies in the present organizational arrangement and process. These deficiencies may be in the form of an unmanageable span of management, a large number of managerial levels, lack of coordination between various departments, obstacles in communication, the multiplicity of committees, lack of uniformity in policy decisions, lack of cooperation between line and staff, and so on.
3. Nature of the workforce:
The nature of the workforce has changed with time. Different work values have been expressed by different generations. Workers who are in the age group of 50 plus value loyalty to their employers. Workers in their mid-thirties to forties are loyal to themselves only. The youngest generation of workers is loyal to their careers. The profile of the workforce is also changing fast. The new generation of workers has better education; they place greater emphasis on human values and question the authority of managers. Their behavior has also become very complex and leading them towards organizational goals is a challenge for the managers. The employee turnover is also very high which again puts the strain on the management.
4. To avoid developing inertia:
In many cases, organizational changes take place just to avoid developing inertia or inflexibility. The conscious manager takes into account this view of the organization that the organization should be dynamic because any single method is not the best tool for management every time. Thus, changes are incorporated so that the person develops a liking for change and there is no unnecessary resistance when the major change in the organization is brought about.
What are the Factors affecting Organizational Change? External and Internal.
Organizational change is inevitable in a progressive culture. Modern organizations are highly dynamic, versatile, and adaptive to the multiplicity of changes. This article explains employee Participation and Organizational Change; According to Cambridge Dictionary; “A process in which a large company or organization changes its working methods or aims, for example, to develop and deal with new situations or markets”.
Explain are employee Participation and Organizational Change.
Organizational Change looks both at the process in which a company or any organization changes its operational methods, technologies, organizational structure, whole structure, or strategies, as well as what effects these changes have on it. As well as Organizational change usually happens in response to; or as a result of; external or internal pressures.
“Around 25 to 30 percent of the existing companies might force to stop operations in the country in the next 2 – 3 years. This trend is likely to take place because of the increasing change in the Indian economy which has moved from the regulated and protected regime towards a more open and competitive the regulated and protected regime towards a more open and competitive economy. In this changing perspective, only those who can compete and survive would emerge and take over the place of old ones.” Also learn, What are the Participation and Organizational Climate? employee Participation and Organizational Change.
Meaning of Organizational Change:
Employee participation and Organizational Change looks both at the process in which a company or any organization changes its operational methods, technologies, organizational structure, whole structure, or strategies, as well as what effects these changes have on it. Organizational change usually happens in response to – or as a result of – external or internal pressures.
It is all about reviewing and modifying structures – specifically management structures – and business processes. Small commercial enterprises need to adapt to survive against larger competitors – they also need to learn to thrive in that environment. Large rivals need to adapt rapidly when a smaller, innovative competitor comes onto the scene.
Definition of Organizational Change:
Company or organization going through a transformation. Organizational change occurs when business strategies or major sections of an organization are altered. Also known as reorganization, restructuring, and turnaround.
FACTORS IN ORGANIZATIONAL CHANGE:
Organizational changes are required to maintain equilibrium between various external and internal forces to achieve organizational goals. What are Factors in Organizational Change? Therefore various factors that may be important for necessitating organizational changes may be group into two categories: external and internal.
EXTERNAL FACTORS.
INTERNAL FACTORS, and.
PLANNED CHANGE.
One of Newton’s laws is that “bodies in motion tend to stay in motion: bodies at rest”. There is an organizational version of this basic truth. Those who believe in growth and forward movement tend to be exemplars of change, while those who believe in “this is how we do things around here” lead to doom. Therefore, bringing change in the planned manner is the prime responsibility of all forward-looking managers.
The planned change aims to prepare the total organization, or a major portion of it, to adapt to significant changes in the organization’s goals and direction. Thomas and Bennis have defined planned change as follows: “Planned change is the deliberate design and implementation of a structural innovation, a new policy or goal or a change in operating philosophy, climate or style.”
TECHNOLOGY-RELATED CHANGES:
Technology refers to the total of knowledge providing ways to do things. It may include inventions and techniques which affect the way of doing things, this is designing, producing, and distributing products. Technology related changes may include:
Changing problem – solving and decision-making procedures.
Introduction of automated data processing devices like computers to facilitate managerial planning and control.
Change in methods of production like the conversion of unit production to mass production.
Thus any change in technology necessitates the change in all these factors.
TASK-RELATED CHANGES:
Technology – related changes determine the types of tasks that may require completing an operation. However what alternatives are chosen must consider the core job characteristics – skill variety, task identity, task significance, autonomy, and feedback from the job. Task-related changes must focus on:
High internal work motivation.
High quality work performance.
STRUCTURE-RELATED CHANGES:
Structural changes redefine the nature of relationships among various organizational positions and may include:
Changing the number of hierarchical levels.
Changing one form of organization to another form.
The Changing span of management, and.
A Changing line – staff and functional authority.
When structural changes are affecting, these may affect the formal reporting relationships, formal interaction patterns, and consequently informal relations.
PEOPLE-RELATED CHANGES:
Changes of any type as pointed out above require changes in people in an organization. These changes may be of two types – skills and behavior. The magnitude of these changes depends on the type of change. For example, if there is a change in technology says from manual to automated, it requires the different type of skills in the operators as compared to the previously used skills. Similarly, changes in behavior and the social-psychological factors determining behavior are requiring.
OBJECTIVES OF PLANNED CHANGE:
The planned change is needed to meet the overall objectives of the organization. Since there may be changes in the forces – both internal and external – affecting organizational functioning the organization has to make a suitable change to meet its objectives. Thus objectives for such change may be two-fold:
Modification of the organization’s mode of adaptation to changes in its environment, and.
Modification of structure, technology attitudes, values, and other behavioral constructs of people in the organization.
1. Environmental Adaptation:
The organization is an adaptive – coping system, it has to work in an environment that is marked by dynamic characteristics. Every organization tends to maintain balance and equilibrium. Because of changes in the environment, the organizational equilibrium is affecting. If the changes are minor and come within the preview of existing programmers, the organization will accommodate them automatically.
However, if the changes cannot adapt to the existing framework, the organizational equilibrium will imbalance and organizational effectiveness is adversely affected. IN this case, the organization requires some innovation. This innovation is in the form of various changes that the organization has to incorporate. Simply because of this reason, every organization has an adaptive subsystem, such as the research and development department, marketing research department, and so on.
2. Individual Adaption:
The second objective of the planned change is to achieve individual adaptation. The organization cannot reach the objective of its environmental adaptation unless some basic internal adaptation is achieving. These internal factors may-be individuals, organization structure, technology, and task. Individuals are the first in this contact.
For organizational effectiveness, people have to change themselves so that they can cope with the requirement of change circumstances. Such changes may require in their attitudes, communication system, the way of behaving, leadership and work styles, and other relevant organizational behavior. Such changes must make according to the need for a new situation.
3. Structural Adaption:
Organizational structure is the pattern of relationships among various positions and various position holders. Structural adaptation involves changing the internal structure of the organization. This change may be in the whole set of relationships, work assignments, and authority structures. Changes in organizational structure are requiring because old relationships and interactions no longer remain valid and useful in the change circumstances.
4. Technological Adaptation:
The impact of recent technological development has forced the organization to take into account the role of technology in organizational success. To cope with the changing environment which may include technological factors as well, the organization has to incorporate new technology. Thus this technological adaptation forces directly the organization to change its task.
5. Task Adaptation:
Technological changes may bring many types of changes in an organizational task. Task forces on the job performed by the individuals in the organization. Since there may be many new types of jobs, the existing job performing techniques may not be suitable. Moreover, there may be a new job load because of job enlargement. In such a case, a new equilibrium has to found out which matches people with jobs. In this matching process, there may be several problems that must encounter by the plan change.
What are the Participation and Organizational Change? Image #Pixabay.
Participation and Organizational Climate; Participation is based on the democratic value of organizational life. The basic feature of democracy as applying to organizational life can see by quoting Bennis. He observes that democracy is not permissive or laissez-faire, but the system of values – a climate of beliefs governing behavior – which people are internally compelled to affirm by deeds as well as words.
Explain are the Participation and Organizational Climate!
Full and free communication, regardless of rank and power.
A reliance on consensus rather than on the more customary forms of coercion of compromise, to manage conflict.
The idea that influence is based on technical competence and knowledge than on the vagaries of personal whims or prerogative of power.
An atmosphere that permits and even encourages emotional expressions as well as task-oriented acts, and.
A basic human bias, one which accepts the inevitability of conflict between the organization and individual but which is willing to cope with and mediate in this conflict on rational grounds.
Such values involve participative management in the organization which incorporates getting things done through other people by creating a situation in which subordinates may developmental and emotional involvement in a group situation which encourages them to contribute to group goals and shares the responsibility in them. There are important ideas in this concept of participation. Mental and emotional involvement, acceptance of responsibility and motivation to contribute.
To summarise, we can say that there are three important ideas in this concept of participation:
Mental and Emotional Involvement:
The basic feature of the participative system is that there should mental and emotional involvement of the employees in the administration of the organization. This involvement is psychological rather than physical. A person who participates is ego involve rather than mere task involves. If there is no psychological involvement of the employees, the participation is no participation but just a manipulation. In such a situation, the manager tries to make people think that they are participating and having an influence, while in reality, they are not.
Acceptance of Responsibility:
A second important characteristic of participation is that people are encouraged to accept responsibility. Since people are mentally and emotionally involving in decision making, they have to undertake responsibilities also. Thus, they become both decision makers and executors.
This is a social process by which people become involving in an organization and want it to work successfully. When people want to do something, they will find a way. Under participative conditions, people perceive managers as supportive contributors to the team. Employees are ready to work actively with managers, rather reactively against them.
Motivation to contribute:
The third feature of participation is that it motivates persons to contribute to the situation. They are given opportunities to release their win resources of initiative and creativity towards the objectives of the organization. Thus, it is different from consent in that the latter process only confirms what has already decided. A consenter does not contribute to decision – making rather he merely approves. Participation uses the creativity of all persons thereby all of them contributes something in decision making.
What are the Participation and Organizational Climate?
Developing a Sound Organizational Climate:
To develop a sound organizational climate is a long term proposition. The organizational climate depends upon the organizational behavior system. The organizational climate should represent the goals and philosophies of those who join together to create the organization. The type of climate that an organization seeks is contingent upon the type of people it has, the type of technology, level of education and expect actions of people in it.
The following techniques are generally helpful in improving the climate of the organization:
Effective Communication System:
There should be two-way communication in the organization so that the employees know what is going on and react to it. The manager can modify his decision on the basis of feedback received.
Concern for People:
The management should interest in human resource development. It should work for the welfare of employees and an improvement in their working conditions. For developing a sound organizational climate, the management should have show concern for the people.
Participative Decision Making:
The management should involve the employees in the decision-making process, particularly those decisions which are related to goal setting and affect them. Participative decision making will make the employees committed to the organization and more cooperative also.
Change in Policies, Procedures, and Rules:
The organizational climate can also change by making changes in the policies, procedures, and rules. It is a time-consuming process but the changes will also be long-lasting if the workers see the changes in policies, procedures, and rules as favorable to them.
Technological Changes:
Generally, workers and employees resist any innovative changes. But where technological changes improve the working conditions of the employees, the change will be easily accepted. The better climate will be there if the management adopts innovative changes in consultation with the employees.
But all the above factors are contingent upon the assumptions of the nature of people in general. For example, the ECONOMIC MAN is basically motivated by money and economic security and hence, economic factors may be used to attract and motivate him. For a SOCIAL MAN, positive social relations and interactions are a must. Thus, the creation of a climate where a happy family atmosphere prevails is appropriate for him. The self-actuating man seeks achievement, accomplishment, and meaning in what he does. The organizational climate with a certain degree of freedom is appropriate for him.
Thus, in order to build up a sound organizational climate, management must understand the people in the organization. The importance must be given to what motivates people’s performance in general and building an overall climate conducive to motivation, a keen insight into the individual in particular and tailoring a personal approach to leadership and job design to which the man will respond with commitment. The different types of people suggest that there cannot be any all-purpose organizational climate.
Reference
1. Participation and Organizational Climate – yourarticlelibrary.com/organization/organisational-climate and livinfo.blogspot.in/2012/10/participation-and-organisational-climate.html 2. Photo Credit URL – //npis.com/wp-content/uploads/2017/01/helping-hands-bg.png
