Significant Organizational Behavior - Assignment Example

Business partners, employees, customers, and communities make up some of the significant stakeholder groups that influence the activities and decisions of an organization. All organizations need to understand the effects of these stakeholders on their daily undertakings. Managers of businesses have a responsibility to their supervisors and clients, and other stakeholders to have a transparent and profitable company.

In addition, organizations set up a code of ethics or rules and regulations for their employees and managers. These rules and regulations direct the way managers and the organization’s employees handle and relate with other stakeholders (Brickley, Smith, Zimmerman, & Willett, 2000).

Entrepreneurship creates value and satisfactory results for stakeholders by instigating innovative business ideas that promote future prosperity and wealth-building in an organization. Moreover, entrepreneurship promotes the health and progress of an organization. It achieves this by creating fresh opportunities for business in all areas of the organization. On the other hand, entrepreneurship promotes innovation and increases the profits of an organization. A lack of entrepreneurial action may make an organization not to get to its maximum capability (Brickley, Smith, Zimmerman, & Willett, 2000). Nonetheless, any knowledge that enters or is produced by the organization should create value for all the stakeholders.

Question 12

Organizational theory, design, and change, structure, and culture, have an interconnecting role in an organization. Organizational theory refers to the duty of an organization to the impact of the surrounding on the operational outline of the organization and how the organization works in the environment. This depicts an association with the cause-and-effect law. The organizational design and change point to how and why a variety of methods are selected. This helps the organization to manage its culture and structure to manage endeavors to achieve its objectives. Moreover, change occurs when the organization tries to move from its current situation to a future one to improve its efficiency (Denison, 1990).

The organizational structure highlights the structure of command. Culture and structure are interconnected. This is because people make up management and employees, thus upholding standards, creating a culture, and implementing rules. An organization’s structure is designed by the individuals through norms and shared values to manage its associate’s relations with both external and internal sources. Then again, culture revolves around the individuals and their values in the organization. Culture reflects the design structure of an organization, for example, employees’ rights and organizational principles. In addition, the behavior of people in an organization is formed and restrained by culture. For example, culture defines the employees’ level of loyalty and the way an organization treats employees and clients (Denison, 1990).