Management of Organisations - Coursework Example

Management Running Head: MANAGEMENT MANAGEMENT OF ORGANISATIONS in APA Style of Management 2 Many forces require that managers assess organisational performance. One factor is that there is an increasing demand of accountability. Entities such as the government, the media, and the public require organizations to show accountability. The need to focus on results and to strengthen work performance has increased in recent years. Organisations have goals that can only be met through the achievement of their employees. An effective system of management and system of performance measurement connects the behaviours of individuals and teams with organisation's goals and strategies. (Measuring Organizational Performance, 2006, p. 1.) Therefore, organisational performance should be measured. Assessing an organisation's performance also helps to determine whether or not the company has a clear mission (one that addresses the needs of a particular marketplace) and whether or not people on all levels of the organisation understand the mission. Assessing the performance also allows the organisation to review the mission statement and to determine if the mission is referenced when developing organizational strategies. Assessing an organisation's performance will help to determine the procedure and processes that are set in place and whether or not these are in compliance with federal, state, and local laws. Examining the current ethics compliance programs (if there is one) and the processes which are set in place to assess compliance with accounting and financial management system helps to determine if the system that human resource uses is effective. Examining how the organisation measures employee satisfaction and how it handles employee satisfaction and how the processes of Management 3 accreditation and certification operate along with their effectiveness can be determined by the assessment of an organisation. These methods are just some way that a manager can assess internal environment of an organisation. Fitness First UK is the company that will be used for this study. As the leader in the leisure industry, Fitness First's staff focuses on quality services in order to take care of the members. The organisation is service oriented and its focus is on the clients. Fitness First is the largest health club operator in the UK and Europe. Having grown from a single health club, twelve years later Fitness First has 1.2 million members in fifteen countries. There are 166 Fitness First clubs in the UK, which is the focus of this case study. They provide top-quality service and equipment at a value price in a non-intimidating environment. Regardless of an individual's current fitness status, they offer the opportunity to improve his/her fitness level.Fitness First strives to deliver its members the best experience each and every time he/she walks through their doors. It was found that the customer service to clients is impeccable. Through word-of-mouth, feedback, increased membership, etc. the assessment of this portion of the organisation was excellent. However, the assessment of employees, staff, and policies regarding staff were assessed, the results were not the same. The company placed much emphasis on meeting the needs of its clients which left a gap in meeting the needs of its employees. Perhaps by implementing Investors in People, the largest health club operator, which caters to people can also provide cater to their people (employee) and reach its objectives more effectively. Management 4 In order to improve the company's weaknesses, based on findings during the assessment, the company decided to invest in its staff and employees in addition to investing in its clients. Taylor & Thackwray, (1996:1), as cited in Scutt (1998) stated that, "Investment in equipment depreciates whilst investment in people appreciates". As this quote points out, investing in people will deliver a huge return. To improve the internal environment of thhe organisation's, Fitness First incorporated the Investors in People Standard as a framework. Having a framework, policies, and guidelines to follow is the most important thing that managers can do in assessing a company's performance. The Investors in People Standard, or the Standard, provides a framework for organization to follow. However, the framework is kept open and flexible so that organisations can adjust and customize to meet its needs. Based on the actions of the planning cycle, the Standard's guidelines are to Plan, Do, and Review. It is not strictly structured in order that organizations can implement the Standard in the way that is best. This makes sense and is highly effective because each organization and its people are extremely unique. Investors in People UK list their framework: -Plan - developing strategies to improve the performance of the organization -Do - taking action to improve the performance of the organization -Review - evaluating the impact on the performance of the organization Managers use The Standard's main actions which are based on Fitness First's planning cycle's to develop strategies, take action, and to evaluate the impact of the performance of the organisation. Management 5 Fitness First's Our Member Promise (2003) mentions the following guarantees to their members: We're here to help you get the results you want, and that means providing support, motivation, and guidance from the startYou won't be left on your own after you joinyou will receive a number ofreviews and updates, we will ensure there is a qualifiedconsultantat all times to answer your questionsalso provide (checks) so you can keep track of improvementsWe offer everyone, regardless of size, shape, or ability, the opportunity to improvein an affable environment. We will demonstrate howwe are committed to offeringguarantee of resultsfrom complimentaryyou'll be amazed at the added benefits of being a Fitness First memberwe want to The promises to their members are incorporated into the new policies, which were implemented at the same time that the Investor's in People Standard was put in place. These promises were extended to their staff members. With the implementation of the Investors in People Standard and focusing on employees and staff, the company has seen much success. Investors in People UK (1996-2005) quotes Hewitt (n.d.): Teamwork is the key to success in any type of business. But in the hospitality and catering sector, making sure that all parts of the operation Management 6 are working in perfect harmony is crucial"Improving our teamwork was the main motivation," says human resources manager Laurel Hewitt. Thanks to Investors in People, everyone is communicating much better with one another and has a much clearer idea of their role in the organization." (pp. 1-2) Research has shown that the most effective organisations are the ones that communicate with their employees on a regular basis. With guidance from senior management, communication of strategic goals and understanding to individual level has significantly increased. However, communication in general requires improvement before the reassessment that will take place during May 2006. Fitness First practices good communication methods for example regular de-briefs, Business Launches, Newsletters etc. but the value of the content is highly criticised by the employees. Communication is still felt to be one way. Only 36% of employees felt that they were encouraged to provide ideas and were satisfied with managerial response. Fitness First has a clear concise Training & Development policy that underlines all Investor in People principals. What was apparent was the policy was not consistent across all areas. The findings indicated that only some departments placed great emphasis on NVQ's. Indicator 2.7 states specifically where appropriate to seriously consider linking training and development objectives with external standards for example NVQ's. NVQ's not only assess and encourage the development in new skills but a number of organisations for example the Rover group, trained managers to be NVQ assessors that have an additional advantage of encouraging improved people management skills. Management 7 Again Fitness First displayed good working practices for example yearly staff appraisals, development cells, training matrices and training and development forms. However, the primary results illustrate that improvements are required before reassessment. Prior and post training evaluation would be significantly improved if the training and development form was utilised to its full potential. Managers themselves create company culture and thus ultimately they are the only people who can modify it. They have the responsibility for managing people to achieve the Investor in People status. The results clearly illustrate that Fitness First will not gain the full benefit of Investors in People for at least the next two years or possibly longer. This is primarily due to the age of existing management who have progressed through the ranks under a stringent 'task management' system. Greatly influenced by this traditional authoritative system managers would find it increasing difficult to alter their style. This is a major contributor of employees stating that communication still remains 'Top down'. To resolve this situation and in-bed the 'Team Management' style required to empower rather than control the workforce, the 'Challenge of Leadership' course was introduced. This influences, and through continual experience encourages the 'Team Management' approach, which in turn maximise the power held within the Investors in People standard. This type of management is clearly visible within the lower levels of management - the senior managers of the future. Fitness First has gone global. It is the largest health club operator in the UK and Europe. Having grown from a single health club, twelve years later Fitness First has 1.2 million members in fifteen countries. The company has to assess its external environment also. This external environment involves the actions and reactions of its competitors. Knowing the changes that occur Management 8 will help Fitness First can develop strategies accordingly and to be proactive to what its competitors are doing. This will allow the company to have a competitive advantage above other firms that offer the same services/products. A part of strategic planning is to focus on the future within a dynamic environment. There are forces that change daily which affect companies. These forces include: political, social, economic, technological, legal, and demographic. By assessing these forces, Fitness First can be proactive and can use its resources accordingly and can determine its survival. (What is a Situation Assessment, 2003-2004.) There are theories of motivation that attempt to explain what motivates employees and how they are motivated. A contemporary motivational theory developed by Ritchie and Martin states that "'the task of the manager is to find out what motivates people' and to make them 'smile more and carp less.'" Young (2000) explains further: From literature and their own observations, they identified twelve "motivational drivers." These include human needs for interesting work, achievement, self development, variety, creativity, power, influence, social contact, money and tangible rewards, structure and rules, long-term relationships, and good working conditions. They then developed a motivational profile survey with thirty-three questions. After scoring, a unique pattern of the individual's motivational drivers is revealed that can be compared to the data of the original one thousand three hundred fifty-five respondents. Knowing an individual's profile, a manager can then tailor a motivation method for that person. For instance, if a manager is considering giving an employee a raise and their profile shows that creativity and variety motivate this person, then the manager should Management 9 reward accordingly, not with a raise. Ritchie and Martin claim that each of the twelve drivers is independent of the others. The motivation management theory of Ritchie and Martin would be classified as a content theory, which suggests that motivation results from the individual's attempts to satisfy needs. Contemporary motivational theories focus on self analysis and can be used for individual and group examinations and profiles. Motivational theories of today examine individual differences instead of looking at everyone via a universal approach. Regardless of cultural or occupational background, managers can look at what motivates individuals and groups by examining their motivational profiles. These motivational theories are not manipulative but actually motivational as they focus on factors such as: appreciation of work accomplished, job security, feeling of being included (such as in decision making, empathy and assistance with personal problems, interesting work, good pay/salary, chance for promotion and growth in the company, good working conditions, and feeling that management is loyal to employees. In order to be an effective manager and leader one must be able to influence others to willingly do things with quality and standard that is above average and above the norm. A good manager is one who sets the example for others. He or she must be do what he or she expects of others and be able to do it even better and more willingly. An effective manager is both a follower and a leader and he or she should be able to direct the behaviour of his or her staff in order to accomplish the objectives of the company or business. The roles of a good manager also include helping people to be committed to achieving organizational goals and encouraging constructive change that is necessary. Management 10 Effective managers need to be creative in order to provide motivation and passion to the team that he or she is building. When managing staff, it is necessary to not only develop the individual but also to create individuals who work as a team. Each person brings in his or her talents, skills, and knowledge. By creatively organizing, leading, and managing a good manager can match an individual's assets with the jobs and responsibilities. Then it is possible to help individuals work as a team. An effective manager must behave ethically and follow standards of business ethics and conduct. Business ethics are the rules and principles within a commercial context; the various moral or ethical problems that can arise in a business setting; and any special duties or obligations that apply to persons who are engaged in commerce. Those behaving ethically ask themselves, "Is the conduct ethically right or wrong" (wikipedia.org, n.d.) In other words, it means to behave professionally and as the Code of Business Conduct and Ethics (2005) reports, it means "to use good judgment when it comes to serving the best interests of your customers and working with your fellow employees and suppliers. In all these relationships, we must hold ourselves and others to the highest ethical standards." Keep in mind that these principles also apply to managers and not just sales people. A successful manager should know his/her products and services. Without knowledge, he or she leaves the customer guessing and questioning. There are misunderstandings as questions cannot be answered and communication is limited. Presenting the product or service in the best way possible can only be achieved by truly knowing the company's products and services which will also provide ways to handle customers' objections. Knowledge is key and can help win the sale! Management 11 Managers should also possess the characteristics of being flexible and creative. Flexibility and creativity go hand in hand as each and every sales opportunity is unique and requires various skills and tactics. Companies should have guidelines, handbooks, and training procedures. However, life is not textbook perfect. Successful mangers possess creative selling procedures and are flexible in dealing with each customer and situation as they are not simple order takers and just taking an order. Creative management techniques obviously vary from company to company and from company to company. Successful and effective management also encompasses the partnership process. Managers can build successful business partnerships with their staff, customers, vendors, coworkers, employers, and other businesses by applying the previously mentioned characteristics. Successful partnerships are developed on trust, behaving ethically, assuming responsibility, possessing good listening skills, being flexible, being creative, etc. As with any relationship, these characteristics must be present in order to develop a business partnership and to keep it successful. Listening to the needs, input, and feedback of all persons involved will help make one an effect manager. Effective management requires being able to manage conflict. Managing conflict requires turning disagreement into opportunity and teaching others to do the same. Disagreement can be handled more effectively, lead to creative solutions, and can help staff members and others have better interaction. References Code of Business Conduct and Ethics. (2005.) Retrieved January 13, 2006, from http://www2.goldmansachs.com/our_firm/investor_relations/corporate_governance/articles/cor porate_governance_030224195742.html Investors in People UK (1996-2005). Retrieved January 8, 2006, from http://www.investorsinpeople.co.uk/IIP/Web/Homepage1.htm http://www.investorsinpeople.co.uk/IIP/Web/About+Investors+in+People/Investors+in+ People+Standard/default.htm Retrieved January 8, 2006, from http://www.investorsinpeople.co.uk/IIP/Web/Case+Studies/Plough+and+Harrow+Hotel.htm Measuring Organizational Performance. (2006.) Perspectives, 29. ICF International Organizational Transformational Issue-Winter 2006. Retrieved January 4, 2006, from http://www.icfi.com/Publications/Perspectives-2006/organizational-performance.asp Scutt, F. (1998). Investors in People: Can it be utilized effectively in Rolls Royce. Nottingham Trent University What is a Situation Assessment (2003-2004.) Alliance for Non-profit Management. Retrieved January 11, 2006, from http://www.allianceonline.org/FAQ/strategic_planning/what_is_situation_assessment.faq Wikipedia.org (n.d.). Retrieved January 11, 2006, from . Young, B. (2000.) Methods of Motivation Yesterday and Today. Retrieved January 11, 2006, from http://academic.emporia.edu/smithwil/00fallmg443/eja/young.html Read More