Nature & structure of an

organisation

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T ABLE OF C ONTENTS

Introduction.......................................................................................

Organisational Nature......................................................................

Organisational Structure.................................................................

Achievement Of Goals Through Organisational

Nature And Structure.......................................................................

Factors Influencing Individual Behaviours At Work

.............................................................................................................

Demographic Factors....................................................................

Big personality Model.....................................................................

Myers Briggs Personality Type (MBIT) Model..................................

Psychological factors....................................................................

Motivational model: Maslow's Hierarchy of Needs

theory.............................................................................................

Organisational factors..................................................................

Authoritarian..................................................................................

Paternalistic....................................................................................

Democratic.....................................................................................

Laissez-faire...................................................................................

Transactional style.........................................................................

Behavioural theory of leadership...................................................

Cultural factors..............................................................................

Hofstede Theory for Culture...........................................................

Conclusion..........................................................................................

References............................................................................................

NATURE

AND STRUCTURE OF THE

ORGANISATION TO ACHIEVE GOALS
I NTRODUCTION
Organisational goals refer to the objectives which an organisation tends to
achieve through the follow up of operations and management. The goals
are prearranged and predestined which explains the prospected results of
the efforts that are being deposited. There are two main types of goals
that are achieved by organisations including the official goals and
operative goals which reflect the integrity of the organisation (Stredwick,
2000). Organisational goals are highly influenced by the nature and
structure of the organisation. Managers play a key role in the
organisational development through covering all factors including
demographic, psychological, cultural, motivational, perception and
personality factors. These factors are highly influential for achieving goals
and objectives. The report discusses the nature, structure and models
which can be followed by managerial board for accomplishing success.

O RGANISATIONAL N ATURE
Nature of organisations is depicted through the environment in which it
operates. Specific environment is directly related to the attainment of
goals and objectives of the organisation and is highly influenced by
competitors, suppliers, consumers, pressure groups present internally and
externally of the organisation. These entities are directly significant for
achieving organisational goals (Mullins, 2007). Consumers hold relative
importance for organisational nature as their altering behaviour can
change the administrative issues of organisations. Additionally managers
should also be prepared for responding to the policies for competitors who
can further affect the products and services. Hence these factors illustrate
the centralisation or decentralisation of organisational nature (Tonder, 2004).

O RGANISATIONAL S TRUCTURE
Organisational structure is the pattern of jobs that are being assigned to
groups of people and individual elements. The structure highly influences
the achievement of goals as all of them dont chip in organisational
performance for quality and flexibility (Ashton, 2004). There are varying
classes of structures which tend to contribute in achieving businesss
success including highly centralised, decentralised, Bureaucratic, Post-

bureaucratic, Functional, Divisional, and Matrix structures which have

varying environment for achieving goals. The nature of the organising
committees for each type utilise varying managerial steps for
accomplishing the tasks. The structure is affected by organisational
environment, technology, strategies and human resources as they
determine the design of organisational structure (Rollinson, 2011).

A CHIEVEMENT O F G OALS T HROUGH O RGANISATIONAL

N ATURE A ND S TRUCTURE
Goals include the features which people of any organisation struggle to
achieve (Martin et al., 2003).
In terms of nature of organisation goals are achieved through
specialisation and allotment of work to specified groups. Each of the
responsibility is allocated to separate organisational component. The joint
efforts are coordinated for permitting the processes to function properly.
The nature of the organisation focuses upon the orientation towards goals
through systematising the key functions and harmonising the individual
goals by the employees. Hence the accomplishment is carried out by
inter-departmental coordination through authority, responsibility and
accountability for formal and justifiable decisions (Thomson et al., 1999).
For every administration it is necessary to define the organisational
structure that can aid in to prop up the goals that are to be achieved.
Every organisation has a clear mission of achieving leadership which runs
through every level, lowest to highest and tends to be measurable. These
levels include individuals who work in coordination for carrying out a
common cause. For larger size of the organisations it is vital to form a
hierarchal structure despite of being highly centralised, decentralised,
Bureaucratic, Post-bureaucratic, Functional or Divisional. The main part in
the organisational structure is played by the supervisor to whom the
activities are reported. They are on the top of hierarchy list who keep an
eye on the activities of the subordinates (Roozen et al., 2001).

F ACTORS I NFLUENCING I NDIVIDUAL B EHAVIOURS A T

W ORK
It is the duty of managers to keep the organisation running (Noon et
al.,2013). There are numerous factors which the managers should ponder
upon including grouping tasks into individual jobs, assemblage of jobs into
divisions and functions and allocating the authorities for coordination of
functions. These factors affect the whole organisational behaviour but can

be easily overruled through the creation of job characteristic model

(Bakker, 2007). Organisational achievement includes the changes carried
out in management for undergoing a change process. The behaviour
change is mostly an objective for the working staff directly with
constituents, government agents, communities and constituents.
Interventionists are responsible for achieving the goals through the proper
implantation of programs which can induce desired behaviour change
(Mullins, 2011). This behavioural change and related human factors are
necessary and should be noted while performing in a working
environment. There are numerous factors that should be noted by the
managers (Rollinson, 2008).

D EMOGRAPHIC F ACTORS
The demographic factors include the socio-economic factors, ethnic group,
race, educational background and age. The firms have a preference for
people who have high-quality socio-economic and educational background
as they are tend to perform well as compared to others. Youthful people
are also wanted by the organisations as they carry out tasks with full
enthusiasm (Finkelstein, 1996).
B I G PE R S ON A LI T Y M O DE L
The interrelationship between the job performance and personality holds
vital importance in understanding the psychological factors of employees.
Job performance is taken as a multidimensional array which depicts the
personality scale for business interventions and measures the five main
aspects (Walker, 2002):
Openness to experience
The intellect level is tested which further includes the active imagination,
aesthetic sense, thoughtfulness to inner feelings and scholarly curiosity of
people. Low scoring represents the conservativeness in professional
behaviour. However people with high scores tend to be exceptional and
highly responsive to new ideas and increasing the social, political and
ethical proposals (McCrae, 2002).
Extraversion
Extraversion includes the characteristics for activeness and chattiness.
Optimistic people are characterised as extraverts whereas self-governing
and distant people are included in Introverts. The former group of people
have positive influence upon the organisational performance and mostly
includes managers and sales workforce (Raad, 2000).
Agreeableness

People who are agreeable and pleasant tend to help people in an

organisation for achieving objectives. Disagreeable people are egocentric
and aggressive rather than being cooperative in an organisational
environment (Bratton, 2010).
Conscientiousness
The factor indicates the self control in behavioural pattern through
processing, arranging and organising tasks. The person encapsulated with
consciousness is strong willed and target oriented in addition to
hardworking, persistent, planner and highly organised. However the high
score may lead him to workaholic behaviour. On the contrary low scored
person can lack moral principles for running tasks (Walker, 2002).
Neuroticism
The high scores indicate the psychiatric disorders whereas low scored
people tend to have emotional stability. They are said to be serene and
peaceful and holds upmost capacity for dealing with stressful environment
devoid of irrational (Judge, 2002).
M Y ER S B R I G G S P ER S ON A LI T Y T Y P E (MBIT) M O DE L
The model encompasses the psychometric surveys which are designed for
measuring the psychological preferences that how people recognise the
world and act upon making decisions. It has two main cognitive functions
including the rational functions and irrational functions. The former
includes the thinking and sensitivity related aspects whereas irrational
functions include the sensational and intuitional factors or perceiving
factors. The test indicates the personality test for professional ethics for
administering the task performing activities for people and their
organisational behaviour (Murray, 1990).

P SYCHOLOGICAL

FACTORS

The psychological factors include personality, perception and motivation

related aspects. It includes the cognitive procedure used for the
interpretation of environmental incentives. People have varying
perception with respect to the environment and its study is imperative for
managers to create and develop a suitable working environment. If
perceptive environment is positive employees tend to execute better in
organisational environment.
M OT I VAT I ON A L MO D E L : M A S LO W ' S H I E RA RC H Y O F N EE D S T HE O RY
Motivation is the resultant from individuals enthusiasm for achieving a
target and pursuing a course of action. Maslow theory is built upon
individuals needs which are interrelated to each other forming a

hierarchy. In an organisation managers should satisfy the fundamental

needs of the workers and then move forward for encouraging motivation
towards work (Murray, 1990).
The most fundamental and basic four layers of the pyramid contain what
Maslow called "deficiency needs which suggests that the most basic level
of needs must be met before an individual strongly desire (or be
motivated by) secondary or higher level needs. Maslow also coined the
term "meta-motivation" to describe the motivation of people who go
beyond the scope of the basic needs and strive for constant betterment.

O RGANISATIONAL

FACTORS

Leadership includes innovative methodologies which are applied by the

organisations for accomplishing identified goals. Leadership styles include
the leaders way of style for providing directions, implementation of plan
and motivating people. There are numerous leadership styles which are
demonstrated by the leaders in the business and political fields (Bennett,
1999).
A U T H O R I TAR I A N
The authoritarian leader is strict in nature who keeps strictness for
controlling the policies of organisations. They tend to keep a strict
professional relationship with the employees in order to maintain the
environment. They believe in direct supervision for conducting and
managing tasks (Dulewicz, 2005).
P ATE R NA L I S T I C
They tend to act as a parent to the employees and try to be fatherly figure
for them. Hence they allow openness for the workers to attain complete
trust from the employees. In addition people working under such leaders
are totally committed to their work as if they face any difficulty, they tend
to refer higher authorities (Dulewicz, 2004).
D EM O C RAT I C
Such type of leaders has sharing decision making abilities with the
associates through the promotion of social parity. They promote
discussions, debates and involvement of ideas and give credit to the
people for their participation. They have the view of making out group
decisions and contribution of every member for a collaborative dialogue.
L A I S S E Z - FA I R E

The worker has the full authority for making out decisions in this context.
This was firstly proposed by Lewin, Lippitt during the 1938 in which the
leadership was defined to be giving directions to the followers. The leader
is said to have lack of productivity, competency and innovation if it
heavily extracts out information from the followers.
T RA N S AC T I O NA L S T Y LE
The transactional leadership style was firstly introduced by Max Weber
during 1947 for motivating the followers by offering them rewards and
even penalties for avoiding from false actions. Contingent Reward includes
the rewards for acquisitive and first-rate performance. Additionally
Management by Exception reward includes the reward for leaders to
maintain the status quo and trim down the burden of work from the
employees. Hence both rewards help the managers to enhance the
performance efficiency of workers (Mller, 2005)

B EHAVIOURAL

THEORY OF LEADERSHIP

The theory focuses upon the behaviour of leaders. It conveys the

message that leaders are made with their actions and performance and
are not born. Becoming a leader is not a simple task but involves the
observation and teaching styles to be implemented in any organisation.
Hence the roots of the theory deepen down to the behaviourism pattern,
intellectual mind and strategies taken for accomplishing tasks (DeYoung,
2005).

C ULTURAL

FACTORS

The organisational cultural factors include the moral values, beliefs,

language, traditions and laws followed by the management. It also
includes the religious observances by the managerial board of any
organisation. Socialising of people, greeting new employees on board and
modernisation affects the organisational cultural factors (Grief, 1994).
H O FST E D E T H E O RY F OR C U LT U R E
The six dimensions for Hofstede include: Power Distance, Uncertainty
Avoidance,

Individualism

versus

Collectivism,

Masculinity

versus

Femininity, Long Term versus Short Term Orientation and Indulgence

versus Restraint. The Hofstede Model provides users with concrete
information about their corporate capital, also known as organizational
culture or capital. Besides providing insight into what is the difference
between what an organization wants to be like and what it is, the model

provides users with concrete change tools as to how to increase the

success rate of change programs by offering very detailed change levers.

C ONCLUSION
The institutional theories and transactional costs work hand in hand to
improve the processes for achieving organisational goals and objectives.
Through attaching and integrating the institutional constraints with
efficiency framework theorists have demonstrated the evolution of
simulated organisations. The theories reveal that any entity is involved in
cost, its choice and opportunities can reach out for aimed objectives.
However the difficulty emerges during the implementation of the cost
during making it operational. Although they have a difficult for measuring
the changing attributes including the external processes by humans to
choose as a starting point but they also explain the behaviour of individual
while dealing in institutional decisions. Hence the significance of factors
affecting organisational goals holds inevitable satisfaction for institutional
development.

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