Role of Manager, Management and Organisation

Briefly explain: manager, management and organisation. Discuss why managers are important for the success of an organisation; include examples to demonstrate your understanding.2 Task 2:4
Select one of the following companies or a company you are familiar with and answer the questions: Virgin, BT, any educational institute, or any retail store4 a.Discuss the term organisational structure and its significance in achieving organisational success. Task 26

a.Draw an organisational chart and explain the main decisions taken by the managers at top, middle and first line levels of management?6 Task 3
a.Discuss the vision, mission and corporate strategy of any global organisation of your own choice. Describe why SWOT analysis is important in carrying out strategic management process of the selected organisation?9 Task 311

b. Can the performance of the company be improved by changing its culture? Discuss with examples.11 Bibliography12

Task 1:
Briefly explain: manager, management and organisation. Discuss why managers are important for the success of an organisation; include examples to demonstrate your understanding.

Introduction

Every company has a Staff hierarchy, containing various levels of manager and non-managerial roles. Each role has different responsibilities and duties. The success of the company is not only based on the revenue made, it is the collation of individuals who develop and establish a successful company/organisation.

The difference between managerial and non-managerial roles is very clear; top tier managers (Directors, CEO, Presidents) and VPs are more focused on the business and corporate strategies, the company’s image and profits. Whereas the non-managers responsibilities are customer focused, personal responsibility and representing the company.

Management

There are various methods of management; the overall description of the word is the coordination of people, time, and projects in an efficient and effective manner. Strategically managing an organisation requires continuously planning, analysing and monitoring and assessing everything and everyone within the organisation. The process requires implementing the cross functional decisions which may affect the growth of the organisation. The management requires familiarisation of all internal and external factors which can affect the development of the organisation.

Organisation

An organisation is an entity formulated of a group of individuals who have a collective vision or goal. An organisation could be the government, an association, an institute, a charity or partnership which operates within the private or public sector. However they can also be a hybrid organisation. Such organisations operate both within the private and public sectors simultaneously providing public duties and developing commercial activities. Organisations can consist of volunteers or paid employees.

Manager

Every organisation small or large requires a team of people. In order to establish the vision and achieving success the organisation needs to be organised. The management of all individuals is important for the success of the business and the managers are the people who manage the functions of the business. Managers are required to provide the parameters, the responsibilities and the goals to successfully develop the business. The managers provide the motivation, vision, rotas and are in charge of accountability for the development of the staff and business. The non-managers are responsible for sales, the satisfaction of the customers. However it is the teamwork and culture that develops the business.

In conclusion the managers are important as their functions, skills and abilities are required in order to keep the business striving from strength to strength, to ensure that the employees are working, performing and exceeding their potential to generate revenue for the company.

Task 2:
Select one of the following companies or a company you are familiar with and answer the questions: Virgin, BT, any educational institute, or any retail store

a. Discuss the term organisational structure and its significance in achieving organisational success.

Organisational structure

The term organisational structure equates to the composition of the staff hierarchy. Each individual role has a different level of power, authority and functions within the organisation. For example the CEO is the head of the company; his or her vision is what generally drives the company forward. However the vision requires a strong team infrastructure in order for the goals and targets to be met. The strategy to formulate a successful company is to create a healthy balance of customer and employee satisfaction. This is produced by creating specific short and long term goals, understanding the company’s Strengths and Weaknesses acknowledging the potential Threats and Opportunities and devising a strategic plan in order to move forward toward succeeding in the company’s mission.

“Leadership is lifting a person’s vision to high sights, the raising of a person’s performance to a higher standard, the building of a personality
beyond its normal limitations.”—Peter Drucker
There are four main varieties of organisational structure. They are Committees or Juries, Ecologies, Matrix Organisations and Pyramids or hierarchies.

Committees are a group of people who are normally assigned to perform a particular task after a decision has been made. Juries are normally come to a decision generally by voting for a particular outcome.

Ecologies are competitive, these are normally based on outperforming each other. The highest achievers receive more work or income.

Matrix organisations are based on one worker has two bosses in two different sectors of the hierarchy. One boss will be “functional” an expert within their field, whilst the other boss is executive, who requires the assistance of the experts to fulfil the completion of the project.

Pyramids or hierarchies are an arrangement of individuals and roles with one appointed leader. The leader has numerous individuals providing support in their relevant fields or departments who all report to the leader, generally via sub – level leaders. The leader ensures the overall success of the organisation.

In conclusion the systematic structure of the organisation is what propels the success of any organisation. Failure to know, comply and perform in accordance with the demands of the individual roles within the organisation can be detrimental to the success.

Task 2
a. Draw an organisational chart and explain the main decisions taken by the managers at top, middle and first line levels of management?

The organisational chart provides a snapshot of the hierarchy of BMW’s leadership team.

The decision making of the various levels of management are as follows:-

CEO Norbert Reithofer ultimately has the broadest scope of decision making. He is accountable to the Board and Shareholders. It is his responsibility to ensure that the revenue, longevity and sustainability of BMW are in line with the company’s vision. His decisions have the widest time frames; he is in charge of all the basic functions of the business which are business marketing, accounting and finance, production and research and development. The decision making process as CEO is unpredictable; future based, and requires experienced judgement. His duties include advocating, ensuring that the stockholders receive a good return on their investments, oversight of the entire global company including employees and product ideas. He is responsible for creating a strong morale amongst employees. Proactive decision making is important, being familiar with the external contributing factors especially economic and environmental factors as he has had the unfortunate task of plant closures and job cuts in order to ensure BMW survives the economic recession.

Mr Reithofer is the most important and highest paid individual within the company. His role is the most responsible, challenging and diverse. He is the power behind BMW. His skills, expertise and experience over the years started with him working in a non-managerial position until his commitment and dedication of 20 plus years within BMW afforded him his current position. As CEO he is required to be familiar with the people who work for him and understanding of all internal functions of the products and people the company provide. His decisions are strategic, financial, and policy formulating.

BMW’s middle managers are divided into departmental divisors across their global enterprise.

The middle management are responsible for advocating between the CEO and the front line managers. It is their responsibility to ensure that the decisions made by the CEO are being implemented and the results of the company’s performance are reported to the CEO. Their decisions are somewhat broader than the front line staff as they have more authority, experience and information provided to them by the CEO and front line managers. The middle managers are required to be strategic critical thinkers, as they have to analyse and summarise data in order to plan, implement and control the operations of the business. The reports provided to middle managers are typically Summary reports and Exception reports. These reports are periodic predetermined times and are influenced by the trend of productivity of the company. Middle managers are generally tactical decision makers who generally make semi structured decisions. These semi structured decisions may be based on structured procedures or do not follow predetermined procedures.

BMW’s front line managers are branch based.

The front line or lower management (operational) typically actualise the plans of middle management, they control the day to day running of the operations. They are the first point of call for the non-managerial staff. They organise rotas, inventory, and local budgets. Their decisions are easily defined based on the information within the basic functions of the business. The information is provided to them within structured detailed reports that contain specific information relating to their department and routine activities. Front line manager’s decisions are generally predictable, structured and predetermined based on well-defined criteria.

In conclusion the role of managers is important as they are the backbone of the company. Their decisions influence, change and procedure the required outcomes needed to ensure BMW remain market leaders within the motor industry. BMW Group

Organisation Chart

(WMZ120894, 2010)

(The Official Board, 2014)

Task 3
a. Discuss the vision, mission and corporate strategy of any global organisation of your own choice. Describe why SWOT analysis is important in carrying out strategic management process of the selected organisation?

Mission, Vision and Corporate Strategy

The Mission and Vision is the purpose and goals of the company while the strategy is how the company succeeds in achieving its purpose.

BMW AG

With over 90 years’ experience in the global economy, BMW’s company strategy and ethos continues to thrive. The success of the company’s global reputation is renowned and is reflected in sales which have continued to drive profits forward.

Within this report we will look at BMW‘s organisational structure and discuss whether its influence has empowered the company’s success.

History of BMW

BMW was established in 1916 by Karl Rapp and Gustav Otton. Initially the pair named the company Flugmaschinen Fabric Gustav Otto and had experienced several name changes before becoming a PLC in 1918 when it was renamed and developed into BMW – Bayerische Motoren Weke GmbH. (BMW Group, 2011)

SWOT

As one of the leading companies in the world, BMW’s leadership team is focused and committed to ensuring that BMW’s reputation and revenue continues to increase in value for the company and its shareholders.

Therefore performing regular swot analysis is imperative to establish and enforce change where necessary. It is obvious that the leadership team incorporate and support change where necessary when taking a quick look at their SWOT.

The findings from the SWOT provide examples of how BMW continue to be adaptable in today’s society their innovation is influenced by external factors such as government and environmental legislations. BMW are consciously expanding their strategy to ensure they produce sustainable products to withstand the ever changing technological society we live in today. The economy is continuously fluctuating; competitors are competing to provide premium products at a more affordable rate however BMW are remaining on top with their strategies and forward thinking. In conclusion the systematic structure of the organisation is what propels the success of any organisation. Failure to know, comply and perform in accordance with the demands of the individual roles within the organisation can be detrimental to the success. (BMW Group , 2011)

Task 3
b. Can the performance of the company be improved by changing its culture? Discuss with examples.

The success of BMW is influenced by its ever changing culture and strategy. The company’s vision to expand and remain market leaders is presented in their employee and customer charters.

BMW encourage training of staff by providing them with Academies and Universities and globally recognised qualifications around the world. BMW believe in people development, career focus, academic incentives, and training. This enables them to develop and maintain the motivation and culture of their company. The satisfaction of the employees through boosts of morale, sales, and employee benefits ensure that the employees focus on the satisfaction of the customers. BMW’s employees are come from a diverse multinational background and age range affording BMW to have young fresh ideas combined with experienced and knowledgeable team members. The diversity, commitment and drive of their team who are focused on sharing the same belief on being passionate about providing a first class premium service, providing performance vehicles and developing new ideas.

“We stand out noticeably from other companies not least due to our pioneering innovations and technical expertise in vehicle construction, but also because of our corporate culture. Maintaining this culture and developing it in a sustainable manner is extremely important to us. After all, long-term success can only be built on strong cultural foundations.” (BMW Group, 2014)

In conclusion BMW’s strong belief system focusing on customer orientation, first class performance, responsibility, effectiveness, adaptability. The amalgamation of both culture and business initiatives are more efficient and successful than focusing on the culture and business independently. BMW’s culture has provided the company with a strong global reputation and has generated revenues, a premium brand all over the world and ownership of three of the world’s leading brands BMW, Mini and Rolls Royce.

Bibliography
BMW Group . (2011). Annual Report 2011. 80788 Munich: Bayerische Motoren Werke Aktiengesellschaft . BMW Group. (2011). A Company in its time. 80788 Munich: Corporate and Governmental Affairs . BMW Group. (2014). Unique Corporate Culture. Retrieved from BMW Group: http://www.bmwgroup.com/com/en/careers/working-in-the-bmw-group/corporate-culture/index.html The Official Board. (2014, September 08). Organisational Chart BMW. Retrieved from The Official Board: http://www.theofficialboard.com/org-chart/bmw-bayerische-motoren-werke WMZ120894. (2010, March 03). BMW Group . Retrieved from Cogmap : http://www.cogmap.com/chart/bmw-group