management Styles - A History and Case Study

Introduction Lewis Jeans has been operating as a maker of jeans for ten years, and is currently one of the Uk's prominent manufacturers. 300 employees are divided over 3 geographic areas, with the head office in Croydon.

management Styles - A History and Case Study

management Styles - A History and Case Study

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management Styles - A History and Case Study

management Styles - A History and Case Study

Due to an array of contributory factors, there has been a downturn in sales and profits over the former 12 month period.

Sales - 20% reduction
Profit - 40% reduction
Returns due to potential issues - 15%

These figures, coupled with a worrying turnover of staff, and high manufacturing costs have ensured that a basal communicate of the whole structure of the enterprise is vital to halt additional degeneration, and to allow the enterprise to re-establish itself as a shop leader.

This narrative will explore the following areas:
Organisational and Managerial structure
Organisational Culture
Staff Motivation

Each of these areas will be determined within the Lewis Jeans framework and formal advice will be given covering: potential strengths and weaknesses within Lewis Jeans. Recommendations for improvement.

Organisational and Managerial Structures

"An organisation is a system, having an established structure and aware planning, in which population work and deal with one other in a coordinated and cooperative manner for the accomplishment of recognised tasks"

The above paragraph is a typical definition of what makes an organisation. The type of structure will work on all things about the organisation, including the relationships between individuals, who is emPowered within the authority to make decisions, and how facts is communicated throughout the organisation. Getting the strict structure in place to suit the objectives of the organisation, and the aspirations of its staff is imperative if the enterprise is to flourish.

Lewis Jeans currently operates with a geographical structure. Three manufacturing facilities are located in the Northern, Central, and Southern areas of the United Kingdom. This geographic grouping of functions can be a viable selection for some organisations, Tesco Plc being a prime example. Tesco needs retail outlets in most towns to allow it's customers to purchase the goods it offers.

The geographical structure can have a whole of sure advantages: Responding speedily to local needs and issues, allowing the organisation to become more sensitive to customer and laborer needs. Bureaucratic 'red tape' can be reduced if each division is emPowered with more decision manufacture authority. There is a greater potential to tailor operations to local differences, such as language, law etc.

However, there can also be vital disadvantages: The duplication of facilities and roles. additional supervision positions are required. Lack of unity in objectives and direction of semi-autonomous units.

Lewis Jeans has tiny necessity for a geographic structure to the organisation and many of the disadvantages discussed manifest themselves within the company. The conference for three plants could reasonably be made if Lewis Jeans were manufacturing manifold products which required separate processes, staff specialisations, tooling and machinery, and Supplying these products to differing markets with unique needs. A enterprise which essentially business one goods range may benefit from one central production plant. It could be argued that additional storehouse and distribution depots may be advantageous, and could succeed in a more prudent production process, with efficient distribution throughout the Uk.

The simplified organisational chart below demonstrates how the organisation could be streamlined. The links flowing from top to lowest demonstrate the hierarchical structure (the direction of authority from top to bottom). The horizontal lines demonstrate the lines of communications which should exist between functional areas. Each 'area' forms a specialized team which will encourage team-working.

A Central supervision Team consisting of specialists in each field make strategic decisions on enterprise objectives and policy. Daily meetings will allow current and hereafter issues to be decided speedily and efficiently. Lower level managers, who must be developed through training, appraisals etc, will make decisions on the day to day running of their departments. This allows the supervision team to look at 'the bigger picture' and not be consumed by the day to day production, sales and distribution issues.

Functional Structure

The simplified organisational chart above demonstrates how a functional structure may work for Lewis Jeans. The enterprise is divided agreeing to the enterprise function performed by each department. Each functional area plays its own devotee role in working towards the objectives of the organisation. Groups of specialists are delegated control over exact work areas, thus avoiding duplication within the company. potential problems with regard to inter-departmental transfers and rivalry can occur but it is for the supervision team to rule such issues before they occur.

Product Based Structure

An organisation is divided by the products it sells. Each goods division performs all of its enterprise functions, whilst working towards the organisations aims and objectives. With only one main product, or a incompatibility on the theme, this structural framework would not benefit Lewis Jeans.

Matrix Structure

In a large organisation it may be useful to allow members of the enterprise to be within more than one functional group. The introduction of 'Product development Teams' which may furnish more than one goods (jeans, denim jackets) may be useful. Marketing and Sales could be linked, with specialists working in both areas.

Matrix structures do have a whole of advantages: The organisation can focus on a whole of aims at the same time. Flexibility to adapt and rejoinder to changing demands and resources. Transfer of ideas between multi-role staff, instead of the insular approach of isolated departments.

The 'matrix approach' can succeed in an overcomplicated structure, with employees losing sight of the major aims of the organisation, a due to more than one chain of command, Power struggles can occur.

The geographical structure of Lewis Jeans cannot be justified at the gift time. One central production unit would make good enterprise sense, providing premises could be adapted, or new premises located. Alternatively, North and South production facilities with an additional central distribution depot may allow suitable financial savings, coupled with an increased efficiency. A new single production unit may allow for a reduction in staff by as much as 30 - 40%, dependant on revising in processes, technology etc. Relocation of staff may be potential if local distribution depots are introduced. Final observation to locations would need to take into inventory customer locations, export markets and the need for storage. If products are transferred very speedily then a single distribution unit may suffice.

A additional benefit of a single production unit would be the potential to implement a robust potential control theory to ensure satisfactory standards. There may be additional factors complicated in the potential issue, which will be discussed later.

Managerial Structure

At present, authority and decision manufacture is firmly centralised at head office, with Mr. Bart Lewis manufacture all decisions, and cascading those decisions down to his managers at the production units. The flow of communications is very much in a downward direction, with managers purely responsible for carrying out the directions of the Managing Director. The hierarchical principle stemmed from the theories of Bruno Lussato. The 'Scalar Concept' viewed an organisation as a group of grades, arranged in a sequence. Superior grades carried authority which could be delegated to the grade immediately below. Lower grades carried no authority at all. Authority descended from the top to the lowest along a well defined scale of posts. In the current theory within Lewis Jeans, tiny authority is delegated at all, with managers tiny more than supervisors, passing down the orders from above.

Management Styles

Lippitt & White are among many researchers who have identified a range of leadership styles. Tightly controlled (autocratic) The leader alone makes decisions, with staff being informed of these decisions and then carrying out the task. Democratic (Persuasive or Consultative) The leader makes the decisions, and then persuades workers that his decision is the strict one. The leader consults staff before a decision is made. The leader has the final say, but takes staff views into consideration. Laissez-faire (loose) Opinions are not forced on staff, with no formal structure for decision making.

None of the above is the strict approach, but they do have differing effects on those within the organisation. The style adopted at Lewis Jeans is autocratic in nature. This type of supervision style may have a negative succeed on middle managers and workers alike. Managers may feel that they are not trusted or empowered to carry on their departments. The organisation is production orientated, and this will beyond doubt work on motivation of all staff. A supportive supervision style, as argued by Charles Handy is said to foster: laborer satisfaction. Lower staff turnover and grievance rates. Fewer inter-group conflicts.

With highly high levels of staff turnover, the style of supervision may have an prominent role to play in this area. Motivation is also vital and this will be discussed additional on in this report.

Spans of Control

The span of control within an organisation is important. Normal Sir Iain Hamilton once said that, "No one brain can effectively control more than 6 or 7 other brains". It has been proven through explore that the span of control (the whole of subordinates that a man is directly responsible for) should be 3-6.

At gift Mr. Lewis controls sixteen managers at present, five in each of the factories and a centralised sales manager. Each factory has eleven managers and three supervisors. This is not an efficient allocation of power and authority. One man having day to day responsibility for all areas of an organisation, some of which may not be his area of expertise can create failings in sure functions. As the organisational chart on page 4 demonstrates, with a higher level of trust and authority vested in professional, skilled managers, the 'span of control' could be significantly reduced for Mr. Lewis, but widened for lower level supervision staff. This would allow Mr. Lewis to integrate on the 'strategic' decision-making of the organisation within a central supervision team, whilst allowing lower level managers to integrate on the day to day issues of production, distribution, sales, and marketing. Quarterly managerial meetings would allow for updates on production, sales targets and organisational objectives which may turn due to the dynamic nature of the clothing industry. A suitable structure would consist of weekly or monthly targets communicated to the responsible managers. Daily communication as happens at gift will only reinforce managers opinions that they are not allowed to 'manage'. The flow of communication will be up as well as down the chain of command, giving local managers and subordinates a role in decision making. Those in the local facilities will be able to Supply potential feedback on problems of stock, quality, retention issues etc. This will allow the supervision team to adjust their aims and objectives agreeing to the most recent facts available. In expanding to this, a well-organised theory of recording and monitoring will ensure that all communication, orders, sales, returns and forecasts can be used as historic data to retain hereafter decisions.

Organisational Culture

The structure of an organisation is strongly influenced by the culture within it. A definition of culture is "the way we see and do things around here". History, traditions and structure are influencing factors on a company's culture. Behaviour of new workers within an organisation is often influenced by the 'norms' of behaviour already prevalent. The need to 'fit in' and be 'accepted' can often put pressure on individuals to conform. Culture can turn over time as new population join the organisation, and as external factor change.

Charles Handy observed behaviour in a large whole of organisations and described four main types of culture.

Power Culture

The centralisation of power is the main factor of this type of organisation. One man makes all the decisions. Individuals may feel suppressed by those with power. A 'Power Culture' is obvious within Lewis Jeans.

Role Culture

Typically found in large organisations divided into layers of offices and officials. Power is hierarchical and determined by a person's position within the company. strict job descriptions and communications prevail. Very tiny scope for personel growth or development.

Task Culture

A job or project orientated organisation. The task dictates how a team works, not strict, set down rules and regulations. The relaxation and flexibility can make for a rewarding work environment. Due to the lack of formality, the supervision and control of a task culture can be difficult.

Person Culture

An organisation with a cluster of people, all working at the same level. Hierarchies cannot be formed without mutual consent.

Changing a culture to fit the objectives of the organisation is not straightforward. Some writers believe that the culture is created by the people, and a employer cannot turn it on a whim. It is widely agreed that the actions of managers can have a profound work on on the culture within an organisation, far more so than written statements about what should happen.

A Move away from the 'power culture' within Lewis Jeans could have profound effects on the attitude of workers. Empowering managers to make decisions, to run their departments, and to build belief and desire within the workforce, to succeed for both themselves and for the organisation. A narrower span of control for the supervision team will force them to integrate on the direction of the enterprise and not be directly complicated in the intricacies of production, distribution, and marketing. Providing suitable structures, potential managers, systems of work, and staff motivation needs are met, the Managing Director and his team need to be figureheads for the organisation, intriguing confidence, fairness and trust in all.

Staff Motivation

Lewis Jeans has developed a trend for a rapid turnover of staff. Less than 50% have been within the enterprise for more than a year. This creates problems for the organisation: A lack of specialised and skilled staff. Low Morale surrounded by current staff. Poor image in the wider community, from where new employees may come. A lack of team vision. tiny motivation to excel, and to rise to the challenges facing the company.

Managers can only perform well, and perform the objectives required if they have an equally motivated team working with them.

To make a realistic analysis of the workers at Lewis Jeans, it is vital to communicate to some explore into motivation, and lack of it.

Abraham Maslow

Maslow popularised the theory that population have needs. Maslow developed a 'Hierarchy of Needs' and closed that when the needs of an personel were met at one level a higher level of motivation would develop. The levels from lowest to top are: Physiological Needs protection & security Love & Belonging Esteem Self Actualisation

When applied to the workplace it can be seen that work can Supply a means of helping population satisfy their needs. Not everybody has the same needs, so this must be taken into account.

Frederick Hertzberg

Hertzberg carried out explore based on interviews to find out what satisfied and dissatisfied workers. He found a whole off areas which were a potential cause for dissatisfaction. He called these 'Hygiene Factors'. Only when the hygiene factors have been adequately met can other factors enhance performance. These are called 'Motivators'.

By considering the structure, supervision style, leadership and culture at Lewis Jeans, and then considering the factors mentioned above, it becomes clearer as to why the retention of staff is at a low ebb. The giving of financial bonuses and such incentives can Supply short term solutions. It is vital to think that these production bonuses, coupled with low levels of motivation within the enterprise are the major factor affecting the poor potential of goods. Staff have tiny loyalty to the organisation, and can see that turning out large quantities of goods, regardless of potential can succeed in useful additions to wage packets. There is a wider range of needs and motivators for most staff. If they feel used, undervalued, and have tiny opening of self revising then motivation to perform will suffer. Whether it involves leaving the company, or working at levels that sacrifice potential purely to realise financial bonuses. These symptoms are all clearly visible within the company.

However, it is also a basis to institute strategies which will alleviate such problems. Motivating the workforce through empowerment, delegation, recognition and a opening to enhance themselves will promote a real turn in the workforce.

Staff Appraisals

Regular staff appraisals are an vital part of developing a company's human resources. A annual meeting with each member of staff allows both sides to highLight areas where performance has been good, and to look at areas of difficulty which may need some attention. It allows the appraisee to highLight development needs they may have; this could consist of training courses or aspirations for promotion. The appraiser needs to ensure that a fair and non-confrontational approach is adopted, and to make it clear that the meeting is for the benefit of both parties. Ideally, the appraiser and appraisee should have suitable paperwork to narrative their views at least 2-3 weeks before the evaluation meeting. When the conference takes place, a 'meeting of minds' should occur, with both sides agreed on a way transmit for the next year. An approved theory of referral to other employer should be in place in case deal cannot be reached. The process needs to be transparent and honest. Staff can become resentful of evaluation systems if they are not treated to all the facts surrounding the system.

Recommendations for Change

Lewis Jeans as been running under the same organisational and managerial structure for some ten years. In recent times performance has dropped and most of the problems have been created by the organisation itself. This can be changed. Changes in structure can be made fairly quickly. Cultural turn can take considerably longer. Strong leadership will play a vital role in changing this culture. The recommendations below should be implemented as soon as practicable to ensure that turn takes place. With a turn such as this there will have to be a transitional period, but the impetus for turn must be immediate.

Initiate changes to a functional structure for the company. vital planning will be required to implement changes in property use and re-deployment of staff. This may not be potential in sure cases and decisions will have to be made. Redundancies may be unavoidable, but should be a last resort. There is no speculate why the organisation cannot introduce manifold structures to afford the best options to functional departments. Within the Finance division there is a need for formal structures due to the procedural systems which need to be adopted. This would almost beyond doubt set down fairly prescriptive definitions of what staff should do. Within a production or distribution division there will be considerably more scope for staff to demonstrate personel flair and team-working qualities. There is more selection for an informal structure to these departments. This does not imply that an autocratic supervision style is suitable for any department, but demonstrates that separate organisational and supervision structures can co-exist within one organisation.

Management and Leadership style must change. A Central supervision Team will rule on aims and objectives. This should think input from all levels of the organisation. A Staff Council allowing workers to lead to the success of Lewis Jeans will beyond doubt motivate workers. Meetings with all levels of supervision will ensure that managers feel trusted and empowered to deal with their own departments, the areas in which their expertise lies.

Changes in supervision style will beyond doubt work on the 'culture' within Lewis Jeans. The 'power culture' which currently exists is detrimental to the hereafter success of the business. population will rule the success or failure of this organisation. A Move towards a 'task culture' where staff work in teams, where there is tiny need for authoritarian management, where population feel that they can succeed and develop, should be the aspiration of the company. There can still be a discipline within the culture, but it should be more orientated towards 'self discipline' rather that autocracy.

Motivation of staff needs to be a focal point. All the recommendations above will lead to this. Financial incentive, if delivered correctly can to a sure extent motivate workers. There are many other factors involved. A share of profits rather than production bonuses will focus staff on enterprise success rather than short term personel gain. The need to ensure potential of goods thus expanding the good prestige of Lewis Jeans will lead to success and higher profits. These successes, which the workforce will have played a direct role in, will lead to financial recompense and personal pride.

Communication between all sections must improve. Within this narrative we have discussed assorted strategies to enhance inter-personnel communication. There is also a need to communicate organisational plans to the strict areas. The Central supervision Team meetings will agree strategy. This should be a consultative process. It is vital to draw on all areas of expertise within the organisation. Consultations with key staff and trades union officials / staff council members will sustain co-operation. Weekly team meetings will allow concerns to be passed up the chain of command if necessary. Senior managers need to communicate directly with team leaders where possible. The telephone should be in place as a backup system. The use of electronic communication / video conferencing can be utilised for remote locations.

For growth to occur for Lewis Jeans, a wholesale evaluation of the marketing strategy needs to take place. The former ten years have allowed Lewis Jeans to fall behind the current shop leaders, with regard to diversification of the goods base. The days where one style of jeans distinguished all are gone. There needs to be a approved evaluation of current and hereafter trends, and a marketing strategy adopted to reflect this. There may be a need for project team to be developed (this could draw on expertise from throughout the company) to create a radical marketing plan. This will need to think goods development, publicity, distribution methods (mail order catalogues, internet based sales, retail outlets). New products need to satisfy the needs of the existing clientele, but to drive the products into the 21st Century.

The image of the goods is important. potential users need to feel that these products can make a fashion statement. A large scale public relations practice should be used to turn opinions among the targeted public. This can consist of press releases, goods publicity, advertising to show this intriguing brand. If packaging is vital it can be used to make the goods noticeable, to carry the brand image, and to make it appeal to customers. Marketing therefore, needs to be at the forefront of the strategy.

Conclusion

This narrative places some exacting demands on Lewis Jeans. There are no simple solutions to its current problems. However, the organisation can turn its fortunes around if it accepts this narrative as the first construction block towards hereafter success. There will be no room for egos in the revitalised Lewis Jeans. everybody Must pull together to make this happen. population are the power within this organisation, and with a unified, dynamic, progressive team, success is certain.

management Styles - A History and Case Study

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