Leadership in People Management
In this report on People Management, the aim is to evaluate three major themes which has been covered through the examples from various CIPD cases by the name ‘Developing Organisation Culture: Six Case Studies’, where the purpose is to identify the reason for the development of these three themes which are crucial for the organisation as well as people management. Along with evaluation of the theory’s as well as practices’ appropriateness which are related to the three themes in the context of national cultures. In addition to that critical evaluation of the themes will be conducted, along with identification of the relevant challenges and issues while applying the theories of the organisational practices by utilising case studies examples. Lastly, recommendations will be provided for future practices, that is, on the manner by which the challenges or issues can be tackled by utilising theories.
The theme which has been mentioned in this case studies are leadership, motivation and innovation which are crucial for the organisation as well as people management, as it has been derived from the case study on Arts Council England, VISA Europe as well as BNP Paribas: Building a business development culture. Leadership is referred to the ability of leading an individuals’ group towards the fulfilment of the mission set by the organisation. It consist of the skills such as understanding the mission of the organisation, aligning it with the strength of the individuals and developing a strategic plan which will help in the achievement of the same. Leadership plays a major role when it comes to the development of any business organisation as no organisation can operate efficiently without any form of effective leadership (Bennis and Thomas 2020).
Leadership is one of the crucial function within management that helps in increasing the productivity as well as for the achievement of the organisational objectives. Leadership is utilised for people management because it influences people’s behaviour within an organisation where the leader controls peoples’ efforts in order to achieve the goals set by the company. Leadership will further help the employees in achieving their needs where they develop personal relationship with the subordinated and by providing them with the opportunities as well as security, the employees’ productivity can be optimised. Leaders are further responsible for introducing the necessary changes, resolving conflicts in an effective manner, training and development of the subordinated, setting a clear vision for the organisation, motivating and guiding employees and building morale among them (Northouse 2021).
The second theme which has been discussed within the case study is motivation which helps in maintaining the energies and controlling the behaviour of the people present within the organisation. Motivation is highly important when it comes to playing a major role within the workplace because by generating a higher level of motivation among the employees, an increased value, as well as substantial achievement level, can be gained. Motivation plays a critical role when it comes to achieving success for any business organisation because it leads to an increase in productivity as well as the achievement of a higher level of output. For employee engagement and their performance, motivation plays a major role because it drives the employees to set and attain the objectives (Panait 2020).
Motivation in People Management
The aim of employee engagement is to increase the discretionary effort portrayed by the employees and the appropriate manner in order to achieve the same through employees’ motivation. Motivated employees will engage with each other through teamwork in order to improve the overall organisational performance. For organisation and people management, motivation plays a crucial role As it helps in putting the human resource into action, enhances the overall efficiency level of the employees, leads them to achieve certain organisational goals and objectives, builder professional and friendly relationship as well as lead the work force towards stability (Turner 2017).
The third and the last theme which has been discussed through these case studies are innovation which is referred to the concept or process which enables the organisation or an individual to undertake the entire process of conceptualising the brand new services, products or processes or another innovative approach to the existing products, services, processes or ideas in a new manner. There are several form of innovation which a business organisation can pursue and are often directly related to the offerings they make to the customers such as the workflow or the internal process or the business model (Kahn 2018).
In the present days there is a higher need for change and growth within the organisation, which provides several opportunities for the businesses to adopt innovative means and embrace the innovation which will land them with a sizable advantage and will ultimately help in achieving the consumers’ demands. Innovation is crucial for organisation because it helps them to grow, where 79% of the surveyed executives who participated in The Boston Consulting Group have claimed that innovation is one of the three business initiatives, where the emphasis needs to be development, growth, technology and science, for the purpose of attaining competitive advantage in the market and provide value through innovation’s positive impact (He and Tian 2020).
The appropriateness of innovation within the different national cultures where it affects the innovation rates in a positive manner where the highly favourable situation are utilised for boosting the innovation where there is a lower distance from the power, higher level of individualism, femininity characteristics, lower aversion towards uncertainty, longer term for orientation as well as higher level of indulgences. As per Hofstede’s Cultural Dimensions Theory, stated by Geert Hofstede, a lower power distance index portrays that the culture motivates the organisational structure1s which are flat as well as featured for decentralised decision making responsibilities, placing an emphasis on the power distribution as well as a participative management style. A higher individualism portrays that there is a higher requirement is being placed on attaining the personal goals as compared to collectivism (Amabile and Pratt 2016).
Femininity factor portrays features such as a fluid gender roles, nurturing, modest as well as concerned with the life’s quality which are positive contributor of innovation. A lower aversion towards uncertainty portrays a higher tolerance for the ambiguity, uncertainty and risk taking aspect where the unknown is accepted and there is lax in the regulations and rules. Longer term for orientation emphasise on the future as well as consist of delaying the short term success or the gratification to achieve the long term success, where the focus is on perseverance, persistence as well as long term growth. Lastly, there is higher level of indulgence which portrays that the society will enable relatively free gratification (Cropley and Cropley 2015).
Innovation in People Management
For the theme of motivation, Hofstede’s Cultural Dimensions Theory, plays a major role when it comes to defining the appropriateness within different national cultures. Culture is an unique way through which different individuals are working collectively in an environment where understanding the cultural difference is essential where, a higher index for power distance result the hierarchy is being clearly set and executed within the society. Similarly, individualism will remove the measure where individuals within a society are grouped, as motivation is also derived from an integrated group. Uncertainty avoidance factor is referred to the tolerance level of society for ambiguity where culture present within the higher areas have a behavioural code as well as laws, and vice versa for the lower areas (Coccia 2018).
Motivation among the employees can be highly impacted by avoiding the uncertainties because then they tend to follow a routine which restricts the differentiating factor or innovation. Motivation can also be highly generated from the femininity factors which has been characterised as a fluid gender role which will encourage both the genders, nurturing, modesty as well as concern for the employees’ quality of life. The long term orientation which indicates the adaptation and problem solving aspect of the society as essential components of the culture, is direct contributor towards motivation. A motivated employee will tend to have a clear mind-set on the goals and objectives to be achieved which they can do by adopting a problem solving attitude. Employees who are present within in an indulgent society believe that they have a certain level of control over their lives which enables them to remain motivated, where no other external forces are dictating their motives or lives (Pillay and Cardenas 2015).
As per the research conducted by Hofstede, leadership is impact by four of the major dimensions which are present within the national culture. Power distance is one of the powerful contributor and land a direct impact on the leadership. It can be stated that the leaders who are addressed to the high power distance will strive towards a more authoritarian leadership style while the leader with lower power distance will opt for democratic or participative form of leadership. The leadership practices such as participative or democratic emphasises on the development of their workers and employees. The second dimension is uncertainty avoidance which is referred to the attitude which an individual has towards uncertainty, changes, risks, novelties as well diversities. It is witnessed that a higher level of uncertainty avoidance within a culture will lead towards authoritarian leadership, however, with a lower uncertainty avoidance level, there will be an implementation of participative leadership (Silva 2016).
The third dimension which affects leadership is individualism or collectivism where an individualistic culture will result in a democratic management style where it will be difficult to implement authoritarian management style. Although through the collectivism culture, the responsibilities are provided to the leader where they make decisions and avoid risks and uncertainties and the individuals remain loyal or obedient to the leader. The fourth and last dimension which impacts the leadership style is masculinity and femininity aspect where masculinity culture will favour the behaviours and traits such as aggressiveness, strength, goal oriented, effectiveness and so on. On the other hand, femininity aspect is being defined by the trait and behaviour of harmony with nature and providing importance to the interpersonal relationships. The leaders present within a masculinity culture are more often task oriented, however, leaders in a femininity culture are more people oriented (Rosenbach 2018).
National Culture and Innovation
In the case of BNP Paribas, building a business development culture case study, where the leadership theme has been highlighted, and the company is one of the leading corporate real estate service companies within the European continent, and in the year 2004 Atisreal joined the BPN Paribas real estate. During the first ten years, rapid growth has been witnessed where the real estate form has evolved due to technological changes and lifestyle changes (Lussier and Achua 2015). Later during the downfall in the property market near the end of 2000s deemed the requirement for the management team to strategize their function. The major challenge has been related to the leadership aspect where during the cultural change has been set for business related to the business development, as has been recognised that the senior managers of the business prefer doing their work rather than developing any new business ideas or processes (Antonakis and Day 2018).
They are not keeping innovation as the topmost priority and there is a presence of ambiguous organisational structure, especially at the level of leadership. In order to overcome this challenge, the company has developed an executive group which consists of the director of business development and marketing where they have adopted traditional leadership approaches employees who will be following the leaders as well as a leader centric approach along with setting at a pace which will derive the desired result and they have been majorly focusing on the top 50 clients. However, the major challenge with has been noticed while adopting this change is that the company has been overly ambitious relating to their profit margins during the boom period, that they have ignored the development within their internal structure which led to the development of a bad culture where the employees have abandoned the organisational goals and objectives (Grint et al. 2016).
It has been identified that the top-level management is lacking business innovation as well as good leadership and management practices where they have been lacking the capability which involves getting every organisational member to reach their direction. Along with the business environment, the management and leadership practices adopted by the organisation need to be e in sync with the external environment, where the traditional approaches of getting all the employees in line with the business innovation to be the strategic priority cannot be the only solution. It is required for the business organisation to restructure their leadership within the top-level management as well as their middle-level management in order to integrate the business goal effectively as well as developing a friendly and professional working environment for the employees and staff (Deci, Olafsen and Ryan 2017).
Arts Council England recognised that their organisational culture is in requirement of a more partnership-based and collaborative approach in order to reach their optimum potential. One of their first initiative for innovation is to combine creativity and diversity however the merged organisations resulted in the challenge of duplication of effort as well as inefficient accountability processes where the organisation has undermined the capability of local authorities’ collaboration, non-profit organisations as well as regional bodies. The changes are being implemented for the purpose of restructuring the entire organisational structure where there will be the establishment of new leadership commitments, values as well as a change in culture where there will be radical innovation or revolution by emphasising on rendering services that will impact the entire market (Hon and Lui 2016).
Conclusion
They will be appointing a new leader in the top-level management, conducting internal reviews for the business processes and effective communication, and will target organisational restructuring. Their approach of radical innovation have approached have presented the top-level management to maintain their rights with the authority and partners however their core value of artism has suffered due to this new innovation scheme where the new and innovative ideas of the older staff members are not considered and they, in turn, are not accepting the changes which country implemented in the organisation (Cano Kollmann, Hannigan and Mudambi 2018). In this case, innovation would have combined with incremental as well as radical innovative approaches in a much more efficient manner where changes need to be implemented at a slow pace, where the ideas of the staff need to be considered and the core value of art needs to be included within the innovative values (Palacios Marqués, Merigó and Soto Acosta 2015).
In the case of VISA Europe, the organisation witnessed change where they have been a non-profit organisation and later a listed company in the United States stock exchange market. The organisation has been highly dependent on their centralised processing operation which is controlled by their United State headquarters and have generated their own standalone inter-banking processing capabilities (Bassous 2015). The challenges they faced were to generate internal motivation, a business structure that is performance-driven as well as bringing intrinsic value in the form of flexibility, innovation, and responsiveness. For enhancing their motivational aspect within the organisation, they need to improve their peak performance process where they can integrate their business objectives and goals, conduct communication freely as well as developed an atmosphere where there is personal involvement. This will help in driving motivation for the employees and improve their performance for the as well as developer network at work where workers will be engaged and there will be increased productivity (Coccia 2019).
For BNP Paribas real estate, effective implementation of leadership is required in order to overcome their bad cultural practices as well as an individualistic approach that the employees have adopted. A democratic form of leadership can be implemented within this particular business organisation where the members of the organisation can participate within the decision-making process. This form of leadership can be helpful for motivating the employees in order to brainstorm and offers a large variety of ideas from various employees. It can lead to chronic problem-solving processes, innovation as well as a creative solution which will help in mitigating the bad culture which is present within the organisation and employees (Western 2019).
For Arts Council England, in order to bring effective innovation within the organisational environment, there needs to be a team of executive leadership, development of a cross-disciplinary innovation team where diversity needs to be the essential factor within the team where both the roles and the expertise will be playing an essential part. In addition to that, there will be a building and iteration within the innovation process and the organisation needs to be customer-centric. In this organisation, there are required to be a merger between the innovation as well as the artism which is the sole purpose of the organisation, in order for the employees to understand the business goals and objectives better (Palazzeschi, Bucci and Di Fabio 2018).
For VISA Europe, for implementing effective motivation among the employees, it is essential to make them aware that the management is trusting their efforts and perspectives by taking into consideration their viewpoints. Along with that the organisation can recognise their work by setting small and measurable goals and objectives as well as rejoicing the results in a positive manner. Compensation and benefits are some of the essential factors, however, by providing a good work and life balance, encouraging leadership and peer motivation, the employees can receive motivation (Troshina and Mantulenko 2019).
Conclusion
Therefore, in order to conclude this report on people management, it can be deduced that themes such as motivation, leadership and innovation plays a major role when it comes to the growth and development of an organisation as well as people management. Through this case studies, it has been highlighted that there needs to be proper implementation of these concepts and are required to be aligned with the goals and objectives of the organisation.
References
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