Team conflicts could emerge in the form of personal-role conflict. In organizations where there are unclear guides on the role of each member, conflicts are bound to occur. For instance, if old sales team members afford the items to customers through the old organization culture, the new team may feel that the behavior is consuming too much time. As a result, their objectives to serve customers may clash with that of the old members. Moreover, the new team might make major difference in the presentation of the manufactured products to the customers with little effort, hence conflicting with the old members.
Poor team management means confusion in the role taking. Building team-based organizations result to organizing team members around processes rather than departments and functions. Indeed, when everyone knows what to do and how to do it, it brings cohesion and mutual understanding between members. Accordingly, both the old executives and the new executives can monitor their efforts to see if the expected output occurs and takes remedial actions when needed without conflicts. The concerted efforts by the CEO to provide assurance of role clarity will bring both the old members and the new members into alignment with the new paradigm of the company.
Also, teams are likely to experience relationship conflicts when newcomers join the organization due to the presence of overt social categorical differences in teams. According to social identity theory, people find it difficult to cope with the categorical differences within their team as they derive part of who they are, their self-concept, from important group memberships such as their work team. For example, the sales manager might not mingle well with the vendor relations managers particularly when one of the members is new in that capacity. Subsequently, people perceive that working with others who behave in similar ways, are trustworthy, and conform to their worldview. They tend to view fellow team members in a more positive light compared to outsiders. The new executives in the cloth manufacturing industry become the victims of an “out-group denigration bias.” In case they possess innovative ideas, conflict will emerge since some of their ideas may be unclear to the old team. Still, the old executives might question whether the new members work with the team’s best interest in mind.
Failing to train the new members in an organization could contribute to myriad problems ranging from confusion to their new roles in the team to not knowing where to offer supports in case their colleagues are experiencing challenges. Member of a new team, for instance, might wreck the sewing machine due to incompetence in its operation. The solution in such cases is to provide extensive training to the members, hence an effective and efficient mix of a given task. Training could involve educating individual members in different functional areas, thus allowing shared responsibilities. Through training, it is easier to communicate the objectives of the organization to all members, thus making it possible to achieve the end results. Interactive management, where both the old and new players participate, limits the potentials of conflicts by the proper understanding between one another.
Organizational socialization is the concept whereby new members are transformed and integrated to become part of the organization. Due to the elastic personnel needs, it could be significantly important for the CEO and the industry in implementing the socialization concept. Indeed, it enhances role adjustments, thus ensuring proper integration and consistency between the old and new executives. The reduction theory posits that socialization reduces misunderstanding between members of a time, thus contributing to their satisfaction in different roles.
Chief Executive Officer (CEO) is a term used to describe the highest ranking executive in a company, whose role ranges from managing company’s resources to decisions making.
CEOs play a management role within the organization. They can appoint or dismiss the employees whenever there are ultimate and logical reasons for doing it. Oversight of the progress of critical matters and functions of the company is another critical role of the CEO. This goes hand in hand with complying with government policies across all the activities performed within the organization. For example, the CEO ensures that safety measures are observed in top-down system to prevent incurring unnecessary cost through accidents. Still, complying with the government policy on licensing of the workers is mandated by the CEO. This aspect simplifies the full and correct accounting practices.
Decision making on the critical matters is another area where the CEO exercises their power. However, this occurs with exception to the decisions that require the definite involvement of the board members, supervisory council, and the shareholders of the organization. The board of directors has the capacity of monitoring the management behaviors of the CEO and corrects him where there are errors. The supervisory board conducts the review procedure, hence supplementing the CEO with the powers to delegate and command the best practices within the company without the occurrence of faults. For example, the board members review the salaries of the employees and propose the best decisions to solve workers aggression. Such cases persuade the CEO to follow the articles of association to act within the codes of the ethical decision-making and remain on board with the rest players.
CEO plays the representation role for the company in relation to third parties. Moreover, the representation powers are prevalent in the court proceedings, and transfer of assets subject to the requirements of relevant decisions of the members. The CEO is in charge of contract, monetary transactions, and signing of the projects that are intended to improve the performance of the company. The exception of this policy is in the case of registered collective representation of the industry. Perhaps such a case emerge, the collective representation of the organizations is through CEO and board members who bear the rights for transacting on behalf of the company. Alternatively, the CEO can appoint one of the managing directors the capacity to represent the company in its operation with relation to the third parties. Subject to the legal powers bestowed upon the CEO, it enables him to remain in the pole position to implement the decisions that determine the core values of the company; hence its culture.
CEO solves critical company contingencies through power base that helps to survive criticism for poor performance or unexpected outcomes, as well as to sustain competence performance to overcome the market competition. For instance, the supreme position guarantees his power to speak on behalf of the company as well as to sign for any funds received. The power base prepares the CEO to take the company’s reign to the next management without fall of its productivity.
Coercive power is gained by coercing others through the fear element. This aspect is exercised through punishing the non-performers, sanctioning ineffective employees, and harassing those with opposing ideas contrary to what is said by the CEO. This power ensures that nuisance executives and directors are prevented from mobilizing the employees, hence pulling together all resources necessary to develop the company.
Connection power entails CEO connection with the influential members from within or outside the company. Employees respect people with authority since they have the capacity of promoting them to better positions in the organization. Similarly, CEOs with high connection voltage are avoided, allowing them to execute various duties without pressure or negative criticism.
Reward power is based on the CEO’s ability to reward the best achievers within the organization. This ability enables the CEO to control the pay received by each employee, commanding increment of the best performing employees. The rewards may also be in non-monetary, prestige and esteem.
A flatter organization and a wide span of control ensure that the managers or CEO can communicate effectively to all the stakeholders and employees of the organization. For example, the plant manager will have time to match different responsibilities with the resources available, hence maximizing time on the production practices rather than rectifying problems and bringing confusion in the company. Besides, a wide span of control facilitates sharing of responsibilities without over-utilizing some workers while underutilizing another unit. This is crucial since it improves the interaction of employees with different layers of practices within the organization.
In a flatter organization, the level of bureaucracy is minimized and decision-making is attained with ease. This means that employees can attend to customers’ requests such as loans and insurance claims without the interference from the top management. Less bureaucracy means the reduction of cost in the form of time and finances. In a manufacturing company, for example, the supervisor of the manufacturing system must ensure that the maintenance engineers and the development engineers directly report to him on the job progress.
However, a flatter organization and a wide span control have disadvantages that affect the organization directly and indirectly. While it would be feasible for a single manager to be in charge of many subordinates, a wide span control may slower the operation behaviors of the organization. It is because; different managers are likely to possess dissimilar interests in the company. As a result, they may tend to attend to a given problem with different perspectives, meaning that even commands may not be the same. Different managers delegating duties and responsibilities to workers could bring confusion, hence poor participation, and productivity.
Still, a flat and wide structure of the organization could hamper the forward growth of the company and well as career development of the employees. While the managers might show commitment in overseeing the performance of all the stakeholders, it could be hard to evaluate the behaviors of some employees. Some workers might be greedy to win financial favors after according support to the clients. This vice could simultaneously dwindle the profits and the general performance of the organization. The flexibility in decision-making will be complicated by the wide control span since it will consume much time in examining the contribution of every stakeholders. A narrow span of management would be ideal in such situations. The time spent in structuring and implementing decisions is converted into production, thus raising the performance of the organization.
In an organization where employees directly meet the clients’ requirements, democratic leadership could look fitting in such organization. However, that is not the case. Organizations where employees can do whatever they feel like might have a negative impact in the long-run. While the employees have the freedom to transact business on the behalf of the organization, it may slower the performance of the business through sluggishness in the sustaining the core values. Still, some employees’ behaviors might turn into questions of ethics. Dishonest and corruption from the hungry employees may lead customers to turn down the services offered, hence reducing the income that the company would generate. To prevent such outcomes, autocrat leadership is most appropriate, where the CEO or one director make decisions and delegate power to other subordinates. Through this approach, the employees would be coerced to submit to commands of the supervisors. Moreover, loyalty, working morale, honesty, and integrity are cultivated in the organization.
Organizational change refers to change of the management structure and the production techniques from a known form to unknown form. For example, the company may plan to multiply the level of production but the means of doing it remains at stake due to numerous factors. The driver to organization change may include the customers’ demand, information technologies, competitive environment, prestige, and government policies. A given change is strategic when it affects the entire organization. Conversely, when a change is limited to a specific component of the organization, the change is treated as incremental.
A change agent is a person or a component that helps the company to become more effective and productive. It may be internal or external. An internal change agent, for instance, may involve appointing managers or employees to oversee the implementation of a change in the organization. Similarly, consultation from outside the organization may indicate an external change.
An external change agent presents options that are more radical to the organization, thus multiplying its productivity and level of service to the customers. Still, such a change creates the possibility of examining a wide range of alternatives within the organization.
People change type focus on the individuals participating in the business operations of the company. This change agent intends to improve the morale through motivation of the employees. Moreover, it reduces the levels of absenteeism and turnover of employees, thus improving the production and quality of the services rendered. Managers prefer this approach for job enrichment, goals setting and behavior modification.
Analysis also acts as the changing agent. It focuses on the evaluating the organization structure so as to boost the output and efficiency. Using the organization’s analytical systems and research activities help to change from the old production methods to the modern operation behaviors. This change is enhanced by the availability of the technology and the communication facilities. For instance, introducing advanced computer systems could improve the communication and data processing practices.
Several challenges necessitate the need of bringing change within the business arena. For instance, the internet availability supports customers with information about health related matters. Health organizations require internet availability to remain promising to the clients while improving the service delivery and operational models. Adopting the internet technology helps in fighting infectious and deadly diseases. Still, it helps in reducing the risks posed by the new medical products that are intended to curb the prevalence of deadly diseases.
Strategic change presents a challenge to the organization on the means of penetrating into the new market. Through diversification and opening of the outlets, integration of management and operational structures is necessary. It means that, a company that wishes to implements a feasible decision making strategy will require a change in its hierarchical organization. Therefore, the strategy acts as the changing agent.
Finally, central to modern organization change is the competition. When a company producing similar products brings in a new team in their organization, more competitive team will be needed to sustain the competition presented by the opponent. It will involve absorbing more creative and innovative teams, who possess ideas of pushing the organization to the next top level. For example, bringing in young blood will add vigor and creativity in organization. In fact, sticking to one production technique could bring the business into financial setbacks.