AC 1.2
Explain how the relationship between an organisation’s structure and culture can influence the performance of the business.
Selco, Kingsbury has functional structure. The functional structure in this organisation is allowing departments to work independently to a certain point. The organisation’s structure of Selco, Kingsbury leads to operational efficiency as with this type of organisational structure employees have chance to became specialist on their job role, demonstrate work talent and knowledge. Employees are highly trained and passionate about their speciality - this brings customer satisfaction level to a new standard: service is fast and efficient, with very low level of complaints and 78 per cent of repeat custom. Low level of complains can be explained with high level of professionalism of management team, individuals that are experts in their field and resource availability. The company has tall hierarchical organisational structure some decisions and actions might take a time before been fulfilled. All this factors ensure good reputation to the business and in combination with retention provide high level of sales and profit.
Functional structure has its disadvantages. Information in Selco, Kingsbury is disseminated vertically and communication between departments is tend to be weak and bureaucratic. This kind of communication might compromise some projects when more than one department is involved. With great concentration one some aspects may lead to neglect the bigger picture.
It is role culture in Selco, Kingsbury. Work process is structured and standardized with rules and procedures. The power is concentrated in top management and it does suit well to the organisation as with adopted role culture everyone knows what their roles and responsibilities are. We can observe the high employment turnover though the business mechanism woks smooth; individual can leave organisation but the role will stay unaltered. Communication between...