BMGT 364 Discussion Topic .
The organizing function is where management gathers and synchronizes the resources of the organization (people, capital, and physical) to complete the goals set out in the planning stage.
Learning Activity #1 – Theme 1 & 2
One of the long-term goals set out by the LLB owners (from wee k4) is to increase sales in the cowboy boot line by 15%. The short term goal to accomplish this is to create a sales campaign that targets the tourist trade. This campaign includes: Creation of an Internet website (this is part of a larger plan to instigate Internet sales in general), Create a Boot blog, Exposure to local hotels and tourist eateries through pamphlets, Discount plans for hotel guests, Boot delivery service to hotels, Free shipping for purchases.
The current budget for the cowboy/tourist portion of the marketing project is $40,000. Mohammed Abul is the marketing director. He wants to hire an assistant to oversee the cowboy/tourist boot line. The assistant will be in charge of the three current part-time sales associates, give purchasing direction to the purchasing department, run the boot blog, create new copy for the Internet website on a monthly basis, and execute all other duties related to the implementation of new boot tourist campaign. Salaries for the assistant and the associates are not included in this portion of the budget. Additional useful facts include:
Currently the structure of LLB has been adhoc in nature. The long-term decisions are made by the family, Joseph Abul (father, and his sons, Mohammed Abul (marketing) and Ali Abul (store manager). Fatima Abul (mother) oversees staff and Adoul Abul (brother of Joseph) does the purchasing. Yara Abul (daughter) handles the finances. There are two full-time sales associates and 8 part-time associates not including the new assistant and the cowboy boot associates. Store hours are M, T, W, F, S 10:00 am to 6:00 pm Thurs 10:00 am to 8:30 pm
Complete the following based on the information provided above:
Create a plan that organizes the physical and monetary needs to accomplish the goal of 15% sales plan. This plan would entail defining the physical and monetary requirements that must be used by the assistant to implement the goal.
Create an organizational structure for the business and the cowboy boot project.
Explain why you chose the structure as opposed to others that you did not choose and what the decision making flow and job tasks are for each person.
Illustrate the structure in an organizational chart.
1. Guy Wharton
Long-term Goal: Increase sales in the cowboy boot line by 15%
Current Budget for short-term goal of creating sales campaign: $40,000 over a 2-year period
Internet Website Creation and Boot blog
Target: Within 5 – 7 months,
$7,500 – 10,000 towards developing the platforms and preparing to go live with each
Pamphlets, Discount Plans, Boot Delivery Service, and Free Shipping
Target: Within the following months, 5 – 6 months until end of year 1
$10,000 towards purchasing paper/ink for pamphlets (including printing) and business travel expenses related to meetings with local hotels
The assistant will arrange business meetings and pitch the benefits of outlined shoe discount plans
Within the year, half of the original $40,000 budget will be exhausted ($20,000). Transitioning to the information, social media age and going live will be a priority by the end of the second quarter. Related discounts and distribution will be prepared for implementation at the end of the first twelve-month period.
A cushion is vital to successfully achieving the 15% sales increase, therefore the remainder of the budget ($20,000) will be contributed towards Internet maintenance, further development of external relationships related to various hotels, and preparing for boot delivery services and tentative shipping.
Joseph Abul is the line manager (managing director) of LLB, overseeing five specialized business functions in the direct chain of command, with direct authority. Staff authority consists of: marketing, purchasing, finance, personnel management, and store management.
Mohammad Abul is Responsible for marketing LLB through print and social media. He hires an assistant to oversee the new sales campaign for cowboy/tourist boots. The assistant has line authority over three part-time sales associates and provides Adoul Abul in purchasing with direction, website maintenance, and execution of other duties.
Adoul Abul is Responsible for the staff position of purchasing store inventory as well as paper and ink related to pamphlets.
Yara Abul is Responsible for the staff authority position of finances, including quarterly earnings and payroll.
Fatima Abul is Responsible for human resource management, developing new-hire personnel and staff/functional authority over current LLB store employees.
Ali Abul Has functinoal authority over LLB’s storefront, reporting directly to M.D. Joseph Abul
The staff/functional authority organizational structure defines two positions: line and staff. Line represents a managing director, responsible for the achievement of the company’s goals. Staff positions report directly to the M.D. and specialize in a specific business function. Line managers are unable to command all aspects of the business; therefore, staff personnel are given expert functional authority (Chand, n.d.). LLB is a smaller company and requires a flatter organizational structure with fewer levels of management involved. With only five defined departments, consolidating the chain of command according to the staff/functional authority structure was appropriate. The experience of various groups accomplishes individual tasks and thus associated projects. LLB is best arranged by specific functions, furthering the firm’s mission and reporting to the line manager (Suttle, n.d.).
Learning Activity #1
Set up purchasing direction to purchasing department
Manage daily activities of consultation and sales associates
Set up deadlines for blogs and pamphlets
Monitor monthly sales increase or decrease
Set up monthly spending budgets for advertainments
Give boot consultation $30,000 to set up pamphlet, and Internet sites
Use 10,000 to contract vendors for delivery
Set up deadlines for blogs and pamphlets
Monitor monthly sales increase or decrease
Interact with sale associates
Assist with interact followers
Give each associate $10,000 budget to create and start internet sites and pamphlet
Exposure to local hotels and tourists eateries through pamphlets
Sale Associate #1
Create Facebook page
Display products and new features
Interact with followers
Offer free shipping for purchases
Update with products and features
Sale Associate #2
Interact with bloggers
Update products and features
Daily monitoring of blog
Interact with followers
Sale Associate #3
Offer discounts plans for hotel guests
Boot delivery service to hotels
To lead and oversee company long and short-term goals
Make sure company is properly staffed
Makes sure company abide by local and federal laws
Assess risks of company and minimize to best of ability
Give purchasing department direction in what to purchase
Oversee daily activities of sale associates
Report to marketing manager with statistic data
Training of employees
Abiding by state and federal laws
Develop and implement internal and external market programs
Create and develop ways to existing customers
Found ways to increase revenues to support long and short-term goals of company
Handles finances of company
Provide financial report and financial forecast
I decide to use the organizational line structure because it is â€œsimple to understand, it tends to simplify and clarify authority, responsibility, and accountability relationship, and it promotes fast decision making.â€ This structure offers check and balance because everyone is aware of their position and who they report to. Also, because this organization is small, it allows that managements and employees closeness.
Explain the type of culture that will enhance the organizational alignment of people in LLB; Explain what organizational culture is and how it relates to the structure of the organization; Explain why you chose the organizational culture as opposed to others that you did not.
Learning Activity #2
Organizational culture is the “shared assumptions, values, and beliefs that guide the actions of its members”. (2017). This relates to the structure of the organization because it set up the foundation of how the company will operate. It explains why management make the decisions and implement them different from another department. It helps understand why hours and days might varies in some companies. For instance, you might experience a company that believe in giving parents with children late hours to come in so they can see their kids off to school versa a company that is will not. One company might be family oriented, while another is not. It’s all about values and belief. One culture that would be perfect for this small company is “disseminated leadership culture allows managers to build better working relationships with employees while still supervising employee performance and reporting to company owners”. This type of environment shows that management respect the employees but also create a relaxed environment that would create more productive and employee’s motivation to work. The culture that will align to people in LLB would be values and beliefs because the company is a family business that has catered to the community for years providing quality, long lasting boots. Their mission seems to care for their business and whom they provide service to because their customers are loyal customers that seem to come back.
Learning Activity #2
Explain the type of culture that will enhance the organizational alignment of people in LLB
The type of culture is a competitive culture because it helps organize the tasks provided to all the different employees. The beliefs, values, and rituals are shown to the people with their chain of command and the unity can be a comfort to LLB. Making sure the relations with employees is solid to operate the business (Davoren, 2017).
Explain what organizational culture is and how it relates to the structure of the organization
Organizational culture starts with the chain of command present and passing down their beliefs to keep the company in place. The company culture revolves around the company structure therefore; the interaction between employees and how they carry themselves around work. A functional organization is in place for LLB, and the culture is organizational so everything can flow from each person with authority. The values and beliefs are the environment of the organization, and how it will be during work hours. Without any organizational cultural the structure will not succeed its objective because of moral (Davoren, 2017).
Explain why you chose the organizational culture as opposed to others that you did not.
Organizational culture will be the best because the company is a family business owned and any ideas they have about the business can be made to the business. The culture is present for the family to come together with the decision making. As a family they have in place the culture and the beliefs, and translating the beliefs to the employees will be easy to occur. Organizational culture is the best to keep the work environment with efficiency and productivity (Gilsdorf, 2017).
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