Having considered the theory,
research and science, characteristics of organizations identify and assess:
- The seven structures and systems present
in your organization
- Analyze and describe how the present
Leadership Value Systems and Structures in your organization impact on
leadership, management and staff.
- Consider and analyze differences to your
competitors (local or global)
- Consider to what extent are these
differences positive points of differentiation or negative traits of the
organization
Daelim Petroface Company has a leadership system that depends on
research and practice in order to reach success and improve productivity and
profitability. The company's leadership depends on using many leadership
systems in order to reach different levels of improved performance. This system
uses the vMemes and chooses some of them to focus on. According to Dawlabani, (2014)
the theory of Grave can be very effective and helpful for helping leaders and
business organizations as it has many levels to choose from. In Daelim there
are many levels of leadership such as using the purple level to support team
work, group participations and protecting employees in a safe work environment.
The red level is used to assure power of leaders over employees in order to
make them obedient and in order. The blue is used to for improving the
employees' obedience through following rules and laws of the company as well as
being adequate to the needs of the authority working to achieve goals of the
organization. The orange is used in a way that ensures employees' motivation
and in making them work in a balanced work environment. The green is used when
the organization is trying to provide comfort and relaxation to employees in
order to make them feel at one unit of work and cooperate together. The yellow
is used when the organization is trying to develop the level of performance of
employees and training them to reach higher levels of performance. Learning and
education are focused on through the yellow system of mindset. The turquoise level
is focuses on to show that the organization is working according a holistic
approach that is interested in general concepts of cleanliness of the
environment and general peace of the word.
In Daelim, the most dominant vMemes are the green and the orange as the
organization is trying to apply new transformational leadership style that
needs motivation, communication and comfortable work environment. There are
many changes that the organization is trying to do through applying these Memes
and these changes are meant to improve productivity and profitability. The
organization leadership also focuses on the yellow meme in order to encourage
employees to learn through training and educational courses. Transformational
leadership is preferred for applying many changes in the organization and
because it is flexible and effective in communicating change and applying it.
According to Miller, (2012) communication is very important in order to apply
changes in the business organization as it can help change employees' ideas
about the leadership and about what can be done to achieve changes. He also
added that communication should be applied by the leader through different
levels. In Daelim, the transformational leadership is the dominant leadership
style and there are main two Memes which are dominating as they are the orange
where employees are motivated and encourage to innovate and create new ideas
and the green one where employees are engaged and empowered in order to feel at
ease in the business organization and comfortable and having high sense of
belonging. There is also the yellow level as employees are trained and more
learning and education is given to them in order to develop their performance
and reach higher levels of success. Sometimes the red and blue levels are
applied in order to maintain adequacy and make sure that rules and orders are
applied in the organization.
There are many local and international companies that work in the gas
and oil industry and the competition in this field is very high and strong.
Competition is high because there are differences between companies in the
leadership styles and techniques used and followed by leaders, these
differences can make the company in need for making comparisons with other
companies and try to apply new techniques and systems that are applied by other
companies in order to achieve success, differences can also be effective when
the company tries to avoid them and deliver new techniques and systems for
being followed. The company's current leadership styles are important because
it raises the effectiveness of the company when dealing with customers and
meeting their needs and international measurements of oil and gas products. The
company is located in the Sohar Industrial Area, 230 km North West of Muscat,
the scope of work encompasses engineering, procurement, construction, start-up
and commissioning services at the refinery. The contract includes
improvements at the existing facility as well as the addition of new refining
units.
The refinery was originally constructed and commissioned in 2006 and ORPIC is now investing in improvements at the site to enhance the current production capacity. When complete, it is anticipated that the revamped facility will increase current output by more than 70%.(Petroface, 2017)
The refinery was originally constructed and commissioned in 2006 and ORPIC is now investing in improvements at the site to enhance the current production capacity. When complete, it is anticipated that the revamped facility will increase current output by more than 70%.(Petroface, 2017)
Now that you understand your
organizations structure, consider your organizations sector. Critically analyze:
a.
How has your sector evolved?
b.
In what way do they differ to your
competitors (local or global)
c.
To what extent are these
differences positive points of differentiation or negative traits of the
organization
Daelim company has a leadership
style that evolved to be transformational but it was before transactional and
it focused more on applying rules and focusing on authority roles more than
innovation and creativity. Currently it evolved to include many concepts that
are applied such as employees' empowerment, engagement and compensation systems
instead of reward. The oil and gas industry has grown largely in Oman. According
to Kruger, (2008) discussed the sector theory and the relationship between
leadership and productivity as he mentioned the structural change and the
effect of applying it using effective leadership styles as when using the
transformational leadership style to apply change, this ensures change
sustainability and effectiveness, he discussed the driving forces to structural
change such as planning, motivation and employees' compensation. He explained
how to reach the sectoral shifts through the organizational development and how
to identify competitors' qualities and presenting new ideas to develop the
business and gain better qualities than competitors in the market.
The sector of Dealim has focused on
many factors that helped it evolve and develop such as employee compensation
that includes many elements such as recognition, monetary rewards, non-monetary
rewards, social relationship, fringe benefits and job satisfaction. Ahmed et
al, (2014) Explained how transformational leadership can ensure employees' satisfaction
through its strategic planning that can present effective compensation system
that is based on the external and internal factors in the organization. They
also referred to the organizational citizenship behavior and how it can be
focused by the transformational leaders who motivate employees and encourage
them to participate in the business with real motives and intentions. The
company hence is trying to apply change on its structural planning as the plans
include short term and long term goals of achieving organizational goals.
Because the company is a joint venture, competition in the oil and gas field is
very strong and requires many development steps in order to boost the market.
Competition in oil and gas field is
very severe in the Gulf area and worldwide, this makes Daelim work hard and try
hard to have the best human resources and leadership in order to reach
competitive advantage and success in the field of gas and oil locally and
internationally. Many companies in Oman are competing Daelim such as Oman Oil
Company S.A.O.G, PDO, Oman Gas Company and others. All are trying hard to reach
competitiveness through innovating new products and providing new solutions for
customers by products that are clean and friendly to the environment. They make
different transformations and changes to boost the local Gulf market and
internationally especially in the Middle East area, the MENA area and
worldwide. Competition is very important to encourage any company to work hard
and find out effective solutions for its customers, Kumar et al, (2013)
discussed how leadership activities can affect the organization and its success
when they try to complete the chain of knowledge creation by getting the
required data about other competitors and employ it in order to provide
effective processes of decision making and they referred to the importance of
employees know their roles in the knowledge creation process. Swamy and Wamy, (2014) explained the need
to comparison between different rivals in the market in order to compete them
and reach competitive advantage. They stressed the need to be well acknowledged
by all leadership activities and styles applied by other rivals in the market
and they also discussed the need to find new business strategies in marketing,
distribution and other activities. Oil and gas field in Oman faces competition
with many companies in the Gulf and Middle East area and this made the company
present new products and other updated products that are not produced by other
rivals.
All business organizations around
the world have found that leadership is a key for competitiveness and it is
important to focus on it in order to succeed. According to Cavazottee et al,
(2013) transformational leadership is a style that can help the company find new
ideas for implementing change and achieve success in the field of business.
Daelim focused on transformational leadership for these reasons and for raising
the flexibility in dealing with employees and talented who can find out new
innovations that help the company succeed. Competition with other rivals and
comparisons are in some ways positive points for the company because they help
the leadership of the company understand how other rivals work, plan and apply
leadership strategies and this is effective in implementing new leadership
styles such as the transformational leadership style. It can also be passive
for the company if the company is not able to apply changes in leadership style
or facing very difficult hinders in the way of achieving transformations as
according to Aaroans, (2007) transformations can be applied if the leadership
style is supportive to them and if it is well applied by leaders who are in
need to have full awareness for means of implementing this leadership style and
making full use of it.
Having examined change and
transformation critically assess and analyze how to ensure your organization’s
continued growth and success, organizations need to undertake
transformation and growth.
a. What
kinds of changes are taking place in your sector and what do you believe the
most successful organizations are doing to embrace the changes required to
deliver continued success?
b.
To what extent is your organization at the forefront of this transformation (or
maybe it is trailing some of the best organizations in the sector). Give
examples of specific actions and leadership behaviors you are seeing to
underpin your view.
In Daelim Petrofac Company, changes
are occurring for the purposes of development and competitiveness. Changes cover
many areas in the organization such as in products, work environment,
distribution areas and in leadership. Leadership focuses on changing all areas
of the business in order to provide new products that are presented to the
customer in many innovative means. The competing organizations are also using
new innovative techniques in all areas of the business and Daelim is trying to
provide the market with different products and different production lines in
order to surprise the market locally and internationally with these products.
Changes are also made in the human resources management area in order to invest
in human resources in order to prepare them to apply the changes and not to be
low effective in applying changes. The company is also using frameworks and
models for change in order to evaluate its current situation, needs and future
aspirations and to meet the market's needs and meet customers' expectations.
According to Zhang et al, (2016) there are many frameworks for applying change
such as that of Zhang et al, (2016) as they confirmed the need for a framework
that supports sustainability when implementing change and they presented a
framework which is the integrated diagnostic framework that is mainly based on
diagnosing the defects of the current leadership style in the organization and
how to find new means for applying changes and what changes are most suitable
and can be more effective according to the field of business, the market and
the customers' needs. This framework is based on identifying the internal and
external growth management systems and how to employ all resources of the
company in order to implement the change desired for competitiveness.
Daelim can also find suitable
frameworks in order to apply them in the organization such as those presented
by Zhang et al, (2016) as the company has to evaluate its current situation and
measure its capabilities compared by other companies in the same field in order
to meet the market's needs and then to apply the framework according to these needs.
Zhang et al, (2016) discussed the GMM model that can be used by the business
organization to implement change as the model is based on measuring the systems
and sub systems of the organizational managerial proficiency and those sub
systems are Organizational Purpose systems, Structure systems, Relationships
systems, Helpful Mechanisms systems, Rewards systems, Leadership systems,
Environmental systems and Attitudes Toward Change systems. The company can
focus on developing all systems and then to maintain sustainability for this
development and then to measure the outcomes by measuring the quality of best
practices that the organization has
conducted. The model also presents a support for analyzing the company's stages
of operations in order to state what areas that need support and change will
affect better. It uses internal organizational diagnosis that states how far
the internal environment of the organization is in need for change and how to
apply it. Daelim can apply such model in order to assess, analyze and support
its internal organizational system and find out the areas that need changes to
be applied.
Every organization faces challenges
and problems, which can be driven from rapid growth or serious decline.
Identify and critically assess:
a. The top two or three big issues
your organization is facing
b. Key actions your organization
needs to take to put it on a path of future sustainable success.
The organization can
also support its leadership by encouraging leaders to innovate ideas and
changes within their areas of work in order to encourage employees to present
change and innovations. The work environment can also be changed in a way that
can support critical thinking, freedom and relaxation in order to encourage
employees think and present effective ideas. Communication is also very
important and leaders should encourage employees to communicate with each other
and with leaders as changes can be communicated within he team that is
cooperating to achieve change. There should also be frameworks for change
management and how to face any challenges that may hinder the challenges face them.
References
1. Ahmed, F. Abbas, T. Latif, S. Rasheed, A.
(2014). ' Impact of Transformational Leadership on Employee Motivation in
Telecommunication Sector.' Journal of Management Policies and Practices June
2014, Vol. 2, No. 2, pp. 11-25 ISSN: 2333-6048 (Print), 2333-6056 (Online)
https://pdfs.semanticscholar.org/ace7/fa04bb99a701b43c079c0a35cd91253e67fc.pdf
2. Aarons, G. (2007). ' Transformational and
Transactional Leadership: Association With Attitudes Toward Evidence-Based
Practice.' https://www.ncbi.nlm.nih.gov/pmc/articles/PMC1876730/
3. Cavazotte, F. Moreno, V. Bernardo, J.
(2013). ' Transformational
Leaders and Work Performance: The Mediating Roles of Identification and
Self-efficacy.' http://www.scielo.br/pdf/bar/v10n4/07.pdf
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5. Kumar, K. Jain, K. Tiwary, R. (2013). '
LEADERSHIP ACTIVITIES AND THEIR IMPACT ON
CREATING KNOWLEDGE IN ORGANIZATIONS.' https://www.regent.edu/acad/global/publications/ijls/new/vol8iss1/2kumar.pdf
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REVIEW OF THE LITERATURE.' http://www.vwl.tuwien.ac.at/hanappi/AgeSo/rp/Kr%C3%BCger_2008.pdf
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Transactional Leadership and Leadership Development.' Journal of Business
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8. Miller, B.
(2012). 'Leadership Communication: the Three Levels.' https://www.mcgill.ca/engage/files/engage/leadership_communication_miller_2015.pdf
9. Zhang, J. Schmidt, K. Li, H. (2016). '
An Integrated Diagnostic Framework to
Manage Organization Sustainable Growth: An Empirical Case.' MDPI.
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