It is a set of Shared Beliefs or Norms, which influence behaviour. The term ‘ Cultures’ is used to describe the typical approach within an organisation. It refers to the personality of an organisation, the shared beliefs and policies and procedures that determines the ways in which the organisation and its people behave and solve business problems. Every type of organisation has it s own culture. A culture distinguishes one thing from another. Cultures are concerned with the way in which people in the organisation interact with each other. Basically they are the characteristics that characterise an organisation.
E. g. patterns of behaviour in an organisation. There are different types of cultures. Types of Organisational Cultures Power Culture The power in the centre is the key feature of the power culture. A culture like this is mostly found in small firms where a single person or a tiny group of individuals have control. In organisations like this quick decisions are made to different circumstances thus enabling it to react quickly to threat or danger. Power culture also exists in large organisations as well. Role Culture This culture mainly exists in a large organisation where every member has it s own particular role
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The Role Culture Power is hierarchical and derived from the employee’s position in the organisation. The strength of the firm lies in the pillars or functions. Within the function the employees have different ‘ job descriptions’ and defined communication procedures. Position in this culture is the main source of power and ‘rules and procedures’ are the main source of influence. Task Culture Task cultures have become very important in a business. Many people work in teams together, combining to complete projects or task together. Hence the word task is derived to describe this culture. In this culture team spirit is important.
Every one in a team has to share their views and ideas. They will also need to be valued by the organisation they work for. Person culture Here individuals are central. They are most likely to be found in co-operatives and not-for-profit organisations such as charity and voluntary organisations. In this culture hierarchies are impossible except by mutual consent. An individual may walk out of the group but the organisation does not have the right to evict the person. Management styles Management style is the method of management role carried out by a person over a certain period of time. The most common management styles are;
Autocratic management style is one where the manager is used to giving instructions – telling people what to do rather then listening to their opinions. It’s like orders that have been told to follow by the General in an army. Consultative managers are the ones who consult other people before coming in to a decision. Alternatively, they will seek to consult people before implementing a decision. Democratic management style is one where there is empowerment. Individuals and teams are given the responsibility to make decisions within the given framework. The team is then held accountable for the decisions they make.
A manager who would follow this style would find it comfortable allowing others to make decisions. Report on McDonalds MISSION STATEMENT ‘To be the UK’s best quick service restaurant experience’. In October 1974 McDonalds opened its first restaurant in the UK. Nowadays it can be found on high streets, alongside major roads, in leisure and retail parkas and even at airports. AIMS McDonalds aims to; > Become synonymous with helping young people in need. > Contribute 1% of the pre-tax profits to the community. > Give emphasis to initiatives, which operate in the community at grass root levels.
> Provide premises, products and people to support the community and charitable fundraising. Examples of fundraising activities which took place last year are, leg waxing, football matches and a walk from the McDonalds at the High Street in Ipswich to the one in Felixstowe. All this was done for charity. > Encourage its employees to volunteer in these kinds of activities while using company time and facilities where appropriate. > Be active members of the business organisation. > Regularly monitor and review community involvement activities. > Tell stakeholders about the Company’s community activities.
SO WHAT TYPE OF BUSINESS IS McDonalds THEN? In Ipswich, McDonalds is owned by a franchisee, Mr. Mark Davis. He has actually brought the company from the original organisation in the USA. He can actually do anything with the company if he wants. He decides what time the stores should remain open until in the night. Or whenever there is not much business in McDonalds and if the money got in from the few customers is lesser than the costs of running the store, like the electricity, for the day then he would come to a decision of when to close the shop. But one thing he can’t do is to sell his own items in the store.
Because the restaurant has the McDonalds trademark on it and so it is whatever the McDonalds head office decides to sell can be sold. Management Style McDonalds follows the Autocratic management style. The Floor Managers tell the employees what to do and how they should do. RECRUITMENT AND EMPLOYMENT There are about 1,200 McDonalds restaurants operating in the UK, representing a total investment in property and equipment of over i?? 1. 7 billion. The company employed 48,000 people and over 25,000 more were employed by McDonalds franchisees. 66% of the employees are students aged between 16 and 21 years of age.
FOOD AND CONSUMPTION > In the UK food and beverage is provided to around 3 million people everyday. > McDonalds menu concentrates on 5 main ingredients: beef, chicken, bread, potato and milk, which account for i?? 225 million of food expenditure. OPERATIONS > McDonalds is the leading global foodservice retailer, with more than 30,000 restaurants serving more than 46 million people each day in 121 countries and territories. > Approximately 80% of McDonalds worldwide restaurants are owned and operated by independent. In Ipswich McDonalds is owned by one franchisee – Mr. Mark Davis. INTERNAL COMMUNICATION
INTRANET Launched in the year 2000,McDonald’s UK Intranet provides a fast and up-to-the-minute source of information for McDonalds restaurant management and office staff. It is a single point of reference for administrative requirements, news and marketing materials. OAK BROOK, IL – McDonald’s Corporation announced today total Systemwide sales for February 2003 increased 4% to $3. 1 billion over February 2002 (in constant currencies sales declined 1%).
Total Brand McDonald’s sales for restaurants in operation at least 13 months (comparable sales) declined 4. 7% in constant currencies, compared with a 0.4% increase in February 2002. Chairman and Chief Executive Officer Jim Cantalupo said: “I remain confident that we have the right team in place to aggressively confront our challenges and revitalize our business, despite current sales performance. U. S. February sales were impacted by the sluggish U. S. economy and severe winter weather. In Europe, we continued to face economic weakness in certain markets along with unfavorable weather conditions and strong prior year comparisons. We will discuss the factors behind these results in greater detail in conjunction with our first quarter earnings release. “