In response to the problems stated above and the improvement of organizational culture of the company, I, as a Business Advisor of DND have proposed some of the solutions and steps which should be implemented and also certain things which have to be kept in mind while improving the organizational culture in my main solution part. Some of my proposals include that the company should have personnel communication with its employees, like informal communication should be there between the employees and employers.
Source: https://www.managementolympiad.org/nmo-2020-bcs/NMO-1944-saurav-gohain.html
TataKelola dan KamSiber Kecerdasan Buatan v022.pdf
Advisory note on 'organizational culture' of DND
1. Advisory note on 'organizational culture'of DND.
Case understanding
It is a case of a Deliverystartup named “Dailyneedsdelivery LLP”(DND)
which is founded by two college friends. It basically deals in delivery of
mainly3 products including Milk, Paneer(cottage cheese)and Curd.DND
uses an app based ordering system where customers can order for their
daily needs accordingly. It currently has presence in cities like Delhi,
Bengaluru and Mumbai only.
Although the organization is showinga good growth as its total saleshave
increased from Rs.67211000 in financial year2017-18 to Rs.117450000
in financial year 2018-19 keeping in mind that it is still in its initial phase
but currently it is running under Operating Loss of Rs. (6855000)
approximately annually. Like all start-ups DND too is facing certain
challenges which are as follows:
1. Increasing competition from Traditional competitors and new
entrants in the market.Theyare taking advantage ofnon-availability
of services in Non-dense areas by DND.
2. Company is clueless about its organizational culture as to how
should it can improve its organizational culture in the company.
3. Non-cooperation of Delivery partners as sometimes delivery
executives do notreportto duty in the morning and due to deliveries
get affected in that particular area. Also, there are certain cases of
missing deliveries.
4. DND is not having a strong customer service network as some
customers are facing difficulty in complaining or giving feedback
through website/app.
Summary of the solution
In response to the problems stated above and the improvement of
organizational culture of the company, I, as a Business Advisor of DND
have proposed some of the solutions and steps which should be
implementedand also certain things which have to be keptin mind while
improvingthe organizational culture in my mainsolution part.Someofmy
proposals include that the company should have personnel
communication with its employees,like informalcommunicationshouldbe
there between the employees and employers.
Solution
2. By taking the current situation of the company in mind and analysing all
the challengesitis facing,Iam proposing followingsolution as anadvisory
note for the improvement of the organizational culture :
1.) The managementof the Company should come up with a 3-year plan
and set some targets to achieve in these three years. DND should strive
towards achieving the trust of each and every employee of the
organizational, they should build a good communication between the
employees . Here, the principle of “Authority and Responsibility” is used
as the management has the authority to take decision and to give order
but also has certain responsibilities to fulfill.
2.) Currently corporate offices are facing some issues on delivery partners
is that suddenly they don't report to duty in the morning.
-The organization can make some changesin the reporting timingsof
the delivery partners& their shifttimings.They can even introduce
differentshiftlike part time of 3 hrs & full time of 12 hrs shifts.According
to me the organization shouldpay theirdelivery partnersaccordingtheir
deliveries,instead oftheirhours of work.
-They shouldbe given a flexible reporting hours suchas they can report
to theirduties at any pointof time & can start theirduties.
-HR can ensure the companyunderstandsemployeeconcernsand act
on them by conductingan ongoing feedback loopvia engagement
surveys orfocus groupsto give employeesthe chance to voice their
opinions.
-Once this feedbackis collected,HR can help to ensure unity across the
leadershipteam,coachingthose at the top and making them aware of
negative behaviors and how these impactthe company as a whole.In
addition to encouragingleaders to drive the necessary changes,it is
also HR’s responsibilityto impactcultureby working to removethose
who are poorleaders and bringing inpeople who align with the
company’scurrentor desired culture.
There some of the importantpoints to keep in mind to ensure a good
organizationalculture
A mentality of"we're all in this together" (the company,suppliers,
and customers)
3. The companynotjust as the buildings,assets,and employees,butalso
customersand suppliers.The goal is consistentlywin-win-win for all
parties.
Open,honestcommunicationis vital
An importantway to encourage truth-tellingis by creatinga culture
where peoplelistento one another.This is a culture where open,honest
communication is understoodas necessaryfor people to function best.
Information is accessible
Information accessibilityis at the heart of the work we do. Business
leadersshould be openaboutsharing informationon the company’s
strategic goals becausethis informationprovides direction for whatwe
will do next and - more importantly -direction for how to improve.
Focused on processes
Everyoneshouldmoveaway from a "blame the person" mentality to a
"blame the processand let's fix it" approach to problemsand
improvement.
There are no successes orfailures,justlearning experiences.
An importantinsightis that failure and successare always value
judgmentswe form after the fact. We can neverpredictwith certainty
whetherwhatwe do will end up as a success or a failure (or a mistake).
We do the best we can based on our current experience,information,
and understanding,and something happens
3) ProperCustomerservice centre cultureshould be maintainedforthose
who are handling customer’s grievances and feedback. Every customer
service executive shouldn’t be only allowed to work continuously during
their shift hours but also they should be given ample amount of time &
resources to relax themshelves because they are also humans. They
should also given the amount of holidays as prescribed by the company
policies, hence their holidays should not get cancelled. Even if they do
overtime even after their workinghours they should be paid fairly.Hence
last but not the least they should also be respected enough as the other
employees of the organization
Conclusion
4. The top level management of the company should set certain targets for
itself to achieve in the next three years and prepare a three-year
improvementplan.It should work according to this plan and also keep in
mind all the challenges and opportunities in the market. It is evident that
the company is in dire need of improvement at this stage but there are
certain problems which are needed to be solved and fixed before
expanding its business futher into new markets like Mumbai, Kolkata,
Chennai,etc.Allthe departments suchas Finance,Marketingand Human
Resource should work collaboratively to achieve break-even point of the
company and work upon the proposals listed above for improvement
strategy.The managementhas to make sure whetherall the things are in
place while implementing these solutions. For example: a concrete
marketingplan should be there forentry in thesenew markets,takingcare
of finance needs ofthe investmentrequiredin procurementof assets and
other expenses and the recruitment and training of people by Human
Resource department.
Optional Assignment
Suggestions for the strategy of organizational growth for next year
These are some of the strategy that the organization can implement for
the organizational growth next year
JointVenture/Alliance—.Forming jointventuresor alliances gives all
companies involvedthe flexibility to move on to differentprojects upon
completion ofthe first, or restructure agreements to continueworking
together.Subcontracting,which allows firms to concentrate on those
aspects oftheirbusiness thatthey do best,is sometimesdefined as a
type of alliance arrangement(albeitone in which the parties involved
generally wield differinglevelsof power). Jointventures and other
business alliances can injectpartners with new ideas,access to new
technologies,new approaches,and new markets,all of which can help
the involved businessesto grow. Indeed,establishingjointventures with
overseas firms has been hailed as one of the mostpotentially rewarding
ways for companiesto expandtheiroperations.Finally,some firms
realizegrowth by acquiringothercompanies.
Licensing—Afirm may wish to expand and grow by licensing its most
advancedtechnology.Thiscourse ofactionis often recommendedto
5. firms with their own proprietarytechnologies becausecompetitors will
likely copywhatevera company develops at somepoint.Licensingis
one method thatcan be used to maximize the benefitthat a firm can
gain from its technology.It is also a way to gain the resource to fund
future research and developmentefforts.
Sell Off Old Winners—Someorganizationsengagedin a concerted
effort to grow divestthemselves of mature "cashcow" operations to
focus on new and innovative linesof products or services.This option
may sound contradictory,but analysts note that businessescan
commandtop prices for such tried and true assets.An addendum to this
line of thinking isthe divestmentof oldertechnology or products.
Emergingmarkets in Latin America and Eastern Europe,for instance,
have been favorite placesfor companies to sellproductsor technology
that no longerattracthigh levels of interestin the United States.These
markets maynotyet be able to afford large quantitiesof state-of-the-art
goods,butthey can still benefitfrom oldermodels.
New Markets—Some businessesare able to secure significant
organizationalgrowth by tappinginto new markets.Creatingadditional
demand fora firm's productor service,especiallyin a marketwhere
competition has yetto fully develop,can spurphenomenalgrowth for a
small company,although the competitive vacuum willgenerallyclose
very quickly in these instances.In the lastten years,many small firms
have turned to an online marketing presence as a tool for reaching
beyondtheirtraditionalmarkets.Forthose who do not yet marketand
sell online,this is one area that may be explored.
New ProductDevelopment—Creation of new products or services isa
primarymethod by which companiesgrow.Indeed,new product
developmentis the linchpinof mostorganizations' growth strategies.
Outside Financing—Manysmallcompanies turn to outsidefinancing
sources to fund theirexpansion.Smallerprivate firmssearch forcapital
from banks,private investors,governmentagencies,or venture capital
firms.