Assessment no: 1 Report

LO1.1
Kentucky Fried Chicken (KFC)
KFC is one of the leading fast food outlets worldwide, they are very popular for their fried7`
chicken and they operate with the theme its finger lickin good. KFC was begun in the 1930s
in the United States and it has grown to be a multinational company which has operation
throughout the globe today.
The organizational structure of KFC is as follows:
Managing Director
General Manager

H.R Manager

Marketing Manager

Finance Manager

Restaurant Manager
First Assistant
Second Assistant
Training Manager
Floor Manager
Crew Leader
Crew
Customer Care Officer

KFC follows a decentralized organizational structure, in this type of structure lots of

responsibilities and competencies are delegated to operating managers. Decentralization allows
KFC to increase the responsibility given to their employees and this leads to motivation and the
employees will feel a part of the organization. It has a small span of control. The Restaurant
Manager will play a vital role as he is responsible to all the other managers and has to control the
assistant managers.
Culture of KFC
KFC has always come up with new thoughtful ideas and strategies in order to create an
appropriate culture according to the country where they operate. It takes on the culture and social
diversity but refuses discrimination activities based on ethics, religion, and gender and so on.
Employees who work at the headquarters of KFC are pooled in from 70 different countries
therefore the culture within the organization is very professional and also very flexible. Attitudes,
behavior and working conditions are such that it motivates their workers and inspires them to
feel that they are a part of the organization. It has a very friendly atmosphere and they call
themselves a family and thus keep their working relations accordingly.
McDonalds
McDonalds is one of the worlds largest chain of hamburger fast food restaurants it serves
around 68 million customers daily in 119 countries and it is a multinational organization that
operates throughout the world and its headquarters is located at the United States and the
company was begun in 1940 as a barbeque restaurant.

Organizational Structure of McDonalds is as follows:

CEO
Marketing
Manager

HR
Manager

Assistant
Marketing
Manager
Marketers

Information
Manager

Assistant
HR
Manager

Finance
Manager

General
Manager

Assistant
Finance
Manager

Restuarant
Manager

Accountants

Crew
Members

The organizational structure of McDonalds is functional. Functional organizational structures

are usually followed by large organizations like McDonalds. The responsibilities and duties with
in the organization are divided and carried out by the appropriate departments and then reported
to the CEO.
Culture of McDonalds
Quality, service, convenience and value, McDonalds operates based on these four main criteria.
Their culture is framed with the objective that the same quality of food and service is offered at
all the McDonalds outlets regardless of the place it is located. Some of the cultures associated
with McDonalds is listed below:

Customer experience is placed at the core of what they do.

They are committed to their stakeholders.
To operate the business ethically.
McDonalds also gives back a small proportion of their profits to the community.
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To grow their business profitably.

Comparison of the organizational structure of the two firms:

To do

LO1.2
How the organizational structure of McDonalds has supported its culture and how this
relationship effects on the performance of McDonalds have been discussed below:

Decisions can be made quickly as they are taken by the higher level employees at
McDonalds has they follow a functional organization structure. This enables them to
respond to the changing needs and wants of the customers soon there by achieving
customer satisfaction and gaining a competitive advantage in the fast food industry which
supports their pragmatic culture.

Grouping all the activities department wise will enable McDonalds to carry out all the
work quickly and by specialized staffs, this allows them to maintain and upgrade the
quality of service offered to their customers.

The functional organizational structure followed by McDonalds reduces the burden of

work put on each employee as all the activities of the organization is divided in to
departments. Less burden allows the employees to focus and carry out their tasks
properly there by providing a better service to their customers. Better service encourages
the customers to visit their outlets frequently there by leading to more sales and profits to
McDonalds.

More employees are usually involved in a functional structure therefore when new
strategies are implemented by McDonalds to attract more customers, McDonalds will be
in a position to manage their increase in customers when they have more employees to
support.

One of the key focus of McDonalds is customer satisfaction. Decisions are made by the
high level employees according to their organizational structure, it would be better to get
ideas and suggestions from their lower level employees like the restaurant manager, crew
leader as they are likely to be more in touch with the customers than the high level
employees.

McDonalds culture is to deliver the same quality of food and service to their customers
where ever their outlet is located. The organizational structure of McDonalds supports
this culture as all the operations are controlled by the high level employees uniformity in
the outlets can be bought in. There by maintaining the standards of McDonalds.

LO1.3
The behavior of people changes according to the place they visit. The behavior of a person where
they work will be different from their behavior at home for many reasons. The factors that are
likely to influence the behavior of an individual at work are listed and explained below:

Abilities and skills

Experience, qualification and the physical ability of a person will have an influence on how
he or she behaves at a work place this will also depend on the nature of work being carried
out. Managers of an organization play an important role in matching these to the job
requirements, so that the right person is placed to the right job.

Demographic factors

The personality of a person will depend on some of the demographic factors such as the
nationality, socio economic background, age, race, education, etc. these factors will have a
considerable amount of impact on how an individual behaves in an organization.

Attitude

Psychologists define attitude as follows tendency to respond favorably or unfavorably to a

particular situation or circumstance, therefore attitude of a person has a great deal of impact
on how the person will behave at the place where they work.

Perception

Perception is a cognitive process that is used to interpret an environmental stimulus. Ability

of an individual to understand and interpret a situation will have an effect on their behavior at
work.

Personality

The unique qualities of a person will an impact on how he or she works with others in an
organization or how they behave in a working atmosphere.
The other factors which have an influence on the behavior of an individual at work can be
motivation, delegation of authorities and responsibilities, structure and the culture of the
organization.

Assessment No: 2
LO2.1
Leadership Styles of Steve Jobs and Bill Gates
Steve Jobs, the founder of Apple Inc. and Pixar was an iconic leader who brought the
personal computers in to the mass market, created music players and mobile phones and he
also created movie animations.
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Bill Gates founder, technology advisor and board of member of Microsoft Cooperation, the
worldwide leader in software, services and solutions. As an entrepreneur he was not willing
to take on risks, he left his studies from Harvard and started writing software programs and
became one of the most successful businessmen of this generation.
Bill Gates followed a transformational model of leadership initially but as Microsoft slowly
moved in to a large organization he adopted a transactional model of leadership. Even though
Gates was the power center of his organization he followed a participative style where his
subordinates can involve in the process of decision making and give in their views and ideas.
Jobs was a charismatic leader who handled his employees using an autocratic style. He
practiced a tyrannical leadership style which means hire and fire at will. Jobs followed this
type of leadership to ensure that his employees were on their toes and delivered products of
extremely high quality.
Gates did not use charisma in order to influence the behavior of his employees. Gates learned
how to manage, delegate and lead thousands of smart, skilled and talented people. Gates too
believed in hiring the best talent available to his organization like Jobs but used a much less
autocratic leadership style.
Jobs is a leader who dominated his whole company, all the employees and guided them
rightly, he believed that one man with one vision can make Apple an iconic brand and
adapted authoritarian leadership style.
Whereas Gates believed in developing people to do their jobs, he believed that a manager
must transfer his or her skills to their subordinates. Gates also believed in communicating
with his employees personally so that he can come to know any doubts which employees
have about the organization and clear them. He wanted employees to work in teams so that
they can share their ideas and knowledge.
Though Steve Jobs and Bill Gates have followed different types of leadership, they are both
successful in their own way. Their styles are affected by their backgrounds but both of their
styles have left magnificent legacy.

LO2.2
Influence of Henri Feyols Principles of Management on present day organizations
Henri Feyol is a French industrialist and a very famous theorist who suggested the five
primary functions of a manager which includes planning, organizing, coordinating and
controlling. He did not stop with that he also offered the 14 Principles of Management in
order to help the managers to manage their employees more efficiently. Although the
principles were published during the early industrialization period they are actively in use
even in todays organizations.
When we have a look at the todays scenario employees are much oriented towards
challenging and interesting jobs, division of labor helps the employees to specialize in a
specific task. Once they get specialized they tend to seek for more challenging opportunities.
Even the companies expect their employees to be multi-tasking and have the quest to explore
beyond their area as this helps them to stay competitive in the industry.
Even though the managers are authorized and possess a major responsibility on a project
commencement and completion, companies actually rely on the participation and
empowerment of their employees in order to obtain the best outcome.
Now a days many private organizations tend to practice reward based on the performance of
their employees popularly known as Performance Based Pay Systems. This has motivated the
employees to bring out their full potential.
When we have a look at the past the commitment of an employee is achieved through equity
but today organizations provide Sense of Ownership to obtain commitment from their
employees.
Hierarchical decision making is disappearing in the industries today, they find that the
maximum creativity is obtained when the hierarchical element is reduced and the co-operate
culture is adapted.
Organizations these days tend to hire employees on temporary and project contractual basis
therefore maintaining Esprit de corps is not practical at the present. Matrix organizational
structures have also ruled over the unidirectional layout of organizations. Every department
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in an organization is deeply depended on each other, this brings employees and managers
from different departments to work together in order to achieve the organizational goals.
Henri Feyol was the first to define management, he is the one who gave us the basic
terminology and concept which would be elaborated by future researchers. Many of these
principles have been absorbed by the modern organizations these days and slight changes
have been made in order to cope up with the rapid changes taking place.

LO2.3
Different approaches to management used by different organizations
Management plays a very critical role in the process of making an organization, therefore it is
important for every organization to have an effective management so that they can work towards
achieving their goals and objectives successfully. Let us have a look at some of the different
types of management approaches.
Classical Approach
This type of approach is mainly concerned with increasing the efficiency of the workers and it is
based on management practices. Classical approach mainly focuses on economic efficiency. This
approach is used in a formal structure and they provide solutions to the general problems faced
by the management.
Human Relation Approach
Human relation approach emphasizes on the structure of a formal organization. The social
factors at work and the actions of employees within the organization are given more attention.
This approach can be adopted in order to secure more productivity as the work force will feel
more motivated to do their best for the management. Microsoft and FedEx uses this management
approach in order to manage their organization. Both Microsoft and FedEx knows that the
feelings of the workers will have an effect on their performance therefore they emphasize on this
approach to get the best from their employees.
System Approach

One of the main characteristic of this system approach is the element through which it is been
built up. Built up means that the construction is somehow artificial. This system approach helps
the managers to view the organization both as a whole as well as a part of a larger environment.
Contingency Approach
Contingency approach is an extension of a system approach. This approach focusses on
distinguishing alternative forms of organization structures and systems of management. The most
suitable structure and system of management will depend on the contingency situation of each
organization. Managers of both Microsoft and FedEx focus on finding what is the most suitable
way to manage rather than finding out what is the right way to manage.
There are many types of approaches to management the right approach must be selected by the
managers according to the circumstances for the successful functioning of the organization.

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