Tma1 bmg501-031100165

BMG 501
Management in Organizations
TMA 1: Semester 1 - January 2011

Maizatul Nazwa Sahiman
Student Id No: 031100165

Table of Contents

Question 1
Roles and Responsibilities of Groups and Individuals
.......................................................................................................3-4

Question 2
Roles and Responsibilities modified/emphasized in 21st Century
Organizations
.......................................................................................................4-6

Question 3
Decision Making and the Organizations
.......................................................................................................6-8

Question 4
How clear decision roles enhance Organizational Performance; Who
has the D?
......................................................................................................8-10

References
.........................................................................................................11

BMG 501 – TMA1/Maizatul Nazwa/Student Id No: 031100165 Page 2

Question 1:
What are the roles and responsibilities of group and individuals?

Group is a collectivity of two or more individual, communicating and relies on one to another
with same goals and momentum. Formal Groups formed by the organization with high standard
of tasks and fixed assignments that will ensure the organization in achieving targets and
objectives. Informal Groups is the social identity type and natural formations, which tend to
build friendships and sharing the same interests. The principle of roles and responsibilities
applies to all employees in organizations and also to their routine life as well. Benne and Sheats
(1948) defined three broad types of roles people play in small groups: task roles, building and
maintenance roles, and self-centered roles.
1. Task Roles : Focus on achieving group’s objective
 Initiator/Contributor: Proposed new plans.
 Information-seeker: Clarification and verification.
 Opinion-seeker: Required information from the group about its values.
 Information-giver: Provide relevant information.
 Opinion-giver: Show opinions and beliefs.
 Elaborator: Discuss clearly and brief ideas together with some examples.
 Coordinator: Statement or ideas need to be connected and reliable.
 Orienteer: Review group's discussion and summarize.
 Evaluator-critic: Monitor group's performance against higher standard.
 Energizer/Be Positive: Motivate group to better a level of activity.
 Procedural-technician: In-charge of the responsibility.
 Recorder: Keeps the minutes and proper notes related to the meeting.
2. Group-Building : Focus on building interpersonal relationships, maintaining harmony
 Motivator : Recognized and encouraged good ideas
 Harmonizer: Avoids conflict and tension.
 Compromiser/Negotiator: Solutions that is satisfied by everyone.
 Gatekeeper/expediter: Good and effective communication channels.
 Standard Setter: Suggest criteria or target for the group to achieve.
 Group observer: Proper and accurate records to evaluate group progress.
 Follower: Agree with suggestions given.
3. Self-centered Roles: Focus is to prevent group from reaching goals; to disrupt
 Aggressor: Insulting comments and negative feedback to group members.
 Blocker: Do not fully involved and not being cooperative.
 Recognition seeker: Prefers to be centre of attention.
 Self-confessor: Interested only on topics that benefited to self.
 Dominator: Monopolize and interrupt group speaking time.
 Help seeker: Unhelpful and not sharing tasks.
 Loafer : Refused to do any work
 Special interest pleader: Share own viewpoint and needs.
The most important units of any organization are individual. The Belbin model is highly effective
concept introduced by Dr Meredith Belbin. The 9 roles cover the types of individual behavior at
work in a team and categorized into Action, People and Thought Oriented Roles.

1. Doing and Acting
1. Implementer – Expected and well structured. Use concepts and ideas into
working procedures with systematically and efficient strategy.
2. Shaper - Needs energy and action as to encourage to move forward and to be
more focus on objective.
3. Completer/Finisher - Ensure task ends efficiently and achieved results well to
highest standards of quality control.
2. Thinking/Problem Solving
4. Plant - Creative and effective in solving crucial issues in unconditional ways. Poor
communicator and do not focus on details.
5. Monitor Evaluator – Have logical eyes, think deeply, and make accurate and
careful judgments. Lack of energy or not motivators.
6. Specialist – Knowledgeable and skillful in key area which managed to find
solution for many problems but disinterested in other areas.
3. People/Feelings
7. Coordinator - Respected leader and able to assist team to focus on objective,
delegate work appropriately and controlling.
8. Team Worker - Assist team using versatility to do work. Caring, good listener but
facing problem in settling difficult issues.
9. Resource/Investigator - Furnish inside knowledge and ensure team’s ideas
would carry to outside world. Good network, optimistic and may lose energy
after the initial flush.
Communication, interaction, behavior and accomplishes certain task is normally influence by
the shared values and beliefs among people in any organization. Basically these distinguish one
organization with other organization.
“Do you want a collection of brilliant minds or a brilliant collection of minds?” - R. Meredith
Belbin (1926), British Psychologist.

Question 2:
How are roles and responsibilities modified/emphasized in 21st Century Organizations?
"The 21st Century Organization" [August, 2005]
http://www.mckinseyquarterly.com/The_21st-century_organization_1628

The term “knowledge worker” for 21st century workers or professional employees who are
knowledge generators created by Peter Drunker. Potential people were involved in sharing idea
generation, innovation and willing to share the responsibility of producing a large company’s
competitiveness where traditional vertical design was no longer practice. New organizational
design recognizes the value of people and believes that they are able to communicate internally
and externally without limits and protocols. Organization is willing to get involved with new
joint venture, investing in new projects at different industries and looking for better
opportunity to enhance the business market local and international.
The roles of organizational design in contemporary 21st century corporation are as follows;
1. Streamline and simplify vertical and linear structure as to improve ineffective workflow
and system. Practicing a better communication, systematic procedures and leads to the

creation of current earnings. E.g.: Country Insurances and Financial Services use Siebel
Insurance and Universal Application Network (UAN) to streamline claims processing and
simplify the business integration and as a result higher productivity by 40% gained in
handling claims process.
2. Managing and operating dynamically leads to strategic, flexible and responsive
organization. E.g.: Sprint (1901), a rural Kansas telephone company involved in
manufacturing and distributing telecommunications equipment. In 1976 to mid 90’s,
major diversified telecom player developer, built nationwide fiber-optic network, long-
distance business creator, involved in the digital wireless business, took a minority stake
in an Internet service provider, invested in broadband and moving forward to Latin
American, Western European, and Asian markets. Taking risk by investing to new
business with different technologies, markets, competitive contexts and succeed.
3. Intangibles of knowledge generation need to be upgraded as to form; to develop and to
exchange business acknowledges talent markets and formal networks. Hence business
leaders must build an intellectual property and talented people must be included. E.g.:
British Petroleum stressed on transfer of tacit knowledge is better rather than
accumulation and transmission of raw data. Communication network being introduced
with high technology facilities; video-conferencing, multi-media and email.
4. Employees are having networks among other knowledge markets that allow free
exchange of information and collaboration among professionals. This is called letting
operational overlays within organizational knowledge markets which normally do not
exist naturally but the organizations need to take in-charge to put them accordingly.
5. Leaders have a responsibility toward knowledge networks by letting them to generate
general skills, incentives for membership, as well as standard and protocol for sharing
information. It motivates the employees; self direct and support the group interest.
6. Attracting talent marketplaces in organization by being clear about the job open
minded, responsive, and flexible and show them you care. Retaining and keeping them
loyal by orient to your culture, follow up, recognize and meet their needs, train
management and let them know you care.
7. Expanding the physical infrastructures to knowledge based network and trained more
professional workers who capable to use high technology that facilitates working
without an office.
8. Formal network is a modern structure in organization is better and more cheaply.
Coordinating and controlling business by electronic. E.g.: H&M is distributing its clothing
to a network of 700 suppliers where two-thirds located in low-cost Asian countries. Even
without any factories, H&M can still broaden their market by being more flexible as it is
a low cost strategy by lowering its costs.
9. Measuring performance using tool performance management by providing financial
incentive to reward the employees as motivation. Currently, Balance Score Card (BSC) is
one of the popular tools where company sets their targets or goals using Key
Performance Indicator (KPI). This will assist the organization to monitor and measure
performance guided by standard management system. E.g.: KFC Holdings Malaysia
Berhad implemented BSC in 2004 for field people; restaurants managers, area managers
and operations managers. Incentive paid on quarterly performance of 4 sections;


customer, people, sales and profit. It is proven effective with the bottom line results, as
the team work harder to achieve break thru results.
“In this century, organizations still operate by creating and sharing vision, having a mission
and set goals by using mental energy, physical energy, and spiritual energy” - LaFasto and
Larson, (2001)
The Paradox of Design in the 21st century is a huge organization containing operations with the
small subunit agile, but not just like one model of buildings or rows or furniture with employees
acting upon only one part of a product. The new task for organizational design incorporates
skilled worker, furnish information on products and information exchanged on open fields. It
recognizes the value of employees, individual plants, animals, the environment, small subunit
from each other, give the largest organization and greater global good.
Organizations need to change the traditional design roles for the new design-type roles to keep
their workers generate new professional workers in the information age. Knowledge into
products that flows freely through the network silos work unhindered. The role of
organizational design in the 21st Century affords to lose the reins of control of workers to share
professional knowledge in order to create space and networks over time. In this century, a
worker enjoys the sun in Kuala Lumpur may have a work partner in London. Time global
communication means that they integrate seamlessly, together, a world apart.

Question 3:
“Decision Making and the organization” … how does it work in your unit or department or
organization?

Decision making is an art which need to be done scientifically and made wisely from smaller to
larger scale which related to both strategic and managerial planning. This process is important
to assist organization to be more effective, excellent and responsible in solving to any issue
arises by looking and choosing the appropriate solution which forming a value for
organizational stakeholders. The traditional and modern participative techniques are combined
and known as behaviorally oriented decision techniques and it is connected with the other
functions; Planning, Coordinating, and Controlling.
Applying the creative decision making by individuals or groups is classified as either
programmed or non-programmed. Assists in finding best solution and alternative to clear-cut
mechanical procedures as it may be repetitive scenario is known as programmed decisions
which up to 90 percent of management decisions are programmed. Normally, the non-
programmed decisions are exceptional as it made under crisis conditions and always facing so
much ambiguity that specific procedures unavailable.
Managers can be taught and trained to be better decision makers with the positive
environment and support from their colleagues and superiors as to avoid from being unfairly
criticized for making wrong decisions. This will discourage the managers ‘playing it safe’ in order
to minimize the risk of criticism which reducing the business effectiveness in responding to
market changes or prefer in blaming other people rather than getting on with the focus to run
the business. It drives business to huge success is the quality of decisions and with their good
implementation. Good decisions mean good business.


“Making good decisions is a crucial skill at every level” - Peter Drucker (1909), Business
Strategist.
Decision-making is a norm situation at all levels of a business. Grand strategic business plan on
investment may be decided by the Board of Directors together with sharing a direction of
future growth. Managers must able to make tactical decisions about how their own department
that may contribute most effectively to the overall business objectives. But quite small group of
employees are increasingly expected to make decisions about the conduct of their own actions,
responses to customers and showing improvements to business practice. A systematic, careful
recruitment, proper selection, good training, and enlightened management are obviously
needed. The responsibility shared by all the Head of Departments with their team or unit in a
company. Here I will share some scenarios or issues in my company, KFC Holdings Malaysia
Berhad where decision making need to be made and discussed which involved KFC Operations,
KFC Marketing, KFC QA, KFC Project & Technical, KFC Finance and finally approved by the
management.
In Year 2008 the world is facing global financial crisis and Malaysia shows a lower GDP growth
of 4.6% from 6.3% in 2007 but KFC Holdings Malaysia Berhad was announced as the best
performer on the nation’s benchmark stock index, said it will sustain the fastest sales growth in
at least 10 years as demand for deep-fried chicken defies an economic slowdown. A slowing
economy isn’t stopping some of Malaysia’s 27 million populations from eating at KFC outlets,
even as the chain’s prices aren’t cheaper compared with other meals such as a bowl of fried
noodles. This success may due to the following strategic initiatives;
1. Strong expansion in of KFC network; 37 new stores in Malaysia
2. Introduction of KFC Breakfast Menu and 24 hours operating extension for 139 stores
3. Successful product launches; Colonel Chicken Rice which coincided with 35th anniversary
celebrations.
4. Increased customers from 2pm to 6pm due to Jom Jimat or Snacking Promotion.
The above initiatives involved few departments to come out with good business decision and
may take a long process due to meeting, brainstorming and comparing ideas to history results.
Business decisions taken for initiatives No.1 & No. 2 are as follow;
 Expansion of new stores; i) Location suggested by the Project & Technical supported
with potential growth report of the area ii) Operations will review and decide after the
site visitation and using ROI analysis based on population, strategic, visibility, sales and
profit target using pacesetter report. iii) Finance will verify and summarize the ROI
analysis by Operations. iv) Final decision to proceed with the proposal by the Board of
Directors after deep discussion with the Vice President of Finance, Fast Food Division
and Corporate Planning.
 Breakfast Menu & 24 hours operating extension; i) Operations suggested the idea in
order to increase sales growth and increase menu mix growth layer ii) Marketing and
Operations will work together in deciding on the breakfast menu and also menu for
extension hours where some stores may only served limited menu. iii) QA will do the
testing products since the breakfast menu is new by ensuring the ingredients are HALAL
and to come out with the cost price. iv) Operations and Marketing will work out the
costing, deciding on the suitable selling price, the target margin and marketing plan. v)
Finance will review the costing, preparing the menu mix analysis and supporting


document vii) Presented to Board of Directors and will give the approval if satisfied with
the top and bottom line.
Level of decision making in my organization;

Operational Decisions Tactical Decisions Strategic Decisions
(locations / products) (marketing plan / (Final Decision on
Executives/Managers no of additional staff the Proposal)
to recruit) Board of
Directors / Vice
Presidents
The decision making process (Vroom and Yetton’s Normative Model) in my organization;
 Identify goals or momentum – {New locations or products}
 Collect information & ideas – {Information relevant and up to date}
Select Course of Action / Making Decision – (Several possible courses need to be
measured and good solution)
 Communicate and execute plan – {Communication is essentials and everyone in the
team needs to be aware with what happening around and understand about their own
part. Feel involved and motivated}
 Outcome Result – {The analysis on ROI, costing, supporting document}
 Measure Report – {Final stage where clear decision made and have to be effective}
Fast Food Industries are highly relying on each other, their suppliers, their vendors and their
customers. Decisions are taken during neutral or suitable situation as it may affect the responds
of other groups in the market. These is a very important steps, hence more implications needs
to be review as far as possible and taken into account before decisions are made. As for KFC
Fast Food Division, we have proven “How We Worked Together” leads to “Break Thru”
achievement.
"In large organizations the dilution of information as it passes up and down the hierarchy,
and horizontally across departments, can undermine the effort to focus on common goals." -
Mihaly Csikszentmihalyi (1934), Hungarian Psychology Professor.

Question 4:
How clear decision roles enhance Organizational Performance?
“Who has the D? How Clear Decision Roles Enhance Organizational Performance” {January
2006}
http://www.hbr.org/2006/01/who-has-the-d/ar/1]?

Who has the D? The crucial issue in the heart to any high performance organization because
“Decisions” reflects to the success. Organizations with good business strategy must also able to
handle well serious matters with effective decision making, executed quickly and consistently.
These will guarantee superior financial results and shows that the organization is committed in
motivating the employees and they become “a great place to work”. Decisions routinely stall
inside the firm normally may affecting the entire company’s organization especially the big one.
Surveys by Bain & Company on more than 350 on global organizations are showing that only
15% of the company practice effective decision making. The characteristic of a high-profile


organization is superior decision effectiveness where better quality decisions are made on
market to join, places, allocations. Consistency and speed-driving product innovation, brands
positioning or handling channel partners are required.
“Many company often struggle to make decisions because too many people feel accountable
– or no one does” – Paul Rogers, Bain & Company Consultant.
Respected and high profile companies may also face ambiguity during the decision-making
process at one of four common bottlenecks: global versus local, center versus business unit,
function versus function or inside versus outside partners.
 1st bottleneck - global versus local decision making, conflicts in decision making
between the global and the regional and the local entities especially on brand building
and product development. E.g.: KFC image is more to family and looks old, should they
change their image to younger version as to attract the younger crowds. This has been
crucial issue to be value and to decide by the Marketing team and the Management.
 2nd bottleneck - center versus business unit decision making, occurred in a multi-
business company, between the center and the business units or the parent company
and the subsidiaries. Who is more powerful or to have the authority to make the
decision, the centre that running the business or the headquarters. E.g.: KFC to sell only
limited menu during extension hours instead of full menu. It was recommended by KFC
Operations and KFC Marketing but this proposal can only be implement with approval
from the management.
 3rd bottleneck - function versus function decision making, within a business across
function a very common bottleneck always happen. Faces a balancing act between
product development and marketing during the design of a new product by all
manufacturers is one of the common scenario. Need to get the right people to get
involved from the beginning as to have effective decisions. E.g.: Each new product of
KFC needs to be certified as halal for the ingredients, healthy, suitable for all ages and to
deliver on time as to ensure the product available date in the market as what has been
advertised.
 4th bottleneck - cross-functional decisions, there always an issues with the decision
making especially at the challenging world today, where with respect to activities that
are still controlled within the company versus provided by outsource providers or
franchisees. E.g.: KFC Holdings Malaysia is the franchisee for Malaysia and the
Franchisor for KFC brand is called YUM. Certain things that our market plans to do need
to follow the guidelines given by them.
Unclogging the decision-making bottlenecks by practicing a clear roles and responsibilities is a
good step and recognized by a talented decision maker. Paul Rogers and Marcia Blenko – two
Bain & Company Consultants, introduced a simple tool RAPID® - recommend, agree, perform,
input and decide - to help companies develop clear decision-making guidelines. Liberties in
creating may damaged good system by taking an indecisive decision; hence it is important to
start clearing bottleneck
• Recommend; Sharing ideas on key issue, collect information, furnish data and analysis
as to make appropriate choice. Discuss with information provider, listen and combined
opinions in order to win them.


• Agree; Negotiate and modified the proposals by the recommenders if they have
concerns about the earlier proposals. Exercise veto power may need during unresolved
differences and issues to the decider between A and R.
• Perform; Execute quickly and monitoring the decision being implanted effectively.
• Input; Provide reliable information given to the recommender on the plan and practical
implications.
• Decide; Veto power in closing and to resolve any impasse in the decision-making
process and committing the organization to implementing the decision.
Decision-Role Pitfalls; In assigning decision roles:
Only one person "has the D." Conflicts may arise if two or more people thinking they're in
charge in making decision.
Monitor proliferation of "A's." Too many people with veto power can damaged a good plan but
with too many people must agree, shows that good proposal haven't pushed down far enough
or being considered properly in your organization.
Avoid assigning too many "I's." Receiving too many inputs from people, you may find some
contributions are meaningless.
How effective RAPID Model, refer to case study of Wyeth Pharmaceutical (center versus
business unit) in establishing new drug called Enbrel in the market. Move forward and
expanding the product by building a plant, Grand Castle in Ireland as competitors are also
working on the same product. As the progression is very slow and overlapping on so many
issues, they turned to RAPID. Identify recommenders to get good proposal, ideas and
knowledge to push their business strategy. The top executives had to agree in so important
proposal since retained veto power. With the relevant information, evaluations and leads to
investment decision was made where to collaborate with Immunex which is paid off. Being a
leading brands for rheumatoid arthritis since then, till new drug Tygacil came to the market,
Wyeth decided to move ahead rapidly with the new drug and with a better business strategy.
Though many decision about Enbrel, lay with Cavan Redmond the executive vice president and
general manager but after gathering input with his team, at the end of executing the plan
rested firmly with business union. The brilliant strategic but implemented poorly always get
beaten by people who have crucial role but able to execute a good decisions.
Company that struggles to make and execute good decisions has proven that the company is
always on track. When the managers finding less time in meeting, why they are they and only
one person has the “D”, bottleneck disappears.
Findings from the article; Company that start to practice some good roles becomes more
effective, beginning with its next decision, with following the principles improved in making
better decision and execution substantially will have the results to show off.

References:

http://www.mindtools.com/pages/article/newLDR_83.htm
http://changingminds.org/explanations/preferences/belbin.htm
http://www.srds.co.uk/cedtraining/handouts/hand40.htm
http://www.mindtools.com/pages/article/newTMM_85.htm

http://www.reed.edu/student_activities/leadership_at_reed/pdf/group_dynamics.pdf
http://unofficial.capital.edu/faculty/scroft/grproles.htm
http://www.iamot.org/conference/index.php/ocs/4/paper/viewFile/610/116
http://choo.fis.utoronto.ca/fis/respub/ccq/default.html
http://www.sveiby.com/articles/KnowledgeManagement.html
http://www.leader-values.com/Content/detail.asp?ContentDetailID=914
http://hbr.org/2001/05/lead-from-the-center/ar/1
http://www.corporatehealthgroup.com/ftpuser/CHG%20Library
http://en.wikipedia.org/wiki/Organizational_structure
http://www.ey.com/Publication/vwLUAssets/A_new_balanced_scorecard-
measuring_performance_and_risk/$FILE/Anewbalancedscorecard.pdf
http://www.scribd.com/doc/2918331/PPT-of-Decision-making
http://tutor2u.net/business/organisation/decisionmaking.htm
http://www.lbl.gov/BLI/BLI_Library/assets/articles/OM/OM_PSDM_How_Clear_Decision_Ro
les.pdf


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