Organizational Behaviour HRMT 300 – 435, Indivisual Assignment #3.docx

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Executive summary The Challenges of Wilson Bros Limited. 1. Consumers are becoming more price and health conscious. 2. Purchases are made at bulk food, big-box wholesalers. 3. Generic brands increase competition in food markets. 4. Us food markets competition is getting tougher. 5. Major grocery chains face decreased profit margins. 6. Transportation cost of Able Distribution Limited is a major area of concern for the company 7. Recruitment issues in Vancouver due to increase of the cost of living. 8. Labour agreements and time-consuming protocol creates a less flexible operational environment The Current Issues of Wilson Bros Limited 1. No Policies regarding Employment Equity or Pay Equity exist. 2. No Job description or any job evaluation process in place. 3. No reward system, No bonuses (No incentives) 4. No consideration of succession management 5. Negative working climate with pervasive fear. No Policies on any employment relation issues. 6. No other formal team meeting limits the company’s communication process. 1
1. Organizational Design and Structure (Advantages/Disadvantages). (1) Four Elements of Organizational Structure a) Span of control - The total number of subordinates that a manager or supervisor can manage. A small span of control creates a steeper organizational structure, which requires more managers, which is expensive for the organization. A large Span of Control leads to a flat organizational structure, which results in lower costs. Therefore, it is useful for the organization if its managers have a large span of control. How to increase span of control for Wilson Brothers (Recommendations) Training the manager with management skills such as delegating and clear communication. Training employees, teaching them to work independently and make better use of their time. Delegation by the manager, decreasing his workload and improving the division of labour. Improving procedures and systems; when procedures take up a lot of time, find more efficient solutions Involving HR with employees to lessen managers burdens by managing specialist tasks Assigning an personal assistant to managers to handle routine activities Appointing an assistant-manager who reports to the manager that can act as manager when needed. b) Centralization - The concentration of management and decision-making power at the top of an organization's hierarchy. Currently, Wilson Bros’ strategic decisions have been made only by Co-Owners. The advantages of centralization are a clear chain of command and more focused vision. Wilson Bros faces lower profit margins due to market changes. (Recommendations) The firm needs a balance between centralization and decentralization. 2
c) Formalization - The degree to which organizations standardize behaviour through rules, procedures, formal training, and related mechanism.

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