Effectiveness is focused on people of a working environment. In this case study, it is learned that Areama Cantros is struggling with the company’s downsizing decision, which was made by the corporate. Areama, Senior manager of the company is capable of making some decision for her employees and for the survival of the firm. In addition, Areama is well aware that the corporate might be spending more funds on compensation when downsizing the company. It is best to give some insights to help Areama to save the company and help fellow employees to save their jobs. Morever, it is important to remind Areama that strategic decision are best to have positive influence in the direction and outcome of a firm(Nahum & Carmeli, 2020).
Analysis, implementation, and decision are strategies that need to be applied when making decision in an organization. First of all, Areama needs to focus on the analysis of the present situation of the company. She needs to seek the importance of the corporate’s concern over downsizing the company. She may use her intelligence to relate the loss of the company’s funds by paying the compensation to the employees(Basu, 2017) .
The Senior manager is in power to make decisions based on strategy, which is part of making decision. This allows to create options and accessing data to compare the ups and downs of the firm thus far. This will help to process the decision making strategy easy for Areama. By understanding and overlooking the situation, the senior manager can apply the implementation strategy which would be the last step of the decision making process strategy among the three stages. She understands that all of her employees have been working for the firm beside her; therefore communicating with them and having a discussion about the corporate’s stand on downsizing(Basu, 2017).
Also, it is advised that managers follow a structural leadership that is important for employees work engagement in any organization. Performance, skill, feedback, resources are all important factors of evaluating when making a decision of downsizing an organization(Bakker, 2017).
Bakker, A. B. (2017). Strategic and proactive approaches to work engagement. Organizational Dynamics, 46(2), 67–75.
Effective decision-making is an important component of organizational success. According to the case study, some of the decisions that Areama must make that determine effectiveness include ensuring that staff who will be placed in groups with which they are unfamiliar are given education and training to help them better grasp their new positions. Employees’ abilities will be strengthened through training and education. Another decision Areama will have to make is to examine all of the remaining employees’ skills and limitations in order to identify where they will be most productive.
One decision that Areama must make that will have an impact on efficiency is to work with other department heads to identify strategies to make the grouping process as efficient as possible. The key reason for Areama’s collaboration with the heads of each functional area is that it will aid in steering the organization in the proper path.
One of the first considerations to make is to consult with the heads of each functional area to assess whether grouping is necessary and how best to accomplish it so that the organization does not lose focus. My list differs from Areama’s since she does not include them in the decision-making process. Yes, she is correct in putting the restructuring on hold in order to focus on employee morale. The key reason she is correct is that increasing their morale initially would assist them strengthen their interpersonal relationships within the firm. Yes, a Systems Thinking method would be ideal for her analysis because it will aid in the resolution of the company’s difficulties.
In that it shows how both culture and structure influence decisions made inside the organization, the case illustrates the links between culture and structure in decision-making. Areama, for example, is compelled to evaluate specific factors in order to ensure that her decisions are sound. According to the facts of the case, Areama is not gathering the correct data since she has not included anyone in the decision-making process, despite the fact that it is a choice that directly affects the employees. Areama should not be the exclusive decision-maker. She needs to bring in the heads of each functional area as well as the employees to talk and share their perspectives in order to strengthen their working relationships. Employee motivation plays a role in decision-making since it determines their willingness to accept planned changes. Employee motivation, according to research, leads them to act.
Generating alternatives, identifying potential hurdles, and effectively planning before making any decision are some of the tactics that can assist Areama in her decision-making.
The first recommendation for Areama is to talk with staff and be transparent about the changes that are happening, as well as why they are happening, and what they can expect as a result. After explaining this, she needs to seek questions that the staff has, and be prepared to offer some solutions and strategies to make the change palatable to staff. Areama needs to explain the benefits that the changes will have, and the challenges that are ahead (Onley, 2019). She needs to be prepared to offer suggestions as to what new roles certain staff may need to assume to meet the company’s goals. She needs to seek feedback from key staff and have open discussions regarding how their knowledge, skills, and abilities will help to achieve the desired outcome (Black, 2019). Employees must have trust that their management has not only the company’s best interest, but is also considering their overall well-being.
This will encourage staff to accept the new changes and perform at their highest level. The more that the changes can be explained, staff will be more receptive to changes in their daily work, thus leading to a better overall outcome, and getting buy-in from her team. Acknowledging that the changes may result in more work, will demonstrate that she is sensitive to the workload of the employees. She should now seek assessment from the staff as to what ideas they may have that may help accomplish the transition (Onley, 2019). This illustrates how culture and structure combine to result in a more collaborative and cohesive work environment. After hearing staffs concerns and recommendations, she should assure them that everything will be taken into consideration with the overall goal of employee job satisfaction while meeting the new objectives.
Areama could say that compensation enhancements are being evaluated to align with additional responsibilities. She could also explain the benefits of a smaller more cohesive group of people carrying out the needed tasks and responsibilities. A specific example would be that Areama could explain how the competitive nature of the business is driving the changes and how internal changes to the company will help them to remain viable in this market. Another example would be that she could appeal to their desires and visions with being a part of a more localized business, in carrying them forward in the community, and corporate structure. A smaller local business often tends to have a more dedicated and loyal clientele, and this could benefit the individual workers in that they could have more job security if the business thrives.
In summation, the primary strategies Areama may take would be transparency, empathy for concerns, ensuring staff that decisions will be deliberative and made in the best interest of both the staff and company, be assertive and confident in her delivery of the news prior to the consultant implementing new directions and suggested changes. Making ethical decisions early on will show how Areama’s knowledge of the workers is important to her and how long they worked for Izzy’s Bed Emporium (Black, 2019). The manager must be resolute and determined in effecting change, while managing not to alienate staff. Ensuring to corporate that compensation the staff’s work is critical for them to remain committed and for overall team morale, and company success. Areama could explore new incentives for overtime/weekend/holiday work, and compensatory personal time off to promote a stronger work/life balance.
Black, J. S., & Bright, D. S. (2019). Organizational behavior. https://openstax.org/books/organizational-behavior/pages/6-1-overview-of-managerial-decision-making