Organizational effectiveness is the efficiency with which the organizations meet their objectives. Four components of organizational effectiveness to be discussed are open system perspective, learning perspective, stakeholder relationship and high performance work practices. New Way trucking company is a transport company, which is privately held company in Calgary. Company has phenomenal growth path and has a quality and customer driven vision. Persons having long managerial experience manages the company. Employees are empowered to initiate change and motivated to generate ideas. I have addressed four key perspective of organizational behavior in this paper for measuring my organizational effectiveness. Firstly, I have learned that Open system perspective is one of the most entrenched way of thinking about an organization. It views organization as a complex organization that live within an external environment for resources that include information, financial resources, equipment and raw materials. With regard to Learning, perspective of organizational effectiveness depends on the capacity of organization to acquire, store and make use of valuable knowledge. High performance work practice helps in the identification of specific bundle of system and structure generating most value from human capital. Stakeholders relationship requires the organization to manage understand and satisfy shareholders interest.
Organization are considered effective when they maintain goof fit with the external environment, as per the open system perspective. Company relies on three methods for maintaining good environment fit. According to me, the most common strategy used by company to fit with the external environment is to change the services and products of the company. It also involve the way of producing the output. Another way is to actively engaging environment through marketing, which is intended to increase products and services demand. Third way is to change the location of business in case the environment is considered too challenging.
I have learned that Learning process is used by organization for nurturing their intellectual capital. This involve acquisition of knowledge, usage, sharing and storage. According to my experience while working at company, it is viewed that they acquire knowledge by either buying entire companies or hiring individuals. They also acquire knowledge by interpreting external messages and scanning external environment. Sharing of knowledge by company is done through informal and structured communication and with the help of various learning process as per my knowledge. Employees sharing knowledge with workers depend upon the company practice, organizational structure and cultural values.
High performance work practice:
I have learned that High performance work practice (HPWP) practiced by the company involve strengthening motivation of employees, organizational responsiveness, improving decision making and commitment to change. Company experiencing work place has job autonomy and involvement of employees taking the form of self-directed teams. Selecting, recruiting and training people do development of employee competence. This is done so that companies employ people with relevant skills, knowledge, values and other characteristics. Another high performance work practice involves skill development, linking performance and several forms of no financial and financial rewards valued by employees. HPWP represents investment made by company in recognition of its workforce.
Stakeholders relation can be negotiated or managed and such relations is considered more challenging as it might happen that companies lack resources to satisfy them. It depends upon the company to decide how much priority should be given to each group. For prioritizing stakeholders, corporate leaders of companies relies on their personal values. This is so because, value of leader align with long-term survival of organizations.
I have explained the above-discussed components of organizational effectiveness are explained in context of Company where I am currently working that is New Way Trucking Company. I have selected two components for addressing organization effectiveness of New way trucking company, which involve open system perspective and learning perspective. New way trucking achieve goal concerning learning perspective by adapting employee practice to be more compatible with the expectation of workforce. In this regard, I have learned that organizational strategy adopted by New way Trucking company is to systematically transfer knowledge to employees. Knowledge of employees is converted into structural capital. This comprise of bringing hidden knowledge, organizing, and putting in a form that is made available to all. New Way by encouraging employees to document their failures and success through a special intranet knowledge portal make application of this strategy. Effective organizations also unlearn pattern and behavior that are not considered appropriate by them. While working at New Way, I have learned that some forms of unlearning used by is replacement of dysfunctional routine, policies and procedures. Some other kind of unlearning used by organization is erasing attitude, assumptions and belief. New Way have done this when they considered change. For Open system perspective must be integrated and coordinated with managerial system for maximizing value of organization. It should be intended to improve the vertical and horizontal fit of subsystems.
New Way trucking company relies on continuous adoption for maintaining good fit with its external environment that is highly volatile. Transport organization experiments with numerous ways, receiving continuous feedback with which component used in products are most popular and learning what minor adjustments are needed for making products more appealing and delivering new products for meeting current demand as per my experience. Low cost manufacturers are used by New way trucking but some nearby companies make half of its products. My present company thrives on adaptability due to its internal subsystems, which is continuously revised in line with preference of customers. I have recommended for the organization to institutionalize the process of knowledge acquisition and facilitating the processes of communication through leadership building.
I have recognized from above discussion that a particular action under different components of organizational behavior have different consequences in different situation. I have addressed four components of organizational behavior and concerns to key steps taken by New Way in addressing them. The two components, which I have selected for using it in current company is open system perspective and learning perspective.
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