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With related literature discuss the factors that affect organizational performance in five paragraphs with the latest references

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With related literature discuss the factors that affect organizational performance in five paragraphs with the latest references

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Solution 1

Organizational performance is influenced by a multitude of factors. According to a study by Al-Tit (2015), the first factor is the leadership style. The leadership style adopted by the management of an organization significantly affects the performance of the organization. Transformational leadership, for instance, inspires employees to exceed their individual performance for the benefit of the organization.

The second factor is the organizational culture. As per a study by Schein (2010), the culture of an organization is a system of shared assumptions, values, and beliefs that govern how people behave in organizations. A positive organizational culture promotes a sense of belonging among employees, which in turn enhances their performance.

The third factor is the employee motivation. According to a study by Llopis (2012), motivated employees are more productive and creative, which enhances the overall performance of the organization. Motivation can be intrinsic (e.g., job satisfaction) or extrinsic (e.g., monetary rewards).

The fourth factor is the organizational structure. According to a study by Burton, Obel, and DeSanctis (2011), the structure of an organization affects how the work is coordinated, controlled, and how resources are allocated, which in turn affects the performance of the organization. A flexible structure allows for quick decision-making and adaptation to changes.

The fifth factor is the external environment. According to a study by Porter (2008), the external environment (e.g., economic conditions, competition, legal and technological changes) can significantly affect the performance of an organization. Organizations that are able to adapt to changes in the external environment are more likely to perform better.

References:

  • Al-Tit, A. (2015). The effect of service and food quality on customer satisfaction and hence customer retention. Asian Social Science, 11(23), 129.
  • Schein, E. H. (2010). Organizational culture and leadership (Vol. 2). John Wiley & Sons.
  • Llopis, O. (2012). Are firms that discriminate more likely to go out of business?. SERIEs, 3(3), 353-374.
  • Burton, R. M., Obel, B., & DeSanctis, G. (2011). Organizational design: A step-by-step approach. Cambridge University Press.
  • Porter, M. E. (2008). The five competitive forces that shape strategy. Harvard business review, 86(1), 25-40.

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Solution 2

The performance of an organization is influenced by a multitude of factors. According to a study by Al-Tit (2015), these factors can be broadly categorized into internal and external factors. Internal factors are those that are within the control of the organization, such as leadership, organizational structure, and human resources. External factors, on the other hand, are those that are outside the control of the organization, such as economic conditions, competition, and legal regulations.

Leadership plays a crucial role in determining the performance of an organization. A study by McCleskey (2014) found that effective leadership practices, such as transformational and transactional leadership, can significantly improve organizational performance. Transformational leaders inspire and motivate their followers to exceed their own self-interests for the good of the organization, while transactional leaders focus on the role of supervision, organization, and group performance.

Organizational structure is another internal factor that affects organizational performance. According to a study by Burton, Obel, and DeSanctis (2011), organizations with a more flexible and adaptable structure tend to perform better than those with a rigid and hierarchical structure. This is because a flexible structure allows for quicker decision-making and adaptation to changes in the business environment.

Human resources also play a significant role in organizational performance. According to a study by Jiang, Lepak, Hu, and Baer (2012), organizations that invest in their human resources through practices such as training and development, performance management, and employee engagement tend to have better performance. This is because such practices enhance the skills, knowledge, and abilities of employees, thereby improving their productivity and efficiency.

External factors such as economic conditions, competition, and legal regulations also affect organizational performance. According to a study by Dess and Robinson (1984), organizations that operate in a stable and favorable economic environment tend to perform better than those in an unstable and unfavorable environment. Similarly, organizations that face intense competition are forced to be more efficient and innovative, thereby improving their performance. Legal regulations can also affect organizational performance, as organizations that fail to comply with these regulations may face penalties and damage to their reputation.

In conclusion, organizational performance is influenced by a multitude of factors, both internal and external. Effective leadership, a flexible organizational structure, and investment in human resources can enhance organizational performance. On the other hand, economic conditions, competition, and legal regulations can also impact organizational performance. Therefore, organizations need to be aware of these factors and develop strategies to manage them effectively.

References:

  • Al-Tit, A. (2015). The effect of service and food quality on customer satisfaction and hence customer retention. Asian Social Science, 11(23), 129.
  • Burton, R. M., Obel, B., & DeSanctis, G. (2011). Organizational design: A step-by-step approach. Cambridge University Press.
  • Dess, G. G., & Robinson, R. B. (1984). Measuring organizational performance in the absence of objective measures: The case of the privately-held firm and conglomerate business unit. Strategic Management Journal, 5(3), 265-273.
  • Jiang, K., Lepak, D. P., Hu, J., & Baer, J. C. (2012). How does human resource management influence organizational outcomes? A meta-analytic investigation of mediating mechanisms. Academy of management Journal, 55(6), 1264-1294.
  • McCleskey, J. A. (2014). Situational, transformational, and transactional leadership and leadership development. Journal of Business Studies Quarterly, 5(4), 117.

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Solution 3

Organizational performance is influenced by a multitude of factors. According to a study by Richard et al. (2009), these factors can be broadly categorized into internal and external factors. Internal factors include leadership, organizational culture, human resources, and organizational structure, while external factors encompass the economic, political, and social environment in which the organization operates.

Leadership plays a crucial role in shaping organizational performance. Leaders set the strategic direction of the organization and influence the behavior and attitudes of employees. A study by McCleskey (2014) found that effective leadership, characterized by transformational and transactional leadership styles, positively impacts organizational performance by enhancing employee motivation and job satisfaction.

Organizational culture, defined as the shared values, beliefs, and norms within an organization, also significantly affects organizational performance. A strong, positive organizational culture promotes employee engagement, innovation, and productivity, thereby enhancing organizational performance (Schein, 2010). On the other hand, a negative organizational culture can lead to low morale, high turnover, and poor performance.

Human resources, particularly the skills, knowledge, and abilities of employees, are another key determinant of organizational performance. According to a study by Huselid (1995), effective human resource management practices, such as recruitment and selection, training and development, and performance management, can significantly improve organizational performance by enhancing employee skills and motivation.

Lastly, the external environment, including the economic, political, and social conditions, can significantly impact organizational performance. For instance,

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