Organisational Structure Function And Reason Commerce Essay

This paper will try to pull on theories for analyzing and depicting the organizational construction, map, and ground for being of the Adidas shopping mercantile establishment at the Westfield shopping Centre. In relation to this, the paper will take to explicate why administrations exist, provide a description of organisational construction and design, and carry out an analysis of some of the factors that influence how administrations function. This will include an overview of the store, including an account of why it exists. First, an lineation of the Adidas retail shop will be given, followed by an account to warrant why the store is classified as an organisation. Subsequently, some of the theories of organisational construction will be introduced to analyze the functional procedures of the store, every bit good as explicating the impact of the external environment in which the store operates. Furthermore, the paper will try to analyze how such organizational theories have influenced the structural design of the store, followed by a brief decision to the survey.

overview and analysis

The Adidas store at the West field shopping Centre is really alone and antic for purchasing featuring outfits and exercise demands. The layout of the shop itself is really friendly and simple with work forces and adult females ‘s subdivision on opposite sides, and trainers registered at the forepart and back. The topographic point is reasonably new, and the staff is well friendly. The store operates preponderantly in one industry segment- the distribution and selling of athletic and athleticss life style merchandises largely designed by Adidas. In order to understand how the construction of this store has been laid out, it is of import to understand what an organisation represents.

First of all, forming is a manner of set uping working relationship and constructions amongst workers to enable them accomplish the ends of the concern in an effectual and efficient mode. Furthermore, the construction of an organisation is the formal system of coverage and undertaking relationship which will find how workers will use resources to accomplish the aims of the house. Besides, the design of the organisation is how directors specifically make certain organisational picks which consequences in building a peculiar construction for the organisation. Hence, the construction of an organisation is the platform that helps in edifice direction. Furthermore, it has a relation with constructing a model that helps to split the general work into constituents which are manageable, in order to ease the accomplishment of ends and aims. Therefore, an administration is the mechanism or construction which helps a group of people to work together.

In order to find whether the Adidas store at the Westfield shopping Centre is an organisation or non, it is of import to find the chief characteristics or features of an organisation. First, an organisation should hold an lineation of aims. Upon making some probes, it was realized that the shopping mercantile establishment has its aims of doing gross revenues on merchandises. Besides, there are other aims that have been established by direction in back uping the chief aims. Another determination was that, direction has identified the overall hazard involved and divided activities that are closely related to be performed by different persons in the store. Furthermore, responsibilities have been assigned to shop floor workers whilst authorization has been granted and defined to other line or helper directors and supervisors who have relationships with the store workers in a professional mode.

Harmonizing to the eventuality theory of direction, organisational constructions are designed by directors to suit the fortunes or factors which affect the company and do them the biggest uncertainness. After a small research, it was besides realized that the construction in the Adidas store is invariably been changed by the director in order to suit the retailing state of affairss of clients and the shopping Centre in general. Hence, the organisational accounts and eventuality theory proves that the Adidas mercantile establishment at the Westfield shopping Centre can justly be confirmed as an organisation. However, the inquiry is whether it is a formal or informal organisation. The findings shows the most outstanding characteristics of the store as the set down construction of the store by the directors, specialisation and division of labor to persons to do them more efficient, and the concentration on occupations to be performed instead than persons. These are some of the characteristics of a formal organisation which makes the store more suited as one.

When it comes to their enlisting procedure, probe shows that the store has a really strict procedure of engaging dedicated and smart persons who have experience in the sporting industry. They recruit really skilled workers and advanced encephalons from the London countries. Furthermore, the store has really flexible hours. For illustration, they consider engaging adult females where work forces are largely employed. The construction of their leading manner is largely participative instead than bossy. Harmonizing to Jewitt, ( 2009 ) , participated leading manner is one in which a mental and emotional engagement is created by the leader to actuate followings in carry throughing aims or ends set by the concern. In respects to this, the Adidas shopping mercantile establishment is really advanced and follows the participative manner by affecting its workers in all facets of the concern. Harmonizing to one of the workers, the store floor workers are all involved in absorbing, measuring, and measuring new thoughts for the store and non merely the directors. Besides, the mode in which the store accomplishes their ends is what the neoclassical theory of direction classifies as human dealingss and group or single behavior in finding productiveness. This is because the store uses functional benefits, squad edifice and engagement within the work force in carry throughing their ends. This is all done within the concatenation of the store and non implemented in the working spouses outdoors.

Maslow suggested that a human is motivated by his or her desire to fulfill assorted degrees of demands. Similarly, the theory by Hertzberg emphasizes on the fact that a good employee is good satisfied. Besides, the other factors are hygiene factors that have a relationship with the environment and the occupation itself. Maslow ‘s hierarchy of demands are self-actualization and regard, societal belonging, safety, and physiological demands.

Maslow Hierarchy of Needs

Beginning of diagram: Albrecht ( 1983 )

The inquiry is how this relates to the structural processs of the Adidas store. First of wholly, it was realized that the direction make a reappraisal one time in about six months to research the demands of the workers and seek to fulfill them. For illustration, in an effort to fulfill their demands physiologically, they try to pay them better, and give them flexible displacements that suit their life style. They besides give them wagess in some easy ways like vesture one time in a twelvemonth from their ain work. In footings of safety, the company has good security work forces around the store floor and wellness and safety regulations in topographic point. The organisational construction has besides been designed to suit the self-pride of workers. It was realized that clients, helpers, and tellers are respected by their squads and governments in each portion of the shopping floor.

In utilizing the above diagram to explicate, all the members of the store are encouraged to portion a cardinal cardinal construct around which the retail store is based on. These common ends and values make the workers a coherent squad. This can about be reflected or similar to something like the diagram below.

Beginning of diagram: Albrecht ( 1983 )

However, there is no uncertainty that the external environment has an impact on the Adidas retail mercantile establishment. There is a immense competition amongst similar rivals all around the Westfield shopping Centre with immense sums of other retail stores that deal in similar merchandises. In an effort to explicate how this affects their organisational construction, some of the porter ‘s five forces theory will be used. There are a immense figure of stores in the shopping promenade that are viing against the Adidas shopping mercantile establishment. Hence it affects their gross revenues construction and they have to ever re-adjust to get the better of this competition. Besides, the vesture and places industry has been consolidated in recent old ages. As such, all the stores want to catch this chance. Another job is the low differences in merchandises. Hence, every trade name in the Westfield shopping promenade have similar merchandises to the one sold by the Adidas store. This changes the structural form of the manner they import new goods from abroad and other Adidas mercantile establishments.

For illustration, due to this ground, the direction introduced a cardinal public presentation index into their structural demands. This is something which reflects the factor for success in the concern. They have established their KPI in the signifier of a balance mark card in order set the criterion of public presentation harmonizing to the procedure of control. Below is a similar card which they have late established.

Beginning of diagram: Jewitt, ( 2009 )

However, despite this mechanism, the design of the store is still influenced by certain factors. For illustration, the organisational theories by ( Taylor, 1947 ; Weber, 1947 ; Fayol, 1949 ) trade with the constructs and formal organisation to increase the efficiency of direction.

One of the chief theories that have a great impact on the construction of the store is the modern theories. These theories are based on the construct that an organisational system has to accommodate to environmental alterations. Besides, a close expression at their construction showed some of the features that are noteworthy to the modern theoretical attacks. For illustration, the store is seeking to go multidimensional and multileveled, multidisciplinary dynamic interaction procedure, and adaptative to altering state of affairss in the shopping environment.

Modern apprehensions of the organisation can be loosely classified into the systems attack, socio-technical theory, and a situational or eventuality attack. Harmonizing to Pasmore ( 1988 ) , the socio-technical systems attack is based on the fact that all organisations contain proficient systems, environment and people. Hence, in respects to the socio-technical theory, the organisation is considered as a aggregation of proficient system, societal system, and its environment. There is an interaction amongst these constituents which is of import to equilibrate in order for the organisation to work decently. In relation to this theory, it can be noted the Adidas store turned to providers of ICT for electronic systems to give support to the new vision of the shopping procedure. There has now been an addition in the endeavor systems that incorporate a scope of communicating and processing, information storage to back up the maps of the store.

The systems approach positions an organisation as an interconnected composed system which reciprocally depends on sub systems. Harmonizing to Albrecht ( 1983 ) , a system can be viewed as a composing of procedures, maps and constituents. Furthermore, Bertalanffy ( 1951 ) , significantly contributed by proposing a general systems theory constituent which is acceptable as a basic premiss of modern theory. Based on this theory, it can be said that the environmental factors which compels direction of the store to re-structure the shopping processs are the rivals, providers, clients, and the authorities. These factors can efficaciously alter the hereafter of the Adidas store direction. These are the interrelated constituents which reciprocally depend on sub-systems as suggested by Albrecht ( 1983 ) .

The eventuality attack ( Woodward, 1965 ; Burns and Stalker, 1961 ; Selznick, 1949 ; Lawrence and Lorsch ( 1967 ) is based on the premise that different state of affairss require different accommodations. The systems in an organisation are interrelated with the environment. Similarly, Hellriegel and Slocum ( 1973 ) , suggests that different organisational relationships require different environments to go effectual, sing assorted proficient, political, legal, and societal economic factors. This factor has been really influential on the store construction. This is because as the store is turning bigger and doing day-to-day enlargements, the construction of the store is going more formal. They are now utilizing more complicated and indirect mechanisms for control. This comes in the signifier of more specialised occupation, units and staff on the store floor.

Besides, the scientific direction attack is based on the work planning construct in order to accomplish standardisation, efficiency, simplification and specialisation. The inquiry is how this attack has besides influenced the construction of the store. In respects to this, it was realized that the shopping mercantile establishment has started to deskill as they have different persons to scan merchandises, stack vesture and trainers, and manage questions which has besides adapted some facets of Taylor ‘s division of labor.


This paper has used the Adidas shopping mercantile establishment at the Westfield shopping Centre to show that forming is a manner of set uping working relationship and constructions amongst workers to enable them accomplish the ends of the concern in an effectual and efficient mode. Furthermore, the construction of an organisation is the formal system of coverage and undertaking relationship which will find how workers will use resources to accomplish the aims of the house. Besides the design of the organisation is how directors specifically make certain organisational picks which consequences in building a peculiar construction for the organisation. Finally, the paper has proven that certain theories of an organisation have a significant influence on the organisation construction of a concern or direction processs.


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