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CASE STUDY

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organization theory case study henry fayol

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Page 1: Case Study Solved

CASE STUDY

Page 2: Case Study Solved

CASE STUDY (SOLVED)

1. According to Fayol, what are the five key functions of management?

A. According to Fayol, the five functions of management are :

i. Planning: Planning is the first function of management. It refers

to developing strategic objectives and planning ahead, devising

goals and evaluating the plan of action to reach those goals.

ii. Organizing: Organizing refers to assembling raw materials, staff

and capital for the smooth running of the organization and

implement a good working structure.

iii. Commanding: This function involves giving out clear

instructions and orders to subordinates for effectively carrying

out tasks.

iv. Coordinating: For smooth running of the organization,

employees need to be coordinated and thus, motivation and

discipline needs to be stimulated amongst all the organization

members.

v. Controlling: The last management function is controlling. This

refers to ensuring that the organization is going on the right

track. This is done by measuring the output and comparing it

with the set out targets.

Page 3: Case Study Solved

2. Give some specific examples of tasks carried out by managers at British

Gas?

A. A number of tasks are carried out by managers at British Gas , for

example :

Tasks performed by service managers:

i. Monitoring performance of team members: The performance of

the team members needs to be measured to ensure that the

organization is meeting its targets.

ii. Meeting needs of customers: It is important for every

organization to meet the needs of their customers and keep them

satisfied in order to generate repetitive sales.

iii. Positively promoting British Gas and its products: Another

important task of these managers is positively promoting the

products of British Gas.

iv. Dealing with customer complaints: These managers need to

effectively deal with customer complaints in order to have

happy and satisfied customers.

v. Setting targets for employees: Targets need to be set out for

employees for encouraging and motivating customers.

vi. Communicating effectively and building strong customer

relations

vii. Maintaining good relations with other team members

Page 4: Case Study Solved

Tasks performed by Operational Managers:

i. Monitor standards and set targets for improvement: British Gas

measures the output it is generating and compares it to the set

targets to measure the performance and pace of the organization

and set out targets for improvement accordingly.

ii. Managing budgets: Another important task of operational manager

is managing the budgets of the organization to even out its

expenses and revenues.

iii. Identifying areas where efficiency can be improved: Improving the

efficiency of the organization is also an important part of an

operational manager.

iv. Increasing profitability of the organization

3. Using the case study for guidance, explain the skills required by

managers at British Gas?

A. The skills required by managers at British Gas are:

i. Effective communication skills: Managers at British Gas need

strong communication skills in order to effectively communicate

within and outside the organization.

ii. Knowledge regarding customer service: Managers must have the

expertise and knowledge regarding customer service to know their

growing needs and demands and fulfill them accordingly.

Page 5: Case Study Solved

iii. Conceptual Skills (Financing etc.): The major skill required by a

manager is conceptual skill for strategic decision making, and

other tasks like budgeting, financing etc.

iv. Human (Interpersonal) skills: In order to effectively work with and

within teams (teamwork), a manager must also possess human

skills.

v. Technical Skills (IT etc.): Lastly, a manager must have technical

skills in order to deal with the growing use of information

technology.

4. Analyze whether an operational manager at British Gas would make a successful manager at another organization.

A. According to the text, the skills required by an operational manager at British Gas are customer service, teamwork, communication, IT and finance. These skills are skills that managers at every organization requires in order to manage their organization effectively. Thus, an operational manager at British Gas would most likely be successful in other organizations as well since their skills are transferable (applicable in other fields). However, the manager may also require a range of specific skills in the new organization which may require the manager to up-skill as s/he previously did at British Gas.