Title: Management and Business Context
Submitted to: Submitted by:
Laura Baker Nitin Goswami
Student ID:12049540
Date: 17/04/2017
Managing business with appropriate business management strategies is the most essential and effective action within the business structure. But there are some areas in business and management that are vulnerable to the critical issues and such areas needs close attention in order to resolve the issues (Blasini & Leist, 2013). Here, the, issues in the context of business and management are discussed based on an organisation called the Bunnings. Bunning’s’ is one of the largest retailers in Australia and New Zealand who provide home improvement products along with an outdoor living product. It is also one of largest suppliers of tradesperson projects and commercial housing materials (Home, 2017).
Aim and above-mentioned: the aim of this report is to explore the critical issues in the business and the management context and deliver the internal and external contextual factors that impact the decision making a process of the respective organisation (Sponselee et al. 2012). Thus, the objectives in this regard can be cited in the following terms. To address the critical issues in business and management of Bunning’s and to evaluate external and internal contextual factors influencing the decision-making process. The ways in which international and domestic contextual factors are influencing business strategy and structure of Bunnings.
The essay intends to address the above-mentioned objectives and delivers insight regarding the factors in the business and management in the respective organisation.
Any organisation needs extensive concentration on its business strategies to maintain the efficiency of its management group and business activities. Instead of the fact, there are several aspects of the business and management that needs special attention in order to avoid critical issues in this regard the critical issues in business and management can be identified in terms of issues in the human resource management, employee relation, marketing, finance and so on (Jääskeläinen & Laihonen, 2014). Thus, the most prominent issues can be recorded within the human resource management and employee relation that are vulnerable to get affected by any organisation change irrespective in internal of external sources. In the case of Bunning’s the critical issue in the employee, relation management has been recorded as past history manifests in 2016 the manager of Bunning had launched a complaint against his supervisor which had created complexities within the organisation (Sellam et al. 2012). Another issue is detected in the form of bullying to employees by their superior that affected the business activities as well. Thus, much strategic planning has been adopted by the organisation in order to convince the employees regarding their moral safety, but more intense practices could be incorporated.
On the other hand, in order to incorporate information regarding the contextual factors in an organisation, the definition of contextual factors can be delivered for the better understanding of the facts related to it. The context in relation to an organisation can be realised in terms of a particular situation that is able to define the situation and a contextual factor refers to the factors that influence that particular situation (Gokmen & Ozturk, 2012). In the case of Bunning’s, the internal and external contextual factors are recognised in terms of goals strategy of the organisation, the internal and external environment, along with the organisational culture, a technology used in the company and most importantly the size of the organisation. The external contextual factors like the competition in the market, changing working trends, consumer demands have evidently influenced the business practices of Bunning’s as the performance delivered by the employees are able to satisfy consumers and clients in the housing industry (Mattor & Cheng, 2015). In relation to the internal contextual environment that includes the organisational goal, employee management, workforce performance and so on. Here the issues in the employee management have influenced the business management activities within the organisation as such incident is able to affect other employees as well (Kang & Sungkuk, 2015). In this regard, the implementation of the contextual theory of learning can be implemented in order to understand the drawbacks that cause issue in the employee relation and on the other hand, it would also help in understanding the ways to resolve issues in the respective organisation through effective decision making. The contextual learning theory refers to the accumulation of knowledge in an organisation for learning in two ways, firstly, the accumulation of data from the affected area of the organisation and secondly, transcribing it into information and knowledge in order to support the organisational decision-making process (Kang & Sungkuk, 2015). The process of this entire learning theory can be explained through below diagram.
Data→ Information→ Knowledge→ Action→ Learning→ New Knowledge
Related to the critical issues detected within Bunning’s, this learning theory of contextual factor can be applied through accumulating data regarding employee demand and satisfaction of their works and transforms into a reliable source of knowledge that could help in decision making for the board of directors of the respective company. In this manner through the learning theory of contextual factors organisational decision making can be influenced (Rashidirad et al. 2014).
In the context of evaluating the domestic and international contextual factor in relation to the respective organisation, it has been realised that contextual factors can be political, economical, technological, and cultural and so on. Before taking decisions regarding critical issues in an organisation these factors can be considered in both domestic and global aspect. Non-consideration of these contextual factors may result in failure regarding the product marketing and industrial success and it is also apparent that such situation may deliver domestic success but in the international environment, it is quite a difficult job to do (Adekanmbi et al. 2011). Bunning’s currently selling their services based on the domestic contextual factors like market trend, consumer demand, and customer satisfaction and so on. But in the international market, the company is developing strategies depending on the ecological factors. Thus, regarding the impact of these both contextual factors upon the business structure and strategy, it can be asserted that in some cases Bunning’s do no change or let the factors impact their business structure like the way they work (Liu & Dong, 2013). The respective organisation has concentrated on the sales and marketing strategies that are influenced by the domestic contextual factors like consumer preference, demand, and productivity and so on (Samuel Craig et al. 2009). On the other hand, the business structure is not influenced by the international contextual factors like environmental factor, economic, cultural and political factors. Thus, it can be cited that the contextual factors are able to influence the organisational activities, but in the case of Bunning’s the contextual theory of learning could help in taking the right decision regarding organisational improvement and development at the same time (Hlebec & Filipovic Hrast, 2016). It is expected that the critical issues in the business and management related to the employee of Bunning’s can be resolved.
In conclusion, it is imperative to state that the business is vulnerable to issues and it is the utmost responsibility of management to resolve the issues in a skilful manner. Here the critical issues in business and management in relation to Bunning’s are discussed and the critical issue in employee relation is detected as well. Thus, through the evaluation of the external and internal contextual factors along with the factors related to the international and domestic environment, the influences upon organisational structure and strategy can be identified. The incorporation of contextual learning theory is also effective in delivering scope to find ways to influence the decision-making process. Thus, it can be concluded that Bunning’s can resolve the issues in its human resource management through the implementation of learning theory to get relevant and effective learning skills, to resolve issues in the human resource department of Bunning’s several recommendations can be provided which would help the organisation to concentrate more on the required areas and reduce chances of issue occurrence. Thus, the suggestions are delivered in the following manner with the board of directors must generate a mutual meeting between the managers and the subordinate to deliver insight regarding organisational goals and the sense of equal contribution within the organisation. Bullying is one of the most non-acceptable acts in an organisation and for preventing it employees of the respective organisation should highlight the discrimination act 2010. Employees should be encouraged for their performance and strict action must be taken against the employee abuse. Direct interaction between employer and employee is the key to resolving issues in employee relation and Bunning’s must incorporate team through which the inconvenience and requirements of employees could be recorded. The direct interaction could deliver a sense of importance which eventually influences the employee performance and commitment.
Thus, with such recommendations it can be expected that Bunning’s could solve the issues in the human resource and incorporate an environment of proficient workers in the organisation.
References
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