Research Articles Base: PCCW Case Studies

Employee motivation in international business organizations: the case of PCCW on workplace learning

Employee motivation in international business organizations: the case of PCCW on workplace learning   Background of the Study             PCCW is world-renowned in terms of motivating its staff to perform well. It is said that the PCCW management have blossomed on its local/domestic home country and moved on to internationalize its business operations to some other countries/continents. This corporate successful growth is not only attributed to the financial and managerial capabilities of the executive management but also on its entire labor force. It is acknowledge that employees are the fuels of any profit-generating industry. Their motivation to work and excel on their prescribed job positions and predetermined job responsibilities is rooted on their personal as well as occupational inclinations. It is important to provide outstanding services to the customers in order to maintain the competitiveness power within the industry. This can be acquired through learning. The employees are the biggest asset in every given industry. In order to maintain a competitive workforce and retain employees, the organization’s Human Resources Department (HRD) conducts different kind of training courses as form of learning intended for the employees for the goals of learning and improving their service-related capacities. However, it is very important to identify what motivates employees to learn.             PCWW recognizes the need to have the best people with the most promising and passionate commitment, drive and desire to learn. They offer a matchless opportunity for career development. Their particularity in career development extends toward leadership, training and professional development. In leadership, developing talent for key operational roles is crucial especially in relation to the growth of the Company’s businesses. At PCCW, there is an apparent opportunity for personal and professional growth and learning. PCCW have outstanding development programs, such as the business associates and trainee engineers schemes, that aim to educate, update, and continuously build up employee skills and exposure. In training, the Company operates an intensive Trainee Engineer Scheme that is accredited by the Hong Kong Institution of Engineers. This development scheme aims to prepare staff for long-term career in the Company’s engineering and IP departments. PCCW also offers their staff more than 15,000 days per year of business and management training, corporate and business marketing, and outbound, inbound and retail sales. In professional development, PCCW working environment facilitates continuous learning process but only in different classrooms. The dynamics of business environment and staffs’ skills requires the Company to acquire new knowledge and abilities that will contribute to the “forward” movement of the whole Company, business operations and its individuals especially in the 21st century. Because of their effective methods of motivating their staff, the question on how do they motivate employees in relation to workplace learning is to be illuminated. Granted that there are given employee development programs, do the Company offer other motivational factors to attract employees to participate? This research study aims to find out the employees’ incentive preferences in relation to their motivation to learn. Generally, the study looks on the motivation process exemplified by PCCW. Motivation theories in relation to learning are considered particularly in its incentive system as well as its effectiveness. By understanding these dynamics, HRD and the Company management can implement the most appropriate motivational system to encourage the employees on learning and increase their effectiveness and productivity. Looking on a variety of sources, the function of HRD significantly influences the employees’ abilities and motivation (1995). This concept has been supported by a number of other authors and analysts (1996;1997). (2000) stated that the HRD plays a key role in leveraging the knowledge of the organization specifically the enhancement of the abilities and skill of the employees. A substantial body of research literatures is present and available yet they generally tackle specific HR practices and performance (1990;  1994; , 2000). Earlier literatures in relation to incentive system indicate that incentive system work for the purpose of motivating employees; drawing and maintaining people with the suitable knowledge, skills, and abilities required in achieving the firm’s strategic goals; and creating an accommodating organizational culture and structure (1973;1989; 1988). In addition,  (1992) assert that the old form of compensation, mainly characterized by pay structures based on job analyses, descriptions, specifications, and classifications, is no longer relevant, applicable, and effective especially when applied in today’s business environment. According to (2004), when organizations value and reward people, those people are committed to performing well. While majority of research studies are conducted on the subject of motivation, they remain to be generic, more likely as motivation itself. In here, there is a need to conduct specific reference to an emerging industry that specializes in telecommunications and operates beyond geographical borders. This research mainly fits the need to formulate focused, specific, and innovative body of knowledge that will increase the awareness and provide a better understanding of the issues and problems concerning most companies and organizations and for the purposes of contributing effective approach in addressing staff motivation problems.   Research Questions <li class="MsoNormal" style="text-align: justify"> What are the motivational factors and other related factors that affect employee motivation on learning exemplified by employees of PCCW? </li> <li class="MsoNormal" style="text-align: justify"> What are the incentive preferences of employees of PCCW in relation to workplace learning? </li> <li class="MsoNormal" style="text-align: justify"> How effective are these incentive system when applied to the process of learning? </li>   Research Method This study is descriptive in terms if its purpose, qualitative in terms of its process, case study in terms of methodology, and applied in terms of its outcome. The descriptive approach is used to describe the nature or condition (1994) of PCCW in relation to its motivational initiatives towards organizational learning. The advantages of this approach include quickness and flexibility and serve as an extension or a forerunner to a piece of exploratory research, a valuable research approach employed to discover what is happening; seek new insights; ask questions; and/or evaluate a phenomenon in a new light (2002). Further, the qualitative approach is used to measure useful data that are not immeasurable, such as feelings, beliefs, thoughts, and others. Qualitative information derived from the research then serves as basis for programme recommendations. Lastly, the case study approach is for the development of full understanding of the case as possible and is not linked with any particular research technique. This method involves the researcher to inquire deeper and examine thorough behaviors of a person or a circumstance. It also includes the discovery and identification of all the important variables which have contributed to the history or development of the chosen subject. This means that the researcher is going to gather data which include the past experiences and present condition of the subject as well as the environment. It will attempt to find out how these factors relate to one another and how they have affected the subject. Case study, like qualitative approach, allows a variety of information and facts to be collected and to be used for development of practical recommendations or solutions to problems identified. The participants/subjects of this case are PCCW employees who are purposively chosen. The participants and interviewee are personally selected by the researcher on the basis of position, duties and the recommendation from pertinent individuals as sources. Since the study is deemed to be descriptive, qualitative, and case study in terms of approaches, data gathering procedures are limited to the observations and generalizations obtained in the corporate website of the Company and responses of participants and interviewee as primary data while literatures related to the following key words: employee motivation, incentive system, workplace learning, international business operations, and other related subjects that are collected from articles in journals, research studies, reports, policy documents, theses, papers presented at professional meetings, and documents available to the public on the internet are secondary data. In data analysis, descriptive, qualitative, and case study research methods were used to complete the study. The research variables, on the other hand, were first analyzed to provide descriptions of the factors that were relevant to the topic. The variables of the study were researched qualitatively whereas the data, situations, or facts collected were explained or correlated with other information. In sum, in this study qualitative research methods were used because the researcher attempted to construct theories that would explain the relationship of one variable to another. With this method, non-standard elements such as behavior, attitudes, opinions, and beliefs were analyzed.   Timescale and Resources The following tasks and dates are targeted by the researcher, yet considered provisional: <ul style="margin-top: 0in; margin-bottom: 0in" type="disc"> <li class="MsoNormal" style="text-align: justify"> Agree initial PROJECT OUTLINE with Workshop – November 10-14, 2007 </li> <li class="MsoNormal" style="text-align: justify"> Submit your PROJECT PROPOSAL to local office for forwarding to University PROJECT PROPOSAL – November 21-25, 2007 </li> <li class="MsoNormal" style="text-align: justify"> Continue work on project – November 19-30 to December 1-20, 2007 </li> <li class="MsoNormal" style="text-align: justify"> Receive feedback from University on your PROJECT PROPOSAL three weeks from submission date – January 17-20, 2008 </li> <li class="MsoNormal" style="text-align: justify"> Complete the first draft of Final Project Report – January 21-31, 2008 </li> <li class="MsoNormal" style="text-align: justify">  Revise work to produce final draft – February 1-7, 2008 </li> <li class="MsoNormal" style="text-align: justify"> Write up Final Project Report – February 8-14, 2008 </li> <li class="MsoNormal" style="text-align: justify"> Produce Final Project Report in finished form and bind – February 15-28, 2008 </li> <li class="MsoNormal" style="text-align: justify"> Submit Final Project Report to local office for onward forwarding to University Final Project Report by Submission Date to local office – March 5, 2008 </li> </ul> The resources are the following: Computer set and internet connections, Transportation, Hospitality items, Copy of literatures or access to online libraries, Voice recorder, and Papers and other writing materials.   Credit:ivythesis.typepad.com

Employee motivation in international business organizations: the case of PCCW on workplace learning

Employee motivation in international business organizations: the case of PCCW on workplace learning Background of the Study ...

Management of Change

Table of Contents     Executive Summary                                                                                  p. 2   Prescription for Change             A. Vision for Renewed Organization                                         p. 3             B. Direction for Scope and Change                                          p. 4             C. Speed of Change                                                                      p. 5   Proposed Actions                                                                                      p. 7      Executive Summary             From the previous assignment, it can be understood that despite the active participation of PCCW in the industry of Hong Kong, it still encounters several problems and issues that makes its business somehow lead into failure. The problems or issues discussed in the previous assignment include the following:             First problem encountered by the company is the change in ownership or management of the company, as  resigned as the company’s Chief Executive Officer, and even agreed to sell his indirectly held 22.66% stake in the company (2006). This problem is the result of another problem of the company, which is the piling up of its debt, which led it to sell its stocks and the whole company to other telecommunications company. Increase in the competition among the industry also became the problem of the company, for with the increase in competition sales and profit will be decreased, thus, becoming a threat to the success of the company in the market. Increase in competition gave way to monopolies, which further reduced the profit of the company. As a response of the company to such problems, they opted to reduce their workforce for cost reduction in the company, due to the slowing down of operations. All of these problems were consequences of Hong Kong’s failure to bid with China, for at the time, China does not want to be associated with a company that is connected to the Singapore government. In addition to this problem, the overall issue encountered by Hong Kong companies, such as PCCW, is the slow development of the infrastructure in East Asia that contributed to the decline of the businesses in different parts of Asia, including Hong Kong.             These problems led to the decline of the performance of PCCW, which became an issue in Hong Kong. With this, several implementation or action plans will be proposed, as solutions to the problems and issues encountered. These would include the vision for the renewed organization, the direction and scope of change, and the speed of change.     Prescription for Change – “A Giant Leap for a Strong Come Back”   A. Vision for Renewed Organization             In line with the changes needed by the company, its vision must also change as an answer to its renewed short-term and long-term goals or objectives. Because of this, a new mission statement must also be proposed. New Mission Statement: PCCW-HKT is an empowered business organization that provides high quality, practical, and innovative technological and communication solutions with its aim for customer satisfaction and brand loyalty. It serves to be the leader in the technological and communication industry, through being a good example for other companies, through putting first the welfare and well-being of the company’s workforce before anything else. The company will also focus on implementing new business and management strategies that would enhance the skills and potentials of the employees. The company will also be creating its identity, which would represent its services and solutions, to contribute to its overall image, as the leading provider of telecommunications and innovative technology in Hong Kong and in other parts of the world.             B. Direction and Scope of Change             The direction and scope of change of the company must involve several steps that would serve as possible solutions to the problems encountered by the company. These directions and scope are as follows: <ul style="margin-top: 0in; margin-bottom: 0in" type="square"> <li class="MsoNormal" style="text-align: justify; text-justify: inter-ideograph; line-height: 200%"> Coming up with new projects and strategies as an answer to the delay in development of infrastructures in East Asia</li> <li class="MsoNormal" style="text-align: justify; text-justify: inter-ideograph; line-height: 200%"> Collaborating with and making agreements and treaties with China to agree with the bid</li> <li class="MsoNormal" style="text-align: justify; text-justify: inter-ideograph; line-height: 200%"> Finding additional revenues to be able to repay debt, such as fund raising activities, solicitations, and sponsorships</li> <li class="MsoNormal" style="text-align: justify; text-justify: inter-ideograph; line-height: 200%"> Adopting a Matrix form of Organizational Design</li> <li class="MsoNormal" style="text-align: justify; text-justify: inter-ideograph; line-height: 200%"> Reducing costs through finding new suppliers and cheaper alternative materials </li> <li class="MsoNormal" style="text-align: justify; text-justify: inter-ideograph; line-height: 200%"> Reduce laying off of workforce through compensations and increase in motivation through job redesign, job enlargement, and job rotation</li> <li class="MsoNormal" style="text-align: justify; text-justify: inter-ideograph; line-height: 200%"> Joining monopolies to increase profits and lessen competition</li> <li class="MsoNormal" style="text-align: justify; text-justify: inter-ideograph; line-height: 200%">  Enhancing the company’s operations management through implementation of Total Quality Management</li> <li class="MsoNormal" style="text-align: justify; text-justify: inter-ideograph; line-height: 200%"> Adopting and implementing new leadership styles </li> <li class="MsoNormal" style="text-align: justify; text-justify: inter-ideograph; line-height: 200%"> Improvement and development of cultural web in the company and among employees</li> <li class="MsoNormal" style="text-align: justify; text-justify: inter-ideograph; line-height: 200%"> Adopting new information system and other communication programs</li> <li class="MsoNormal" style="text-align: justify; text-justify: inter-ideograph; line-height: 200%"> Maximization of e-commerce and the use of the Internet for transactions and negotiations</li> <li class="MsoNormal" style="text-align: justify; text-justify: inter-ideograph; line-height: 200%"> Retaining customers through value added customer service</li> </ul>   C. Speed of Change              The direction and scope in relation to the changes of the company must be implemented effectively and efficiently to guarantee the successful come back of PCCW in the market and industry of Hong Kong. However, to maximize and effectively utilize the effects of the scope and direction of these changes, a time frame or period must be set. <ul style="margin-top: 0in; margin-bottom: 0in" type="square"> <li class="MsoNormal" style="text-align: justify; text-justify: inter-ideograph; line-height: 200%"> Speed of Change: This must be done in two to three months time after auditing the total revenues and sales of the company. </li> </ul> <ul style="margin-top: 0in; margin-bottom: 0in" type="square"> <li class="MsoNormal" style="text-align: justify; text-justify: inter-ideograph; line-height: 200%"> Speed of Change: This must be done and implemented in two to three months time after coming up with new strategies, so as not to further reduce the company’s resources in Hong Kong.</li> <li class="MsoNormal" style="text-align: justify; text-justify: inter-ideograph; line-height: 200%"> Speed of Change: This must be done simultaneously with attaining agreements with China, to compensate with the loss of resources of the company. </li> <li class="MsoNormal" style="text-align: justify; text-justify: inter-ideograph; line-height: 200%"> Speed of Change: This must be accomplished in one or two months time after the selling of the company and after the assigning of its new Chief Executive Officer. </li> <li class="MsoNormal" style="text-align: justify; text-justify: inter-ideograph; line-height: 200%"> Speed of Change: This must be done simultaneously with finding additional revenues to reduce costs and not spend the company’s existing resources. </li> <li class="MsoNormal" style="text-align: justify; text-justify: inter-ideograph; line-height: 200%"> Speed of Change: This must be implemented soon after the assigning of the new Chief Executive Officer, except for reasons that would present threats to the company.  </li> <li class="MsoNormal" style="text-align: justify; text-justify: inter-ideograph; line-height: 200%"> Speed of Change: If agreements with China are not successful </li> <li class="MsoNormal" style="text-align: justify; text-justify: inter-ideograph; line-height: 200%"> Speed of Change: This must be done one to three months after assigning of the company’s new CEO</li> <li class="MsoNormal" style="text-align: justify; text-justify: inter-ideograph; line-height: 200%"> Speed of Change: This must be done three to four months after assigning of the company’s new CEO, to evaluate and assess the performance of the employees under new management </li> <li class="MsoNormal" style="text-align: justify; text-justify: inter-ideograph; line-height: 200%"> Speed of Change: This must be accomplished all throughout the employees’ stay in the company</li> <li class="MsoNormal" style="text-align: justify; text-justify: inter-ideograph; line-height: 200%"> Speed of Change: This must be adopted and implemented six to eight months of assigning the new CEO</li> <li class="MsoNormal" style="text-align: justify; text-justify: inter-ideograph; line-height: 200%"> Speed of Change: This must be accomplished after adopting new IT systems </li> </ul> Speed of Change: This must be accomplished all throughout the course of the company’s business. Proposed Actions             One of the problems identified was the lack of overall development of infrastructures in East Asia, and this contributes the company’s becoming stagnant in terms of its development. With this problem, the company should not wait for the development of whole East Asia for it to be able to develop as a company, for the development of East Asia depends on a myriad of factors that interrelate in the economy, politics, and society of different countries under it. With this, PCCW must therefore try to find new materials that would suit the infrastructures in Hong Kong and other parts of East Asia. The company must therefore invest and allocate time and effort on its Research and Development in its quest to find new supplies and materials. In relation to the performance of the workforce, performance management can be implemented, which is an important process for influencing both the extrinsic and intrinsic motivations of employees, that is, increasing employees’ perceptions and understanding of job tasks and subsequently their job satisfaction. PCCW can focus on much more effective performance appraisal activities that would enable job analysis of employees, thus, placing them on the right positions in the company. This would serve to assist employees in reducing job errors and minimizing the risks of learning through trial and error. This, in turn, is based on the belief that an effectively designed, implemented, and administered organization can provide its members with a myriad of benefits ( 1987). In addition, the literature on performance management generally suggests that the management process can increase employee motivation and productivity, provide a solid basis for wage and salary administration, facilitate discussions concerning employee growth and development, provide data for human resource decisions, and provide managers with a useful communication tool for employee goal setting and performance planning (1989). In this regard, such can be achieved through implementation of job rotation, job redesign, and job enrichment that would enable the employees to empower themselves not only with regards to their performance in the company, but with how they perceive themselves as well. Reduction of costs of the company can be achieved through outsourcing units or departments, such as its customer relationship management system and its call center. In addition to outsourcing, the company can also reduce costs by switching stations, such that changing their usage would enhance the use of the stations and reduce their maintenance costs (2007). Another solution for the problems of the company is to increase its revenues, which can be done in two ways. First, the company can increase its prices, which would be difficult, as it has to seek first the approval of the current OFTA policy; so the second strategy is more applicable, which is to add new services, such as adapting the VoIP over broadband internet. This is becoming the trend in Hong Kong, thus, its implementation, along with adding some value added services that Hong Kong Broadband Network lacks, is the best source of additional revenue (2007). In addition to this, the company can also promote new services, packages and promos to attract more users. Moreover, improvement of the operations strategy of the company can be implemented to ensure its success and efficiency in the market. Improving the company’s operations strategy involves supply chain management, which is the coordination of the different relationships existing across the supply chain, and involves both intra-business and inter-business relationships (1997). In managing the different aspects of the supply chain, the nature of the process links between the different components differ because of the different characteristics and requirements in developing a relationship between these processes. This is because the movers of integration are contextual differing across the different process links. The integration of the process of procurement and warehouse inventory differs from the integration of transportation and warehouse retrieval. The difference is explained by the fact that there is process links considered as more critical than other links. Because of this, the allocation of resources in the different process links also differs. (1995). Another proposed solution is the implementation of Total Quality Management of TQM, which is an approach to improving the effectiveness and flexibility of businesses as a whole. It is essentially a way of organizing and involving the whole organization; every department, every activity, every single person at every level (2002). It is a combination of quality and management tools aimed at increasing business and reducing losses due to wasteful practices, and a method by which management and employees can become involved in the continuous improvement of the production of goods and services ( 2006).  (1995) reports, that through the application of total quality management in a company, the senior management will empower all levels of management, including self-management of the employees to manage quality system. These benefits are grouped into five key areas, namely, continuous improvement, multifunctional teams, reduction in variation, supplier integration, and education and training (1995). In relation to meeting the increasing demands of consumers, customer value and relationship marketing must be implemented. Customers set up a hierarchy of values, wants and needs based on empirical data, opinions, word-of-mouth references, and previous experiences with products and services, and use this information to make purchasing decisions (1991). Today, the importance of market positioning depends on not only the products, services, and needs of the customers, but on the company’s competitive strategy, pricing, packaging, distribution, service, support and communications, such as the use of advanced technologies. Customer value then must be given additional importance of the company, most especially their stockholders. A good venue for developing perceived value is through the Internet, representing a state of pure competition, where there exist many buyers and sellers and a lot of market information on which to base decisions in purchasing or patronizing a product or service (2004). This, in turn, enhances the relationship marketing of the company, which emphasizes on building longer term relationships with customers, understanding their needs, and in providing a range of products and services to existing customers as they need them (2007). In addition, the company can lower their prices, implement and promote loyalty programs, provide value-added services, and employ analytic customer relationship management (2007). This can be done through implementation of Information and Communication Systems in the company that would not only enhance its innovative capacities, but would also provide convenience and support on the part of the employees and its management.             Furthermore, the changes can be further enhanced through the development of the culture of the employees in the company, such that improving also their intercultural communication and competence. Intercultural competence can be defined as the ability to develop and maintain relationships, the ability to communicate effectively and appropriately with minimal loss or distortion, and the ability to attain compliance and obtain cooperation with individuals from other cultures (2000). Cultural and intercultural communication and competence can be developed with the implementation of effective and efficient leadership and management styles.   (2000) emphasizes six leadership styles that can be adopted by a team leader or manager to effectively manage his or her team, namely, Authoritative or Charismatic leadership, Affiliative leadership, Democratic leadership, Coaching leadership, Pacesetting leadership, and Coercive leadership. One or several of these styles can be adopted to ensure the control of the employees, and the unity in the workplace. Moreover, with effective leadership, the company will be able to manage diversity and conflict in the workplace, which are means to successful operations and effective public service ( 2003).   Credit:ivythesis.typepad.com

Management of Change

Table of Contents Executive Summary p. 2 ...

Organizational Analysis: PCCW Directories on focus

Organizational Analysis: PCCW Directories on focus   INTRODUCTION             Organizations today operate in an environment characterized by hypercompetition (D’ Aveni 1995). While organizations strive to survive the challenges of the niche market they operate, different environmental factors came into surface and have changed the way organizations perform their tasks. In order to be successful, an organization needs to be able to compete effectively through its resources, capabilities, and strategies. Regardless of resources and strategies inherent to any organization, their structure plays a significant role and creates positive implications. Organizational structure affects how managers and leaders perform their given duties particularly on decision making (Schilling & Steensma, 2001). It also determines the way of doing tasks by integrating organizational strategies (Jenster and Hussey, 2001; Donaldson, 1997). As recognized by numerous literatures, effective structure provides stability and outstanding business performance.             This paper attempts to analyze the organizational processes, design, strategies and structure of PCCW Directories, a subsidiary of PCCW Limited. PCCW is an Asian organization that has a centralized organizational structure. Power and control rests on the top of the corporate hierarchy. Recent developments and changes in the both the company’s internal and external environment has led the company to gradually restructure and adopt ‘western’ style of management. The expansion of the company resulted in the creation of different divisions and businesses.   DISCUSSION Primary Businesses             PCCW (or Pacific Century Cyber Works) Limited is the largest and most comprehensive communications provider in Hong Kong and one of Asia’s leading players in Information and Communications Technologies. PCCW Directories is a part of the Advertising and Interactive Services. It offers highly-effective advertising solutions primarily to small and medium-sized businesses via traditional print directories and catalogues. PCCW Directories is a wholly-owned subsidiary of PCCW Limited. PCCW Directories is one of the leading directory market players in Asia. The company specializes in directory services where advertisers and users are able to connect through the company’s integrated media platform. The company offers print products, online and telephone inquiry directory services. Among their specific primary businesses, as stated in their corporate website, are: <ul style="margin-top: 0in; margin-bottom: 0in" type="disc"> <li class="MsoNormal" style="text-align: justify; text-justify: inter-ideograph"> Internet Yellow Pages – attracting 23 million page views per month, Internet Yellow pages (IYP) is one of the most popular portals in Hong Kong and offers customers maximum advertising exposure on the Web. </li> </ul>   <ul style="margin-top: 0in; margin-bottom: 0in" type="disc"> <li class="MsoNormal" style="text-align: justify; text-justify: inter-ideograph"> Online Search Advertising – this provides a one-stop, online search advertising services that covers local, mainland and overseas markets. </li> </ul>   <ul style="margin-top: 0in; margin-bottom: 0in" type="disc"> <li class="MsoNormal" style="text-align: justify; text-justify: inter-ideograph"> Mobile Yellow Pages – through the mobile yellow pages, consumers are now able to search for, and connect to local services and merchants instantly using their mobile phones. </li> </ul> Corporate Mission and Differentiation Strategy             PCCW recognizes the need to innovate by bringing technology and business excellence through enabling international organizations to bring their business to Asia and similarly running operations across the region while taking Asian business to the rest of the world. The role of innovations is highly acknowledge by PCCW management as seen on its “award-winning innovation, especially in IP-based business services, New Generation Fixed Line services, broadband pay-TV and Internet-access, media content, large-scale IT solutions, mobility and wireless” (PCCW, 2008). Further, PCCW is increasing projects in mainland China and the UK, while extending them to other parts of the world, and serving the growing number of network operators.             The most dominant strategic management paradigm in recent years is known as competitive strategies model. Exemplified by Porter’s (1980, 1985) work, this approach addresses the issue of how firms compete within their product markets. Porter identified two competitive advantages that provide a firm with a defensible position: cost leadership (lower cost) and differentiation. Looking on Porter’s idea of competitive strategies, PCCW uses product differentiation. They rely on the development of new, unique and innovative products and services while extending it to other global market networks. Over time, PCCW considers customers’ belief on unique products. Customers valuing a product’s uniqueness tend to become loyal to both the product and the company producing it (Hitt et al. 2003). This is exactly what PCCW is doing. Through this strategy, new entrants needed a significant amount of resources over time to outdo existing customer loyalty. While new entrants compete through low prices, PCCW is able to manage the balance between product differentiation and pricing strategy.             To keep ahead of its competitors, PCCW is adding new services as quickly as possible on all fronts. Differentiation according to Oden (1997) is a strategy with which the organization seeks to distinguish its products or services from those of competitors. The firm may use advertising, distinctive product features, exceptional service, or new technology to achieve a product perceived as unique. In order to fulfill its differentiation strategy, PCCW Directories offer innovative services and technologies to its consumers. For example PCCW Directories has formed partnerships with online giants such as Google, eBay Hong Kong, SINA Hong Kong and Yahoo! Hong Kong. Users are also able to perform keyword searches via Mobile Yellow Pages to find retailers and suppliers, as well as enjoy discounts and privileges from more than 10,000 participating outlets. These are some of the strategies that PCCW Directories is employing to achieve differentiation (Quin and Cameron 1983). The company is able to achieve its mission of providing quality service to its customers. The organizational structure supports the company’s strategy.   Size of the Organization             Today, PCCW approximately employs 14,400 employees. The company operates in various regions like in Europe, the Middle East, Africa, the Americas and mainland China, as well as Hong Kong and other parts of Asia such as Singapore, Japan, Thailand, and Malaysia.   Life Cycle             PCCW Directories can be considered as a company that is in the entrepreneurial stage. In the entrepreneurial stage, executive dominance is established through personal, informal management patterns and structure, flexible communication and coordination procedures both within the organization and with its environment. Personal attention and rewards are given for the mobilization of resources and attainment of legitimacy for the organizational domain from the external environments. The creation of the organization’s ideology, and the paternalistic reward system does not rely only on the level of executive professionalism, but rather on his or her entrepreneurial skills. PCCW Directories was formed from the growth of its parent company – PCCW Limited. As a newly formed business, PCCW Directories can be considered as an entrepreneurial organization where all major decisions are made in the top management.   Environment Every organization faces a different reality in the marketplace depending on its products, customers, technologies, government influences, and so on. There are essential forces that affect organizations within the context of their business operations and performance along with key changes that occur in the general business setting. These comprise forces located at the outer surface of organizations and come from the external environment, plus forces contained by the organization itself or the internal environment (Mukherji and Mukherji, 1998). To be successful, the organizations need to perform certain activities very well. The environment where the organization operates is an important factor in its success. The external environment is an important factor that affects a company’s goals, objectives, strategies and performance. It is also important in the setting of company missions and corporate culture (Deal and Kennedy, 2000). The internal analysis provides an objective understanding of the controllable factors in the organization’s internal environment, identifying those with the greatest long-term impact on the organization’s position. The objective of this analysis is to identify the organization’s major strengths and weaknesses with respect to its overall mission. According to Duncan (1979), structure is a pattern of interconnections, interactions, and coordination that links the technology, tasks and human components to ensure that the organization accomplishes its purpose. Duncan categorizes a business structure in terms of two general types: functional and decentralized. Most businesses are one of these two or some mixtures of the two. The functional business structure is divided into departments and groups according to the function they perform, while the decentralized organization makes products or geographical divisions independent. Communication in the functional type is usually vertical, up and down a pyramidal structure. The decentralized structure cuts down on the directions from the top and allows each division to act as an autonomous business. Assuming PCCW, because of different factors, such as globalization and its rapid expansion has moved from functional to a more decentralized organization structure. PCCW Directories as a subsidiary acts as an autonomous business.             While PCCW products can be designed and marketed so as to have a more or less general appeal to most members of a market, the role of environment in identifying customers and their varying wants and needs are expected to complete a better competitive advantage by producing a number of different offerings to meet the needs of specific segments (Proctor, 2000). Further, the role of environment is inherent to the nature of market segmentation – the process of clustering people with similar needs into individuals and identifiable groups (Neal and Wurst, 2001; Jain, 2000), as it serves as the primary determinant. The environment constitutes a significant variety of people who probably are the future consumers of the product of service. It serves as the main source of information and knowledge for marketing decision making and strategy formulation and execution. In the recent years, the company had been muddling in a series of transformation without any clear strategic vision or exit strategy (Ng, 2004). Due to the complaints and demands of its shareholders, founder and former chairman Richard Li resigned. PCCW had difficult time in recovering its competitive position even with the presence of billion dollar investments like that of Cable & Wireless purchase of Hong Kong Telecom. Considering the competitive environment in which PCCW Directories operate, the organization operates in a highly competitive environment where customer needs and demands are changing rapidly. Based on how many external factors that affect the organization and the number of competitors, the dimension of uncertainty can be described as complex. The stability of the environment is also important as it affects the company’s operation. PCCW Directories operate in complex environment where environmental factors especially technology and customer demands and needs are unstable. The demand for flexibility in the company’s services and products and the need for effective advertising tool make the environment unstable for PCCW Directories. In addition, instant competition with other companies also adds to complexity of the environment. The level of uncertainty that the organization needs to deal with is high. There are also numerous other factors that affect the organization’s operation. There are different market forces that affect the company’s operation and strategies. The policies and regulations set by the Hong Kong government and regulatory bodies that oversee the telecommunications and media sectors namely the Office of the Telecommunications Authority (OFTA) and the Broadcasting Authority (BA). Hong Kong’s growing economy has a tremendous impact on the growth of the company. Because of the flourishing economy, strong demand for data services is growing. General growth led to more business premises requiring services.  PCCW Limited is committed to maintaining a high standard of corporate governance and strives for transparent, responsible and value-driven management focused on enhancing the value of the company to its shareholders. In order to effectively deal with the external environment, the organization pursues different strategies like investments in research and development, cooperation with other organizations, coordination with the government and other regulation bodies and active marketing and promotion.   Structure of the Organization             In reference to Mintzberg (1979), who introduced five (5) structural configurations ranging from a ‘simple structure’ to a ‘divisionalised form’, the growth of PCCW has led to the formation of other divisions, which handle different businesses. PCCW Directories is one of the divisions of PCCW. It is assumed that the organization’s structure is divisional. In general, the divisionalized form uses markets for products as a basis for grouping units or divisions that will have full control of operating functions to serve these markets (Riahi-Belakaoui 1995). PCCW developed different divisions that will handle different specialties, products and services. PCCW Directories as a division of PCCW ltd. is concerned with highly effective advertising solutions primarily to small and medium-sized business. The company specializes in directory services.             In relation to centralization, PCCW possesses a high level. Like many Asian contemporaries, PCCW is a family controlled firm. Historically, Asian firms are highly centralized. PCCW was tightly controlled and managed in hierarchy dominated by the founders and their immediate family members. The hierarchy of authority is considered as centralized. Centralization according to Hendrick (2002) has something to do with where formal decision-making occurs within the organization. In centralized work systems like PCCW, formal decision-making is concentrated in a relatively few individuals, group, or level, usually high in the organization. The board of directors of the company is responsible for the management of the company. Key responsibilities include formulation of the overall strategies of the company and its subsidiaries, the setting of management targets and supervision of management performance (PCCW Annual Report 2005). Similarly, PCCW have high degree of specialization or professionalism. Because of intense competition, globalization and demands for Asian firms to adopt western style of management, firms such as PCCW are starting to adopt a more flexible corporate structure (Yeung 2005). PCCW is positioning itself as a major telecom player in the Asian Region, with long-term ambition to venture into the established markets in Europe. PCCW is now venturing into the UK’s wireless broadband business while its core business remains in Hong Kong’s fixed lines. This wireless broadband venture is new to the UK market as well as there are currently no operators offering such services. Low complexity is seen in the entire managerial framework of PCCW as it uses Porter’s differentiation as competitive strategy. It is also attributed to the fact that PCCW originated to a family business, thus, there is a systematic or single source of control and authority. There is also low degree of formalization. PCCW do have defined rules that are to be strictly implemented on the functions of decision-making and taking, communication initiatives, and control mechanisms. The management however is motivated to work on a single mission where their governing rules are illuminated in making corporate policies that are to be adopted in all local and regional network levels.   Technology             Technology refers to the equipment and techniques that are being used in managing and processing relevant information the most effective way possible (Baltzer 1991). Considering continuous efforts to innovate, PCCW’s technology plays a crucial role in the whole business operations and corporate competitiveness. Since centralized organisations like PCCW have strict rules, standards, hierarchy and legitimate authority, where the markets are characterised by prices, competition and exchange relationship, affecting traditions, shared values and beliefs, and trust, technology functions as determinant of pace and timing of tasks, providing information to managers on performance, and dictates standards.             Looking on Woodward’s ideas, technology and structure of PCCW is categorized on Group III, which is the continuous process production. Competition in the telecom industry is in hyper mode, thus, PCCW needed to come up and create new products and services that will uphold its brand image as a leader in communications services in Hong Kong and one of Asia’s leading players in Information and Communications Technologies (ICT). Considering the various regions in which they operate as well as competition, differentiation strategy through continuous process production is the most useful way to manage technology. The Model of Continuous Improvement (see Appendix 1) provides similar and relevant processes and concepts related to business organisations. It recognises the primary role of culture, communication, and commitment. Also, the model indicates the interconnectedness of teams, tools, and systems. The focal point of the model is the consumers and suppliers, which are the key players of an economic endeavour. The model also involves the existence of various changes and in order to cope up, continuous development must be ensured. In application to PCCW, this model can determine the need to change in relevance to the existing trend in the niche market.   Culture and Power             Organizational culture includes the values, norms, rites, rituals, ceremonies, heroes, and scoundrels in the history of the organization. The two major roles of culture are (1) adaptation to the organization’s external environment, and (2) coordination of internal systems and processes (Sims 2002). On the case of PCCW, it is a bureaucratic organisation involving the following main characteristics: Rules and procedures, Specialisation and division of labour, Hierarchy of authority, Technically qualified personnel, Separate position and incumbent, and Written communications and records as identified by Weber. Rational-legal authority is practiced in PCCW where authority legitimated by virtue of supremacy of law and formal rules is used in conducting the organisation. In terms of French and Raven power types; PCCW employs legitimate power where formal standards, rules and laws are exercised. With the leadership and managerial expertise of Richard Li, the execution of PCCW strategies is bounded on formal and legitimate source of power. Li’s power supported by clear corporate governance initiatives possesses outstanding ability to cope with uncertainty, position in information network, and control over physical and financial resources.     Culturally speaking, PCCW projects an outstanding traditional Chinese culture. Again, PCCW originated in a family owned business, so its organizational culture is not far from Chinese leadership and managerial attributes. This is the dominant type of culture exemplified by a significant number of members of the organisation. However, a considerable percentage of western implications affect other segment of the company. Core values are similarly expressed by the dominant culture that is comprehensive and award-winning, innovative communications business services as well as technological advantage. It could also be assumed that subcultures occur in local or regional offices due to national, cultural, and individual diversity of upper member of the management. Mission culture is exemplified by PCCW. It is characterised by focus on the organisation’s purpose and on the attainment of goals; high performance is usually rewarded for success; managers share organisation’s goals and future direction; and environment is relatively stable.   Effectiveness             Kaplan and Norton (2001) devised the Balance Scorecard (BSC) to measure performance of organisations. The idea behind balanced scorecards is that managers need to broaden their analysis and understanding of the organisation to include four (4) elements: Financial, Customers, Internal Business Processes, and Learning and Growth (Kaplan and Norton, 2001). In the case of PCCW, the company’s mission includes the continuous process of producing comprehensive and award-winning innovative communications business services (consumer perspective). Over the years, PCCW invested on strategic alliances and new projects and extends their operations as seen on the growing networks globally while maintaining progressive growth on their services and business process. They continue to deliver a quadruple-play strategy to create value by leveraging assets, while capitalizing on synergies and pursuing new opportunities for growth. Further progress is intended in turning round the core telecommunications business, as well as expanding 3G mobile service and growing highly-successful TV & Content business. Also, the management laid the groundwork for projects outside Hong Kong (business process perspective). PCCW’s financial performance for the first two quarters of 2007 signified growth in core revenue amounting to HK$ 9,507 compared to HK$ 8,848 in 2006 (financial perspective). Finally, PCCW plays significant function and various contributions in the regions and communities they operate through PCCW Foundation’s support for education and professional development as they implement Workplace English Campaign. They provide communications services for different social service schemes including students, single parents, unemployed, distresses and elderly who enjoy the advantages of their counselling hotlines, info-line services for Medilink, and some networks documenting sources of employment (learning and growth perspective). Having all of these at hand, it could be said that PCCW is an effective organization as supported by its competitive and strategically appropriate organizational structure.   CONCLUSION             PCCW Directories is one of the leading directory market players in Asia. The company’s primary businesses include internet yellow pages, online search advertising, and mobile yellow pages. Like many Asian companies, PCCW’s organizational structure is centralized with power and control at the top of the organizational hierarchy. However, because of different environmental factors, the company is gradually adopting a more flexible corporate structure. PCCW Directories is a wholly-owned subsidiary of PCCW Limited. PCCW Limited’s success and growth has led it to adopt a divisional structure. Based of Porter’s competitive advantage model, we can say the PCCW pursues differentiation as its corporate mission and strategy. Differentiation is a strategy with which the organization seeks to distinguish its products or services from those of competitors. PCCW Directories as a subsidiary is still in the entrepreneurial stage. PCCW is moving from functional to a more decentralized organizational structure wherein different processes are handled by different divisions or business units. PCCW operates in a complex environment where the level of uncertainty is high. In order to deal with uncertainty the company strategically invests in different activities such as research and development. The company also builds relationships with other organizations through coordination, joint ventures and acquisitions. The power and control in the company, primarily lies in the top management. Only a small group of people decides on the company’s affairs.   REFERENCES   — 2008, PCCW Corporate Website (online, accessed January 7, 2008) http://www.pccw.com/eng   — 2006, ‘PCCW Annual Report (2006)’, PCCW Corporate Website (online, accessed January 7, 2008)             http://202.66.146.82/listco/hk/pccw/annual/2006/ar2006.pdf   — 2005, ‘A Year of Business and Growth, Annual Report (2005)’, PCCW Corporate Website (online, accessed January 7, 2008) http://209.85.173.104/search?q=cache:CTPNz-aREs0J:www.hkex.com.hk/listedco/listconews/sehk/20060413/00008/EWF108.pdf+%22pccw+directories%22+%22pdf%22&hl=en&ct=clnk&cd=16   Baltzer, J. A. 1991, ‘People and Process: Managing the Human Side of Information Technology’, CAUSE – Professional Paper Series, no. 7.   D’Aveni, R. 1995, ‘Coping with Hypercompetition: Utilizing the New 7S’s Framework’, Academy of Management Executive, vol. 9, no. 3, pp. 46.      Donaldson, L. 1997, ‘A positivist alternative to the structure-action approach’, Organization Studies, 18, pp. 77-92.   Duncan, R. 1979, ‘What Is the Right Organization Structure? Decision Tree Analysis Provides the Answer’, Organizational Dynamics, p. 59.   Hendrick, H. 2002, ‘An Overview of Macroergonomics’, in H. Hendrick and B. Kleiner (Eds.), Macroergonomics: Theory, Methods, and Applications (pp. 1-24), Lawrence Erlbaum Associates, Mahwah, NJ.   Hitt, M. A., Ireland, R. D. & Hoskisson, R. E. 2003, Strategic Management: Competitiveness and Globalization, 5th ed., South-Western, Singapore.   Jain, S. C. 2000, Marketing Planning and Strategy, South-Western College Publishing, Cincinnati.   Jenster, P. & Hussey, D. 2001, Company Analysis: Determining Strategic Capability, John Wiley and Sons, Chichester, pp. 135-171.   Mintzberg, H. 1979, The Structuring of Organizations, Prentice Hall, Englewood Cliffs, NJ.   Mukherji, A. & Mukherji, J. 1998, ‘Structuring organizations for the future: analyzing and managing change’, Management Decision, vol. 36, no. 4, pp. 265-73.   Neal, W. D. & Wurst, J. 2001, ‘Advances in market segmentation’, Marketing Research, vol. 13, no. 1, pp. 14-18.   Neely, A. (Ed.) 2002, Business Performance Measurement: Theory and Practice, Cambridge University Press, England.   Ng, L. 2004, ‘Transition customs in Chinese companies: a practitioner’s view’, Journal of Management Development, vol. 23, no. 10, pp. 965-971.   Oden, H. W. 1997, Managing Corporate Culture, Innovation and Intrapreneurship, Quorum Books, Westport CT.   Porter, M. E. 1980, Competitive Strategy: Techniques for Analyzing Industries and Competitors, The Free Press, New York.   Porter, M. E. 1985 Competitive Advantage: Creating and Sustaining Superior             Performance, The Free Press, New York.   Proctor, T. 2000, Strategic Marketing: An Introduction, Routledge, London.   Quin, R.E. & Cameron, K 1983, ‘Organizational Life Cycles and Shifting Criteria of Effectiveness’, Management Science, 9, pp. 33-51.   Riahi-Belkaoui, A. 1995, The Nature and Consequences of the Multidivisional Structure, Quorum Books, Westport CT.   Schilling, M. A. & Steensma, H. K. 2001, ‘The use of modular organizational forms: An industry-level analysis’, Academy of Management Journal, 44, pp. 1149-1168.   Sims, R. R. 2002, Managing Organizational Behavior, Quorum Books, Westport CT.   Yeung, H. W. 2005, Globalizing Asian Business: Dynamics of Change and Adjustment (online, accessed January 7, 2008) http://courses.nus.edu.sg/course/geoywc/publication/Globalizing%20Asian%20Business.pdf             Credit:ivythesis.typepad.com

Organizational Analysis: PCCW Directories on focus

Organizational Analysis: PCCW Directories on focus INTRODUCTION Organizations today operate in an environment characterized ...

Group Comparative Analysis (Organizational Theory)

Star TV, TaylorMade Adidas Golf Company, PCCW Directories, PCCW – IMS Call Center Business, and National Car Rental: a Group Comparative Analysis on Organisation Theory   INTRODUCTION             While it is true that most organisations share common attributes as well as differ in terms of its specific and general dimensions, these similarities and differences serve as distinct features contributing to the corporate success and revenue development. Organisational structure and the controls as part of it are contributory elements of its performance (Rapert and Wren, 1998). Understanding organisational structure includes the size of organization, its life cycle stage, environmental factors, technology, power and culture and extends to the proper formulation and execution of strategy. The evaluation of effectiveness is also incorporated on the actual framework of the business as well as its operations. On this case, five (5) identified organisations were analysed based on organization theory by specifically looking on effectiveness and environment extending to size, structure, strategy, growth, technology and culture. It also identifies similarities and differences and potential explanation on such findings.   EFFECTIVENESS             Hitt and colleagues (2003) believes that there is no inherently superior strategy or structure, and there is no inherently superior strategy/structure match. However, it is noted that organisations must match strategy and structure to increase profitability of competitive success. On the case of the five (5) chosen organisations, the effectiveness of their organisational structure is reflected on their progressive business trends. This means that the characteristics of their organisational framework are positively integrated to their performance and ability to compete in their niche market. When the organization performs well, it corresponds to the appropriateness of the organisational structure. The findings in the individual report noted the strengths of the given structure however, similar challenges are minimally recognized.   ENVIRONMENT             The general environment of all the studied organisations is facing a great challenge of global competition. Similarly, every organization faces a different reality in the marketplace depending on its products, customers, technologies, government influences, and so on. There are essential forces that affect organizations within the context of their business operations and performance along with key changes that occur in the general business setting. The role of environment in identifying customers and their varying wants and needs are expected to complete a better competitive advantage by producing a number of different offerings to meet the needs of specific segments (Proctor, 2000). Further, the role of environment is inherent to the nature of market segmentation – the process of clustering people with similar needs into individuals and identifiable groups (Neal and Wurst, 2001; Jain, 2000), as it serves as the primary determinant. The environment constitutes a significant variety of people who probably are the future consumers of the product of service. It serves as the main source of information and knowledge for marketing decision making and strategy formulation and execution. In general, the challenge of global competition is addressed by the continuous recognition on the requirement to improve business operations specifically on gaining competitive advantage. Among the five (5) organisations, STAR TV, PCCW Directories and IMS Call Center Business have complex degree of environmental uncertainty. This is due to the different factors, such as globalization of business trends and the rapid expansion of its operations not only on current geographical areas but also on emerging marlets. Conversely, TaylorMade Adidas Golf Company and National Car Rental have stable and simple environment because of their individual inclination to the top management members and their policies.             With the similarities and differences on environmental factors (i.e. internal and external), there is still a need for change on weak aspects of the organisational environment. Considering competition excluding financial and human resources, each of the mentioned organisation are subjected to maintaining or improving internal and external environmental conditions. General environment factors specifically social, technological, political, economic and environmental should be monitored because such factors may influence the organisation but not always relevant to the organisation. The environment, wherein task (specific) qualities are directly relevant, should address the needs of stakeholders including customers, suppliers, competitors, regulators, and shareholder. Additionally, the niche market, where the organization chooses to deliver its products and services should interact to various levels of environment. In relation to organisational structure, design approaches may focus on organisational change in the service of performance and productivity. SIMILARITIES AND DIFFERENCES On strategy,   STAR TV, TaylorMade-adidas Golf Company, PCCW Directories and IMS Call Center Business use the same competitive advantages using product and service differentiation strategy because of the need to come up with the most innovative products and services that cater to the needs of the target market.  National Car Rental, on the other hand is more on cost leadership that is pursuing competitive advantage through lower costs. This is also attributed to its goal, that is, to be the primary choice in car rentals. On the aspect of size, STAR TV is large with approximately 700 workers in Hong Kong Headquarter alone and further 2000 workers in other Asian regions; TaylorMade Adidas Golf Company is large and has almost 30,000 employees; PCCW Limited including its subsidiaries – Directories and IMS Call Center Business approximately employs 14,400 employees that shares a significant portion of the entire population. These aforementioned organisations are predominantly large because they are parts of a major organisation and operate beyond geographical borders. On the contrary, National Car Rental is small in size with 12 staffs comprising the organisation. This is attributed to the simple and certain environment factors and line of business. On life stage cycle, STAR TV and PCCW IMS Call Center Business are on elaboration of structure stage where several strategic investments have been made throughout the Asian region. Meanwhile, TaylorMade Adidas Golf Company and PCCW Directories can be considered as companies in the entrepreneurial stage as they both focus mainly on products and services production that can be sold to customers and niche market. For National Car Rental, it focuses on mature management as rooted on its simple and certain strategic intent and direction of being the key choice in car rental. On the case of overall structure, STAR TV is divisionalised or diversified in form and exemplifies the major role of structure in coordinating the work of the entire organisation. STAR is vertically decentralised, where the dispersal of formal power down the chain of authority is exercised and vested in top management but it may be delegated to lower levels of the vertical hierarchy. High complexity is seen in terms of its structure, particularly on localization of programs and operations. On specialisation, all jobs are specific and well-defined. Employees in its main headquarters and regional operations have extreme division of labour and specialised departments/units. STAR uses decentralization in structural dimension. Complexity is known to be spatial because it mainly emphasises on geographical location. Professionalism, personnel ratios and span of control are still relevant and much valued. In communication, information processing and structure, STAR maintains a vertically directed structure. On the case of Taylor-made Adidas Golf Company, the structure is rooted in the entire Adidas Group. Formalisation is high because it relies on rules and procedures to direct behaviour, position and work flow. Specialisation is high wherein specialised units and departments work on separate activities yet maintaining a common aim based on corporate mission and strategy. Centralisation is also high because authority and power rests on the top members of the management. On the aspect of complexity, the Company is low. However, complexity does evolve because of high processes in production and corporate standards and provided that it is vertically integrated. Professionalism, personnel ratio, and span of control are also high. On PCCW Directories and IMS Call Center Business as among of the divisions of PCCW Limited, it is assumed that the organizations’ structure is divisional. PCCW Limited as well as its subsidiaries possesses high level of centralization as rooted on its origin as family-controlled Asian firm. Low complexity is seen in the entire managerial framework of PCCW (i.e. Directories and IMS Call Center Business) as it uses Porter’s differentiation as competitive strategy. It is also attributed to the fact that PCCW originated to a family business, thus, there is a systematic or single source of control and authority. PCCW Limited including Directories and IMS Call Center Business generally has high degree of specialization or professionalism because of the need to cope up with intense competition, globalization and demands for Asian firms to adopt western style of management. There is also low degree of formalization. PCCW do have defined rules that are to be strictly implemented on the functions of decision-making and taking, communication initiatives, and control mechanisms. On National Car Rental, organisational structure is very simple, entrepreneur in nature, and possesses low chart. All in all, the similarities as well as the differences in terms of structure is said to be based on managerial strategy and implementation. Organisations are built in similar structures yet it is up to their leaders and management people to justify the chosen framework. Besides, organisational structures have their individual competitive edges or strengths and common share of weaknesses.             On technology, majority of the organisation acknowledge its crucial role in the whole operations and competitiveness. STAR TV, looking on Woodward’s ideas, falls on the Group II, which is the large batch and mass production. Also, there is technology to drive growth of customized products and TaylorMade Adidas Golf Company where it utilizes manufacturing technology or engineering type / craft technology but not in all of its business side. It can be pooled, sequential at the same time reciprocal as the environment they adopt involves a lot of integration from one point to the other. Technology in PCCW Limited particularly on Directories generally functions as determinant of pace and timing of tasks, providing information to managers on performance, and dictates standards. According to Woodward’s theory, technology and structure of PCCW Directories and IMS Call Center Business is categorized on Group III, which is the continuous process production. However, IMS Call Center Business exemplifies routine technology with few exceptions, easy analysis of problems and standardised working procedure. The National Car Rental as analysed on Perrow’s Matrix indicates a job fairly predictable with few exception (i.e. renting car) on task variability. Routine is hard to solve in terms of problem analyzability.             Since technology is commonly connected with innovations, majority on the organisations invest on technological infrastructures so as to developed innovative products and services for the target market. Product differentiation relies on the ability of each organisation to deal with the needs and current demands of both the global market and its consumers.             Lastly, on the case of culture and power (control) STAR TV practices rational-legal authority where authority legitimated by virtue of supremacy of law and formal rules is used in conducting the organisation. On French and Raven power types, STAR uses legitimate power where formal standards, rules and laws are exercised. STAR reflected News Corp.’s culture of taking risks and swift decision-making with minimal formal structure. STAR projects the organisational culture of News Corp. by serving as powerful source of control and achieves Behavioural Consistency through a system of Shared Values and Meaning both in internal and external perspectives including the needs of the environment and strategic focus. Adaptability culture has penetrated deeply into key markets with mass appeal general entertainment channels, produced locally in local languages, by local talent. STAR also uses mission culture type as noted on its organisation’s purpose and on the attainment of goals, managers share organisation’s goals and future direction, rewards on high performance, and environmental relativity. For TaylorMade Adidas Golf Company, reward is legitimate as well as coercive in handling power or at times referent and expert. The type of control is market centred and also deemed towards technology concentration. TaylorMade Adidas Golf Company has ample organization culture from such internal adaptation of business (e.g. corporate culture function areas) and external adaptation in business situation and environment that can be reflected in operations and people management. On the case of PCCW Directories and IMS Call Center Business, it is a bureaucratic organization, which according to Weber, it involves the following main characteristics: Rules and procedures, Specialisation and division of labour, Hierarchy of authority, Technically qualified personnel, Separate position and incumbent, and Written communications and records. PCCW Limited and its subsidiaries project an outstanding traditional Chinese culture. Again, PCCW originated in a family owned business, so its organizational culture is not far from Chinese leadership and managerial attributes. Mission culture is exemplified by PCCW. It is characterised by focus on the organisation’s purpose and on the attainment of goals; high performance is usually rewarded for success; managers share organisation’s goals and future direction; and environment is relatively stable.   CONCLUSION             Star TV, TaylorMade Adidas Golf Company, PCCW Directories, PCCW – IMS Call Center Business, and National Car Rental as examples of contemporary organisations employ specific organisational structure. In recognising the diversity of their target audience as well as the products and services offered, these similarities and differences in their overall corporate framework serve as their inherent and distinctively competitive advantage against their main rivals. In all the cases studied, the fact remains that there is no single structure that works best for every organisation. Considering its current position of these organisations in the niche market, perhaps their structure is the best one. In the end, the best structure is the one that helps organisation to achieve its goals through an effective and progressively driven strategy.   REFERENCES Primary Sources – Corporate Websites http://www.nationalcar.com/ http://www.pccw.com/eng http://www.startv.com/ http://www.taylormadegolf.com/home.asp   Secondary Sources Hitt, M. A., Ireland, R. D., & Hoskisson, R. E. 2003, Strategic Management: Competitiveness and Globalization, 5th ed., South-Western, Singapore.   Jain, S. C. 2000, Marketing Planning and Strategy, South-Western College Publishing, Cincinnati.   Neal, W. D. & Wurst, J. 2001, ‘Advances in market segmentation’, Marketing Research, vol. 13, no. 1, pp. 14-18.   Proctor, T. 2000, Strategic Marketing: An Introduction, Routledge, London.   Rapert, M. I. & Wren, B. M. 1998, Reconsidering Organizational Structure: A Dual Perspective of Frameworks and Processes, Journal of Managerial Issues 10(3): 287+.     Credit:ivythesis.typepad.com

Group Comparative Analysis (Organizational Theory)

Star TV, TaylorMade Adidas Golf Company, PCCW Directories, PCCW – IMS Call Center Business, and National Car Rental: a Group Comparative ...