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Nowadays, the world develops rapidly. Especially, in term of business, the subject of organization management in term of organizational behavior plays important role for the executive through the ages had undergone many changes from the time. The first step was pointed to gain more on employees who can work by effectively in the time limited condition and motivate significantly them by offering high retaining money. They can be the valuable organization's asset. This according to the concept of engineering approach in order to operate worker behavior in the technical word as "Scientific management" which I believe in Frederick Taylor statement that management was to be divorced from human affairs and emotions, and thus workers had to adjust to the management while management did not have to adjust to the workers. Paul P. Van Riper (1995) referred that by scientific management, it means the rational determination of purpose and the intelligent organization and utilization of manpower, technology and things to accomplish that end.
After that, by this theory, it was developed to emphasis in human relationships instead and ignores to focus on infrastructure and technology factor. As a result of management is the process in order to success from working by others, thus organizational behavior is the mean of companies in term of productivity and effectiveness. Moorhead and Griffin (1995) defined organizational behaviour as "the study of human behaviour in organization setting, the interface between human behaviour and the organization and the organization itself". I feel that if whoever study this factor, it will also bring them understand clearly all of prospective.
Leadership is also another aspect of organization management. Good managers often have some of the characteristics of good leaders. Vecchio (2006, p. 156) pointed out that "in the area of leadership, it refers to a type of social influence based on follower perceptions of the leader rather than on the leader's formal authority". According to the meaning of Charismatic leadership that it is a kind of leadership skill. As a result of studying the concept of Behavioral leadership, I feel that it is a kind of person who is a personality-driven, goal-oriented and inspirational. I feel that a good leader should act by using face to face communication which is the most effective method in organization especially, between leaders and their followers.
Even though there are many types of communication means such as phone, mail, e-mail and fax etc. Some leaders still prefer to use face to face communication. With the subject of motivation, in generally business cultures, companies hire people to do a job by considering with skill workers, job working capabilities and matching the job to the worker as the basic concept of recruitment. At the same way, if those workers are able to perform a task well in their functional area, it is the suitable that companies will be keeping them to work together. I feel that employee motivation is a distinctive role in order to benefit both of organizations and workers.
On the other hand, in order to improve strengths and eliminate the weaknesses of company, it is essential to completely study for understanding in organization structure and organization culture. I believe that it is the best way to bring the benefit to organization no matter in term of production or sale or operation and so on. As a result, by using the formulating strategy which company should look at its internal factors in order to find the ways that company organizes and combines its human resources, know-how, equipment and other assets with core competencies.
To sum up, I feel that from the scope of objective and the definition of the course subject, Advanced info services PCL is interesting company that I would like to present for this project.
Table of Contents Page
Section 1: Vision and Mission Statement...................................................... 6
Section 1: Organization Structure................................................................. 6
Section 2: Organization Culture.................................................................... 8
Section 3: Organization Characteristic.......................................................... 9
3.1 Recruitment and Selection the employee..............................9
3.4 Group Processes..................................................................12
Section 4: Strengths and Weaknesses.........................................................12
From my own experience observation and I have been a user more than 10 years in the largest GSM mobile phone operator in Thailand. I personally suggest the background, organization structure and business concept to demonstrate a company in the name "Advanced info Service PCL or "AIS"
AIS are the mobile phone network operator in the frequency 900 MHz Digital GSM and also own the subsidiary providing mobile phone network frequency 1800 MHz Digital GSM 1800. Additionally, AIS have subsidiaries providing other telecommunication business so that import and distribute mobile phone devices, data communication services via mobile cable, payment for products and services via mobile phone, cash card, contact centre, and international call services(AIS, 2012).
Basically, AIS was established in 1986. After that, acquiring which is controlled by Shin Corporation and Sing Tel Strategic Investment PTE Ltd. Holding on 40.45%, with Thai Trust Fund and OCBC Nominees holds a 23.32% and 36.23% in other stakeholder respectively and ratio of general niche investors in company (Wikipedia, 2012). Nowadays, there is a market value around $14.70 billion which is the majority on the listing of the Stock Exchange of Thailand. The company becomes to be number 1 Thailand mobile operators, both in terms of subscribers from successfully developing three distinctive brands targeting different customer profile such as one-2-call, SAWADEE and AIS etc. On the other hand, maintaining market share leader both in city and rural areas strong dividend payment with low debt profile with 53% (AIS, 2012).
After acquiring, the company was able to invest continuously on network communication and to support widely customer more than 19 million. Moreover, it used to pay for technology development to expand in others distinguish kind of products and services such as broadband TV, internet online service.
Section 1: Vision and Mission Statement
Goals can be established through a process of traditional goal setting or through management in order to review organization's vision and to reflect what company's mission statement is announced and reliable on customer. Traditional goal setting is defined as the process whereby goals are set at the top of the organization and then broken down into sub goals for each level in an organization.
In term of AIS (AIS/Vision/Mission, 2012), the company aim to lead and shape the communications market in Thailand through innovation, customer, experience, network, people and culture. This vision is driven by mission statement. By operating this statement, it is guided the action of the company, to provide for the entire planning process and to play distinctive advantage corporate strategies efficiently. AIS are willing to commit the variety of approach by following these:
1. To deliver superior and innovative services that can add value and enhance.
2. To provide customers with best customer experience and best network quality.
3. To drive entrepreneurial ship and professional work culture to all employees.
4. To enhance value for stakeholders and continuously dedicate to Corporate Social Responsibility.
Section 1: Organization Structure
Organizational structure can play an important role in an organization's success. The process of organizing that in term of management function is how an organization's structure is created. No other topic in management has undergone as much change in the past few years as that of organizing and organizational structure. Traditional approaches to organizing work are being questioned and revaluated as manager's search out designs that will best support effectiveness and efficiency while maintaining the flexibility that's necessary for success in today's dynamic environment.
Chart Source: AIS Company Profile: Management (AIS, 2012)
From the organization structure of AIS above and the background of company profile, I feel that AIS is classified by organizational purpose as business organization in order to make a profit in a generally acceptable. Moreover, in approach of departmentalization, AIS is in the format of functional departmentalization with both vertical hierarchy and horizontal structure and to follow more traditional view of organizational design. As a result, the formal framework which jobs are grouped in order to accomplish organizational goals in the structure by function performed which that groups similar or related occupational specialties together.
On the other hand, with the concept of span of control refers to the number of subordinates a manager can supervise effectively and efficiently. The span of control concept is important because it determines how many levels and managers an organization will have. By consideration from the chart above, I claim that the span of control is wide for AIS. As a result, it is less administrative expense and more self-management for large size business which both popular nations today and the trend in recent years have been toward larger spans of control. (Kreitner, 2007)
Another important aspect is that Chief Executive Officer (CEO) retains the position as General Director who has to report directly to Chairman and Vice Chairman. As this job role, CEO has a chance to do in other job in the company as every job in the company is equally also he can get the other roles idea in term of develop the company's performance in the future and control the company to achieve certain goals.
Section 2: Organization Culture
According to the article of Tony Morden stated that culture can be defined in national terms "collective mental programming" (citied in Hofstede, 1980). It can be defined in terms of business culture "the way we do things around here" (citied in Randlesome et al., 1990) and it can be defined in terms of the culture of the organization. This article is concerned with national culture, and with its impact on the culture of the organization. (Morden, 1995)
As far as I concern, I feel that organization culture is a set of basic assumptions or what people think, in a company or organization. It is based on common values that everyone learns the way of doing things in the norms and they agree to do the right thing from shared experience, history, tradition and common beliefs. Generally, most of companies are willing to present and to understanding this culture to their employees. Especially, it is necessary for new employees to learn the system.
In case of AIS way or it is called "TRIPLE I", the company aim to all employees can achieve in Vision, Culture, Philosophy and Values and to hold as the norm together in the present and in the future in order to gain more the competitive advantage which I think that it is organization culture of AIS. (AIS/Think, 2012)
As of the benefit of Value, I feel that it can help workers of AIS make decision and give them a sense of direction and it have been in translating it into understandable, workable procedures. AIS are classified as 10 basic ways or it is called "FASTMOVING". AIS tend to shared value in order to reflect what company are by distinguish aspect such as Forward looking, Accountability, Services mind, Team work, Meritocracy, Openness, Vision focus, Initiatives & Improvements, Non-Bureaucracy and against Irrationality. (AIS/Think, 2012)
According to value which it is driven through AIS vision in term of organization culture by following these:
1. Individual talents - Forward looking, Accountability, Services mind, Meritocracy, Vision focus, Initiatives & Improvements and Non-Bureaucracy.
2. Idea generations - Team, Meritocracy, Openness, Vision focus, Initiatives & Improvements, Non-Bureaucracy and Guard against Irrationality.
3. Infinite changes - Openness, Vision focus and Initiatives & Improvements
As a result of consistency in term of business performance and company goals, Philosophy of AIS play important role that it is the core concept of procedure and customer service for all employees to continuously comply for a long time with "Quality in Everything We Do, Together We Delight Our Customers at All Times" and "Every time we serve our customers, we are engrossed in our mind with what they are beyond". (AIS/Think, 2012)
Section 3: Organizational Characteristics
3.1 Recruitment and Selection the employee
The Recruitment also the other idea that important for AIS because the job that assess for the employee sometimes need skill and some important qualify for each individual job. The company start with the selection and recruitment by request for vacancies and new positions require approval from Human Resources Department and final approval from the Managing director for each department required. Job descriptions for each position are created, listing required skills, competencies and the roles and responsibilities. The next step is interview and selection process by let the human resources manager and supervisor interview personally with new employee. These processes will be communicated and given further information to applicants via AIS website. I feel that it is driven through the most popular employee screening device.
In the theory of Motivation, McClelland stated that "Motives that are important for business development and effective continued operation, such as achievement needs and the socialized power motive, are said to be subject to the effects of appropriate educational processes" (Citied in John B. Miner 2002). In my point of view, I feel that Motivation of employees is very important for every company. AIS can rely on motivated employees to implement the proposed change. McClelland's motivation theory contains three needs: achievement, power and affiliation. Once employees become motivated, they develop their own incentives to achieve their targets. As a result, I would like to present a sample of motivation needs. It can be seen from human resources development and training policy of AIS which I claim that what they are motivated employees in order to fulfill needs term of achievement.
For employees' career path, AIS is made the project that it called "Career advancement" which is driven through the system of competency-Based development. By doing this project, employees can improve their appropriately knowledge, skill and potential in order to benefit to their future career and meet the company goals. For instant, to offer education fund etc. Therefore, employees are supported knowledge sharing with business and personal experience together on knowledge management that it called "Nokhook". (AIS/Learn, 2012)
On the other hand, for new employees, AIS is created the course training for them in order to understanding and to improve the job knowledge skill with the core subject that all new employees need to take the course, For instant, Class room training, Workshop and E-learning. Moreover, these classes will be guided and supported by individual manager department and Human Resources Department. Another important aspect is that it is reflected and driven via the roadmap for new employee by following this picture below (AIS/Learn, 2012).
Picture Source: AIS Careers: Learn (AIS, 2012)
Finally, I believe that with achievement, power and affiliation motives will create higher levels of competence in the various department at AIS.
In my opinion, I feel that top management team also needs to participate to the change. The finance director has maybe the most important role in the company with the managing director to lead change and encourage the other management team and the other employees to work together hand in hand. With the role of leaderships, I claim that for AIS, Two Chairmen who play the role of leader and Chief Executive Officers all departments as managers must work together along with their employees to set goals create objective and determine responsibilities and strategies to implement the proposed changes.
Change needs to have transformational rather than transactional leaders, in order to motivate their staff and put in their priority the benefit of the group; hence organization instead of their own personal interests, in order to making the change proposal successful, top managers have to discuss with employees the way that suggested the values and working style reinforcement. They have to force personal communication skills, in order to clarify the future direction and to be able to answer all questions from their staff. All employees in the organization must know how they will contribute to achieving that objective of AIS.
3.4 Group processes
In the meaning of group or team can be built in the company creates a sense of collective responsibility. Every workers share in success, every worker learns from mistakes, every workers works together to help everyone else. The result is combined more company success. This aspect that I can reflect from the concept of AIS family which to focus on completely create and balance between employee, team work, job, department and company together for social, I claim that it is team-building for unity, relationship and social response. (AIS/Social, 2012)
Section 4: Strengths and Weaknesses
The ways that a company organizes and combines its human resources, I feel that the company should also look at its strengths and weaknesses in relation to its organizational structure, recruitment and training, motivation, leadership and group processes. According to Birkett, stated that culture places are a big part in the strategy. An organization cannot rapidly change its culture, behaviour, values, beliefs and attitudes. AIS also need to focus on education, training and motivation of employees at all levels of the organization. (Birkett.H, 2009)
The strengths and weaknesses of AIS analyses can be demonstrated in the following table:
As a result, AIS is in the format of functional departmentalization with both vertical hierarchy and horizontal structure. This type of organization structure is provided for the top management level (CEO) can create properly the plan to set company's strategy and policies also make decision that come from information that top management provided for them.
AIS can fulfil needs in order to motivate their employees with different types of training courses and development subject in order to operate or deal with different technological tools applied in all departments and to improve their employees existing abilities, new knowledge and skills.
AIS is become number one service telecommunication provider and well-known in Thailand which it is considered from the award offered. Such as The best employer in Thailand 2011, Top Company for leader's award. These reflect company's potential in term of management to manage the effort to achieve certain vision and mission and to make the brand image processing. (AIS/Awards,2012)
1. With the present organization structure of AIS, it is likely to be aware of problem from communication in organization. For instant, line managers must be aware of, educated and trained to contribute the execution of company's strategy, communicate across functional area and integrate their skills in order to allow them to implement strategy.
2. In term of company need to create its wealth for improving the product goods, sometimes top management may be difficult to export the motivation to staff further down in the company as a result of without training and education, especially communication and relations. The solution to make the management team to have a positive impact on the communication between the other functions is to improved communication and relations within the management group.
Advanced info Service PCL (AIS) needs to investigate deeply in details of each terms of organization management, think about the suitable method that they should apply to use their company and then implement it to the management team, so that they can transmit the information to their subordinates correctly. Moreover, it is the most important aspect that CEO or Managing Director should be able to communicate effectively in strategic management or decision making process. It needs the acceptance from everyone in the company, from top to bottom, so the company should make sure that they could understand the strategy that mention above and apply to use in the way that suitable for situation in company which everyone will accepts and understands it.