Organizational Theory and Behavorial Problems/Ikea

Organizational hypothesis and Behavioral Problems/IKEA Ingvar Kamprad, founder of IKEA, has built a monumental note from the ground up. with innovation and creativity, he gained valuable mart sh atomic number 18 in an untapped merchandise. By providing a large product at a great price, through and through portentous client service, IKEA has distinguished itself among some of the cash in ones chips international systems. The common thread passim the case is a patriarchal air of attracters. Although Kamprads title of leadership has collect a shit to the success of his business, I depart dargon that problems be beginning to surface and that rising consequents be being questioned.Through his leadership, Kamprad has taken a active approach to campaign his arrangement and is involved at great lengths in the day-to-day operations of his business. patently defined, a patriarch is a gentlemans gentleman who rules a family, clan, or tribe. (www. websters. com) In t his case, IKEA is treated and run much equal a family, clan, or tribe. E realone is expected to take away the same show uplook on their position, the makeups goals first in mind, and call on to pass their job to benefit the establishment, non the one-on-oneist. The approximately immediate threat to IKEA is the difficulty in finding employees who leave behind drive and align to IKEAs school of thought.Job security is a tremendous issue with modern-day employees. Often, employees are more than restoreed with doing a intermediate job to secure their position than to take risks and be fanciful due(p) to a fear of losing their job. Current economics has instilled a fear in employees that hinders creativity and the crack of suggestions and ideas. A nonher threat perceived by some employees as well as by some consumers is that IKEA is expanding at a rate that is difficult for them to keep up with. Stores are being established at multiple locations internationally at a rapid rate.This leads to the issue of whether or non IKEA is capable of handling this level of elaboration and whether or non they ask huge qualified employees to fill all unemployed positions within the organization. Also, it is a growing concern that IKEAs well-established reputation of impeccable customer service lead deteriorate due to an every(prenominal)wherewhelming amount of invigorated clients, parvenue film, and so forth There is in addition the issue that employees find it difficult to follow the thrifty expenditure procedures of IKEA when the company is making much(prenominal) a large profit. Kamprad personally follows the expenditure guidelines and expects all employees to do so as well.Employees find it difficult to bargain fink for supplies, travel accommodations, etc. , when the organization is making more and more money any attached year. If the money is there, why not splurge a little? A final threat perceived by individuals within the IKEA organ ization is an inclination to moot that the organization give deteriorate when Ingvar Kamprad retires or otherwise leaves the organization. Due to the patriarchal style of leadership that Kamprad has taken, who will carry on this school of thought? Who will take everywhere the position of motivator and promote earnestness and innovation once he is kaput(p)?Can anyone really take his short letter? Related Literature In theory, the patriarchal style of leadership that Ingvar Kamprad has taken towards trail IKEA and its operations is through so in a very positive light. It is liable(p) to the success of the organization to make employees witting of all the positive aspects of his leadership style. For example, Kamprad has a very humane and compassionate birth with his employees. He views them as individuals, not as numbers, and makes every effort to personally determine each and every one of them. This qualitysetters case of interaction is vital if he is difference to def end his leadership position.By gaining the respect, trust, and adoration of his employees, Kamprad can buoy show those within the IKEA organization that he is truly looking out for everyones interests, not just his own, or just those of the IKEA organization. Finding employees who will accept and adapt to IKEAs philosophy is belike one of the virtually difficult tasks face up by the organization. IKEAs reputation and incoming rely on it. Considering his years in business and his standards of what a valuable employee is to Kamprad, he should maneuver his job vacancy selling to individuals who whitethorn fit this profile of an ensample employee.For example, simply placing an advertisement in the privation Ads of a local newspaper whitethorn draw dozens of applicants, none of which whitethorn be qualified and/or duty for the job. Young, motivated, easily-trainable individuals should be targeted directly. This whitethorn be college students who are contemporaryly taking sale s and selling courses who are looking for part-time course that may eventually be promoted into leadership positions. A target may also be stay-at-home moms who are reentering the workforce, with preceding sales experience.First, a target food market place must be determined and a more focused approach to hiring should be taken. Once employees are hired, continuous preparedness and reinforcement of the organizations goals and principles look at to be instilled. Mandatory training is liable(p) and should be in a laid-back, relaxed, and hail-fellow-well-met atmosphere, to mimic the IKEA persona. To dispel fears of losing their jobs due to risk-taking and seminal thinking, employees choose to be constantly tranquillise and encouraged that such behaviors are not only acceptable but expected.The scoop out way to present this point is to allow employees with examples of other employees who concord taken such risks, stumbleered their opinions, and shared their ideas. If in dividual employees will not consent to being used as an example, names can be leave anonymous. However, specific details should be given. It is curiously great to point out the individuals who gave their thoughts, ideas, concerns, etc. , that may have proved to be wrong or disadvantageous to the organization. The close to advantageous examples would be such employees who have since been promoted, rewarded, etc.By showing current employees that ideas and suggestions that dont succeed with ready colors are not reciprocated with invalidating repercussion, employees may feel more footsure about speaking up. Stress should be placed on the fact that the employees who have showed the most creativity and offered the most suggestions, creative criticisms, etc. , are the ones who hold the outstrip management positions within IKEA. Expansion is incumbent for any organization to succeed. IKEAs orbicular market is enormous and the rapid harvesting may not always be easy to keep up wit h.However, Kamprad had the regenerate idea when appointing the head of Canadian IKEA to supervise US operations. This strategy ensures that a successful, well- proficient, experienced individual is responsible for the groundbreaking of new markets. This, of course, should only be temporary until a proper replacement is found and/or utter(a)ly trained as to not overwhelm the individual with too numerous responsibilities. This will also allow Kamprad to be confident that a proven leader is paying attention to all the crucial details of starting up the business in a new market. virgin products and new services is also an important part, as well as a possible detriment, to IKEAs expansion. Different markets demand different products and services. First and foremost, IKEA of necessity to specify where they stand, what their core values are, and how much or how little they are willing to interpolate to adapt to various markets. For example, one market may rely heavily on furniture delivery options. IKEA, however, is known for the no-shipping policy. Should they falsify this policy to meet their consumers needs? In my professional opinion, IKEA should stay admittedly to their policies and procedures.I say this based on the idea that if you change the way you engage for one market, it leaves other markets to question, you did it for them, why cant you do it for me? . It is important, however, to consider the disconfirming consequences of this type of approach. Market studies should be done to determine just how dependent consumers are on this type of service. Comparisons should be make with local furniture companies that may fence with IKEA to see if they are a threat to business. Overall, the market itself should be thoroughly analyse to weigh the risks versus the benefits.If IKEAs whole philosophy needs to be jeopardized to adapt to the target market, perhaps it is not in the organizations best interest to bring their business to that location. It is imp ortant to remember that every change made to one market can either positively or negatively impact the organization as a whole. As for spending procedures, IKEA may not being doing a thorough enough job of presenting employees with the benefits of their cost-saving efforts. Again, communicating this type of information to employees is crucial. It needs to be reiterated over and over again that the company is doing so well artially because of IKEAs frugal spending policies. Although it is important to show these benefits as they name to the organization, it still may leave legion(predicate) employees asking, whats in it for me? . Incentives should be given to help motivate employees to continue their money-saving practices. This may include a bonus, time off with pay, a luncheon for the store that assuages the most in a given pointedness of time, etc. In concept, the money employees save the organization will far pass on any bonuses or perks that are rewarded.However, employees will feel more appreciated and more motivated to cut back where they can. It is obligatory though to ensure employees are not sacrificing quality or service in order to save money. Combating the perception that IKEA will deteriorate when Ingvar Kamprad retires or otherwise leaves the organization is a rather difficult task. In order to find an individual who will carry on this philosophy, succession readiness is a must. An individual hand-picked and personally trained and mentored by Kamprad would be the best choice.Also, an individual who has worked their way up through the ranks and has a thorough and genuine understanding of the organization, its goals, and its policies will best cause this position. Because Kamprad is so hands-on and personally meets all his staff, he should be able to make an educated and reasoning(a) decision as to who would best suit the position and best represent the employees of IKEA. Although no one may ever take his place, Kamprad can certainly find an individual who will carry on the IKEA philosophy in their own unique, creative, and prosperous way.Overall, I see IKEA as a very strong, very well-structured organization. They have a fleet set of goals and objectives and have built a framework of the path to success. Problems they face are mostly due to the changing economy, the need for expansion, and the doubts of individuals within the organization. Although they face some somber problems, they can be solved through logical and rational decision-making. Research, planning and accomplishment of these plans can address the issues discussed before they become problems. Using the innovative and creative ideas that the organization encourages of its employees, IKEA will continue to prosper.