ORGANISATIONS AND BEHAVIOUR

SCENARIO
CAGLIARI IS AN ITALIAN RESTAURANT CHAIN THAT HAS BEEN OPERATING FOR THE PAST TEN YEARS. IT IS CURRENTLY
LED BY FOUNDER AND CURRENT CEO ALBERTO DEMARCO. THE RESTAURANT HAS OVER 35 BRANCHES THROUGHOUT THE UK,
PREDOMINANTLY IN 3 REGIONS IN UK: GREATER LONDON, THE MIDLANDS( BIRMINGHAM CONURBATION) AND THE NORTH
WEST( LIVERPOOL, MANCHESTER) THEY COMPLETE DIRECTLY WITH OTHER ITALIAN CHAINS AS PREXXO, CARLUCCIO &
ZIZZI. YOU ARE WORKING FOR A LEADING MANAGEMENT CONSULTANCY AND HAVE BEEN HIRED TO ADVISE THEM N A
NUMBER OF ORGANIZATIONAL BEHAVIOUR ISSUES.
THE RESTAURANT SEEMS TO BE OUTSTANDING ON A NUMBER OF KEY FRONTS. THE MARKET FOR ITALIAN CHAIN
RESTAURANTSSEEMS TOVBE SATURATED AT THE MOMENT WITH EVER INCREASING PRESSURE ON OPERATING MARGINS. YOU
HAVESPOKEN WITH A NUMBER OF THE HEADD CHEFS AT CAGLIARI AND THEY DISILLUSIONED WITH THEIR LACK OF
INVOLVEMENT AND KEEN TO REVOLUTIONESE THEIR SERVICE OFFERINGS AND TRY TO INNOVATE WITH NEW AND
EXICTING, SASONAL FOOD OR PERHAPS EVEN ALLOW FOR EACH GEOGRAPHIC DIVISION TO ALTER TO MENUS DEPENDING
ON THE LEVEL OF RIVALRY, CULTURE IN THAT AREA.THE LONDON MARKETIS PARTICULAR, IS EXTREMELY COMPETITIVE
WITH NEW INNOVATIVE CONCEPT SUCH AS ITALIAN STYLE TAPAS BAR OPENING UP, AMONGST OTHERS.
LEADERSHIP
THE LEADERSHIP STYLE OF THE CEO IS EXTREMELY AUTOCRATIC WITH STAFF LOWER DOWN THE HIERARCHY NOT HAVING
THE OPPORTUNITY TO COTRIBUTE THEIW IDEAS OR PARTICIPATE. ONE SRVICE STAFF MEMBER NOTED HOW “ SHE FELT
DEMOTIVATED NOT HAVING THE LATITUDE TO OFFER CUSTOMESR A FREE DRINKS OR DISCOUNT ON THEIR BILL WHEN
THEY HAVE HAD AN AVOIDABLE PROBLEM WITH THEIR MEAL”.
ORGANISATIONAL STRUCTURE AND CULTURE
THE STRUCTURE AT CAGLIARI IS EXTREMELY HIERARCHCAL, DECISIONS ARE MADE AT THE TOP OF THE ORGANIZATION
WITH LITTLE INPUT FROM MIDDLE MANAGEMENT, LET ALONE FROM LOWER LEVELS. THE COMPANY IS SPLIT ON A
DEPATMENTAL BASIS WITH CONFLICT OFTEN ARISING BETWEEN THE VARIOUS DEPARTMENTS AS PURCHASING,
OPERATIONS, HR AND SALES& MARKETING WITH A RESULTANT LACK OF SPEED AND RESPONDING TO ENVIRONMENTAL
CHALLENGES. THE ORGANISATION CULTURE AT CAGLIARI HAS EVOLVED INTO SLOW MOVING, BUREAUCRATIC CULTURE
DOMINATED BY RULES& PROCEDURES. SENIOR MANAGEMENT TEND TO SET EXTREMELY AMBITIOUS FINANCILA TRAGETS FOR
EACH DEPARTMENT WHO THEN SET STRICT OBJECTIVESFOR EACH STAFF MEMBERWITHIN EACH DEPARTMENT. THESE
OBJECTIVIES ARE DEVELOPED ON A TOP-DOWN BASIS WITH STAFF HAVING NO INPUT AT ALL INTO THEIR OWN WORK
OBJECTIVES, FINANCIAL REWARDS HAVE BEEN THE PRIMARY MOTIVATIONAL TOOLADOPTED BY MANAGEMENT, YET THIS
HAS NOT HAD A SIGNIFICANT IMPACT.
BOTH WHITE COLLAR AND RESTAURANT STAFF IN PARTICULAR, COMMENTED ON THE HIGH LEVELS OF EMPLOYEE STRESS,
UNSOCIABLE HOURS, POOR WORK-LIFE BALANCE AND ITS RESULTANT EFFECTS ON ABSENTEEISM AND EMPLYEE TUROVER.
HENCE THE CULTURE HAS BECOME QUITE DISPARATE AND DEFEATIST IN NATURE WITH STAFF SHOWING LITTLE
AFFIILIATIONTOWARDS THE PARENTCOMPANY
TEAMWORK
FURTHERMORE, THEY ARE EXPERIENCING PROBLEMS IN TERMS OF DEVELOPING EFFECTIVE TEAM BETWEEN ITS DIVERSE,
INTERNATIONAL WORKFORCE; CONFLICT WITHIN THESE TEAMS SEEMS TO BE COMMONPLACE DUE TO CULTURAL NORMS AND
MISCOMMUNICATION. FURTHERMORE, TEAM MEMBERS ROLES ARE POORLY DEFINED AND THERE IS A DISTINCT LACK OF
BALANCE. EMPLOYEES HAVE ALSO HIGHLIGHTED THAT THE TEAMWORK IN THE PAST HAS BEEN HINDERED BY NOT HAVING
CLEAR GOALS, SUFFICIENT SUPPORT, POOR COMMUNICATION AND LOW LEVELS OF TRUST AND COMMITMENT
PROFIL OF STAFF AT CAGLIARI
THE STAFF ARE SPLIT 65:35 MALE TO FEMALE, WITH LARGE PRPORTION OF WORKERS BETWEEN 25 AND 50. A LARGE
PROPORTION OF THEM ARE MARRIED AND HAVE CHILDREN ATTENDING SCHOOL. THEY HAIL FROM DIFFERENT PARTS OF
THE WORLD, WITH LARGE PROPORTION FROM SOUTHERN EUROPE, SOUTH ASIA AND AFRICA- ESPECIALLY WITHIN THEIR
RESTAURANT STAFF. A SIGNIFICANT PERCENTAGE HAVE BEEN LIVING IN THE UK FOR LESS THSN 2 YEARS WITH OVER
FORTY LANGUAGES BENN SPOKEN BY STAFF.
IT HAS BEEN IDENTIFIED THAT A NUMBER OF THE WAITING AND KITCHEN STAFF, WHILST HAVING THE ABILITY TO DO
THEIR JOB, HAVE ONLY BASIC ACADEMIC AND VOCATIONAL QUALIFICATIONS. STAFF SURVEYS INDICATE THAT A
NUMBER OF THEM FEEL THST THEY WOULD BE HAPPY TO TAKE ON ADDITIONAL RESPONSIBILITIES YET THE MAJORITY
REPORT THAT THERE IS NO CAREER PROGRESSION PATH NOT DEVELOPMENTAL OPPORTUNITIES PROVIDED BY MANAGEMENT.
OVER THE PAST COUPLE OF YEARS, A “ THEM AND US’’ ATTITUDE HAS EMERGED AS THE DIRECTORS RECEIVED LARGE
BONUSES FOR THE INCREASE IN PROFITS YET EMPLOYEES ONLY RECEIVED MODEST SUCH BONUSES, DESPITE THE
INCREASED COST OF LIVING. THIS TENSION HAS SPREAD THROUGHOUT THE ORGANISATION WITH JOB AND PERSONAL
CONFLICT BECOMING MORE FRUSTRATED BY THE LACK OF BOTH INTRINSIC AND EXTRINSIC REWARDS. SERVICE LEVELS
HAS DROPPED NOTICEABLY WITH A NUMBER OF DAMNING REVIEWS BEING POSTED ON SOCIAL MEDIA SITES SUCH AS
TRIPADVISOR.
YOUR ASSISTANCE IS URGENTLY NEEDED TO HIGHLIGHT AND EVALUATE KEY ORGANISATIONAL BEHAVIOUR ISSIES.
PLEASE NOTE
CERTAIN TASKS WILL RECUIRE YOU TO COMPARE CAGLIARI`S WITH OTHER ORGANISATION- STARBUCKS

Task 2
1- From the above case explain how organizational theory underpins the practice of management at
Cagliari restaurant.
1.1 Theories Y and X- use it. Are the Theories valid and how the theories are dictating the
organization
1.2 Relate the Theories to the Scenario
2- Choosing Cagliari restaurant and one other organization – STARBUCKS, identify and evaluate the
different approaches to management they adopt
2.1 What is the approach of Cagliari- Bureaucratic.
2.2 Relate to the Scenario

MAX WORD FOR THIS TASK 600
PLAGIARISM FREE
USE HARVARD REFERENCING SYSTEM
USEFUL RESOURCES:
MULLINS,L,J (2013). MANAGEMENT AND ORGANISATIONAL BEHAVIOUR,10TH EDITION
GRIFFIN,R (2011). FUNDAMENTALS OF MANAGEMENT
BROOKS,I (2009). ORGANISATIONAL BEHAVIOUR, INDIVIDUALS,GROUPS AND ORGANISATIONS
THE RESOURCES SHOULDN’T BE OLDER THAN 2009