Organizational Culture Issues In Dominos: Analysis And Solutions

Background of the Company

• Provide a brief introduction to the organisation (it is acceptable to withhold the name of the organisation).

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• Describe the problem, as much as possible in terms of the observable or measurable symptoms it manifests, for example: high percentage of faulty products; high employee turnover; deterioration of service quality; increased customer complaints; decreased market share; loss of profit; negative/ unhelpful organisational culture etc.

• The issue/problem should then be considered and analysed in terms of concepts/ models/ theories drawn from any two topics studied as part of this subject. Try to choose the topics that seem to offer the most useful insights into the problem. Do not try to deal with many models or concepts. Topics outside course coverage must not be selected.

• Design an intervention (a change program or set of activities and procedures) utilising some aspect or aspects of your analysis. The intervention should be intended to solve or improve the situation. Please note you are not merely being asked for a list of recommendations.

The organizational culture of a company refers to the internal ambiance of the workplace along with the relationship among the employees as well as the association between the employees and the management of an organization. As Alas & Vadi (2010) have clearly stated in the article that organization culture highly affects the working approaches as well as the operational functions of the employees that ultimately leaves impact on the overall business of the particular company. Sometimes this organizational culture leaves the impact on the external market too and therefore, it is important enough to maintain a proper and healthy organizational culture in any business (Armstrong & Armstrong, 2010). In order to clearly understand the organizational culture, the learner has taken a special reference of Dominos and analyzed some issues that has affected the company and based on the detected issue, has recommended some of the solutions along with the proper implementation process.

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Dominos is recognized as the world’s leading Pizza Delivery Company that serves it satisfied customers all over the world having more than 220,000 employees. Dominos headquarter situated at Michigan, United States, and Tom Monaghan is the founder and J. Patrick Doyle is the respected CEO of this huge cooperation. This second largest pizza chain in the United States was founded in the year 1960 and now has turned to be the largest food supply chain in the world as it has more than 10,000 corporate in more than 70 countries of the world (Domino’s Pizza, Order Online, 2015).

Identifying the Problem of the Organization

This one of the largest pizza delivery company over the last few times has severely suffered from organizational culture issues. This has affected the employees of the company directly and the customers indirectly up largely. Recent reports say that dissatisfaction among the customers of the company has been noticed. This has affected the growth of the company and many employees have left the company, and the company has faced a high employee thrashing.

The improper services provided by the employees of Dominos to the customers have recorded as unsatisfactory and this has affected the growth rate of the company. After conducting a survey among 50 customers of Dominos, the researcher found the following result.

Options

No of Respondents

Total Respondents

Satisfied

10

50

Neutral

2

50

Dissatisfied

38

50

From the table, it is clear enough that 38 customers out of 50 were highly dissatisfied with the service they receive from the employees and on the contrary, only 10 customers were satisfied with the service of Dominos.

Besides asking the employees, the researcher asked 15 employees as well regarding the organizational culture issue in Dominos and their answers were not satisfactory, rather annoying for the organization.

Options

No of Respondents

Total Respondents

Lack of Communication

3

15

Individual Conflicts

4

15

Unequal Behavior

6

15

Lack of Information Sharing

2

15

From the above table, it can be easily said that the employees are not satisfied at their workplace, this has affected their service to the customers, and thus the customers were dissatisfied largely. As the customers are not getting satisfied with the service, they are not willing to go to Dominos and it is quite easy for the customers to switch over from one company to another in this highly competitive business circumstances. The improper organization cultural thus has affected the company largely in respect of both the employees and customers.

The researcher has found that as the employees of this company are from various parts of the world, therefore automatically there is a gap in the perceived values, beliefs among the employees. This affected the company as Dominos failed to maintain some unique organization culture that helps the employees to stay together and give the best effort to the work. Based on the data received from the employees of the organization, it is easily understandable that the lack of communication, differentiation in the behavior, various conflicts among the employees discourage them in sharing information with each other in the workplace, and thus the employees feel uncomfortable with other. After from that, the employees do not get motivated by the management and the lack of motivation indulge the unhealthy organizational culture among the workers of Dominos. As per the need of the situation or the demand, the manager failed to motivate the employees of Dominos and thus, the employees do not feel comfortable enough to serve properly to the customers.

Analysis of the Problem

3.4.1 Solution to customer dissatisfaction due to improper leadership in Dominos

After going through the problems faced by the referred company, i.e. dominos, the learner has found out some of the solutions that might help the organization to get rid of the arrived issues. The researcher has already found that the company is suffering from organizational behavior issues as the employees of this company are from different parts of the world. Therefore, naturally there are some problems in their way of communication. Besides that, the researcher has found that the improper leadership discourages the employees as well. Lack of motivation to the employees disallows them to serve better to the customers (Eraulj, 2010). This is directly affecting the business of the company, as the customers are not feeling the interest to come to Dominos. It is no doubt to say that the customers enjoy the chance to switch over from one company to other in this highly competitive era (Du Plessis, 2014). Therefore, the management of the company is requested to maintain some of the strategies to get over this problem as early as possible.

  • Participative and Transformational Management

The researcher suggests that the management of Dominos need to change their leadership style. They need to adopt some of the participative leadership methods as well as transformational form. This type of leadership helps the leaders or the managers of the company to know the problems faced by the employees of the company (Gherardi, 2014). Not only the problems, the leaders or the managers come to know about the strengths of their employees. Thus, the leaders can provide the employees proper assistance as per the requirements to shape their abilities (Farmer et al. 2012).

If the employees get the opportunity they would be able to work in alignment with the goal as well as objectives of the company (King & Lawley, 2012). Most importantly, the managers need to feel the employees that they are very important part of the company. If the employees get a chance to take part in the decision making process, they will feel special, and this will help them to serve properly to the customers (Kanungo et al. 2012). Whenever new products of Dominos are launched in the market, the leaders or the managers should discuss that with their employees, and this will work as the motivation to the employees. The researcher suggests that the management need to be friendlier, so that the employees get easily opened up to their managers and can share about their problems.

Reasons behind the Problem

 Participative leadership help the employees of an organization to take part in different activities of the company and this influences them to serve the customers in a better way in both direct and indirect manner (Knights & Willmott, 2012). The managers of Dominos need to maintain the proper organizational culture that will support in giving surety the employees that the management of Dominos is supportive enough towards the staffs or the employees. As it is clear enough that the employees do not get proper motivation from their leaders to enhance their work performance, the management of Dominos needs to focus at this point immediately to deal with the issue.

3.4.2 Solution to the problem of Organizational behavior in Dominos

  • Training and Counseling Sessions

After looking at the issues faced by the employees of the company, the researcher has made an effective solution. The researcher has recommended that the management of Dominos need to arrange periodical training and counseling sessions to identify whether the employees of Dominos are facing any cultural issues or not. It is quite important for the management to conduct training on an individual basis so that the employees can easily get the chance to open up to the leaders (Knights & Willmott, 2012). Apart from these counseling sessions, the management needs to offer proper training to the employees as a part of the ethnically diversified occupation strength.

The management of the company is well aware of the facts that the employees of Dominos come from the various parts of the world, so some training related to the multicultural dimensions needed to provide to the employees. In this type of training, different employees belonging in different ethnic groups need to take part, and this will help them to overcome the cross-cultural issues (Kummerow & Kirby, 2013). Both in a direct and indirect way, this will help the employees to serve better to the customers. The researcher has found that the employees of Dominos face severe problems because a lack of Communication among them.

Apart from that the individual conflicts disallow them to fix up with each other properly in the workplace (Mullins, 2011). Unequal Behavior among the employees not only hampers the service provided to the customers but also obstructs the management (McKenna & McKenna, 2012). As the managers of the company do not share ample amount of information with the employees, the employees do not feel that they are essential parts of the company (Lee et al. 2010). Therefore, the researcher suggests the management of the company to conduct the periodical meetings to deal effectively with this issue.

Solution of the Problem

After suggesting the recommendations, the researcher has requested the management to implement the solutions to see whether the solutions are as per the requirements or not.

The researcher has requested the management to hire managers as per their ability to motivate the employees. The management needs to conduct a meeting for both individual and group meeting to check the capacity of the managers. After conducting the meeting, the employees are supposed to provide their valuable feedback and based on that feedback, the management needs to judge that the hiring of the manager is perfect or not (Sriramesh & Verce, 2012). Initially, the managers should change their style of leadership and need to motivate the employees. If the employees get satisfied with the participative and transformational leadership of the existing manager, then the company needs not to hire new managers. If the result shows negativity, the company needs to hire such managers who can tactfully handle the employees and can maintain the proper organizational behavior in the company (Smith et al. 2012).

The researcher has suggested arranging to counsel for each of the employees so that the management of the company can understand the root of the problem among the employees. The researcher has recommended the managers to talk with the employees in such a friendlier manner that they can easily open up in front of them to tell the issues they are facing (Ole, 2010). The researcher has expressed that it will be helpful for the manager if he/she can interact with the employees in their language, as language is one of the sensitive issues in case of communication (Nicolas, 2011). The researcher has suggested implementing proper training by the experts to the employees in case the situation is worse. The experts in this regards can reach to the cause easily and will find out the effective remedies to deal with this.

4. Conclusion

After conducting the research, the researcher has found that Dominos is suffering from the high rate of employee loss because of improper organizational behavior as well as lack of motivational leadership. The researcher had found out the causes behind a problem and recommended as well as implemented them in practice. It has been found that the company is seriously facing issues because of organizational culture as well as cross culture behavior of various employees from different parts of the world.

 Reference List

Alas, R., & Vadi, M. (2010). The impact of organisational culture on organisational learning and attitudes concerning change from an institutional perspective. International Journal Of Strategic Change Management, 1(1/2), 155. doi:10.1504/ijscm.2006.011109

Armstrong, M., & Armstrong, M. (2010). Armstrong’s handbook of performance management. London: Kogan Page.

Banerjee, S., & Erctain, S. (2012) Importance of Organizational Culture. Complexity and various leadership. London: SAGE

Bell, C. (2014). The Impact of Participative and Directive Leadership on Organisational Culture: An Organisational Development Perspective. Mediterranean Journal Of Social Sciences. doi:10.5901/mjss.2014.v5n23p1970

Brooks, I. (2010). Organisational behaviour. Harlow: Financial Times Prentice Hall.

Burns, J. (2012). Leadership. New York, NY: Open Road Integrated Media.

Clough, P., & Strycharczyk, D. (2012). Developing Mental Toughness. London: Kogan Page.

Cullen, J. (2013). Towards an organisational suicidology. Culture And Organization, 20(1), 40-52. doi:10.1080/14759551.2013.852550

Domino’s Pizza, Order Online,. (2015). Order Domino’s online for delivery or carryout.. Retrieved 15 September 2015, from https://www.dominos.com/en/

Du Plessis, M. (2014). The impact of organisational culture on knowledge management. Oxford: Chandos.

Eraulj, J. (2010). Organisational Culture as Organisational Identity Between the Public and the Private. Organizacija, 42(3). doi:10.2478/v10051-009-0004-3

Farmer, M., Yellowley, W., & Smith, P. (2012). Organizational Behaviour. London: Taylor & Francis Ltd.

Gherardi, S. (2014). Translating Knowledge While Mending Organisational Safety Culture. Risk Manag (Bas), 6(2), 61-80. doi:10.1057/palgrave.rm.8240180

Kanungo, R., Aycan, Z., & Mendonca, M. (2012). Organizational behaviour. London: Sage.

King, D., & Lawley, S. (2012). Organizational behaviour. Oxford: Oxford University Press.

Knights, D., & Willmott, H. (2012). Introducing organizational behaviour and management. Andover, Hampshire, U.K.: Cengage Learning EMEA.

Knights, D., & Willmott, H. (2012). Organizational behaviour & management. Andover: Cengage Learning.

Kummerow, E., & Kirby, N. (2013). Organisational Culture. Singapore: World Scientific Publishing Company.

Lee, C., Tan, B., & Chiu, J. (2010). The impact of organisational culture and learning on innovation performance. IJIL, 5(4), 413. doi:10.1504/ijil.2008.017561

McKenna, E., & McKenna, E. (2012). Business psychology and organizational behaviour. Hove: Psychology Press.

Mullins, L. (2011). Essentials of organisational behaviour. Harlow, England: Financial Times Prentice Hall/Pearson.

Nicolas, C. (2011). Determining the impact of organisational culture on organisational learning. IJCENT, 1(2), 208. doi:10.1504/ijcent.2009.029290

Ole Pors, N. (2010). Management tools, organisational culture and leadership: an explorative study. Performance Measurement Metric, 9(2), 138-152. doi:10.1108/14678040810906844

Smith, P., Yellowley, W., & Farmer, M. (2012). Organizational behaviour. [London]: Hodder Education.

Sriramesh, K., & Verce, D. (2012). Culture and public relations. New York, NY: Routledge.

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