INTRODUCTION
The Management and Leadership encompasses a procedure with the help of which different activities in the business organisation are coordinated and controlled to perform business activities as planned. Management is accomplished through planning, organising, controlling, directing all the organisational tasks to attain all business goals (Chin, 2015). Leadership is a form of encouraging individuals and teams to behave in a predefined manner to accomplish a common goal.
The project contains information regarding various guidelines and principles of management and leadership, which are applied to Royal Marsden Hospitals NHS Trust in the UK. Our organisation is providing cancer care services and making all the researches in this relation since 1851. RMH NHS Trust is known biggest NHS hospitals in cancer research the UK, and it offers various healthcare services, including cancer care according to the patient’s capacity to pay or for free. (Marsden Hospitality Trust, 2020).
The project report consists of principles of leadership as well as management, development of a management profile. A proposal will be made in order to develop and establish a positive environment, including mutual understanding, respectful trust and support between teams and employees.
TASK 1
1.1 Impact of legal status on the governance of an organisation
The legal status refers to business entities which possess separate legal entity in the eyes of the law, which is recognised by the government of the country in which business is operating. Governance is the system or process which ensures leading, supervising, directing functions and operations of an enterprise. Good governance, when implied on the business organisation, then it ensures that all the business operations are performed as per laws and regulations applied to the business. RMH NHS Trust possesses legal status as per rules and regulations in the UK, and this creates a noticeable impact on this firm.
The legal structure comprises of various laws and regulation which are to be undertaken by an organisation to operate its business functions and take decisions. It contains basic guidelines which define manner to conduct various activities and tasks within the organisation. This mechanism analyses how sharing of profits and losses take place, the procedure of paying tax etc. in addition to this, it evaluate different business relations with third parties such as business associates, stakeholders, investors, workforce.
There are three options for a business’ legal structure:
| Sole Trader | A self-employed individual who regulates and run out its own business enterprise. This form of business is also known as sole proprietor or sole practitioner. The business operates by a single person has no legal identity and has no separation from its owner. Sole trader has to bear entire risks and debts alone but solely enjoys all earned revenue and profits.
(Business Organisation, 2020)
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Advantages
Sole trader has full right and control over regular as well as strategic decision-making and formulation of policies. It has to follow fewer regulations and laws as compared to a limited company. Sole trader has benefit to modify its business structure easily. Disadvantages Sole trader has to bear unlimited liability as a business is not counted as a separate entity from its owner. In such a business organisation, the owner faces challenges in raising financial funds for growth expansion. It is difficult for the owner to attract more investors as it is a less attractive organisation as compared to other limited firms. |
| Partnership | A “Partnership Agreement usually governs the operation of a partnership”. It refers to precise alignment, which includes two or more parties which are come together for managing and operating business firm and equally share earned profits. In such type of partnership arrangements, entire profits and liabilities are shared equally between all partners. | Advantages
The main benefit of such is that it provides more partner and a high number of profits to an organisation. This includes feasibility to the organisation among fund so that it can work easier for business to fund financially. The partnership provides organisation responsibilities to every partner, which are dependent on their skills. With this, the decision can be made more accessible and solve various problems of business. Disadvantages The disadvantages of this are that it is not agreed on the running of the business. This also includes taxation, which is necessary to be pay by all members, such as sole trader pay. If a partner contains a high level of profits, then the partners may face more pay than the limitation of the company. |
| Incorporated Company | There are four sorts of companies:
Ø The private company which is limited by it shares. In this, the liability is limited with respect to an unpaid amount, which is they hold. Ø The private company is also limited by their guarantee of members. As their responsibility is remaining to up to the amount of contribution that they occur with the company. Ø There is no limit occur within an unlimited private company. Ø The public limited company provides share to public and members. It also includes commitment is limited to the amount that is unpaid by them. |
Advantages
in this, the liability of a person does not down to single person including their responsibilities of business and issues of finance. This provides the flexibility of contribution of each individual within the business. This provides an unlimited number of partners within the business. Disadvantages the disadvantages of it are that some clients do not see liability within the business than the corporation. In this, partners are not concern with other partners while making the business decision within the company. The LLP agreement can cause issues when a partner wants to concern another area of business. |
The legal organisations of the NHS England govern how healthcare staff are employed which includes various options that must open to them. This also includes providing treatments to patients and the flow of funds within the health department so that they can meet the cost of services that are provided by NHS.
The NHS direct by various networks of contrasting organisations. These include public bodies, including a commercial for a profit of an organisation. The business of the organisation is to deliver services in exchange for money that is paid by commissioners of NHS England. The legal structure of NHS England is unclear to all people who are associated with them or who are occurring outside.
Today, the legal structure of NHS England is considerably ruled by the instant variation of the National Health Service Act 2006 (“the NHS Act”). (Landmarkchambers.co.uk, online, 2020).
RMH NHS Trust is government-owned, and retain responsibility for commissioning services to meet the population needs on Cancer research and cure, and will have a budget of approximately £450 million. Under the leadership of the Chief Officer and Directors, management teams will be responsible for working alongside Clinical Leaders to develop CCG’s key strategies and commissioning priorities.
Groups of management functions have been organised to reflect the CCG’s key responsibilities as a Statutory Body. It is a legal enterprise as per law, and all the policies and regulations implemented by the government of the UK needs to be strictly followed by the business (Drennan, 2012). Change in business laws leads to change in the way in which the company operates. Tax policies, laws relating to treating patients and keeping their records are some of the strategies that affect business operations directly. Legal status will generate a positive impact on the governance of business by operating positively and making smart and lawful business decisions. This creates the right image of the business and also each patient is treated in the best possible manner without any form of inequality.
1.2 Analyse the purpose of an organisation’s mission and vision statements
Each company initiates with some mission and vision so that they can derive its goals and objectives which needs to be achieved. Royal Marsden Hospital NHS Trust is working with a mission to make a continuous contribution to global and national cancer research and treatment.
We have a motive of a world where individuals can live their lives free of cancer as a life-threatening disease. So that more and more individuals can be cured, and quality of life can be improved for all those individuals who have Cancer (Marsden Hospitality Trust, 2020).
The vision of the organisation for which all the activities are performed is “Ad Summa,” i.e. the aim of the highest. The Royal Marsden NHS Trust is working with a vision to become one of the best organisations serving cancer care services and making all the treatment possible (Goetsch and Davis, 2014).
The purpose for which mission statement is derived is to define our RMH NHS Trust business, objectives and approaches used to achieve all those objectives. As clarifies with its mission statement to contribute towards cancer research and treatment, and this helps in the formation of suitable business objectives.
The vision statement of the business is defining its future position. A combination of purpose and aim statement serves the motive of identifying goals, values and objectives that are targeted to be achieved in the long run. This helps business organisation to set their activities in a well-organised manner so that in long-run mission and vision of business can become achievable.
All this helps and contributes towards serving the purpose of success and suitability of business. The companies that accomplish this most effectively are rigorous in analysing where they exist, where they want to be, and what they require to execute to get there. A dynamic vision statement is also a most effective tool to create reputation and involvement, developing a shared objective and providing a possibility for significant modifications; it helps in encouraging shareholders like government, parents, working people, students, employees and much more internally.
RMH NHS Trust communicates our vision and values effectively, already makes a large amount of information available in an open and friendly way on Publication scheme.
Data can be obtained through the website, leaflets and other publications:
1.3 Examine the impact of organisational structures on management roles
The advantages of having a better fit among the organisational framework and the style administration are twofold. Organisations with the right fit increment in productiveness because the administration form can modify the execution of companies with the compelling fit advantages from happy manpower. Workers see seniors with sufficient administration ability as a bonus. Still, mostly they will value administrators who fit within the administration form required to bring the organisation to a great extent.
How an organisation is designed has an essential effect on the style of administration required modifying the company? A misfit among management style and the company framework will improve outcomes in the poorly functioning firm if all the other sources of growth might exist. The importance of capable administrators might seem pretty straightforward, but also the active managers may not be capable of turning around a function (Ashley Miller, online,2020). Non-accomplishment can often be used to a style of administration that does not fit with the framework of the company. Safe, leading administrators with good education might be not capable of administrating an organic open company. Superior must acknowledge what style of administration fits best with the company’s framework. There are two management styles are mentioned as under:
| Centralised management | Decentralised management |
| It is defined by administrators that establish the plan of action, devise the determination and assign works. Workers follow orders. This administration style suitable to a simple framework of a company like a small business or an equipment bureaucracy such as manufacturing organisation (Organizational Structure & Management, 2020). | This management described by a businessperson who organises the output of the works of experts in the company but does not make involvement with the information of the task. Administrators are majorly deductive and concentrate on analytical problems and involve experts and seniors with practical working situations. This style of management best suitable with professional authorities like an investigation firm, a departmental structure such as an enterprise that operate its business nationally and globally. |
Seeing the difference between those two types, decentralised management type applies to our RMH NHS Trust organisational structure, but centralised management type is more suitable to the catering department.
It is essential to comprehend the market in which a firm design its organisational framework and the management form that is suitable to our NHS trust. There is always the aggregation among the market, the structure of the company and management and leadership style that has to be modified. As an example, in the fast-food market, it has to be conducted in a manner so it can mass manufacturing and meet the demands, it devises no sense to structure such as our catering division at Royal Marsden NHS Trust.
Management skills such as people skills is an important individual management skills that not all the managers have it. The structure of administration that the firm asserts is either centralised or decentralised. Thus, it is crucial to see the differentiation among administration ability and form to be capable of devising the accurate determination among centralised and decentralised administration styles (Gosselin, 1997; Caruana et al., 1998; Jansen et al., 2006)
How we can see in the above picture, the organisational structures in my catering department is centralised and tall.
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Tall Organisational structure |
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Advantages |
Disadvantages |
| Thinner areas of control. Everyone knows their role. Roles and responsibilities are clearly defined. | Longer lines of communication.
As there are so many managers, the staff feels less interested. |
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Flat Organisational structure |
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Advantages |
Disadvantages |
| The significant advantage of a flat organisation is that it improves the cost-benefit as well as employee morale.
There is less miscommunication. There is less dominance in the workplace. |
In this structure, there is a chance of wrong decisions making because it was established under the guidance of experts.
It also consumes more time. It limits and bounds the productivity of an employees This influence power struggles in an organisation. |
Our RMH NHS Trust organisational structure has a mix of mechanistic, flat and matrix structure, decentralised, but their departments have a tall pyramidal structure, which possesses a affirmative and adverse influence on the performance of business activities;
As a well-managed organisational structure which is suitable as per the requirement of the environment helps in generating a good flow of information at different levels of management. A good communication chain is developed, and this makes the performance of all the business activities on time and with accurate information (Johnston and Marshall, 2013).
| Organisational structure | Management Role linked | Control mechanism | Focus on | Types |
| Formal | A hierarchical structure bounds autocratic Style Members. | It controls the organisation procedure and guideline s. | Work performance to fulfil, the ultimate goal of the business enterprise. | Project management, functional organisation, matrix organisation, line and staff management. |
| Informal | Democratic style
All members are equal. |
Norms, values and ethics | To satisfy their social and psychological needs, interpersonal and informal communication is needed. | Horizontal Groups
Vertical Groups Mixed Groups
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| Functional | It is very complex to fix the responsibility of a particular department problem. | No managers and leaders have the power to take decisions on the problem related to the functional department. | Economy, as the functions are not repeated. | Independent departments as marketing, production, purchase, human resource, research and development |
| Matrix | The majority of authority in the hands of a Project Manager hence Autocratic Style, Transformational and Transitional style. Leadership is through influence
, not authority. It is leadership across boundaries, not only without authorisation but without visibility |
The president coordinates or balances power between the functional and the project managers. | To secure a maximum coordination and team work, this is possible for conventional organisational structures such as – the line and staff. | Weak matrix
Balanced matrix Strong matrix |
| Mechanistic | Bureaucratic structure – Autocratic and democratic style | CEO | Delivering the services | Healthcare, universities, and governmental organisations. (S, S., 2016) |
Centralised organisational structure keeps decision-making decisively at the top of the hierarchy.
Their Pro and Con of this methodology can be summarised as follows:
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Advantages |
Disadvantages |
| More comfortable to execute standard rules and guidelines for the organisation as a whole.
It helps in preventing the other activities problems of business from starting to end. More comfortable to coordinate and activity from the centre – e.g. with financial budgets. Economies of scale and overhead savings are simpler to reach. Greater use of specialisation. Usually Faster decision-making – to show strong leadership. |
More bureaucratic – often extra layers in the hierarchy.
In this operational level manager and employees are much closer to customer needs and wants. It reduces the motivation of employees because of the lack of authority by managers. Local decision making is the lack of giving the customer benefit |
Decentralised organisations refer to the utilisation of an individual’s knowledge and benefits that help run the business operations. In this company has a vast network with expertise people who can solve complex problems and situations.
The main disadvantage in this managers and expert team can give different decisions that are different from one another; it will create conflicts, and the late decision can be taken. As such, this business enterprise can face trouble trying to get everyone on the same page when making decisions.
| Virtual dispersed Organisational structure | |
| Advantages | Disadvantages |
| Less Overhead Expenditure.
Built Employee Satisfaction Developed Employee performance, Scalability and Growth Potential Approach to New Markets. |
Lack of Sociability
need to increased effective communication Security and Compliance Issues. |
A virtual dispersed structure has various features: Homework, Power flexibility Multi-disciplinary (virtual) teams, Flat organisation, Dynamic, Goal orientation, Informal communication, Vague organisational boundaries, Customer orientation.
| Table depicting Charles Hendy’s four types of organisation culture and link to leadership | |||
| Cultural Type | Meaning | How it works | Suitable Leadership style |
| Power culture | It refers to that culture in which one superior has the power and authority to make decisions and all the members in the organisation are follow those decisions without asking anything. | Employers are forced to follow the instructions given by a few power holders. | Autocratic |
| Role culture | Their role culture is like a “Roman Building” having pillars. Their pillars represent the functional departments. In this, the authority is giving according to the role of an individual. Usually bureaucratic organisations, where the power derives from an enlightened power. Management is formed by procedures. Bureaucratic organisations have consistent systems and are very predictable. (Hendy, Jane & Barlow, James, 2011) | Power comes by role and responsibility, which is given to every employer. | Paternalistic or Autocratic |
| Task culture | It refers to that culture in which task and assignments are given to a person in a team to complete a specific task on a given time. It also offers multiple solutions in a Matrix Structure. | The task is accomplished innovatively by an equal contribution per individuals to the team. | Democratic or Paternalistic |
| Person culture | When every person feels superior in the organisation. It is very complex to operate productivity and proficiency of employees and in the organisation.
Only skilled relationship works well as person cultures, as an outcome of every employee brings a specific experience and enterprise to this form. (Hendy, Jane & Barlow, James, 2011) |
Power is in each group of a highly skilled individual. | Democratic and Laissez Faire leadership |
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