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Management / Sociology of decision making - (Yellow Auto) case study analysis report

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The family business was grown and expanded to a considerable level by the late 1990s. I 2001, te company sought to move to another milestone by capturing over half of the market share of the city that it operates in. I the quest to attain this, tey hired an external consultant to examine important issues in the organizational systems and structures. Te recommendations enabled Yellow Auto to meet and exceed its objectives by 2008. Tis paper examines the decision making processes used in attaining this paradigm shift. Te examine two significant components of the company from a sociological point of view.

Te first is the problem with the previous decision-making system that stood in the way of reforms. Te second is the examination of the new systems that were implemented to attain the objectives of the company. Te first observation of the old decision making system is that it was a centralized system that was steeped in the owner who doubled as the president and the top manager of the company. Lssier identifies that centralization of authority the organizations group structure operates around a single unit of the entity and this has an influence on communication and interpersonal relationships in the organization (2011, pIn examining group dynamics, tere is a distinction between formal and informal groups.

Aformal group is one where there is a consciously created set of roles and obligations that are well defined (Chevalier, 2007, p An informal group is established through relationships. I the case of Yellow Auto (1988 – 2001), tere were unwritten rules and employees lacked autonomy. Rles were not defined people were told what to do as they came up.

Tis means that Yellow Auto in its advent was an informal organization. Aso, pople joined the organization because they were family members and a few were recruited only under the involvement of the owner. Tis was more of a reference group rather than a membership group. Areference group is one where people identify with groups rather than have clearly defined goals, a the case is in a membership group (Zastrow, 2009). Yllow Auto employees had a fringe whereby they efforts of the owner as and when they were told to do things (Harrison, 1999, p This was because there was a primary set of face-to-face relationships and contact was strong (Tischler, 2009, pIn effect, cmmunication. ..

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preview essay on Management / Sociology of decision making - (Yellow Auto) case study analysis report
  • Pages: 8 (2000 words)
  • Document Type: Essay
  • Subject: Management
  • Level: Undergraduate
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