NGUYEN TAT THANH UNIVERSITY

NTT INSTITUTE OF INTERNATIONAL EDUCATION

FINAL ASSIGNMENT
ORGANIZATIONAL BEHAVIOR

LECTURER: NGUYỄN THỊ HỒNG HOA

STUDENT NAME: LÊ MINH THÔNG
STUDENT ID: 2200011656
 INTRODUCTION

Effective organizational management is indispensable for the successful operation of

businesses, as the synergy between structure, culture, and leadership serves as the cornerstone
of any thriving enterprise. A well-designed and professionally implemented organizational
structure, combined with a positive and enduring culture, fosters a cohesive working
environment that drives high productivity. Moreover, leadership style plays a pivotal role in
shaping the operational framework of the organization, influencing its culture, and directly
impacting employee motivation and team performance.

When a new employee joins an organization, the onboarding process is the first and foremost
responsibility of the operations team. This process is essential for helping new hires integrate
into the organization and fostering collaboration between the organization and its new
employees. An effective onboarding process ensures that new employees feel valued,
supported, and motivated to contribute to the organization. Conversely, a poorly managed
onboarding process can lead to dissatisfaction, reduced productivity, and increased turnover
rates, as evidenced by the case of David, a new hire at TechWave.

This essay will address the key questions surrounding these themes. Part A will explore the
significance of organizational structure and culture in business operations, evaluate the
advantages and disadvantages of various organizational models, and identify the critical factors
influencing the selection of an appropriate structure for different types of businesses.
Additionally, Part A will provide an overview of how leadership styles affect team performance
and outcomes. Part B will analyze David’s onboarding experience, identify the shortcomings
that led to its negative outcomes, and propose actionable solutions for TechWave’s HR team
to address these issues and improve the company’s onboarding process.
I. LITERATURE

Question 1: Why is effective organizational structure and culture important? How does
culture affect the structure of an organization?

To grasp the importance of organizational structure and culture, it is essential to

understand their concepts and classifications. From there, we can identify the influence
of culture on an organization's structure.

a) Definition:

Organizational Culture:

Organizational culture is a complex concept defined through various perspectives. It

is the aggregation of values, beliefs, and perceptions shared by employees within a
collective, serving as the glue that binds members of the organization together.
Additionally, culture is closely tied to the organization's narrative, acting as a
distinctive element that represents the company's identity and target audience.
(Watkins, 2014)
Strong cultures encourage teamwork, stimulate creativity, and establish trust, which
affects everything from consumer perception to staff engagement. Organizational
culture is the driving force behind how a corporation solves problems, makes choices,
and builds meaningful relationships (Dewar, Organizational Culture: Definition,
Importance, and Development, 2025)
 Organizational Structure:

An organizational structure is a framework that specifies how certain tasks are carried
out in order to meet the objectives of an organization. Rules, roles, and obligations are
a few examples of these activities.

The way information moves across tiers of the organization is also determined by its
organizational structure. In a centralized system, decisions are made at the highest
levels. A decentralized structure divides decision-making authority among the
organization's tiers. Establishing an organizational structure enables businesses to stay
focused and productive.

A corporation may see how it is structured and how it can best proceed to accomplish
its objectives thanks to this structuring. Typically, organizational structures are depicted
using a chart or diagram that resembles a pyramid, with the most powerful individuals
in the company at the top rungs and the least powerful individuals at the base.

(Kenton,2024)

b) The importance of organizational structure and culture:

- The importance of organizational structure:

+ Organizational structures offer numerous advantages, including:

 • Improving productivity and efficiency, not only for individuals but also for the
collective.
• Creating cohesion and strengthening the connection among team members.
• Ensuring that employees clearly understand their tasks and responsibilities.
• Establishing professional workflows suitable for various industries.

Compared to working without a formal structure, these benefits allow organizations to

accomplish their objectives more successfully. Additionally, a well-established
structure guarantees that resources are used effectively, which raises profitability and
productivity. (Bonifacio, 2024)

Organizational structures provide employees with direction and clarity, allowing them
to better understand their roles and responsibilities within the company. This framework
also minimizes uncertainty by setting clear expectations for task execution and
decision-making processes. (Bonifacio, 2024)

- The importance of organizational culture:

+ Improved Recruitment Efforts: A strong and sustainable organizational culture can

attract high-quality talent and serves as a critical factor for candidates when deciding
whether to join an organization. In today's environment, many individuals prioritize a
workplace with a compatible organizational culture over one that offers higher
compensation but lacks cultural alignment.

+ Smoother Onboarding: The onboarding process in companies with a strong

organizational culture enables new employees to integrate more quickly. This facilitates
faster job proficiency, accelerates productivity, and enhances loyalty as employees gain
a clear understanding of the company's core values and daily operations.

+ Decreased Turnover: Organizational culture fosters and promotes shared values while
respecting diversity. This creates a sense of respect for employees and strengthens
camaraderie among team members.

+ Increased Productivity: Employees put out more effort when they are content and
pleased in their roles. Employees may gradually lose sight of company culture, yet it
nevertheless permeates every aspect of their everyday job. Establishing a robust
corporate culture that is in line with your goals can boost worker productivity, which
will raise total production. According to Deloitte chairman’s survey, 94% of executives
and 88% of employees believe a distinct workplace culture is important to business
success.
 + Stronger brand identity: Brand's reputation is shaped by the culture of your company.
Employees who work for a company with a strong, positive culture become brand
ambassadors, improving marketing and public impression.

c) Culture affect the structure of the organization:

Organizational culture is a key determinant of an organization’s structure and

operational efficiency. While structure outlines roles, responsibilities, and task
distribution, culture encompasses the core values and principles guiding interactions
and goal achievement. Effective alignment between culture and structure fosters
operational excellence and optimal outcomes.

Cultural dynamics influence critical aspects such as decision-making frameworks,

communication channels, role delegation, and organizational priorities. For instance,
hierarchical cultures typically align with centralized, top-down structures, whereas
collaborative cultures thrive in flat, decentralized setups where decision-making is
widely shared.

Hierarchical systems often emphasize formal communication and rigid authority

chains, while collaborative cultures encourage open dialogue and teamwork.
Additionally, culture shapes employee engagement and motivation. Hierarchical
settings may lead to transactional work perceptions, while collaborative environments
foster empowerment and innovation.

Studies highlight the strategic importance of cultural alignment. Deloitte reports that
businesses with strong cultural congruence are 1.7 times more likely to achieve superior
revenue growth, and McKinsey notes that diverse and inclusive organizations have a
33% higher probability of profitability, reinforcing the competitive advantage of
cultural integration.

Question 2 (15 marks): Discuss the advantages and disadvantages of types of organizational
structure. What are the key factors influencing the choice of an organizational structure?

a) Types of organizational structure:

There are several types of organizational structures that companies can leverage.

● Hierarchical organizational structures:

 The vertical organizational structure, often referred to as the hierarchical structure, is
characterized by a pyramid-like framework where all organizational activities are
directed through a top-down approach. Within this system, the roles and responsibilities
of each employee are meticulously delineated, with senior leadership occupying the
apex of the pyramid, followed by middle management, and subsequently, the
workforce. Employees are assigned tasks and report directly to their designated middle
managers. This structure is renowned for its well-defined chain of command,
streamlined decision-making processes, and high degree of organizational clarity.This
type of organizational structure is very common, especially among large corporations.
(Miller, 2024)

- Advantages:

+ Efficient decision-making: Decisions can be made quickly and efficiently within a

vertical structure, as authority is centralized and flows from the top down. This can be
particularly advantageous in situations requiring swift action.

+ Simplification of supervision: Việc theo dõi tiến độ công việc và quản lý bao quát dễ
dàng hơn do mỗi người quản lý chịu trách nhiệm toàn bộ bộ phận mà họ phụ trách.
+ Consistency and uniformity: Policies and procedures are typically standardized across
the organization in a vertical structure. This consistency ensures that all employees
follow the same guidelines and practices, promoting uniformity.

+ Structured career path: Employees can see a clear path for progression within the
company, which can aid in motivation and career development

- Disadvantages:

+ Reduced flexibility: The vertical market structure lacks flexibility due to the
consistently maintained hierarchical power system, and this can hinder the ability to
change and adapt to significant fluctuations.

+ Potential for information silos: Information may not be shared freely across different
levels and departments, leading to information silos. This can result in a lack of
coordination, inefficiencies, and missed opportunities for collaboration.

+ Decreased employee morale: Lower-level employees may feel disconnected from top
management and the decision-making process. This can lead to decreased morale,
lower engagement, and a sense of being undervalued within the organization.

+ Dependence on strong leadership: A vertical structure’s success depends heavily on

its leaders’ effectiveness. Poor leadership at any level can significantly affect the
entire organization. (AIHR, 2024)
● Horizontal organizational structures:

A horizontal organizational structure, also known as a flat organizational structure, is a

type of business structure with few or no middle management levels between staff and
executives. Its simplified management structure typically includes a business owner and
one level of managers or leaders, far less than vertical or matrix structures. A horizontal
structure gives employees more autonomy, increased responsibility, and decision-
making authority.

Some leading examples of companies with horizontal organizational structures include:

Valve, Morning Star, Buffer,..

- Advantages:

+ Employee autonomy and engagement: Employees in a horizontal organization often

have more independence and are empowered to make decisions. This often results in
increased job satisfaction and motivation, as employees feel more involved and valued.

+ Reduced costs: In this structure, numerous employees hold similar positions but oversee
different sectors, leading to minimal differences in salary and rewards across various
management levels.
+ Organizational agility: Horizontal organizational structures tend to be more flexible and
adaptable compared to traditional hierarchical structures. This flexibility allows
organizations to respond to market shifts or change strategies quickly.

+ Enhanced creativity & innovation: When employees have more autonomy and freedom,
it can drive innovation and creative ideas. This is especially true when diverse, cross-
functional teams come together.

- Disadvantages:

+ Lack of clarity & focus: Allowing employees to contribute ideas and adopt various
working methods can result in an increased rate of conflict between departments and
create challenges in decision-making processes.

+ Limited leadership opportunities: With fewer opportunities for management positions,

top talent who desire top leadership roles may not be attracted or want to stay for long
in horizontal structures.

+ Risk of overload: Employees might feel overwhelmed by the increased responsibilities

and decision-making demands, potentially leading to burnout.

+ Increased HR workload: Because there are fewer managers, HR teams in horizontal

structures may need to take on additional responsibilities like conflict resolution,
performance management, and coaching.

(AIHR,2024)
● Matrix organization:

A matrix organization is characterized by dual or multiple managerial accountability

and responsibility, often involving two chains of command: one based on functional
lines and another aligned with projects, products, or clients, with additional chains such
as geographic location also possible. The matrix structure can vary significantly, from
cases where the project manager holds substantial managerial authority to instances
where their role is more coordinative. Typically, a matrix is designed to balance power
between project and functional managers, although this ideal balance is rarely achieved
in practice. (Stuckenbruck, L. C. (1979)

- Advantages: The matrix organizational structure presents several key benefits. It

ensures that project objectives are clearly defined and aligned with the broader goals of
the functional organization, facilitating effective integration across departments. This
structure maximizes resource efficiency, allowing personnel and materials to be shared
between projects, which leads to cost savings compared to a pure project-based model.
Information is effectively disseminated through both horizontal and vertical channels,
ensuring smooth communication across the organization. Additionally, it maintains
specialized teams, preserving valuable expertise and promoting innovation. Employee
morale is typically higher, as staff members experience tangible success and have clear
career progression options. The matrix also serves as an excellent training ground for
aspiring project managers, offering valuable cross-functional experience. Finally,
 project closures are less disruptive due to the smaller scale of matrix projects, with
fewer people involved and easier resource reallocation. (Stuckenbruck, L. C. (1979)

- Disadvantages: The possibility of role confusion, which can result in conflicts and
stress, is one of the difficulties associated with the matrix organizational structure. since
of its intrinsic complexity, monitoring, controlling, and communicating are made more
difficult, and decision-making is slowed down since several parties must be consulted.
Project and functional managers' competing agendas frequently lead to problems with
goal alignment and resource allocation, which puts a lot of strain on senior executives.
Furthermore, having two lines of authority raises the possibility of getting conflicting
instructions, and rivalry for resources can result in power clashes and lower job
satisfaction. The general strain of dispute resolution and goal-balancing demands that
managers have a high stress tolerance. (Stuckenbruck, L. C. (1979)

● Functional organizational structures:

The functional organizational structure groups employees based on their roles, expertise, and
specialization, with each department headed by a manager responsible for overseeing its
performance. Employees report directly to the head of their respective department, and top-
level managers centrally coordinate the various departments. (Miller, 2022)

- Advantages:
 The functional organizational structure offers several advantages, including enhanced
specialization, as employees become experts in their respective areas, improving work
quality and efficiency. It also provides a clear reporting structure, simplifying
supervision and accountability, and offers well-defined career paths within specific
functions, aiding in career development. Additionally, the stability and predictability of
this structure facilitate long-term planning and daily operations.

- Disadvantages: Among the many disadvantages of the functional organizational

structure are departmental silos that impede cooperation and communication, leading
to a diminished sense of synergy and a limited comprehension of the company's
overarching objectives. Centralized decision-making can hinder response times,
particularly in businesses with high speed. Additionally, personnel may narrow their
vision by concentrating more on departmental goals than the overarching mission.
Restrictions on career advancement within particular functions may limit individuals'
possibilities to pursue other options and hinder the organization's ability to fully utilize
the unique talents of its personnel. Furthermore, the organization's structure may result
in resistance to change since departments may be hesitant to embrace new concepts and
resource distribution may become unequal, which would lead to inefficiencies
throughout the company.
(Miller, 2022)
 b) Key factors influence the choice of an organizational structure:

The size of the company, the type of work it does, industry dynamics, strategic
objectives, and leadership style are some of the elements that affect the choice of
organizational structure. While larger businesses, like multinational corporations,
need more hierarchical structures to manage complexity and scale, smaller
organizations, like startups, can benefit from flat structures that facilitate speedy
decision-making and communication. A digital corporation that prioritizes innovation,
like Google, may utilize a decentralized structure to encourage creativity, but a fast-
food chain with repetitive activities would choose a centralized structure for
efficiency. While industries in stable contexts, like manufacturing, may rely on more
rigid, hierarchical systems, industries that are subject to fast change, like the IT
industry, tend to embrace flexible structures. Companies pursuing cost leadership
might centralize decision-making to control costs, whereas those focused on
differentiation, like Apple, encourage autonomy at lower levels. Organizational
culture also plays a role, with collaborative cultures benefiting from open
communication structures, while competitive ones may emphasize hierarchical
structures. Additionally, organizations in high-tech environments may favor flat
structures to promote innovation, while traditional industries may stick with more
structured approaches. Global companies, like Coca-Cola, may implement matrix
structures to manage their international operations, while smaller local businesses can
operate with simpler frameworks. Leadership style also impacts structure; autocratic
leaders often favor centralized decision-making, while democratic leaders promote
decentralized, participative systems. (MBA notes, themba.institute (2023))

Question 3 (15 marks): How do different leadership styles (e.g., autocratic, democratic, laissez-
faire) impact team performance and morale?

a) Definition:

Leadership styles refer to a set of approaches, mindsets, and strategies that managers use to
lead their teams. These styles are diverse and depend on the work environment, the personality
and ideals of the leader, or sometimes even arise from the specific needs of employees in certain
situations. (Kendra Cherry, 2023)

b) Types of leadership styles:

● Democratic Leadership

Democratic leadership is a cooperative approach in which team members are included

in decision-making processes and their opinions are valued, but the final say in
 decisions is still retained. This method makes use of team members' abilities and
experiences to promote innovation, involvement, and high job satisfaction. Delegating
authority and voting on important topics are two aspects of democratic leadership that
are sometimes compared to business decision-making.

This approach can be time-consuming and ineffective when quick judgments are
needed, even while it increases productivity and gives workers a sense of inclusion.
Democratic leadership is still a well-liked and successful strategy for fostering
teamwork and accomplishing organizational objectives, despite its difficulties.

● Autocratic Leadership

Autocratic leadership is characterized by centralized authority, where the leader makes

all decisions independently, without input from team members. Leaders have complete
authority; they assign duties and demand obedience without seeking input. This
approach frequently instills anxiety in workers, which can result in discontent,
absenteeism, and high employee turnover—particularly when choices have a
detrimental effect on working conditions or ignore underlying problems.

Notwithstanding its disadvantages, autocratic leadership can work well when quick
decisions must be made, when the leader possesses a wealth of knowledge, or when
team participation is not required to get a favorable result. However, relying too much
on this approach might lower long-term productivity and staff morale.

● Laissez-Faire Leadership

Laissez-faire leadership takes a hands-off style, allowing team members to operate

autonomously, making decisions and resolving issues without oversight while
providing resources and assistance. For individuals who are creative, talented, and self-
motivated, this approach is perfect since it promotes independence, trust, and job
happiness.

However, if the team is disorganized or has a clear direction, it might result in confusion
and misalignment. Notwithstanding its possible advantages, research shows that
laissez-faire leadership is typically the least successful and fulfilling strategy,
necessitating close supervision to prevent misunderstandings and inefficiencies.

There are some other leaderships that has specific way of leading and guiding.
Transformational leadership focuses on inspiring and motivating teams to exceed their limits
and achieve significant growth. This style fosters creativity, emotional intelligence, and
effective communication, but can sometimes overlook individual team members' needs for
 guidance. Transactional leadership, on the other hand, is based on clear expectations, rewards,
and penalties. It is often used in sales environments, offering employees tangible rewards for
meeting targets but may limit creativity and job satisfaction. Bureaucratic leadership adheres
strictly to rules and procedures, emphasizing conformity and reducing innovation. While it is
suited for industries where safety and routine tasks are paramount, it can hinder progress in
more dynamic organizations. Finally, Servant leadership prioritizes serving the needs of the
team, fostering a positive and ethical organizational culture. While it creates high morale and
integrity, it may struggle in competitive environments or situations requiring rapid decision-
making. Each leadership style has its strengths and weaknesses, making them more or less
suitable depending on the organization's goals, environment, and needs. (Corporate Finance
Institute, 2024)

II. CASE STUDY:

Question 1 (10 marks): How might David’s personality, previous work experience, or
expectations have influenced his perception of the onboarding process? Could he have
approached any aspects differently?

- Personality: If David is someone who values structure, attention to detail, and respect,
he may have felt disappointed and disheartened when TechWave failed to prepare
adequately for his arrival after he had waited two months to start. Additionally, as a
software developer, David might be meticulous, and the company's poor first
impression could significantly affect his work motivation.

- Work experience: If David had previously worked at an organization with a strong

onboarding process, he might have expected TechWave to display similar
professionalism and thoroughness in their onboarding process.

- Expectations: After waiting two months to start his new role and feeling enthusiastic
about joining a new workplace, David may have set high expectations for the
onboarding process, which increased his disappointment.

- Alternative approaches:

+ David could have sent a confirmation email about his first day a day prior, reminding
the company and prompting better preparation.

+ Instead of passively waiting for explanations, David could have actively sought
information by researching the company or engaging with colleagues during breaks to
learn more about the company's culture.
 + Preparing mentally for potential discrepancies between expectations and reality could
have helped David remain professional and positive while integrating into the new
environment.

Question 2 (15 marks): Identify and analyze the key mistakes made by Sarah (the manager),
HR, and team members during David's onboarding process. How could the company have
improved its approach to onboarding and integration?

- Key mistakes made by Sarah:

+ Spending only 15 minutes with David on his first day, creating a sense of neglect and
confusion.

+ Failing to hold a proper introductory meeting, reflecting poor management skills and
leaving David feeling undervalued.

+ Providing vague explanations of tasks, making it difficult for David to integrate into the
workflow.

- Key mistakes made by HR:

+ Lack of preparation for David’s arrival (e.g., receptionist unaware, no workstation or

laptop ready).

+ Failing to notify the IT department about David’s onboarding, causing unnecessary

delays.

+ Delaying the HR induction session and not officially introducing David to the team
during a group meeting..

- Members of the team:

+ No team message or welcoming lunch.

+ David had little assistance and direction.

- Possible Improvements:

+ Organized Onboarding Strategy: Create a thorough onboarding strategy that outlines a

timetable for training sessions, introductions, and activities.

+ Clear Communication: To get ready for the new hire's arrival, make sure that HR, IT,
and the management are all communicating clearly.
 + Buddy System: Assign a mentor or buddy to help the new hire navigate the first few
weeks of employment. Việc có một người đồng nghiệp là buddy sẽ tạo cảm giác thoải
mái và tạo điều kiện cho nhân viên mới cởi mở hơn và dễ hòa nhập hơn.

+ Frequent Check-ins: Arrange frequent check-ins with the manager to discuss any issues
and offer input.

Question 3 (15 marks): Consider the possible emotional, psychological, and performance-
related effects of a poor onboarding experience on an employee like David who is unable to
leave the company immediately. How might this impact both the employee and the company?
If you were in David’s position, what steps could you have taken to seek clarity or support
during the onboarding process?

- Impact on David: With the onboarding experience at TechWave, not only David but
any employee would have to endure negative effects:

+ Emotional: Disappointment and frustration, possibly leading to feelings of disrespect.

+ Psychological: Increased stress, a sense of alienation, and potential demotivation.

+ Performance: Lower productivity, reduced engagement, and difficulty contributing to

the team.

- Impact on the company:

+ Higher turnover rates: Poor onboarding makes it harder to retain employees.

+ Reduced productivity: Disengaged employees lower team performance.

+ Reputation damage: Ineffective onboarding tarnishes the company’s image and affects
talent acquisition.

- If I were in David’s position, these are some steps I could have taken:

+ Communicate with the manager: Clarify job responsibilities, expectations, and

workflows.

+ Build relationships with colleagues: Develop camaraderie to gain support and adapt
better to the environment.

+ Be proactive in meetings: Raise questions and provide input to engage with leadership
and team members.
Question 4 (20 marks): Propose specific initiatives and strategies that TechWave could
implement to improve its onboarding process and ensure new hires feel welcomed, valued, and
integrated into the company culture.

Initiatives and tactics include:

- Pre-boarding Preparation: Make sure the workspace and all required equipment are
ready prior to the new hire's arrival.

- Structured Onboarding Program: Create a thorough onboarding program with training

materials, orientation meetings, and a well-defined schedule.

- Mentorship Program: Assign each new hire a buddy or mentor to offer assistance and
direction.

Frequent Check-ins: Arrange for frequent check-ins with HR and the manager to
discuss any issues and offer input.

- Team Integration Activities: To facilitate new hires' integration into the team, plan
social gatherings, welcoming meals, and team-building exercises.

- Clear Communication: To get ready for the new hire's arrival and the onboarding
process, make sure that managers, IT, and HR are all communicating clearly and
consistently.

By implementing these strategies, TechWave can create a more supportive and

engaging onboarding experience for new hires, leading to higher employee satisfaction
and retention.
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