Organisational Design and Theory of Marks and Spencer


  • Unit No: 36
  • Level: High school
  • Pages: 11 / Words 2775
  • Paper Type: Assignment
  • Course Code: N/A
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Question :

This assessment will cover certain questions which are like:

  • Give all the organisational design and theory of M&S.
  • What are the contemporary issue in HRM.
Answer :
Organization Selected : Marks and Spencer


Organisational designing is defined as the alignment of multiple departments in a company so that expected goals and targets can be achieved efficiently. If organisational design of a company is not good then performing activities and operations in a systematic manner is not possible (Al-Haddad and Kotnour, 2015). Changes in organisational design leads to change in operational and productivity efficiencies. To acknowledge and identify the change in organisational design, manager of a firm are needed to determine the need of change. This assignment report is prepared in context with Marks and Spencer which is a multinational corporation, headquartered in Westminster, London and deals in food, home products, clothing etc. This company operates their activities in global manner. This assignment is going to discuss about merits of organisational design theory and its assistance in organisational strategy. Also, various approaches to attract, maintain and retain HR resources is discussed. Other than this, emerging HR developments are mentioned and the manner in which organisational design adapt change management in different situations is discussed.


P1 Analyse value of organisational design theory in relation with organisational structure and fulfil organisational strategy by using specific examples

In order to achieve desired outcomes and results, each organisation is needed to have efficient organisational design. With the help of appropriate organisational design, business activities can be performed with highest efficiency and carrying out organisational changes will became easier. As M&S is a global organisation which serves their customers worldwide, this company uses divisional organisational structure (Cho, Park and Dahlgaard-Park, 2017). In this structure, entire organisation is divided into different divisions and each division posses their separate functions. Due to this, no division is dependent on each other and perform their work without any interference. There are three theories associated with organisational structure i.e. classical, contingency and neo-classical theory. These theories are mentioned below:

Classical theory:

It is considered as one of the oldest theory of organisational design. This theory includes aspects of administration theory, bureaucratic theory and management theory. In this kind of theory, skilled and expertise people are given a specific task so that expected outcome can be gained out of it. In classical theory, division of labour and work takes place in a systematic manner. This is the reason. Carrying out organisational changes in accordance with this theory is a difficult process. Under classical theory concept, entire information about workers is needed and motivational factors are mentioned to encourage them for standardised work (Dajani, 2015).

Neo- classical organisational theory:

This organisational theory is basically an extended version of classical theory in which behavioural science is involved along with management. This theory states that a business firm is a social system and its working performance gets impacted by the actions of human. This is the reason, it is also known as behavioural theory of human relations. In those organisations which follow this organisational design, management is given as highest authority and carrying out organisational changes are very different. Concepts of this theory leads to equilibrium maintenance and it is the role of manager to bring equilibrium at workplace.

Contingency theory:

It is the best organisational theory in present time as this theory provide flexibility to deal with customers in difficult situations. As time is getting advanced, needs and expectations of customers changes at a fast pace. Due to this, contingent situations takes place on regular basis. This theory helps in dealing with contingent situations in an efficient manner. When a change in operation takes place, this theory helps in maintaining a balance at workplace (Hottenrott, Rexhäuser and Veugelers, 2016).

By using these theories, it is very easier for the manager in M&S to acknowledge the way to finish task in an appropriate manner. In case of M&S, manager uses contingency theory of organisational design with the divisional structure so that they can identify, understand and evaluate organisational changes in a proper manner. Change in working and operations of a company takes place on regular basis, hence contingency theory will help them in choosing alternatives for a particular problem. As company works in division and employees are given work according to their functions, it is not easy to carry out change in firm. If changes will take place randomly, then organisational structure can became disruptive. Hence, manager is needed to adopt contingency theory if company wishes to operate under divisional organisational structure (Ji-fan Ren and et. al., 2017).

Both organisational structure and design are important as they specifies the best way to solve a complex situation in a simplified manner. By this, attainment of goals and targets is very easy due to which organisational productivity rises significantly. Organisational design theory is very important as it helps an organisation in gaining all the required information about an activity or task. When business operations are analysed and completed properly then manager in M&S can define the role of different employees in a proper manner. For example, if M&S needs to hire four employees for marketing department, it is the duty of HR manager to select those people which have good research and interaction skills. But as time is changing, manager is needed to give preferences to those people which are highly active in using internet so that digital media can be used for market research rather than traditional methods (Kempster, Higgs and Wuerz, 2014). In this way, contingency theory will supports organisational functions to perform in a comfortable manner. Also, it is essential for the manager in M&S to hire skilled personal so that strategic advantage can be gained in tough situations. By preparing useful strategies, organisational productivity in M&S can be maintained.


P2 Mention about various techniques and approaches to attract, maintain and develop human resources to sustain a dedicated workforce

Workforce is considered as the main resources which assists an organisation in attaining their expected goals and targets in a standardised manner. Skilled employees have the efficiency to manage their work and tasks in a productive manner so that high profits can be attained. When a change takes place in a process or activity, then skilled employees employees are able to deal with them more efficiently in respect with unskilled workers (Liozu and et. al., 2014). There are some approaches and techniques by which employees in M&S can be attracted, retain and maintain in company for a longer time span. These approaches and techniques are stated below:

Approaches for maintaining, attracting and developing workforce

  • Strategic approach:

    As per this approach, people are treated as a strategic asset in a business firm. Skilled employees posses core competences due to which gaining competitive advantage is easier. Human resources are combination of skills and talent. Some of the employees skill are inborn and other are learned due to appropriate learning. Strategic approach of HRM emphasize on the individual management programs ad solutions to overcome workforce issues. By this, queries of employees will be sorted out easily and they will be attracted and retained in M&S (Lozano, Nummert and Ceulemans, 2016).
  • System approach:

    This approach is basically an aggregation of interrelated elements which have separate features and characteristics. These separate elements work together so that a unique goals of firm can be attained efficiently. In this kind of approach, HR department in M&S will procure, train, reward and appraise their workforce so that they can feel encouraged and deliver their best performance. This approach states that all the activities like training, appraisal, rewarding are different and posses distinct elements. But, these are interrelated with each other and helps M&S in achieving their objectives in an advantageous manner.

Approaches to maintain, attract and develop human resources

  • Employees engagement-

    It is essential for M&S to motivate its employees to involve or engage in different business activities so as to get aware about company's aims and objectives. Providing opportunities to employees to participate in decision-making process brings motivation among employees to create new and innovative ideas that can drive organisation towards desired goals and objectives. It will bring positive result to company in terms of sustainability and profitability (Mir and Pinnington, 2014).
  • Decision making power-

    It is important for management of M&S to provide power to employees to make decision on their own so that new and innovative ideas can be generated which can further help company in growing faster. Using this power facilitate employees to get reward if their decision gets positive result in future otherwise they should be liable for any failure. Thus, such power of making decision is allotted to experienced employees who have knowledge about the market and past performance level of an organisation.
  • Fair policies-

    Employees are considered as valuable asset for an organisation whose efforts can decide the possibilities of achieving organisational goals and objectives within pre-determined time frame. Thus, the management of M&S must require to adopt various HR policies such as training and development programs, rewards and compensation, implementation of employment acts including equality act, 2010 etc. which maximises the performance level of employees (Pedersen Gwozdz and Hvass, 2018). This will result in increasing retention rate of employees which indirectly supports an organisation in achievement of its desired goals and objectives.


P3 Carry out an appropriate research and utilise contemporary knowledge to support the evidences in emerging human resource developments

Human resource policies in a company are one of the main factor as it helps in conducting business operations in a smooth manner. There exist multiple kind of changes that takes place in external business environment and it is the duty of HR department to train their workforce to deal with those changes in a proper manner. As demands and opinion of customers changes at a fast pace, it is essential for M&S to interact with their customers on regular basis (Riratanaphong and van der Voordt, 2015). By this, only desired services can be given to the clients. HR manage in M&S can select employees with the help of campus placement, workers contract etc. so that only desired applicants can be selected from large pool of customers. Various HR developments which are emerging in M&S are discussed below:

Enhancing employee experience:

In comparison with the past years, in present time, more focus is given to the experience of employees while working in an organisation. When an individual is working at a company, if employers will identify their expectations and needs, experience of workers with company will be smooth. At the time of recruitment and selection, it is essential for the HR department to define the working norms and procedure to workers so that they can comfortably adjust in company and retain themselves for maximum time. In M&S, HR manager takes regular feedback of employees to acknowledge if their experience with company is positive or not.

Usage of artificial intelligence:

This is one of the most famous HR development that is emerging in business organisation. In today's time, use of AI and internet is increased considerably due to which use of computerised call to interact with customers have became very common. Employees in M&S are required to learn about this technology so that they can use it properly for business purpose. In this context, HR manager and other employees of HR department in M&S trains and guide their employees to use AI so that organisational productivity and customer satisfaction rate can be enhanced significantly (Waddell and, 2019).

Autonomy to the workers:

As time and business environment is changing and getting advanced, one of the important human resource development that is emerging is giving autonomy to employees. This power allows the employees to take business related decisions and formulating policies as per their comfort zone. In case of M&S, a change in division and authority of work takes place as opinion of employees are given more preference. This has benefited the company in taking right business decisions. Earlier, only manager use to perform decision-making due to which dissatisfaction of employees impacts organisational productivity in negative manner. Authority to employees benefits the company in retaining workers for maximised time period (West, 2017).

With the advent and change in time, a change in working style and management of human resources is needed so that varying need of people can be fulfilled in a proper manner. It is summarised that change associated with external environment impacts HR policies due to which trends in HR practices take place regularly. In this changing dynamics, workforce of a company also needs to fulfil their expectations and demands (Zerfass and Sherzada, 2015). Emerging developments in M&S are very specific which will help the firm to attain expected outcomes and targets in in a proper manner.


In accordance with the given information, this has been concluded that organisational designs are very essential in appropriate implementation of organisational and business structure. By improvising organisational design as per requirements, business activities can be performed in a systematic manner. By this, consumers can be served in an efficient manner. In order to attract, motivate, retain and develop workers for maximum time period, approaches like strategic approach and system approach can be used. Also, techniques like decision-making power, fair policies etc. will help in retaining employees for maximised time. Also, new HR development trends which are emerging in marketplace are use of AI, autonomy to workers etc. These developments helps in performing organisational work more productively so that high competitive advantage can be gained.


  • Al-Haddad, S. and Kotnour, T., 2015. Integrating the organizational change literature: a model for successful change.Journal of Organizational Change Management.28(2). pp.234-262.
  • Cho, I., Park, H. and Dahlgaard-Park, S. M., 2017. The impacts of organisational justice and psychological resilience on employee commitment to change in an M&A context.Total Quality Management & Business Excellence,28(9-10), pp.989-1002.
  • Dajani, M. A. Z., 2015. The impact of employee engagement on job performance and organisational commitment in the Egyptian banking sector.Journal of Business and Management Sciences.3(5). pp.138-147.
  • Hottenrott, H., Rexhäuser, S. and Veugelers, R., 2016. Organisational change and the productivity effects of green technology adoption.Resource and Energy Economics,43, pp.172-194.
  • Ji-fan Ren, S. and et. al., 2017. Modelling quality dynamics, business value and firm performance in a big data analytics environment.International Journal of Production Research.55(17). pp.5011-5026.
  • Kempster, S., Higgs, M. and Wuerz, T., 2014. Pilots for change: exploring organisational change through distributed leadership.Leadership & Organization Development Journal,35(2), pp.152-167.
  • Liozu, S. and, 2014. Value creation and organisational practices at firm boundaries.Management Decision.
  • Lozano, R., Nummert, B. and Ceulemans, K., 2016. Elucidating the relationship between sustainability reporting and organisational change management for sustainability.Journal of cleaner production,125, pp.168-188.
  • Mir, F.A. and Pinnington, A.H., 2014. Exploring the value of project management: linking project management performance and project success.International journal of project management,32(2), pp.202-217.
  • Pedersen, E. R. G., Gwozdz, W. and Hvass, K. K., 2018. Exploring the relationship between business model innovation, corporate sustainability, and organisational values within the fashion industry.Journal of Business Ethics.149(2). pp.267-284.
  • Riratanaphong, C. and van der Voordt, T., 2015. Measuring the added value of workplace change: performance measurement in theory and practice.Facilities,33(11/12), pp.773-792.
  • Waddell, D. and, 2019.Organisational change: Development and transformation. Cengage AU.
  • West, J., 2017.The Long Hedge: Preserving Organisational Value Through Climate Change Adaptation. Routledge.
  • Zerfass, A. and Sherzada, M., 2015. Corporate communications from the CEO's perspective: How top executives conceptualize and value strategic communication.Corporate Communications: An International Journal,20(3), pp.291-309.
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