Organizational Behavior

NAME Organizational Behavior

Organizational Behavior

The Case of Delphi Automotive

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Organizational Behavior

Organizational Behavior

The Case of Delphi Automotive

Every organization possesses a unique culture , formed by the nature of relationships between and amongst the managers and their subordinates This culture plays a major role in shaping employees ' attitude towards each other and towards their work , ultimately determining the company 's performance in the market . This aims to discuss certain key

concepts of organizational behavior that contribute to a company 's culture and performance , using Delphi Automotive as the reference point

Delphi Automotive , formerly a part of General Motors , is the world 's largest parts manufacturer for automobiles . In 1999 , Delphi Automotive was incorporated as a separate entity , with the intention of allowing more focus and flexibility for both companies . A large portion of Delphi 's employees were therefore former GM employees , and carried forward GM 's organizational attributes to the newly formed company . The following is a discussion of four organizational behavior concepts that have strongly influenced Delphi 's operations and performance

Organizational Structure

Like its parent company , Delphi has a matrix structure of management The matrix system is essentially a convergence of functional , product and geographical structures , with different and multiple command lines (Riahi-Belkaoui , 1995 ,

. 20 . The matrix

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structure is particularly effective for large , multi-divisional organizations with global operations , since it allows greater information flow and decision making capability at various levels Delphi 's matrix environment helped it manage large scale operations across the world , which required smooth and timely information exchange between different divisions . In an industry that required a lot of coordination between manufacturing and supply , this was of paramount importance . The matrix system also provided a balance of authority , so that local managers retained decision making power in local matters where it was necessary to maintain flexibility and timeliness at the operating levels

However , the matrix structure is not a very stable form of management since it has to shift continually in response to new business and competitive conditions (Riahi-Belkaoui , 1995 ,

. 20 . In addition although the information exchange is optimal , the actual decision making process slows down due to the many approvals required to reach a final vote . In spite of these difficulties , the matrix system at Delphi is still in place because of the numerous benefits it offers

Change Management

The rapid pace of development and constantly evolving product and market characteristics in most industries today , require companies to carefully plan and implement new structures and policies . Managing organizational change and employees

NAME Organizational Behavior

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reaction to this change is extremely important in ensuring an easy transition and better adaptation to the new environment . For change management to be successful , it is imperative to involve the employees at each stage of the change initiative (Sims , 2002 ,

. 34

Delphi has had to contend with a large amount of change right from its...