Organizational

Behavior
Project

Presented By: Group 10

(PGDM - Section A)

Ayush Ranjan (M011-18)

Geolangsat Narzary(M019-18)
Mamta (M028-18)
Pratiksha Bajoria (M033-18)
Sudipta Sen (M046-18)
Akshay Bharadwaj (M054-18)
 Introduction to Organizations
MISSION – “Create value for all stakeholders l Grow through innovation l Lead
in good governance practices l Use sustainability to drive product development
and enhance operational efficiencies l Ensure energy security of the nation
l Foster rural prosperity.”

VISION – “Through sustainable measures, create value for the nation,

enhance the quality of life across the entire socio-economic spectrum and help
spearhead India as a global leader in the domains where we operate.”

MOTTO – “Growth is Life”

 Mechanistic Organizational Design
Centralized vs. Decentralized In order to sustain a stable image internationally, high bureaucracy levels and
centralization of decision-making power exists.

Specialized Tasks vs. Empowered Roles Each task is clearly defined and rigid for every clerk or manager, allowing quick
and efficient service delivery.

Formal System vs. Informal System It is a huge organization with a large number of policies and practices to ensure
smooth and consistent functioning of all branches.

Vertical vs. Horizontal The vertical communication channels are used for sharing information.
Communication Communication

Hierarchy of vs. Collaborative Teamwork Hierarchy of authority

Authority
Structural Design for Organizations
• Divisional structure
TEXTILES

RELIANCE INDUSTRIES LIMITED

PETROCHEMICALS

RELIANCE RETAIL

EXPLORATION AND
PRODUCTION

PETROLEUM REFINING
 HEIRARCHY
Top Management and Board of Directors

Site President

HR Fire Operations Maintenance Health and Safety

Individual Plants Individual Plant Central Technical

HR Managers HODs Services

Site Mechanical Site

Site Electrical Lead Instrumentation
Lead

Plant Mechanical Plant

Plant Electrical Lead Instrumentation
Lead
 INDIVIDUAL PLANT STRUCTURE
HOD of Plant

Plant Electrical Production Plant Mechanical Plant

HR Manager
Lead Manager Lead Instrumentation

Individual Plants Electrical Electrical Electrical

HR Managers Engineers Day Engineers Engineers
Superintendents

Shift
Superintendents

Shift Engineers

Operators
EXTERNAL ENVIRONMENT
-Expansion in developing
Strategy and Effectiveness
market
-Business diversification ORGANISATIONAL DESIGN EFFECTIVENESS
-Partnership with other OUTCOMES
firms
-Imitation Mechanistic
-Competition from cheaper Ethical and
alternatives STRATEGIC INTENT Product Division admired
-Increasing at the Site Level
-Consumer company
shareholder
CEO, Top experience
return Multi-focused
Management -Good High credibility
-Accelerate Grouping as the
team employee Customer
holistic growth company overall
relationship responsibility
-Business structure
Diversification
-Brand Image
-Quality
-Forward and Backward
Integration
-Innovative breakthroughs
-Reinvestment strategy
STRATEGIC DIRECTION
INTERNAL ENVIRONMENT
 BCG Matrix Across Various Businesses
Reliance Retail business with Reliance Fresh and Reliance Trends having more than average share in Tier-1, Tier-2
and Metros holds the Star segment in this domain

Jamnagar refinery Global Management Service and Engineering along with Reliance Jio hold the Star segment for
the company

Reliance Oil & Gas, Biopharmaceuticals and Reliance Farms holds a decent market share in their respective sectors
and have grown up and now holds a status of Cash Cow for the firm

Reliance Petrochemicals, Broadband and Reliance Digital either needs more investment or should be liquidated by
the conglomerate as they continue to feature in the Dog segment

Reliance Petroleum again over the years has featured as a Question Mark for the company as its competitors in the
sector government companies like Hindustan Petroleum, Bharat Petroleum etc. holds comparatively greater market
share
 Major competitive advantages
1. Reliance Group being one of the major giants of India, commands a strong brand name that
helps the customers associate and establish a sense of credibility
2. Widespread business across Petroleum, Energy, Retail etc. coupled with strong marketing and
advertising through the channels of TV, print, billboards, online ads has successfully created a
resonating brand recall among its customer which also in turn has increased brand loyalty.
3. Reliance Group strongly promotes and supports sports in the nation with being the proud owners
of Mumbai Indians of IPL. It also has a majority stake with 65% in the Indian Super League
which promotes football in the country by organizing local camps and helping the team players of
the Indian Football Team get international exposure and experience for performing better at an
International level. This in turn increases the company’s credibility and loyalty that customers
have for the company.
4. Due to its strong profitability and financial position, numerous awards and accolades throughout
its widespread businesses, deep involvement in CSR activities and a holistic approach towards
growth has helped the brand develop and retain a strong positive image among the investors
and various stakeholders.
 Global Organization Design
HIGH
Globalization Strategy Both Globalization and
Multidomestic Strategy

Global Global
Product Matrix
FORCES FOR Structure Structure
GLOBAL
INTEGRATION

Export Strategy Multidomestic Strategy

International Global
Division Geographic
Structure
LOW
LOW HIGH
FORCES FOR
LOCAL
RESPONSIVENESS
PRODUCT PORTFOLIO
 The impact of environment
Simple + Stable = Complex + Stable =
Low Uncertainty Low-Moderate Uncertainty

Stable

ENVIRONMENTAL
CHANGE Simple + Unstable = Complex + Unstable =
High-Moderate Uncertainty High Uncertainty

Unstable

Simple Complex
ENVIRONMENTAL COMPLEXITY
 Organizational Conflicts and Politics
• Dependency: RIL is more dependent on
Operations
• Financial Resources: Service generates income
for RIL

• Centrality: Inbound logistics is the primary activity

• Non-substitutability: The Operating efficiency is

non-substitutable for financial performance

• Coping with uncertainty: By virtue of its large and

reliable procurement and logistics, RIL copes up
with uncertainty
Organizational Innovation

Need

• Low internet
penetration Decision to Implementation
• High prices Adopt • July 2015, partners
with Intex
• Bought 96% stake • Dec 2015, Jio’s
in Infotel launched in Beta
• In Jan 2013, • Increased
Ideas renamed to Jio awareness
• Increase internet • Reduction in prices
penetration
• Penetrate rural Resources
market

• More than 50,000

employees
• Increase in
Infrastructure
 Organizational Decision Making
PROBLEM Centralized decision-making process
Certain CENSENSUS Uncertain
1. Identify the ethical problem
Certain

Individual: Individual:
Rational approach Bargaining, 2. Generate a list of alternatives
Organization: Coalition formation
Management Organization:
KNOWLEDGE

science Carnegie model

SOLUTION

3. Seek input from others

Individual:
Individual: 4. Determine the best approach
Judgment, Trail
Imitation
and error
Learning
Organization:
Organization:
Uncertain

Incremental 5. Ask for guidance if the path is vague

Garbage can model
Decision model

6. Follow through on your decision

 Organizational Life Cycle
ENTREPRENEURIAL FORMALIZATION
•Co-founded by: Dhirubhai Ambani and •More formalization
Champaklal Damani in 1960s under •In 1993 RIL turned to overseas for
the name Reliance Commercial funds
Corporation. •In 1995 and 1996 it turned in telecom
•Informal Polyester Business •In 2000 turned to petrochemical
•Non bureaucratic industries
•Crisis: Leadership Crisis •Crisis: Too much red tape

0 0
2 4
0 0
1 3
COLLECTIVE ELABORATION
•In 2005 company reorganized its
•Business Expansion
business by demerging investments in
•More number of Employees
power generation and distribution
•IPO in 1977
•In 2006 RIL entered in Retail Market
•Departments were established
•In 2010 it was the bidder for 4G
•Crisis: Need for delegation
spectrum
•Crisis: Need for Revitalization
THANK
YOU