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Organisational Structure and Design
The Organisational Structure and Design of a Media Organisation – An Analysis of Radio Mirchi 98.3 (Hyderabad)
MS10A007 MS10A017 MS10A027 MS10A037 MS10A047 MS10A057 MS10A067 MS10F024
Asan Kumar S Dipanshu Singh Junna Satwika Neha Khanna Shabeer PM Suryanarayana Murty ASR Neha Suresh Jain Bruening Sebastian
Department of Management Studies
Table of Contents Acknowledgment Introduction Organization Structure Organization Size Organization Strategy Organization Technology Organization Culture Organization Environment Organization Effectiveness References 3 4 8 14 17 20 24 28 33 36
Department of Management Studies
The Organizational Structure & Design project titled ―Study and analysis of Organizational Structure and Design of ‗RadioMirchi‘ has been conducted by us [students of Department of Management Studies, IIT Madras – batch of 2012] during October-November 2010. We have completed this project, based on the Primary as well as Secondary data/research under the guidance of Dr. M. P. Ganesh. We are intellectually indebted to Dr. M. P. Ganesh, our faculty guide, who was instrumental in developing our knowledge base in the field of Organization Structure & Design. We are extremely grateful to Mr.Purna Chandra., Marketing head, Radio Mirchi (Hyderabad Division) for sharing his valuable time and insights with us thereby helping us perform this study effectively. We thank the management and the employees of Radio Mirchi, for having welcomed us cordially and interacting with us.
Department of Management Studies CHAPTER 1 INTRODUCTION Group 7 4 .
Group 7 5 . This report investigates many dimensions related to Figure 1: Logo of Radio Mirchi the Organisational Structure of Radio Mirchi.Organisational Environment .Organisational Effectiveness . It also defines how tasks are to be allocated who reports to whom and the formal coordinating mechanisms and interaction patterns that will be followed. The first step in designing organizational structure involves defining of roles to the employees. Organization Design is a formal. necessitates the need for organization structure. The first step in forming an organization is to set up a management team which will supervise the working of the entire organization. The management team includes the chairman/promoter of the organization.Organisational Culture . This report applies the knowledge from organisational theory to a practical case by investigating different aspects of an organisation from the media industry of India. Companies in this sector will have to adapt continually to these changes. metrics and talent with the strategy of the business. process. unless they are completely aware of their work and expectations. information and technology of an organization. professional. in the making of an organization. More specifically. The mission and the vision of the organization need to be defined by the management. The need for formally coordinating the interaction patterns of organization members.Size of the Organisation . or it can more effectively be defined as the alignment of structure. ambitious and enthusiastic individuals to achieve the set goals and targets. India‘s Media Industry is a fast growing industry undergoing continual change. rewards. Organizational Structure Organizational structure is the process of building a team of highly talented.Technology .Department of Management Studies Introduction Organization An organization is a consciously coordinated social entity with relatively identifiable boundary that functions on a relatively continuous basis to achieve a common goal or a set of goals. guided process for integrating the people. board of directors and non executive chairman. The design of Organizational Structure depends on the following: Complexity Formalization Centralization Organizational Design Organization design is concerned with constructing and changing an organization structure to achieve the organization goals. It is the process of reshaping organization structure and roles.Strategy . It is based on primary data from talking to employees and management as well as secondary data from consulting the company‘s website and going through reports about the company.Organisational Structure . Effective employee management and business expansion are the main reasons for the necessity of a systematic organizational structure and design. Employees will not be able to deliver their best.Introduction into the company . Dimensions that will be covered in this report are: .
Madurai .Department of Management Studies Introduction into the company The company Entertainment Network (India) Limited (ENIL) is one of India's leading Entertainment and Media companies.Raipur . Radio Mirchi expanded its network to a total number of 32 stations and became one of the largest private FM radio networks in India.Jaipur .Nagpur .Indore .Mangalore . That was when Radio Mirchi was born.Visakhapatnam .Panaji .Bangalore .Kanpur .Rajkot .When the Government in 2000 formally announced the auction of 108 FM frequencies across 40 cities.Aurangabad . with 32 radio stations one of the largest private FM radio network in India and the only private radio broadcaster to have licences in all of India‘s fourteen cities with a population of over 2 million.Surat .Vijayawada .Patna . Today Radio Mirchi‘s network comprises stations in: .Pune . Amongst others it operates Radio Mirchi. In 2006.Jalandhar Group 7 6 . History Radio Mirchi‘s holding company Entertainment Network (India) Limited (ENIL) was incorporated in 1999.Delhi .Jabalpur .Hyderabad . This was also the time when Radio Mirchi Hyderabad was born.Lucknow .Thiruvananthapuram .Ahmedabad .Chennai .Mumbai .Varanasi .Coimbatore . ENIL won the largest number of licenses. after the second phase of licensing.Kolkata .Kolhapur . The first Radio Mirchi station was launched on 4th October 2001 in Indore.Bhopal .Nashik .Vadodara .
Department of Management Studies Radio Mirchi is the only private radio broadcaster to have licences in all of India‘s fourteen cities with a population of over 2 million.the breakfast show . Across its 32 cities it reaches out to an estimated 22 million listeners every day. The program is a fun-filled package comprising: .evening drive time . But it‘s not just in the metros that Radio Mirchi scores. The Product Radio Mirchi‘s core target audience are the youth and young working adults aged 18-34. Since radio is a local medium. Group 7 7 .the late night show The play list is drawn from a master list of sound recordings.youth-oriented programming . there play lists are based on intensive market research and broadcasts are in nine different languages. all Radio Mirchi stations have a very local product. The average age of Radio Mirchi‘s listeners is 26 years.
Department of Management Studies CHAPTER 2 ORGANIZATION STRUCTURE Group 7 8 .
In Andhra Pradesh the Channel operates in 3 Cities mainly. revenues and customer satisfaction are all directly or indirectly related to this department. Other supporting departments are Finance. Marketing and Sales. right from the making of promos till the program is actually broadcasted. In analogy such programmes are region centric and the ones taht generate highest revenue for the organization)The stationality defines the USP at radio Mirchi. Radio Mirchi-Its Hot!!! Programming Sales Operations Back-end works Marketing Finance and Programming: Programming is the bedrock on which the organization functions. There main work items would be dealing with Programming department are JOCK TALK AD‘S Songs Stationality –(Breaking news baburao.Hyderabad.Department of Management Studies Organizational Structure The main stems of Radio Mirchi works on it Programming. The Programming department consists of the Program Head and The head controller (Responsible of scheduling the logs). vizag and Vijayawada There is one cluster head per region. This department takes care of everything which goes live or is broadcasted. For each cluster head there are divisional roles asProgramming Sales Marketing Finance Ops(for back-end works) The highlighted groups below are there major revenue generating areas in this field. Operations(Ops). Mirchi Teen Maar---These programmes are only aired on Mirchi. Admin/Technical. The popularity. On Air they promote ―Whats Hot‖—Now Diwali so they promote the festival with their songs and RJ Group 7 9 for .Hyderabad. Programming and Marketing go hand in hand.
Thanks to FM becoming mobile phone compatible. Radio Mirchi won 25more frequencies – all in key cities. riding the crest of this new wave. the first private FM radio station went on air. Sparkle. Whether it‘s beating the Monday morning blues.Shekar Marketing (AP)-Mr. but still they do it in a different way-to make themselves heard and tuned into amongst the host of other radio channels.Hyderabad Hierarchy in AP division Mirchi Accountant –Ms. their client base is mostly in terms of Telecom industry-This was revealed as per the Marketing Head of A. The song was sung when television and then the internet were privatized – before the radio was. Regular (FCT-Free commercial time)—Every 10 mins. Joy. Vigor. radio has indeed become the constant companion of people 24 hours a day. seven days a week. shutting out the weariness of negotiating bumper-to-bumper traffic or simply getting into the groove. was early in seizing the opportunity. It‘s been a fairy tale return. Nothing less is expected of a youthful brand. Dynamism and Zing. Supported by strong marketing and business practices it quickly became the industry leader. Currently. Sales works in two ways – 1. No one really expected that radio would make a strong comeback. Sales: The revenues are directly dependent on this department‘s performance.Kiran Programming(AP)-Mr.Mahalakshmi Sales(AP)-Mr.Vikram The organization believes in fun @ work at the same time accounts for deadlines and on the spot Group 7 10 . In 2001. riding out a rough day at work.Activations and Activities – Music shows. Their job is to get advertisements. How do they do it? Highlighting the target group (18-25)-Programmes which will catch thier attention On Air (promoting their USP) On Ground(Malls and Colleges) Brand Values This is how the organization describes itselfFun. Energy.P Marketing : With the advent of television and the decline in sales of radio sets and portable transistors the lyrics for the dirge of the radio were being written. any time of the day or night – Radio Mirchi. 2. this simply means that more 60 million people have access to Radio-on-the-move. In the second phase of FM license auctions. It‘s something that newspapers and TV will never achieve. It‘s hot and it‘s happening because the brand strives to add fun to every moment. Selling ads. It had launched seven radio stations by2003. Exuberance. And hence is one of the most important department in terms of hierarchical positions. Radio Mirchi. Filmfare award partners. The statistics are inspiring: it is estimated that25% of mobile subscribers in India have radio enabled mobile phones. there is one friend people can turn to. Verve. which is the only source of revenue for the organization. Peppered in right measures by these elements the brand has everything to spice up the rough and tumble of modern day living.College Promotions.Purna Chandra Station Head and Cluster head of AP-Mr. High spirits.Department of Management Studies speaking on it and Stationality working towards it. Today there are more than 250 of them beaming across almost 70 cities in India. Hierarchical Structure: Radio Mirchi. Being a media company themselves they cannot cater too much on advertising themselves on hoardings and TV.
Vikram Sales Head-Mr. of occupational specialties.Formalization and Centralization.Department of Management Studies innovations.Everyones easily accessible from highest of hierarchy to lowest. It is the way in which a firm has arranged its lines of authority and communication. Even in terms of number of employees the organization is not complex. professional activity. departments. and the formal coordinating mechanisms & interaction patterns that will be followed.Purna Chandra The 3 key elements of Organizational structure Organizational Structure talks about how the tasks are allocated. allocation of resources. functions. there are 5 different departments in Radio Mirchi. In an organization there is Horizontal differentiation. Group 7 11 . Overall Complexity: Radio Mirchi has 28 employees overall in Hyderabad division. It can also be defined as the facet of an organization that is evident in the way divisions. Station/Cluster head: Mr.Shekhar Marketing Head-Mr. Vertical Differentiation: In terms of vertical differentiation at Radio Mirchi. Horizontal Differentiation: In terms of horizontal differentiation. Three building block of Organizational Structure are Complexity. who reports to whom.Kiran Programming Head-Mr. Vertical differentiation and Spatial differentiation. and allocated duties and responsibilities. Hence in terms of vertical complexity as well the organization is less complex. It appears that the amount of horizontal differentiation here is neither too high nor too low. Complexity Defined as the no. and decision-making within the organization. professional training of employees Differentiation is the number of specialty functions represented in a firm. Every different designation has 1 employee ‗Radio Jockey‘ has 6 employees. the depth of hierarchical level varies from 1 in Marketing to 4 in sales department. and people link together and interact. Overall the complexity of Radio Mirchi is low. It facilitates the delegation of authority.
Formalization Formalization is defined as the degree to which jobs within the organization are standardized.gien monthly to sme great performance guy.But if work demands to innovate or market in last moment. to the channel to broadcast in a different loaction only through bidding.Fun @ work No formals compulsion Informal risk taking(work even when no ones to monitor around) Free bird –No timings apart form official ones 10:00 am to 6:00 pm. If a job is highly formalized. these being major people to interact with.Specific to one station . where the innovation is teh key of survival and user base.Sometimes they launch promotional advertisements in 10 minutes.But fixing to deadlines and yet churning out the best output is our responsibility. unit or level. information sharing is often done in informal ways via oral communication. Thus in Radio Mirchi .P.ensuring the creativity at the spur of moment.They work on the item. who are independent to design any strategy in any fashion they would like to. employee has minimum discretion over what is to be done & how it is to be done. Centralization Centralization is defined as the degree to which the informal authority to make discretionary choices is concentrated in an individual. the organization has to be creative and yet incorporate certain measures of informality. Radio Mirchi is not dependent only on a single body to take decisions.RJ should be knowing local language for sure.The government gives the go. Marketing-Finance –Promotional heads. Some jobs like that of Radio Jockey are less formalized. Group 7 12 .“You cant expect to have tailor made guide lines in Media like FM.according to Station and business location: If revenue opportunity is more in a particular city then more resources are allocated there. Also have parties and lotsa fun activities in house and corporate level. Official mails are mandatory when dealing with clients and internal communication pertaining to deadlines. Even while interacting with teh cleintile. If a job is less formalized.(Everyones here from different parts of India. Innovation is the key.) Good relations with government. while the job of Promo producer is a mixture of formalization & in-formalization. The organization‗s motto being . Rather in Radio Mirchi decisions are taken at various levels like the programming and marketing heads. Rewards and recognitions: FLAME THROWER--.The same requirement specifications are tailored down to the programming department and the RJ‘s.Purna Chandra Expansion plans work similar to a telecom industry. Cross culture co-existence.Not based on years of experience . the employee has more discretion over what he can do & the ways he can opt to do the task.Department of Management Studies As the organization is small & less complex. Growth and changeGrowth is proportional to the performance. Resources allocation-Minimun 25-35 Changes incorporated during Resource allocation. Centralization is concerned with dispersion of authority to make decisions within the organization.Cant say its time up.Desicion made by board of directors at A.As stated by Mr. Being a media firm. centralization is low. depending on the type of customer (If its internal or external customer) talks to the customer to finalize a deal and the specifications are structured very fast and effectively.“. everyone.
In Radio Mirchi we see that there it follows low formalization & decentralized structure.Although it is divisional structure. Every employee has only one manager to whom he has to report. Along with that it can be said that the organization as divisional structure.Performance driven growth is followed and immediately implemented An industry high on charge.energy and enthusiasm will always thrive to maintain and fight competition. Such a structure helps in maintaing healthy work habits and ethics. and they find someone good at the moment to replace.in organization. high coordination and work is integrated with fun and innovation. Group 7 13 .If a position is vacant in some role. years of experience is not considered. by maintaining work-life balance with flexible working hours(official) and Mottos driven by passion at work .Department of Management Studies Organizational Configuration: No Rigidity.
Department of Management Studies CHAPTER 3 ORGANIZATION SIZE Group 7 14 .
and its market reach and share. Job satisfaction decreases as size increases. (i) (ii) (iii) Number of direct relationships between manager and subordinate Number of peer – peer relationships Direct relationship between manager and set of subordinates.Department of Management Studies Organisation Size Organization‘s size is determined by number of its employees. where it started with 7 stations and around 50 employees. Rate at which organization size affects the organization structure decreases as size increases. Moreover with ever growing competition. Span of Control – Hierarchy The span of control refers to number of employees that directly report to a single manager. Broadcasting. The tremendous growth in size in Radio Mirchi in the recent few years can be attributed to this. this organization has grown manifold with the employee strength now in the range of 1500 – 2000. Group 7 15 . the quality of service is always under the scanner and the company has to come up with newer and better technologies thereby leading to increase in the size. Factors Associated With Size The technology required to produce the product or provide the service is a major determinant of size. Sales. Three different types of relationships exist in organizations with varied sizes. Though Radio Mirchi is still in the growth phase. the recent addition of new radio stations has forced it to increase the workforce and a rethink of its structure. the largeness of its operation.The radio mirchi Hyderabad employs around 30 – 40 employees for its overall functioning namely the Marketing. Programming and back end operations. Radio Mirchi’s Size and Technology Since its inception from 2001. Management hierarchy grows with size Amount of task specialization increases with size.
Department of Management Studies TEAM PEERS PEPEERS As an organization grows in size. Vicar is the cluster head and the station head in Radio Mirchi. or it increases the span-of-control. namely. Though there is a hierarchical structure formed due to the increase in the size. They are manned by the cluster heads one in each station. Hyderabad. has in it. Radio Mirchi. So there is a clear pyramidal structure that has been built in the company. Group 7 16 . increasing exponentially the management complexity. there seems to be no restriction in the communication either from top to bottom or bottom to top. the Morning Talk Show is given a special consideration and selected RJs do this kind of job. This is because of the sprawling growth and the reputation that Radio Mirchi has built and the demanding need to come up with such a show. In Radio Mirchi. what are called the ―Breakfast Show producer‖ and the ―Rest of the Day Producer‖. (i)Programming (ii)Marketing (iii)Finance (iv)Sales (v)Operations Managers have been allocated under these sections. This initially was a single role but it has now been bifurcated into two for want of efficiency in the programs. it either needs more managers to control the productivity. thereby adding layers of management hierarchy. The hierarchy is only available formally. Mr. it is very evident that the tasks are split based on the time period of the day. Task Specialization The task specialization increases with the increase in the size of the organization. In Radio Mirchi. Moreover. the organization has been classified under 5 different categories.
Department of Management Studies CHAPTER 4 ORGANIZATION STRATEGY Group 7 17 .
after the name of the organization and the frequency. Radio Mirchi has grown its network from 7 stations in 2006-07 to 32 stations in 2009-10.1 spot in its field. This innovation is partly fuelled by the freedom the employees have in the organization and the decision making power given to the employees unlike in a formal and rigid organization. As on date all 32 stations are on air. There have been times when they had launched programs in 10 minutes. they are the most recalled elements across all the stations. Group 7 18 . Types of Strategy Corporate level strategy : Corporate level strategy basically determines in what kinds of businesses the company should be and is applicable to those organizations which are into more than one line of business.Department of Management Studies Strategy Strategy can be defined as the determination of long term and short term goals of an enterprise and allocation of necessary resource for achieving these goals. This gradual change in the market has resulted in a stream of significant decisions so we can call the strategy development at Radio Mirchi as an evolutionary mode of development. Hemant. On the spot innovation is one of the things they are concentrating on since in a sector such as Media you can‘t expect to have tailor made guidelines. It pertains to determining the role each business plays in an organization and what new business should the organization venture into. Anamika. Radio Mirchi Hyderabad is only into Radio broadcasting and hence corporate level strategy is not relevant in the case of this Organization. Radio Mirchi has gone from strength to strength. Since launching its first station in Indore in 2001. Bollywood celebrities are a regular at the studios for the promotion of their films which is another high for the organization. Business level strategy : o Aggressive consolidation and growth strategy: Radio Mirchi has dominated the radio listenership in the country with over 43. Strategic Dimensions: Innovation Strategy: Innovation is one of the many things that have propelled the organization to the No. it is one of the largest private FM radio networks in India with licences in 32 cities.8 million users and almost twice the size of its nearest competitor. Today. It has topped the IRS again which is the largest continuous readership survey. Bharathi. Being in the media sector they can‘t afford to expect tailor made guidelines and enough time to complete the task and they actually have mastered the art of On the Spot innovation wherein they have even launched programs within 10 minutes. Bharath are some of the RJs who have a huge following among the masses in Hyderabad. o Functional Level Strategy: Functional level strategy defines the strategy used to make the maximum use of functional expertise to support the business level strategy. But over the last decade the competition in this market has increased and the number of competitors in the market has gone up to 7. They have been awarded the Game Changer of the decade and their site has been recognized as the most popular TV and Radio site. In FM industry listenership has a huge dependency on the popularity and image of the radio jockey who host a particular show and for Radio Mirchi.
Another thing is their hugely popular RJs. Group 7 19 . Cost Control functions: All the basic functions of the organization such as finance.e. This is higher than the all India reach of the leading satellite TV channel. Delhi and Bangalore by logging a combined weekly listenership of approximately 11. Across its 32 cities this perky entertainment brand reaches out to an estimated 22 million listeners every day.3 million. Breadth strategy: Radio Mirchi mainly targets the youth and young working adults i. Their coverage is more than the all India reach of the leading satellite TV channel. sales and all are in-house functions and various departments look over each function and thus they do not incur extra costs from other external factors. A lot of innovation and research goes into the development of any program. It is the result of carefully selecting those RJs. marketing.Department of Management Studies Market differentiation strategies: They are basically the market leaders and that helps a lot in differentiating themselves from the other competitors. Almost all their revenues come from ads and all this together makes the life of its competitors tough. Radio Mirchi has the distinction of being the only private radio broadcaster to have licenses in all of India‘s fourteen cities with a population of over 2 million. But it‘s not just in the metros that Radio Mirchi scores. In the new Radio Audience Measurement (RAM) launched by the TV ratings company TAM. Radio Mirchi dominated Mumbai. between the ages 18-25 and its operations have been mainly in metros and other cities. One key differentiating factor is their reach and coverage. It‘s not just coincidence that their RJs are well accepted.
Department of Management Studies Chapter 5 ORGANIZATION TECHNOLOGY Group 7 20 .
equipment (computers. Always keep the vision the utmost priority for the organization. Technology. Do not be afraid to ask for help when you need it. The present generation does not have the correct technology skills to make them automatically successful in technology related fields. assuming the people on staff can implement a particular technology is unwise. A simple statement but sometimes it gets lost especially when it comes to technology. One of the main ―stop doing list‖ is to stop creating unnecessary data and information.. They prepare advance programming for one month. In this software various assortment of songs. despite its mechanical or manufacturing connotation. work backwards. The relationship of technology within an organization has three parts: People – who works or volunteers for the organization Technology – what technology is available or what is affordable and gives value to the organization Data & Information – the ability to gather the data needed to run the organization or to provide to outside stakeholders These three parts must work together to achieve the goals or vision of any organization. techniques. duration of songs etc. and processes required to transform inputs into outputs in the organization. advertisement. They just have to put a song and everything else is done by the aforesaid software. Identify the mission critical data to run the organization and create information from that data. etc. Responsibilities: It is the organization‘s responsibility to carry out its vision. Putting this in practice is a big task. Leaders and teachers are real with you about your technology knowledge and skill. grade of songs. Stop doing list: There should not be ‗Technology Overload‘ whereby one is collecting and has access to too much data and information. New employees should be on the lookout for someone who can also help increases the employee‘s knowledge and skills. time when they would play. is applicable to all types of organization. These specific principles are reminded to the staff almost weekly. name of songs. SOME OF THE TECHNOLOGIES USED IN RADIO MIRCHI PROGRAMMING OF SONGS: They have software which is called the Radio Computing Software (RCS). The keys here are authenticity and communication. jingles. are pumped in as well as properly sorted and assigned. No need to implement the latest and greatest stuff just because it‘s the latest and greatest stuff regardless of whether or not it meets the vision of the organization. according to the pre-decided sequence. This will weed out all other unnecessary data and information. Volunteers are the best asset when your knowledge and skill level aren‘t where you would like them to be. knowledge. Therefore. everyone is not technology savvy. cricket updates. machines etc). Then provide that information to outside stakeholders. Group 7 21 . traffic beats. These are the various strategies & principles followed by Radio Mirchi as far as technology goes Getting the right people on the bus: Although technology is intertwined in our daily lives. Don‘t lose sight of one‘s responsibilities and end up somewhere that didn‘t intend to be. information. or worse don‘t end up hurting the people for which it was intended to help. This software includes songs. If required by an outside agency to collect certain data.Department of Management Studies Technology Technology is the combination of skills. abilities. The concerned just RJ just needs to click.
Group 7 22 . Here procedures are highly standardized and must be performed in a serial order. state of the art machinery and the equipment to ensure good of the songs. Rather. advertisement etc.This service has baeen launched in many regions all over India. jingle. Radio Mirchi is partnering with Vodaphone and Airtel to offer this service. If the tasks are sequentially interdependent. This service allows users to listen their favorite local Mirchi radio station from anywhere in India.This shows that the brand has always been at the forefront of change and new technology. BROADCASTING: For broadcast propose they are using ultramodern. The broadcast will be available on Nokia mobile phones. Long linked technology A production process consisting of a fixed sequence of steps to transform standardised inputs into standardised outputs.Department of Management Studies MIXING: In RCS mixing of the songs. They have a separate room for this high-tech equipment where they are logically and technically placed. In contrast to Woodward and Perrow. differentiated by the task that an organizational unit performs. even without FM receivers mobile phones. Thomson‘s contribution lies in demonstrating that technology determines the selection of a strategy for reducing uncertainty and that specific structural arrangement can facilitate uncertainty reduction. VISUAL RADIO: Radio Mirchi is also about to unveil visual radio in Hyderabad very soon. They have their own towers. According to information shared by a company executive each equipment costing lakhs of rupees. announcement.Hyderabad being one of them. making it one of the premium cities in the world to adopt a technology that will open up a new revenue for the private FM radio operator. Thompson proposed three types of technology. This equipment broadcasts analogue signals to the tower. is done according to the sequence of the programme. which receives the signal encoded in the digital format which is then transmitted to the general public. Thompson is not a member of technological imperative school..Others will follow soon. PATNERSHIP WITH AIRTEL: Bharti Airtel in partnership with Radio Mirchi has launched Mirchi Mobile on Airtel service. Now users will be able to listen to 12 Radio Mirchi stations on Airtel mobile. important updates. This service will be initially available to Airtel customers. In the production room they have a mixer named OY2 mixer which is quite costly. THOMPSON’S CONTRIBUTION: The third major contribution to the technology structure literature has been made by James Thompson. The room that they use for mixing is called the production room.
It refers to reciprocal independence.Department of Management Studies Mediating Technology Characterised by a standardised transformation process and unique inputs and outputs. Hyderabad can be summarized as follow: Theory Thompson At Radio Mirchi Intensive Technology Group 7 23 . Radio Mirchi can be an example of this kind of technology. Technology at Radio Mirchi. It refers to pooled interdependence that output and input have in an organization. These technologies often link partners in an exchange that helps them locate appropriate parties to conduct their transactions. Its characteristics are low complexity and high formalization. Intensive Technology Combined a non-standard transformation process with unique inputs and outputs. Its characteristics are high complexity and low formalization. Service providers deliver unique services to unique clients based on a pre-defined delivery process.the output of unit influence each other in a reciprocal fashion. This technology focused on the coordination of experts and pooling their expertise to create a unique outcome.
Department of Management Studies CHAPTER 6 ORGANIZATION CULTURE Group 7 24 .
National Culture: Different nationalities may work better in different organisational cultures Function and Purpose: Different cultures may be appropriate for different functions or purposes.Department of Management Studies Culture Organizational culture is defined as the specific collection of values and norms that are shared by people and groups in an organization and that control the way they interact with each other and with stakeholders outside the organization. Size: Culture often changes as an organisation grows/shrinks Organisational Environment: In a rapidly changing environment. Functions as an implicit organizational control system An unwritten formulization Promotes stability Determinants of Culture: There are various factors that contribute towards the development of organisational culture. Technology: Group 7 25 . Organisations dominated by the owner or founder will tend to have a power culture. Staff: Different individuals prefer working under different organisational cultures. beliefs and values (personal and cultural values) of an organization. Organizational culture describes the psychology. role culture may be preferable. in turn create common understandings among members as to what the organization is and how its members should behave. It may be counterproductive for an organisation to attempt culture change if key staff would feel uncomfortable or alienated in the desired culture. In a static environment. experiences. whereas successful campaigning is more likely under task culture. Functions of culture: Organizational Culture covers different functions: Provides shared patterns of perceptions Provides shared patterns of feelings Defines and maintains boundaries. allowing identification of members and non-members. attitudes. In a challenging environment power culture may be appropriate. although the impact will wane over time. Goals or Objectives: Quality of service delivery is more likely to be achieved under role culture. task culture may be appropriate. These include: History and Background Owner/Founder: Often the owner or founder will have an enormous role in establishing its culture. These. A power or task culture is more appropriate for growth goals.
pre-planning. They believe in fun at work. Performance driven growth is followed and immediately implemented Good relations with the government Subcultures: Subculture was not visible in the organization. stories and ceremonies organizational members share. RJ should know local language for sure. integrity in dealings Authenticity: congruence between claims and actions. So for Hyderabad RJ‘s they should know Telugu and English Celebrations are dominant in Radio Mirchi as there are parties. customs. 2. symbols. Spacious and decorative interiors with cubicles allotted to programmers whereas. Employees love the informal culture and creativity is actively encouraged. If a position is vacant in some role and if there is a replacement then years of experience is not considered. Cross culture exists as employees are from different parts of India. at the same time accounts for deadlines and on the spot innovations. beliefs and thought processes which represent the true culture. and practices The Organizational ethos are defined by OCTAPACE. Proactivity: taking initiative. made up of its beliefs. Culture at Radio Mirchi The culture in radio mirchi.But if work demands to innovate or market in last moment they work extra hours.Department of Management Studies The move towards increased use of technology tends to push organisations towards role culture. The underlying values. rather than shying away from. No rigidity in organization. They are as follows: Openness: receiving and giving spontaneously Confrontation: facing. No formals compulsion and hence no rigidity in dress code. cabins to functional heads They have an open door policy and thus everyone at work is approachable Follows-Informal risk taking that is. problems Trust: maintaining confidentiality of information. with associated procedures and protocols. Organizational ethos: It is the underlying spirit or character of an entity or group. taking preventive action Autonomy: using and giving freedom to plan and act in one‘s sphere Collaboration: giving and asking for help to and from others Experimentation: using and encouraging innovative approaches to solve problems Group 7 26 . assumptions. work even when no ones to monitor around They call themselves as ―Free bird‖ as there is no timings apart from official ones 10:00 am to 6:00 pm . Organization culture exists at two levels: 1. trips and ‗fun activities‘ organised frequently. Punctuality is of utmost importance there as non punctuality leads to delay of their shows and hence loss in reputation. Visible artefacts and observable behaviour: The way people dress and act.Hyderabad office is as observed: It has a dynamic environment and hence exhibits properties of task culture.
But considering the nature of their jobs. confrontation.Department of Management Studies organisation ethos 10 9 8 7 6 5 4 3 organisation ethos 2 1 0 Graph showing organizational ethos of Radio Mirchi The two highest scorers in the graph are trust and experimentation. As the organisation say Innovation is the key .Sometimes they launch programs in 10 minutes. sometimes even having to hide their real feelings. Group 7 27 . autonomy and collaboration are also high on the scale as they are a media company creativity is very important and for that the employees are given a free culture and environment to work in. The lowest score is for authenticity as the employees are sometimes troubled by their emotion which manifests itself at times. they are supposed to be very pleasant and jovial. Anyone in the hierarchy from highest to lowest is easily accessible. Openness.
Department of Management Studies CHAPTER 7 ORGANIZATION ENVIRONMENT Group 7 28 .
converts them into useful products. They do not change easily and are not specific to any organization.Department of Management Studies Environment Organizational environment refers to the forces that can make an impact. and makes them available to customers as outputs. money. To study the environment at XYZ place we are going to broadly look at two types of environments: general environment and specific environment. though the relation with the organization need not be overtly clear. Group 7 29 . So in simple terms organizational environment is ―Everything outside the organization‘s boundaries‖. The following factors affect the specific environment of an organization: Customers Suppliers Competitors Government Labour unions Trade associations Public Pressure groups With respect to XYZ station we will be looking at the specific structure they have. It includes almost everything such as Economic factors Political conditions Social milieu Legal structure Ecological situation cultural conditions Specific Environment With respect to XYZ station we will be looking at the specific structure they have. Specific Environment: Specific Environment refers to that part of the environment that is directly relevant to the organization in achieving its goals (strategic constituencies). General Environment: It encompasses anything that might have an impact on the organization.e. Forces made up opportunities and threats. an organization can be viewed as a resource conversion machine that takes inputs (labour. goods. and services. Internally. the outside world).. An Organization does not exist in isolation rather it works with the overall environment. materials and equipment) from the external environment (i.
particularly to the youth segment. Listeners They are the target customers of any radio station. Employees They are the connecting bridge between the station and the listeners. Listeners are the component of this measure. Domain: It is the claim an organization stakes out for itself with respect to the range of products or services offered and markets served. Some of the competitors of Radio Mirchi are: Red FM. after the name and the frequency i. Coleman & Company Limited. It determines an organizations specific structure. Currently it caters to urban listeners. Currently it is owned by the Entertainment Network (India) Limited (ENIL). The preferred channel selected for the same is FM Radio. Times Group Radio Mirchi was born out of Times Group. In Radio Mirchi.e. Radio City etc. 98. One of the objectives of a radio station is to increase RAM (Radio Audience Measurement). Hence they are an integral part of an organization.Department of Management Studies Environment At Radio Mirchi The explanations of the elements of the specific environment are as follows: Advertisers The advertisers provide the revenue required to run the organization. Group 7 30 . Competitors Radio market in India is an emerging industry. Maintaining an edge over the competition is extremely important. Government The government is instrumental in issuing licences for establishing radio stations in India. Currently Radio Mirchi has presence in 32 cities. the subsidiary of Bennett.3 the most popular are the RJ‘s of Radio Mirchi. Radio Mirchi‘s domain is mainly music and humour.
Group 7 31 . Sometimes programs are launched in 10 minutes. Forces in environment are related to each other. years of experience is not considered. Innovation is the key for Radio Mirchi. Vertical Organic Flexible due to : Heavy competition in the market Continuously changing preferences of listeners Lateral On an average.Department of Management Studies Burns and Stalker Model: According to Burns and Stalker model. unpredictable and slow. Placid – clustered environment: Slow changes. There is low uncertainty. Changes can‘t be predicted easily as human psychology is involved. Hence Radio Mirchi moves more towards an organic structure rather than a mechanical one. Radio Mirchi falls under the kind turbulent-field environment due to the following reasons: Dynamic environment with high uncertainty due to varying and constantly changing tastes of customers. Guidelines are not possible so a lot of real time work is existent. Change is an ongoing event. Turbulent – field environment: It is the most dynamic and has the highest uncertainty. From our survey we concluded that formalization and centralization is minimum within Radio Mirchi. and they find someone good at the moment to replace. Disturbed – reactive environment: Many competitors seek similar ends. Two or three large companies in an industry can dominate. Competition is high as tastes keep changing. Diversity is present due to changing nature of the business As it is a media domain so the employees are given high degree of freedom. Changes are random. formalization is low across the departments. Performance driven growth is followed Influence is highly dependent on expertise and knowledge. The reasons for the same may be summarized as follows: Characteristic Nature Of Environment Mechanic - Communication Formalization Vertical Influence Control Task definition Communication Centralized is quite low To maintain co-ordination the tasks are well defined. type of structure required in rapidly changing and dynamic environments is significantly different from that in stable environments. If a position is vacant in some role. NO RIGIDITY in organization. Lateral Emery and Trist Model: Emery and Trist identified four different kinds of environments: Placid – randomized environment: Relatively unchanging environment. It poses the least threat to an organization.
Since Radio Mirchi‘s environment is dynamic. Performance driven growth is followed and immediately implemented Advertising : Depends on the sector we plan to advertise in. Group 7 32 . Environment -Structure Relationship: A dynamic environment has more effect on the environment than a static one. This helps is retaining their competitive edge. reflecting the characteristics of the sub-environment with which it interacts Differentiation: Task segmentation Tasks are flexible to quite an extent in the station. SO RJ‘s have a lower level of formality while finance team will have a higher level. complexity is high. Recruitment: Recruitment requirements are basically region specific. it affects its structure in the following ways: Environment and Complexity: As the environment is uncertain. from department to department. Environment and Formalization: Formalization is low for boundary activities while activities not visible to customers have high Formalization. If I operate in North-Mumbai-I prefer people with Marathi and English. Domain Choice: There are no planned domain changes presently. Further if a position is vacant in some role. centralization is low. interacts with customers. Most of the Ad detailing is not released. The level and formality of interaction depends upon who the customer is. till the spur of moment. Resource Dependence Theory: Resource dependence theory outlines organizational strategies for managing environmental uncertainties. It‘s easier to communicate with people according to regional basis. For example: TMC (Tirumala Music Company) asked to market their goods on air at 9:10 and the requirements and discount offer was released only at 9. according to company policy issues. from RJ‘s to the finance team. Environment and Centralization: As uncertainty is high. years of experience is not considered. We are totally a region centric media. In Hyderabad-Telugu and English. An organization‘s internal structure can be expected to differ. Integration: Collaboration among interdependent units Since the final outputs require inputs from all the departments there is a very high level of collaboration and coordination between the various departments. This is because everyone.Department of Management Studies Lawrence and Lorsch’s model: Parts of organizations deal with parts of the environment.So they had a meeting for some minutes and the advertising campaigning was done based on the offer. Steps taken by Radio Mirchi to tackle environment: Market Research: It is outsourced and is used to identify future areas for development. and they find someone good at the moment to replace.
These are some of the things that Radio Mirchi does to stand out from the competition.Department of Management Studies Sales and Marketing: A dedicated team works on reaching out to the widest customer base possible. competitions to keep customers involved. Various events are sponsored and you can see radio Mirchi trucks on roads also. Innovation: New Headlines on the breakfast show. Traffic Updates during rush hour. Group 7 33 .
Department of Management Studies CHAPTER 8 ORGANIZATION EFFECTIVENESS Group 7 34 .
Organizational effectiveness captures organizational performance plus the plethora of internal performance outcomes normally associated with more efficient or effective operations and other external measures that relate to considerations that are broader than those simply associated with economic valuation. we know that ―effectiveness‖ does not mean the same thing to every organization. It is the degree to which an organization attains its short term (ends) and long term (means) goals. and aspirations People with the right capabilities. or other challenging situation forces a different set of requirements on an organization. Ethics is a foundation found within organizational effectiveness. These differing requirements (e. and behaviors . their needs. Each setting. An organization is achieving ―effectiveness‖ when the following five domains of a given organization align in optimal movement toward that goal: Market Place Savvy – clearly understanding the desired markets.g. types and sizes of population segments served. Group 7 35 . Instead of measuring organizational effectiveness.Department of Management Studies Organisational effectiveness Organizational effectiveness is the concept of how effective an organization is in achieving the outcomes the organization intends to produce.placed and led smartly by good leaders Plans that optimally support the objectives and create clear pathways to the envisioned results Ethical foundations that inspire trust in what is being said and done Solid Culture with supportive business processes that lays the foundation for success in all of the above. integrity and equity to allow communicative competence with the participating members. Along with ethics and communicative competence. attitudes. An organization's effectiveness is also dependent on its communicative competence and ethics. the selection of which represents the strategic constituencies. the selfinterest of the evaluator and the life stage of the organization. Proxy measures used may include such things as number of people served. change mandate. An organization must exemplify respect. which in turn. Organizational effectiveness: It's all about enabling workforce adaptability to support the strategic initiatives that drive growth. members in that particular group can finally achieve their intended goals. honesty. and the demand within those segments for the services the organization supplies. dynamic merger integrations versus continued improvements in a product or service vital to profitability) mean that there is no one ―recipe‖ that fits all challenges but requires experienced ―eyes and ears‖ to help navigate a clear path to the desired future state. Organizational effectiveness is a way to describe and determine how effective companies or organizations are in achieving the outcomes that they desire or intend to produce. the organization determines proxy measures which will be used to represent effectiveness. influence what it means to be considered ―effective‖ by its stakeholders and results. while quickly responding to changing market conditions That being said. The relationship between these three is simultaneous.
Department of Management Studies Comparison of various approaches to measure Organizational Effectiveness: Approach Definition of Organizational Effectiveness Organization accomplishes its stated goals Organization acquires needed resources All strategic constituencies are at least minimally satisfied When useful Goal attainment Goals are clear. and the organization must respond to these demands An organization is unclear about its own emphasis. effectively run at several zones. The public interest is often served with programme offerings in health. elevating local talent and catering to the regional needs. to name a few. politics or financial management. ―rescues‖ lost cultures and languages. It also provides venue for less frequently heard voices to be heard in larger big media. and informs citizens who may be harder to reach about issues of importance to them. education. or changes in criteria over time are of interest Systems Strategic Constituencies Competing values Emphasis of organization in the four major areas matches constituent preferences Table 1: Various approaches to measure organisational effectiveness Effectiveness at Radio Mirchi: Radio Mirchi. time bound. It also helps shape public opinion and public will. It also provides ways of organising people living together in the same defined geographic area – or community of interest --around their common values and beliefs. measurable. culture. Clear connection exists between inputs and outputs Constituencies have powerful influence on an organization. demonstrates key principles of local ownership. Group 7 36 . Listeners seem to like and appreciate the programmes especially when subjects that they care about are aired. agriculture.
enil.co.in/radio.com Entertainment Network India Ltd:-http://www.html Group 7 37 .radiomirchi. Robbins and Mary Mathew Web References: Radio Mirchi Website:-http://www.References References Books and Readings: Organization Theory: Structure Design and Applications Stephen P.
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