Contemporary Entrepreneurial Issues Assignment Sample

Introduction of Causation and effectuation of contemporary management

Get free written samples from expert assignment writers and academic writing services in UK.

Contemporary management is a modern method of managing a business it comprises activities like planning, monitoring, and decision-making. Contemporary management is also known as modern management theory which reflects modern business management strategies and theories (Alvesson and Gabriel, 2016). Contemporary management is an attempt to establish goals that line up with the interests of the stakeholders of the company extending from investors to employees of the company and customers. The contemporary management team of the company relies on the evaluation of human behavior and factors of the environment which creates an efficient workplace. The report develops a critical understanding of contemporary management and its issues which impacts decisions making, behaviors, and human capital of the company. The report discussed the evaluation of the organization and various changes that helps an organization to improve performance and enhance its work in the context of contemporary management. The report highlights the facts about Contemporary theories which refer to management strategies (Ejdys et. al. 2015). These theories involve the various tools like guidelines and frameworks that are implemented in a modern organization. There are two main theories associated with contemporary management, system management, and contingency theory. The report will discuss all the theories of modern management by analyzing their impacts and benefits on the company.

Causation and effectuation of contemporary management

Contemporary management also known as modern management is an approach to overseeing various business activities which help businesses to grow. The main objective of contemporary management is to create effective planning for decision-making and monitor the work of employees in an organization which will further help in achieving organizational goals and better results (Pöhn and Hommel, 2021). There are several causes and effects of contemporary management on business that creates a big impact on an organization's performance.

There are various challenges and issues that contemporary management faces, some important factors are as follows:

• Globalization –

  One of the major evolving challenges in contemporary management is the globalization of business. Globalization has created a new and modern way to trade, in which organizations without national boundaries are able to transact business globally. Globalization gives opportunities and also creates a big challenge for contemporary management (Hussain al. 2019). Globalization is continuously putting pressure on businesses to match steps with the emerging world, which is very challenging for management. With emerging globalization, competition for an organization is also increasing as other organizations are continuously changing their strategies to be leaders in the market. For the organization it is important to match the steps according to others needs in order to focus on better strategies like cutting prices, producing new and better products as required by customers, etc.

• Technology evolution –

  another major issue for contemporary management is being updated with the latest technology. Technology is on the urge on changing continuously which is beyond the manager's expectation. Technology plays an important role in creating issues in contemporary management because it affects the mode of operation function of organization, manufacturing, and distribution of products all these functions rely on technology.
• Principles and Responsibilities – organization's principles define the actions and whether the strategies of the business are in the right direction of achieving goals or not. Contemporary management plays an important role in following principles and a lot of responsibilities to employees (Nuhu al. 2017). One of the most difficult tasks for contemporary management is to determine employees' behavior and a lot of their responsibilities accordingly.

• Workforce diversity –

  workforce diversity refers to a mix of people from different backgrounds, gender, race, and ethnicity in an organization. Because of shifting demographic dynamics, the participation of women has also increased in an organization, and such changes affect the business. The contemporary management challenge is to fit these groups of people in an organization by finding a solution to their diverse styles, demands, and work styles.

Contemporary management issues by synthesizing relevant theories

Various theories of contemporary management further help management in fighting all these challenges and achieving desired results. Management theories are the ideas and guidance of how a manager should manage their employees in the organization. To overcome all the challenges and issues management should adopt a suitable theory that helps in motivating, controlling, and guiding the employees in an organization (Steers et. al. 2017). Contemporary management theory combines mathematical scrutiny with the understanding of employee’s behavior which helps to motivate them to create a healthy work environment. This theory uses statistics to measure employees' productivity and performance which helps managers understand the requirements and needs of employees. Modern management comprises three major theories which are as follows:

• Quantitative theory –

  this theory of management depends on the efficiency and mathematical equations, it is a simple numeric theory that calculates the risk, benefits, and drawbacks of performance and actions of employees in an organization (Anderson al. 2018).This approach uses all the statistics, and information models. Computer simulation and other quantitative techniques.

Effects - This theory of management is effective in boosting productivity, manager can use all the data collection to understand employees' behaviors and find an effective solution. These solutions will further help maximize the work potential of employees.

• Systems theory – this theory treats an organization like an individual by focusing on fulfilling all the needs and requirements of the organization to achieve its objectives and aims (Ksenofontov al. 2019).This theory states that everybody in an organization from CEO to the lower-level employee must work according to the organization in order to last in the market.

Effects - It focuses on creating an environment in which all the employees, managers, and directors work collectively in a team to achieve organizational goals. The effective benefits of this theory are that it helps in identifying the problems and appreciating the ideas of employees which motivates the employees and encourage them.

• Contingency theory –

  the contingency theory of management states that every management situation required a different style of leadership and strategies to deal with, not a single strategy or plan is suitable for every situation (Kroll, 2015). The theory concluded that it is up to the leaders or managers of an organization to use the best suitable theory and strategies to deal with the current situation. The main drawback to this theory is that it puts all the pressure and responsibility on the leader or manager.

Effects – the impact of this theory in an organization is that it emphasizes the importance of the situation and helps in applying the best suitable leadership style. It develops an understanding of internal as well as external factors and encourages managers to use several techniques and approaches to motivate employees.

(Source: Julfikar Ali, 2018)

Various other management theories are also helpful in facing challenges like decision-making, controlling, and creating a healthy work environment. Some of the popular theories are theory X and theory Y, Bureaucratic management theory, scientific management theory, and classical management theory (Tabatadze, 2019).

The significance and implication of contemporary management on business

Every organization applies various theories of contemporary management that are suitable for their work culture and helps in increasing work output with maintaining the same workforce. For getting the best results from these contemporary management theories it is essential to analyze the significance and impacts of these on business. The significance and implication of contemporary management on business are as follows:

• Simplify decision making - contemporary management simplify the decision-making strategy in an organization as its theory of system encourages better communication between the top-level management and lower-level management (Griffin, 2021). It encourages all the employees to step up and show their ideas and plans that further help in simplifying the decision-making process in an organization. For example company like Accenture has a new performance management model which helps a company to create a better relationship between managers and employees.

• Full utilization of human capital –

  contemporary management focused on building interpersonal relationships in the workplace, which is a strategy of the human relation approach. The organization gave more opportunities to its human capital to participate in decision-making and planning strategies for achieving organizational as well as individual goals (Grant, 2021).The human relation theory of modern management focused more on the sociological and psychological approach of the organization. A company like Adobe uses human relation theory which allows management and employees to discuss their goals and ideas, also review performance, and give feedback to improve performance.

• Organization configuration –

  contemporary management also creates a big impact on the organization configuration, as the theories and strategies also depend on the size and organizational structure of a company. The manager is required to choose suitable modern management theories that are perfect for the company and provides great results. Companies like Jaguar and FaceBook have very big organizational structures for which they use different theories at different levels of the organization.

Organizational situation and changes to improve performance with enhance the value

The success of today's business is related to the performance of management. Contemporary management uses resources, effective processes, and motivation in a corporation to achieve its objectives and goals. Contemporary theories refer to modern management theories. They are aware about the facts that how complex business is and the quickly changing environment they operate in. Management theories are a set of activities that help the manager in taking effective decisions in an organization. Contemporary management helps the business to organize, plan, lead and accomplish the company's goals to achieve hierarchical goals. Administrator at each level is responsible for utilizing assets viably. Contemporary management can have some effect dealing with utilizing assets, use of technology, and a diverse workforce (Hussein, 2018). This management style may not give maximum attention to employees' efforts who give their full efficient performance to accomplish goals. The company cannot fully rely on modern theories to take decisions. While using contemporary management, it is the responsibility of the managers to realize the need for theories to apply to different situations. An organization should focus on its needs and requirements and then decide on what theory best suits the organization and helps in achieving goals and objectives. These management theories will help to improve and enhance the performance of its employees as well as the top level of management which will further help in attaining desired goals (Daft and Marcic, 2016).

Key Findings and Recommendation

The key finding of evaluating contemporary management is that it recognizes and accepts the changes that are required according to change in the world. This management system treats employees as an individual who is connected to the organization for more than their salary, it helps in understanding their needs and requirements. The contemporary management allows employees to give their ideas and suggestion to the company's decision-making.

The organization is incorporated into modern management. To improve management abilities by learning to distinguish between reasonable goals, manage potential future risks, and anticipate any chances that might support the success of a business. Employees will become more innovative if the manager assists them which also help them to become more creative by fostering an entrepreneurial culture within a company. Having creativity as part of an organization’s management abilities can provide a business with a competitive edge and enable it to succeed in the future. Figure 2 is giving the idea about the self direct learning developed through the contemporary management in the organization which leads to the overall growth in working capabilities of the employees.

(Source: Genget, 2019)

Conclusion

The report concluded the facts about contemporary management issues. Contemporary management theory reflects modern business management strategies and theories. The report highlights the facts about a wide range of contemporary management theories which helps to face various issues and impacts on organization. It discusses the significance of contemporary management and its implication on decisions, behaviors, human capital, and the organization's configuration. The report critically analyses the understanding of the theories and their effects on business and it also develops an understanding of the evaluation of an organizational situation and changes to inform and improve performance and enhance value. At last, the report provides major findings and learning skills that are concluded from the research done on contemporary management and its theories. At the end all the recommendations is provided through the point of key learning which will further help in improving performance and enhancing the organization's image in the market.

Reference

Alvesson, M. and Gabriel, Y., 2016. Grandiosity in contemporary management and education. Management Learning, 47(4), pp.464-473.

Anderson, D.R., Sweeney, D.J., Williams, T.A., Camm, J.D., and Cochran, J.J., 2018. An introduction to management science: a quantitative approach. Cengage learning.

Daft, R.L. and Marcic, D., 2016. Understanding management. Cengage Learning.

Ejdys, J., Ustinovi?ius, L. and Stankevi?ien?, J., 2015. Innovative application of contemporary management methods in a knowledge-based economy–interdisciplinarity in science. Journal of Business Economics and Management, 16(1), pp.261-274.

Grant, R.M., 2021. Contemporary strategy analysis. John Wiley & Sons.

Griffin, R., 2021. Fundamentals of management. Cengage Learning.

Hussain, N., HAQUE, A.U. and Baloch, A., 2019. Management theories: The contribution of contemporary management theorists in tackling contemporary management challenges. Ya?ar Üniversitesi E-Dergisi, 14, pp.156-169.

Hussein, A., 2018. Adoption, importance, and barriers to the implementation of contemporary management accounting practices: Evidence from Egypt.

Julfikar Ali, 2018. The contemporary theory of Management. [Online]. Available Through :<https://www.researchgate.net/figure/Contemporary-theory-of-Management_fig1_312795872>. [Accessed on 24.09.2022].

Kroll, A., 2015. Exploring the link between performance information use and organizational performance: A contingency approach. Public Performance & Management Review, 39(1), pp.7-32.

Ksenofontov, A.A., Ksenofontov, A.S., Kirpicheva, M.A. and Trifonov, P.V., 2019, March. The use of modern management technology to improve business efficiency. In IOP Conference Series: Materials Science and Engineering (Vol. 483, No. 1, p. 012114). IOP Publishing.

Ksenofontov, A.A., Ksenofontov, A.S., Kirpicheva, M.A. and Trifonov, P.V., 2019, March. The use of modern management technology to improve business efficiency. In IOP Conference Series: Materials Science and Engineering (Vol. 483, No. 1, p. 012114). IOP Publishing.

Nuhu, N.A., Baird, K. and Appuhamilage, A.B., 2017. The adoption and success of contemporary management accounting practices in the public sector. Asian Review of Accounting.

Pöhn, D. and Hommel, W., 2021. Proven and modern approaches to identity management. In Advances in Cybersecurity Management (pp. 421-443). Springer, Cham.

Shuang Geng, Kris M. Y. Law & Ben Niu, 2019. Investigating self-directed learning and technology readiness in blending learning environment. [ Online]. Available Through :<https://educationaltechnologyjournal.springeropen.com/articles/10.1186/s41239-019-0147-0>. [Accessed on 24.09.2022].

Steers, R.M., Nardon, L. and Sanchez-Runde, C.J., 2017. Management Across Cultures. Cambridge University Press.

Tabatadze, L., 2019. The Evolution of Management Theories. The New Economist, 14(2), pp.1-1.