Organisational Change on managerial roles in Petroleum Development of Oman (PDO)

1. Introduction

This study analyses the impact of Organisational Change on managerial roles in Petroleum Development of Oman (PDO). The study explores the PDO restructuring upon the work role and work experiences, by using ’s analytical frameworks of Managers. This Study discusses the organisational change that happens in the company and the types of changes.

The chapter starts with introductory chapter, which briefly reviews the nature of problems, aims and objectives, scope of the study, methodology and limitation of study.

Overview: The Nature of the Problem

Organisational Change is currently one of major domains of organisational research, and the study of organisational change has become one of the major aspects in being able and helping to measure the organisation performance; efficiency and effectiveness. The effective organisation must be able to meet today’s and tomorrow’s challenges, adaptability and responsiveness are essential to survive and thrive.

Today’s organisations are experiencing change like never before as a result of global competition which had created uncertainty for the organisations (2000). Therefore business world organisations face unprecedented changes as the response to the internal and external challenges for emerging technology and market forces.

Moreover, the pace of change is so rapid, only organisations that can adapt to this changing environment can survive, getting a profile of the current problems can enable organisations to thoughtfully bring the elements of the change into alignment and move forward towards an ideal.

In thinking about the process of organisation change, two questions immediately come to mind. First, why do organisation change? The answer is “to survive”. The second question, what is change? What are the various organizational factors that can be modified to help the organisation adapt and grow? (1999). Due to the decline of the oil production, PDO changes it structure and strategy in response to environmental forces which will help the company to secure its competitive advantage through organisational transformation.

There are some problem areas in the company and the management needed to take action to develop and to adapt a change process to improve the environment where it operates. The finding is likely to pose a challenge in many areas within the company, such as the structure which is suffering from several problem areas occurring form the internal control process in the organisation.

PDO’s structure was a mechanistic structure with a central decision-making process and one-way flow of information. According to (1997) PDO appears to be a Role Culture where the rules and procedures dominate the internal environment bases in the exercise of authority by the Senior Management Team. As a result there are some negative aspects, the communication and decision-making channel are not properly used, and have difficulty in adapting this structure in PDO. There are very strong hierarchy, as the senior management exerts a tight top-down control. As a result, the staff are not allowed to act on their own initiatives and they are less willing to work cooperatively due to the lack of involvement in the decision making process. Moreover, it might be argued that the reason why some staff leave the company is because of the heavy workload.

An important aspect to PDO management vision is the change of the current structure, since it does not provide the benefits, and does not enable the company to run sufficiently and effectively. To take advantage of positive organisation structure, PDO implemented some change in their system. The company focused the individual attitude toward teamwork, personal values and ability to innovate especially in the technology and science, decision-making involvement and adapt suitable information flows across departments.

PDO change the current structure to more task culture, to enable the flexibility, and to improve communication and understanding. Also this system will enable the organisation to be flexible with suitable communication channel between different functions. This new structure has a decentralization process, which will have a lower level decision, and the senior management control can be dealt with on the spot.

A number of studies ( 1990, 1990) suggest that middle managers play a key role in change implementation. It can be argued that the effective planning and management of change require careful consideration of the impact of structure change on middle managerial work roles and work satisfaction levels – to maintain their resistance, and maximise their commitment to the containing and accelerating pace of change within Petroleum Development of Oman (PDO).

Managers not always initiate change are accept all change proposals, as especially change in authority systems (1982). The blindness of top managements to the negative impact of their policies, practice and behaviour tends to be very high (1970) due to the threat of loss of position power. (1995) sees managers as the basic and scarcest resource for an organisation as well as the key factor for a healthy growing economy and supply, which is critical to the survival and further development of any organisations. (1995) further regards managers in an organisation as the life-giving elements in every organisation in that without managers, organisations cannot possibly function properly. Thus, a strong link is noted between manager’s efficiency and organisation performance. It has been recognised that mangers are a significant power behind the progress and successful development of an organisation’s strategy and such success is very much dependent upon their attitudes, behaviour and commitment to their specific responsibilities.

Therefore it’s important to understand the extent to which these formal changes in management systems and role prescriptions have resulted in change in work behaviour and job satisfaction experienced by PDO managers. It is thus essential, when attempting to assess the impact of formally espoused changes within PDO, to examine the extent to which, and the way in which, managers have adapted new forms of work behaviour in accordance with the new managerial role perceptions.

Aims and Objectives

The main objective of this study is to define to which extent the impact of organisational restructuring affects the managers’ roles in Petroleum Development of Oman (PDO). Therefore this dissertation will investigate into the extent to which these formal changes in management systems and role prescriptions have resulted in change in work behaviour and job satisfaction experienced by managers. As a number of studies ( 1990, 1990) suggests that middle managers play a key role in change implementation, therefore it can be argued that effective management of change requires careful consideration of structural change on managerial roles to limit their resistance and maximise their work commitment.

The study covers the analysis of management development within the Omani national culture and organisation culture of Arab management concept, and how the organisational change can influence the management roles.

Methodology of the study

The study will include a review of literature on books and journals, and other materials about organisational change, and management roles and development.

The study will also present the review of the responses to the sample questionnaire distributed among PDO managers. The questions are related to the Minzberg’s framework of manager’s role (Interpersonal roles, informational roles, and decisional roles).

Limitation of the Study

This paper shall attempt to determine the impact of organisational change on managerial roles in Petroleum Development of Oman (PDO). By conducting a random sampling survey, the writer shall try to correlate the organisational change to the managerial roles.

This paper shall cover the PDO and its managers as source of data. Analysis shall be limited on the outcome of the survey that will be conducted. Moreover, the literature covering the area of business management, particularly the overview of organisational change, the nature and concept of managerial roles will be gathered and analysed using the framework of on managerial roles.

Chapter Outline

This study consists of five chapters. The first chapter introductory chapter presents the overview of the nature of the problem to be discussed in the study. It also covers the aim and scope of the study, as well as applied methodology and provides general ideas about the way that the study is structured.

The second chapter will provide a historical background of Petroleum Development of Oman (PDO), the aim of the organisation functions, discussion making system, the company structure and discuss the change in the company. In the third chapter, the writer provides the literature review of the theoretical materials related to organisational change, managerial roles, Arab management system, and the influence of culture on Omani management is analysed.

In the forth chapter is the analysis of the result of the findings on the PDO management. The writer addresses the impact of the organisational structure on the managerial roles, and Organisational Culture within PDO. The fifth chapter of the study will present some recommendation and guidelines offered by the writer in regards to improve the

Summary

This introductory chapter has overviewed the nature of the problem and its formulation. It also covers the aim and objectives, scope and methodology of the study. In the following chapter the researcher provides overviews of the company resurfaced and change.

2. Overview of Petroleum Development Oman (PDO)

History of the Company

Petroleum Development Oman (PDO) is the major oil and gas company in Oman. As per the company registration a document, the Government has 60% of the shareholders which 40% of the company’s shares are retained by private shareholders (Shell 34%, TotalFinaElf 4% and Partex 2%). PDO commenced its first oil exports in August 1967. The oil produced comes from some 2326 wells located in the arid region of Oman.

PDO’s top management has taken a decisive decision to redesign its entire core business structure and to help a line in business to be competitive and simultaneously meet the shareholders requirement. The company faced three new governmental regulations. First to increase the oil production level than, to engage more Omanis in the workforce of the company. Thirdly, to contribute to the development of arid areas where oil exploration and production sites are located. Therefore the need to create a new organisation as described by Hastings (1993) was driven by dissatisfaction with the old traditional organisation where decision process was seen to be very low.

Due to the decline of the oil production in 1998, PDO start looking for a new way of work, and therefore the company introduced a major change initiatives, “Emergent Change” ( 1996) which will help the company to reduce it’s expenditures and to organise its work in more efficient way, to cope with the decline in the oil production. According to the five-year plan devised by PDO, roughly $1.5 billion a year would be put in as capital investment to recover the lost oil production level to 800,000bbpd mark in 2007.

PDO Vision

The Petroleum Development of Oman (PDO) long-term vision is “to sustainable deliver 800,000 brls/day for Oman by 2007 utilising the full potential of their people”.

PDO Management Structure

In 1998, PDO have gone through reform process, this study will focus on the change of PDO structure and how it has been organised into units known as assets, each of which is headed by a manager who is directly accountable for its performance and development. Each asset manager reports to one of seven directors, who sits in a committee chaired by the Managing Director of PDO. The Managing Directors Committee thus shares responsibility for PDO’s overall performance and business direction.

The directors also have a "functional" responsibility, that is, they are also ultimately responsible for the development of staff in a particular discipline. In the execution of this second responsibility, they are assisted by corporate functional discipline heads, who — like the directors — generally have dual role that combines functional with line-management responsibilities. The Board consists of nine members; five — including the Chairman — represent the Government of Oman, and four represent PDO’s private shareholders (Shell, TotalFinaElf and Partex). And it introduced the team-leader in their structure to improve the company unit’s productivity and efficiency.

The new organisation is fully based on asset management principles and provides a structure which is geared towards growth and value creation. It is focused on technical integrity of product flow assets, infrastructure and business processes. Moreover, single-point accountability for the day-to-day management, performance and development of all assets - from product flow to service provision - has been introduced and a number of management layers has been removed.

The existing PDO organisation reflects the main producing assets in its Area Team structure, with an asset management team representing Petroleum Engineering, Engineering and Operations. The implementation of the new organisational structure is therefore expected to be smooth with minor or no disturbances to day-to-day activities.

Figure 1

The new organisation delivers growth from Frontier Exploration and New Projects (currently Athel) under the exploration director, and from the oil-producing assets. Focus on revenue is ensured by grouping all oil-producing assets, oil-related Technical Services and Infrastructure under the oil director. The importance of Gas is reflected in a direct reporting line between the gas manager and the MDC. Business Improvement, Technology and Public Affairs will receive more management attention under the Corporate Centre Directorship.

A major change with respect to the current organisation is a dedicated Frontier Exploration asset team, whilst near-field exploration will be the responsibility of the oil (Product Flow) Area Asset Managers. The mission of Frontier Exploration will be the delivery of new product-flow assets, complete with notional development plans, a declaration of commerciality and reserves booking.

Figure 2

A further change is the introduction of single-point accountability for the Area Assets. The area asset management triumvirate will now report to one Asset Manager instead of the current bi-functional relationship with the Development and Operations Managers.

The new organisation is expected to be a more exciting place to work for PDO staff, as it is based on staff and team empowerment. Also, it is more commercial in nature and clearly links performance to reward at every level in the organisation.

The current re-organisation is a logical next step in the evolution of PDO from a functional organisation towards an asset-based organisation as indicated in the well known diagram below, taken from the Corporate Management Framework (CMF):

Figure 3

PDO has virtually become an asset-based organisation "from the waist down", i.e. from the Area Team level downwards. However at the management level, there remains a long reporting line. The new organisation is based on “single-point responsibility”, and it has fewer layers then pervious structure.

PDO Assets Management Group

As shown in (Figure 1) there are five types of Asset management in the company: The Product Flow (PF), Service provider, Process Owner, Risk Adviser, and Skill Manager

a. The Product Flow Assets

The Product flow (PF) assets comprise four elements: Frontier Exploration, the Area based Oil Product flow Assets Teams, Gas and Infra-Structure.

The PF structure is built on the traditional strengths of exploration – regional geological thinking; innovative play generation, risk-taking – whilst also promoting fully-integrated life cycle sub-surface evaluation and greater commercial focus. New Style Exploration will be challenging and entail substantially more risk than in the old organisation.

The two extremes of Oil Product Flow Assets are represented by:

- a “bare-bone” organisation: the existing triumvirates led by an Asset Mangers

- a "bare-bone" organisation: the existing triumvirates led by an Asset Manager, with all other activities (Finance, Planning etc.) contracted in from the service and corporate organisational entities, and

- an organisational structure which represents a series of mini PDO's, i.e. with their own services (drilling, well services, human resources etc.) integrated in the Asset, as shown in the Figure 4

Figure 4

b. The Service Assets

The service Assets are consist of eight different areas, as below

- Human Resource (HR)

- Finance

- Contracting

- Operation and Engineering Technical Services (OETS)

- Drilling Services

- Supply and Logistics

- Computing and Communication (IT)

The old HD unit and Finance unit are fully supportive of the new organisational structure with devolved units in the Product Flow and Service groups and the larger service assets such as Drilling and Supply and Logistics.

The Overall Organisation

The new organisation places all oil-producing assets in the "Oil" directorate, together with the infrastructure and main oil-field services organisation. This will ensure optimal deployment of all resources across the various assets and will allow for rapid reactions to production shortfall or other unexpected events. Moreover, one uniform face to the outside world regarding oil production is guaranteed.

Growth in the new organisation is strongly driven by the Exploration Directorate which has the responsibility for Frontier Exploration, GeoSolutions and the maturation of the Athel. It is likely that new project teams, like the Athel, will be added to this organisation in case of significant discoveries outside producing areas. Focus on Gas as a new business is maintained by having a direct reporting relationship between the Gas Manager and the DMD.

One new aspect of the organisation is the formation of a corporate centre, the Corporate Affairs Directorate. PDO will be one of the first companies explicitly treating Technology as an Asset. It is felt that the combination of Economics and Planning, Technology Management and Business Improvement will generate significant synergy. Moreover, the company will move towards a more proactive approach on Public Affairs and HSE.

The new organisation is fully based on asset management principles and provides a structure which is geared towards growth and value creation, focused on technical integrity of product flow assets, infrastructure and business processes. Single-point accountability for all assets, from product flow to service provision, has been introduced and a number of management layers has been removed.

Functional Reporting Relationships

An effective functional organisation will be essential to the integrity of the business conducted by the Asset Teams and to the competence development of their staff. The functional organisation will be a virtual one, but with very concrete roles and responsibilities. It will require a reinforcement of the current roles of the Corporate Functional Discipline Heads (CFDH's).

The top of the functional organisation is the Functional Director, and the Leadership Team will comprise a representative cross-section of EP functions. In view of its size, it is likely that one member of the Leadership Team will assume two Functional Director roles.

Each business-critical discipline will be represented by a CFDH, who is a senior technical professional in the line (i.e. in the Product Flow or Service Asset teams). Thus functional responsibilities will be discharged by individuals with a dual role, and the CFDH's will derive their authority and credibility from their position in the line.

Normally, a CFDH will not be a Product Flow Asset Manager, although this may be so initially in the transition between the old and new organisations. In some Service Assets where line and function coincide (e.g. Drilling, IT), the role of Asset Manager and CFDH may be combined.

The CFDH's will fulfill four distinct roles, which are elaborated in the Mandate and Service level agreement (Appendices 7 & 8):

- providing risk advice to management in his discipline;

- staff resourcing and development;

- documenting & updating technical standards and ensuring the integrity of business processes;

- planning for, introduction and promotion of, discipline-specific technology

Role of the Leadership

The Directors form a Leadership Team with shared responsibility for PDO's total performance and business direction. The accountabilities and responsibilities of the Leadership Team can be summarised as:

- Being accountable for PDO total performance

- Setting strategic direction for the various components of PDO's business

- Promoting integration across Assets

- Seeking new business opportunities

- Reviewing the effectiveness of the organisational architecture

In view of the size of the PDO organisation (10 Product Flow Assets, 7 Services Assets, Corporate Centre, Finance, HR and CFDH's), it was felt that a flat structure with Asset Managers reporting directly to MD would not be workable. Therefore each Director also acts as a delegate of MD for his/her assigned portfolio of Product Flow or Service Assets.

Figure 20

Asset Managers will remain bottom-line accountable for the performance of their Assets. Conversely, Directors performance will be judged on PDO's performance and not on the performance of their delegated portfolio. The role of the Directors is therefore one of enabling rather than controlling, of integrating rather than isolating.

Each Director will also have a Functional responsibility, allocated according to his / her experience in such a way that all business-critical disciplines are covered by the Leadership Team. The roles of the functional organisation are described in section 4.4.

In both his / her portfolio and functional responsibilities, the role of the Director is to:

- Set & review functional & portfolio strategy

- Set & review challenging performance targets for Asset Managers (as MD delegate) and CFDH’s

- Provide technical leadership, challenge and act as consultant to Asset Managers & CFDH’s

- Promote technical excellence, lateral learning & professional values

- Define policies and endorse proposed codes of practice & standards

- Chair the relevant Asset Managers' forum(s)

- Facilitate performance optimisation with Asset Managers

- Resolve issues of resource allocations between Asset Managers

- Stimulate motivation, resource sharing, joint ownership of PDO goals

- Maintain an external focus, with Government, suppliers & contractors, the community and general public

The Directors will be supported in these responsibilities by Corporate Planning & Economics, who will compile the Corporate business plan and measure its performance, CFDH’s and their Discipline Experts, the HR organisation, the Technology Asset Manager and the Business Improvement Manager.

Assets Manager Mandates

An essential element of asset management is that the asset managers are directly and single-point accountable to the managing director for the performance of their asset. This accountability is wholly exercised through the mandate, which makes all requirements and controls on the asset manager both transparent and consistent. It stipulates the main items expected of each asset manager and the degree of freedom that he has in the execution of his business. This section describes the basic of elements of the mandates as adopted for PDO from SIEP report 97-5502 issued on June 1997.

Figure 5

A mandate consists of six elements. Some of these six elements already exist in PDO as independent documents that apply to every asset and every asset manager. Direction and strategies are currently addressed in the Corporate Management Framework (CMF). Policies and authorities are covered in the Corporate Policy Manual and the Manual of Authorities. On the other hand, targets and budgets are asset-specific and will be specifically described in the mandates. Service providers will maintain zero budgets by tariffing costs to users of the services. The structure of the mandates is fixed and consists of four sections. However the targets and budgets in the mandate will be reviewed annually.

Learning Organisation – A sharing

The new organisation places substantial emphasis on the performance of its major assets, for which the Asset managers have single-point accountability. The focus on Assets must be balanced by co-operation and flexibility amongst the Asset teams, in order to promote sharing, learning and consistency.

The Asset Managers Forum will be an important vehicle for promoting the sharing of knowledge and resources, and a role model for encouraging this amongst staff. However, it is recognised that the transformation process will require a proactive approach involving all staff.

Organisational Culture in PDO

Culture is an important factor in the art of management, because for any organisation to operate effectively it must for some extent have a general set of believes and assumptions. Because understanding the term of the culture metaphor helps organisations to be aware of how employees are thinking about the organisation phenomena, and to recognize how different attitudes, value and beliefs affect the workplace.

Understanding and assessing the national culture and organization's culture can mean the difference between success and failure in today's fast changing business environment. Cultural assessment can provide measurable data about the real organizational values and norms that can be used to get management's attention. Though, it can be said that the basic assumption, values and norms drive practices and behaviours. Hence when a “culture” is created it becomes a driving force for the shape and scope of the organisation.

The framework for national culture has been developed by researcher such as (1980). While the respective merits and drawback of different framework are widely discussed, the basic module of culture can be seen as a helpful framework to illustrate the major issues that need to be considered in change process.

According to(2001), culture is inseparable form the nation of human society which makes defining it a complicated task. As a result, there are many definitions for culture. ( 2001) define culture as “an integrated system of learned behaviour patterns, characteristic of the members of any given society”. In addition (1991) identifies culture as “collective programming of the mind”.

Therefore, the culture environment is one of the important principles that influence the organisation as shown in the diagram. (1991) identifies that there are four dimensions that differentiate cultures at a national level (these are power distance, Individualism-Collectivism, Masculinity-femininity, Uncertainty avoidance), which help to understand that people arrive to organizations with their own national culture.

Therefore, it is only necessary to understand the relation between business environment and its culture. For that reason (1976) identifies two classifications of culture that have an impact on business activity, the “High Context Culture” and the “low context culture”. The high context culture have a very high prevailing homogenous view on nationality, religious values and beliefs (Hall, 1976) (such culture can be found in Japan and Arab countries); the context of communication is more valued such as body language and gestures. However in the low context culture, communication context is more of formal written records, such culture can be found in the UK and USA.

National Culture Dimensions

Building on research, (1980) investigates the influence of national culture on organisational behaviour, and he identifies four dimensions of culture, named as (power distance, Individualism/collectivism, Masculine/Feminine, Uncertainty Avoidance).

The first dimension is power distance. As defined by (1991), power distance “is the extent to which the less powerful members of institution and organizations within a country expect and accept that the power is distributed unequally” ( 1991). Therefore, according to (1991), power distance indicates to what extent the society accepts the centralized power from the superior, it distinguishes the relation between subordinate and superior. The research shows that countries such Japan, India, Arab countries are having a high power distance. Whereas countries such as USA and UK are having a lower power distance. The chart above indicates that Arab countries are having high power distance compared to UK. (1991)

The second dimension of culture is Individualism/collectivism. This dimension refers to the role of the individual and group whose interest prevails over the others. The collectivism culture is usually observed in high context communication countries similar as the one proposed by (1976), where employee and employer relationship is defined in moral terms. Whereas the individualism countries have low context communication, and the relationship between the employer and employee is passed on mutual advantage.

According to (1991), collectivism is likely to appear in high power distance countries, and the collective dimension is refer to the “we” group in the source of identity, loyalty and dependent relation (1991). In this cause the people in this culture integrate into strong cohesive groups who protect themselves and demand loyalty throughout lifetime. The collectivism culture can be found in Ecuador, Pakistan, Arab countries etc, where there are large families, close relationship, and where conflict is minimized. Therefore people who deviate from this norm are considered as a bad or weak character.

Therefore, individualism dimension distinguishes countries in which employees are determined by their individual action. Thus individualist can be found in a small power distance. (1991) research shows that USA ranked as the highest individual culture and Britain third; accordingly he defines individualism as “pertains to societies in which the ties between individuals are loose”. Moreover, in the individualist culture the interest of the individual is over those of the group. As they are characterized by individual and personal characteristics rather than group, the ties between individuals are very loose, and everyone is expected to look after him/herself. In this cause, the individualism culture is more regarded to assertiveness, trust and high conflict, and the self actualisation is the goal, as shown in the chat that Arab countries scored an average of (38) compared with USA scored of (91). (1991).

The third culture dimension is masculinity/femininity. (1991) refers the masculine dimension to “male achievement” as it emphasizes assertiveness characteristics which associated with high earning, recognition for a good job, advancement and challenge to have personal accomplishment.

As illustrated by the research, societies where gender roles are clearly distinct, material success, progress and money are the most dominate values. The top two ranking masculine countries are Japan (95) and Austria (79). Consequently, in these countries, men are supposed to be assertive, ambitious, and tough where women tend to take care of relationship.

However, refers the feminine society as having a modest characteristic where there is a good working relationship and cooperation. Similarly, in this dimension, there is a desirable living area for family and employment security, and the roles are merged between both men and women. ranked Sweden and Norway as the most feminine society. In these countries, the dominating value is caring for others and the relationships seem to be more important. As a result there is less conflict in the society and everyone seems to be modest.

The final culture domination identified by is uncertainty avoidance, which he defines as “the extent to which the members of a culture feel threatened by uncertain or unknown situation” (1991). There are two types of uncertainty avoidance culture: either strong or a weak. The strong uncertainty avoidance creates high anxiety. (1991) suggests that an “uncertainty avoidance” society tends to believe that there is one truth, and show its emotions to others by expressing itself. This kind of society is aggressive. Such culture can be found in Israel and Asian cultures like those of Japan and Taiwan. As a result, countries with high power distance and collectivistic tend to be high on uncertainty avoidance.

On the other hand, the week uncertainty avoidance culture is not inclined to express their emotions and aggression. So this society has a low anxiety level and according to (1991), a significant number of people in this type of culture suffers from heart diseases due to their repressed feelings. In addition, they consume high amounts of caffeine (i.e. tea and coffee) to reduce stress, as is highly evident in UK and Sweden.

However, (2000) argue that research in uncertainty avoidance is not prefect. He goes on to illustrate that “Singapore measures as a weak in uncertainty society, however the country functions under a governance system which provides high regimentation and stability for its citizens, this system tends to be more common in high uncertainty avoidance cultures”. (2000)

3. Aspects of Literatures

Organisational Change

Typically, the concept of organizational change is in regard to organization-wide change, as opposed to smaller changes such as adding a new person, modifying a program (1999). Examples of organization-wide change might include a change in mission, restructuring operations, new technologies, mergers, major collaborations, "rightsizing", new programs such as Total Quality Management, re-engineering, etc. Some experts refer to organizational transformation (1999). Often this term designates a fundamental and radical reorientation in the way the organization operates (1999).

The basic tension that underlies many discussions of organizational change is that it would not be necessary if people had done their jobs right in the first place (1999). Planned change is usually triggered by the failure of people to create continuously adaptive organizations (1996). Thus, organizational change routinely occurs in the context of failure of some sort (1999). A typical storyline is "First there were losses, then there was a plan of change, and then there was an implementation, which led to unexpected results" ( 1996).

According to (1999), representative descriptions of change vary with the level of analysis. At the most general level, change is a phenomenon of time ( 1994). In reference to organizations, change involves difference "in how an organization functions, who its members and leaders are, what form it takes, or how it allocates its resources" (1993:). From the perspective of organizational development, change is "a set of behavioral science-based theories, values, strategies, and techniques aimed at the planned change of the organizational work setting for the purpose of enhancing individual development and improving organizational performance, through the alteration of organizational members' on-the-job behaviors" (1992).

The concept of Organisational Change

There is no right way of effective change. According to (1996), there is “No Best way to manage change”. An organisational change comes in different shapes, sizes and forms. Thus it is difficult to establish an accurate picture of a successful change management ( 1996). However, According to (1995) there are three main components for organisational change that collectively lead to improve business performance:

- Creating a shared mindset;

- Building competencies/capabilities;

- Changing corporate culture

Moreover, change must be managed to enable the competitive position of the business to be refocused. At this instance, change becomes a fundamental need not an option (1995). Nevertheless, organisational change requires a clear vision of the firm’s new strategy and the shared values needed to make it work by managing it from the top down. Leadership by example is combined with organisational adaptations and changes e.g. systems, structure etc.

Types of Organisational Change

Organisational change can and has been classified in various ways, the approaches to change can be distinguished by their concentration on individual, group and organisation wide issues (1996). This leads to two main approaches of change management: planned change and emergent change (1996). (1999) argues that the market becomes increasingly globalise, therefore change becomes more pervasive, and businesses are now entering into a new phase in which sustainable business performance is perceived. There is no doubt that the flow of capital and economic activity around the globe is extremely powerful and increasing, and business need to adapt for those changes to survive. Thus there is considerable disagreement regarding the most appropriate approach to change, according to (1996) neither planned approach or emergent approach is suitable for all change situations. Thus there are several methods that can help analyse organisational change.

(2002) suggest four types of changes that help to shape the way public and private originations operates. As shown in the table (2), they argue that most changes have been driven by technological factors which has a strong influence on other environmental factors i.e. economic, political and social factors.

Table: 2 : Types of Change

Difference

Speed

LITTLE

BIG

SLOW

Emergent

Transitional

FAST

Incremental

Transformations

Source: ( 2002)

Fundamental organisational change represents discontinuity as described by third type of change “discontinuous change” ( 2002). It is a long-term, complex and uncertain notion inasmuch as an organisation’s culture is the amalgamation of its people’s attitudes, beliefs and behaviours.

The notion of managing organisational change consists of five major areas that need to be heeded whenever any change is considered in an organisation (1998);

i) Organisational Culture

ii) Change models

iii) Change Strategies

iv) The Cultural web; and

v) Resources and competitive advantage

Change normally arises from an organisation’s corporate culture’s misfits with the external environment of which can cause difficulties or even prevent a change of external focus to take place. Change by drastic action, a revolutionary change or what described by (2002) as “frame-breaking change” is discontinuous and often forced on the organisation or mandated by top management. A phenomenon that occurs suddenly but more often than not requires time, commitment and the patience to endure (2001), is a necessary condition for a fundamental attempt for strategic change (1995).

( 2002) categorised change in 4 types:

- Fine Tuning: ongoing process

- Incremental Adjustment: distinct modifications but not radical change

- Modular Transformation: Radical change focus on subparts of the organisation

- Corporate Transformation: revolutionary change thought-out the whole organisation.

However as different literatures reviewed different types of organisational change, the below table (3) shows those different types of changes that might related to certain environmental conditions (2002)

Table 3:- Environmental conditions and types of change:

Environmental forces for change

Types of Change

(1990)

(1996a)

(1996)

(1998)

(1993)

(1996)

Predictable

Weak

Close to certainty

Converging (fine-tuning)

Fine- tuning

Smooth incremental

Closed

Forecastable by extrapolation

Moderate

Close to certainty

Converging (Incremental)

Incremental adjustment

Contained

Predictable threats and opportunities

Modular transformation

Bumpy Incremental

Partially predictable opportunities

Strong

Corporate transformation

Unpredictable

Surprises

Far from certainty

Discontinuous

Open ended

Source: Senior (2002) “Organisational Change”,

Another classification suggests two distinct fundamental process of change: planned change and emergent change (1996) (2002). Planned change is commonly considered as the process suggested by Organisation Development (OD) (1996; 2001). There are three major theories of planned change a) Lewin’s change model b) action resource model and C) contemporary action research.

According to (2001) a general framework of planned change can be seen in fig 1, which shows the components of diagnosis, Planning and implementing change (action) and Evaluating and Institutionalising change (program management).

Fig 1 – Framework of Planned Change

Moreover the planned approach initiates form inside the organisation to deal with environmental demands and the change process is sequential (1996). Whereas emergent change stems from continuous improvement and learning organisation theory. This approach initiates opportunity in ongoing activity within the organisation and it is seen as driven by “bottom-up” process (1996).

However the two approaches appear to have some striking similarities (1996). The distinction between them is not cut-off ( 2002) and both approaches share common difficulties. The planned change assumes organisation that operates in stable environment (1996). It heavily focuses on management view or the “single view” ( 2002). On the other hand, the emergent approach assumes organisation that operates in turbulent environment. This approach has a little control over its environment,(Fig. 2). The PDO corporate-transformation scale can be seen as a planned change because the company set is “top-down” and the oil environment is fairly stable environment. According to (1996) the oil companies such as PDO can be described as a “Bet-your-company culture” which is described by high risk and slow feedback culture. As the company invests millions in large-scale project, it takes a long-time for action and decision. As a result the decision making tend to be top-down similar as described by (1979) role culture. However, one cannot distinguish the difference between planned and emergent changes. In many respects both approaches can be equally valid and applied to different organisation circumstances. The next step is to analyse the change management.

Strategies of Organisational Change

There are two basic strategies to facilitate change in organisations: the “transition” and “transformation” strategies ( 1986). The first is widely known and is more utilized because it is goal-oriented. In this strategy, the change efforts are focused on managing the transition from a present state into a new state that is already known. The second, on the other hand, which is less known and less developed, focuses on transformation processes. The transformation strategy is a process-oriented strategy in which the main efforts for change are focused on consciousness raising and processes like understanding present.

(1983) states that “In situations where clients have a clear future state in mind, like reorganization…the transition management process is used to achieve or implement that desired state. Its focus is over a set period of time, at the end of which the ‘future’ becomes the ‘present’ way of operating”.

The transition strategy takes into account human as well as formal structural needs of the system as the implementation proceeds. The change process has a greater emphasis on the entire system (1986). The transition strategy is future-oriented for it only focuses on practical issues related to implementing the desired state. This strategy is analytical, rational, and pragmatic in nature. Its primary goal is to know the impact of the future state on the present state, and deducing what action steps need to be taken.

On the other hand, the words "spirit," "spirituality," and "energy" are key elements in describing organisational transformation ( 1986). (1983) describes organisational transformation as follows a basic change in the organisation energy.” (1984) also claim that the main emphasis of the transformation strategy is on the organisation's purpose and vision, and the alignment of members with these elements. A vision created out of the organisation’s and individuals' needs tends to "pull" the organisation toward its fulfillment.

Therefore, the main components of the transformation strategy are not inclined to forms nor to structures. On the contrary, they are abstract, fluid, and dynamic elements that are hard to define and deal with. These elements are the organization unconsciousness, energy, spirit, spirituality, mission, purpose, vision, belief systems, worldview, myths, symbols, paradigm, and state of being.

According to (1986), the transition and transformation strategies are not mutually exclusive. In any organizational change, they are used as mixed strategies or one after the other, depending on the organization situation, the manager, or the consultant. But because of their different methods and approaches, transformation strategies are more useful for facilitating the first phases of the change process, while transition strategy is more useful for facilitating the later phases of the process.

Five Configuration

According to , an organization's structure is largely determined by the variety one finds in its environment. For environmental variety is determined by both environmental complexity and the pace of change. As seen in Table 4, there are four types of organizational form, which are associated with four combinations of complexity and change.

Table 4. Environmental Determinants of Organizational Structures

In explaining each of the four organizational forms, defines five basic organizational subunits.

Figure 3. Five Basic Organizational Subunits

In these subunits, the strategic apex is represented by the Board of Directors and Chief Executives. The technostructure on the other hand is represented by those involved in Strategic Planning, Personnel Training, Operations Research and Systems Analysis and Design. The Support Staff is composed of the Legal Counsel, Public Relations Officers, Payroll and Mailroom Clerks, and Cafeteria Workers. The Middle Line consists of the VP Operations, VP Marketing, Plant Managers and Sales Managers. Finally, the Operating Core involves Purchasing Agents, Machine Operators, Assemblers, Sales Persons and Shippers ( 2003).

Each of the four organizational forms in scheme depends on fundamentally different mechanisms for coordination. According to (1979), the glue holding organisational structure together involves mutual adjustment, direct supervision, standardisation of work processes, standardization of work outputs, standardisation of skills and standardisation of norms. Figure 4 illustrates the basic mechanisms of coordination

Mutual adjustment is the co-ordination of work by process of informal communication. Here, the control of work rests in the hands of the 'doers'. The success in mutual adjustment depends on groups/teams of specialists adapting to each other along an uncharted route. In direct supervision, the organisation outgrows its simplest state. Co-ordination is practiced by taking responsibility for the work of others.

On the other hand, the standardisation of work processes is needed when the content of work is specified for in the program. Here, the routinisation and bureaucratisation of processes is commonplace in business. Routinisation and bureaucratisation may reduce opportunities for independent action and creative expression but for those delivering and those receiving the results of routinisation the benefits are substantial in every aspect of life.

Skills and knowledge are standardised through education and training before or after joining the firm. Where an organisation invests in systematic training not only policies, rules and values are being conveyed but also standard ways in which skill should be applied.

Furthermore, work results can be specified by performance dimensions, conversion ratios, profitability and cost indicators, time. Therefore, unlike the skills and knowledge, the result can be standardised.

Figure 4.

makes use of his own classification of organisational types (1988): the Simple Structure, Machine Bureaucracy, Divisionalized Form, Professional Bureaucracy and Adhocracy (see Fig. 5).

An organisation with a simple structure does not have an elaborate, formal arrangement of reporting relationships (1988). Because of its "structure" and coordination/control, it enables the organisation to respond quickly to environmental demands. As a result, work relationships are more fluid and there is a small, centrist management hierarchy. Moreover, there are few functional specialists. People doing core operational tasks are often interchangeable. The division of labour is looser with people carrying out multiple roles. Finally, there is less role differentiation.

The Machine Bureaucracy is exemplified by large structures such as an airline or a hotel chain. These structures are managed as integrated, regulated systems which make use of specialised, routinised methods and tasks, formal operating procedures governed by well defined rules and regulations and the formal organisational communication systems are well-developed to ensure communication flow between operational units (1979). In addition, tasks are grouped on functional lines and the decision-making powers are more centralised.

As stated earlier, the standardisation of skills and values is one of the glues that bind a Professional Bureaucracy together. It is typified by a collegiate of academics in a university, a practice of doctors, a partnership of solicitors and a trumpet of volunteers. It may also show signs of machine bureaucracy and adhocracy but for typology purposes the Professional Bureaucracy reflects "standardisation with decentralisation" (1979).

’s Adhocracy is represented by smaller scale and fluid structures. Here group of line managers, staff and operating experts come together most of the time in small product, customer or project-focused teams. Informal behaviour and high job specialisation are its characteristic. Teams rely on liaison methods and mutual adjustment between themselves and other teams. Teams have their terms of reference by more senior management and a team's scope for action and membership may run counter to the command structure of the rest of the organisation e.g. a machine bureaucracy.

Figure 5.

Managerial Roles According to

What is a managerial role? (1973) concludes that a role is a set of certain behavioral rules associated with a concrete organization or post. Thus, in addition to functions of management as parameters of managerial activities there appeared one more unit - managerial role. (1973) classified the roles into three groups- interpersonal, informational and the managerial proper.

Concept, Nature, Classification and the Framework of Managerial Roles

(1973) concluded that a manager's work could be described in terms of ten job roles. As managers take on these roles, they perform the above functions. These ten roles consist of three interpersonal roles (figurehead, leader, and liaison), three informational roles (monitor, disseminator, and spokesman), and four decisional roles (entrepreneur, disturbance handler, resource allocator, and negotiator). Table 5 and Figure 5 show the managerial roles according to .

Table 5.

Managerial Roles According To

Interpersonal roles.

Description of actions

Examples from managerial practice requiring activation of corresponding roles

1. Figurehead

Symbolic leader of the organization performing duties of social and legal character

Attending ribbon-cutting ceremonies, hosting receptions, presentations and other activities associated with the figurehead role

2. Leader

Motivating subordinates, interaction with them, selection and training of employees

Virtually all managerial operations involving subordinates

3. Liaison

Establishing contacts with managers and specialists of other divisions and organizations, informing subordinates of these contacts

Business correspondence, participation in meetings with representatives of other divisions (organizations)

Informational roles.

1. Monitor (receiver)

Collecting various data relevant to adequate work

Handling incoming correspondence, periodical surveys, attending seminars and exhibitions, research tours

2. Disseminator of information

Transmitting information obtained from both external sources and employees to interested people inside the organization

Dissemination of information letters and digests, interviewing, informing subordinates of the agreements reached

3. Spokesperson

Transmitting information on the organization’s plan’s, current situation and achievements of the divisions to outsiders

Compiling and disseminating information letters and circulars, participation in meetings with progress reports

Decisional roles.

1. Entrepreneur (initiator of change)

Seeking opportunities to develop processes both inside the organization and in the systems of interaction with other divisions and structures, initiates implementation of innovations to improve the organization’s situation and employee well-being

Participation in meetings involving debating and decision making on perspective issues, and also in meetings dedicated to implementation of innovations

2. Disturbance handler

Taking care of the organizations, correcting ongoing activities, assuming responsibility when factors threatening normal work of the organization emerge

Debating and decision making on strategic current issues concerning ways of overcoming crisis situations

3. Resource allocator

Deciding on expenditure of the organization’s physical, financial and human resources

Drawing up and approving schedules, plans, estimates and budgets; controlling their execution

4. Negotiator (mediator)

Representing the organization in all important negotiations

Conducting negotiations, establishing official links between the organization and other companies

According to (1973), the informational roles link all managerial work together; the interpersonal roles meanwhile ensure that information is provided; and the decisional roles make significant use of the information. The performance of managerial roles and the requirements of these roles can be interchangeably played at different times by the same manager and to different degrees depending on the level and function of management (1973).

Figure 5.

According to ’s Managerial Roles (1973), in the figurehead role, the manager represents the organization in all matters of formality. Here, the top-level manager is responsible for the legal and social representation of the company to those outside of the organization. Moreover, the supervisor represents the work group to higher management and vice versa. In the liaison role, the manger interacts with peers and people outside the organization. The manager who assumes this role uses the liaison role to gain favors and information, while the supervisor uses it to maintain the routine flow of work. Finally, the leader role defines the relationships between the manger and employees.

Furthermore, in his Managerial Roles, (1973) states that the direct relationships with people in the interpersonal roles place the manager in a unique position to get information. The manager who assumes the monitor role receives and collects information while it is the responsibility of the manager when taking the responsibility of a disseminator to transmit special information into the organization. Furthermore, the manager as a spokesperson disseminates the organization's information into its environment.

More importantly, it is the role of the manager to make decisions since he/she has a unique access to information (1973). In This role, the manager is an entrepreneur who initiates change; a disturbance handler who deals with threats to the organization; a resource allocator who chooses where the organization will expend its efforts; and a negotiator who negotiates on behalf of the organization.

Managerial Roles states that managers undertake activities to achieve the objectives of the organization ( 2002). As categorized by , the classic view of management depicts planning, organizing, coordinating, commanding, and controlling functions. (1994) notes a number of different and sometimes conflicting views of the manager's role. He finds that it is a curiosity of the management literature that its best-known writers all seem to emphasize one particular part of the manager's job to the exclusion of the others ( 2002).

According to (1990, 1994), these ten roles are common in all managerial jobs regardless of the functional or hierarchical level. However, differences do exist in the importance and effort dedicated to each managerial role based on job content, different skill levels, and expertise. (1990, 1994) states that managers are in fact specialists, required to perform a particular set of specialized managerial roles that are dependent upon the functional area and hierarchical level in which they work.

's role typology is frequently used in studies of managerial work ( 2002). The findings confirm that the managerial roles defined by are exhibited across functional areas and hierarchical levels. However, it has been pointed out that 's structured observation methodology, which was used to derive the roles, has some limitations such as sample size, reliability checks, coding method, and external validity ( 1993). To reduce these limitations, a number of studies were conducted modifying and extending 's work using heterogeneous samples of senior-level executives and different methodologies (2002).

3.2.2 The Arab Culture and Management

Many researchers have attempted to understand the Arab management style ( 2001). Some of them is who have tried to delineate the main characteristics of management organisation and behaviours in Arab countries ( 2001). Others have studied Arab management and behaviour within specific national cultures (2001).

(1991) study of comparative management and the differing impact of cultural functions is widely used to position arguments about cultural differences in management behaviours and has introduced some important distinctions. (1991) uses the notion of “context”, meaning, a context dependent culture is one in which the culture itself is significant. This has been discussed in previous section.

In terms of some of the other dimensions measured by (1991), the Arab countries fall half way between the extreme positions. On “individualism/collectivism” the Arab countries are mid-way between the highly westernised countries which rate strongly on individualism, and the Latin American societies who rank at the other extreme. In terms of “masculinity and femininity”, the Arab countries rate as moderately masculine, whereas Japan and some of the Latin countries rate very highly on masculinity.

The strong emphasis in Arab culture on masculine role attributes is mediated by the requirement to have good working relationships with one’s direct superior, to work with people who cooperate well with one another, to live in an area appropriate to one’s self image, and to have employment security so that one will be able to work in the interests of one’s family, for one’s enterprise, as long as one wishes ( 2001).

These are seen by (1991) as feminine and “high relationship” attributes. The Arab countries also rank in the middle on “uncertainty avoidance.” They do not typically feel threatened by uncertain or unknown situations but neither do they wish to be assimilated towards them. Arab countries rank strongly in their emphasis on the importance of strong kinship and interpersonal networks ( 2001).

CHAPTER 4

METHODS AND PROCEDURE

This chapter shall discuss the research methods available for the study and what is applicable for it to use. Likewise, the chapter shall present how the research will be implemented and how to come up with pertinent findings.

Method of Research to be Used

To come up with pertinent findings and to provide credible recommendations, this study utilizes two sources of research: primary and secondary. Primary research data will be obtained through this new research study. Questionnaire survey and in-depth interview will be conducted. On the other hand, the secondary research data will be obtained from previous studies on the same topic.

This research will base its findings fundamentally through quantitative research methods because this permits a flexible and iterative approach. During data gathering the choice and design of methods are constantly modified, based on ongoing analysis. This allows investigation of important new issues about the acquisition and questions as they arise, and allows the investigator to drop unproductive areas of research from the original research plan. In a quantitative research design, associations between variables and causality are established. Thus the correlation between the choice of an insurance plan and the minimization of business risks in terms of asset and capital protection will be determined.

The data collection instrument will be a structured questionnaire that will be based on Likert scale. A Likert Scale is a rating scale that requires the subject to indicate his or her degree of agreement or disagreement with a statement. By rating scale we mean the scales that are usually used to measure attitudes towards an object, the degree to which an object contains a particular attribute, (Like or dislike), toward some attribute, or the importance attached to an attribute.

The use of the questionnaire will provide the project owner the ability to test the views and attitudes of the respondents. The distribution and collation methods to be used to manage the questionnaire process will ensure anonymity. The general population for this questionnaire will be composed of 35 personnel of the PDO.

For this research design, the researcher will gather data, collate published studies from different local and foreign universities and articles from Business Management journals; and will make a content analysis of the collected documentary and verbal material. Afterwards, the researcher will summarize all the information, make a conclusion based on the hypotheses posited and provide insightful recommendations on organizational change.

Respondents of the Study

The general population for this study will be composed of 35 selected personnel in PDO. The respondents are all males. Information about these respondents are further explained in the next chapter.

Instruments to be Used

To investigate up to what extent to which formal changes in management systems and role prescriptions have affected managers, the researcher will prepare a questionnaire. The respondents will grade each statement in the survey-questionnaire using a Likert scale with a five-response scale wherein respondents will be given five response choices. The equivalent weights for the answers will be:

Range Interpretation

4.50 – 5.00 Strongly Disagree

3.50 – 4.00 Disagree

2.50 – 3.49 Uncertain

1.50 – 2.49 Agree

0.00 – 1.49 Strongly Agree

Statistical Treatment of the Data

When all the survey questionnaire will have been collected, the researcher will use statistics to analyse all the data.

The statistical formulae to be used in the survey questionnaire will be the following:

1. Percentage – to determine the magnitude of the responses to the questionnaire.

% = -------- x 100 ; n – number of responses

N N – total number of respondents

2. Weighted Mean

f1x1 + f2x2 + f3x3 + f4x4 + f5x5

x = --------------------------------------------- ;

where: f – weight given to each response

x – number of responses

xt – total number of responses

The researcher will be assisted by the SPSS in coming up with the statistical analysis for this study.

CHAPTER 5

PRESENTATION, INTERPRETATION AND ANALYSIS OF DATA

This chapter presents the data gathered from the questionnaire conducted by the researcher for the Petroleum Development of Oman (PDO). The study includes the detailed information about the survey and the respondents in general. This includes the Drop out Rates and View/Completion Rates i.e. 40.45% for the completed rates and 83.15% for the started rates from the 89 overall viewed rates. The findings of the study are presented in several sections. Part One presents the profile of the respondents of this study. Part Two talks about the interpersonal roles of the manager. Part Three states the informational roles of the manager. Part Four states the decisional roles of the manager. Finally, the study investigated to the extent to which these formal changes in management systems and role prescriptions have resulted in change in work behavior and job satisfaction experienced by managers. This is the manner unto which the study accounts the factors and the perception on the criteria themselves.

The conduct of this study entails a detailed account of the demographic profile of the respondents. It is assumed that the attributes of the respondents influence their behavior and answers on the survey questions. The study covers the analysis of management development within the Omani national culture and organisation culture of Arab management concept, and how the organisational change can influence the management roles.

Part 1

Q1. What is the characteristic profile of the respondents in terms of:

a. Age

b. Gender

c. Educational Attainment

d. Departments/Positions

e. Number of years in managerial position (including the years before affiliated with PDO)?

The profile of the respondents is looked upon in terms of age, gender, educational attainment, position and number of years in managerial position.

1.1 Age

Table 1 Figure 1

Which Age group you in?

# Answer

Frequency

Percentage

Less than 25

0.00%

26 - 30

2.86%

31 - 35

14.29%

36 - 40

5.71%

41 - 45

40.00%

46 - 50

20.00%

51 - 55

11.43%

56 - 60

5.71%

60 +

0.00%

Total

100%

Mean: 5.171

Mean Percentile: 53.65%

Standard Deviation: 1.445

Table 1 shows the age range of the respondents. Figure 1 also presented the age group in pie chart. Forty percent (40%) of the respondents were between 41- 45 years old, showing that most of them were already an experienced person in the job. Twenty (20%) of the respondents were between 46-50 years old. Respondents’ aged 31-35 comprised fourteen percent (14%) of the overall respondents, comprising mostly of the employees in PDO. The table also shows the close percentage of the ages 26-30, 36-40, and 56-60, which is 2.86%, 5.71% and 5.71% respectively. The survey also includes the 11% of the respondents with ages between 51-55 years old. The table also indicates the mean score or the mean percentage of the ages that is 5.171. The mean 5.171,mean percentile 53.65% and standard deviation 1.445 indicates that the most dominated score in terms of age lies in the 5th row which is in the 53.65% of the 100% respondents and a dispersion from the mean of 1.445.

Table 2

Gender of the Respondents

Gender:

# Answer

Frequency Percentage

Male

100.00%

Female

0.00% Total

100%

Mean: 1.000

Mean Percentile: 100.00%

Standard Deviation: 0.000

The sample populations’ gender depicts an unequal distribution of the sexes. The above table shows the total respondents based on their gender. The survey results indicate that 100% of the respondents are male. Based on table 2, there is a reason to believe that male is the biggest factor in Petroleum Development of Oman (PDO) in terms of managerial roles.

Table 3

Educational Attainment of the Respondents

Educational Attainment:

Answer

Frequency

Percentage

Some Secondary School

6.52%

College

13.04%

University

52.17%

Post Graduate

21.74%

Other

6.52%

Total

100%

Mean: 3.087

Mean Percentile: 58.26%

Standard Deviation: 0.939

Figure 2 Figure 3

Table 3 shows the educational attainment of the respondents. 52.17% of the 46 respondents are graduated from the University. Then followed by the respondents who are in the Post Graduate status i.e. 21.74%. There are a close percentage of the respondents in terms of their educational attainment, which is 6.52% for Some Secondary School, 13.04% for College and 6.52% for other statements. Educational attainment of the respondents is also presented in figure 2 and 3.

Table 4

Departments of the Respondents

Which of the following is your Department?

Frequency

Percentage Exploration Department

14.29%

Finance Department

20.00%

Human Resource Department

20.00%

Oil Department (North)

11.43%

Oil Department (South)

22.86%

Technical Support

8.57%

HSE

0.00%

Other

2.86%

Total

100%

Mean

3.49

Standard Dev.

1.77

Variance

3.14

Mean Percentile

68.93%

Figure 4 Figure 5

Table 4 presented the departments of the respondents. Figures 4 and 5 are also presented in order to recognized easily the dominant factor in terms of departments. The table and figures show that there is a close percentage between the Finance Department and Human Resource Department that is both 20% of the 35 total numbers of respondents. Based on the data gathered, the most influenced factor is the Oil Department (South) with 22.86% of the respondents.

Table 5

Number of Years of the Respondents in a managerial position (including the years before they are affiliated with PDO)

How long have you been in a managerial position (including the years before you were affiliated with PDO)?

# Answer

Frequency

Percentage

Less than a year

5.71%

1 - 5 years

31.43%

6 - 10 years

34.29%

11 - 15 years

22.86%

16 - 20 years

5.71%

More than 20 years

0.00%

Total

100%

Mean: 2.914

Mean Percentile: 68.10%

Standard Deviation: 1.011

Figure 6 Figure 7

The table above shows the number of years of the respondents in managerial position. 34.59% of the respondents are in the bracket of 6-10 years in managerial position. Followed by 1-5 years that is 31.43% of the respondents. The computed mean is 2.914 which is in the 3rd row of the table and signifies that the mean score is located in the bracket of 6-10 years.

Part 2. Interpersonal Roles of the Manager

Table 7

Weighted Mean

Interpretation

1.I am aware that ceremonial and symbolic duties such as greeting visitors in the company is a part of my job.

1.771 Agree

2.Ceremonial duties of a manager provide a feeling of importance thus making my morale high.

2.657

Uncertain

3.Managers in the company freely exercise their figurehead roles in the organization.

2.543 Agree

4.I am aware of my responsibility in motivating my subordinates.

1.4

Strongly Agree

5.I train and provide counselling to my subordinates.

1.543

Strongly Agree

6.Communicating with my subordinates is a part of my managerial role as a leader.

1.143

Strongly Agree

7.It is also the manager’s duty to forge links both inside and outside the organisation.

1.6

Agree

8.Constant communication with both internal and external personalities of the organization is vital to maintain stability in the organisation.

1.686

Agree

9.Managers require networking skills to shape and maintain internal and external contacts for information exchange.

1.6

Agree

10.Managers need to acquire interpersonal skills in order to maintain a high morale among its subordinates.

1.429

Strongly Agree

Table 7 shows the complete summary of responses of the respondents pertaining to the interpersonal roles of a manager. Statement no. 1 has a total of nine respondents who are strongly agree, 25 for agree, one for uncertain and zero for both disagree and strongly disagree. The table also indicates the weighted mean in each statement that is statement no.1 has a weighted mean of 1.771 and interpreted as agree since the majority of the respondents agreed on that statement.

Generally, respondents agree that they are aware that they must perform ceremonial and symbolic duties such as greeting visitors in the company because it is a part of their job as managers. However, the respondents are uncertain about the statement that their ceremonial duties boost their morale and give them a feeling of importance (2.657). Despite this, they agree that managers in the company freely exercise their figurehead roles such as ribbon-cutting ceremonies and hosting functions in the organization (2.543).

The respondents express strong agreement that they are aware of their responsibility in motivating their subordinates (1.400), that they train and provide counseling to their subordinates (1.543), and that communicating with them is a part of their managerial role as a leader (1.143).

The respondents for this part agree that it is also the manager’s duty to forge links both inside and outside the organization (1.600) and that constant communication with both internal and external personalities of the organization is vital to maintain stability in the organization (1.686). Moreover, the respondents agree that managers require networking skills to shape and maintain internal and external contacts for information exchange (1.600). Finally they strongly agree that managers need to acquire interpersonal skills in order to maintain a high morale among its subordinates (1.429).

Part 3. Informational Roles of the Manager

Table 8

Weighted Mean

Interpretation

1. It is the duty of the manager to seek/receive information from many sources to evaluate the organisation's performance, well-being and situation.

1.714

Agree

2. It is also the role of the manager to build and use an intelligence system

2.057

Agree

3. Proper maintenance of information

keeps the stability of the organization.

1.6

Agree

4. It is the role of the manager to the bring external views into his/her organisation and facilitates internal information flows between subordinates.

1.743

Agree

5.The dissemination of organizational

information through memos and other correspondence is a satisfying role.

2.743

Uncertain

6. I am aware of the role of a manager as a disseminator of information.

2.086

Agree

7. Managers also inform and lobbies to organizations external to his/her own organisational group.

2.314

Agree

8.Transmitting information on the organization’s plan’s, current situation and achievements of the divisions to outsiders provide the managers the boost in their level of motivation

2.514

Uncertain

9. As a spokesperson for the organization, managers must then exude a positive disposition towards the objectives of the company.

1.657

Agree

10. Informational roles are required to be accomplished by the managers in order to maintain stability in the organization.

1.857

Agree

Table 8 indicates the complete summary of responses of the respondents pertaining to the informational roles of a manager. Statement no. 10 has a total of eight respondents who are strongly agree, twenty-four for agree, three for uncertain and zero for both disagree and strongly disagree. The table also shows the weighted mean in each statement that is statement no.10 has a weighted mean of 1.857 and interpreted as agree since most of the respondents agreed on that statement.

For the informational role of the manager, the respondents agree that every manager must seek and receive information from many sources to evaluate the organisation's performance, its well-being and situation (1.714). They also agree that they must build and use an intelligence system (2.057). Moreover, they express agreement to the statement that proper maintenance of information keeps the stability of the organization (1.600).

The respondents agree that managers must bring external views into his/her organisation and must facilitate internal information flows between subordinates (1.743). However, they are uncertain on whether to agree or disagree on the statement that the dissemination of organizational information through memos and other correspondence is a satisfying role (2.743).

The results of the questionnaire state that the respondents agree that they are aware of the role of managers as a disseminator of information (2.086). They also agree that managers should also inform and lobby to organizations outside his/her own organisational group (2.314). However, they are uncertain that the transmitting information on the organization’s plan’s, current situation and achievements of the divisions to outsiders provide the managers the boost in their level of motivation (2.514).

Finally, respondents agree that as a spokesperson for the organization, managers must exude a positive disposition towards the objectives of the company (1.657). The respondents also agree that informational roles are required to be accomplished by the managers in order to maintain stability in the organization (1.857).

Part 4. Decisional Roles of a Manager

Table 9

Weighted Mean

Interpretation

1. To improve the organisations productivity and employee satisfaction, managers have a high power distance, which in turn highlights opportunities for developments in all sub-systems within the organisation

4.029

Disagree

2. Managers in the organisation are also aware of their role as initiators of change.

2.057

Agree

3. Initiative for improvement is a satisfying aspect of managerial roles since their voices are heard in the organisation.

2.114

Agree

4. Managers are aware of their responsibility in taking corrective actions during disputes and crises.

1.857

Agree

5. Managers are also considered problem solvers.

2.086

Agree

6. The Managerial role of being a disturbance handler is a stressful job considering the generalist role it imposes on the managers.

2.6

Uncertain

7. Managers are also aware of their role in deciding on expenditure of the organisation's physical, financial and human resources.

1.829

Agree

8. Having the power to decide who gets resources, scheduling, budgeting, setting priorities keeps the satisfaction level of the managers in higher gear.

2.343

Agree

9. Representing the organisation in important negotiations is an imperative role of the manager.

1.771

Agree

10. Decisional roles of the managers are important to maintain stability of the organisation.

1.6

Agree

Table 9 shows the complete summary of responses of the respondents pertaining to the decisional roles of a manager. Statement no. 9 has a total of nine respondents who are strongly agree, 25 for agree, one for uncertain and zero for both disagree and strongly disagree. The table also indicates the weighted mean in each statement i.e. statement no.9 in table 9 has a weighted mean of 1.771 and interpreted as agree since the majority of the respondents are agreed on that statement.

The respondents for the questionnaire on the decisional roles of managers disagree to the statement that to improve the organisations productivity and employee satisfaction, managers have a high power distance, which in turn highlights opportunities for developments in all sub-systems within the organisation (4.029).

They agree that managers in the organisation are also aware of their role as initiators of change (2.057), that the initiative for improvement is a satisfying aspect of managerial roles since their voices are heard in the organization (2.114), that managers are aware of their responsibility in taking corrective actions during disputes and crises (1.857), and that managers are also considered problem solvers (2.086).

Again, respondents are unsure whether to agree or disagree on the statement that the managerial role of being a disturbance handler is a stressful job considering the generalist role it imposes on the managers (2.600).

On the other hand, respondents express agreement that managers are also aware of their role in deciding on expenditure of the organisation's physical, financial and human resources (1.829) and that having the power to decide who gets resources, scheduling, budgeting, setting priorities keeps the satisfaction level of the managers in higher gear (2.343).

Moreover, they agree that representing the organisation in important negotiations is an imperative role of the manager (1.771) and that the decisional roles of the managers are important to maintain stability of the organization (1.600).

CHAPTER 6

SUMMARY, CONCLUSIONS AND RECOMMENDATIONS

The researcher finds the necessities for a study that specifically tackles the need to improve reading skills in a training centre specializing in teaching English language. This study explores the factors to be considered in determining the need to create measures for reading skill improvement. This chapter shall summarize the entire study, present the conclusion and provide some insightful recommendations.

The study tried to investigate to the extent in which these formal changes in management systems and role prescriptions have resulted in change in work behavior and job satisfaction experienced by managers. This is the manner unto which the study accounts the factors and the perception on the criteria themselves.

6.1. Summary

This study analyses the impact of Organisational Change on managerial roles in Petroleum Development of Oman (PDO) by exploring the restructuring on the work role and work experiences. This study uses ’s analytical frameworks of Managers. Moreover, this study discusses the organisational change that happens in the company and the types of changes.

More and more organizations today are experiencing change like never before as a result of global competition which had created uncertainty for the organisations (2000). According to (1999) organizations change for their survival. For this research, PDO is the case study.

The primary objective of the study is to determine as to what extent the impact of organisational restructuring affects the managers’ roles in PDO. Therefore this dissertation will investigate into the extent to which these formal changes in management systems and role prescriptions have resulted in change in work behaviour and job satisfaction experienced by managers.

The study bases its conclusion and recommendations on the result of survey conducted to managers in PDO. This study also includes a review of literature on books and journals, and other materials about organisational change, and management roles and development.

6.2 Conclusions

On the basis of the above summary of findings in this study, and based on the review of literature, this research came up with the following conclusions:

PDO’s structure was a mechanistic structure with a central decision-making process and one-way flow of information; resulting to some negative aspects. Among its shortcomings were the improper use of the communication and decision-making channel and the difficulty in adapting this structure in PDO. Moreover, this research found that there were very strong hierarchy.

This study also found that the old management structure of PDO did not allow staff to act on their own initiatives so they were less willing to work cooperatively due to the lack of involvement in the decision making process. Moreover, it might be argued that the reason why some staff left the company was because of the heavy workload.

This study found that PDO restructured its organisation to enable the company run sufficiently and effectively. In this new organisation, this research found that PDO is now focusing on the individual attitude toward teamwork, personal values, on the ability to innovate especially in the technology and science, decision-making involvement and to adapt suitable information flows across departments.

Moreover, PDO change their structure to more task culture, to enable the flexibility, and to improve communication and understanding. PDO believes that the new system will enable the organisation to be flexible with suitable communication channel between different functions. In addition, this research found that this new structure has a decentralization process.

Furthermore, this study found that managers within the PDO are very much aware of their managerial roles. Results of the survey that manger respondents express agreements that managers have interpersonal, informational and decisional roles to fulfill. This is in support of ’s managerial roles in which these roles ensure the success of any organisation.

This study also found that management within PDO is inclined to males. This scenario supports the study by (1991) that the Arab management in general is masculine. Based on the findings of this study, most of the key positions PDO are dominated by male.

The study includes the investigation of the change in behavior and performance among managers upon the implementation of organisational change.

This research found that upon the implementation of change, managers from different departments became more aware of their roles. As illustrated by the result of the survey, their roles are not confined within the walls of their office. Instead, they perform multiple tasks from greeting the visitors to managing information to decision-making. This new organisation enables managers to have multiple roles to improve the company unit’s productivity and efficiency.

In addition, this study found that since the new organisation is fully based on asset management principles, it provides a structure which is geared towards growth and value creation. It is focused on technical integrity of product flow assets, infrastructure and business processes. Moreover, The implementation of the new organisational structure is expected to be smooth with minor or no disturbances to day-to-day activities. The new organisation is more commercial in nature, linking performance to reward at every level in the organisation. Because of this, the new organisation has built a more exciting working environment PDO staff.

6.3 Recommendations

Based on the foregoing summary of findings and conclusion, the researcher recommends the following:

1. Since the implementation of the new organisation in the PDO is relatively young, and the results so far is beneficial to the PDO, the organisation must be maintained.

2. However, this research sees some changes that must be addressed. The organization should consider hiring more women in order to balance the male-dominated PDO.

3. PDO should be aware of the nature of their organisational culture in order for them to determine what aspects of the organisation need to be evaluated.

4. PDO should recognize and understand the beliefs, attitudes and behaviors that prevalent in the working environment.

5. Since the new organisation focuses on the assets, Asset managers should promote sharing, learning and consistency.

6. PDO managers should continue practicing their three roles (interpersonal, informational and decisional) for a successful organisation.

Organisational Change on managerial roles in Petroleum Development of Oman (PDO)

0 comments:

Post a Comment

Organisational Change on managerial roles in Petroleum Development of Oman (PDO)

Next

Newer Post

Previous

Older Post

0 comments:

Post a Comment