This essay first looks at the background and current situation of a company called Mayne Nickless. It then identifies how this organisation adapts to its changing environment through organisational design and flexibility, and finally explains how cost cutting approach can be made in an objective and rational way to maintain and improve business efficiency within an organisation.
Mayne Nickless was a long-established parcel delivery service company since 1886 and became a public listed company in 1926. It was responsible for operating transportation in health care and logistics sectors. As the company became more well-known and the size of the company continually expanded and grew bigger, in the year of 2000, Mayne Nickless tookover Australian Hospital Care (AHC) with AU$380 million and henceforward, became the largest provider of private hospital beds in Australia. In 2001, Mayne also invested in pharmaceuticals and bid for the South Australian pharmaceutical company F.H. Faulding who specialised in manufacturing and distributing injectable drug.
In today's business world, each organisation is unique; therefore each organisational culture will be different. Davidson &Griffin (2006, p.88) suggests that the culture of organisation is the set of values that helps its stakeholders understand what the organisation stands for, how it does things and what it considers Important. Specifically, organisational culture can be defined as a dynamic system of shared values, beliefs, philosophies, experiences, habits, expectations, norms, and behaviours that give an organisation its distinctive character. It indicates what is important to an organisation, the way decisions are made, the methods of communication, the degree of structure, how people should behave, how they should interact with each other, and what they should be striving for.
Within Mayne Nickless, the vision started getting indistinct since there were more uncertainty and complexity in the process of meeting its objective to be debt free which...