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BBA 3rd Sem Seminar Paper: Challenges for Managers on

Org. Effectiveness
Organizational behavior (Tribhuvan University)

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PREVAILING CHALLENGES FOR MANAGERS ON

ORGANIZATIONAL EFFECTIVENESS

A Seminar paper
By
Saroj Acharya
Bachelor of Business Administration (BBA)
Exam Roll No:32007/21
T.U Registration No.7-2-31-81-2021
Third Semester
Leadership &Organization Behavior

Submitted to
Faculty of Management/ Department
Public Youth Campus
Tribhuvan University

December,2023

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DECLARTION

I hereby declare that seminar paper entitled “PREVAILING CHALLENGES FOR

MANAGERS ON ORGANIZATIONAL EFFECTIVENESS” submitted to the BBA
program, Public Youth Campus, Kathmandu is an original place of work under the
supervision of Mrs. Dr. Sushma Manandhar, faculty members, Public youth Campus,
Kathmandu, and is submitted in partial fulfilment of the requirement for the degree of BBA
third semester. This seminar paper has not been submitted to any other college for the award
of any degree.

Signature

Saroj Acharya

Date: December,2023

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SUPERVISOR’S RECOMMENDATION

The seminar paper entitled “PREVAILING CHALLENGES FOR MANAGERS ON

ORGANIZATIONAL EFFECTIVENESS” submitted by Saroj Acharya of BBA Third
Semester, section C is prepared under my supervision as the procedure and format
requirement laid by Faculty of Management, office of the Dean, Tribhuvan University, as
partial fulfilment of the requirement for the degree of BBA Third semester, Leadership and
Organizational Behavior. I, therefore, recommend the seminar paper for the final evaluation.

Signature

Name of Supervisor: Dr. Sushma Manandhar

Date: December,2023

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TABLE OF CONTENT

DECLARTION...........................................................................................................................ii

SUPERVISOR’S RECOMMENDATION..................................................................................iii

TABLE OF CONTENT..............................................................................................................iv

CHAPTER I...............................................................................................................................1

INTRODUCTION......................................................................................................................1

Background of the Study........................................................................................................1

Statement of Problem.............................................................................................................2

Objective of the Study............................................................................................................3

Methodology..........................................................................................................................3

CHAPTER II..............................................................................................................................4

DESCRIPTION AND ANALYSIS...........................................................................................4

Theoretical review..................................................................................................................4

Empirical Review...................................................................................................................9

Analyze and discussion........................................................................................................11

CHAPTER III...........................................................................................................................13

CONCLUSION........................................................................................................................13

Conclusion............................................................................................................................13

REFRENCES...........................................................................................................................14

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CHAPTER I

INTRODUCTION

Background of the Study

In today’s rapidly evolving business landscape, managers face a plethora of new challenges
within organizations. The rise of remote work necessitates the cultivation of trust and the
establishment of clear communication channels, ensuring that team members remain
productive and engaged. Technological advancements bring about the need for continuous
upskillling and the management of diverse, multi-generational workforces calls for adaptive
leadership styles. Additionally, the increasing emphasis on sustainability and corporate social
responsibility demands that managers prioritize ethical considerations alongside profitability.
More ever, navigating global markets introduces complexities in cultural understanding and
regulatory compliance. In essence, modern managers must be agile, tech-savvy, and
empathetic, while maintaining a firm grasp on their organizations core values and objectives.

In contemporary organizations, managers stand at the intersection of rapidly changing

technology, shifting workplace dynamics, and an increasingly globalized market. Task with
steering their teams through turbulent waters, they grapple with challenges that are
multifaceted and unprecedented. From adapting to the digital revolution and managing
remote teams , to understanding diverse cultural nuances and addressing the rising demand
for ethical and sustainable practices, today’s managers must constantly evolve to meet the
demands of an intricate and fast- paced business environment. This dynamic landscape
requires not just traditional management skills but also adaptability, foresight, and a deep
understanding of global trends and technological advancements.

Open communication, teamwork, and the empowerment of staff at all levels are priorities in
today's organizations. In the past few decades, there has been an enormous spike in the use of
technology and digitalization in the modern workplace. A Pew Research Center study found
that nearly half (49%) of American individuals now occasionally or regularly work from
home. Globalization, moving labor demographics, and the rise of technology and
digitalization are transforming the business landscape and posing difficulties for managers to
overcome in order to promote organizational success (Turner, 2021).

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Adapting to new software and systems, managing remote teams, negotiating cultural
differences, cultivating a culture of diversity and inclusion, and making decisions based on
data-driven insights are just a few of the problems .

Managers must be prepared with the information, abilities, and resources required to
successfully traverse these new difficulties. The nature and scope of these difficulties can be
better understood by the use of appropriate data and real-world examples, as well as the most
effective strategies and fixes that have previously been used successfully by others. In order
to help managers successfully traverse these complicated concerns, this article will examine
the new obstacles facing managers in contemporary firms and offer real-world examples,
accurate statistics, and prospective solutions.

Managers can lead team members to success, and the satisfaction of watching your team
grow as people and witnessing their wins is a great professional achievement.
But it’s not all plain sailing. When you’re responsible for the development of your employees
and the success of your team, there are tough moments along the way. The challenges of
managing a team also change with the external business environment, so even when you feel
settled into your role, it can all change very quickly.
To find out what managers are facing today, we took a look at some of the top challenges and
ways to overcome them.

Statement of Problem
The rise of technological advances, globalization, and the changing demographics of
the workforce have all contributed to a work environment that is changing quickly and
necessitates a new management style. The speed of technological change is one of the main
problems managers face. Automation and artificial intelligence advancements have presented
managers with new difficulties. Additionally, the growth of remote work and virtual teams
has posed additional communication and cooperation difficulties, necessitating the
development of managers' leadership and management capabilities in the context of varied,
dispersed teams. In addition, leaders need to be able change to the fresher generation's
increasing expectations for assistance from their employers and a work-life balance.

The study is guided by these research question:

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1. What are the prevailing challenges of managers for organizational effectiveness?

2. How do the prevailing challenges impact on organizational effectiveness?

Objective of the Study

1. To describe the prevailing challenges of managers for organizational effectiveness.
2. To describe the impact of prevailing challenges on organizational effectiveness.

Methodology
Reviewing the available literature on the subject served as the foundation for the secondary
research process for the seminar paper on "Prevailing Challenges for Managers on
Organizational Effectiveness”. This approach required gathering and examining data from a
variety of sources, including scholarly publications, novels, and online databases to compile
data about the difficulties faced by managers in contemporary firms and the solutions
employed.

Identifying reliable sources of information on the subject was the first set of performing the
secondary research. The terms “Prevailing Challenges for Managers on Organizational
Effectiveness”, in an organizations," "management practices," and "organizational behavior"
were all used in a thorough search. Academic databases like JSTOR, Google Scholar, and
EBSCO host were used in the search, along with internet resources like government websites
and business reports.

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CHAPTER II

DESCRIPTION AND ANALYSIS

Theoretical review
Modern corporate landscape is changing due to technology and digitalization, which poses
considerable management problems. In order to promote organizational success, managers
must be prepared to deal with the new and frequently complicated issues that are being
presented by the quick speed of technology innovation. In order to stay abreast of
technological changes, safeguard sensitive data, maintain workforce productivity, and
oversee remote teams, managers must overcome significant obstacles (Bagali, 2018).

Managers must stay up to date on new developments and emerging technologies in order to
make wise decisions about their acceptance and deployment inside their firm. For instance,
managers now face new challenges as a result of the development of artificial intelligence
and machine learning. They must comprehend the ramifications of these technologies as well
as how they might be applied to enhance organizational performance. It is difficult for
managers to make sure that data privacy and security policies are in place as a result of the
increasing storage and movement of sensitive information brought on by digitalization
(pulyaeva, 2019).

It is difficult for managers to make sure that data privacy and security policies are in place as
a result of the increasing storage and movement of sensitive information brought on by
digitalization (Gibaduilin, 2019).

For instance, a manager may need to put in place safeguards to protect sensitive data from
online dangers, including firewalls and encryption, or make sure that staff members are
taught on best practices for data security. For managers, integrating new software and
systems may be a time-consuming and difficult process because they have to make sure that
their workers feel comfortable utilizing these technologies and can use them effectively in
their daily job. For instance, a manager may need to teach staff members and offer them
assistance to ensure that the technology is used effectively, either train people to use a new
software system or develop new processes and procedures.

Leaders in current businesses confront fresh, difficult issues as a result of technology and
digitization. In order to successfully traverse these hurdles and promote organizational
success, managers must be provided with the knowledge, abilities, and resources they need.

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(Turner, 2021) Asserts that managers can successfully address the challenges posed by
technology and digitalization by remaining informed about technologies advancements ,
safeguarding sensitive information, maintain workforce productivity, adjusting to new
software and systems, and making data based decisions.

Modern organizations depend heavily on data analytics and decision-making because they
enable managers to take data- and insight-based decisions. 85% of CEOs, according to a
Forbes Insights survey, think data analytics are essential to the success of their company.
However, managers are facing a number of difficulties as a result of the growing reliance on
data analytics and decision making. The volume of data that is available is one of the major
issues. Organizations are now gathering and storing enormous volumes of data as a result of
the development of technology, which can be overwhelming for managers. This may result in
information overload and a failure to concentrate on the data that is actually useful and
actionable. The ability to sort through the data and concentrate on the information that is most
important to their decision-making process is a must for managers.

The requirement for specialized knowledge and abilities to analyze and understand the data is
another difficulty. Technical expertise and experience are needed for data analytics, but they
might not be readily available within the firm. To understand and interpret the data, managers
must be able to locate and access the appropriate specialists and resources, which might take
time and money (Winston, 2014).

Additionally, biased decision-making and data analytics are both possible and, if not used
properly, discrimination. Models and algorithms may reinforce preexisting prejudices,
resulting in unequal and discriminating outcomes. Managers need to be aware of these
potential biases and take action to lessen them, such as putting in place fair and transparent
data analytics procedures and making sure there is diversity in the decision-making process.

Decision-making and data analytics are now crucial management tools in contemporary
firms. They do, however, also come with a number of difficulties, including information
overload, the requirement for specialized knowledge and skills, and potential biases (Monino,
2022).

The importance of diversity and inclusion in the workplace has grown within contemporary
enterprises. A diverse and inclusive workplace can be very advantageous, but it can also
present some difficulties for managers. Communication barriers are one of the key problems.
Employees who originate from different backgrounds, cultures, and linguistic backgrounds

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may experience communication issues and misconceptions that might result in disputes,
according to (Helen Eboh Cletus, 2018).

Resistance to change is another issue. Some workers could object to adjustments made to the
workplace's culture or rules that encourage inclusion and diversity. They could feel
frightened or uneasy by novel concepts, viewpoints, or methods of operation. According to
(Roberson, 2018) managers must be able to convince all staff members of the advantages of
diversity and inclusion and allay any worries they may have.

Role of managers in an organization

The role of managers in modern organizations has undergone significant changes in recent
years, with the advent of new technologies, shifting workforce demographics, and rapidly
evolving business environments. Today's managers must be agile, flexible, and able to
effectively navigate complex and challenging situations in order to succeed. Here are some of
the key responsibilities that managers in modern organizations must fulfill:

Information leadership. Keeping up with fast evolving technology is one of the main
issues facing managers in contemporary firms. They must, therefore, be well-versed in
the technology and tools employed by their company and capable of managing their
installation and integration into the workplace. Along with leading their staff in
adjusting to new technology-driven processes and systems, managers must be able to
evaluate new technologies and determine how they might affect the organization.

Workforce Control. Managers need to be able to effectively lead remote and virtual
teams as the workforce becomes more diverse and dispersed. This calls for effective
communication abilities, the capacity to define unambiguous expectations, and a
dedication to offering staff the resources and support they require to thrive. Modern
managers also need to be aware of how employees' expectations are evolving, including
a desire to for a healthy work-life balance and must seek to provide a welcoming
workplace that satisfies these demands.

Cultural diversity competency. As globalization continues to spur the expansion of

contemporary firms, managers must possess the capacity to successfully lead and
manage diverse teams from various cultural origins. Understanding cultural differences
and being adept at navigating cross-cultural communication and collaboration are
necessary for this. When making choices, creating policies, and communicating with
staff, managers must also be cognizant of and sensitive to cultural variations.

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Administrative agility. In a company environment that is changing swiftly, managers

must be able to react quickly and successfully to new opportunities and problems. This
calls for a flexible and adaptive management approach, as well as the capacity to take
choices and put new plans into action in a timely manner. Managers need to be adept at
driving change and assisting their people in adjusting to new procedures and
frameworks.

Challenges
The world has been changed a lot in the past few decades. Today’s managers are facing a
number of behavioral issues and challenges in their organizations. Some important changes in
workplaces (recently seen) are fast changing employee expectations; decaling loyalty towards
working organization; increasing number of women, old aged employees, and minorities
among others.

In short, there are a lot of challenges and opportunities today for managers to use OB
concepts. In this section, we are going to review some of the more critical issues confronting
managers. To solve those issues, OB offers solutions or at least some meaningful insides
towards solution.

Globalization. Managing a global company possess many different challenges and

opportunities. But for our purposes, a very important consideration is how behavioral
processes differ widely across cultural and national boundaries. Values, symbol, beliefs differ
sharply among cultures. Different work norms and the role work plays in a person’s life
influence patterns of both work related behavior and attitudes toward work. They also affect
the nature of supervisory relationships, decision making styles and processes and
organizational configurations.

Workforce Diversity. Diversity refers to the differences among people. The second
important challenge today is the management of diversity. The term diversity refers to the
differences among people. Diversity may be reflected along numerous dimensions, but most
managers tend to focus on age, gender ethnicity, and physical abilities and disabilities. The
diverse groups of people at work place by addressing their different lifestyles, cultural
factors, family needs, and work styles. Managing people through single method was a fact till
the other day. But now, it is being replaced by one that recognizes the values differences
among workers in organizations.

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Quality and Productivity. The effectiveness of productive effort, measured in terms of the
rate of output per unit of input. The third competitive challenge that has attracted a high level
of attention is quality and productivity .Quality is an important issue for several reasons. The
ever increasing concern for the quality products and services has given birth to today’s
expanding buzzword ‘Total Quality Management-TQM’. Similarly, the delivery of quality
services in the ever service sector has become very critical. The challenge for managers
across the world is, therefore, to have human resources to deliver quality products and
services to the customers and clients.

Improving People Skills. Previously, world economy was based on agriculture and then it
moved towards industry based. But today, most of the developed countries economy is based
on the knowledge and service sector. Increased competition and quality awareness have
demanded high level of skills and knowledge .Employers must train and re- educate their less
skilled employee’s .Moreover, managers must become more responsive to the needs of their
skilled employees to keep them from going to work for a competitor.

Empowerment of Employees. Today, managers are bound to work as coaches, advisors,

facilitators or as team leaders so as to compete in the market place and satisfy employee
demands. The trend is towards the use of self-managed work teams, quality circles, job
enrichment, self-appraisal, and MBO. They are putting employees in charge of what they do.
And doing so, managers have to learn how to give up control and employees have to learn
how to take responsibility for their work and make appropriate decisions.

Managing Organization Change. It has been said that nothing is certain in the world expect
the change. Mangers must be prepared to introduce organizational change a compulsion, not
a choice. This has always been a concern, but the rapid, constant environmental change faced
by businesses today has made change management even more critical. Organizations have to
apply many different programs like reorganizations of departments, disposal of poor
performing units, downsizing, employee outsourcing and the like. So the managers and
employees must be prepare themselves flexible enough to cope with the change.

Improving Ethical Behavior. Another important challenge facing managers in workplace is

ethics. It is the individual’s personal beliefs regarding what is right and wrong or good and
bad. Members of organizations are increasingly finding themselves facing ethical dilemmas
(contradiction), in which they are required to define right and wrong conduct. But the

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problem is what is ethical in one organization, time or place may not be so in another
organization, time or place.

Organizational Effectiveness. Organizational effectiveness refers to the proficiency with

which an organization meets its objectives and fulfils its mission. The entails the optimal
utilization of resources, adaptability to change, and consistent alignment with the larger
strategic goals. It’s not just about achieving short-term targets but also positioning the
organization for sustained success. A blend of leadership competencies, clear
communication, efficient processes, and an engaged workforce contribute to an
organization’s effectiveness.

Empirical Review
As (Mintzberg, 1973)explains, roles are clusters of expected behavior associated with one’s
position. Because of their given position, managers put on variety of different “hats” and
assume many different roles within an organization. In his seminal work, Mintzberd (1973)
organized and defined 10 expected managerial role into three overarching categories:
informational, decisional, and interpersonal.

As (shikaloff, 2016) mention, since managers play many different roles to meet diverse
demands, it is "difficult to measure and quantify what good management actually looks like" .
It may come as no surprise, then, that an exhaustive taxonomy of managerial roles is
ambiguous and difficult to establish ( (Hales, 1986). A consistent pattern that research has
found, however, is that the level of management influences role assumptions such that
allocator, spokesperson, and figurehead roles tend to me more expected from top managers
while lower level manages are more often concerned with technical problems, staffing, and
monitoring subordinate performance (Yulk, 2013). (Laud, 2014) in an attempt to summarize
the managerial role research to date, evaluated the extent to which established managerial
role taxonomies capture the broader and dynamic experience of current managers. They
conclude that managers today, while still maintaining some of the roles and responsibilities
outlined above, are shifting from traditional models of management to a more inclusive and
relational management style. This may reflect the overall shift of the current world of work
towards a more holistic and relational employee experience (Morgan, 2017).

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When people hear change management in the workplace, their initial reaction is anxiety,
reluctance and fear mixed with some curiosity. This on its own is one of the biggest
challenges experienced by managers when managing change at the workplace. Employees are
reluctant to embrace change, which makes it difficult for managers to implement changes in
the workplace. Usually, managers face ignorance or denial from employees when
implementing changes in the workplace. Change creates anxiety and fear (G.Watson, 2019).

Change management has got different definitions. (Laig R.B.D., 2021)explains that change
management as a structured approach to transitioning individuals, teams, and organizations
from a current state to a desired future state, to fulfill or implement a vision and strategy. It is
an organizational process aimed at empowering employees to accept and embrace changes in
their current environment (Jansson, 2013)concept of the term ‘managing change’ connotes
two meanings which are 1. creating “changes in planned and managed or systematic way”
and 2. “response to changes over which the organization has little or no control”. Change is
an integral part of life, and it is difficult to control, a reason why change management has
become more challenging where it plays a vital role in every organization. Change
management has several streams of ideas which have been developed to influence the ways
of change management. According to Laig et al. (2021) change management deals with
implementing organizational strategies, structures, procedures, and technology to cope with
change resulting from internal and external factors. This infers that this approach is used by
companies undergoing a shift in vision and goal for the future. Change represents a
transformation or a realignment of the existing assets in an organization (Bucciarelli, 2015).
Change management is the process, tools and techniques to manage the people-side of change
to achieve the required business outcome. Change management incorporates the
organizational tools that can be utilized to help individuals make successful personal
transitions resulting in the adoption and realization of change (Ali, 2021)

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Analyze and discussion

There are several problems for managers in the present business world in an organization.
The evolving nature of work, which stresses digital and technology capabilities, is one of the
major problems that managers must overcome. To get through this obstacle, Programs for
training and development are being implemented by managers, but their success depends on
both the employees' capacity to use the newly acquired skills and the relevance of the
training. Increasing remote employment presents new challenges for managers, which is
another major issue. These involve motivating remote employees, managing remote teams,
and keeping efficient communication and collaboration. Managers are employing a variety of
solutions to deal with these issues, such as remote communication and teamwork
technologies, flexible work schedules, and performance appraisal programs that take into
account the needs of remote workers. The nature of the organization and the job of the
personnel, nevertheless, can affect these tactics' efficacy in different ways.

Managers confront a multitude of challenges in the modern workplace, demanding a versatile

skill set and strategic approach. One prominent challenge is the management of diverse
teams, necessitating adept handling of cultural differences and varied work styles.
Additionally, the rapid pace of technological advancements poses a continuous challenge,
requiring managers to stay abreast of innovations while guiding their teams through digital
transformations. Effective communication is another pivotal hurdle, as managers must ensure
clear information flow and provide constructive feedback. Balancing task and people
management is a perpetual challenge, where striking the right equilibrium between achieving
organizational goals and fostering employee well-being is crucial. Conflict resolution skills
are imperative, as conflicts are inevitable in any workplace, and managers must adeptly
mediate disagreements to maintain team cohesion. Navigating change is an ongoing
challenge, necessitating the ability to lead teams through periods of uncertainty and
resistance. Lastly, the elusive quest for work-life balance adds another layer of complexity,
requiring managers to prioritize employee well-being to prevent burnout. Successful
managers navigate these challenges through a combination of leadership acumen,
adaptability, and a commitment to fostering a positive and inclusive work culture.

To overcome the prevailing challenges faced by managers, a multifaceted and proactive

approach is essential. Firstly, fostering a culture of open communication within the team
creates an environment where issues can be identified and addressed promptly. Investing in
ongoing training and professional development ensures that managers stay abreast of

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technological advancements, enhancing their adaptability and capability to guide their teams
through change. Implementing robust conflict resolution mechanisms and providing
mediation training equips managers to address interpersonal issues efficiently, fostering a
harmonious work environment. Moreover, promoting a healthy work-life balance requires
implementing policies that prioritize employee well-being and discourage burnout.
Embracing diversity and inclusion initiatives ensures that managers are equipped to navigate
the complexities of leading diverse teams successfully. Additionally, seeking feedback from
employees and encouraging a collaborative decision-making process can enhance overall
team satisfaction and performance. By adopting these proactive strategies, managers can not
only navigate challenges effectively but also create a resilient and thriving work environment.

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CHAPTER III

CONCLUSION
Conclusion
This seminar paper on "Prevailing Challenges for Managers in an Organizational
Effectiveness" has shown that managers today work in an atmosphere that is evolving quickly
and poses new and particular obstacles. The nature of work changing, remote work becoming
more common, a more diverse workforce, a fast-paced business climate, and the development
of automation and artificial intelligence among the difficulties managers confront in
contemporary businesses are the necessity to reconcile the interests of various stakeholders.
With this challenge, managers are dealing with them in a number of ways, such as
development and training programs, increased communication and collaboration, and the
adoption of new technologies and management techniques. These approaches' effectiveness
vary, with some approaches working better than others to get through particular obstacles.
The results of this study add to the existing body of knowledge in the fields of management
and organizational behavior by offering important new insights into the difficulties managers
confront in contemporary organizations and the methods employed to solve them.

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