Organisational Culture of Aldi

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  • Topic: Organizational studies, Organization, Organizational culture
  • Pages : 13 (4204 words )
  • Download(s) : 911
  • Published : December 15, 2011
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Executive summary
In an effort to better understand one of the main important aspects of Organisational Behaviour; Organisational culture change, one of the most important aspects of the Organisation was identified for study. This report will provide an insight on the Organisational culture of Aldi, and provide a possible methodology for organisational culture change . This report therefore gives an analysis of the current culture of the organisation, referring to the present business practices and the values and ways in which the organisation is run. Despite the effectiveness of this current culture, and the challenges of ‘change’ of any sort, there is however a need for change in the culture as they exist some loop holes in this culture which needs to be addressed in order to gain a competitive advantage and improve the profitability and performance of the Organisation. The overall purpose of this report is therefore to identify the organisational culture, define the strengths and weaknesses, and provide recommendations for culture change. The procedures required a general survey and research on Aldi, after which an organisational culture was defined and the elements of the culture stated. The indication of the culture allowed for the recommendation of some main areas of concern and for immediate or proposed actions which could be implemented. It also established a base line for which future measurements can be made, maintaining of strengths and improvements of weaknesses.

Table of contents.
Executive summary………………………………………….1 Table of content………………………………………………2 Case background………………………………………………3 Introduction………………………………………………………4 Body
Current Culture…………………………………………………5 Need for change……………………………………………….8 Culture Change………………………………………………… 9 Resistance to change……………………………………… 10 Reccomendations………………………………………………13 Conclusion…………………………………………………………15 References…………………………………………………………16

Case Background.
Soon after the second world war Aldi was formed by two brothers Karl Albrecht and Theo Albrecht. The two siblings born in 1920 and 1922 respectively were sons of a miner and lived in Schonebeck a suburb in the Essen region of Germany. While they were kids, their dad contracted a lung disease and had to quit mining to work n a bakery. The chain is made up of two separate groups; Aldi Nord (North) operating as ALDI MARKT and Aldi Sud, operating as Aldi Sud , which operate separately from each other within specific market boundaries. These individual groups were owned and managed by the two brothers. Their mother however maintained a small grocery store close to their home to make ends meet. Karl and Theo attended middle school and then went on to do training with Karl doing a training at the delicatessen and Theo at his mother’s grocery store. After returning from army duty after the second world war in 1945, they took over their mother’s store and in the post war years the brothers expanded the business rapidly. In 1948, soon after the German currency reform, the Albrechts’ incorporated their business as the Albrecht Discount store (Aldi). The two brothers however split in 1960 over a dispute on whether to sell cigarettes at the Till or not. Aldi expanded internationally in the 1970’s , specifically expanding into the UK in 1989 with a total of 421 outlets in the UK.

Introduction
As the economic or business environment is increasingly changing and getting more dynamic, it is very essential for organisations and companies to...
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