Module Code and Title:                MGT308 Integration of Business Functions

Programme:                                      Bachelor of Business Administration

Credit Value:                                      12

Module Tutors:                                 Shreejana Pradhan, Enchu Lhamo,Dip Raj Pradhan,Kezang Wangchuk,Carl Wonder,Priyanka Sharma,Jeroen Uittenbogaard

Module Coordinator:            Jeroen Uittenbogaard

General Objective: This module aims to build student’s level of understanding in integration of different functional areas (accounting, finance, HR, and marketing). The students will learn about forms of integration which are appropriate and necessary for particular types or organizations. Students will practice applying integration strategies to different types of organizations using case studies and other forms of analysis.

Learning Outcomes – On completion of the module, students should be able to:

1. Analyse the roles and relationship of functional areas in a business
2. Identify the appropriate theories of organizational integration for different types of organizations
3. Develop integration strategies for different types of organizations
4. Design a plan to improve the integration in various organizations
5. Develop appropriate strategies for integration in organizations along with change in business environment
6. Identify likely problems of integration as a result of change in the organization
7. Develop a process for successfully creating and maintaining a well-integrated organization
8. Establish an organizational process to continuously identify new or changed integrative mechanisms

Teaching and Learning Approach:

Assessment Approach:

Each student will do two case analyses and submit a written report with 800 words for each case. The cases will be on the application of the various theories and concepts discussed related to different types of organizations and how their functional areas are integrated. Each case will be evaluated based on the following criteria.

            1.5%    identifying the integration/cooperation problem

            1.5%    choosing the approach for the analysis

3%       analysis

2%       findings

2%       drawing the effective conclusions for implementation in an organization

Each student will solve 2 specific problems on how to integrate the various functions of an organization based on current business scenario. Each problem will be evaluated based on the following criteria.

2.5%    defining the business integration problem presented by real situations

5%       identify appropriate actions to resolve the problems

2.5%    answering specific questions based on the case topic

Select and analyse 1 business problem related to corporate functional integration, acting in a group of 2 to 4, using techniques taught in class. The paper will be approximately 2500 words, and include problem definition, data, analysis, action-oriented conclusions and references. The group presentation will be approximately 10 minutes, and include slides.   

            Written report (15%)

2%       clear definition of a problem

3%       using appropriate techniques

3%       gathering data and information from multiple sources

5%       analysis of the problem

2%       conclusion

Presentation (10%)

5%       group coordination and professionalism of presentation

5%       individually assessed presentation

Organization: 1%

Clarity: 1%

Persuasiveness: 1.5%

Comprehensiveness: 1.5%

Each student will contribute to class discussions by listening to others, answering questions, stating their opinions, and thoughts on the various issues relating to integration of all the functions in an organization with the class.  

3%       contributing to class discussion

2%       listening to and responding logically to the viewpoints of others

The module will have a semester-end exam for 2 hours covering the entire syllabus. The question will be divided into two parts – Part A (carrying 40% of the exam weightage) will be mostly of short answer including objective questions. Part-B (carrying almost 60% of the exam weightage) will be mostly of essay type or an extended response to the given question. This part of the question requires students to apply, analyse, and evaluate or construct knowledge and skills. Cases will also be used to test the levels of knowledge.

Pre-requisites: None

Subject Matter:

1. Introduction
   1. Role of functional areas: accounting, finance, human relations, production/operations, planning
   2. Interrelationship of the functional areas

1. Dynamics of Organizational Integration
   1. Inherent conflicts between business functional areas
      1. Goals and objectives
      2. Organizational cultures, personalities
      3. Flow of information between functional areas
   2. Integration between a firm and its external partners
      1. Supply chain interactions, information flow, financial incentives
      2. Synergy with customers
      3. Interface with law enforcement agencies 
   3. Organizational structure: functional vs process orientation

1. Internal Functional Integration                                                                          
   1. Interdependence of the functional areas
   2. Cause and effect relationships – Fish bone analysis
   3. Need for integrative approach in dealing with the dynamic business environment
   4. Frequent problems of functional integration in business entities

1. External Integration
   1. Efficiency and cost effectiveness of supply chain
   2. Advantages and risks of sharing information with external stakeholders

1. Forms of Integration                                                                                                      
   1. Integrated data systems; access/control of data, common central databases
   2. Job rotation through different functional areas
   3. Executive management committee representing all functional areas
   4. Task force for complex issues concerning cross functional areas
   5. Unique cultural and other aspects of functional integration in Bhutanese business entities

1. Management Actions to Foster Positive Integration
   1. Organizational goals
      1. Setting compatible goals for departments
      2. Incentives supporting both department and overall corporate results
   2. Information sharing among relevant stakeholders
   3. Integration process: both within the company and among partners
   4. Impact of outsourcing on integration

1. Identification of Solutions to the Problems of Integration       
   1. Identification of problems: poor communication, lack of integrating mechanisms, lack of individual experience in different functional areas.
   2. Social, cultural, economic and political factors affecting integration among business enterprises in Bhutan

1. Analyzing Integration Problems in Complex Organizations (through case studies)                  
   1. Identify problems and determine solutions
   2. Special integration problems of international organizations (cultural differences, cost/disruption of moving people among areas, family issues, use of face-to-face interaction vs electronic interaction).
   3. Integration problems specific to the Bhutanese corporate world.

Reading Lists:

1. Park, C., Cho, Y-B. & Kim, C-B. (2014). Conceptual framework for the integration of business functions. Advanced Science and Technology Letters, 47, 412-417. http://dx.doi.org/10.14257/asth.2014.47.
2. Kim, K., Park, J-H.,& Prescott, J. (2003). The Global Integration of Business Functions: a study of multinational businesses in integrated global industries. Journal of International Business studies.
3. Breunig, K., Kvalshaugen, R.,& Hydle, K. (2014). Knowing your boundaries: Integration opportunities in international professional service firms.Journal of World Business, 49.

1. Additional Readings
   1. Burke, W.W. (1971). A comparison of management development and organization development. Journal of Applied Behavioural Science, 17(5), 569-579.
   2. Kakna, K. B., & Mentzerb, J. T. (1998). Marketing’s integration with other departments. Journal of Business Research, 42(1), 53-62. https://doi.org/10.1016/S0148-2963(97)00068-4
   3. Chimhanzi, J. (2004).The impact of marketing/HR interactions on marketing strategy implementation. European Journal of Marketing, 38(1/2), 73-98.

Date: July, 2017