Organization Behaviour

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Organization Behaviour

  1. 1. 6.Formalization. 6.To what degree will there be rules and regulations to direct employees and managers? 5.Centralization and decentralization 5.Where does the decision making authority lie? 4.Span of control 4.How many individuals can manager direct? 3.Chain of command 3.To whom do individuals and groups report? 2.Departmentalization 2.On what basis will jobs be grouped together 1.Work specialization 1.To what extent the tasks will be subdivided? Answers Questions
  2. 2. CHAIN OF COMMAND TO WHOM AM I RESPONSIBLE? TO WHOM DO I GO IF I HAVE PROBLEMS? EMPLOYEE
  3. 3. <ul><li>CHAIN OF COMMAND CLARIFIES THESE QUESTIONS. </li></ul><ul><li>CHAIN OF COMMAND CLARIFIES WHO REPORTS TO WHOM? </li></ul><ul><li>IT IS THE UNBROKEN LINE OF AUTHORITY THAT EXTENDS FROM THE TOP OF THE ORGANISATION TO THE LOWEST LEVEL. </li></ul>
  4. 4. AUTHORITY <ul><li>INSTITUTIONALIZED POWER. </li></ul><ul><li>AUTHORITY IS ASSOCIATED WITH FORMAL ORGANISATION. </li></ul><ul><li>HAVING DOWNWARD FLOW FROM SUPERIOR TO SUBORDINATE. </li></ul><ul><li>AUTHORITY TELLS THE RIGHT TO GIVE ORDERS. </li></ul>
  5. 5. UNITY OF COMMAND <ul><li>A SUBORDINATE SHOULD HAVE ONLY ONE SUPERIOR TO WHOME HE/SHE IS DIRECTLY RESPONSIBLE. </li></ul><ul><li>IF IT IS BROKEN THE EMPLOYEE MIGHT HAVE CONFLICTING DEMANDS FROM SEVERAL SUPERIORS. </li></ul>
  6. 6. SPAN OF CONTROL <ul><li>SPAN OF CONTROL IS THE NUMBER OF SUBORDINATES A MANAGER CAN EFFICIENTLY AND EFFECTIVELY DIRECT. </li></ul><ul><li>IT DETERMINES THE NUMBER OF LEVELS AND MANAGERS AN ORGANISATION HAS. </li></ul>
  7. 7. EXAMPLE <ul><li>ASSUME THAT TWO ORGANISATIONS HAVING 4100 OPERATIVE LEVEL EMPLOYEES. </li></ul><ul><li>ONE ORGANISATION HAS A SPAN OF 4 AND OTHER ORGANISATION HAS A SPAN OF 8. </li></ul>
  8. 8. 64 512 4096 1 4 16 64 256 1024 4096 LEVELS 1 2 3 4 5 6 7 SPAN=4 MANAGERS(LEVEL 1-6) =1365 8 1 SPAN=8 MANAGERS(LEVEL 1-4) =585
  9. 9. <ul><li>WIDER SPAN(=8) HAVING 2 FEWER LEVELS. </li></ul><ul><li>800 FEWER MANAGERS. </li></ul><ul><li>IF A MANAGER GETS RS.300000/YEAR. </li></ul><ul><li>WIDER SPAN CAN SAVE RS 24 CRORE . </li></ul>
  10. 10. ADVANTAGES OF WIDER SPAN <ul><li>REDUCE COST. </li></ul><ul><li>CUT OVERHEAD. </li></ul><ul><li>SPEED UP DECISION MAKING. </li></ul><ul><li>INCREASE FLEXIBILITY. </li></ul><ul><li>EMPOWER EMPLOYEES. </li></ul>
  11. 11. DISADVANTAGES OF WIDER SPAN <ul><li>SUPERVISORS DO NOT HAVE ENOUGH TIME FOR A LARGE NO OF EMPLOYEES. </li></ul><ul><li>EMPLOYEES PERFORMANCE SUFFERS. </li></ul>

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