Organizational Development


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Organizational Development

  1. 1. ORGANIZATIONAL DEVELOPMENT<br />Junhel Dalanon, DDM, MAT<br />
  2. 2. Organizing Defined<br />The process of grouping and assigning activities and providing the necessary authority to carry out the activities<br />
  3. 3. Types of Organization<br />
  4. 4. Line Organization<br />Characteristics<br />Simplest and oldest type of organization<br />Direct vertical flow of authority from top to bottom<br />Common in small enterprises<br />Advantages<br />No problem tracing authority<br />Promotes rapid decision making<br />Disadvantages<br />Managers perform more duties<br />Inefficient job results<br />No provisions to train, develop, and replace leaders<br />
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  6. 6. Line & Staff Organization<br />Characteristics<br />Consists of addition of staff specialists<br />Common in larger enterprises<br />Advantages<br />Brings expert knowledge<br />Structure directly affects finance, manufacture, or marketing<br />Allows for more specialization and flexibility<br />Disadvantages<br />Authority and responsibility are not clearly set<br />Supervisors depend too much on staff<br />
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  8. 8. Matrix Organization<br />Characteristics<br />Form teams within line and staff<br />Temporary pending a specific purpose<br />Has the capability to evolve<br />Advantages<br />Ability to meet complicated projects<br />Disadvantages<br />Conflict of authority<br />
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  10. 10. Principles of Organization<br />
  11. 11. <ul><li>Consideration of Objectives
  12. 12. Since the objective of the undertaking does have an important bearing on the organization structure, the organizer should have clearly in mind what he wants to accomplish
  13. 13. Division of Work
  14. 14. The narrowing of the scope of a person’s job to one or a few major functions to enable him to specialize on these few and to increase his efficiency</li></ul> <br /><ul><li>Delegation of Authority
  15. 15. The authority to take action should be delegated to individuals who have the necessary knowledge and ability to take intelligent action</li></ul> <br /><ul><li>Parity of Responsibility and Authority
  16. 16. When a subordinate is made responsible for reaching a given objective, he should be given enough authority to take steps to reach it</li></ul> <br /><ul><li>Span of Control
  17. 17. Refers to the number of subordinates a manager can effectively manage</li></li></ul><li><ul><li>Unity of Command
  18. 18. Each member of an organization should be accountable to, and receive directions from only one supervisor, his immediate superior
  19. 19. Short Chain of Command
  20. 20. There should be as few levels of supervision between the highest authority and the rank and file as possible</li></ul> <br /><ul><li>Coordination
  21. 21. All individual activities of an organization must be synchronized with respect to their amount, time and direction to avoid duplication of work</li></ul> <br /><ul><li>Efficiency
  22. 22. The objectives can be attained with the lowest possible cost</li></ul> <br /><ul><li>Separation of Line and Staff Functions
  23. 23. Where separation of functions is possible, no individual or department should be given both line and staff functions</li></li></ul><li><ul><li>Consideration of Policies, Procedures, and Rules
  24. 24. They outline the boundaries within which the objectives must be pursued
  25. 25. Job Groupings
  26. 26. Jobs must be logically grouped into sections, sections into departments, and so on until all functions of the organization are covered</li></ul> <br /><ul><li>Flexibility
  27. 27. An organization is a dynamic not a static entity</li></ul> <br /><ul><li>Communication
  28. 28. Design and installation of an honest communication system to help provide the organization with information they need promptly and accurately</li></ul> <br /><ul><li>Balance
  29. 29. Balance between standardization of operation and flexibility, centralization and decentralization of decisions</li></li></ul><li>Steps in Organizational Development<br />
  30. 30. Define precisely the new objectives<br />Precise objectives determine the structure and permanency<br />Brings into focus the basic organizational characteristics<br />
  31. 31. List down all activities required and group them into units<br />Required to achieve the objectives<br />Products, tools, and processes are possible areas for grouping<br />
  32. 32. Determine the organizational structure<br />Consider the principles previously discussed<br />
  33. 33. Ascertain the availability of personnel<br />Secure information about work performed, authority and duty<br />Consider changes in activities<br />
  34. 34. Consider the new organization according to resources<br />This may be a possible source for constraints<br />
  35. 35. Prepare and implement the organization<br />Unanimous acceptance of all members must be attained<br />
  36. 36. Conduct periodic audits<br />Check whether goals are attained<br />Utilizes present personnel to the fullest<br />Contributes to growth<br />