This document discusses the process of organizing within organizations. It covers key topics such as identifying activities, grouping activities, and assigning jobs. It also discusses principles of organizing like division of work and coordination. Different types of organizational structures are outlined like functional, multidivisional, geographic, and matrix structures. The document also discusses concepts like centralization vs decentralization, delegation of authority, line and staff authority, and human resource management functions.
The present power point presentation explains the concepts of organisation, organisational structure, definition, types of organizational structure, line organization, functional organization, Line and staff organization, Matrix organization, Committee organization, Advantages, Disadvantages
The present power point presentation explains the concepts of organisation, organisational structure, definition, types of organizational structure, line organization, functional organization, Line and staff organization, Matrix organization, Committee organization, Advantages, Disadvantages
Organization is the backbone of management. Sound organization contributes greatly towards continuity & success of the organization.
Organizing is the process of integrating the physical, financial & human resources & establishing the productive relationship across them to accomplish the pre-determined goals.
It is concerned with the building up a stable framework or structure of various inter-related parts of the enterprise; each part having its own function & being centrally regulated.
Basic principles of organizing: Achievement of Goal
Division of work
Well defined jobs & Authority
Discipline
Co-ordination
Security & support
Better Human Relation
Adaptability
Formal organization consists of pre defined goal & well defined structure of the jobs having clear cut authority & responsibility.
It is based on basic rules, regulations, principles & practices where employees accomplish their task & achieve the goal of the organization.
In formal organization each & every employee is responsible for his/her own task & performance.
Examples: Production house & Service sectors
Informal organization values both personal & social relationship which is spontaneously established within the formal set up.
There is not any strict rules & regulations, but there is high scope of liberty & feelings.
The relationships are voluntary based on emotional set up. Therefore, no conscious effort is required to hold the relations.
Examples: friendship group.
Both formal & informal organizations play very vital role in organizational set up. Formal organizations work independently & informal organizations depend upon formal organizations.
Line organization is the most oldest & simplest form of administrative organization.
Line organization is also known as scalar organization as authority flows from top to bottom.
There is the line officer who has unified control and independent decision making power in their field.
Specialized or supportive services do not take place in line organizations.
There is also inadequate communication & some times lack of proper co-ordination due to one way communication.
Example: President, Vice President, Supervisor & Employees.
Line & Staff organization is a modification of the line organization & it is more complex than the pure line organization.
In this kind of organization, line officers & staff officers (Generalists & Specialists) work together. Line officers plan & execute the work whereas staff officers play advisory role.
Power of command remains with the line executives & staff serves only as counselors who reduce the burden of the line managers & help to take quick decision.
Centralization refers to the process in which organizations take decisions & plan. The decision making power is retained in the hand of the head of the organization & all other employees have to obey this.
Decentralization is just the opposite of centralization. It refers to delegation of decision making authority through out an organization.
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Define and describe organizational designs (e.g., matrix, flat, and parallel) and the effect that a hierarchical management structure can have on an organization.
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2. 1.1Meaning of organization
1.2Process of organization
1.3principles of organization
3. Activities
identification of activities
Grouping of activities
assignment of jobs to formal groups
Establishing a network of authority and
responsibility
Providing framework for measurement,
evaluation and control
4. determining the specific need of resources
allocation of resources
allocation of resources into specific groups
evaluation and control of use of the
resources
5. Organizing is the process of arranging and
allocating work , authority, and resources
among an organization’s members so that
they can achieve organizational goal.
6. Division of work
Grouping of work
Delegation of authority
Coordination of work
7.
8. unity of objective
specialization
Coordination
Authority and responsibility
unity of command
Scalar chain
Span of control
exception
Efficiency
Balance
Homogeneity
Continuity
simplicity
11. Tall organization:
This type of organizational architecture has
many layers and narrow span of control
Flat organization :
This type of organizational architecture has few
layers and wide span of control
12. Tall organizations
o Are more expensive
because of the number
of manager involved.
o Foster more
communication of
problems because of
people through whom
information must pass.
Flat organizations
o Lead to higher levels of
employee morale and
productivity.
o Create more
administrative
responsibility for the
relatively few managers
o Create more supervisory
responsibility for
managers due to wider
spans of control.
15. Division or M-form (multidivisional) Design
• An organizational arrangement based on multiple
business in related areas operating within a larger
organizational framework; following a strategy of
related diversification.
• Activities are decentralization down to the
divisional level; others are centralized at the
corporate level.
• The largest advantages of the M-form design are
the opportunities for coordination and sharing of
resources.
16. 3.GEOGRAPHIC STRUCTURE: o Departments are
CENTRAL
REGION
WESTERN
REGION
EASTERN
REGION
created based on
geographic regions.
o All the activities in
one geographic
region is categorized
into one unit.
GENERAL MANAGER
17. 4. MATRIX ORGANIZATION
CEO
Vice
president,
engineering
Vice
president,
production
Vice
president,
finance
Vice
president,
marketing
Project
Manager A
Project
manager B
Project
manager C
EMPLOYEES
18. Advantages
o Enhance organizational
flexibility.
o Team members have the
opportunity to learn new
skills.
o Team members serve as
bridges
Disadvantages
o Employee are uncertain
about reporting
relationships.
o The dynamics of group
behavior may lead to
slower decision making,
one-person domination,
compromise decisions,
or a loss of focus.
o More time may be
required for coordinating
task-related activities.
19. 3.1Meaning of responsibility
3.2 Establishing task and reporting
relationships
3.3 Creating accountability
21. Task relationship:
o How activities related to each other in an
organization.
o How the basic units of an organization are
formed.
o Establishment of job description and job
specification
job specification :prerequisites of job. Various
skills and experiences needed to perform certain job.
Job description : the activities that have to be
carried out at certain position in a job.
22. Establishing reporting relationship:
It is finding out
Chain of command
Span of control of span of management
1. Who reports to whom?
2. How many subordinates will a supervisor
have ?
(relate it to tall v/s flat organizational architecture )
23. Accountability :
o The state of being accountable, liable, or
answerable
o Requirement to report
It creates a mechanism of control.
24. 4.1 Line and Staff Authority
4.2 Delegation of Authority
25. Right to take decisions that arises due to
position in organizational structure.
Authority is the right to perform or
command. It allows its holder to act in certain
designated ways and to directly influence the
actions of others through orders.
Types of Authority:
o Line authority
o Staff authority
26. The chain of command in the organizational
structure that flows major decision making
power.
The officially sanctioned ability to issue
orders to subordinate employees with in an
organization.
27. Staff authority consists of the right to advise
or assist those who possess line authority as
well as other staff personnel.
The advisory or counseling rple:
o The service role
o The control role
28. Assigning work to subordinates and giving
them necessary authority to do the assigned
work effectively.
Simple terms,
GRANTING AUTHORITY TO SUBORDINATES
29. No delegation of total authority
Delegations of only that authority a manager
has
Representation of the superior
Delegation for organizational purpose
Restoration of delegated authority
Balance of authority and responsibility
No delegation of responsibility
30. Assume line authority
Do not give sound advices
Steal credit for success
Fail to keep line personnel informed of their
activities
Do not see the whole picture.
31. Meaning :centralization and decentralization
Reasons : in which case which is needed
Advantages and disadvantages: of both
32. Systematically retaining power and authority
in hand of higher level managers.
Not dividing authority to lower level
employees.
33. ADVANTAGES:
Facilitates unified decision
Simplifies structure
Facilitates quicker decision
Economy in operation
Integrates operations
Suitable for small firms
34. Unsuitable for large organization
Manager is overburdened
Possibility of power misuse
Low morale and motivation
Lack of environment adaptation
In appropriate for routine decisions.
35. Delegation of authority to the lower levels.
Decentralization decision making authority in
an organized structure.
36. Relief to top management
Facilitates managers development
Possibility if better decisions
Effectives control
High morale and motivation
Facilitates diversification
Environment adaptation
37. Increase in expenditure
Conflict
Unsuitable for emergency situations
Maximize
Difficulty in communication
Unsuitable for specialized services
38. Re-engineering process
Team work
Network organization structure
Downsizing organization
Boundary-less organization
39. It is the process of obtaining and maintaining
competent employees to fill all positions.
Recruitment: Encouraging people to apply
Selection: Finding the right person for the job
Training: Teaching the employees certainskill
Development: Progress/advancement of
career
Motivation: Encouraging the employees to
work harder.
40. Managing effective staff
Utilization of physical resources
Increase in productivity
Focus on goal achievement
Helps to solve problems
Job satisfaction
Self-development of workers