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INTRODUCTION
 1.1Meaning of organization 
 1.2Process of organization 
 1.3principles of organization
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
 determining the specific need of resources 
 allocation of resources 
 allocation of resources into specific groups 
 evaluation and control of use of the 
resources
Organizing is the process of arranging and 
allocating work , authority, and resources 
among an organization’s members so that 
they can achieve organizational goal.
 Division of work 
 Grouping of work 
 Delegation of authority 
 Coordination of work
 unity of objective 
 specialization 
 Coordination 
 Authority and responsibility 
 unity of command 
 Scalar chain 
 Span of control 
 exception 
 Efficiency 
 Balance 
 Homogeneity 
 Continuity 
 simplicity
 2.1 VERTICAL DIFFERENTIATION 
tall versus flat structure 
 2.2 HORIZONTAL DIFFERENTIATION 
functional structure 
multidivisional structure 
geographic structure 
matrix structure
TALL ORGANIZATION 
FLAT ORGANIZATION 
PRESIDENT 
PRESIDENT
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
 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.
1.FUNCTIONAL STRUCTURE: 
MARKETING 
DEPT 
HR 
DEPT 
Structure is created based on the various functions of an 
organization.
2.MULTI-DIVISION STRUCTURE 
GENERAL MANGER 
DIVISION I DIVISION 2 DIVISION 3 
Multiple division are created in a related 
industry.
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.
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
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
 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.
 3.1Meaning of responsibility 
 3.2 Establishing task and reporting 
relationships 
 3.3 Creating accountability
Responsibility is the 
“ obligation to perform 
or 
duty to carryout certain 
activities ”
 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.
 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 )
Accountability : 
o The state of being accountable, liable, or 
answerable 
o Requirement to report 
It creates a mechanism of control.
 4.1 Line and Staff Authority 
 4.2 Delegation of Authority
 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
 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.
 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
 Assigning work to subordinates and giving 
them necessary authority to do the assigned 
work effectively. 
Simple terms, 
GRANTING AUTHORITY TO SUBORDINATES
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
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.
Meaning :centralization and decentralization 
Reasons : in which case which is needed 
Advantages and disadvantages: of both
Systematically retaining power and authority 
in hand of higher level managers. 
 Not dividing authority to lower level 
employees.
ADVANTAGES: 
 Facilitates unified decision 
 Simplifies structure 
 Facilitates quicker decision 
Economy in operation 
 Integrates operations 
 Suitable for small firms
 Unsuitable for large organization 
 Manager is overburdened 
 Possibility of power misuse 
Low morale and motivation 
 Lack of environment adaptation 
 In appropriate for routine decisions.
 Delegation of authority to the lower levels. 
 Decentralization decision making authority in 
an organized structure.
Relief to top management 
 Facilitates managers development 
 Possibility if better decisions 
 Effectives control 
 High morale and motivation 
 Facilitates diversification 
 Environment adaptation
 Increase in expenditure 
 Conflict 
Unsuitable for emergency situations 
Maximize 
 Difficulty in communication 
Unsuitable for specialized services
Re-engineering process 
Team work 
 Network organization structure 
 Downsizing organization 
Boundary-less organization
 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.
Managing effective staff 
 Utilization of physical resources 
 Increase in productivity 
 Focus on goal achievement 
Helps to solve problems 
 Job satisfaction 
 Self-development of workers
Organizing

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Organizing

  • 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
  • 9.  2.1 VERTICAL DIFFERENTIATION tall versus flat structure  2.2 HORIZONTAL DIFFERENTIATION functional structure multidivisional structure geographic structure matrix structure
  • 10. TALL ORGANIZATION FLAT ORGANIZATION PRESIDENT PRESIDENT
  • 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.
  • 13. 1.FUNCTIONAL STRUCTURE: MARKETING DEPT HR DEPT Structure is created based on the various functions of an organization.
  • 14. 2.MULTI-DIVISION STRUCTURE GENERAL MANGER DIVISION I DIVISION 2 DIVISION 3 Multiple division are created in a related industry.
  • 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
  • 20. Responsibility is the “ obligation to perform or duty to carryout certain activities ”
  • 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