La Salle University-Ozamiz City EDMNGT 101
La Salle University-Ozamiz CityEDMNGT 101
Acc. To Chester Barnard
function define the role positions, the jobs related
and the coordination between authority and responsibility
Acc. To Clayton State University: School of Business
process creating an organization’s framework
◦degree of complexity, formalization, and centralization
Acc. To Medina
management functionstructuring of resources and activitiesaccomplish objectives efficiently and
effectively
Acc. To Attner & Morgan
management function establishes relationships between activity
and authorityresults to an organization
◦a system acting in harmony to execute whole tasks to achieve goals effectively and efficiently
Acc. To Champ Academy
Importance of Organizing
Plan implementationAssignment of
authority, responsibility, and accountability
Division of workCoordinates diverse
organizational tasks
Establish relationship among individuals, groups and departments
Establish formal lines of authority
Allocation and deployment of organizational resources
Division of LaborProd
ucti
vity
Time
Division of LaborProd
ucti
vity
Time
HUMANDISECONOMIESBoredomFatigueStressLow ProductivityPoor QualityIncreased AbsenteeismHigh Turnover
Unity of Command
Superior
Subordinate
Chain of Command
A
B
C
RECEIVE REPORTS
GIVE REPORTS
Chain of Command: Authority
A
B
CLINE AUTHORITY
Chain of Command: Authority
A
B
CSTAFF AUTHORITY
Chain of Command: Authority
A
B
CFUNCTIONAL AUTHORITY
Chain of Command: Responsibility
Responsibility
Chain of Command:A-R Models
A R
AUTHORITY < RESPONSIBILITY
Chain of Command:A-R Models
A R
AUTHORITY > RESPONSIBILITY
Chain of Command:A-R Models
A R
AUTHORITY = RESPONSIBILITY
Centralization & Decentralization
Centralization & Decentralization
CENTRALIZATION DECENTRALIZATION
Environment is stable Environment is complex, uncertain
Lower level managers (LLM) are not as capable or experienced at making decisions as upper level
mangers
LLM are capable and experienced a making decisions
LLM do not want to have a say in decisions LLM want a voice in decisions
Decisions are significant Decisions are relatively minor
Departmentalization
Putting specialists togetherDirection of a managerDepartmentation
◦Process◦Setting up and establishing departments
C/D/DC/I/T (c) 2010
Common Elements of OrganizationHENRY MINTZBERGMcGill University
Organization
•Operating Core•Strategic Apex•Middle Line•Technostructure•Support Staff
Operating Core
Strategic Apex
Middle Line
Technostructure
Affects certain forms of standardizationExamples:
◦Time and motion engineers◦Job description designers◦Systems and procedures analysts
Support Staff
Fill staff unitsProvides indirect support
The Organizing Process
1 •Consider plans and goals
2 •Determine work activities
3• Classify and group activities
(General Nature, Work Areas, Departmentalization)
4 •Assign work and delegate authority
5 •Design a hierarchy of relationships
6 •Staffing
C/D/DC/I/T (c) 2010
1. Consider Plans & Goals
Purposes
Activitie
s
Plans & Goals
To establish a partnership business engaged in the production of children’s
shoes
2. Determine Work Activities
Selling
Accounting
Delivery
Quality Control
Advertising
Compensating
Training
Production
Purchasing
Budgeting
Recruitment
Maintaining Personnel
3. Classify & Group Activities
>Selling>Advertising>Delivery
>Production>Purchasing>Quality control
>Accounting>Budgeting>Compensating
>Recruitment>Training>Maintaining personnel
MARKETING OPERATIONS FINANCE HUMAN RESOURCES
Functional Departmentalization
5. Design hierarchy
General Manager
Operations Manager
Production Head
Administrative Head
Finance Manager
Accounting Head
Budget Section Head
Marketing Manager
Product Division Head
Promotions Head
Human Resources Manager
Recruitment Office Head
Personnel Maintenance Office Head
6. Staffing
1 •Recruitment
2 •Selection
3 • Hiring4 •Orientation
5 •Training and Development
6 •Performance Appraisal
Organizational Structure
Formal system of tasks, reporting relationships
Controls, coordinates, motivates employees
Achieve organization’s goals
Purpose of the Structure
Defines relationships between tasks and authority
Defines formal reporting relationships, levels of hierarchy, span of control
Defines individual departmentsDefines systems that affects the
organization
Departmentalization:Simple Numbers
Datu
North50 warriors
South50 warriors
East30 warriors
West100 warriors
Departmentalization:Time
Principal
A.M. Adviser P.M. Adviser
Departmentalization: Function
President
VP Marketing
VP Human Resources
VP Manufacturing VP Finance
C/D/DC/I/T (c) 2010
Departmentalization: Geography
Chairman
Power Systems Group
Electric Company (Belgium)
Industry and Defense Group
Departmentalization: Customer
Director of Sales
Manager Retail Manager Wholesale Manager Government
Departmentalization:Process
Plant SuperintendentPattern & Cutting
DepartmentSewing
DepartmentFinishing
DepartmentInspection & Packing
DepartmentShipping
Department
Departmentalization: Product
President
VP Industrial Products
Marketing
VP Home Products
Formal System
Planned structureLines of responsibility, authority, and
positionEstablish patterned relationships among
componentsCan be described through:
◦Organizational Chart◦Policy Manual◦Departments
Informal System
Based on needs, sentiments, and interests of people
Vulnerable to expediency, manipulation and opportunism
More subtle and invisible in the organizational chart
Can be classified as:◦Horizontal = same department or same level◦Vertical = different levels◦Mixed = combination of both
Formal vs Informal Organizations
FORMAL INFORMAL
Have planned structure
Deliberate attempts to create patterned relationships
Usually shown by a chart
Advocated by traditional theory
Not formally plannedArise spontaneously
as a result of interactions
Not depicted in a chart
Stressed by human relation theory
C/D/DC/I/T (c) 2010
C/D/DC/I/T (c) 2010
C/D/DC/I/T (c) 2010
C/D/DC/I/T (c) 2010