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PRINCIPLES OF MANAGEMENT-JNTUK-UNIT-2-2016-2018 BATCH

Jan 12, 2017

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Page 1: PRINCIPLES OF MANAGEMENT-JNTUK-UNIT-2-2016-2018 BATCH

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PRINCIPLES OF MANAGEMENT

UNIT:2

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Nature and Definition of Planning

Principles of Planning Objectives of planning Planning process Types of plans Benefits and pitfalls of

planning. Principles of

organizing Organization levels

Organizational designs and structure

Line and staff organizations

Approaches Delegation of authority Factors affecting

delegation of authority Span of management Centralization and

decentralization of Authority.

PLANNING AND ORGANIZINGUNIT:2

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In simple words, planning is deciding in advance what is to be done, when where, how and by whom it is to be done. Planning bridges the gap from where we are to where we want to go. It includes the selection of objectives, policies, procedures and programmes from among alternatives. A plan is a predetermined course of action to achieve a specified goal. It is an intellectual process characterized by thinking before doing. It is an attempt on the part of manager to anticipate the future in order to achieve better performance. Planning is the primary function of management.

Meaning and Concept of Planning

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Different authors have given different definitions of planning from time to time. The main definitions of planning are as follows:

According to Alford and Beatt, “Planning is the thinking process, the organized foresight, the vision based on fact and experience that is required for intelligent action.”

According to Theo Haimann, “Planning is deciding in advance what is to be done. When a manager plans, he projects a course of action for further attempting to achieve a consistent co-ordinate structure of operations aimed at the desired results.

According to Billy E. Goetz, “Planning is fundamentally choosing and a planning problem arises when an alternative course of action is discovered.”

According to Koontz and O’ Donnell, “Planning is an intellectual process, conscious determination of course of action, the basing of decision on purpose, facts and considered estimates.”

According to Allen, “A plan is a trap laid to capture the future.”

Definitions of Planning

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Planning is an Intellectual Process Planning Contributes to the Objectives Planning is a Primary Function of

Management A continuous Process Planning Pervades Managerial Activities

Nature / Characteristics of Planning

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Reduction of Uncertainty Better Utilization of Resources Increases Organizational Effectiveness Reduces the Cost of Performance Concentration on Objectives Helps in Co-ordination Makes Control Effective Encouragement to Innovation Increase in Competitive Strength Delegation is Facilitated

Benefits and pitfalls of planning.

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Establishing objectives Establishment of Planning Premises Determining Alternative Courses Evaluation of Alternatives Selecting a Course of Action Formulating Derivative Plans Establishing Sequence of Activities Feedback or Follow-up Action

Steps involved in Planning

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Whether the business is large or small, company heads set overall goals for the business and break these down into objectives. Management has to develop and implement plans to meet these objectives. Depending on the type of business, the time frame and the focus of management, objectives can have different characteristics. The key for the managers is to match plan implementation to the type of objective

OBJECTIVES TIME-RELATED ROUTINE DEVELOPMENT

THREE TYPES OF OBJECTIVES FOR PLANNING

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Strategic Planning◦ Long term and provides broad goals and direction

for the entire business Operational Planning

◦ Short term and identifies specific activities for each area of business

Levels of Planning

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Step 1 – External Analysis◦ Managers study factors outside the firm that can affect

effective operations: customers, competitors, the economy, government

Step 2 – Internal Analysis◦ Managers study factors inside the business that can

affect success: operations, finances, personnel, other resources

Step 3 – Mission◦ Managers agree on the most important purposes or

directions for the firm based on the information collectedThe first 3 steps are referred to as SWOT analysis –

the examination of strengths and weaknesses along with opportunities and threats

Strategic Planning

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Mission Statement – short, specific statement of the businesses purpose

Vision – the companies reason for existing Step 4 – Goals

◦ Managers develop outcomes for the business to achieve that fit within the mission

Step 5 – Strategies◦ Managers identify the effects expected from

each area of the firm if goals are to be achieved

Strategic Planning (cont.)

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How will the work be done Who will do the work What resources will be need For a specific area of the businessIt can include

◦ Developing budgets◦ Planning inventory levels◦ Purchasing raw materials◦ Setting production levels and etc

Operational Planning

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Planning Tools Goals Budgets Schedules Standards Policies Procedures Research

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A specific statement of a result the business expects to achieve

Characteristics of goals◦ Goals must be specific and meaningful◦ Goals must be achievable◦ Goals should be clearly communicated◦ Goals should be consistent with each other and

with overall company goals

Goals

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Budget A specific financial

plan Financial budget

assist managers in determining the best way to use available money

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Schedules

A time plan for reaching objectives Valuable in planning the most effective

use of time

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A specific measure against which something is judged

Standard are set for:◦ Goods and services produced◦ Quality◦ Amount of time tasks should take, etc.

Standards

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Procedures List of steps to be

followed for performing certain work

A flowchart can be used to show the order in the steps in a work procedure

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Research To do a good deal

of planning, managers need a lot of information

Research is used to collect data and provide information needed to improve their planning decisions

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Principle of Specialization Principle of Functional Definition Principles of Span of Control/Supervision Principle of Scalar Chain Principle of Unity of Command

Principles of organizing

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According to the principle, the whole work of a concern should be divided amongst the subordinates on the basis of qualifications, abilities and skills. It is through division of work specialization can be achieved which results in effective organization.

Principle of Specialization

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According to this principle, all the functions in a concern should be completely and clearly defined to the managers and subordinates. This can be done by clearly defining the duties, responsibilities, authority and relationships of people towards each other. Clarifications in authority-responsibility relationships helps in achieving co-ordination and thereby organization can take place effectively.

.

Principle of Functional Definition

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According to this principle, span of control is a span of supervision which depicts the number of employees that can be handled and controlled effectively by a single manager. According to this principle, a manager should be able to handle what number of employees under him should be decided. This decision can be taken by choosing either fromal wide or narrow span. There are two types of span of control:-

Principles of Span of Control/Supervision

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◦ Wide span of control- It is one in which a manager can supervise and control effectively a large group of persons at one time. The features of this span are:- Less overhead cost of supervision Prompt response from the employees Better communication Better supervision Better co-ordination Suitable for repetitive jobs

Principles of Span of Control/Supervision -continue

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According to this span, one manager can effectively and efficiently handle a large number of subordinates at one time.◦ Narrow span of control- According to this span, the work and

authority is divided amongst many subordinates and a manager doesn't supervises and control a very big group of people under him. The manager according to a narrow span supervises a selected number of employees at one time. The features are:- Work which requires tight control and supervision, for example,

handicrafts, ivory work, etc. which requires craftsmanship, there narrow span is more helpful.

Co-ordination is difficult to be achieved. Communication gaps can come. Messages can be distorted. Specialization work can be achieved.

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◦ Managerial abilities- In the concerns where managers are capable, qualified and experienced, wide span of control is always helpful.

◦ Competence of subordinates- Where the subordinates are capable and competent and their understanding levels are proper, the subordinates tend to very frequently visit the superiors for solving their problems. In such cases, the manager can handle large number of employees. Hence wide span is suitable.

◦ Nature of work- If the work is of repetitive nature, wide span of supervision is more helpful. On the other hand, if work requires mental skill or craftsmanship, tight control and supervision is required in which narrow span is more helpful.

Factors influencing Span of Control

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◦ Delegation of authority- When the work is delegated to lower levels in an efficient and proper way, confusions are less and congeniality of the environment can be maintained. In such cases, wide span of control is suitable and the supervisors can manage and control large number of sub- ordinates at one time.

◦ Degree of decentralization- Decentralization is done in order to achieve specialization in which authority is shared by many people and managers at different levels. In such cases, a tall structure is helpful. There are certain concerns where decentralization is done in very effective way which results in direct and personal communication between superiors and sub- ordinates and there the superiors can manage large number of subordinates very easily. In such cases, wide span again helps.

Factors influencing Span of Control – CONTINUE.

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Scalar chain is a chain of command or authority which flows from top to bottom. With a chain of authority available, wastages of resources are minimized, communication is affected, overlapping of work is avoided and easy organization takes place. A scalar chain of command facilitates work flow in an organization which helps in achievement of effective results. As the authority flows from top to bottom, it clarifies the authority positions to managers at all level and that facilitates effective organization.

Principle of Scalar Chain

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It implies one subordinate-one superior relationship. Every subordinate is answerable and accountable to one boss at one time. This helps in avoiding communication gaps and feedback and response is prompt. Unity of command also helps in effective combination of resources, that is, physical, financial resources which helps in easy co-ordination and, therefore, effective organization.

Principle of Unity of Command

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Authority Flows from Top to Bottom

 Managing Director

↓Marketing Manager

↓Sales/ Media Manager

↓Salesmen

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There are different ways to define levels of business organization such as the terms used in business process modeling. This method has three levels of organization -- the organizational level, the process level and the business activity level. Each level offers a different perspective of an organization's activities. In business process modeling, levels of organization help managers analyze how to increase efficiency.

1. Business Process Modeling2. Organizational Level3. Process Level4. Activity Level

Organization levels

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A business can use three levels of business process modeling to analyze how work is performed. Every work process must be documented in a form that includes flowchart symbols and written descriptions. This written form shows how any product or service is handled by different employees. Using a flowchart, stakeholders such as managers and employees can troubleshoot problems and suggest improvements to the way business activities are organized.

Business Process Modeling

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At the organizational level, it's important to consider all major functions of the business. An organizational-level analysis might include listing functions that support each product family in a manufacturing company. Listing the functions helps to define the business's overall capacity to serve its customers. In a smaller company, such as a construction company, there might be only a few functions -- such as a sales function, a project management function and an accounting function. Other functions might be important to the construction company, but might be performed by outside labor, such as subcontractors.

Organizational Level

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Inside the organization, it's important to study the flowcharts of all business activities in one process. A process might consist of all activities that support a major service that a company provides to customers. Experts in different areas of the business process can analyze how the business process works in an interdisciplinary task force. Experts in one activity might suggest improvements for another business activity to make it more efficient, with the end goal of benefiting the customer.

Process Level

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Inside a business process, each business activity consists of a manager and employees who assist in creating very detailed descriptions of work tasks performed. These employees have firsthand knowledge of work tasks and can suggest improvements to their own work. They also understand how tasks performed by others in their activity contribute to the activity's efficiency. When these task experts participate in cross-functional task forces, involving employees from different business processes, they can suggest how changes at the organizational level will impact their activity. A task force might decide that one business activity should occur in a different order in the sequence of work activities in a business process, or chain of production.

 

Activity Level

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Organizational designs fall into two categories, traditional and contemporary. Traditional designs include simple structure, functional structure, and divisional structure. Contemporary designs would include team structure, matrix structure, project structure, boundaryless organization, and the learning organization. I am going to define and discuss each design in order to give an understanding of the organizational design concept.

Organizational designs and structure

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1. Simple Structure 2. Functional Structure 3. Divisional Structure

I. Traditional Designs

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A simple structure is defined as a design with low departmentalization, wide spans of control, centralized authority, and little formalization. This type of design is very common in small start up businesses. For example in a business with few employees the owner tends to be the manager and controls all of the functions of the business. Often employees work in all parts of the business and don’t just focus on one job creating little if any departmentalization. In this type of design there are usually no standardized policies and procedures. When the company begins to expand then the structure tends to become more complex and grows out of the simple structure.

1. Simple Structure

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A functional structure is defined as a design that groups similar or related occupational specialties together. It is the functional approach to departmentalization applied to the entire organization.

2. Functional Structure

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A divisional structure is made up of separate, semi-autonomous units or divisions. Within one corporation there may be many different divisions and each division has its own goals to accomplish. A manager oversees their division and is completely responsible for the success or failure of the division. This gets managers to focus more on results knowing that they will be held accountable for them. 

3. Divisional Structure

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1. Team Structure 2. Matrix Structure 3. Project Structure 4. Autonomous Internal Units 5. Boudaryless Organization 6. Learning Organization 

II. Contemporary Designs

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A team structure is a design in which an organization is made up of teams, and each team works towards a common goal. Since the organization is made up of groups to perform the functions of the company, teams must perform well because they are held accountable for their performance. In a team structured organization there is no hierarchy or chain of command. Therefore, teams can work the way they want to, and figure out the most effective and efficient way to perform their tasks. Teams are given the power to be as innovative as they want. Some teams may have a group leader who is in charge of the group. 

1. Team Structure

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A matrix structure is one that assigns specialists from different functional departments to work on one or more projects. In an organization there may be different projects going on at once. Each specific project is assigned a project manager and he has the duty of allocating all the resources needed to accomplish the project. In a matrix structure those resources include the different functions of the company such as operations, accounting, sales, marketing, engineering, and human resources. Basically the project manager has to gather specialists from each function in order to work on a project, and complete it successfully. In this structure there are two managers, the project manager and the department or functional manager.

2. Matrix Structure

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A project structure is an organizational structure in which employees continuously work on projects. This is like the matrix structure; however when the project ends the employees don’t go back their departments. They continuously work on projects in a team like structure. Each team has the necessary employees to successfully complete the project. Each employee brings his or her specialized skill to the team. Once the project is finished then the team moves on to the next project.

3. Project Structure

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Some large organizations have adopted this type of structure. That is, the organization is comprised of many independent decentralized business units, each with its own products, clients, competitors, and profit goals. There is no centralized control or resource allocation.

4. Autonomous Internal Units

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A boundaryless organization is one in which its design is not defined by, or limited to, the horizontal, vertical, or external boundaries imposed by a predefined structure. In other words it is an unstructured design. This structure is much more flexible because there is no boundaries to deal with such as chain of command, departmentalization, and organizational hierarchy. Instead of having departments, companies have used the team approach. In order to eliminate boundaries managers may use virtual, modular, or network organizational structures. In a virtual organization work is outsourced when necessary. There are a small number of permanent employees, however specialists are hired when a situation arises. Examples of this would be subcontractors or freelancers. A modular organization is one in which manufacturing is the business. This type of organization has work done outside of the company from different suppliers. Each supplier produces a specific piece of the final product. When all the pieces are done, the organization then assembles the final product. A network organization is one in which companies outsource their major business functions in order to focus more on what they are in business to do.

5. Boudaryless Organization

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A learning organization is defined as an organization that has developed the capacity to continuously learn, adapt, and change. In order to have a learning organization a company must have very knowledgeable employees who are able to share their knowledge with others and be able to apply it in a work environment. The learning organization must also have a strong organizational culture where all employees have a common goal and are willing to work together through sharing knowledge and information. A learning organization must have a team design and great leadership. Learning organizations that are innovative and knowledgeable create leverage over competitors. 

6. Learning Organization 

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LINE AND STAFF,DECENTRALISATION

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DEALS WITH THE AUTHORITY RELATIONSHIPS

i.e THE PROBLEMS OF LINE AND STAFF WHAT IS POWER, RESPONSIBILITY AND

AUTHORITY? WHAT ARE AUTHORITY RELATIONSHIPS?

LINE AND STAFF…

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POWER IS THE ABILITY OF INDIVIDUALS OR GROUPS TO INDUCE OR INFLUENCE THE BELIEFS OR ACTIONS OF OTHER PERSONS OR GROUPS

POWER:1. LEGITIMATE2. EXPERT3. REFERENT4. REWARD5. COERCIVE

AUTHORITY AND POWER

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AUTHORITY IN AN ORGANISATION IS THE POWER IN A POSITION ( AND THROUGH IT THE PERSON OCCUPYING THE POSITION ) TO EXERCISE DISCRETION IN MAKING DECISIONS AFFECTING OTHERS.

IT IS POWER, BUT IN AN ORGANISATIONAL SETTING

AUTHORITY AND POWER

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LINE FUNCTIONS ARE THOSE WHICH HAVE DIRECT RESPONSIBILITY FOR ACCOMPLISHING THE OBJECTIVES OF THE ENTERPRISE.

STAFF REFERS TO THOSE ELEMENTS OF THE ORGANISATION THAT HELP THE LINE TO WORK MOST EFFECTIVELY IN ACCOMPLISHING THE PRIMARY OBJECTIVES OF AN ENTERPRISE.

LINE AND STAFF

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STAFF FUNCTIONS : PURCHASE, ACCOUNTING, PERSONNEL, & QUALITY CONTROL.

LINE: PRODUCTION, MARKETING & SALES, FINANCE.

WHY CONFUSION?

LINE AND STAFF..

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THERE IS A LINE OF AUTHORITY FLOW FROM SUPERIOR TO SUBORDINATE KNOWN AS THE ‘ ‘

LINE AND STAFF…

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THE CLEARER THE LINE OF AUTHORITY FROM THE ULTIMATE AUTHORITY FOR MANAGEMENT IN AN ENTERPRISE TO EVERY SUBORDINATE POSITION , THE MORE EFFECTIVE WILL BE REPONSIBLE DECISION MAKING AND ORGANISED COMMUNICATION.

SCALAR PRINCIPLE

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STAFF RELATIONSHIP IS ADVISORY.

THE FUNCTION OF PEOPLE IN STAFF POSITION IS TO INVESTIGATE , RESEARCH AND GIVE ADVICE TO LINE MANAGERS TO WHOM THEY REPORT.

STAFF…

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LINE AND STAFF ARE DISTINGUISHED BY THEIR AUTHORITY RELATIONSHIPS AND NOT WHAT THEY DO

E.g. THE PR DEPT IS PURELY STAFF.. BUT WITHIN THE DEPT THERE WILL BE LINE

AND STAFF RELATIONSHIPS

LINE AND STAFF…

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IT IS THE POWER WHICH AN INDIVIDUAL OR DEPARTMENT MAY HAVE DELEGATED TO IT OVER SPECIFIED PROCESSES , PRACTICES, POLICIES , OR OTHER MATTERS RELATING TO ACTIVITIES UNDERTAKEN BY PERSONNEL IN DEPARTMENTS OTHER THAN ITS OWN.

FUNCTIONAL AUTHORITY

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1. THEIR ADVICE IS CRITICAL AS THEY HAVE SPECIALISED KNOWLEDGE IN THEIR AREAS

2. THE ADVICE COULD BE CRITICAL IN SOLVING A PROBLEM

BENEFITS OF STAFF:

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DANGER OF UNDERMINING LINE AUTHORITY LACK OF RESPONSIBILITY THINKING IN A VACUUM MANAGERIAL PROBLEMS

LIMITATIONS OF STAFF:

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UNDERSTANDING AUTHORITY RELATIONSHIPS

MAKE LINE LISTEN TO STAFF KEEP STAFF INFORMED COMPLETED STAFF WORK - i.e ADVICE

NOT CONTROL MANAGERS HAVE RESPONSIBILITY AND

ARE ACCOUNTABLE

MAKING STAFF WORK EFFECTIVELY:

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DECENTRALISATION

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IT IS THE FUNDAMENTAL ASPECT OF DELEGATION

IT IS MORE OF HOW MUCH OF AUTHORITY IS TO BE DELEGATED RATHER THAN WHAT KIND OF AUTHORITY IS TO BE DELEGATED.

DECENTRALISATION..

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THE PRIMARY PURPOSE OF DELEGATION IS TO MAKE ORGANISATION POSSIBLE

ENABLES DECISION MAKING EFFECTIVE SUPERVISION

DELEGATION OF AUTHORITY

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1. WHEN DECISION MAKING POWER IS VESTED IN A SUBORDINATE BY A SUPERIOR 2. SUPERIORS CANNOT DELEGATE AUTHORITY WHICH THEY DO NOT HAVE.

HOW IS AUTHORITY DELEGATED?

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THE DETERMINATION OF RESULTS EXPECTED FROM PERSONS IN A POSITION

THE ASSIGNMENT OF TASKS TO PERSONS IN A POSITION

THE DELEGATION OF AUTHORITY FOR ACCOMPLISHING THESE TASKS

THE HOLDING OF PEOPLE RESPONSIBLE FOR THE ACCOMPLISHMENT OF THESE TASKS.

PROCESS OF DELEGATION..

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PRINCIPLE OF DELEGATION BY RESULTS EXPECTED

PRINCIPLE OF FUNCTIONAL DEFINITION SCALAR PRINCIPLE AUTHORITY PRINCIPLE PRINCIPLE OF UNITY OF COMMAND PRINCIPLE OF ABSOLUTENESS OF RESPONSIBILITY PRINCIPLE OF PARITY OF AUTHORITY AND

RESPONSIBILITY

PRINCIPLES OF DELEGATION:

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AUTHORITY DELEGATED TO AN INDIVIDUAL MANAGER SHOULD BE ADEQUATE TO ENSURE THE ABILITY TO ACCOMPLISH RESULTS EXPECTED.

BACK

PRINCIPLE OF DELEGATION BY RESULTS EXPECTED

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THE MORE A POSITION OR A DEPARTMENT HAS CLEAR DEFINITIONS OF RESULTS EXPECTED , ACTIVITIES TO BE UNDERTAKEN , ORGANISATIONAL AUTHORITY DELEGATED, AND AUTHORITY AND INFORMATIONAL RELATIONSHIPS WITH OTHER POSITIONS UNDERSTOOD, THE MORE ADEQUATELY THE RESPONSIBLE INDIVIDUALS CAN CONTRIBUTE TOWARDS ACCOMPLISHING ENTERPRISE OBJECTIVES.

BACK

PRINCIPLE OF FUNCTIONAL DEFINITION

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MAINTAINANCE OF INTENDED DELEGATION REQUIRES THAT DECISIONS WITHIN THE AUTHORITY COMPETENCE OF INDIVIDUALS BE MADE BY THEM AND NOT BE REFERRED UPWARD IN THE ORGANISATION STRUCTURE.

AUTHORITY LEVEL PRINCIPLE

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**

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THE MORE COMPLETELY AN INDIVIDUAL HAS A REPORTING RELATIONSHIP TO A SINGLE SUPERIOR , THE LESS THE PROBLEM OF CONFLICT IN INSTRUCTIONS AND THE GREATER THE FEELING OF PERSONAL RESPONSIBILITY FOR RESULTS.

PRINCIPLE OF UNITY OF COMMAND

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THE RESPONSIBILITY OF SUBORDINATES TO THEIR SUPERIORS FOR PERFORMANCE IS ABSOLUTE , ONCE THEY HAVE ACCEPTED AN ASSIGNMENT AND THE POWER TO CARRY IT OUT, AND THE SUPERIORS CANNOT ESCAPE RESPONSIBILITY FOR THE ORGANISATION ACTIVITIES OF THEIR SUBORDINATES.

PRINCIPLE OF ABSOLUTENESS OF RESPONSIBILITY

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THE RESPONSIBILITY FOR ACTIONS CANNOT BE GREATER THAN THAT IMPLIED BY AUTHORITY DELEGATED NOR SHOULD IT BE LESS.

PRINCIPLE OF PARITY OF RESPONSIBILITY AND AUTHORITY

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RECEPTIVENESS WILLINGNESS TO LET GO WILLINGNESS TO LET OTHERS MAKE

MISTAKES WILLINGNESS TO TRUST SUBORDINATES WILLINGNESS TO ESTABLISH AND USE

BROAD CONTROLS

THE ART OF DELEGATION

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EFFECTIVE ORGANISATION.

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FAILURE TO PLAN PROPERLY FAILURE TO DELEGATE AUTHORITY FAILURE TO BALANCE DELEGATION GRANTING AUTHORITY WITHOUT

RESPONSIBILITY HOLDING PEOPLE RESPONSIBLE WHO DO

NOT HAVE AUTHORITY

SOME MISTAKES IN ORGANISING..

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WHAT IS IT? HOW MUCH TO DECENTRALISE?1. Verifiable objectives2. Technique of organisation i.e. state each

manager’s duites and responsibilities3. Character of top leadership4. Stretch span of management to the

maximum5.Promote managers only when they have

good subordinates to take their place

DECENTRALISATION

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COSTLINESS OF THE DECISION UNIFORMITY OF POLICY HISTORY OF THE ENTERPRISE MANAGEMENT PHILOSOPHY ENVIRONMENTAL INFLUENCES AVAILABILITY OF MANAGERS

FACTORS DETERMINING DEGREE OF DECENTRALISATION:

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Decentralization

The delegation of decision making authority to managers throughout the organization

CentralizationDecentralization Minimum freedom Maximum freedom

Decentralization versus Centralization

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Benefits of Decentralization

Lower-level managers are more informed about local conditions

Managers acquire decision-making experience that trains them to assume leadership roles in organization

Managerial independence leads to greater motivation

Decentralization (con’d)

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Costs of Decentralization

Managers may make goal incongruent decisions

Duplication of services (accounting and advertising)

Increased cost of accumulating and processing information

Managers may waste time arguing about shared services

Decentralization (con’d)

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Most companies adopt a blend of decentralized and centralized functions (decentralize marketing but centralize tax planning)

Decentralization is most successful when organization's segments are relatively independent

Diversified Single Industry SingleProduct Line Multi-Product ProductNo Problems Common Problems

Decentralization (con’d)

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Decentralization cannot work unless top management is willing to abide by its managers' decisions

Stepping in and overriding managers' decisions will quickly result in motivational problems

Decentralization (con’d)

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Be careful to separate these two ideas Profit centres hold a manager accountable

for revenues & expenses Decentralized manager has the freedom to

make decisions Cost centre may be more decentralized than

a profit centre if the cost centre manager has more authority

Profit Centres and Decentralization

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write the Nature and Definition of Planning? Discuss Principles and Objectives of

Planning What is Planning process? Explain different

Types of plans? Write the Benefits and pitfalls of planning. What is meant by Principles of organizing?

Discuss various Organization levels with suitable diagrams?

Questions

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1. Discuss various Organizational designs and structure with suitable diagrams

2. What is meant Line and staff organization? Write various Approaches of Delegation of authority?

3. What are the Factors affecting delegation of authority?

4. What is Span of management ? 5. Discuss Centralization and decentralization

of Authority with an illustration.

Questions

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THANK YOU