ORGANIZING

Function of Management

What do managers do when they organize?

Organizing: arranging and structuring work to accomplish the ‘organizations’ goals.

Organizing structure: the formal arrangement of jobs within an organization.

Organizational design: changing or developing an organization’s structure.

Six Elements of Organizational Structure

1. Work Specialization: dividing work activities into separate job tasks.

2. Departmentalization: grouping like jobs back together. (Functional, product, geographical, process and customer)

Six Elements of Organizational Structure

3. Chain of Command: line of authority from top to bottom of organization clarifying who reports to whom.

Authority – rights inherent in managerial position to tell others what to do and to expect them to do it.

Responsibility – obligation to perform assigned duties.

Unity of Command – idea that each person should report to only one manager.

4. Span of Control: number of employee that a manager manages.* Depends on skill and abilities of manager and employees and work characteristics.

Six Elements of Organizational Structure

5. Centralization – Decentralization: where decision making is concentrated.Employee Empowerment – giving employees more authority to make decisions.

6. Formalization: extent to which employees jobs are standardized and controlled.

Factors that affect the type of organizational structure managers design.

1. Strategy- As strategy changes, structure changes to support strategy.

2. Size-Large organizations tend to be more mechanistic.

3. Technology

4. Degree of environmental uncertainty.

Common types of Organizational Designs.

Traditional:1. Simple structure – Organizational design with low departmentalization wide spans of control, centralized authority and little formalization.2. Functional structure – organizational design that groups similar or related occupational specialties together.3. Divisional structure – organizational structure made up of separate, semi –autonomous units or divisions.

Common types of Organizational Designs.

Contemporary:1. Team structure – organizational structure in which the entire organization is made up of work groups or teams.

2. Matrix structure – organizational structure in which employee continuously work on projects.

3. Project structure – organizational on which employees continuously work on projects

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Communication

-The transfer and understanding of meaning.

-Effective communication is when a transmitted thought or idea is received and understood by the receiver as it was intended by the sender.

Functions of communication

1. Acts to control behaviour.2. Encourages motivation.3. Provides a release to emotional

expression of feeling and for fulfilment of social needs.

4. Provides information.

Interpersonal Communication Process

• A communication source or sender.• Message• Encoding• The channel• Decoding• Receiver• Feedback

Why does communication break down?

• Filtering• Emotions• Information overload• Selective perception• Defensiveness• Language• Culture

Human Resource Management

An important strategic tool that helps organization establish sustainable competitive advantage.

How do organizations identify and select competent employees.

Identify: Recruitment process.Select: Predict which candidates will be good or not

so good using valid and reliable selection tools.• Application Forms• Background investigation• Realistic job preview• Interviews• Written Test

How do organizations help employees adapt and stay up-to-date?

Orientation: Introduction of new employee to his or her job and the organization.

Training: What types of training do employees need? What method will be used to train?

How do managers know whether employees are performing jobs well?

• Written Essays• Graphic rating scales• Multi person comparison• 360-degree feedback

HR issues Currently facing managers

• Managing Downsizing.• Managing workforce diversity. (recruiting ,

selecting and orienting/training)• Work-family life balance.• Controlling HR costs.