staff and organisation- management
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Types and Types and Classification Of Classification Of Organizational Organizational
structuresstructures
Types and Types and Classification Of Classification Of Organizational Organizational
structuresstructures
Group members
• Dhruvin Modi (Group Leader)• Saumya Kotiyan• Prachi Biyala• Hinal Goradia• Priyanka Gholap• Sneha Mishra
What is organization?• Basically, an organization in its
simplest form ,is a person or group of people intentionally organized to accomplish an overall, common goal or set of goals.
What is a structure?ACC. TO KAST AND ROSENZWEIG, “STRUCTURE IS THE ESTABLISHED PATTERN OF RELATIONSHIPS AMONG THE COMPONENT PARTS OF THE ORGANIZATION.”
What is Organizational structure?
• Organizational structure determines the manner and extent to which roles, power, and responsibilities are delegated, controlled, and coordinated, and how information flows between levels of management.
• An structure depends entirely on the organization's objectives and the strategy chosen to achieve them.
Types of organisation
›TRADITIONAL STRUCTURE1.LINE STRUCTURE 2.FUNCTIONAL STRUCTURE
3.LINE & STAFF STRUCTURE
› MODERN STRUCTURE
1. PROJECT STRUCTURE
2.MATRIX STRUCTURE
Line Structure Line Structure is the OLDEST and SIMPLEST form of INTERNAL ORGANIZATION STRUCTURE. It was first developed by the ROMAN ARMY and the latter adopted by ARMIES all over the world. Factory owners also used LINE ORGANIZATION in its purest form in the NINETEENTH CENTURY IN ENGLAND. In LINE ORGANIZATION, top management has complete control and the CHAIN of COMMAND is clear and simple. MANAGEMENT has complete control.
Advantages SIMPLICITY
DISCIPLINE
ECONOMICAL
STRICT CONTROLS
FLEXIBILITY
HIGH MORAL
Disadvantages
Line and Staff Organization
ACCORDING TO LOUIS ALLEN, “LINE REFERS TO THOSE POSITIONS AND ELEMENTS OF AN ORGANIZATION, WHICH HAVE THE RESPOSIBILITY AND AUTHORITY AND ARE ACCOUNTABLE FOR ACCOMPLISHMENT OF PRIMARY OBJECTIVES. STAFF ELEMENTS ARE THOSE WHICH HAVE RESPONSIBILITY AND AUTHORITY FOR PROVIDING ADVICE AND SERVICE TO THE LINE IN ATTAINMENT OF OBJECTIVES.”
Advantages
LESS BURDEN ON EXECUTIVES
SERVICES OF EXPERTS AVAILABLE
LIMITED TENSION ON LINE MANAGERS
BENEFITS OF SPECIALIZATION
TRAINING OPPURTUNITIES TO EMPLOYEES
FLEXIBILITY
Limitations DELAY IN DECISION-MAKING
BUCK PASSING AMONG EXECUTIVES
CONFLICTS BETWEEN LINE AND STAFF
EXECUTIVES
COSTLY ORGANIZATION
COMPLICATED IN OPERATION
DISCIPLINE IS AFFECTED
Reasons for conflicts between line and staff
ARGUMENTS OF LINE EXECUTIVES AGAINST STAFF
DILUTION OF AUTHORITY
LACKS PRACTICAL KNOWLEDGE
LACKS HUMAN SKILLS
DOMINATION OF STAFF MANAGERS
STRESS ON PAPERWORK
ARGUMENTS OF STAFF EXECUTIVES AGAINST LINE
RESISTANCE TO NEW PLANS AND IDEAS
INADEQUATE SUPPORT FROM LINE EXECUTIVES
LIMITED COOPOERATION FROM LINE EXECUTIVES
SUPPLY OF INADEQUATE INFORMATION
Solutions for resolving the conflicts
RELATIONSHIP SHOULD BE NOTED IN WRITING
CLEAR UNDERSTANDING OF STAFF ROLE
FREQUENT MEETINGS
SELECTION OF COMPETENT STAFF
STAFF SHOULD BE TREATED AS TEAM MEMBERS OF THE GROUP
QUICK SETTLEMENT OF CONFLICTS
Project Structure THE TERM PROJECT REFERS TO A UNIQUE AND COMPLEX CLUSTER OF ACTIVITIES TO BE COMPLETED WITHIN FIXED TIME AND COST. THEY ARE DISSOLVED ONCE THE GOAL IS ACHIEVED. EG- THE GOAL MAY BE TO CONSTRUCT A NEW RAILWAY BRIDGE. SPECIALISTS FROM DIFFERENT FUNCTIONAL DEPARTMENTS ARE BROUGHT TOGETHER TO WORK IN HARMONY. THE FUNCTIONAL DEPARTMENT MAY BE PRODUCTION, ENGINEERING, QUALITY CONTROL, PRODUCT ANALYSIS, ETC. WHEN THE PROJECT IS COMPLETED, THESE SPECIALISTS RETURN TO THE RESPECTED DEPARTMENTS
Uses
a) OBJECTIVES
b) TIME-BOUND
c) UNRELATED WITH DAILY ADMINISTRATIVE WORK
d) IN NEED OF SPECIALISED SKILLS
e) ITS TEMPORARY
Limitations CONFLICTS IN APPROACH
LACKS CLARIFY OF ROLES
CONFLICTS BETWEEN DEPARTMENTS
UNCERATIN FUTURE
LACKS CLEARITY OF COMMANDS
Functional organizational
structure• Employees are grouped together
according to their similar tasks, skills or activities. Functional structures are suitable for SMEs with high level of specialization.
The decision making is centralized at the top of the organization.
Benefits of functional organizational
structure• Efficient use of resources;• In-depth skill development;• Clear career paths;• Strategic decisions are made
on the top of the organization.
Disadvantages of functional design
• Slow decision making• Less innovative.• Performance responsibility is
unclear;• Limited management training.• Poor coordination across functions.
Matrix Organization
• Matrix Organization was introduced in USA in the early 1960's. It was used to solve management problems in the Aerospace industry.
• Matrix Organization is a combination of two or more organization structures. For example, Functional Organization and Project Organization.
• The organization is divided into different functions, e.g. Purchase, Production, R & D, etc. Each function has a Functional (Departmental) Manager, e.g. Purchase Manager, Production Manager, etc.
• The organization is also divided on the basis of projects e.g. Project A, Project B, etc. Each project has a Project Manager e.g. Project A Manager, Project B Manager, etc.
• The employees has to work, under two authority (bosses). The authority of functional manager flows downwards while the authority of project manager flows across (sideward). So the authority flows downwards and across. Therefore, it is called “MATRIX ORGANISATION”.
Matrix design
• It implements functional and divisional structures simultaneously in each department.
• The worker in each department is being supervised by two bosses at the same time.
• It is suitable for the following situations:- Environmental pressure exists for a dual focus;- Large amount of information needs to be processed;- Innovations are performed- Organization is working on several projects together.- Efficiency is needed in the use of resources.
Strengths of matrix design
• Provides flexibility;• Encourages resource efficiency;• Enhances skill development;• Increase motivation and
commitment;• Helps top management in planning
process.
Weaknesses of matrix design
• Creates dual authority confusion;• Is time consuming;• Generates high implementation
cost;• Requires interpersonal skill training;• Spawns power struggle.
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