management presentation chapter 10

8/4/2019 Management Presentation Chapter 10

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Organizing involves developing aninternational structure of roles for effectiveperformance. In simple words the act ofrearranging for effective performance.


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Network of decisionEnterprise goalsCommunication centers for coordinatingefforts towards groupStructure must be understoodPrinciples must be put into practice


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Mistakes can be avoided by planning forideal organization and makingmodifications for Human and Situationalfactors


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The search for an ideal organization toreflect enterprise goals under givencircumstances is the impetus to planning .

Search entails : Charting main lines of organization Considering Org philosophy of managerswhether authority should be centralized oroperations should be divided (product orterritory)


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Sketching out consequent authorityrelationship Ideal Organization planconstitutes a standard and comparison with

standard determines what change should bemade when possibleWhat may work in one Org may not work in

an other Principles of organizing have

general application Background of enterpriseoperation and needs must be considered inapplying these principles


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If available personnel do not fit in the idealstructure or can / should not be pushedaside then modify structure to fit individualCapabilities, Attitudes or Limitations. It mayseem like organizing around people .However , First organizing around goals

to be met. Second Activities to beundertaken and then modify for human

factors


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Organizational Planning &Design provides a systemic framework fortaking the bi-products of the strategicplanning process and drilling-down furtherto identify and establish the organizationstructures, roles, relationships, processes,

technologies, reward system and otherrequirements necessary to fulfill the statedstrategies.


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Detailed plans for moving the organizationforwardDetailed descriptions of key businessprocessesDetailed specifications regarding structures,roles, and systemsEstablished and reinforced pro-activemindset

Plans for measuring, recognizing andrewarding accomplishmentsImproved attainment of goals and objectives


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Reorganization is intended to respondto changes in org environment. Thereasons for Reorganization :


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Changes in operation caused byacquisition or sale of propertyChanges in product line

Changes in marketing method Business cycles Competitive influences New production techniques Labor union policies Government regularity or fiscal policies New heads, CEs, GMs


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Deficiencies in existing structureExcessive span of management Excessive number of committees

Lack of uniform policies Failure to accomplish objectives Inability to meet schedules Excessive costs Breakdown of financial control Personality clashes and failure of

managers


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There should be moderate and continuingchanges to prevent structure fromstagnating


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Line Staff Problem A difficult preposition A source of great inefficiency Solution requires Good managerial skills Careful attention to principle

Patient teaching of personnel


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Clarifying authority relationshipMany jobs have elements of both line and

staffThey are authority relationshipsManagers must understand authorityrelationship to solve problem between line

and staff Managers must not regard lineand staff as groups of people or activities


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Line and staff must coordinate andcooperateIt results in smooth sailing of proposalJoint effort by staff / line has betterchances of approval


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Common criticisms of staff Line works in vacuum Dont appreciate complexity of line managersjob Overlook important facts in making

recommendations Specialists should deal with matters within

their competence

Field must inform staff about problems forcorrection


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To be helpful staff recommendations must becomplete

Staff should be problem solver Complete staff work implies Clear recommendations based on full

consideration of problems, Clearance with concerned people Suggestions to avoid difficulties

Often preparation of paper work, letters,directives ,job description and jobspecification


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Understanding staff authority laysfoundation of organizational way of lifeStaff responsibility is to develop andmaintain a climate of favorable personalrelations and make the responsibleline managers look good help them do a

better job


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Major reason for conflictPeople do not understand their /co workers

assignment Understanding is aided by Proper use of organizational chartsAccurate job descriptionSpelling out of authority and informational

relationship Introduction of specific goals for specific

positions


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Subordinates superior relationship isclarified through reporting relationships

Reveals how people are tied in the entirestructure

Chart maps lines of DM authoritySometimes shows inconsistencies and

complexities thus leads to their corrections


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Does not show how much authority at anygiven point

Many charts show structures as they are

supposed to be rather than as they reallyare

Individuals may confuse authority

relationship with status Charts do not always conform to level of

enterprise importance


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States basic functions of a positionAreas of managers responsibilityReporting relationship involved


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Jobs are analyzedDuties / responsibilities are brought into

focusOverlapping , neglected duties come into

lightSetting salary levels

Help training new managersGive standard to compare if a position is

required or not


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Members must understand workings offormal informal organization

1. Teaching the nature of organizing

Well written organization manual(Philosophy, Programs, Charts, Jobdescriptions)

Org structure into written wordsTeaching and briefing.


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2. Importance of informal org andgrapevine

Informal organizations rise from formal orgs.

Include relationships not chartedUnwritten rules of org conductPeople having power not through org

position


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3. GrapevineInformal org exists when people know others

& pass info

Info spreads fast between people whotrust one anotherGrapevine thrives on info not openly

available to group


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4. BenefitsBrings cohesiveness to formal orgGives sense of belonging, status, self

respect & satisfactionused to improve employees moraleUsed as communication channel


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Organization Culture General pattern ofbehavior shared beliefs, and values thatorganization members have incommon


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Can be inferred from what people say, doand think within an org settingKey challenge for organizations today is toinstall & sustain an Organizational culture

that encourages knowledge sharing.Individual entering an organization bringalong learned values & belief systems .Organizations influence them through Norms,

Philosophies, Rules, Rituals, Pay systems,Jargon, Jokes and General climate inherentin the organizational culture


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Definition recognizes importance of sharednorms & values that guide organizationalparticipants behavior. Characteristics

representing Org culture include Observedbehavioral regularities , Norms, Dominantvalues, Philosophy, Rules and,

Organizational climate


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Dominant culture Set of core valuesshared by a majority of membersSubculture Set of values shared by a

small minority of membersSubcultures can weaken & undermine anOrg if they are in conflict with dominant

culture or overall organizational objectives.


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Founders influenceInitial core group sharing common visionwith founder

Founding core group creates organizationCommon history is developed withaddition of others


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Steps to accept & maintain core valuesCareful selection of entry level candidates.Recognition and promotion of individuals

who can serve as role models tonewcomers.


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Mastery of the job.Measuring and rewarding individualperformance

Reinforcing Org stories & folklore thatvalidate cultureIndividual adherence to important values

helps reconcile personal sacrifices broughtabout by their membership in theorganization.


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Change in hiring practicesReward structurePromotions & reassignment of organizationalpriorities

SuggestionsAssess current culture;Set realistic goals that impact the bottom lineRecruit outside personnel with industry experienceMake changes from the top down

Include employees in change processExpect to have some problems & find people whowould rather move than change .. andMove quickly & decisively; and remain persistent


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With globalizationa reality, cross-borderalliances are now common. Thesealliances, and acquisitions ofteninvolve

culture clash i.e. org structure, politics &emotions.


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management presentation chapter 10

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