ORGANIZING

Presented By : Group 2
 What is Organizing?
-is a management function which refers to “the
structuring of resources and activities to accomplish
objectives in an efficient and effective manner.”​
 What is its purpose?
It defines the relationships between tasks and authority for
individuals and departments.

It defines the formal reporting relationships, the number of

levels in the hierarchy of the organization and the span of
control.
It defines the groupings of individuals into departments and
departments into organization.

It defines the system to effect coordination of effort in both

authority and tasks directions.
1.Division of labor – determining the scope of work and
how it is combined in a job.​
2.Delegation of authority – the process of assigning various
degrees of decision-making authority to subordinates.​
3.Departmentalization – the grouping of related jobs,
activities, or processes into major organizational subunits​
4.Span of control – the number of people who report
directly to a given manager​
5.Coordination – the linking of activities in the organization
that serves to achieve a common goal or objective.
Types of organization
 Formal Organization:
- Structure detailing lines of responsibilities, authority, and
position.
- Planned structure representing deliberate attempts to
establish patterned
relationships among components for effective objective
achievement.

Informal
- Described by management through organization charts,
manuals, and policy documents.

Organization:
- Emerges when organization members spontaneously
form groups based on friendship.
- Often useful for major task accomplishment if
aligned with group members' expectations.
- Vulnerable to expediency, manipulation, and
opportunism, according to Valentine.
 Types of
Organizational
Structure
Functional Organization:
-a form of departmentalization in which everyone is
engaged in one functional activity, such as engineering or
marketing is grouped into one unit.

Product/Market Organization:
-refers to the organization of a company by divisions that
brings together all those involved with a certain type of
product or customer.
.

Matrix Organization:
-an organizational structure in which each employee
reports to both a functional or division manager and to a
project or group manager.

.
 functional
ORGANIZATION
 PRESIDENT

VP HUMAN
VP MARKETING​ VP CONSTRUCTION​ VP FINANVE​
RESOURCE​
 ADVANTAGES disADVANTAGES
• The grouping of employees who perform • Communication and coordination between
a common task permit economies of departments are often poor​
scale and efficient resource use​ • Decisions involving more than one
• Since the chain of command converges at department pile up at the top management
the top of the organization, decision- level and are often delayed.​
• Work specialization and division of labor,
making is centralized, providing unified
which are stressed in a functional
direction from the top.​
organization, produce routine, non-
• Communication and coordination among
motivationg employee tasks.​
employees within each department are
• It is difficult to identify which section or
excellent.​ group is responsible for certain problems.​
• The structure promotes high quality • There is limited view of organizational goals
technical problem solving.​ by employees.​
• The organization is provided with in depth • There is limited general management
skill specialization and development. training for employees.
 PRODUCT/MARKET
ORGANIZATION
 PRESIDENT

VP GOVERNMENT VP INDUSTRIAL VP RESIDENTIAL

ACCOUNTS ACCOUNTS ACCOUNTS

MARKETING MARKETING MARKETING

CONSTRUCTION CONSTRUCTION CONSTRUCTION

FINANCE FINANCE FINANCE

HUMAN HUMAN HUMAN

RESOURCES RESOURCES RESOURCES
 ADVANTAGES disADVANTAGES
• The organization is flexible and
• There is a high possibility of
responsive to change.
duplication of resources across
• The organization provides a high concern
divisions.
for customer’s needs.
• There is less technical depth and
• The organization provides excellent
specialization in divisions
coordination across functional
• There is poor coordination across
departments.
divisions
• There is easy pinpointing of responsibility
• There is less top management
for product problems.
control.
• There is emphasis on overall product and
• There is competition for corporate
division goals.
resources.
• The opportunity for the development of
general management skills is provided.
 matrix
organization
 PRESIDENT

VP GOVERNMENT VP INDUSTRIAL VP RESIDENTIAL

ACCOUNTS ACCOUNTS ACCOUNTS

PROJECT MANAGER CONSTRUCTION PURCHASING

MANAGER CONTRACT ADMINISTRATION
MANAGER
MANAGER

PROJECT X MANAGER ENGINEER A PURCHASING SPECIALIST CONTRACT NEGOTIATOR

PROJECT Y MANAGER ENGINEER B PURCHASING SPECIALIST CONTRACT NEGOTIATOR

PROJECT MANAGER ENGINEER C PURCHASING SPECIALIST CONTRACT NEGOTIATOR

 ADVANTAGES DISADVANTAGES
here is more efficient use of resources than the  There is frustration and confusion from dual chain of

divisional structure. command.

 There is flexibility and adaptability to changing  There is high conflict between divisional and functional

environment. interests.

 The development of both general and functional  There are many meetings and more discussion than

management skills are present action.

 There is interdisciplinary cooperation and any expertise  There is a need for human relations training for key

is available to all divisions. employees and managers.

 Types of Authority

Line Authority Staff Functional

• A manager’s right to tell • Authority
Unlike line authority, staff • Authority
A specialist’s right to
subordinates what to do and authority does not involve oversee lower level
then see that they do it. direct managerial control personnel involved in that
• Line authority follows a direct over operations or specialty, regarding of
and unbroken chain of decision-making. Instead, where the personnel are in
command from top staff functions assist and the organization.
management down to the advise line functions to
lower levels of the
help them achieve their
organization.
objectives more effectively.
 Types of Authority
Line
• Departments
Perform tasks that reflect the organization’s primary
goal and mission. They are responsible for carrying
out the main objectives of the organization,
producing goods or delivering services, and
generating revenue.

Staff Departments
• include all those that provide specialized skills in support of line
departments
Example of staff departments:
a. Personal staff – those individuals assigned to a specific manager
to provide needed staff services.
b. Specialized staff – those individuals providing needed staff
services for the whole organization.
Delegatio
n
 Objective:
-To improve the manager’s overall efficiency by selectively
distributing work for employees to do.

Process:
-Managers delegate the responsibility and needed
authority of doing specific work to employees and create
upward accountability in them for securing the anticipated
results.
 Elements of Delegation
Responsibility Accountability
-involves mental and physical activities -answerability of the obligation to perform
which must be formed to carry out a task, delegated responsibility and to exercise the
duty, or position. authority for the proper performance of
work.

Authority
-the power or right to be obeyed. It is the
sum of the powers and rights entrusted to
make possible the performance of the work
delegated.

Types:
-Line Authority
-Staff Authority
-Function Authority
 PURPOSE OF COMMITTEES
When certain formal groups are deemed inappropriate to meet
expectations, committees are harnessed to achieve
organizational goals.

Ad hoc committee Standing committee

one created for short-term purpose is a relatively permanent committee that
and have a limited life deals with issues on an ongoing basis