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College of Education

School of Continuing and Distance Education2014/2015 – 2016/2017

INFS 212

Principles of Management

Session 7 – Organising

Lecturer: Dr. Emmanuel Adjei Department of Information StudiesContact Information: [email protected]

Session Overview

Organising is the second fundamental management function to

be discussed. Basically organising involves dividing the work to

be done, assigning qualified management personnel to the

organisational units, providing the physical factors of work

environment, and determining the dimensions of authority

believed to be necessary to carry out the respective

assignments. While planning determines what tasks need to be

done and in what sequence, organising is concerned with

determining who completes the task and what resources are

required. Usually, planning and organising are inter-related.

Slide 2

Session Overview

For example, many action plans involve a certain amount

of organising. Session 6 is devoted to discussions on

organising as a management function. The areas

covered are: Defining and explaining organising and

organisational structures; job design; type of

organisational structures and Departmentalisation.

Slide 3

Session Objectives

Objectives

At the end of the session, you should be able to

• Define and explain organising

• Distinguish between the main types of organisational

structure

• Discuss the types of Departmentalisation

• Understand the usefulness of organisational charts

Slide 4

Session Outline

The key topics to be covered in the session are as follows:

• Topic One: Defining and explaining organising

• Topic Two: Purpose / importance of organising

• Topic Three: Formal and informal organisation

• Topic Four: Organisational structure

• Topic Five: Departmentalisation

• Topic Six: Information and Organisation

Slide 5

Reading List

1. Robbins, S.P. & DeCenzo D.A. (2008) Fundamentals of Management: Essential concepts and applications, (Sixth Edition), Pearson, Prentice Hall: Upper Saddle River, NJ. (Read Chapter 5, pages 130-151)

2. Chandan JS (2002). Management: Concepts and Strategies. New Delhi, Vikas Publishing House, PVT Ltd (Read Chapters 9 & 10: Pages 201-210 & 224-247).

3. https://www.vidyarthiplus.com/vp/user-20363.html

C. GOKUL AP/ EEE . Principles of management

Slide 6

https://www.vidyarthiplus.com/vp/user-20363.html

DEFINING AND EXPLAINING ORGANISING

Topic One

Slide 7

What is Organising?

• Organising is the process of defining the tasks and

activities to be carried out by a number of people to

achieve particular objectives

• The manager decides how best to group organisational

activities and resources

Slide 8

Defining and Explaining Organising

Nature of Organisation

1. Group of Persons 5. Communication

2. Common objectives 6. Central Authority

3. Division of Work 7. Rules and Regulations

4. Co-ordination 8. Environment

Slide 9


C. GOKUL identifies the following characteristics of

an organisation;

• Group of Persons: An organisation is a group of

people working together for the achievement of

common objectives.

• Common Objectives: Every organisation has

common objectives. The common goal is the basis of

cooperation among the members.

Slide 10


Division of Work:

• Also known as job

specialization.

Organisational task is

divided and assigned to

individuals or members of

a group. Division of work

is necessary because it

enhances efficiency and

effectiveness.

Slide 11


• Co-ordination: The

process of linking

activities of various

departments of the

organisation.

Departments in an

organisation are

willing to help

each other for the

achievement of

desired goals.


• Communication: The basic nature of organisations is the human

processes, behaviour or activities. People integrate and

coordinate their efforts through communication with each other

in order to integrate or coordinate there efforts, and by so

doing, can perform together efficiently.

• Authority: The activities of individuals and groups in an

organisation is regulated and controlled by established

authority relationships. Authority gives management the power

to enforce obedience and give guidance and direction to the

efforts of individuals and groups.

Slide 13


• Rules and Regulations

Rules and regulations are laid down and enforced byorganisations to guide the conduct of members. Rules andregulations specify what actions will be taken or not and whatbehavior is allowed or prohibited.

• Environment

Organisatons are affected by environmental forceswhich include: Economic, Social, Political and Legal factors.

Slide 14


PURPOSE / IMPORTANCE OF ORGANISING

Topic Two

Slide 15

Purpose / Importance of Organising

Slide 16

IMPORTANCE OF Organising

1. Facilitates Administration 2. Encourages

Growth & Diversification

3. Optimum Use of

Technology

4. Stimulates Innovation & Technology

5. Encourages Good Human

Relations

6. Ensures Continuity of

Enterprise

7. Coordination


• Facilitates Administration: Achievement of the objectives

of an enterprise by providing a framework of

coordination and control. Individual goals can be

coordinated towards group goals. A properly balanced

organisation facilitated both management and

operation of the enterprise.

• Encourages Growth & Diversification: It has enabled

organisations to grow and expand to giant sizes. It

provides flexibility for growth without losing control over

various activities.

Slide 17


• Optimum Use of New Technology: Optimum use of

technology permits optimum utilisation of human resources.

Sound organisation ensures that every individual is placed

on the job for which one is best suited.

• Stimulates Innovation & Creativity: It stimulates creative

thinking and initiative on the part of employees. It provides

recognition for the professional and the specialist in terms of

their achievement.

Slide 18


Encourages Good Human Relations: The assignment of

right jobs to right person improves job satisfaction and inter-

personal relations. Well-defined jobs and clear lines of

authority and responsibility ensure good human relations.

Ensures Continuity of Enterprise: It provides scope for the

training and development of future management.

Coordination: Division of labor, better utility of technology

and human talent helps to improve the efficiency and

quality of work.

Slide 19


Setting up an organisation /

Process of Organising

Slide 20

Organisation identifies its objectives, establishes policies and creates plans

Identifies activities necessary to carry out the plans

Groups or categorizes these activities as appropriate to its needs

Grants authority to staff within groups to carry out the activities

Establishes formal relation between the groups and seeks to integrate them

FORMAL AND INFORMAL

ORGANISATION

Topic Three

Formal and Informal organisation

A formal organisation is one in which deliberately constructed to fulfil specific goals. It is characterised by planned division of responsibility and well defined structure.

Slide 22

This is loosely structured,

flexible, and spontaneous

and which develops

because of the informal

activities of organisation

members

Formal Structure Informal Structure

Formal and informal organisation compared

Formal and Informal organisation

Formal and informal compared


ORGANISATIONAL STRUCTURE Slide 24

Topic Four

Organisational Structure

It is a framework within which an organisation

arranges its lines of authorities and communications

and allocates rights and duties.

An organisational structure is represented by a

diagram called organisational chart.

Slide 25

Defining organisational structure


Slide 27

Owner (Manager)

Assistant Manager

Staff Staff Staff Staff

Simple Structure

Tall organisational structure

Slide 28


Flat organisational structure

Slide 29



Departmentalisation and formal structure

DEPARTMENTALISATION

Topic Five

Slide 31

Departmentalisation

The basis by which jobs are grouped together.

Forms (or) Types

Departmentalisation by Function

Departmentalisation by Geography

Departmentalisation by Customer Group

Departmentalisation by Product

Departmentalisation by Process

Slide 33

Departmentalisation

Functional / Divisional Structures

It is based upon specialization and involves the establishment of departments which are responsible for specific functions required by the organisation

Departmentalisation

Departmentalisation

Geographic organisation The categorization of organisational units by

geography

Advantages

• Allows for the use of local employees or sales people

Disadvantages

• Having multiple locations can be costly

Slide 37

Departmentalisation

V

Slide 38

Departmentalisation

Customer organisationThe categorization of organisational units by customers served

Advantages

• Allows employees to identify with a particular customer type

Disadvantages

• Possible duplication of facilities and equipment

Slide 39

Departmentalisation

Departmentalisation

Market structure

Slide 41

Departmentalisation

Hybrid organisation / Matrix Structure An organisational structure that uses multiple types of departmentalisation within the organisation

• A small organisation may have no organisation at first. As it grows , it may organize first on one basis, then another, and then another

• Hybrid organisation share the same advantages and disadvantages as the organisation types being used within it.

Slide 42

Departmentalisation

Departmentalisation

Information and Organizing

• Information about task requirements, methods and resources required

• Information on staff skills, abilities, motivation

• Information on needs of employees to work in particular conditions, methods, teams etc.

• To indicate how tasks relate to each other, and who should do what

Organizing

Purpose Source

Summary

• Organising is the arranging of human and physical resources

into a structure to coordinate and channel everyone’s effort

to accomplish the organisation's objectives.

• It has five basic steps: determining major tasks required,

designing jobs, grouping jobs into departments, creating

authority and reporting relationships, and delegating

authority to subordinate managers.

• Once the major activities of business are divided into

specific tasks, these tasks are grouped in a logical manner.

This is called Departmentalisation.

Slide 45

Summary con’t

• The most common method for grouping business

activities is on the basis of business function. Other

basis of Departmentalisation are product,

geographic, and customer.

• Most firms use a combination of these different types

of Departmentalisation.

Slide 46

Sample Questions

1. Define organisation as a management function.

What do we mean by effective organisations?

2. How does formal organisation differ from informal

organisation?

3. What is Departmentalisation? Discuss the different

types of Departmentalisation known to you.

Slide 47

References

1. Robbins, S.P. & DeCenzo D.A. (2008) Fundamentals of

Management: Essential concepts and applications,

(Sixth Edition), Pearson, Prentice Hall: Upper

Saddle River, NJ. (Read Chapter 5, pages 130-151)

2. Chandan JS (2002). Management: Concepts and

Strategies. New Delhi, Vikas Publishing House, PVT Ltd

(Read Chapters 9 & 10: Pages 201-210 & 224-246).

3.

• rence Slide 48

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