Management
The Organizing Process
Organizing
Process of establishing orderly uses of resources within the management system
Presenter
Presentation Notes
Organizing is the primary method that managers use to activate plans. Organizing helps managers minimize weaknesses and inefficiencies such as duplication of effort and idle resources.
Organizing Skill
Ability to create a network of people who can help solve problems as they occur throughout the organization
Presenter
Presentation Notes
Organizing is the primary method that managers use to activate plans. Organizing helps managers minimize weaknesses and inefficiencies such as duplication of effort and idle resources.
Organizing Activities • Executing the operating plan • Organizing human and material resources so that they are
consistent with objectives • Coordinate activities and effort of employees • Define duties • Reward desirable behavior and discipline faults and errors • Promote coordination between employees and departments
The Organizing Process
Step 4: Allocate resources and directives for subtasks
Step 5: Evaluate results of organizing strategy
Step 1: Reflect on plans and objectives
Step 2: Establish major tasks
Step 3: Divide major tasks into subtasks
MGMT 300 Integrated Core: Management
Division of Labor
Division of Labor Division of labor: assignment of various portions of a particular task among a number of organization members
• Rather than one person do the job several people perform different parts
• Individuals can specialize in doing a part of the task rather than the entire task
Advantages of Division of Labor
Employees gain specialized skill in one task
Only one job to do so don’t lose time
Increased efficency
Task of work does not become burdensome to employees
Disadvantages of Division of Labor
Overlooks human variable
Boring which leads to….
Decreased production
MGMT 300 Integrated Core: Management
Organizational Structure and Dimensioning
Organizational Structure Structure: designated relationships among resources of the
management system
Formal structure: relationships among
organizational resources as outlined by management
Informal structure: patterns of relationships that develop informally among org members
Organizational Structure
Certo, S.C., Certo, S.T. (2016). Modern Management, Concepts & Skills (14th Edition). Boston: Pearson.
Two Types of Dimensioning
Vertical Dimensioning
Extent to which the organization uses vertical
levels to separate job responsibilities
Horizontal Dimensioning: Extent to which
organizations use subdivisions or
specialties within the org
MGMT 300 Integrated Core: Management
Span of Management
Span of Management
Coordination: amount of time that managers need to spend organizing activities of subordinates
Similarity of functions: degree to which activities performed by individuals are similar or dissimilar
Geographic location: degree to which subordinates are physically separated
Complexity of functions: degree to which activities are difficult and involved
Planning: amount of time management must spend determining plans
Span of Management
Factor Increases span of management
Decreases span of management
1. Similarity of functions 2. Geographic contiguity 3. Complexity of functions 4. Coordination 5. Planning
Span of Management Factor Increases span of
management Decreases span of
management
1. Similarity of functions
Span of Management Factor Increases span of
management Decreases span of
management
1. Similarity of functions Subordinates have similar functions
Subordinates have different functions
Span of Management Factor Increases span of
management Decreases span of
management
1. Similarity of functions Subordinates have similar functions
Subordinates have different functions
2. Geographic contiguity
Span of Management Factor Increases span of
management Decreases span of
management
1. Similarity of functions Subordinates have similar functions
Subordinates have different functions
2. Geographic contiguity Subordinates are physically close
Subordinates are physically distant
Span of Management Factor Increases span of
management Decreases span of
management
1. Similarity of functions Subordinates have similar functions
Subordinates have different functions
2. Geographic contiguity Subordinates are physically close
Subordinates are physically distant
3. Complexity of functions
Span of Management Factor Increases span of
management Decreases span of
management
1. Similarity of functions Subordinates have similar functions
Subordinates have different functions
2. Geographic contiguity Subordinates are physically close
Subordinates are physically distant
3. Complexity of functions Subordinates have simple tasks
Subordinates have complex tasks
Span of Management Factor Increases span of
management Decreases span of
management
1. Similarity of functions Subordinates have similar functions
Subordinates have different functions
2. Geographic contiguity Subordinates are physically close
Subordinates are physically distant
3. Complexity of functions Subordinates have simple tasks
Subordinates have complex tasks
4. Coordination
Span of Management Factor Increases span of
management Decreases span of
management
1. Similarity of functions Subordinates have similar functions
Subordinates have different functions
2. Geographic contiguity Subordinates are physically close
Subordinates are physically distant
3. Complexity of functions Subordinates have simple tasks
Subordinates have complex tasks
4. Coordination Work of subordinates needs little coordination
Work of subordinates needs much coordination
Span of Management Factor Increases span of
management Decreases span of
management
1. Similarity of functions Subordinates have similar functions
Subordinates have different functions
2. Geographic contiguity Subordinates are physically close
Subordinates are physically distant
3. Complexity of functions Subordinates have simple tasks
Subordinates have complex tasks
4. Coordination Work of subordinates needs little coordination
Work of subordinates needs much coordination
5. Planning
Span of Management Factor Increases span of
management Decreases span of
management
1. Similarity of functions Subordinates have similar functions
Subordinates have different functions
2. Geographic contiguity Subordinates are physically close
Subordinates are physically distant
3. Complexity of functions Subordinates have simple tasks
Subordinates have complex tasks
4. Coordination Work of subordinates needs little coordination
Work of subordinates needs much coordination
5. Planning Manager spends little time planning
Manager spends much time planning
MGMT 300 Integrated Core: Management
Organizational Height and Dimensioning
Span of Management and Height of Org Chart • Tall organization = smaller span of management • Flat organization = greater span of management
Certo, S.C., Certo, S.T. (2016). Modern Management, Concepts & Skills (14th Edition). Boston: Pearson.
Span of Management
• Horizontal dimensioning: extent to which organizations use lateral subdivisions or specialties within the org
• Departments: unique groups of resources established by management to perform an organizational task
Departments Based on Function
Certo, S.C., Certo, S.T. (2016). Modern Management, Concepts & Skills (14th Edition). Boston: Pearson.
Departments Based on Product or Service
Certo, S.C., Certo, S.T. (2016). Modern Management, Concepts & Skills (14th Edition). Boston: Pearson.
Departments Based on Geography
Certo, S.C., Certo, S.T. (2016). Modern Management, Concepts & Skills (14th Edition). Boston: Pearson.
Departments Based on Customer
Certo, S.C., Certo, S.T. (2016). Modern Management, Concepts & Skills (14th Edition). Boston: Pearson.
Departments Based on Matrix
Certo, S.C., Certo, S.T. (2016). Modern Management, Concepts & Skills (14th Edition). Boston: Pearson.
MGMT 300 Integrated Core: Management
Change and the Change Agent
Organizational Change
Process of modifying an existing organization to increase organizational effectiveness
Presenter
Presentation Notes
Organizing is the primary method that managers use to activate plans. Organizing helps managers minimize weaknesses and inefficiencies such as duplication of effort and idle resources.
GM “Think List” 1. Can a machine be used to do a better or faster job? 2. Can the fixture now in use be improved? 3. Can handling of materials for the machine be
improved? 4. Can a special tool be used to combine the
operations? 5. Can the operation be made safer? 6. Can procedures be simplified?
Presenter
Presentation Notes
Customer needs change, technology changes. Orgs need managers who can assess the need to change and implement the necessary changes.
Change Agent
Individuals Affected
Type of change to be made and what should be changed
Evaluation of change
Five Factors of Successful Change
Change Agent
Individuals Affected
Type of change to be made and what should be changed
Evaluation of change
Five Factors of Successful Change Change agent: individual inside or outside the org who tries to modify the existing org situation
Should have ability to: • determine how a change should be made • solve change-related problems • use tools to influence people during a
change • determine how much change the org can
take
MGMT 300 Integrated Core: Management
Main Types of Changes in Organizations
Change Agent
Individuals Affected
Type of change to be made and what should be changed
Evaluation of change
Five Factors of Successful Change
Is the change focused on…
Structure? Technology?
People? OR
Change Agent
Individuals Affected
Type of change to be made and what should be changed
Evaluation of change
Five Factors of Successful Change Structural change: aimed at increasing effectiveness by modifying existing org structure
Decentralizing to increase motivation and flexibility
Change Agent
Individuals Affected
Type of change to be made and what should be changed
Evaluation of change
Five Factors of Successful Change Structural change: aimed at increasing effectiveness by modifying existing org structure
Certo, S.C., Certo, S.T. (2016). Modern Management, Concepts & Skills (14th Edition). Boston: Pearson.
Change Agent
Individuals Affected
Type of change to be made and what should be changed
Evaluation of change
Five Factors of Successful Change People change: changing characteristics of org members such as their attitudes and skills
Rewarding desired behavior
Change Agent
Individuals Affected
Type of change to be made and what should be changed
Evaluation of change
Five Factors of Successful Change Technological change: modifying the level of technology in the management system
Technology to change processes
Technology to change equipment
MGMT 300 Integrated Core: Management
Resistance to Change
Change Agent
Individuals Affected
Type of change to be made and what should be changed
Evaluation of change
Five Factors of Successful Change
Why might employees be resistant to change?
Change Agent
Individuals Affected
Type of change to be made and what should be changed
Evaluation of change
Five Factors of Successful Change Resistance to change: individuals often fear…
Personal loss Reduction in prestige
Disturbance of new relationships
Personal failures
Change Agent
Individuals Affected
Type of change to be made and what should be changed
Evaluation of change
Five Factors of Successful Change
How can managers reduce resistance to change?
• Avoid surprises • Promote genuine understanding • Set the stage for change • Make the change tentative
MGMT 300 Integrated Core: Management
Evaluating Change and Virtuality
Change Agent
Individuals Affected
Type of change to be made and what should be changed
Evaluation of change
Five Factors of Successful Change • Evaluate whether the change is
increasing effectiveness
• Evaluate whether the steps involved with the change should be modified for the next change
• Watch for signs that further change might be necessary
Virtuality • Increasingly commonplace type of organizational
change • Different degrees of virtuality Virtual corporation: all employees, suppliers, and
customers are virtual Virtual teams: members in geographically dispersed
locations “meet” via real-time messaging Virtual training: using internet-assisted learning materials
Pros and Cons of Virtual Offices
Pros • Saving on costs of real estate
and rental costs
• Some research shows that employees work faster and are less interrupted when working from home
• Virtuality can be used to make employees more efficient (i.e. by addressing customer problems faster)
Cons • Difficult to create an
organizational culture
• Difficult to supervise workers
• Communication more difficult
