ORGANIZING

Organizing
is a management function which refers
to the “structuring resources and
activities to accomplish objectives in an
efficient and effective manner.
involves assigning duties, grouping
tasks, delegating authority and
responsibility and allocating resources to
carry out a specific plan.
is the process of arranging and


allocating work, authority, and resources

among an organization’s members.
 THEO HAIMANN
“Organizing is the process of defining and
grouping the activities of the entire process and
establishing the authority and relationship among
them”.
ALLEN
Organizing is the process of identifying and
grouping the work to be performed defining and
delegating responsibility and authority and
establishing relationship for the purpose of
enabling people to work most effectively
together in accomplishing objectives.
 ORGANIZATION

Organization is a formalized intentional structure of

roles or position . organization is also a group of
people with specificresponsibilities acting together
for achieving definite purposedetermined by the
organization.

Organization is when two or more people get

together and agree to coordinate their actions in
order to attain their common goals, an
Organization has been born.
 ORGANIZATION
STRUCTURE

is a tool that managers use to

harness(control) resources for getting
things done.
 STRUCTURE
The arrangement of relationship of


positions within an organization.

The result of organizing process is the


structure.
 Purpose of the
Structure
1. It defines the relationships between tasks and
authority for individuals and department.
2. It defines formal reporting relationships, the
number of levels in the hierarchy of the
organization, and the span of control.
3. It defines the grouping of individuals into
departments and departments into organization.
4. It defines the system to effect coordination of
effort in both vertical (authority) and horizontal
(tasks) directions.
 When structuring an organization, the
engineer manager must be concerned with the
following:

 Division of Labor – determining the scope of work and

how it is combined in a job.
 Delegation of Authority – the process of assigning
various degrees of decision-making authority to
subordinates.
 Departmentation- the grouping of related jobs,activities,
or processes into major organizational units.
 Span of Control- the number of people who report
directly to a given manager.
 Coordination- the linking of activities in the
organization that serves to achieve a common goal or
objective.
 THE FORMAL
ORGANIZATION
After a plan is adapted, management
proceed to form an organization to carry
out the activities indicated in the plan.
The formal organization is “the structure
that details lines of responsibilities,
authority, and position. What is depicted
in organization chart is the formal
organization. It is the “planned structure”
and “it represents the deliberate attempt
to establish patterned relationships
among components that will meet the
objectives effectively.
 The formal structure is
describe by management
through:

 Organization chart
 Organizational manual
 Policy manuals.
Organization chart is a diagram of the
organization's official positions and formal
lines of authorithy.It is a diagrammatic
representation of organization structure
show names designation functions of
personnel in a organization.
Organizational manual provides written


descriptions of authority relationships,

details the functions of major organizational
units,and describes job procedure.
Policy manual describes personnel


activities and company policies.

INFORMAL GROUPS
There is instances when members of organization spontaneously
form a group with friendship as a principal reason for belonging.
This group is called an informal group. It is not a part of the
formal organization and it does not have a formal performance
purpose.
Informal groups are often times very useful in the accomplishment
of major tasks, especially if this task conform with the
expectations of members of the informal group.
The informal organization,useful as it is, is “vulnerable to
expediency, manipulation, and opportunism,” according to
Valentine. Its low visibility makes it difficult for management to
detect these perversions,and considerable can be done to the
company.
 The engineer is, therefore , warned that he must be on the
lookout for the possible difficulties that the informal groups may
do to organization..
 TYPES OF
ORGANIZATIONAL
STRUCTURES
 Functional organization - this is a form of


departmentalization in which everyone

engaged in one functional activity, such as
engineering or marketing, is grouped into one
unit.
Product or market organization - this 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
 Advantages of Functional
Organizations
1. The grouping of employees who perform a common
task permit economies of scale and efficient resource
use.
2. Since the chain of command converges at the top of
the organization, decision-making is centralized,
providing a unified direction from the top.
3. Communication and coordination among employees
within each department are excellent.
4. The structure promotes high-quality technical problem
solving.
5.The organization is provided with in depth skill
specialization and development.
6. Employees are provided with career progress within
functional departments.
 Disadvantages of
Functional
Organization
1.Communication and coordination between the
departments re often poor.
2.Decisions involving more than one department pile up at
the top management level and are often delayed.
3.Work specialization and division of labor, which are
stressed in a functional organization,produce routine, non-
motivating employee tasks.
4. It is difficult to identify which section or group is
responsible for certain problems.
5. There is a limited view of organizational goal by
employees.
6. There is limited general management training for
employees.
 PRODUCT or MARKET
ORGANIZATION
An organizational structure in which
each employee reports to, both a
functional or division manager and to a
project or group manager.
 Advantages
1. The organization is flexible and responsive to
change.
2.The organization provides a high concern for
customer's needs.
3. The organization provides excellent
coordination across functional departments.
4. There is easy pinpointing of responsibility for
product problems.
5. The opportunity for the development of
general management skill is provided.
 Disadvantages
1. There is a high possibility of duplication of
resources across divisions.
2. There is less technical depth and
specialization in divisions.
3. There is poor coordination across
divisions.
4. There is less top management control.
5. There is competition for corporate
resources.
 MATRIX
ORGANIZATION
A matrix organization, according to
Thompson and Strickland. “is a structure
with two (or more) channels of command,
two lines of budget authority and two
sources of performance and rewards.
Higgins declared that the matrix structure
was design to keep employees in a
central poll and to allocate them to
various products in the firm according to
the length of the time they were needed.
 Advantages
1. There is more efficient use of
resources than the divisional structure.
2. There is flexibility and adaptability to
changing environment.
3. The development of both general and
functional management skills are
present.
4. There is interdisciplinary corporation
and any expertise is available to all
divisions.
5. There are enlarged tasks for


employees which motivates the better.

 Disadvantages
1. There is frustration and confusion from
dual chain of command
2. There is high conflict between divisional
and functional interests.
3.There are many meetings and more
discussion than action.
4. There is a need for human relations
training for key employees and managers.
5. There is a tendency for power
dominance by one side of the matrix.
 AUTHORITY

the formal and legitimate right of a

manager to make decisions, issues
orders, and allocate resources to achieve
organizationally desired outcomes.
 TYPES OF
AUTHORITY
The delegation of authority is a requisite for effective
organizing.
It consist of three types:

1.Line authority-a manager's right to tell

subordinates what to do and then see that they do it.
2.Staff authority-a staff specialist's right to give
advice to a superior.
3.Functional authority-a specialist's right to oversee
lower level personnel involved in that specialty,
regardless of where the personnel in the
organization.
Line departments perform tasks that reflect the
organization primary goal and mission. In a
construction firm,the department that negotiates
and secures contracts for the firm is a line
department. The constructions divisions also a
line function.
Staff departments include all those that provide
specialized skills in support of line department.
Examples of staff departmentsinclude those which
perform strategic planning, labor relations,
research,accounting, and personnel.
 STAFF OFFICER MAYBE CLASSIFIED INTO
THE FOLLOWING:
1.Personal staff-those individuals assigned to a
specific manager to provide needed staff services.

2.Specialized staff-those individuals providing

needed staff services for the whole organization.
Functional authority is one given to a person
or a work group to make decisions related
their expertise even if this decisions concern
other departments. This authority is given to
most budget officers of organizations, as well
as other officers.
 THE PURPOSE OF COMMITEES

A committee is a formal group of persons

formed for a specific purpose. For
instance,the product planning committee, as
described by Millevo, is often staffed by top
executive from marketing,
production,research engineering, and
finance, who work part-time to evaluate and
approve product ideas.
COMMITTEES MAY BE CLASSIFIED AS
FOLLOWS:
1.Ad hoc committee-one created for a short-term
purpose and have a limited life. An example is
the committee created to manage the
anniversary festivities of a certain firms.

2.Standing committee-it is a relatively permanent

committee that deals with issues on an ongoing
basis. An example is the grievance committee
setup to handle initially complaints from
employeesof the organization.
END