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To accomplish the goals and objectives of the organization efficiently and effectively, human and
material resources are essential.
An organization includes people working together for a common purpose while working in
different areas. Relationships are emphasized in an organization. The structural design of an
organization may vary from bureaucratic or hierarchic to adhocracy or organic unit but its success
depends on the skills of the manager.
It is important that the student should have n understanding of the concepts of organization to
prepare him or her for beginning professional nursing. The concepts include organizational structure,
organizational chart, and organizational principles.
ORGANIZATIONAL STRUCTURE
The organizational structure provides the framework in which management process is carried
out in an organization. It is designed to show clear lines of authority, flow communication and
relationships among the various departments, and to pinpoint persons or responsible and
accountable.
Stoner defines organizational structure or design as the formal mechanism through which the
organization is managed. In Chandler’s words:
“It includes first, the lies of authority and communication between the different administrative offices
and officers, and second, the information and data that flow through these lines of communication
and authority. Such lines and such data are essential to assure the effective coordination, appraisal,
and planning so necessary in carrying out the basic goals and policies ad in uniting together the total
resources of the enterprise”.
There are two types of organizational structure: the formal type, which is planned and made
public; and the informal type, which is unplanned and covert.
1. Informal Structure
The informal organizational structure consists of personal and social relationships among the
members of the organization chart. It is though the informal structure that the people with little or no
formal status or position may gain recognition. This unofficial personal relationship among workers
may influences also has its own channel of communication called the grapevine, where information is
disseminated faster than in the formal system of Communication. However, information transmitted
through the grapevine may or may
2. Formal Structure
The formal Structure describes the positions, the responsibilities of those occupying the positions,
and the working relationships among the various units of departments. There are two basics forms
formal organization structure: the hierarchic or bureaucratic model and the adaptive or organic model.
Hierarchic or Bureaucratic Model
This model is designed to facilities large-scale administration by coordinating the work of many
personnel. It is associated with subdivisions, specializations, technical qualifications, rules and
standards, impersonality, and technical efficiency.
Gillies describe a hierarchical structure or pure line as straight forwards, and a direct chain of
command pattern that emphasizes superior-subordinate relationships. The line organization is more
efficient than another type of structure because it provides clear authority-responsibility relationships
between workers at all levels and requires less information transmission between managers and
workers than do more complex organizations.
Tomey describes the adaptive or organic model as newer organizational frameworks that are
more free form, open, flexible, and fluid than the older bureaucratic models. The assumptions, aims
and structures of the adaptive or organic model differ from those of the bureaucratic model on the
following aspects:
Other characteristics of an organic model are: (a) motivation is not derived from supervision
but rather from the needs of the system, peer pressure and task-related factors; (b) rewards and
recognitions are based on the results of individual and group work rather than on subjective
evaluations from supervisors or managers; and (c) management is participative.
Adhocracy organizational models consist of several types of structures, as follows : free form,
collegial management, project management, task force, and matrix organization.
a. Free Form. Free form organizational structure stresses open communication, consensus,
independent judgment and self-regulation. Organizational charts, manuals, job descriptions and
position titles are minimized in this type of organizational structure to increase flexibility in the
organization. Managers in this structural design must be dynamic, should be willing to take risks and
can manage change.
b. Collegial Management. Collegial management enhances democratic management. It
limits autocratic leadership and ensures that each functional area of the organization is represented.
It maintains a division and balance of power among top management through collective responsibility.
Directors are well informed about other functional areas which will help broaden their approach to
problem solving.
c. Project Management. Project management organizational structure is useful for long-
range projects that need much panning, coordination, and research. The most common type of
project management is the general or functional management. In this type, department heads
manage activities of the functional groups. The function of the general manager is to coordinate the
activities. There is no central authority and decisions are made not from the best interest of the
project but to the advantage of the strongest functional group. An advantage of this organizational
structure is that lead time between planning and production and decision making is increased
because the coordination and approval of all functional groups are required.
The other type of project management is aggregate management. The manager in this type
is appointed, has his own staff, and has fully authority and control over the projects. The people
involved in the project report direct to him. An advantage f this type is that people involved have the
tendency to be loyal to the project because at the moment, that is their only job.
d. Task Forces. The forces are organized for special projects that are short-range. It is a
temporary assignment of a group of people who have been selected because of their special
qualifications and expertise. They are relieved of their usual task and duties to concentrate on the
project which other wise could not be accomplished while performing their usual work. Having task
forces can be an efficient method of problem-solving ad can offer opportunities for training of would-
be-managers.
e. Matrix Organization. Matrix organizational design is a structure within the formal
bureaucratic design. T allows the creation of groups within the organization itself. Although the groups
may belong to various departments or units, they have common goals and vision.
It is a dynamic organization. It fosters flexibility in dealing with organizational changes and
uncertainties. Decision-making, which is made at the middle management level, provides greater
opportunities for personnel development, increases motivation, and encourages group consensus.
Conflicts are inevitable in organizations because the structure is complex. In the matrix design,
increased communication is encouraged and enhanced. Differences of opinion are likewise
recognized and dealt with the soonest possible time. Team building between departments is
encouraged and consultants are utilized as connections between departments.
ORGANIZATIONAL CHARTS
An organizational chart is a drawing that shows how the parts of an organization are linked. It
depicts the formal organizational relationships, areas of responsibility, persons to whom one is
accountable, and channels of communication.
Murray and DiCroce describe an organizational chart as a graphic representation of the chain
of authority from chief executive to each member of the organization. The organizational chart depicts
the chain of command, division of work, levels of management, and functional communication
pattern.
The vertical chart or tall structure depicts to chief executive at the top with lines of authority
flowing down the hierarchy. This structure is most effective when managers desire better coordination
and effective communication. Furthermore, this structure clearly defines the relationships between
and among the different levels in the organization. More attention is given to messages which come
from managers than those from the lower echelons. Members, however, are given more opportunities
to participate in decision-making activities because of limited or small span of control.
The horizontal or flat chart depicts the manager at the top with a wide span of control. The
levels of management are not shown in flat chart. Employees in this structure report to one manager.
They have more freedom. Head nurses or frontline managers are given more authority.
Communication in this structure is direct, simple and fast with minimal distortions of messages since
the distance between top and lower levels s shorter.
The concentric or circular organization chart depicts top management in the center
represented by the Board of Trustees or Directors, Chief of Hospital or Hospital Administrator and the
Chief Nurse. Those in the middle and lower levels of management such as the nurse supervisor,
charge nurse and staff nurse are in concentric circles. This chart shows the outward flow of formal
authority which is from the center moving outward. This type f structure minimizes or reduces the
implications of status on positions. It represents a conceptual, rather than a functional, view of the
organization.
Staff Authority
Staff authority refers to a form of influence used by specialized individuals who hold unique
roles in the organization and who, while not directly responsible for employees, are involved with the
outcome of the employees’ work. An example is a clinical nurse specialist who has a staff position in
relationship to employees. Staff authority is depicted by a dashed line on an organizational chart.
Staff supports line-authority relationship by serving as consultants or advisers. They are responsible
for lacing data, providing details and offering counsel on managerial problems.
PRINCIPLES OF ORGANIZATION
In a bureaucratic organizational structure, certain principles are observed for efficient and
effective functioning of its personnel. As a manager, you must observe the following principles:
HOSPITAL ADMINISTRATOR
CHIEF NURSE
NURSE SUPERVISOR
HEAD NURSE