C

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A
P
T
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16 Organizing

©2004 Pearson Education, Inc. Introduction to Hospitality Management, First Edition

Upper Saddle River, New Jersey 07458 John Walker
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P Organization defined:
T
E
R

16 “To arrange activities so that

they systematically contribute
to goal accomplishment.”

©2004 Pearson Education, Inc. Introduction to Hospitality Management, First Edition

Upper Saddle River, New Jersey 07458 John Walker
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P Purpose of Organizing
T
E • Dividing work
R
• Assigning tasks
16 • Coordinating diverse organizational tasks
• Clustering jobs into units
• Establishing relationships
• Establishing formal lines of authority
• Allocating and deploying organizational
resources

©2004 Pearson Education, Inc. Introduction to Hospitality Management, First Edition

Upper Saddle River, New Jersey 07458 John Walker
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P
Work specialization/Division of
T
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Labor
R • Each worker has a
16 specific task
• Each task is
standardized
• Work is repetitive
• Work is broken
into manageable
steps

©2004 Pearson Education, Inc. Introduction to Hospitality Management, First Edition

Upper Saddle River, New Jersey 07458 John Walker
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P Departmentalization
T
E
R
• Coordination of tasks
16 • Methods of departmentalizing
– By function
– By product
– By guest need
– By territory
– Or any combination of the above

©2004 Pearson Education, Inc. Introduction to Hospitality Management, First Edition

Upper Saddle River, New Jersey 07458 John Walker
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P Authority
T
E
R • Comes with title
16 and position
• Two-way
obligation
• Expectations
• Empowerment

©2004 Pearson Education, Inc. Introduction to Hospitality Management, First Edition

Upper Saddle River, New Jersey 07458 John Walker
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P Responsibility
T
E
R
• “rights”
16 • Obligation to perform
• Performance and outcome

©2004 Pearson Education, Inc. Introduction to Hospitality Management, First Edition

Upper Saddle River, New Jersey 07458 John Walker
C
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P Chain of command
T
E • Outlines those with authority from the
R
top down
16 – BOD
– CEO
– Vice-president
• Clearly defined line of authority
• Everyone knows to whom they are to
report

©2004 Pearson Education, Inc. Introduction to Hospitality Management, First Edition

Upper Saddle River, New Jersey 07458 John Walker
C
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P Span of Control
T
E • Number of employees a supervisor can
R
efficiently manage
16 • Factors
– Type of work
– Skill level of employee
– Level of training
– Technology available
– Leadership style
– Management experience

©2004 Pearson Education, Inc. Introduction to Hospitality Management, First Edition

Upper Saddle River, New Jersey 07458 John Walker
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P Empowerment
T
E
R
• Giving employees a degree of decision-
16 making authority
• Allows employees to be flexible when
dealing with difficult situations that do
not necessarily require management
attention
• Increase in guest satisfaction

©2004 Pearson Education, Inc. Introduction to Hospitality Management, First Edition

Upper Saddle River, New Jersey 07458 John Walker
C
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P Centralization v. Decentralization
T
E
R • Decision-making authority lies with top
16 management in a centralized structure
• Lower management and line authority
employees play a role in the decision-
making process in a decentralized
structure
• Today’s companies are moving towards
centralized structures for cost reasons

©2004 Pearson Education, Inc. Introduction to Hospitality Management, First Edition

Upper Saddle River, New Jersey 07458 John Walker
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P Mechanistic organizations
T
E
R
• High specialization
16 • rigid departmentalization
• Narrow spans of control
• High formalization
• Limited information network
• centralized

©2004 Pearson Education, Inc. Introduction to Hospitality Management, First Edition

Upper Saddle River, New Jersey 07458 John Walker
C
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P Organic organization
T
E
R
• Low in complexity
16 • Low in formalization
• Decentralized
• Division of labor of non-standardized
jobs
• Require few rules
• Require little supervision
©2004 Pearson Education, Inc. Introduction to Hospitality Management, First Edition
Upper Saddle River, New Jersey 07458 John Walker
C
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P Contingency factors
T
E
R
• Organizational structure
16 •
Size
• Technology
• Degree of environmental uncertainty

©2004 Pearson Education, Inc. Introduction to Hospitality Management, First Edition

Upper Saddle River, New Jersey 07458 John Walker
C
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P Team-based structure
T
E
R
• TQM model
16 • Front line associates participate
• Team makeup
• Coordination of effort
• Productivity issues

©2004 Pearson Education, Inc. Introduction to Hospitality Management, First Edition

Upper Saddle River, New Jersey 07458 John Walker
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P Matrix structure
T
E
R
• Assigns specialists from different
16 departments to work on projects
– Pool knowledge
– Communication is key
– Decision-making tends to move quicker

©2004 Pearson Education, Inc. Introduction to Hospitality Management, First Edition

Upper Saddle River, New Jersey 07458 John Walker
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P Project structure
T
E
R
• Employee continuously works on
16 projects
• Move to another project once completed
• Members have specific knowledge

©2004 Pearson Education, Inc. Introduction to Hospitality Management, First Edition

Upper Saddle River, New Jersey 07458 John Walker
C
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P Independent Business Units
T
E
R
(IBUs)
16 • Small, independent businesses within a
larger corporate structure
• Approval to implement strategies
• Assists with exposing employees to
revenue and expense issues

©2004 Pearson Education, Inc. Introduction to Hospitality Management, First Edition

Upper Saddle River, New Jersey 07458 John Walker
C
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P Boundaryless organizations
T
E
R
• No pre-defined structure
16 •
Breakdown of external barriers
• Eliminates the chain of command
• Appropriate span of control
• Replace departments with empowered
teams

©2004 Pearson Education, Inc. Introduction to Hospitality Management, First Edition

Upper Saddle River, New Jersey 07458 John Walker
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Encouraging employee involvement
T
E
R • Teams
– Self-managed
16
– Productive
• Job rotation
• Job enlargement
• Job enrichment

©2004 Pearson Education, Inc. Introduction to Hospitality Management, First Edition

Upper Saddle River, New Jersey 07458 John Walker
C
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P Trends in Organizing
T
E
R • Increased used of
16 scheduling programs
• Use of the Internet for
recipe access
• Multitasking
• More decentralization

©2004 Pearson Education, Inc. Introduction to Hospitality Management, First Edition

Upper Saddle River, New Jersey 07458 John Walker