Organizing: The Purpose of The Structure Midterms PDF

**ORGANIZING: THE PURPOSE OF THE STRUCTURE** Organizing defined. - It is the structuring of resources and activities to accomplish objectives in an efficient and effective manner. **THE PURPOSE OF THE STRUCTURE** 1\. It defines the relationships between tasks and authority for individuals...

**ORGANIZING: THE PURPOSE OF THE STRUCTURE** Organizing defined. - It is the structuring of resources and activities to accomplish objectives in an efficient and effective manner. **THE PURPOSE OF THE STRUCTURE** 1\. It defines the relationships between tasks and authority for individuals and departments. 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 groupings 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 must be concern of the following; 1\. ***Division of Labor*** - determining the scope of work and how it is combined in a job. 2\. ***Delegation of Authority*** - the process of assigning various degrees of decision-making authority to subordinates. 3\. ***Departmentation*** - the grouping of related jobs, activities, or processes into major organizational submits. 4\. ***Span of control*** - the number of people who report directly to a given manager. 5\. ***Coordination*** - the linking of activities in the organization that serves to achieve a common goal or objective. **THE FORMAL ORGANIZATION** - It is the structure that details lines of responsibilities, authority and position The formal structure is described by management through: - ***ORGANIZATION CHART***: diagram of the organization\'s official positions and formal lines of authority. - ***ORGANIZATION MANUAL***: provides written descriptions of authority relationships, details the functions of major organizational units, and describes job procedures. - ***POLICY MANUAL***: describes personnel activities and company policies. **THE INFORMAL GROUPS** - It is when members of an organization spontaneously form a group with friendship as a principal reason for belonging. Reasons or factors for joining or forming a group. 1\. Friendship 2\. Common Interest 3\. Proximity (gives people chance to share ideas, opinions) 4\. Need satisfaction (unions, cultural societies, fraternities) 5\. Collective power (rallies) 6\. Group goals (party, sports club) **THE TYPES OF ORGANIZATION** 1\. ***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. 2\. ***Product or market organization***: the organization of a company by divisions that brings together all those involved with a certain type of product of customer. 3\. ***Matrix Organization***: an organizational structure in which each employee reports to both a functional or division manager and to a project or group manager. **THREE TYPES OF AUTHORITY** 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 are in the organization. TWO TYPES OF DEPARTMENT 1\. ***LINE DEPARTMENTS***: perform tasks that reflect the organization's primary goal and mission. 2\. ***STAFF DEPARTMENTS***: include all those that provides specialized skills in support of line department. **CLASSIFICATIONS OF STAFF OFFICERS** 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. **DEFINITION OF COMMITTEE:** - It is a formal group of persons formed for a specific purpose. **CLASSIFICATIONS:** 1\. ***Ad Hoc Committee***: one created for a short-term purpose only and have a limited life. 2\. ***Standing Committee***: relatively permanent committee that deals with issues on an ongoing basis. \[ex. grievance committee\] **STAFFING THE ENGINEERING ORGANIZATION** ***Moving Story*** *In November 1981, the whole 6th floor of the Film Center at the Cultural Center Complex in Manila collapsed while undergoing construction. Many workers and an engineer died.* *Based on the interview of some survivors "a former construction worker was hired to do masonry job when he does not have training in masonry."* *Hence, there was poor staffing.* *This type of story underscores the importance of staffing in any organization, engineering or otherwise.* *Effective staffing, on the other hand places the engineering organization on a competitive stance.* **STAFFING** - The management function that determines human resource needs, recruits, selects, trains and develops human resources for jobs created by an organization. **THE STAFFING PROCEDURES.** 1. **[HUMAN RESOURCE PLANNING:]** The planned output of an organization will require a systematic deployment of human resources at various levels. To be able to do this, the engineer manager will have to involve himself with human resource planning. 2. **[RECRUITMENT:]** Attracting qualified persons to apply for vacant positions in the company so that those who are best suited to serve the company may be selected. - Sources of Applicants i. The organization's current employees. ii. Newspaper advertising iii. Schools iv. Referrals from companies. v. Recruitment firms vi. Competitors 3. **[SELECTION:]** The act of choosing from those that are available the individuals most likely to succeed on the job. - Ways of Determining the Qualifications of a Job Candidate i. Curriculum Vitae ii. References iii. Interviews iv. Testing 4. **[INDUCTION AND ORIENTATION:]** - *INDUCTION*: The new employee is provided with the necessary information about the company. His duties, responsibilities, and benefits are relayed to him. The employee signs the contract of employment. - *ORIENTATION*: The new employee is introduced to the immediate working environment and co-workers, including his working space. 5. **[TRAINING AND DEVELOPMENT:]** The learning that is provided in order to improve performance of the present job. 6. **[PERFORMANCE APPRAISAL:]** - WHY? i. performance and development. ii. To determine merit, pay to increase. iii. To plan for future performance goals. iv. To determine training and development needs v. To assess the promotional potential of the employee. 7. **[EMPLOYMENT DECISIONS:]** After evaluating the performance of the employee, s/he is now subjected to any of the following; i. Monetary rewards ii. Promotion iii. Transfer iv. Demotion 8. **[SEPARATION:]** - *VOLUNTARY SEPARATION*: The employee resigned by himself. (looking for better employment, getting married) - *INVOLUNTARY SEPARATION*: TERMINATION due to poor performance of the employee. **LEADING AND DIRECTING** - It is defined as the process of influencing people so that they will contribute to organizational and group goals. - Managing requires the creation and maintenance of an environment in which individuals work together in groups toward the accomplishment of common objectives. - The manager's job is not to manipulate people but, rather, to recognize what motivates people. **HUMAN FACTORS IN MANAGING** Through the function of leading, managers help people see that they can satisfy their own needs and utilize potential while contributing to the aims of the enterprise. Managers should thus have an understanding of the roles assumed by people and the individuality and personalities of people. **[1. Multiplicity of Roles]** - Individuals are much more than a productive factor in management's plans. - They are members of social systems of many organizations; they are consumers of goods and services, schools, churches, trade associations, and political parties. - In these different roles, they establish laws that govern managers, ethics that guide behavior, and a tradition of human dignity that is a major characteristic of our society. **[2. No Average Person]** - People act in different roles, but they are also different themselves. - It is equally important to acknowledge that individuals are unique---they have different needs, different ambitions, different attitudes, different desires for responsibility, different levels of knowledge and skills, and different potentials. **[3. The Importance of Personal Dignity]** - The concept of individual dignity means that people must be treated with respect, no matter what their position is in the organization. **[4. Consideration of the Whole Person]** - We cannot talk about the nature of people unless we consider the whole person, not just separate and distinct characteristics such as knowledge, attitude, skills, or personality traits. - A person has them all to different degrees. - The human being is a total person affected by external factors. - People cannot divest themselves of the impact of these forces when they come to work. - Managers must recognize these facts and be prepared to deal with them. **MOTIVATION** - A general term applying to the entire class of drives, desires, needs, wishes, and similar forces. **MOTIVATIONAL TECHNIQUES** **[1. Intrinsic Motivation]** - Refers to motivation that is driven by an interest or enjoyment in the task itself, and exists within the individual rather than relying on any external pressure - It may include a feeling of accomplishment and self-actualization. **[2. Extrinsic Motivation]** - Comes from outside of the individual. Common extrinsic motivations are rewards like money and grades, coercion (the practice of forcing another party to behave in an involuntary manner by use of threats, or rewards intimidation, or some other form of pressure or force), and threat of punishment. - Include benefits, recognition, status symbols, and money. Competition is in general extrinsic because it encourages the performer to win and beat others, not to enjoy the intrinsic rewards of the activity. **LEADERSHIP** Leadership is the art or process of influencing people so that they will strive willingly and enthusiastically toward the achievement of group goals. Good leaders are made not born. If you have the desire and willpower, you can become an effective leader. Good leaders develop through a never-ending process of self-study, education, training, and experience. **INGREDIENTS OF LEADERSHIP** **[(1) Trait Approaches to Leadership]** Ralph M. Stogdill found that various researchers had identified specific traits related to leadership ability such as: - 5 physical traits (such as energy, appearance, and height) - 4 intelligence and ability traits - 16 personality traits (such as adaptability, aggressiveness, enthusiasm, and self-confidence), 6 task-related characteristics (such as achievement drive, persistence, and initiative) - 9 social characteristics (such as cooperativeness, interpersonal skills, and administrative ability) **[(2) Transformational and Transactional Leadership Approaches]** - Mahatma Gandhi (1869-1948) is a great example of a transformational leader because he satisfied the needs of his followers. Instead of riding those needs to power, he remained sensitive to a higher purpose. - His vision of leadership went beyond himself. He believed in satisfying the needs of all that followed him. - The transactional leadership theory, developed by Weber and Bass, is based on the hypothesis that followers are motivated through a system of rewards and punishment. - The transactional leader\'s view of the leader - follower relationship is one of quid pro quo - or this for that. If the follower does something good, then they will be rewarded. If the follower does something wrong, then they will be punished. **[(3) Charismatic Leadership Approach]** - Charismatic leadership is based on the leader\'s ability to communicate and behave in ways that reach followers on a basic, emotional way, to inspire and motivate. - According to Robert J. House, charismatic leaders may have certain characteristics, such as: a. being self-confident b. having strong convictions c. articulating a vision d. being able to initiate change e. communicating high expectations f. having a need to influence followers and supporting them g. demonstrating enthusiasm and excitement h. being in touch with reality **[(4) Fiedler's Contingency Approach to Leadership]** - People become leaders not only because of their personality attributes but also because of various situational factors and the interactions between leaders and group members. - Based on leadership style \-\-- task-motivated and relationship-motivated and situation \-\-- leader-member relations, task structure, and position power. **[(5 ) Path-goal Approach to Leadership]** This was developed to describe the way that leaders encourage and support their followers in achieving the goals they have been set by making the path that they should take clear and easy. In particular, leaders: - Clarify the path so subordinates know which way to go. - Remove roadblocks that are stopping them going there. - Increasing the rewards along the route. **LEADERSHIP STYLES BASED ON USE OF AUTHORITY** **[1. Autocratic Leader]** - He commands and expects compliance, is dogmatic and positive, and leads by the ability to withhold or give rewards and punishment. **[2. Democratic or Participative Leader]** - He consults with subordinates and encourages their participation. **[3. Free-rein Leader]** - He uses power very little, if at all, giving subordinates a high degree of independence. **COMMUNICATION** The transfer of information from a sender to a receiver, with the information being understood by the receiver. Communication and management are closely linked. Communication refers to the process by which information is exchanged between two or more people (increasingly, machines are also included in communication, but we limit the discussion here to communication between people). Each of the management roles -- planning, organizing, leading, and controlling - depends on effective communication. Managers must be able to receive accurate information for the plans to be implemented. When information is accurately sent and received, everyone in an organization can be informed. When information is misinterpreted or when incorrect information spreads, communications can create significant problems in organizations. **THE COMMUNICATION MODEL** **THE PURPOSE OF COMMUNICATION** 1. To establish and disseminate the goals of an enterprise. 2. To develop plans for their achievement. 3. To organize human and other resources in the most effective and efficient way. 4. To select, develop, and appraise members of an organization. 5. To lead, direct, motivate, and create a climate in which people want to contribute. 6. To control performance. **COMMUNICATION IN AN ORGANIZATION** **[1. Downward Communication]** - It flows from people at higher levels to those at lower levels in the organizational hierarchy. **[2. Upward Communication]** - Travels from subordinates to superiors and continues up the organizational hierarchy. **[3. Crosswise Communication]** - It includes the horizontal flow of information (among people on the same or similar organizational levels) and the diagonal flow of information (among people at different levels who have no direct reporting relationships with one another). **FORMS OF COMMUNICATION** **[1. Written Communication]** - Communication in written form - Includes pictograms or visuals, letters, memorandums, reports, text messages, electronic messages (e-mail). **[2. Oral or verbal Communication]** - Primarily refers to spoken verbal communication - Includes discussion, speeches, presentations, interpersonal communication and many other varieties. - The body language and voice tonality plays a significant role and may have a greater impact on the listener than the intended content of the spoken words. **[3. Nonverbal Communication]** - Describes the process of conveying meaning in the form of non-word messages through e.g. gestures, body language, or posture; facial expression and eye contact, object communication such as clothing, hairstyles, architectures, symbols, and infographics, as well as through an aggregate of the above. - Non-verbal communication is also called silent language and plays a key role in human day to day life. **COMMUNICATION METHODS** **[1. Primitive or conventional method]** - regular mail ("snail mail"), morse code **[2. Use of information technology]** - wired and wireless telephone, fax machine, voice mail, internet (for e-mail, chatting, etc), teleconference , and videoconference **TIPS FOR IMPROVING WRITTEN COMMUNICATION** - Use simple words and phrases. - Use short and familiar words. - Use personal pronouns (such as "you") whenever appropriate. - Give illustrations and examples; use charts. - Use short sentences and paragraphs. - Use active verbs, such as "The manager plans..." - Avoid unnecessary words. **TIPS FOR IMPROVING ORAL COMMUNICATION** - Communicate with a large audience as you would do in a one-to-one conversation. - Tell a story, an anecdote, and give examples. - Pause---do not rush. In a discussion, a pause shows that you are listening. - Use visual aids such as diagrams, charts, overhead slides, and computer graphic presentations. - Communicate confidence and create trust. This can be done by strong and clear voice, good posture, and a smile. - Use a colorful, specific language and show through your body language that you are confident and are in command of the situation. **ROLES OF COMMUNICATION IN MANAGEMENT** The role of management is to accomplish the goals of an organization. To do this, managers create a plan that defines what needs to be done, when it will be done, and how it will be done. To implement the plan, managers must convey this information to everyone in the organization. That is, they must communicate the plan to members of organization. However, managers need to do much more than just inform people what they need to support the plan. They also must motivate people to support the plan, build commitment to the organization, establish rapport and collaboration, and keep everyone informed of events and actions that affect the organization. Good communication not only informs but also helps to create a culture that makes people feel like they belong to and want to support the organization. The opening example sows what can result from poor communication. *Following are some benefits of effective communication:* ***[Provides Clarity]*** Confusion, uncertainty, and ambiguity make people uncomfortable and uncooperative. Making roles, responsibilities, and relationships clear gives everyone the information they need to do their jobs and to understand their contributions to the organization. Effective communication reduces the cost associated with conflicts, misunderstandings, and mistakes. ***[Builds Relationships]*** A culture that promoted open communication reduces tension between hierarchical levels of employees, both professionally and socially. In a trusting and collaborative culture, people are more likely to seek help with problems and to suggest solutions and improvements. Effective communication creates a collegial culture that fosters teamwork and encourages cooperation. ***[Creates Commitment]*** Effective communication involves not only sending information but also receiving it. By listening to employees\' concerns, allowing them to have input on their work and their workplace, and giving consideration to their suggestions, managers can make everyone in the organization feel like they are valued contributors. When employees feel like they are valued in the organization, they will likely be more engaged and motivated. Effective communication creates support and commitment. ***[Defines Expectations]*** When people are uncertain about what is expected of them and how they will be evaluated, they can\'t do their jobs well. Performance reviews are difficult because the employee does not know the performance standards they are expected to meet. And if corrective measures are necessary, the employee may be resentful if he can\'t see how his behaviors reduced his effectiveness. When expectations and standards are clear, employees know what they need to do to get a positive review and benefits that come with it. These are just a few of the many benefits that come from effective communications. Managers can only reach organizational goals when the people in the organization are committed to the goals. People perform much better when they are informed and involved. **FORMAL AND INFORMAL COMMUNICATION SYSTEM** In most organizations there are both formal and informal information systems. **Formal communication systems** are the methods used to convey information necessary for conducting the business of the organization. **Formal communications** conform to rules and regulations prescribed by the profession or law (for example, formal reporting procedures for tracking injuries in the workplace). This is information that flows within the chain of command or within task responsibilities. The message may be procedures to provide regular progress reports to managers. It may be scheduled meetings to exchange information on the status of a project. Human resources may arrange seminars to convey new policies and procedures. The formal communication system makes sure necessary information flows through the organization and that dissemination of this information is controlled. Not everyone in the organization has access to progress reports or attends project meetings. Formal communication systems ensure that information is available to those who need it and not to others. Not all communication in an organization is formal, and not all communication is controlled. Informal communication systems are outside of the formal system. **Informal systems** can connect almost anyone in an organization to anyone else. They skip over hierarchical levels between departments and functions. In the opening scenario we saw how misinformation spread through the informal system can harm an organization. However, informal communication systems are not necessarily disruptive. In many organizations, the informal network is the primary way information is spread and work gets done. There are some organizations where getting a job done depends more on who you know that what you know. **MAIN TYPES OF INFORMAL COMMUNICATION** 1\. **Social Network -** is a system of personal relationships that cross hierarchical, departmental, and organization boundaries. In a social network, an individual can reach out to anyone else in his network for information or assistance. Through the kinking member, he can also seek help from another group. People with large social networks have access to much information, and linking individuals can spread information through an organization. Linking individuals can be very influential in an organization. 2\. **Grapevine** - is how gossip is spread through an organization. Another term for a grapevine is a ***rumor mill***. Almost everyone engages in gossip in some manner, so it is a very effective way of spreading information. In fact, information often spreads faster through the grapevine than through formal information channels. Unfortunately, the information is not controlled, and it can be distorted or even totally fabricated. The grapevine is particularly important when formal communications are inadequate. People don\'t like to be uncertain about conditions that affect them. When information is not provided by the formal system, they seek and spread information through the grapevine. Unlike a social network, a grapevine is unstructured and transitory, although the grapevine can follow social network links. Informal flows in the grapevine through chance encounters, informal meetings and overheard conversations. Electronic communication and social media has greatly increased the spread and spread of grapevines. WHY IS EFFECTIVE COMMUNICATION IMPORTANT IN MANAGEMENT? To lead others, you must demonstrate effective communication skills. Otherwise, a manager will lack the credibility to implement his employer's objectives, and struggle to really worker teams behind them. Managers who communicate well are also more likely to become good problem solvers, which is an essential skill to function well in an international workplace where diversity is increasingly the norm. Employees who show an aptitude for verbal and written communication are more likely to advance up the corporate ladder, as well. Effective communication between managers and employees is requisite for a well-functioning workplace. *[BETTER EMPLOYEE RELATIONS]* The best managers understand the need for building alliances and communicating throughout all levels of the organization. Effective communication skills are a must for breaking down barriers, which promotes the collaborative atmosphere that an organization needs to thrive. A typical employee's engagement and interest in work varies from day to day. Astute managers accept this reality but can tailor their own communication style to motivate an employee to achieve the desired result. *[GAINS IN PRODUCTIVITY]* Whether they realize it or note, managers are the linchpin of a company's productivity efforts. A manager must clearly articulate strategies and plans so that an employee team knows what to do, and how the company envisions them being carried out. At the same time, each team member should understand his role, and why his particular task is so important. If the manager can't make that case, employees grow complacent and less interested in their work. *[IMPACT OF GLOBALIZATION]* Cross-cultural and linguistic work teams are increasingly common features in today's globalized workplace. Managers must devise new communications strategies to interact with an increasingly multicultural, multinational workforce. Employees also may identify with several different national groups; which managers must consider when trying to communicate a company's goals and objectives. *[MULTIGENERATIONAL RELATIONS]* Conflicts are likely when employees from different generations find themselves working together. Good communications skills are a must for managers wanting to succeed in this environment. For example, the competitive drive of Baby Boomer employees born between 1946 and 1964 may not sit well with Generation X and Y peers, born in 1965 or later, who desire a less intense work life. Managers must avoid blanket stereotypes when trying to encourage the various groups to interact with each productively. *[PROBLEM SOLVING SKILLS]* Effective communication and problem-solving skills go hand in hand. Employees who struggle on the job naturally look to managers for guidance to solve their problems. A manager who lacks discretion, however, is unlikely to gain the trust he needs to address co-worker conflicts, declining performance or substance abuse issues. Failure to address these situations, in turn, jeopardizes the organization's productivity and ability to carry out its mission.