ORGANIZING BUSINESS ACTIVITIES c.

Provide optimum use of technology

d. Promote the development of human capital –
I. OVERVIEW provide training & development
Organization deals w/ e. Stimulate creativity – by providing well-
defined are of work & freedom
 developing the working relationship f. Facilitate organizational stability – ensure
 assignment of duties to people open communication among members
 concepts of authority & responsibility g. Help reduce employee turnover – increases
 how to coordinate efforts & resources to employee satisfaction by treating them well
achieve common goals

IV. ORGANIZATION IN THE MODERN WORKPLACE

I. THE NATURE OF ORGANIZATIONS
Organization needs to adapt to changing
Managerial functions – relevant that orgs need to circumstances based in trends & transitions nowadays.
carry out to achieve its goals
a. Focus of productivity – measure overall
performance
 Productivity – measurement of both
II. DEFINITION OF ORGANIZATION
quality & quantity in relation to inputs in
1. Organizations as a group of people terms of opt.
 Performance effectiveness – output
- characterized as a group or collection of people
measure in that to be effective
contributing their efforts & working together to
 Performance efficiency – input measure
achieve a common goal.
of resource cost
- human element; considered of vital to the success of b. Invest in human capital
an org. c. Increased employee participation – “do as I
say” is replaced with increased employee
2. Organization as a System
involvement
- system; a structured mechanism composed of d. Emphasis on teamwork – helpful in creatively
interrelated parts that work together to undertake a solving problems
function e. Advancement of technology & social media
f. Increased networking – partnership, expand
- cos it is composed of people w/ coop. activities & operation
interrelated function help to achieve common goal g. Prevalence of a “millennial workforce” –
- it is an open system that interacts w/ environment prioritize hiring of “young” blood coz of
continuously obtaining inputs transform to outputs innovative potential, more driven, less
tolerant hierarchy.
3. Organization as a Process h. Focus of work-life balance
- viewed as a process of combining work & tasks to i. Focus on speed – recognize the value of “first
perform. mover advantage”, emphasize timelines.

- it involves grouping activities & assigning activities to

people to accomplish goals. V. ORGANIZING AS MANAGEMENT FUNCTION

Organizing
III. IMPORTANCE OF ORGANIZATION  second function of management
Organization – is a from of human association  the process of arranging people & resources,
designed to attain common objectives dividing works to perform to accomplish goals

a. Facilitate administration – by properly Objective of Organizing

designed & balanced org 1. It structures & allocates resources in an
b. Facilitate growth & diversification – enabling effective & efficient manner
to work as a group & contribute 2. It facilitates the implementation of plans
 3. It facilitates the division of labor - also called “project teams”, ‘task force”, usually
4. It involves assignment of tasks, authority, formed on an ad hoc or “as necessary”
responsibility & accountability to key
- disbanded once the tasks are completed
individuals
5. It coordinates tasks & resources 5. Network Structures

- consists of central org that link w/ others thru

networks of relationships w/ outside contractors &
VI. ORGANIZATION STRUCTURES
suppliers of essential services.
 the way various parts of an org are formally
Strategic Alliance; coop strategy between firms which
arranged
partners share resources to mutual benefit
 it shows the authority & responsibility
relationships between various positions Outsourcing; the process of contracting business
 an establish pattern of formalizing functions from outside suppliers to reduce costs.
relationships
6. Boundaryless Structures
1. Functional Structures
- eliminate internal boundaries among subsystem &
- similar skills & performing similar tasks are grouped external boundaries w/ external environment.
together
- combination of team & network structures
- involves departmentalization & specialization

Disadvantage
VII. ORGANIZATIONAL CHARTS
Functional chimney problems – cos departments have
their own distinct jobs to do that tend to separate one - formally illustrates the established patterns
function to another - it is a diagram/picture representing the principal
2. Divisional Structures lines of authority, the channels of communication &
chain of command
- people who work on the same process/product are
group together or are located in the same Advantages
area/geographical location. 1. gives clear pic of orgs structure & relationship
- common in complex org w/ numerous products 2. shows briefly the lines & responsibility
3. helps avoid misunderstanding of jurisdictional
Disadvantage – tend to increase orgs costs coz of problems
duplication of resources & efforts 4. outsiders can easily know the person to
approach
3. Matrix Structures
5. helps avoid overlapping & duplication of
- combine features of functional & divisional authority
structures to gain advantage and lessen disadvantage 6. serves as valuable guide for new personnel

- composed of dual-reporting relationships; some Disadvantages

managers report to two superiors
1. only shows the formal relationships
- found in multinational corporations 2. not specify the extent/scope of authority
3. cannot include all info
Disadvantage
4. not flexible
Groupitis – characterized by strong team loyalties that 5. employees tend to be too conscious
cause a loss of focus on larger org’s goals. 6. give rise to the feeling of superiority &
inferiority
4. Team Structures
VIII. ORGANIZATIONAL MANUALS
- newer type of orgs structure
- guide that is in the form of book/booklet contains all
- permanent & temporary teams are used to solve the details of the org (policies, authorities, functions,
specialized problems & accomplish day-to-day tasks duties, responsibility, job description)
 1. Policy Manuals – describes the overall rules & 17. Chain of command – line of authority that
regulations. Reveals the broad courses of vertically shows how authority flows from
managerial actions high-low level
2. Operations manual – to inform employees of 18. Span of control - directly reporting to a
established methods & standards of various manager
works 19. Communication
3. Organizational manual – it explains what the 20. Flexibility
orgs is entirely about (duties, responsibilities. 21. Downsizing – slimming down operations to
May be used to promote the orgs to outsiders boost profits & decrease expenses
& others stakeholders 22. Tall vs flat orgs – tall; numerous bureaucratic
4. Departmental practice manual – deals in levels, flat; combine redundant function to
detail w/ the internal policies & orgs lessen bureaucracy
procedure of a specific dept. 23. Outsourcing – hiring from outside the org to
5. Rules & regulations manual – give info about perform
the operating & employment rules of the 24. Homeshoring – moving customer service into
company. worker’s home
25. Employee empowerment – providing oppor.
to grow
IX. ORGANIZATION CONCEPTS & APPLICATIONS

1. Unity of objectives
X. DELEGATION
2. Differentiation – recognizes the orgs is
composed of many diff. units & members that - the process of assigning formal authority &
work in diff. kinds of tasks responsibility for accomplishing a specific task to
3. Departmentalization or specialization – diff. another person.
units & individuals perform diff/specialized
- giving them the right to make decisions & take action
tasks
on behalf of their superior.
4. Coordination – the orderly arrangement of
group effort to provide unity - delegated authority can never be re-delegated,
5. Division of labor – assigning diff task to diff because it is a right and privilege exercised only by a
people manager.
6. Authority – legitimate right to make decisions
7. Lines of authority – points out the flow from The Delegation Process
highest-lowest managerial level 1. Assign responsibility – explains to
8. Responsibility subordinate what the tasks to be delegated
9. Accountability – expectation that employee are & what expectations are required.
will perform a specific job, take corrective 2. Grant Authority – to make decisions on his
action behalf
10. Hierarchy – authority of level 3. Create accountability – requires the
11. Efficiency – attain obj with lowest possible subordinates to report back on the results.
costs
12. Corporate governance
13. Delegation – assignment of responsibilities to XI. FORMAL & INFORMAL ORGANIZATIONS
subordinate Formal Org
14. Centralization – high-level executives make
most decision & pass down to lower levels for - a system of continuously coordinated
implementation activities/forces of two or more persons
15. Decentralization – lower-level managers make
- refers to the structure of well-defined jobs (authority,
decision
responsibility, accountability)
16. Unity of Command – each person accountable
to single superior Informal Org
- refers to relationship between people based on
attitudes, emotions, prejudices, likes, dislikes

XII. ORGANIZATIONAL CULTURE

- the system of shared beliefs & values that shapes &

guides the behavior of the org & gives the org identity.

- also called “corporate culture”

- Larry Senn: it consists of norms, values, & unwritten

rules of conduct

Elements of Organizational Culture

Core Values – underlying assumptions & beliefs.

Provides w/ a basis on why it exists & why it sets to do
what it does

Artifacts – come together to define a culture. These

are the things that one sees, hears, feels/observes

Heroes – founders, role models singled out for special

attention & whose accomplishments are recognized.

- personified embodied of the values & beliefs,

intended to provide inspiration/motivation

Ceremonies, rites, & rituals – gatherings, ceremonies

that celebrates performance accomplishments

Legends & stories – oral histories & tales retold

among its members about historic events of the org

Metaphor & symbols – special use of language &

nonverbal expressions that associate important
themes, values of the org.