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LECTURE 4
REASONS FOR ORGANIZING
Organizing is undertaken to facilitate the implementation of plans. In effective
organizing, steps are undertaken to breakdown the total job into more manageable
man-size jobs. Doing these will make it possible to assign particular task to particular
persons. In turn, these will help facilitate the assignment of authority, responsibility,
and accountability for certain functions and tasks.
ORGANIZING DEFINED
Organizing is a management function which refers to the structuring of resources and
activities to accomplish objectives in an efficient and effective manner.
Vice President
Vice President Vice President
Government
Industrial Accounts Residential Accounts
Accounts
HR HR HR
MATRIX ORGANIZATION
A matrix organization is structure with two (or more) channels of command, two lines
of budget authority, and two sources of performance and reward.
The matrix organization is afforded with the following advantages:
1. There is more efficient use of resources than divisional structure.
2. There is flexibility and adaptability to changing environment.
3. The development of both general and functional management skills are present.
4. These is interdisciplinary cooperation and any expertise is available in all divisions.
5. There are enlarged tasks for employees which motivate them better.
MATRIX ORGANIZATION
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.
TYPICAL MATRIX ORGANIZATION OF A
CONSTRUCTION FIRM
President
3. Functional Authority a specialists right to oversee lower level personnel involved in that
specialty, regardless of where the personnel are in the organizations. Functional authority is
given to a person or a work group to make decisions related to their expertise even of these
decisions concern other departments.
PURPOSE OF COMMITTEES
When certain formal groups are deemed inappropriate to meet expectations, committees are
often times harnessed to achieve organizational goals.
A committee is a formal group of persons formed for a specific purpose. For instance, the
product planning committee, is often staffed by top executives from marketing, production,
research, engineering, and finance, who work part time to evaluate and approve product
ideas.
A committee is classified by the following:
1. Ad hoc Committee one created for the short term purpose and have a limited life.
2. Standing committee it is relatively permanent committee that deals with issues on an on
going basis.