ORGANIZING

NATURE
OF
ORGANIZING
 Organizing is one of the functions of management
where the manager is expected to bring his creativity
to bear. He has to be original and innovative in the
discharge of this function. It can be recalled that we
treated business objectives and the necessary skills a
manager need to have in other to satisfactorily
perform his funtions, design skill is one of those
skills, and the design skill is very much needed in
the function of organizing. Organizing has many
areas to cover. As a result, we shall be starting with
the nature of organizations, types of organization
and the activities of organizing. Organizing can be
thought of as;
1.Identification and classification of required
activities necessary for the accomplishment of the
objectives of the organization.
2.The grouping of the activities identified.
3.The assignment of the activities which have been
grouped (each group of activities)to a manager.
4.Provision of commensurate authority to the
manager so that he can be able to supervise the
group of activities that has been assigned to him,and
5.Co-ordination which ensures that the group of
activities assigned to a manager has a link with other
groups of activities assigned to other managers in
the organization.
Advantage
OF
ORGANIZING
 Having explained briefly what is organizing you
can easily see some of the advantages associated
with it.By creating the different roles that make up
the structure of an organization arises some definite
advantages.
1.The environment, that is, the
internal environment is made
clear.
2.Organizing makes it possible
to determine who is to do what.
3.Organizing again makes it
possible to identify who is
responsible for what result.
4.Removes obstacles.
5.Its makes it possible for smooth
decision making network.
6.Presence of communication
network.
What is Organization?
The term “Organization” is one word that people
use loosely.In one sense,some people look at the
word as including all the behaviors of the people
that work in the establishment.Some other people
regard organization as the total system of social and
cultural relationship.Still others equate an
organization with an enterprise.
 MEANING
OF ORGANIZATION
STRUCTURE
 According to Mullins (2000), structure is the
pattern of relationship along positions in the
organization and among members of the
organization.The purpose of structure is the division
of the work among members of the organization,and
coordination of their activities so they are directed
towards achieving the goals and objectives of the
organization.The structure defines tasks and
responsibilities,work roles and the relationships and
channels of communication.
 Structure makes possible the application of the
process of management and creates a framework of
order and command through which the activities of
the organization can be planned,organized,directed
and controlled.
 Drucker (1989) suggests the organization
structure should satisfy three requirements.These
requirements are as follows:
1.It must be organized for
business performance.
2.The structure should contain
the least possible number of
management levels.
3.Organization structure must
make possible the training and
testing of future top
management.
 Objectives
OF
ORGANIZATIONal
STRUCTURE
 The objectives of the organizational
structure,according to Knight(1977),are as follows:
1.The economic and efficient
performance of the
organization and the level of
resource utilization;
2.Monitoring the activities of
the organization;
3.Accountability for areas of
work undertaken by groups
and individual members of the
organization
4.Coordination of different
parts of the organization and
different areas of work
5.Flexibility in order to respond
to future demands and
development,and adapt to
changing environmental
influences;
6.The social satisfaction of
members working in the
organization
 types
OF
ORGANIZATION
STRUCTUREs
 There are various types of organizational
structures.The basic ones are
functional,product/market,geographic and matrix
types.
1.Functional organizational
structure.
 MARKETING MANAGER

SALES ADVERTISING PRODUCT PURCHASING

MANAGER MANAGER MANAGER MANAGER
2.Product or market structure.
GENERAL GENERAL GENERAL GENERAL
MANAGER MANAGER MANAGER MANAGER
FOODS PERSONAL PHARMACEUTICAL HOUSEHOLD
CARE PRODUCTS
3.Matrix structure.
 dimensions
OF
ORGANIZATION
STRUCTUREs
Organizational structure can be analyzed along
several dimension:
1.Formalization
2.Centralization
3.Complexity
4.Specialization
 Advantages
and
disadvantages
OF
specIalization
of
labor
 ADVANTAGES DISADVANTAGES
1.Workers became very efficient when doing the same 1.Workers fail to develop any sense of pride for the
portion of carped task over and over again. product and service that they are producing.

2.One manager can supervise large numbers of 2.Motivation among workers erodes and a sense of
workers doing identical tasks. alienation from work may develop.

3.Workers can learn specialized jobs much faster 3.Workers may feel that they are not using valued
than jobs requiring many different skills. skills to do their work.

4.Quantity may improve because workers know their 4.Boredom,absenteeism,and turnover among workers
job excellently. may cause quality to decline.

5.The coordination of many specific tasks may be the 5.Workers may be unaware of how their area of
only way for the organization to achieve its complex specialization fits into the overall goal of the
over all goals. organization.
 composition
and
Members
in the
organizational
structure
BOARD OF DIRECTORS
1.Determination of
organizational policy.
2.Determination of
organization objectives.
3.Carrying out appraisal on the
organization.
4.Determination and provision
of adequate funds.
5.Providing schemes of control.
6.Appointment of the managing
director.
THE MANAGING
DIRECTOR
1.He presents organizational
objectives.
2.The managing director issues
appropriate instructions.
3.He maintains co-ordination.
4.He creates and sustains
morale.
THE OPERATING
EXECUTIVES
(complete layer)
1.The financial department.
2.The marketing department.
3.The production department.
4.The personnel department.
Organization
Theories
And
applIcation
 Organizational theory can be explained in terms
of a rational edifice or prescriptions built by people
to explain human behavior in the organization.In
other words,it implies the body of the knowledge
and principles which provides the touchstone for
effective administrative action in organizations.Put
more succinctly,organizational theory enables
people to describe,explain,predict a wide range of
human behavior within organizations.
 Several theories on organization have emerged , all in
an attempt to explain that no organization operates in a
vacuum.According to Scott and Mitchell(1972),the
origins of organizational theory are traceable to
Europe.Frederick Winslow Taylor,Henri Fayol,Max
Weber,Henry Gantt,Frank and Lillian Gilbreth were
major contributors to organization theory.The
developments of the various organizational theories
proposed by these individuals were based on their
experiences in the organizations where there
worked.According to Hills (1980,21),the main features of
Greenfield’s organizational theory as their follows:
•The function of organizational
theory is to describe and not to
prescribe.
•The aim of organizational
theory is to explain and
enlighten.
•The data for the theory can
only be obtained from within
the specific organization.
•Scientists who study the
human being cannot make
statements about the structure
of human behavior in every
context.
•Organizational theory does not
only concern what is explained
but also to whom it is
explained and by what means.
•Organizational theory
provides insight into human
behavior.
•Organizational theories are as
diverse as the individuals
within an organization.
•No universal theory about
organization exists.
 Relevance
Of
Organization
 Organization is a predominant concept and every aspect of human
race is closed associated with organization . The production of goods
and services are all important aspects of organizations. Organization
can be said to be the wealth of nations and which has the following
features; goal , attainment , coordination, planning and procedures.
Organizations since it is the embodiment of common purpose and
unity which offers workers to work together and achieve plans agreed
upon by all the stakeholders towards the realization of corporate
goals, makes organization as a concept very important to
administration. In organization, are two important elements, these
are human resource and material resource. The former includes the
skilled, the semi-skilled and the unskilled. The combination these
elements and personalities makes up the strength of organizations
(Akinwale , 1999). However, the latter comprises the physical as well
as the financial aspects. The two elements (human and material) can
be made to produce effective administrative and management an
organization.
Organization also provides the basis which attracts people to work
together in process of realizing their individual and corporate goals.
 Elements
Of
Good
Organization
•Definite and clear cut
responsibilities should be
assigned to each executive to
prevent frictions.
•Responsibility should always
be accompanied with the
corresponding authority.
•No change should be made in
the scope or responsibilities of
a position without a definite
understanding to that effect on
the part of all concerned.
•No executive or employee ,
occupying a single position in
the organization should be
subject to definite order from
more than one source.
•Order should never be given to
a subordinate without the
prior knowledge of his
immediate executive head.
Rather than do this, the officer
in question should be
supported.
•Criticisms of subordinates
should whenever possible, be
made privately and in no case
should subordinates be
criticized in the presence of
executive or employees of
equal of lower rank.
•No dispute or difference
between executive or
employees as to authority or
responsibility for prompt and
careful adjudication.
•Promotions, wage changes and
disciplinary actions should
always be approved by the
executive’s immediate superior
or to the one directly
responsible.
•No executive or employee
should be the accuser and the
judge of another at the same
time.
 Rational
For
Studying
Organization
Social Transformation
Major Investment
Decisions
Organizational Analysis
Examination of Outcomes
Consolidation and Growth
Organizational Concepts
Organizational Climate
Organization Goals
Organization Culture
Organization and Methods
Group Cohesiveness
Organizational Behavior
Organization Development
delegation
 Another important aspect of organizing is the issue of
delegation of authority. We have been mentioning
repeatedly that a manager should not be given
responsibility without the necessary authority ; neither
should authority be given without responsibility. That is
to say that both authority and responsibility should go
hand in hand. Centralization of authority is a rare case
because absolute centralization means that there is no
organization.
Delegation of Authority
Definition of Delegation of Authority
The Advantages/Benefits
of Delegation
1.It reduces the manger’s
burden since a manager
generally has responsibility for
more tasks than he can
perform. Delegation thus
relieves the manager from
performing duties of routine
nature. He concentrates on
more pressing things.
2.The subordinate to whom the tasks
is delegated to is being developed.
This is because we learn by doing
and it has often been said that
experience is the best teacher. There
are also benefits of participation in
various executive programs,
seminars, workshop among others.
All these and more would not have
materialized if delegation was not
effected.
3.It provides continuity by
making sure that once an
employee leaves, another one
takes over his position and
performs the necessary tasks
since he has been trained
previously through delegation.
4.It makes possible for the organization
to expand because there will be a ready
pool of tested officers (subordinates)
that can be posted to man the new
positions and roles that the organization
has created. Though this, there will be no
hasty arrangements for training in
order to fill the new position neither will
the organization fail to create necessary
new roles simply because there are no
subordinates to occupy the new
positions and the new roles.
5.Delegation of authority is
also a source of motivation
because subordinates are being
developed through challenging
tasks. Successful completion of
the tasks creates a sense of
fulfillment and pride.
Limitation of Delegation of
Authority
1.Some managers will prefer all
activities by making all decisions.
They want to be seen as the live-
wire of the organization and
nothing works without training
and preparing subordinates for
higher responsibility is not their
priority. Such managers are the
type that give assignment but no
commensurate authority.
2.Another problem which is
disadvantageous is the desire by
some managers to dominate and
make their presence felt on every
issue. They like to work under
pressure and keep themselves
busy with appointments and
insisting that subordinates must
approach them with every matter
for approval.
3.Some managers fail to
delegate because they feel that
the subordinates will make
better decisions than the one
they would have made if there
was no delegation.
4.Delegation is retrieved again
by the unwillingness of some
managers to accept risks which
will occur if subordinates
should make decisions. Their
fear is that the subordinate
may take wrong decision.
5.Again another problem area
of delegation is the reluctance
of some subordinates to take
higher responsibility because of
fear of criticism, feeling of
inadequacy and other negative
attitudes.
Condition for Delegation
1.Delegate by expected results:
2.Selecting an appropriate
subordinate for delegation.
3.Maintaining parity of
authority and responsibility.
4.Ensure that each subordinate
receives directives from one
boss.
5.There should be good flow of
communication if delegation is
going to work.
6.There should be appropriate
control in the process of
delegation.
7.There must also be a climate
of confidence.
8.The manager must also have
a strong belief in delegation by
stressing the need for and belief
in the principle pf delegation.
9. Assist the subordinate from
time to time.
 FORMAL
AND
INFORMAL
OrganizationS
Formal Organization
1.There must be policies and
objectives.
2.The activities of individuals in
a formal organization are
coordinated.
3.The persons in a formal
organization must be able to
communicate with one another
through the appropriate
channels which heve been
created.
4.The employees in a formal
organization must share a
purpose .
5.The workers in a formal
organization on the receipt of
necessary directive from their
manager must be willing to act.
Informal Organization
1. The association exists
merely as social
interactions.
2. There is no common or
consciously coordinate joint
purpose among members even
though they may be
contributing to joint result.
3. Compatibility is a major
criterion for such groupings.
Since the informal groups exist
a formal group they can assist
or interfere with the enterprise
interests.
4. The form of punishment that the
informal group members can give
to a member ostracize him. This
means that members of the
informal group will refrain from
and interacting with the member
under punishment until he turns a
“new leaf”.
THE END