2. TYPES OF OPERATION
MANAGEMENT
Division of
Work
1 2 3 4
Horizontal and
Vertical Job
Specialization
Span of
Control
Bureaucratic
Structures
5 Formal Organizations vs. Informal Organizations
3. Division of Work
• This is the fundamental force
in industrialization that
describes how organizational
work is to be accomplished.
• This involves designing tasks
and clarifying individual
performance expectations.
Organizations divide their
labor into specialized tasks to
improve productivity.
4. Specialization
Specialization is the planned
division of work into individual
tasks that can be repeated
efficiently.
This process of planning the
works and breaking it down to
most common elements is called
work simplification. As employees
become familiar with methods,
standardized work is achieved.
5. Standardization
Standardization is the process
of making work uniform through
repeated use of similar methods,
machines and materials to
achieve similar and predictable
results over time.
• Doctors, lawyers, engineers and
educators attain high degree of
specialization in extremely complex
and challenging occupations.
6. Horizontal and Vertical Job
Specialization
Horizontal Vertical
- is the result of dividing
complicated tasks into
simpler jobs or operations,
reducing the scope of tasks.
- results from delegating
responsibilities for tasks and
decisions to subordinates.
7. Horizontal and Vertical
Job Specialization
a. Horizontal Job Specialization
1 2 3 4 5 6
Task with six
operations
1 2 3 4 5 6
Broken into
six tasks
=
8. Horizontal and Vertical
Job Specialization
b. Vertical Job Specialization
Leadership
Management becomes
overloaded; depth of
responsibilities rise
Marketing
Operations
Finance
Reduces leadership duties
Delegates marketing and sales
Hires operations managers
Promotes accountant
Vertical job specialization
relocates tasks and
responsibilities
9. Span of Control
Span of Control is the number
of persons who report to a
supervisor.
It has two important implications:
• first, it is influential in determining the complexity of
individual managers jobs; all things equal, it is easier to
manage six persons rather than ten.
• Second, the span of control determines the shape, or
configuration of the organization, the fewer the number of
people reporting to a supervisor, the larger the number of
managers required.
10. Span of Control
One early writer, A.V. Graicunas, attempted to quantify
problems with the span of management." He noted that a
manager must deal with three kinds of interaction with and
among subordinates:
1. Direct - the manager's one-to-one relationship with
each subordinate;
2. Cross - among the subordinates themselves, and
3. Group - between groups of subordinates.
The number of possible interaction of all types between a
manager and subordinates can be determined by the
following formula:
¿
11. Span of Control
¿
Where:
I – is the total number of interaction
with and among subordinates
N – is the number of subordinates
Therefore:
= 2(4/2+2-1)
= 2(3)
= 6
12. Span of Control
Davis, described two kinds of span:
• Operative span for lower-level
managers; and
• Executive span for middle and top
managers.
He argued that operative span of
control could approach thirty
subordinates, whereas executive span
should be limited to three to nine,
depending on the nature of the manager's
job, the growth rate of the company, and
13. NARROW AND WIDE SPAN OF CONTROL
a. Narrow Span of Control
President
Senior Supervisor
(3)
Senior Supervisor
(3)
Jr. S
(8)
Jr. S
(8)
Jr. S
(8)
Jr. S
(8)
Jr. S
(8)
Jr. S
(8)
14. NARROW AND WIDE SPAN OF CONTROL
b. Wide Span of Control
President
Senior Supervisor
(24)
Senior Supervisor
(24)
Jr. S
(8)
Jr. S
(8)
Jr. S
(8)
Jr. S
(8)
15. Formalized organization, particularly in the public sector, are labeled bureaucracies.
• Bureaucracy is a form of organization in which activities are rationally defined, division of work is
unambiguous, and managerial authority is explicitly vested in individuals according to skills and
responsibilities prescribed by the organizations.
Five characteristics of modern bureaucracies are:
1. Fixed and
official
jurisdictions of
authority.
Bureaucratic Structures
2. Firmly
established
rational chain of
command.
3. Quantified
and thoroughly
documented
information.
4. Supposition
of
expertise.
5. Management
is technically
scientific.
17. Formal Organizations vs. Informal
Organizations
FORMAL INFORMAL
Formal organizations begins
with the preplanned patterns
authority and influence- the
planned 'authority of superior
over subordinates.
Informal organizations are
concerned with the employees
sense of belonging to an
organization or with their
alienation from the purposes of
that organization.
18. Key Differences between Formal Organizations
and Informal Organizations
Aspect Formal Organization Informal Organization
Definition Officially created with structured roles and hierarchies Naturally forms through personal interactions and relationships
Purpose Achieves specific organizational goals and objectives Provides social support, collaboration, and informal problem-solving
Structure Rigid, with well-defined rules, policies, and hierarchy Flexible, without a clear structure or official hierarchy
Communication
Follows formal channels (e.g., memos, reports, official
meetings)
Uses informal channels (e.g., conversations, chat groups)
Authority Based on positions and roles within the hierarchy Based on personal influence, respect, and relationships
Accountability
Individuals are accountable to their superiors and
organization
No formal accountability, though social pressure may exist
Decision-making
Process
Follows official protocols, often slow and bureaucratic Quick, consensus-based, influenced by personal relationships
Rules and
Regulations
Governed by official policies and procedures No formal rules, based on group norms and trust
Duration Permanent, as long as the organization exists Temporary, may change or dissolve based on relationships
Membership Determined by organizational roles and employment Voluntary, based on personal connections and interests
Example A company, government agency (e.g., DepEd) Workplace friendships, support groups, informal teacher collaborations
