Unit 5 organizing function of the management
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Organizing is the process by which organizations arrange and utilize their resources to achieve goals. There are several types of organizations including profit, non-profit, formal, informal, public, and private. Organization structure refers to the framework for coordinating activities through authority relationships and departmentalization. Common bases for departmentalization include function, product, process, and geographic location. Organization structure also involves the vertical flow of authority from top management down through subordinates.
Unit 5 organizing function of the management
- 1. Organizing function of the Management By – Hijratullah Tahir Introduction to Management
- 2. • Process by which Organizations arrange and utilize their resources; • Human resources, financial resources, Real assets • To achieve the organizational objectives or goals • Functions or Elements of Organizing a. Organization gives a common purpose b. Willing ness to serve c. Provide basis of communication Organization or Organizing
- 3. • Following are the main and basic types…. i. profit Organization ii. Non for profit Organization iii. Formal Organization iv. Informal Organization v. Public Organization vi. Private Organization Types of Organization
- 4. 1. Profit Organization: For profit organization are those, which are profit, oriented and they aim to earn profit and the main purpose of such organization is profit maximization. 2: Non for Profit Organization: on for Profit Organization are those which are welfare oriented or their purpose and aim is welfare of the society. The ultimate purpose is not to earn profit but they may collect money as charity to keep the organization running. Types of Organization …
- 5. 3: Formal Organization: Formal Organizations are those, which have formal plan structure. Such organization are having chain of command authority. 4: Informal Organization: Informal Organizations are those, which don’t have formal plan structure and they exist inside another Organization. Types of Organization …
- 6. 5: Public Organization: Public Organizations are Government owned organizations. 6: Private Organization: Private Organizations are owned and managed by private people. 7: Manufacturing Organization: are indulge in Production of tangible goods. 8: Service Organization: are not indulge in production but may help in transferring the product to the market. Types of Organization …
- 7. 1. Focus attention • Organization set Goal. • In order, to achieve the goals the organization • Provide plat form for coordination, communication and integration of efforts. 2. Provide a source of Legitimacy • In pursuit of Goals the Organization provide a legitimacy of existence. • Individuals cannot be self-sufficient so they must bind with some organization for satisfaction of personal objectives. Goals and Purposes of Organization
- 8. 3. Serve as Standard • Goals set by the Organization provide basis or standards that how people can perform well. Goals and Purposes of Organization
- 9. • The structure of an Organization refers; • To authority and responsibility, relationship, work and workers grouping or in general a frame work for coordinating the activities of various members of the organization. • Organization structure is as follow… a. Departmentalization OR Horizontal Dimension b. Authority or Responsibility OR Vertical Dimension Organization Structure…
- 10. A. Departmentalization OR Horizontal Dimension • The process of grouping functions and activities in an organization is known as Departmentalization. • Basis for Departmentalization: a. On the Basis of Function b. On the Basis of Product c. On the Basis of Process d. On the Basis of Geographical Location Organization Structure…
- 11. • On the Basis of Function, we have (3) function I. Primary Function II. Secondary Function III. Narrow Function Organization Structure…
- 12. B. Authority or Responsibility OR Vertical Dimension • Activities are grouped into Unit the next step is to establish authority and responsibility relationships • Show who has to report to whom. • Authority - the Power or Right of Superior to observe obedience from juniors. • Responsibility - Responsibility is the subordinate’s obligation to obey. • Types; Centralization and De Centralization Organization Structure…
- 13. a. Centralization • When all the authority is with top management and • the other level just implement the orders or decisions. b. Decentralization • When supervisions and Low level Management has the authority of purchasing and decision- making. Organization Structure…
- 14. Span of Control: • Span of Control refers to the numbers of subordinate that a person can completely supervise at a time. Structures or Types of Span of Control 1. Flat • The bigger span of control of Organization. 2. Tall • The smaller span of control of Organization. Organization Structure…
- 15. Types of Organization Structure a. The Functional type b. The Line type c. The Line staff type d. The Matrix type Organization Structure …
- 16. 1. The Functional type: • Frederick Taylor proposed the functional type. • According to him no one can be an expert in all areas of Management. 2. The Line type: • Based on Management Principle of Scalar chain which emphasis that authority and responsibility should flow from top to down vertically. Organization Structure …
- 17. 3. The Line staff type • In the large and complex organization there must be supporting staff to the line worker. • Such combination of line workers and support staff in an Organization is referred to Line and Staff structure. 4. Matrix type Organization Structure …
- 18. The End