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Transcript of MODULE on Organization and Management of Educational Business Institution
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MODULE
PRESENTED BY : NELSON R. BELLO REQUIREMENT FOR THE COURSE: ORGANIZATION AND MANAGEMENT
PRESENTED TO : DR. LYDIA DELOS REYES OF EDUCATIONAL/BUSINESS INSTITUTIONS
NORTHWEST SAMAR STATE UNIVERSITY
Calbayog City
GRADUATE SCHOOL AND TRAINING ACADEMY
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TABLE OF CONTENTS
PAGE
COVER PAGE .1 TABLE OF CONTENTS 2INTRODUCTION .4
MODULE 1 : MANAGEMENT
A. DEFINITION OF MANAGEMENT AND ORGANIZATION
Management and Its Relation to Art and Science.. 5
Management and Practice 6
Management and People .. 7
B. PATERNS OF MANAGEMENT ANALYSIS The Empirical School . 8
The Decision Theory School . 8
The Mathematical School ..9
The Systems of School .10
The Human Behavior School ...10
The Social System School 10
The Socio-Technical System School ...11
The Situational School ...11
The Managerial Roles School .. 12
The Operational School .12
C. THE MANAGER AND HIS ENVIRONMENT
The Economic Environment . 12
The Technological Environment ...13
The Social Environment .14
The Political Environment ..15
D. MANAGEMENT OF REVOLUTIONS
Crusading Stage .16
Popular Movement Stage . 16
Managerial Stage 16 Bureaucratic Stage .16
Preventing Another Revolution .17
E. COMPARATIVE MANAGEMENT
The Need for an Analytical Framework .. 17
Management and Culture . 18
The Impact of Culture on Modern Management 18
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F. PROJECT MANAGEMENT
Integrated Project Management Cycle ...18
Project pre-Development Land Screening .19
Project Appraisal, Negotiations and Approval 19 Project Implementation . 20
Project Evaluation and Recyling ..21
G. ACTIVITIES 22
PART II: ORGANIZING
A. ORGANIZING PROCESS
Why Organizing? 24
B. CHALLENGE OF INTRODUCING CHANGE
Managing Change at the Top 25
C. THEORIES OF ORGANIZING
The Classical Theory .25
The Neo Classic Theory 27
The Fusion Theory .28
The Systems Theory ..28
The Qualitative Theory ..29
The Four Basic Category of Change ..29
Organizational Evolutions in Developing Countries .30
D. ORGANIZATION
Formal Organization ..31
Organization Chart .31
Classical Principles 32
Coordination Process 33
The Effective Organization 34
Strategies of OD .36
Department ..39
Basic Departmentalization .31 Informal Organization .42
Individual and Group Responsibility 42
Tool and Techniques of Organization . 43
E. ACTIVITIES 44
REFERENCES 47
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NTRODUCTION
Management education has gained more importance in the last four decades
and institutions imparting management education have sprung up in large numbers
in the Philippines as well as in many other countries. Though institutions in our
country have adopted certain models from business/educational organizations, very
few have even thought of implementing any measures to improve the service quality
and organization effectiveness in their institutions. This module attempts to compile
some of the proven conceptual models that can be adopted as strategy and
operations to improve the degree of Organization Effectiveness.
Organizational Management is a quite discursive subject and much has been
written about it. Therefore, the study of organizations and their management
requires a comprehensive analysis. That only a single approach to organization and
management provides all the answers can hardly be maintained. Different
approaches should be comparatively studied.
It was only observed a few remarkable approaches to management until the
early 1950's, such as classical approach and human relations approach. But, since
then, as to what management is, what management theory is and how managerial
work or events should be analyzed, the various approaches to management and
much differing views have been appeared. This situation resulted in much confusion
in order to appreciate and probe the management and its ensuing problems and themanagerial roles and events, etc. Some years ago, an author who attempted to
classify the various "schools" of management theory called this situation "the
management theory jungle".
Certainly, it could be observed that many different approaches were diversely
categorized by different authors. Familiarity with the approaches to management by
analysis can help one appreciate many insights, ideas and help one avoid re -
examining previously known ideas.
I
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MODULE 1
MANAGEMENT AND ORGANIZATION
A. Management and Its Relation to Art and Science
According to the nature of management, there is a controversy that
whether management is a science or an art. This controversy is very old & is
yet to be settled. It should be noted that, learning process of science is
different from that of art. Learning of science includes principles while learning
of art involves its continuous practice.
Management as a Science
Just like science, it cannot be denied that
management has a systematic body of knowledge
but it is not as exact as that of other physical
sciences like biology, physics, and chemistry etc.
The main reason for the inexactness of science of
management is that it deals with human beings and
it is very difficult to predict their behavior accurately.
Since it is a social process, therefore it falls in the area
of social sciences. It is a flexible science & that is why its theories andprinciples may produce different results at different times and therefore it is a
behavior science.
Management as an Art
Art means application of knowledge & skill to
get the desired results. An art may be defined as
personalized application of general theoretical
principles for achieving best possible results. Art
has the following characters: practical
knowledge, personal skill, creativity, perfection
through practice, and goal-oriented.
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MANAGEMENT
&
PRACTICE
Thus, we can say that management is an art therefore it requires
application of certain principles rather it is an art of highest order because it
deals with shaping the attitude and behavior of people at work towards the
desired goals.
Management as a Science and as an Art and as Both
Management is both an art and a science. The above mentioned
points clearly reveal that management combines features of both science as
well as art. It is considered as a science because it has an organized body of
knowledge which contains certain universal truth. It is called an art because
managing requires certain skills which are personal possessions of
managers. Science provides the knowledge & art deals with the application of
knowledge and skills.
A manager to be successful in his profession must acquire the
knowledge of science & the art of applying it. Therefore management is a
well-judged combination of science as well as an art because it proves the
principles and the way these principles are applied is a matter of art. Science
teaches to know and art teaches to do. E.g. a person cannot become a
good singer unless he has knowledge about various ragas & he also applies
his personal skill in the art of singing. Same way it is not sufficient for
manager to first know the principles but he must also apply them in solving
various managerial problems that is why, science and art are not mutually
exclusive but they are complementary to each other (like tea and biscuit,bread and butter etc.). To conclude, we can say that science is the root and
art is the fruit.
Management and Practice
Management and Practices gives a
basic understanding of the role and
functions of a manager and to explain the
principles, concepts, and techniques used
by managers in educational and business
organizations in carrying out their work. This
is intended for persons who presently hold, or desire in the future to hold,
management responsibilities in an organization or enterprise. A central
concept of Management and Practice is that there is a general framework for
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understanding management that applies to managers in all organizations-
large or small, public or private, product-oriented or service-oriented.
Management and Practice include values and ethics, communicating,
planning, decision making, organizing, leading, controlling, and innovating.
This emphasizes the skills needed to apply management principles and
concepts to real-life situations; you will analyze management issues and
problems and how to formulate realistic, practical plans to resolve them.
These practical skills are developed through case studies in the assignments,
and through applying concepts to your own situation and approaches.
Management and People
People are the most importantresource for any business or educational
organization/institutions. People manage and organize
according to different management styles and
experiences. Management involves working with
people and getting organizational objectives
achieved through them. Working through people is interpreted in
terms of assigning activities to subordinates. We refer to management as a
group of people in which we include all those personnel who perform
managerial functions in organizations
Many women are excellent business managers. However, their special
skills and competencies as managers often remain under-utilized and the
subject of organization and management has often been neglected in training
programmes for women entrepreneurs with little educational background,
assuming that they do not need managerial skills.
B. PATERNS OF MANAGEMENT ANALYSIS
Pattern of management analysis is an analysis that comprises of
human capital management, project management tools, process modelling
solution as well as procurement management.
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The Empirical School
Studies experience through cases.
Identifies successes and failure. Situations
are all different. No attempt to identify
principles. Limited value for developing
management theory.
The Empirical School seeks to generalize the nature of management
based on the experience of successful managers. The basic theme of this
assumption is that if a particular business/ educational operation is
successful, or if a particular problem was effectively tackled by application of
a particular strategy, then the methods of strategies through which success
was achieved by the managers could be equally effectively used by others in
the case of similar business situations in future.
The Empirical School in an Applied Management is an Autonomous
Management School established with a view to get the aspiring professionals
conversant with Broad-based, Self-cultivating, and Application oriented
Management education. The said Management School is neither accredited
nor affiliated to any statutory body or University. It is Purely Autonomous in all
respects and stands for its Quality Management Education. All Professional
Management Programs of high standard speak well about the Testimony
which has instant taste of global business environment. Here, Candidates are
not only made to study Management but in fact experience and share theManagement Ethics, Strategies, Methodology and Analyze Management
operations under Application-based philosophy. The creative integrated
catalytic approach of the management operations has to enable them to
achieve the business goals. Evidently candidates learn the application-
oriented key operative skills to achieve result oriented professional growth.
The Decision Theory School
The decision theory school of
management concentrates on the rational
approach to decisions where alternative ideas
or courses of action are analyzed. This school
is believed to have grown from the theory of
consumer's choice associated with Jeremy
Bentham and tends to be oriented toward
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economic model construction and mathematics. It grew out of economic
analytical techniques such as utility maximization, indifference curves,
marginal utility, and economic behavior under risk and uncertainty. The
decision is the central focus.
Additionally, the Decision Theory School is a framework of logical and
mathematical concepts, aimed at helping managers in formulating rules that
may lead to a most advantageous course of action under the given
circumstances. Decision theory divides decisions into three classes (1)
Decisions under certainty: where a manager has far too much information to
choose the best alternative. (2) Decisions under conflict: where a manager
has to anticipate moves and counter-moves of one or more competitors. (3)
Decisions under uncertainty: where a manager has to dig-up a lot of data to
make sense of what is going on and what it is leading to. See also game
theory.
The Mathematical School
Managing is seen as mathematical
processes, concepts, symbols, and models.
Looks at management as a purely logical
process, expressed in mathematical symbols and
relationships pre-occupation with mathematical
models. Many aspects in managing cannot bemodeled. Mathematics is a useful tool, but hardly
a school or an approach to management.
The mathematical school of management views management as a
system of mathematical models and processes. This includes the operations
researchers and management scientists. But Koontz points out that in his
view mathematics is a tool, not a school.
The Systems of School
Systems concepts have broad
applieability. Systems have boundaries, but
theyalsa interaet with the external environment,
also, organisations are open systems.
Recognises importance of studying
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interralatedness of planning, organising, and controlling in an organisation as
well as the many subsystems. Analyses of the interrelatedness of systems
and subsystems as well as the interactions of organisations with their external
environment. Can hardly be considered a new approach to management.
The Human Behavior School
The central thesis of the human
behavior school is that since management
involves getting thing done with people,
management theory must be centered on
interpersonal relations. Their theory focuses
on the motivation of the individual viewed as a
socio-psychological being.
This school is also referred to as the "human relations", "leadership",
or "behavioral sciences approach". This school places emphasis on the study
of inter - and intra-personal phenomena from the personality dynamics of
individuals to the relations of cultures. Tannenbaum, Weschler and Massarik
are the only authors referenced in this section.
The Social System School
The members of the social system
school of management theory view
management as a social system. March and
Simon's 1958 book Organizations4 is used as
an example, but Koontz indicates that Chester
Barnard is the spiritual father of this school of
management.
The social system school identifies the nature of the cultural
relationships of various social groups and how they are related and
integrated. Barnard's work includes a theory of cooperation which underlies
the contributions of many others in this school. Herbert Simon, and others
expanded the concept of social systems to include any cooperative and
purposeful group interrelationship or behavior.
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The Socio-Technical System School
Socio-technical systems school pertains
to theory regarding the social aspects of people
and society and technical aspects of
organizational structure and processes. Here,
technical does not necessarily imply material
technology. The focus is on procedures and
related knowledge, i.e. it refers to the ancient
Greek term logos. "Technical" is a term used to
refer to structure and a broader sense of
technicalities. Sociotechnical refers to the interrelatedness of social and
technical aspects of an organization or the society as a whole.
Sociotechnical theory therefore is about joint optimization, with ashared emphasis on achievement of both excellence in technical performance
and quality in people's work lives. Sociotechnical theory, as distinct from
sociotechnical systems, proposes a number of different ways of achieving
joint optimisation. They are usually based on designing different kinds of
organisation, ones in which the relationships between socio and technical
elements lead to the emergence of productivity and wellbeing.
The Situational School
The fundamental underpinning of the situational school is that there is
no single "best" style of leadership. Effective leadership is task-relevant, and
the most successful leaders are those that adapt their leadership style to the
maturity ("the capacity to set high but attainable goals, willingness and ability
to take responsibility for the task, and relevant education and/or experience of
an individual or a group for the task") of the individual or group they are
attempting to lead or influence.
Effective leadership varies, not only with the person or group that is
being influenced, but it also depends on the task, job or function that needs to
be accomplished.
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Manager
The Managerial Roles School
Original study consisted of observations of five
chief executives. On the basis of this study, ten
managerial roles were identified and grouped into O)
interpersonal, (2) informational and (37 decision roles.
Original sample was very small. Same activities are
not managerial. Activities are evidence of planning,
organising, staffing, leading and controlling. But same
important managerial activities were left out (e.g.,
appraising managers).
The Operational School
Draws together concepts, principles,
techniques, and knowledge from other fields and
managerial approaches. The attempt is to develop
science and theory with practical application.
Distinguishes between managerial and non-
managerial knowledge. Develops classification
system built around
the managerial funcUons of planing, organising, staffing, leading, and
controlling. Does not as same authors do, identify representing" or
coordinatian" as a separate function. Co-ordination, for example, is theessence of managership and is the purpose of managing.
C. THE MANAGER AND HIS ENVIRONMENT
The Economic Environment
Managers develop their
organizational goals and strategies by
taking advantage of the organizations
internal strengths and external
environment and opportunities while at the
same time minimizing internal
weaknesses and external threats. An
analysis of the firms internal and external
environment provides useful information to managers in their planning,
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organizing, leading, and controlling functions. This analysis is essential to the
firms leadership as they seek to exist within the forces impacting upon their
firm.
The SWOT analysis is a basic framework for evaluating the firms
internal and external environments and thus its competitive positioning within
the marketplace. Important insights of a SWOT analysis come only after you
examine the matches and mismatches between the organizations strengths
and weaknesses and the environments opportunities and threats. Business
decisions take place within a competitive context.
Understanding who your competitors are and how your firm stacks up
against them is a key part of management. Analyzing your own company is
just as important as analyzing your competition. Thus, most companies use a
SWOT analysis to identify their strengths, weaknesses, opportunities, andthreats. With insight into its own capabilities and those of its competitors, a
company can then work to gain a competitive edge.
The Technological Environment
Technological Environment means the
development in the field of technology which
affects business by new inventions of
productions and other improvements intechniques to perform the business work.
These are external factors in technology that
impact business operations. Changes in
technology affect how a company will do
business. A business may have to dramatically
change their operating strategy as a result of changes in the technological
environment.
We see that in 21st century, technology is changing fastly. Now, all
work is done online and business shops are using machinery at high level.
There are following technological environment factors which affects business.
New inventions to produce the products.
New inventions relating to marketing like BPO for selling online in
international market.
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M
A
N
A
G
E
M
E
N
T
The Social Environment
Social or Societary environment of
business means all factors which affects
business socially. Every business works
in a society, so societies ' different factors
like family, educational institutions and
religion affects business.
Main elements of Societies and Its
Effect on Business
1. Family- Family is basic part of
society from the birth of a person and up
to death, he lives in family so personal decision of buying and selling of goodsare affects from family. In the culture of a family, it may happen that parent
does not allow to use any product , then sale of such product will decrease ,
so businessman must analyze different familys needs . Many occasion of
family like marriage of any family member, can increase the demand of
goods.
2. Educational institutions - Educational institutions are also main
part of societies. They provide good knowledge, education, awareness,
thinking what should students buy or not to buy. Suppose if a student is
habitual to drink the tea and if his teacher advise him that this is harmful to hishealth after his guidance students can avoid to drink tea after this the sale of
tea will decrease.
3. Religion - Like family and education institution, religion is also
effects the business socially. Religion means the system in which group of
persons trust in God. They believe that there is one supernatural power in this
earth and its name is God. Different religions have different principles, rules
and regulations in which they sacrifice to use some products and to eat some
food, in Hindu religion, they never use leather products. They affect the sale
of leather industries. So, businessman must analyze the targeted audience
and after listening their religious thoughts, he should produce the goods.
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The Political Environment
The political environment is a key
component of the management and business
environment that dictates greatly on the
success of your business. What happens in
the politics of your country as well as that of
other countries influences a lot business.
Usually, the term political environment is used
to refer to the nature of the political situation in
the country where you are doing business or
where you intend to do business. How aware
are you of the political aspects that affect your
home business?
If you haven't been paying any attention to those political aspects that
have an effect on your business, it's therefore important for you to understand
the political environment in which you are operating because it can present
political risks to your business. For instance, your business is subject to
political risks if a war erupts in any country where you do business. Likewise,
changes in government policies may either affect you positively or negatively.
The prevailing political environment in any country directly affects the
economic environment or performance.
D. MANAGEMENT OF REVOLUTIONS
As a result of the evolution of the
management, several important changes are already
taking place in the management education industry
worldwide. Industry landscape is becoming
increasingly diversified. Along with the classical
American model of a university business school,
several types of stand alone institutions emerged.
Some of them are not for profit, some commercial.
The management development market is successfully
penetrated by for-profit companies offering more
flexibility and customer intimacy than traditional business schools. Some of the
stand alone institutions (mostly European) are research driven; others limit their
intellectual ambitions to applied research, and position themselves on the market
MANAGEMENT
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either as high quality or low cost providers. Product and price differentiation is
rapidly gaining importance in management education.
1. Crusading Stage
Enriched by the Crusades and the opening of trade to the East,
modern Western bourgeois males began their rise to dominance within the
European commercial cities of the late Middle Ages. Business and commerce
were the specialties of this class, and their legitimizing institution was the
university the place where the modern hyper-masculine bourgeois paradigm
was developed and expanded.
2. Popular Movement Stage
This stage is very important in management. Dealing with human
resource is one of the major functions of management. Hence awareness of
human relations movement is very important particularly to student teachers.
3. Managerial Stage
At this stage Managerial functions, the most common activities carried
out by managers in their organization. The extent to which each of these
functions is carried out depends on the organization and its objectives. This
unit will discuss the five major managerial functions of planning, organizing,directing, control and staffing.
4. Bureaucratic Stage
This stage as proposed by Max Weber played a major role in the
development of a system of organization called bureaucracy. He is referred to
as the father of bureaucracy. Bureaucracy emerged from problems associated
with big business enterprises and increasing complexity of government
operations. According to Weber, bureaucracy is an approach to management
by office or position rather than a person.
Weber designed patterns of relationships to guide complex
organizational activities in a systematic manner to fulfill the needs of clients.
He proposed that the system of administration should be through
departments. Weber further proposed that an organization should be
developed around logical rules, routines, clear division of labor, technical
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qualifications and clear chain of command. According to Max Weber
bureaucracy was the best method of achieving group endeavors.
6. Preventing another Revolution
All revolutions have faced the same danger: either they fail, or they
degenerate into government. How can one be revolutionary and institutional if
revolutions are made against institutions?
The country in revolution is debating this subject, inventing and erring,
because success does not exist without failure. To prevent revolution, one
organization must be decisive to overthrow, with patience and more patience,
with work and more work.
E. COMPARATIVE MANAGEMENT
The Need for an Analytical Framework
In management, there is a need to
develop a framework to classify supply
chain risk-management problems and
approaches for the solution of these
problems. We argue that risk-managementproblems need to be handled at three
levels: 1) strategic, 2) operational, and 3)
tactical. In addition, risk within the supply
chain might manifest itself in the form of
deviations, disruptions, and disasters.
Fortunately, you can turn to analytical frameworks, which combine
reusable solutions with analysis patterns, research, useful organization
techniques, and specific examples of successful approaches. An analytical
framework is a little like your own personal library, tailored specifically to your
own experience and background.
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Management and Culture
Management and culture are two
important and inseparable concepts in
effective management. Culture refers to
certain norms of behavior governing the
conduct of workers involved in work
situations to achieve certain desired
objectives. The degree of ones involvement
influences his performance resulting in high
or low productivity, high or low quality.
Sometimes, work culture is also integrated with a workers loyalty and sense
of belonging, by his behavior, to the organization. It is a mixture of abiding to
the laws, observing appropriate code of conduct as determined by the
organization as well as maintaining one's own morality
The Impact of Culture on Modern Management
Good management and a healthy organizational culture can better
achieve its mission. In order to lead well, leaders in an organization need to
invest in themselves and in their staff.
A positive organizational culture will bring resources and relationships
to the organization. A negative culture will wipe out good intentions and
handicap good programs. It has been said that "culture eats strategy forlunch." It is better to attend to your organizational culture before it sabotages
your strategy and mission.
F. PROJECT MANAGEMENT
Integrated Project Management Cycle
Integrated Project management cycle
is a cycle on the discipline of planning,
organizing, motivating, and controlling
resources to achieve specific goals. A project
is a temporary endeavor with a defined
beginning and end (usually time-constrained,
and often constrained by funding or
deliverables), undertaken to meet unique
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goals and objectives, typically to bring about beneficial change or added
value.
The temporary nature of projects stands in contrast with business as
usual (or operations), which are repetitive, permanent, or semi-permanent
functional activities to produce products or services. In practice, the
management of these two systems is often quite different, and as such
requires the development of distinct technical skills and management
strategies.
Project pre-Development Land Screening
In order to implement a comprehensive list of recommendations, past
projects and future projects will need to be evaluated and prioritized forfeasibility and for adherence to real funding constraints. Future evaluation
processes are recommended in four steps: pre-screening, an initial evaluation
against criteria, adjustments, and application to a system-wide model.
Although projects are legitimate, it should be better to identify those
projects that would provide the most benefit to community mobility and quality
of life. To begin the evaluation process, it should pass through screenings.
Project Appraisal, Negotiations and Approval
After the completion of the project preparation stage, there is a need to
review the proposal and undertake a full-scale project appraisal. Appraisal
covers comprehensive review of the technical, economic, social, financial and
institutional aspects as well as the environmental aspects of the project
proposal and lays the foundation for implementing the project and evaluating
it when completed.
An appraisal mission examines such matters as the financing plan,
components to be financed, terms and conditions of financing, project
procurement action plans, project implementation plans, and disbursement
profiles. It also reviews the legal aspects of the project including the draft
project financing agreement and conditions of effectiveness and concludes an
understanding on these issues with the executing agency (and the
government, if applicable). The appraisal mission and the beneficiary
endeavor to agree on the measures necessary to assure the success of the
project.
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The draft project financing agreement is negotiated and, at the end of
the appraisal mission work, a Memorandum of Understanding (MOU)/Minutes
of Meeting reflecting the discussions and understanding reached by the
appraisal mission and the beneficiary is signed.
Appraisal of a project is the organizations responsibility but is
conducted in full co-ordination with the Beneficiary. It is carried out by the
staff, supplemented by outside consultants if necessary. Appraisal activities
cover the review and assessment of the following major aspects of a project.
Project Implementation
The Implementation phase of the Project Management Process puts
the project into action. The Implementation phase consists of four subphases: Execution, Monitoring & Control, and Move to Production.
Project Implementation usually done by implementing agency
(organization) that prepared the project and received funding for it. Other
organizations that participate in the implementation of the project by way of
collaboration, say by according good working relationship, extending technical
advice or seconding their staff to the project are referred to as co-operating
agencies.
Project Evaluation and Recyling
The final phase in the project cycle is project evaluation, then the last
is project recycling in case of failure. The analyst looks systematically at the
elements of success and failure in the project experience to learn how to plan
better for the future. The basic objective of such a study is to ascertain the
real worth of a project or programme as far as possible. Broadly speaking,
evaluation may be defined as "a process which attempts to determine as
systematically and objectively as possible the relevance, effectiveness and
impact of activities in the light of the objectives". It is, thus, a critical analysis
of the factual achievements/results of a project, programme or policy vis -a-vis
the intended objectives, underlying assumptions, strategy and resource
commitment. In specific terms, it makes an attempt to assess objectively the
following:
(a) The relevance and validity of the objectives and design of the
project/programme in terms of broader issues of development policy,
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sector/sub-sector priorities and strategies as well as other problems of
a wider nature;
(b) The efficiency and adequacy of the pace of progress of the
project/programme where the focus is mainly on managerial
performance and productivity;
(c) The effectiveness of the project/programme - a major part of an
evaluation exercise-in realizing the intended objectives from a variety
of angles; and
(d) The identification of reasons for the satisfactory or unsatisfactory
accomplishment of the results of the project/programme and to deduce
critical issues and lessons which may be of relevance to other on-
going and future projects/programmes of a similar nature.
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ACTIVITIES
1. Supposing you are to give a mini-lecture on management to a group of
farmers whoever who entered high school. What and how you make yourpresentation? Thoroughly explain your answer.
As a teacher conducting mini-lecture to group students who belong to
family of farmers entering high school; teacher should adjust, understand and used
simple languages that these group of students could easily understand. This group
of students who belong to families of farmers, similar to other indigenous
communities, have their own culture, socio-economic, and have different level of
understanding. Sensitivity to their culture and life, recognition of the cognitive
strengths of these students, and appreciation of their personality qualities is
necessary for a holistic effort for effective delivery of your lecture and education aswell.
Although mainstreaming through lecture alone is a difficult task, reorganizing
content and the lecturing methods to reflect and draw on their environment and
knowledge base, must be undertaken to develop the response of this groups of
students and increase participation. In addition, effective lecturing support learning
materials that are contextualized for these students and talking to them using their
local dialects if possible, and telling some farmers folklore are a more lasting way of
educating/lecturing these children.
On the other hand, in a country like the Philippines which is marked by
diverse languages, castes, religions and ideas; cementing indigenous values while
embracing modernity, is a progressive phenomenon. Within the context of the
education of marginalized communities such as these groups of students who
belonged to a families of farmers, a fine balance between these two ends of the
spectrum is necessary to yield results that have an impact, are sustainable, and
underpin a holistic education effort.
2. Cite a scenario where you are going to plan and execute a coup de-etat of
an imaginary Palace of a Prime Minister or Governor of a small Pacific Island
country. How would you go about it? Make a report on the scenario.
The answer could come in either of two forms. A coup just happens or
meticulous planning goes into it. And then, of course, there are the many kinds of
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coups which have, especially in modern times, put paid to politics proper across the
globe.
Think of the most serious coup d'etat against the government of Philippine
President Corazon Aquino was staged beginning December 1, 1989 by members of
the Armed Forces of the Philippines belonging to the Reform the Armed Forces
Movement (RAM) and soldiers loyal to former President Ferdinand Marcos. Metro
Manila was shakened by this Christmas coup, and they almost seized the
presidential palace. It was completely defeated by the Philippine government by
December 9, 1989.
With detailed planning, there will be no need for any sort of headquarters
structure in the active stage of the coup; for if there is no scope for decision -making
there is no need for decision-makers and their apparatus. In fact, having a
headquarters would be a serious disadvantage: it would contitute a concrete target
for the opposition and one which would be both vulnerable and easily identified. Assoon as the coup starts, the ruling group will know that something is happening, but
unless coups are very frequent in the country, they will not know what that
something is... We should avoid taking any action that will clarify the nature of the
threat and thus reduce the confusion that is left in the defensive apparatus of the
regime.
Our teams will emerge from their bases and proceed to seize their designated
targets while operating as independent units; their collective purpose and their
coordination will thus remain unknown until it is too late for any effective opposition.
The leaders of the coup will be scattered among the various teams, each joining theteam whose ultimate target requires his presence; thus the spokesman of the coup
will be with the team which will seize the radio-television station and the prospective
chief of police will be with the team whose target is the police headquarters [or state
legislature, as the case may be]. As each team will be both small and highly mobile,
and as there is no headquarters throughout the active phase of the coup, the
opposition will not have any single target on which it will be able to concentrate its
forces. In this way their numerical superiority will be dissipated and the smaller
forces of the coup will have local superiority in the area of each particular target.
This will be the key of the victory of the coup."
"Though some form of confrontation may be inevitable, it is essential to avoid
bloodshed, because this may well have crucial negative repercussions amongst the
personnel of the armed forces and the police. The destabilizing effects of the
behavior of the police should be avoided.
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MODULE 2
ORGANIZING
INTRODUCTION Organizing is the process of coordinating all the activities of an Organization
by using human, material and other available resources towards achieving the
overall objective of an Organization. (Hersey P et al) sees Organization and the
concept organizing as a social system. Found that the focus of the
administrative/structural sub-system is on authority, structure, and responsibility
within the organization: who does what for whom and who tells whom to do what,
how, when, where, and why. That the informational/decision-making, sub-systememphasizes key decisions and their informational needs to keep the system
operating. (James et al 2000) posit that Coordination is the process of integrating
the activities of separate departments in order to pursue Organizational goals
effectively. (Kreitner R. 1995) posit that Organization is a system of consciously
coordinated activities of two or more people.
A. ORGANIZING PROCESS
Why Organizing?
A plan, in essence, is a goal to
be achieved. Organizing is how the
plan will be carried out so the goal is
achieved. Once a plan is made, the
next step in the process is to
determine which people will need to be
involved, who will be in charge, who will
keep people accountable, and whatresources will be required, who will be
responsible for getting those resources, which will monitor progress? Those
steps are all part of the organizing process in the project.
So, organizing is next to planning, because once the plan is made, the
next natural step in the progression is to get organized so the plan comes to
fruition.
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B. CHALLENGE OF INTRODUCING CHANGE
Sometimes throughout the course of operations, it's necessary to change the
culture of an organization. Organizational change can facilitate positive results in the
long run. In the short term, you may encounter several issues with implementation.
Being aware of some of the problems that could arise can help considerably.
When attempting to change an organizations culture, managers frequently
must deal with employee resistance. Most employees are comfortable with the way
they operate and do not want to change. You may have to continually reinforce the
new behaviors you seek to keep employees from reverting to the old ways of doing.
Managing Change at the Top
Change - both anticipated and unanticipated - is rocking the educational prbusiness world and shows no signs of weakening. As revealed in research, issues
pertaining to change not only dominate the landscape, but also continue to escalate
in importance. In fact, three of this year's top six issues deal with this exact topic.
However, while the importance of managing change related issues is on the
rise, the ability to improve in this most vital capability remains highly elusive. In fact,
research reveals that only 35% of high-performance organizations (HPOs) in this
study - those in the top quartile of performers in year-over-year growth in revenue,
profit, market share and customer satisfaction - indicate they are highly effective at
doing so. And among low-performance organizations - those in the bottom quartile -the story is even worse, with only 13% perceiving their ability to manage and cope
with change as highly effective.
C. THEORIES OF ORGANIZING
1. The Classical Theory
Classical organization theories (Taylor, 1947; Weber, 1947; Fayol,
1949) deal with the formal organization and concepts to increase
management efficiency. Taylor presented scientific management concepts,
Weber gave the bureaucratic approach, and Fayol developed the
administrative theory of the organization. They all contributed significantly to
the development of classical organization theory.
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Taylor's scientific management approach
The scientific management approach developed by Taylor is based on
the concept of planning of work to achieve efficiency, standardization,
specialization and simplification. Acknowledging that the approach to
increased productivity was through mutual trust between management and
workers, Taylor suggested that, to increase this level of trust,
the advantages of productivity improvement should go to workers,
physical stress and anxiety should be eliminated as much as possible
capabilities of workers should be developed through training, and
the traditional 'boss' concept should be eliminated.
Weber's bureaucratic approach
Considering the organization as a segment of broader society, Weber
(1947) based the concept of the formal organization on the following
principles:
Structure In the organization, positions should be arranged in a
hierarchy, each with a particular, established amount of responsibility
and authority.
Specialization Tasks should be distinguished on a functional basis, and
then separated according to specialization, each having a separate
chain of command. Predictability and stability. The organization should operate according
to a system of procedures consisting of formal rules and regulations.
Rationality Recruitment and selection of personnel should be impartial.
Democracy Responsibility and authority should be recognized by
designations and not by persons.
Administrative theory
The elements of administrative theory (Fayol, 1949) relate to
accomplishment of tasks, and include principles of management, the concept
of line and staff, committees and functions of management.
Functions of management Fayol (1949) considered management as a
set of planning, organizing, training, commanding and coordinating functions.
Gulick and Urwick (1937) also considered organization in terms of
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management functions such as planning, organizing, staffing, directing,
coordinating, reporting and budgeting.
2. The Neo Classic Theory
Neoclassical theorists recognized the importance of individual or group
behaviour and emphasized human relations. Based on the Hawthorne
experiments, the neoclassical approach emphasized social or human
relationships among the operators, researchers and supervisors (Roethlisberger
and Dickson, 1943). It was argued that these considerations were more
consequential in determining productivity than mere changes in working
conditions. Productivity increases were achieved as a result of high morale,
which was influenced by the amount of individual, personal and intimate attention
workers received.
Principles of the neoclassical approach
The classical approach stressed the formal organization. It was mechanistic and
ignored major aspects of human nature. In contrast, the neoclassical approach
introduced an informal organization structure and emphasized the following
principles:
The individual. An individual is not a mechanical tool but a distinct
social being, with aspirations beyond mere fulfillment of a feweconomic and security works. Individuals differ from each other in
pursuing these desires. Thus, an individual should be recognized as
interacting with social and economic factors.
The work group. The neoclassical approach highlighted the social
facets of work groups or informal organizations that operate within a
formal organization. The concept of 'group' and its synergistic
benefits were considered important.
Participative management. Participative management or decision
making permits workers to participate in the decision making
process. This was a new form of management to ensure increases
in productivity.
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The Fusion Theory
Management is changing. It's the broadest, most significant change
that managers of the modern era have seen. Even executives who resist the
tide cannot fail to be swept along. This is not another of the single issue
themes that have promised so much in the recent past, and delivered so little.
It is the very opposite and contradiction of single-theme management. It is
Fusion Management.
Fusion cooking combines the best of West and East. In a sense,
Fusion Management does much the same. It combines the thrust of Western
management for certainty with the Eastern knowledge that nothing in human
affairs is certain - and that management is quintessentially a human activity.
Like individuals, companies sometimes act rationally, and always speak as if
they do, but, just as often, behave unreasonably in every sense.
Fusion Management accepts this paradox, as it accepts all the
innumerable contradictions of management. It is summed up in the East's
unending quest for a perfection that is always beyond reach, and in the
Western manager's equally paradoxical urge to sustain unsustainable rates of
long-term growth. You cannot escape paradox, no matter where you turn. The
manager must in theory optimise profits in the short term: the same theory
holds that management must optimise profits in the long term. You cannot do
both. What happens if you go too far with seeking near-term profits is evident
in the happenings at Ford Motor.
The Systems Theory
The systems theory views organization as a system composed of
interconnected - and thus mutually dependent - sub-systems. These sub-
systems can have their own sub-sub-systems. A system can be perceived as
composed of some components, functions and processes (Albrecht, 1983).
Thus, the organization consists of the following three basic elements (Bakke,
1959):
There are five basic, interdependent parts of the organizing system,
namely:
the individual,
the formal and informal organization,
patterns of behaviour emerging from role demands of the organization,
role comprehension of the individual, and
the physical environment in which individuals work.
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The Qualitative Theory
This Theory provide complex and comprehensive conceptual
understandings of things that cannot be pinned down: how societies work,
how organizations operate, why people interact in certain ways. Theories give
researchers different lenses through which to look at complicated problems
and social issues, focusing their attention on different aspects of the data and
providing a framework within which to conduct their analysis.
Just as there is no one way to understand why, for instance, a culture
has formed in a certain way, many lenses can be applied to a problem, each
focusing on a different aspect of it. For example, to study doctor-nurse
interactions on medical wards, various theories can provide insights into
different aspects of hospital and ward cultures. Box 1 indicates how each of
the theories discussed in this paper could be used to highlight different facetsof this research problem.
The Four Basic Category of Change
Many organizations must change and evolve to stay ahead of the
competition and keep up with technological advances. Most companies
implement these types of changes to meet profitability goals. While many
external factors impact organizational change, planned and unplanned
internal organizational changes are also a major part of the process. There
are four main types of organizational changes that could affect your companyor your role within it.
1. Structural Changes
The majority of organizational changes can be considered structural
changes, according to Cliffs Notes. These types of changes typically impact
how a company is run, from the traditional top-down hierarchy. Some
examples of these types of changes include the implementation of a new,
company-wide computer system or a company-wide non-smoking policy.
Other structural changes include any changes to the company's hierarchy of
authority and company-wide administrative procedures. Structural changes
can also be considered transformational changes.
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2. Strategic Changes
When a company must drastically adapt to external factors, it may
undergo a major strategic change. Strategic organizational changes are
usually quite transformative, as they typically include major adjustments or
complete upheavals of the current way the company operates. For example,
when a company changes its fundamental approach of doing business, such
as changing from an in-person retail environment to a heavy web presence, it
is considered a strategic change. Other strategic changes include changing
the target market, level of global activity and long-time partnerships.
3. People Changes
People changes can be large-scale or incremental. Large-scale peoplechanges include replacing the top executives with new employees in order to
change the entire company culture. Smaller-scale or incremental people
changes may include sending management personnel to team-building
workshops and classes. People changes may be planned or unplanned, and
they can impact the overall employee attitudes, behaviors and performances,
according to Free Management Library.
4. Process Changes
Process changes are usually an attempt to improve overall workflowefficiency and productivity. They may include implementing technology
changes, such as robotics in manufacturing or requiring sales teams to begin
documenting and reporting activities in a new way. Another example of this
type of change is when a grocery store chain implements self-scanning
checkout counters to improve customer processing times. Companies that
implement these types of changes are more successful when the new
process is proposed to employee focus groups, is carefully thought out, is
tested in beta groups and is rolled out in stages or phases.
Organizational Evolutions in Developing Countries
As the economics of the developing countries evolved from
agriculturally-based to industrially-based, organizational development and
management become increasingly important. This need raises two (2)
questions: (1) are organization and management theories developed in
advanced countries valid in developing countries, (2) if not, how and why
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organization and its management in developing countries different from those
of the advanced countries?
D. ORGANIZATION
Formal Organization
Formal organizations are characterised by planned structure and
represents the patterns of relationship that exist among the components of an
organization.
Formal organizations have the following specific characteristics:
a) Clearly defined structure of activities. These have formal relationships withcharts and position descriptions. The charts tie positions together through
a network of authority and accountability relationship.
b) Permanence. Formal organizations are relatively permanent. Most formal
organizations are created to take a long time. However those that do not
change to conditions in their environment may not last long.
c) Elaboration. Most formal organizations tend to be elaborate and complex.
Some organizations may become more complex through increased
d) specialization.
Organization Chart
Is a diagram that shows
the structure of an organization
and the relationships and relative
ranks of its parts and
positions/jobs. The term is also
used for similar diagrams, for
example ones showing the
different elements of a field of
knowledge or a group of
languages.
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A company's organizational chart typically illustrates relations between
people within an organization. Such relations might include managers to sub-
workers, directors to managing directors, chief executive officer to various
departments, and so forth. When an organization chart grows too large it can
be split into smaller charts for separate departments within the organization.
Classical Principles
Classical or Traditional organization theorists developed certain
generalizations which they considered to be principles of organization. These
principles are useful first approximates, or guides for thought, in the
organizing function. They provide a simple group of intuitive statements that
provoke though by both operating managers and researchers in an
organization. The most important of these principles are (1) unity ofcommand, (2) exception principle, (3) span of control, (4) scalar principle, (5)
organizing departments and (6) decentralization.
One of the traditional principles of organization generally referred to as
unity of command states that no member of an organization should report to
more than one superior on any single function. This principle appeals to
common sense in a pure line organization, in which each superior has
general authority; however, it becomes a complex problem in actual cases in
which some form of staff and/or functional organization is used. In practice
instruction may be received from several sources without loss of productivity.
The central problem is to avoid conflict in orders from different people
relating to the same subject. One should recognize immediately that the
actions of a subordinate may be influenced by many persons who are not
recognized in the formal hierarchy of authority. The principle of unity of
command may be useful in the planning of an organization if it is interpreted
as a tendency toward the simplification of relationship between superior and
subordinate; it is not realistic if it is interpreted as an immutable law that would
eliminate useful relationships among executives.
A second principle, called the exception principle, states that recurring
decisions should be handled in a routine manner by lower level managers,
whereas problems involving unusual matters should be referred to higher
levels. This principle emphasizes that executives at the top levels of an
organization have limited time and capacity and should refrain from becoming
bogged down in routine details that can be handled as well by subordinates.
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Thus, it is an important concept concerning the delegation of authority in an
organization.
The exception principle can be very useful to execute by focusing
attention on those matters that should receive attention first. It is applicable at
all levels and, if kept in mind, can help the inexperienced executive
compensate for a human tendency to concentrate on the concrete,
immediate, and detailed problems at the expenses of the more fundamental,
difficult, and abstract issues. At the same time, attention to the principle can
help the lower level managers understand exactly what they are expected to
do.
Coordination Process
Co-ordination Process in an organization is the unification, integration,synchronization of the efforts of group members so as to provide unity of
action in the pursuit of common goals. It is a hidden force which binds all the
other functions of management. According to Mooney and Reelay, Co -
ordination is orderly arrangement of group efforts to provide unity of action in
the pursuit of common goals. According to Charles Worth, Co-ordination is
the integration of several parts into an orderly hole to achieve the purpose of
understanding.
Management
seeks to achieve co-ordination through
its basic functions of
planning, organizing,
staffing, directing
and controlling. That
is why, co-ordination
is not a separate
function of
management
because achieving
of harmony between
individuals efforts
towards
achievement of
group goals is a key
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to success of management. Co-ordination is the essence of management and
is implicit and inherent in all functions of management.
The Effective Organization
Effective Organization or Organizational effectiveness is the concept of
how effective an organization is in achieving the outcomes the organization
intends to produce.[1] The idea of organizational effectiveness is especially
important for non-profit organizations as most people who donate money to
nonprofit organizations and charities are interested in knowing whether the
organization is effective in accomplishing its goals.
However, scholars of nonprofit organizational effectiveness
acknowledge that the concept has multiple dimensions [2] and multiple
definitions. [3] For example, while most nonprofit leaders defineorganizational effectiveness as 'outcome accountability,' or the extent to which
an organization achieves specified levels of progress toward its own goals, a
minority of nonprofit leaders define effectiveness as 'overhead minimization,'
or the minimization of fundraising and administrative costs.
According to Richard et al. (2009) organizational effectiveness
captures organizational performance plus the myriad internal performance
outcomes normally associated with more efficient or effective operations and
other external measures that relate to considerations that are broader than
those simply associated with economic valuation (either by shareholders,managers, or customers), such as corporate social responsibility.[4]
An organization's effectiveness is also dependent on its communicative
competence and ethics. The relationship between these three are
simultaneous. Ethics is a foundation found within organizational effectiveness.
An organization must exemplify respect, honesty, integrity and equity to allow
communicative competence with the participating members. Along with ethics
and communicative competence, members in that particular group can finally
achieve their intended goals.
Foundations and other sources of grants and other types of funds are
interested in organizational effectiveness of those people who seek funds
from the foundations. Foundations always have more requests for funds or
funding proposals and treat funding as an investment using the same care as
a venture capitalist would in picking a company in which to invest.
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Organizational effectiveness is an abstract concept and is difficult for
many organizations to directly measure. Instead of measuring organizational
effectiveness directly, the organization selects proxy measures to represent
effectiveness. Proxy measures may include such things as number of people
served, types and sizes of population segments served, and the demand
within those segments for the services the organization supplies.
For instance, a non-profit organization which supplies meals to house
bound people may collect statistics such as the number of meals cooked and
served, the number of volunteers delivering meals, the turnover and retention
rates of volunteers, the demographics of the people served, the turnover and
retention of consumers, the number of requests for meals turned down due to
lack of capacity (amount of food, capacity of meal preparation facilities, and
number of delivery volunteers), and amount of wastage. Since the
organization has as its goal the preparation of meals and the delivery of thosemeals to house bound people, it measures its organizational effectiveness by
trying to determine what actual activities the people in the organization do in
order to generate the outcomes the organization wants to create.
Organizational effectiveness is typically evaluated within nonprofit
organizations using logic models. Logic models are a management tool
widely used in the nonprofit sector in program evaluation. Logic models are
created for specific programs to link specific, measurable inputs to specific,
measurable impacts.[5] Typically, logic models specify how program inputs,
such as money and staff time, produce activities and outputs, such as
services delivered, which in turn lead to impacts, such as improvedbeneficiary health.
Activities such as administration, fundraising, and volunteer training
are important inputs into organizational effectiveness because although they
do not directly result in programmatic results, they provide the essential
support functions needed for the organization to successfully finance and
administer its programs. These other activities are overhead activities that
indirectly assist the organization in achieving its desired outcomes.
However, some nonprofit watchdog agencies regard overhead
spending not as indirect program spending but as in indication of
organizational ineffectiveness or inefficiency since funds are not being spent
directly on programs. Cost ratios such as overhead are much simpler to
measure than actual programmatic results and can be easily calculated from
publicly available information disclosed on nonprofit organizations' IRS Forms
990. Several nonprofit watchdog agencies provide ratings of nonprofit
organizations using these data. However, this practice is widely criticized by
scholars and practitioners.[6][7] A nonprofit with low overhead may have
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ineffective programs that have no impact, while a nonprofit with relatively
higher overhead may be significantly more effective in terms of achieving
meaningful results.[8][9] Some studies suggest that low overhead may
actually reduce organizational effectiveness.[10] Moreover, an organization
with higher overhead is more efficient than one with lower overhead if the
organization with higher overhead achieves the same results at a lower total
cost.
The term Organizational Effectiveness is often used interchangeably
with Organization Development, especially when used as the name of a
department or a part of the Human Resources function within an organization.
Strategies of OD
Techniques used for OD are considered below.
a. Sensitivity training
This has many applications and is still used widely, even though new
techniques have emerged (Lewin, 1981). Sensitivity training (Benny, Bradford
and Lippitt, 1964) basically aims at:
growth in effective membership;
developing ability to learn;
stimulating to give help; and
developing insights to be sensitive to group processes.These process variables - in a systems sense - interact and are interdependent.
b. Grid Training
Grid training is an outgrowth of the managerial grid approach to
leadership (Blacke and Mouton, 1978). It is an instrumental approach to
laboratory training. Sensitivity training is supplemented with self-administered
instruments (Benny, Bradford and Lippitt, 1964). The analysis of these
instruments helps in group development and in the learning of group
members. This technique is widely used and has proved effective.
Grid training for OD is completed in six phases. They are:
laboratory-seminar training, which aims at acquainting participants
with concepts and material used in grid training;
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a team development phase, involving the coming together of
members from the same department to chart out as to how they will
attain a 9 x 9 position on the grid;
inter-group development aims at overall OD. During this phase,
conflict situations between groups are identified and analysed;
organization goal setting is based on participative management,
where participants contribute to and agree upon important goals for
the organization;
goal attainment aims at achieving goals which were set during the
phase of organizational goal setting; and
stabilization involves the evaluation of the overall programme and
making suggestions for changes if appropriate.
Modern OD techniques
In addition to the traditional OD techniques like sensitivity training,
grid training and survey feedback, there are four modern techniqueswhich can be used at inter-personal and inter-group levels.
Process consultation approach
This attempts to efficiently help diagnose and solve important
problems of organizations. It refers to the processes which take place
within a group or between groups and the consultant. The consultant
aims at helping the client to perceive, understand and act upon process
events which occur in the client's environment. Schein (1969) has
proposed six major steps to be followed by the consultant. They are:
Initiating contact The consultant is approached by the client to
solve an organizational problem which could not be solved by
normal procedures.
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Defining the relationship This refers to clarifying the expectations
of both client and consultant through a contract between them
about services, time and fees.
Selecting a setting and a method This refers to the place and
method of doing the exercise.
Gathering data and making a diagnosis This is implemented
through using questionnaires, interviews, observations, etc.
Intervention This involves agenda setting, feedback, coaching and
structural interventions, individually or in combination.
Reducing involvement and terminating This is the mutual
agreement to cease the consultation.
Third Party
The third-party peace-making technique attempts to settle inter-
personal and inter-group conflicts using modern concepts and
methods of conflict management. This technique analyses the
processes involved, discerns the problem on the basis of the analysis,
and suitably manages the conflict situation.
Team building
Team building has been considered the most popular OD technique in
recent years, so much so that it has replaced sensitivity training. It
aims at improving overall performance, tends to be more task-
oriented, and can be used with family groups (members from the
same unit) as well as special groups (such as task forces, committees
and inter-departmental groups).
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Department
Every organization is made up of
different department. Each department
contributes to the running of the business.
The most common departments are:
a) Production
b) Marketing & Salesc) Finance
d) Human resource and in
some cases, Information
Technology departments
1. Production Department
The production department is responsible for converting inputs into
outputs through the stages of production processes. The Production Manager
is responsible for making sure that raw materials are provided and made into
finished goods effectively. He or she must make sure that work is carried out
smoothly, and must supervise procedures for making work more efficient and
more enjoyable.
There are five production sub-functions:
Production and planning.
They will set the standards and targets at each stage of the production
process. The quantity and quality of products coming off a production line will beclosely monitored.
Purchasing department
This department will provide the materials, components and equipment
required. An essential part of this responsibility is to ensure that stocks arrive on
time and are of good quality.
The stores departmentThe stores department are responsible for stocking all the necessary tools, ,
raw materials and equipment required to service the manufacturing process.
The design and technical support department
They are responsible for the design and testing of new product processes and
product types, together with the development of prototypes through to the final
product.
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The works department
This department is concerned with the manufacture of products. This willinclude the maintenance of the production line and other necessary repairs. The
works department may also have responsibility for quality control and inspection.
2. Human resource Department
The role of Human resource department is in charge of recruiting, training,
and the dismissal of employees in an organisation.
Recruitment and selection
Training programmes
Training programs are held by the HRD to improve the employees skills, as
well as to motivate them.
There are three main types of training:
1. Induction training
2. On-the- job training
3. Off-the-job training
Manpower Planning
The HR department needs to think ahead and establishthe numberand skills of the workforce required by the business in the future. Failure
to do this could lead to too few or too many staff or staff with inappropriate needs.
Dismissal and Redundancy (retrenchment)
Dismissal is where a worker is told to leave their job due to unsatisfactorywork or behaviour.
Redundancy is when the business needs to reduce the number of employees eitherbecause it is closing down a branch or needs to reduce costs due to falling profits. It
may also be due to technological improvements, and the workers are no longerneeded.
3. Marketing Department
These are the main section of the market departments: Sales department is responsible for the sales and distribution of the
products to the different regions.
Research & Department is responsible for market research and
testing new products to make sure that they are suitable to be sold.
Promotion department decides on the type of promotion method for
the products, arranges advertisements and the advertising media
used.
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Distribution department transports the products to the market.
4. Finance Department
Book keeping procedures
Keeping records of the purchases and sales made by a business as
well as capital spending.
Preparing Final Accounts
Profit and loss account and Balance Sheets
Providing management information
Managers require ongoing financial information to enable them to
make better decisions.
Management of wages
The wages section of the finance department will be responsible for
calculating the wages and salaries of employees and organising the
collection of income tax and national insurance for the Inland
Revenue. Raising Finance
The finance department will also be responsible for the technical
details of how a business raises finance e.g. through loans, and therepayment of interest on that finance. In addition it will supervise the
payment of dividends to shareholders.
Basic Departmentalization
Another fundamental characteristic of organization structure is
departmentalization, which is the basis for grouping position into departments and
departments into the total organization. Managers make choices about how to use
the chain of command to group people together to perform their work. There are five
approaches to structural design that reflect different uses of the chain of command in
departmentalization. The functional, divisional, and matrix are traditional approaches
that rely on the chain of command to define departmental groupings and reporting
relationships along the hierarchy. Two approaches have emerged to meet
organizational needs in a highly competitive global environment. A brief illustration of
the five alternatives is presented in the chart on the other side
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.
1. Vertical functional approach. People are grouped together in
departments by common skills and work activities, such as in an
engineering department and an accounting department.
2. Divisional Approach. Departments are grouped together into separate,
self-contained divisions based in a common product, program, or
geographical region. Diverse skills rather than similar skills are the
basis of departmentalization.
3. Horizontal matrix approach. Functional and divisional chains of
command are implemented simultaneously and overlay one another in
the same departments. Two chains of command exist, and some
employees report to two bosses.
4. Team-based approach. The organization creates a series of teams to
accomplish specific tasks and to coordinate major departments. Teams
can exist from the office of the president all the way down to the shop
floor.
5. Network Approach. The organization becomes a small, central hub
electronically connected to other organizations that perform vital functions.
Departments are independent, contracting services to the central hub for a profit.
Departments can be located anywhere in the world.
Each approach to structure serves a distinct purpose for the organization, and
each has advantages and disadvantages. The basic difference among structures is
the way in which employees are departmentalized and to whom they report. The
differences in structure illustrated here have major consequences for employee
goals and motivation. Let us now turn to each of the five structural designs and
examine their implications for managers.
Informal Organization
Informal organizations consist of the unofficial and unauthorised relationships
that occur between individuals or groups within the formal organization. Sometimes
informal organizations occur within the formal organization. Informal
organizations occur in order to:
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i) Satisfy a social need.
ii) Create a sense of belonging.
iii) Perpetuate cultural values of a group.
iv) Communicate and pass information.
Characteristics of informal organizations
i) Standards of BehaviorInformal organizations generally develop its own laws, taboos and beliefs
about what is right and wrong behavior or conduct.
ii) Pressures to conformInformal groups tend to exert pressures upon which its members conform to.
iii) Informal leadershipLeaders in informal organizations emerge from groups through persuasion
and influence.
Influence of informal organizations in management of formal organizations
The presence of informal organizations helps the management of formal
organizations.
Informal groups form a channel through which certain information can bepassed to workers. This additional means of communication can sometimes be veryeffective. It may also provide a means of social satisfaction. It is not possible fororganizations to provide all means of satisfaction. Informal groups can serve asadditional source of satisfaction for formal group members.
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ACTIVITIES
1. Presumed that you have organized and had followed the steps in
organizing. Then make a detailed report on the difficulties and problems of
organizing. Make suggestions on how you would go about it the second timearound.
An effective service organization is made up of people who are basically all
pointing in the same direction that is, they are in agreement about the reason for
the organization to exist, and what they would like to see the organization achieve. If
there are very basic disagreements about such matters, it is likely that the
organization will not be effective, and will spend its time arguing and posturing.
Therefore those involved need to be open and clear about the purpose of the
organization, and about the ways that it intends to work. It is then very important tomake sure that all those involved are on board that is, in agreement about these
fundamental aspects of the organization. This may seem very simple (if not over-
simple) but these aspects are the foundations of any organization that wants to
achieve something. You ignore them at your peril.
Here are just 19 problems/difficulties I've seen in Organizing:
Lack of communication - forcing others make assumptions
Incomplete or misleading communication
Dependence on "tribal knowledge"
One shift or department doesn't report conditions in writing to next shift or
department
Lack of formal written instructions and checklists
Processes not documented real-time
Problems ignored or overlooked and passed down line, assuming they'll get
caught by someone else
Faulty parts not returned to vendors for engineering correction
Certain items/actions not verified
Bugs not reported
Computer records not updated
Events happen out of sequence
Projects sitting idle waiting for communication or parts
Product must be taken apart and rebuilt because problems slipped through
Problems shipped to customers, where the system must be patched by field
support
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