MODULE on Organization and Management of Educational Business Institution

download MODULE on Organization and Management of Educational Business Institution

of 48

Transcript of MODULE on Organization and Management of Educational Business Institution

  • 7/28/2019 MODULE on Organization and Management of Educational Business Institution

    1/48

    1

    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

  • 7/28/2019 MODULE on Organization and Management of Educational Business Institution

    2/48

    2

    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

  • 7/28/2019 MODULE on Organization and Management of Educational Business Institution

    3/48

    3

    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

  • 7/28/2019 MODULE on Organization and Management of Educational Business Institution

    4/48

    4

    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

  • 7/28/2019 MODULE on Organization and Management of Educational Business Institution

    5/48

    5

    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.

  • 7/28/2019 MODULE on Organization and Management of Educational Business Institution

    6/48

    6

    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

  • 7/28/2019 MODULE on Organization and Management of Educational Business Institution

    7/48

    7

    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.

  • 7/28/2019 MODULE on Organization and Management of Educational Business Institution

    8/48

    8

    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

  • 7/28/2019 MODULE on Organization and Management of Educational Business Institution

    9/48

    9

    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

  • 7/28/2019 MODULE on Organization and Management of Educational Business Institution

    10/48

    10

    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.

  • 7/28/2019 MODULE on Organization and Management of Educational Business Institution

    11/48

    11

    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.

  • 7/28/2019 MODULE on Organization and Management of Educational Business Institution

    12/48

    12

    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,

  • 7/28/2019 MODULE on Organization and Management of Educational Business Institution

    13/48

    13

    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.

  • 7/28/2019 MODULE on Organization and Management of Educational Business Institution

    14/48

    14

    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.

  • 7/28/2019 MODULE on Organization and Management of Educational Business Institution

    15/48

    15

    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

  • 7/28/2019 MODULE on Organization and Management of Educational Business Institution

    16/48

    16

    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

  • 7/28/2019 MODULE on Organization and Management of Educational Business Institution

    17/48

    17

    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.

  • 7/28/2019 MODULE on Organization and Management of Educational Business Institution

    18/48

    18

    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

  • 7/28/2019 MODULE on Organization and Management of Educational Business Institution

    19/48

    19

    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.

  • 7/28/2019 MODULE on Organization and Management of Educational Business Institution

    20/48

    20

    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,

  • 7/28/2019 MODULE on Organization and Management of Educational Business Institution

    21/48

    21

    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.

  • 7/28/2019 MODULE on Organization and Management of Educational Business Institution

    22/48

    22

    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

  • 7/28/2019 MODULE on Organization and Management of Educational Business Institution

    23/48

    23

    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.

  • 7/28/2019 MODULE on Organization and Management of Educational Business Institution

    24/48

    24

    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.

  • 7/28/2019 MODULE on Organization and Management of Educational Business Institution

    25/48

    25

    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.

  • 7/28/2019 MODULE on Organization and Management of Educational Business Institution

    26/48

    26

    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

  • 7/28/2019 MODULE on Organization and Management of Educational Business Institution

    27/48

    27

    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.

  • 7/28/2019 MODULE on Organization and Management of Educational Business Institution

    28/48

    28

    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.

  • 7/28/2019 MODULE on Organization and Management of Educational Business Institution

    29/48

    29

    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.

  • 7/28/2019 MODULE on Organization and Management of Educational Business Institution

    30/48

    30

    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

  • 7/28/2019 MODULE on Organization and Management of Educational Business Institution

    31/48

    31

    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.

  • 7/28/2019 MODULE on Organization and Management of Educational Business Institution

    32/48

    32

    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.

  • 7/28/2019 MODULE on Organization and Management of Educational Business Institution

    33/48

    33

    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

  • 7/28/2019 MODULE on Organization and Management of Educational Business Institution

    34/48

    34

    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.

  • 7/28/2019 MODULE on Organization and Management of Educational Business Institution

    35/48

    35

    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

  • 7/28/2019 MODULE on Organization and Management of Educational Business Institution

    36/48

    36

    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;

  • 7/28/2019 MODULE on Organization and Management of Educational Business Institution

    37/48

    37

    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.

  • 7/28/2019 MODULE on Organization and Management of Educational Business Institution

    38/48

    38

    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).

  • 7/28/2019 MODULE on Organization and Management of Educational Business Institution

    39/48

    39

    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.

  • 7/28/2019 MODULE on Organization and Management of Educational Business Institution

    40/48

    40

    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.

  • 7/28/2019 MODULE on Organization and Management of Educational Business Institution

    41/48

    41

    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

  • 7/28/2019 MODULE on Organization and Management of Educational Business Institution

    42/48

    42

    .

    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:

  • 7/28/2019 MODULE on Organization and Management of Educational Business Institution

    43/48

    43

    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.

  • 7/28/2019 MODULE on Organization and Management of Educational Business Institution

    44/48

    44

    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

  • 7/28/2019 MODULE on Organization and Management of Educ