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What is an organization?
It is composed of the following elements: Deliberate Structure People Distinct Purpose
An organization is a social entity that has a collective goal and is linked to an external environment.
TYPES: Profit vs. Non-profit SIZE : Small 4 - 400 plus employees Medium 500 - below 1,000 Large 1,000 and above
Organizational structure
Most human organizations fall roughly into four types: Pyramids or hierarchies - exemplifies an arrangement with a leader who leads other individual members of the organization. This arrangement is often associated with bureaucracy.
Committees or juries - consist of a group of peers who decide as a group, perhaps by voting. The difference between a jury and a committee is that the members of the committee are usually assigned to perform or lead further actions after the group comes to a decision, whereas members of a jury come to a decision.
Matrix organization assigns each worker two bosses in two different hierarchies. One hierarchy is "functional" and assures that each type of expert in the organization is well-trained, and measured by a boss who is superexpert in the same field. The other direction is "executive" and tries to get projects completed using the experts. Projects might be organized by products, regions, customer types, or some other schema.
As an example, a company might have an individual with overall responsibility for Products X and Y, and another individual with overall responsibility for Engineering, Quality Control etc. Therefore, subordinates responsible for quality control of project X will have two reporting lines.
Ecologies This organization has intense competition. Bad parts of the organization starve. Good ones get more work. Everybody is paid for what they actually do, and runs a tiny business that has to show a profit, or they are fired.
A leader emerges within the context of the informal organization that underlies the formal structure. The informal organization expresses the personal objectives and goals of the individual membership which may or may not coincide with those of the formal organization.
Organizational Culture
the collective behavior of humans who are part of an organization and the meanings that the people attach to their actions. It includes the values, visions, norms, working language, systems, symbols, beliefs and habits. It is also the pattern of such collective behaviors and assumptions that are taught to new organizational members as a way of perceiving, and even thinking and feeling.
Power Structures: Who makes the decisions, how widely spread is power, and on what is power based? Symbols: These include organizational logos and designs, but also extend to symbols of power such as parking spaces and executive washrooms.
Rituals and Routines: Management meetings, board reports and so on may become more habitual than necessary.
Stories and Myths: build up about people and events, and convey a message about what is valued within the organization.
Conversely, there is weak culture where there is little alignment with organizational values, and control must be exercised through extensive procedures and bureaucracy.
Strong communication with all employees regarding policies and issues Strong leaders with a strong sense of direction and purpose Ability to compete in innovation and client service Lower than average turnover rates (perpetuated by a healthy culture) Investment in learning, training, and employee knowledge
What is management?
Management is getting things done through people. Mary Parker Follett (18681933)
According to the management guru Peter Drucker (19092005), the basic task of management is twofold: marketing and innovation.
Branches of Management
Human resource management Operations management Strategic management Marketing management Financial management Information technology management responsible for management information systems
Functions of Management
Planning
Planning: Deciding what needs to happen in the future (today, next week, next month, next year, over the next five years, etc.) and generating plans for action.
Organizing
Organizing: (Implementation)pattern of relationships among workers, making optimum use of the resources required to enable the successful carrying out of plans. Staffing: Job analysis, recruitment and hiring for appropriate jobs.
Leading
Leading/directing: Determining what needs to be done in a situation and getting people to do it. Motivation: Without motivation, employees cannot work effectively. If motivation does not take place in an organization, then employees may not contribute to the other functions (which are usually set by top-level mgt.
Controlling
Controlling/monitoring: Checking progress against plans.
What is Planning?
Planning is the process of setting goals, developing strategies and outlining tasks and schedules to accomplish the goals.
A. Forecast B. Set objectives C. Develop strategies D. Program E. Budget F. Set procedures G. Develop policies
What is Organizing?
Organizing is assembling required resources to attain organizational objectives.
A. Establish organization structure B. Create position description C. Establish position qualification D. Select
What is Leading?
Leading is the act of guiding, directing, governing or enticing.
Orient Train Develop (Delegate, Motivate) Coordinate Manage Differences Manage Change
What is Controlling?
Controlling is establishing standards, measuring performance against them and taking corrective action, if required.
Performance standards setting Measuring results Taking corrective action Rewards
C. Decisional - roles that require decisionmaking. a. Entrepreneur b. Disturbance Handler c. Resource Allocator d. Negotiator
Levels of management
Top-level managers
They control and oversee the entire organization. They develop goals, strategic plans, company policies, and make decisions on the direction of the organization. Top-level managers play a significant role in the mobilization of outside resources and are accountable to the shareholders and general public.
It appoints the executive for middle level i.e. departmental managers. It controls & coordinates the activities of all the departments. It is also responsible for maintaining contact with the outside world. It provides guidance and direction. It is also responsible towards the shareholders for the performance of the enterprise.
Middle-level managers
They are accountable to the top management for their department's function. They devote more time to organizational and directional functions.
Middle - level managers execute organizational plans in conformance with the organizations policies and the objectives of the top management. They define and discuss information and policies from top management to lower management, and most importantly they inspire and provide guidance to lower level managers towards better performance.
First-level managers
They focus on controlling and directing. They assign employees tasks, guide dayto-day activities, ensure and supervise employees on quality and quantity production, make recommendations and suggestions, and up-channel employee problems, etc. First-level managers are role models to employees.
Management Skills
Political: used to build a power base and establish connections. Conceptual: used to analyze complex situations. Interpersonal: used to communicate, motivate, mentor and delegate. Diagnostic: ability to visualize most appropriate response to a situation. Technical: Expertise in one's particular functional area.
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