9. Definition of
Organising
Organising is a process whereby
work activities are arranged and
allocated to employees in order
to achieve organizational goals
and objective .
1
10. 2
IMPORTANCE OF
ORGANISING
1. Identification of
organizational activities
2.Departmentalization of
organizational activities3.Classifying authority
4.Coordination
between authority
and resposibility
12. BASIC ELEMENT OF
ORGANISATION
4
1. Job
Specialisation
2.
Departmentalisatio
n3.Chart and Chain
of Command
4.Span of
5.Delegation
6.Centralised
and
Decentralisati
on
13. 1.Job specification
Employee will perform their specific job
according to their skills,qualification and abilities
2.Departmentalisation
Mean division of work and employee to different
organisational units that are responsible in resolving
the duties given.
3.Chart and Chain of Command
A graphic representation of a formal organization structure.It
is important to analysing problem in organization
Example of Organizational Chart
This chart can help manager to verify :
• Level of Management
• Chain of Command
• Positions and Types of Worked Performed
• Departmentalisation or Division of Work
14. 4.Span of Control
• Known as Span Management
• Defined as : the number of subordinates or employee that a
managed by a manager.
• There 2 types of span of control
NARROW SPAN OF CONTROL WIDE SPAN OF CONTROL
A manager supervise a
small group of employees
,resulting in a tall
organization structure
A manager supervise a
larger group of employees
,resulting in a flat
organization structure
5.Delegation
• A process of assigning authority to another person and the
accountability of carrying out specific activities.
15. Authority
• The right given
to a person to
take action,to
make decisions
Responsibility
• The obligation
to perform the
task or duties
Accountability
• Liability
created for the
use of
authority.it is
the
answerability
for ther
performance
of the assigned
duties
1) Line authority
• Directly responsible for achieving organizational goals
• Based on legitimate power
2) Staff Authority
• Includes all elements of an organization.
• Based on expert power
• Held by individual or groups in an organization who provide
varied types of services and advice to line manager
3) Functional Authority
• It is necessary in carrying out many organizational
activities,both to provide a degree of uniformly
and allow for application of axpertise.
16. 6.Centralised and Decentralization
A process where the focal point
of approval for secisions made
are subjected to the approval of
the top management.
Decentralization decision
making pose several
implication
19. 1. Task are grouped according to organizational function such as production,
marketing and finance.
2. Use for small organizations that have a limited number of product or
services.
Managing Director
Production
Manager
Marketing
Manager
Finance
Manager
Advertising Sales
Different types of organisation have
different functional units to support
their business and operation.
21. Product Departmentalization Geographical Departmentalization Customer Departmentalization
1) Task or group based on the product produced by
the organization
2) Practised by organization producing multiple
products.
3) Example :
1. Performed based on location.
2. Got branches in other location
3. responsible for the production and marketing of
product in their location
4. Example :
1. Based on customer group who purchase the
organisation’s product such as industrial
customer,ordinary customer and office customer
2. Responsible for producing and marketing the
products that will used by consumer in their
market.
3. Example :
Managing
Director
Inbound
Manager
Outbound
Manager
Umrah and Haji
Manager
General and
Administration
Manager
President
Vice President
U.S Operation
Accounting Marketing Operation
Human
Resources
Vice President
Accounting Marketing Operation
Human
Resources
CEO
VP Consumer
Product
Research and
Development
Manufacturing
Marketing and
Sale
VP Small
Business Market
Research and
Development
Manufacturing
Marketing and
Sale
VP S mall Major
Acconta
Research and
Development
Manufacturing
Marketing and
Sale
Chief Financial
Officer
Accounting
Planning
Staff
22. 1. A type of structure that combines two or
more types of departmentalisation at the
same.
2. The employees report to two different
supervisors or managers.
3. It is also suitable for aoganization with
limited resources.
General
manager
Project A
Project C
Project B
Production
Manager
Production
unit
Production
unit
Production
unit
Finance
Manager
Finance
unit
Finance
unit
Finance
unit
Marketing
Manager
Marketing
unit
Marketing
unit
Marketing
unit
24. DESIGN OF ORGANISATIONAL STRUCTURE ADVANTAGES DISADVANTAGES
1.Functional Design • Emphasizes job specialization in each department.
• Avoid conflict in resource allocation.
• Easier to control the employees as managers
practise job specialization.
• Involves the implementation of routine and
monotonous tasks.
• Lack of communication via meeting and employees
in different department.
• Cannot produce employees who are skilled in
many areas due to job specialization in specific
area.
2.Divisional Design PRODUCT DEPARTMENTALIZATION
• Allows specialization in particular products and
services
• Manager can become expert in their industry.
• Close to customer
• Duplication of function
• Limited view of organizational goals
GEOGRAPHICAL DEPARTMENTALIZATION
• More efficient handling of specific regional issue
that arise
• Duplication of function
CUSTOMER DEPARTMENTALIZATION
• Customer’s need and problems can be met by
specialis
• Duplication of functions
• Limited view or organisational goals
3.Matrix Design • Activities of each project are coordinated more
effectively and efficiently.
• Rewards are allocated fairly to managers and team
members.
• Experienced managers can handle any project
satisfactory
• Differences in opinion among team members on
ways to perform a task may result in conflict.
• Individuals performing important tasks must have
skills in specific area.
• Involves lengthly discussion sessions which may
hinder effort to perform duties effectively