Republic of the Philippines

DEPARTMENT OF EDUCATION
Region I
San Fernando City
La Union

MODULE IN
ORGANIZATION AND MANAGEMENT
2ND QUARTER, (WEEK 8 )

MELC: Apply organization theories for effective business management.

 ABM_AOM11-Ih-j-17

( double space from the Competency Code to the Objective)

Objectives: (Times New Roman Bold, size 13)
(If MELC is too broad, Do unpacking by referring from the Curriculum Guide)
1. At the end of the session , learners are expected to apply organization theories in solving
business cases

Prepared by:

AGNES R. RAMO
SHS TEACHER II
INTRODUCTION:

Organizing

Organizing is the function of management that involves developing an organizational

structure and allocating human resources to ensure the accomplishment of objectives. The
structure of the organization is the framework within which effort is coordinated. The
structure is usually represented by an organization chart, which provides a graphic
representation of the chain of command within an organization. Decisions made about the
structure of an organization are generally referred to as organizational design decisions.

Organizing also involves the design of individual jobs within the organization.
Decisions must be made about the duties and responsibilities of individual jobs, as well as the
manner in which the duties should be carried out. Decisions made about the nature of jobs
within the organization are generally called “job design” decisions.

Organizing at the level of the organization involves deciding how best to

departmentalize, or cluster, jobs into departments to coordinate effort effectively. There are
many different ways to departmentalize, including organizing by function, product,
geography, or customer. Many larger organizations use multiple methods of
departmentalization.
PRE- TEST:

Directions: Identify the following sentences.

1. It is an art of knowing exactly what you want your men to do and seeing that they do it in
the best and cheapest way.
2. He is the Father of Scientific Management Approach.
3. He is known as the real Father of Modern Management Approach.
4. In his experiments he showed that an increase in workers productivity was produced by
the psychological stimulus of being singled out , involved and made to feel important.
5. This theory of management was defined as highly structured, formalized, and also an
impersonal organization.
6. The study of how to create an organizational structure that leads to high efficiency and
effectiveness.
7. The perspective of this approach suggested that jobs should be designed to meet higher
levels needs by allowing workers to use their full potential
8. This theory focuses on the way a manager should personally manage to motivate
employees.
9. An approach to management that uses rigorous quantitative techniques to maximize the
use of organizational resources.
10. This theory states that the set of forces and conditions that operate beyond an
organization’s boundaries but affect a manager’s ability to acquire and utilize resources.
DISCUSSION:

Organizing is a management function which involves assigning of tasks, allocating of

resources, and coordinating work activities in order to achieve a common purpose. An
organization chart shows the different job positions in the firm and its hierarchical
arrangement for dividing labor and providing a picture of the reporting structure.
Specialization is the process in which different individuals and work units perform
different tasks. Integration is another process in the organization’s internal environment
which involves the working together and coordination of its different work units.

Organization structure is a system made up of tasks to be accomplished, work

movements from one work level to other work levels in the system, reporting
relationships, and communication passageways that unite together the work of different
individual persons and groups. Its types include vertical structure, horizontal structure
and network structure.
Organization structure design may be: traditional or modern. Traditional design
focuses on performance improvement of people in firms while the modern design focuses
on team work, flexibility, and problem solving.
Delegation is the assigning of new or additional task to a subordinate; or getting work
done through others by giving them the right to make decisions and act. Delegation may have
advantages and disadvantages.
Formal organizations are formed by the company owner/manager to help the
company accomplish its goals. Informal organizations exist because of friendship and
common interests of some organization members which may also help minimize potential
problems in the organization.
DEVELOPMENTAL ACTIVITIES:

SITUATIONAL ANALYSIS
Directions: Read the situation carefully below. Then answer the questions.

Antonio is a cafeteria manager. In everyday basis he used to observe and asses the
employee’s performance in the tasks given to them. During his observation he found out
that after the head of department trained the employees with the task most of them
efficiently working without any supervision while others needs a minimal supervision.
He also found out that employees are working harmoniously with each other among them
if he or the department heads are around. But the / sales but the problem is the decreasing
output for the past few months.

Questions:

1. What are the principles of systematic management theory are can be observe with the
employee’s practices during their works and with the given tasks?
_____________________________________________________________________
_____________________________________________________________________
_____________________________________________________________________

2. Do you think the management theory that the manager practice is efficient enough?
Briefly explain why.
_____________________________________________________________________
_____________________________________________________________________
_____________________________________________________________________

3. If you are Antonio, would you change the practices or the theory of management that
your using? Why or why not?
_____________________________________________________________________
_____________________________________________________________________
_____________________________________________________________________
POST TEST:

A. Directions: Identify the following sentences.

1. It is an art of knowing exactly what you want your men to do and seeing that they do
it in the best and cheapest way.
2. He is the Father of Scientific Management Approach.
3. He is known as the real Father of Modern Management Approach.
4. In his experiments he showed that an increase in workers productivity was produced
by the psychological stimulus of being singled out , involved and made to feel
important.
5. This theory of management was defined as highly structured, formalized, and also an
impersonal organization.

Direction: Modified true or false. Every sentence below has a word/s that makes the
statement incorrect. Find the word/s and give the right word/s to make the statement
correct.

1. Authority is the power to hold people irresponsible for their actions.

2. As a manager establish a bleak level of performance and pay a premium for higher
performance.
3. Positions in the firm should be held based on social contacts.
4. Lines of authority should be questionably identified such that workers know who
reports to who.
5. The degree of authorization rests at the middle point of organizations.
ANSWER KEY:
Pre- test:
1. Scientific management Approach 6. Administrative Management Theory
2. Frederick Taylor 7. Human Resource Perspective
3. Peter F. Ducker 8. Behavioral Management Theory
4. Elton Mayo 9. Management Science Theory
5. Bureaucratic Theory 10. Organization Environment Theory

Post Test:
A. Identification B.
1. Scientific management Approach 1. Irresponsible – accountable

2. Frederick Taylor 2. Bleak – fair

3. Peter F. Ducker 3. Social contact - performancE

4. Elton Mayo 4. Questionably - clearly

5. Bureaucratic Theory 5. Middle – top

References:
A. Books
For books, follow this model for format and punctuation.
Jones G. R., et al. 2003. Contemporary Management, 3rd Edition. McGrawHill
Publications
Helen Ma. F. Cabrera, Anthony DC, Altarejos, and Riaz Benjamin. Organization
and Management, Teacher’s Manual for Senior High School Copyright © 2016 by
Vibal Group Inc. (p. 18 – 21)

B. Online and Other Sources

https://www.toppr.com/guides/business-management-and-entrepreneurship/nature-of-
management-and-its-process/development-of-management-theory/
https://tyrocity.com/topic/max-weber-principle-of-bureaucratic-theory/
https://open.lib.umn.edu/principlesmanagement/chapter/1-5-planning-organizing-leading-and-
controlling-2/