Management Functions

2. Organizing

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 Session objectives
At the end of this session students will
be able to:

• Define organizing as management

function
• Describe functional steps in
organizing
• Purpose of organizing
• Describe Organization and organizational design
10/23/2024 HSM 2
 Introduction
• Organizing is the function performed
after planning
• Means of structuring the work of the
organization
• A management function that involves
determining what tasks are to be done,
who is to do them, how the tasks are to
be grouped, who reports to whom, and
where decisions are to be made.
• Organizing may be defined as the
arranging of component parts into
functioning wholes
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 Intro continued…

• Organizing focuses attention on the

structure and process of allocating
jobs/coordinating activities so that
common objectives can be achieved

• Thus, organizing focuses on both a

structure and a process

• Organizational process refers to the

methods used to achieve organizational
goals
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 FUNCTIONAL STEPS IN
ORGANIZING

• The four building blocks of organizing

1. Division of work
2. Departmentalization
3. Delegation
4. Coordination

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 1. Division of labour /Division of
work / work specialization
• Is breaking of a complex task into
components

• Work process requirements and

employee skill level determine the
degree of specialization
• It is dividing operating work into
manageable units

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 Division of labour continued….
• Reasons and benefit
– Take advantage of specialization
– Facilitate control
– Aid Coordination
– Secure adequate attention
– Reduce expenses
– improve productivity

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 Steps to follow
STEPS
1. Review plans
2. List all tasks to be accomplished
3. Divide tasks/works into groups
4. Group related jobs together
5. Assign work to individuals
6. Assign head to each departments to
supervise and control the various
activities of each department
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 2. Departmentalization

 Once jobs have been divided up through work

specialization, they have to be grouped back
together so that common tasks can be
coordinated.
 The basis on which jobs are grouped together
is called departmentalization.
 Dividing managerial work among the various
executives in order to:
-- reduce pressure from the top and
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secure quick decisions on the spot.
 3.Delegation

 It is a matter of entrusting part of your work of

operation or management to others. Or is down ward
pushing of authority to make decision.
 The boss-subordinate relationship
Delegation will not be effective unless you express or
imply five actions:
• You assign duty to your subordinate
• You grant him sufficient authority to do the job
• You make him feel that he has obligation
• Explain to others that you have delegated work to
him.
• Give support as needed and follow up the progress
of work
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 4. Coordination
• The integration of activities of separate
parts of an organization for accomplishing
the organizational goals.

• Integration: the degree to which various

departments work in a unified manner

• The degree of coordination depends on

– Nature of task
– Degree of interdependence of people in the
various units
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 Coordination ……

• Coordination is means of:-

– Distributing authority
– Providing channels of communication
– Arranging the work so that right things are
done, in the right place, at the right time, in
the right way, by the right people.

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 Coordination…..
• High degree of coordination is needed:
– When communication between units is
important
– For non-routine and unpredictable works
– When organizations are challenged with
unstable environment
– When there is high interdependence
between units
– When the organization has set high
performance objectives
– For highly specialized task
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 Coordination …
• Approaches to achieving effective
coordination Using basic
management techniques

– Specify relationships (managerial

hierarchy or chain of command)

– Set rules and procedures

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 Purposes of Organizing
• Divides work to be done into specific
jobs and departments
• Assigns tasks and responsibilities
associated with individual jobs
• Coordinates diverse organizational tasks
• Clusters jobs into units
• Establishes relationships among
individuals, groups, and departments
• Establishes formal lines of authority
• Allocates and deploys organizational
resources 15
 Organizations:

• A pattern of relationship through which

people pursue to achieve common
goals.
• are groups of people, with ideas and
resources, working toward common
goals.

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Characteristics of organizations:

• Whatever their purpose, all

organizations have four characteristics:
(1) coordination of effort
(2) common goal or purpose
(3) division of labor
(4) hierarchy of authority.

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Organizational Design:

◊ The process of developing or changing

an
organization’s structure.

Organizational Structure

• The way, in which an organization’s activities are

divided, organized and coordinated.

• Is the formal decision-making framework by which

job /tasks are divided, grouped, and coordinated.
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 Organizational charts?

displays the organizational structure

and shows job titles, lines of
authority, and relationships between
departments.

Is helpful for managers as it is an

organizational blue print for
deploying human resource.

The formal organization can be seen

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Dimensions of Organizational
charts

 Representing the organization's

structural skeleton, organizational
charts have dimensions representing:

vertical hierarchy

horizontal specialization.
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A clear organizational structure:

 clarifies the work environment

 creates a coordinated environment

 achieves a unity of direction

 establishes a chain of command

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• Based on the arrangements of
important elements of
organizational structure there are
two organizational systems.

– Mechanistic
– Organic

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Mechanistic organizations :

• are rigid in that they consist of very

clearly delineated jobs

• have a well-defined hierarchical structure

• rely heavily on the formal chain of

command for control.

• Bureaucratic organizations are form of

mechanistic structures.
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 mechanistic structure……

• Are rigid and resist change, discourage

individual or group initiative
activities/entrepreneurship

• Limit individual autonomy and self

determination

• NB. If the environment is more

stable, it increase efficiency of the
organization
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 Organic organizational structure :
• characterized by informality, working in
groups and open communication
• more flexible,
• more adaptable to a participative form of
management
• less concerned with a clearly defined structure.
• The organic organization is open to the
environment.
• Flat organizations
– Emphasize a decentralized approach
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 Organic structure….
• The purpose of flat structure
– Can rapidly respond to customers'
needs
– More personal relationship with
employees
– Referred participative-democratic
• ƒInteract in a friendly environment
• Mutual confidence and trust
• Organic organizations
– Uncertain task
– A changing environment
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 Which types of organizational
structures to choose???
• Designing an organization =
choosing an organizational
structure
• ™Thus factors such as
– Competition,
– the global economy
– customer needs,
– government regulation => need for
change.
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 Continued…..
 None of organizational structure is best. The
appropriate structure depends on the
organization’s strategy (innovation, cost
minimization, imitation), its size, the
technology it uses (unit production, mass
production, or process production), and the
degree of environmental uncertainty the
organization faces.
• ™Innovation, flexibility and differentiation
are better supported by organic structure.

• ™Efficiency, stability and cost control are

better supported by a tight mechanistic
structure.
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 Mechanistic Vs Organic
Mechanistic Organic
 Rigid hierarchical  Collaboration
relationships (both vertical and
 Fixed duties
horizontal)
 Many rules  Adaptable duties
 Formalized  Few rules
communication  Informal
channels communication
 Centralized decision  Decentralized
authority decision authority
 Taller structures  Flatter structures
 Passionate pursuit of  Passionate pursuit
cost control of innovation 29
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 Characteristics of health service
organizations
• Defining outputs are more difficult

• The work involves more highly variable and

complex
• Work involves extremely high level of specialization

• Organization participants are highly

professionalized
• Their primary loyalty is to their profession rather
than their organization
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 Thank you!!!

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