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Unit3 Engineering

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Unit3 Engineering

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U N I T III – O R G A N I Z I N G

O RG A N I Z I N G :
 Organizing is the process of arranging and structuring work
to accomplish an organization’s goal.
 Organizing is the process of identifying and grouping the
activities required to attain the objectives, delegating authority,
creating responsibilities and establishing relationship for people to
work effectively.
 According to Haimann, “Organizing is the process of defining
and grouping the activities of the enterprise and
establishing the authority relationships among them”.
N AT U R E A N D P U R P O S E O F O RG A N I Z I N G :

N AT U R E O F O RGA N I Z I N G :

1. Common objectives:
 Every organization exists to achieve some common goals
or
targets of the organization.

2. Division of labour:
 Overall function of an organization is sub – divided into number
of sub – functions (various departments).
 Each department is headed by a manager, who is
sole
responsible for function of the department.
3. Authority structure:
 Graded series of arrangement in an organization, creates a series
of superior and subordinate relationships called chain of
command.
 Responsibility associated with various positions are defined.

4. Group of persons:
 Work force of an organization constitute active environment in
an organization.

5. Communication:
 Every organization have free flow of communication.
 These channels of communication are necessary for mutual
understanding and cooperation among members of an
organization.
N AT U R E O F O RG A N I Z I N G :

6. Co-ordination:
 Diverse efforts of various functional departments are integrated
towards the common goal through the process of coordination.

7. Environment:
 No organization works in a vacuum. Social, political, economic
and legal factors exert influence on the environment.
 Beside it is influenced by internal factors like
materials,
machines, level of technology, economic measures, H R , etc.

8. Rules and regulations:


 Every organization is governed by a set of rules and regulations
for orderly functioning of people.
P U R P O S E O F O RGA N I Z I N G :

1. To facilitate organization:
 Helps to earn highest profit.
 A properly designed organization facilitates both management
and operation of the enterprise.

2. Increase efficiency of management:


organization.
 A good organization will extract efficient work from an
organization
 Eliminates redundancy and motivates every employee

3. To facilitate growth and diversification:


 Growth deals with expanding the scale of operation.
 Diversification means start of production of new
products.
4. Optimistic use of resources:
 Detailed job specifications are prepared in order to match the job
with the men.
 Right persons are placed in the right job.

5. Facilitate coordination and communication:


 Grouping of activity.

6. Permit optimum use of technological innovations:


• Modifying authority relationship in the wake of new
developments
• Provides adequate scope for innovation.

7. Stimulate creativity and initiative:


 Provides the opportunity for the employees to show their hidden
talent
P U R P O S E O F O RG A N I Z I N G :

8. Facilitate the development of managerial ability:


 Trained to acquire a wide and variety experience in
diverse activities through job rotation.
FORMAL AND INFORMAL
O RG A N I Z AT I O N
F O R M A L O RGA N IZ AT I O N :
 The formal organization refers to the structure of jobs and
positions with clearly defined functions and relationships
as prescribed by the top management.
F O R M A L O RGA N IZ AT I O N :
 It can also be defined as system of well defined jobs with a
prescribed pattern of communication, coordination and delegation
of authority.
 According to Louis Allen, Formal organization is a system of
well – defined jobs, each bearing a definite measure of
authority, responsibility and accountability.
 In formal organization everybody is assigned a certain
responsibility for the performance of the given task and
given the required amount of authority for carrying it out.
Formal Organization- 4 Pillars

• Division of labor and specialization -The whole work is divided


into a number of small operations and a different person performs
each operation so that there is maximum specialization
• Scalar functional processes- imply the growth of
and
organization the
both vertically and horizontally. It creates a scalar
chain of communication in the organization
• Structure of the organization - refers to the overall arrangement in
the organization which ensures proper balance between different
parts of the organization and secures the execution of all
operations and the achievement of organizational objectives.
• Span of control - refers to the number of subordinates directly
reporting and accountable to one superior
C H A R A C T E R I S T I C S O F F O R M A L O RGA N IZ AT I O N :

1. Flexible and properly planned.

2. It is based on principle of division of labour and efficiency in


operation.

3. Concentrates more on the performance of jobs but not on the


individuals performing the jobs.

4. Flow of organization structure is usually framed.

5. Coordination and control among members of organization are


well specified.

6. Responsibility and accountability are clearly defined.

7. Unity of command is normally maintained.


A D VA N TAG E S O F F O R M A L O RGA N IZ AT I O N :

1. Conflicts among workers is eliminated.

2. Overlapping of responsibility is avoided.

3. More stability is ensured in organization.

4.A sense of security arises from classification of the task.

5.Motivates every employee for their personal as well as


organization goal.
DISADVANTAGE OF
FORMAL
1. Delay in action ORGANIZATION
While following scalar chain and chain of command
actions get delayed in formal structure.
2. Ignores social needs of employees
Formal organizational structure dos not give importance to
psychological and social need of employees which may lead to
demonization of employees.
3. Emphasis on work only
Formal organizational structure gives importance to
work only, it ignores human relations, creativity,
talents, etc.
I N F O R M A L O RGA N IZ AT I O N :
 An informal organization is an organization t h a t is not
established by any formal authority, but arises naturally
on the basis of friendship or some common interest which may or may
not be related with work.
 Informal organization refers to the relationship between
people in the organization based on personal attitudes,
emotions, prejudices, likes, dislikes etc.
I N F O R M A L O RGA N IZ AT I O N :
 Generally large formal groups give rise to small informal or
social groups. These groups may be based on same taste,
language, culture or some other factor.
 E.g. People of common language forming group, association
of
people.
C H A R A C T E R I S T I C S O F I N F O R M A L O RGA N IZ AT I O N :

1. Arises voluntarily.

2. Created based on the similarity among the members


(age, native, etc.)

3. Has no place in organization structure.

4. A person may become a member of several


informal organizations at same time.

5. Rules and regulations are not written, but are followed.


A D VA N TAG E S O F I N F O R M A L O RGA N IZ AT I O N :

1. As it gives satisfaction, motivates the workers and maintains


the stability of the work.

2. Fills up the gap in an organization.

3. Effective channel of communication.


D I S A DVA N TAG E S O F I N F O R M A L O RGA N IZ AT I O N :

1. May be a hurdle in achieving the objective of an organization.

2. Indirectly reduces effort of management to promote


greater productivity.

3. Easily spreads rumor.


O RG A N I Z AT I O N C H A RT,
O RG A N I Z AT I O N S T R U C T U R E
TYPES
O RG A N I Z AT I O N C H A RT:

 Organization chart is the visual representation of an


organization’s internal structure.
 It graphically displays an employee's hierarchical status relative to
other individuals within the company.
 For example, an assistant director will invariably fall directly below a
director on the chart, indicating that the former reports to the latter.
 The organization chart enables one to understand easily three
classical principles of organizing, viz., chain command, unity of
command and span of control.
O RG A N I Z AT I O N C H A RT:
Chain of Command
• It is a hierarchical structure that outlines the
authority, responsibility, and communication
channels within an organization.
• It establishes a clear and formal path through
which instructions and information flow, from
top management down to the lowest levels of
the organization.
• E.g. A chain of command includes a supervisor
who reports to the department head who
reports to his plant manager who reports to
manager production who reports to the
Chairman of the company.
• The chain of command exists wherever an
individual is made subordinate to another.
O RG A N I Z AT I O N C H A RT:
Unity of Command
• Classic principle of management theory in which each employee only
responds to one supervisor.
• one subordinate should report only to one boss
• Unity of command principle avoids confusion as to who should report
to whom and who should issue orders to whom.
Span of Control
• The number of people reporting to a manager is called a manager’s
span of control.
• Managers with wide spans of control have many subordinates
• Managers with fewer subordinates is said to have narrow span of
control
O RG A N I Z AT I O N C H A RT:
Organization chart shows
 The hierarchical structure
 The number of management levels;
 Scope of authority and status of the individuals as indicated by the
location of their position in relation to other positions;
 How an organization’s activities are grouped in terms of
departments
 Interaction of people as indicated by the horizontal and vertical
lines connecting various positions/ departments;
 Chain of command - Relationships between superiors and
subordinates in terms of who reports to whom
 Span of management - How many subordinates report directly to
each manager
 Career progression, and
 Formal channels of communication (indicated by the connecting
T Y P E S O F O RG A N I Z AT I O N C H A RT:

1. Top – down chart / Vertical chart:


 Structure will be in form of a pyramid
with executives at the top, midlevel
managers in the middle, and low-
level managers and employees at the
bottom.
 In vertical organizations, senior-level
executives make all the major decisions
and communicate those decisions to mid-
level managers.
 Lines of command flow vertically
 These managers have narrow spans of control. Narrow spans require more
managers to make sure all employees are properly supervised.
 This results in tall organizations with several layers of middle management.
Therefore, has very long chain of command
T Y P E S O F O RG A N I Z AT I O N C H A RT:

2. Left to right / Horizontal chart:


 Lines of command flow horizontally.
 It has a wide span of control
 Fewer managers are needed in middle management, so the company
has less of a power hierarchy
 It has very short chain of command
T Y P E S O F O RG A N I Z AT I O N C H A RT:

3. Circular / Concentric chart:


 Top executive of organization is located
at centre of the chart.
 Subordinates are located outside.
 Instead of seeing the organization
as authoritarian with executives
sending orders from the top, the
circular structure gives the
psychological impression that the
organization is more inclusive, has
better communication, and has
made management more
accessible.
A D VA N TAG E S O F O RG A N I Z AT I O N C H A RT:
 Defines relationship.
 Dual reporting relationship and overlapping positions come to
light.
 Helps to identify the limit of authority.
 Improves communication.
 Provides clue to lines of promotions.
 Outsiders can easily identify and understand the structure of
organization.
 Guides every new employee in understanding how
their positions fit to the organization.
D I S A DVA N TAG E S O F O RG A N I Z AT I O N C H A RT:
 Avoids informal relationships.
 If not clearly defined, may lead to misleading inferences.
 Fails to show how much authority an individual can exercise
and how far he is responsible.
Vertical chart Horizontal Chart

Employees at all levels are


The highest level of managers who empowered to make decisions
have the authority to make about certain things, and they may
Decision makers decisions rarely require manager approval.
Have many managers e.g., middle-
level managers and upper-level Have few managers with many
Number of managers managers autonomous employees.

Rarely ask for input from employees,


expecting employees to follow Encourage employees to share their
orders from their managers without ideas or suggest ways to improve
Line of Control objecting to them. processes

Communication is more free-flowing


Communication in vertical structures as employees can talk to each other
is often slow and only between as much as they want. This improves
Flow of communication department leaders or managers. productivity and efficiency.

More efficient because there are


Have complex approval processes few approval processes or none at
Level of efficiency which can be slow and inefficient all.
Vertical chart Horizontal Chart
Offer employees
little to no
autonomy and
focus on strict Allow employees to be
Level of creativity processes creative and try new things
Employees
collaborate only
Amount of with their own Encourage collaboration
collaboration department. with different departments

Willingness to take
risks More risk averse More willing to take risks
O RG A N I Z AT I O N S T RU C U T R E :
 Organization structure is a flow chart which defines, the formal
arrangement of jobs within and organization.
 An organization structure is designed both from
mechanistic
and humanistic point of view.
T Y P E S O F O RG A N I Z AT I O N S T RU C U T R E :

1. Based on the flow of power


 Bureaucratic structure
 Adaptive structure
T Y P E S O F O RG A N I Z AT I O N S T RU C U T R E :

1. Based on the flow of power

1. Bureaucratic structure:
 They are tall structures with a clear chain of
command.
 Power is centralized with top managers.
 Structures are formed based on formal
authority.

 Includes hierarchy of authority, promotion-based competency.


 College / university environment, The U.S. military
T Y P E S O F O RG A N I Z AT I O N S T RU C U T R E :

1. Based on the flow of power

Characteristics of Bureaucratic structure:


 Uses division of labour principle.
 Ensures coordination among employees.
 Organization is governed by clearly defined rules.
 Defines the hierarchy of the organization.
 States the rights of every employee.
Bureaucratic structure
Advantages

• They are stable

• Employees specialize in what they do best

• There is clear accountability for the work getting done

Drawbacks of Bureaucratic structure:


 Lack of flexibility
 Lack of humanity.
 May lead to conflict.
 Inhibits creativity and imagination
 There is excessive paperwork, reporting and meetings to keep
managers up to date.
 They are cumbersome and slow to react to change.
T Y P E S O F O RG A N I Z AT I O N S T RU C U T R E :

Adaptive structure:
 Maintains high degree of openness to input from internal and
external environment.
 Framed based on knowledge based authority and cooperation.
 More flexible.
T Y P E S O F O RG A N I Z AT I O N S T RU C U T R E :

1. Based on the flow of power

Characteristics of Adaptive structure:


 Roles are not highly defined.
 Tasks are continuously redefined.
 Decentralization of control.
 Quick decision-making.
 Little reliance on formal authority.
T Y P E S O F O RG A N I Z AT I O N S T RU C U T R E :

2. Based on formation of group:

1. Functional structure:
 Groups the people / employee based on similarity in
work
nature.
T Y P E S O F O RG A N I Z AT I O N S T RU C U T R E :

Advantages of Functional structure:


 Specialization - departments focus on one area of work e.g., HR
department focuses on selecting and recruiting the right
employees for the firm
 Efficiency and productivity - Employees are grouped by their knowledge
and skills, allowing them to achieve high performance.
 Accountability - The roles and responsibilities of the employees are fixed.
This facilitates easy accountability for the work.
 Clear hierarchy - The hierarchy is clear and transparent. This reduces the
number of communication channels.
 Cooperation- Cooperation is excellent within the department. Employees
know the one manager they are to answer to, instead of multiple people.
T Y P E S O F O RG A N I Z AT I O N S T RU C U T R E :

Disadvantages of Functional structure:


 Poor Communication - If employees and management are only
loyal to their teams, there will be a lack of teamwork and
coordination. The vertical separation of divisions and teams can
lead to the creation of ‘organizational silos' - a mindset where one
team hesitates to share information or knowledge with other
teams within the same organization.
 Boring- Employees may find it boring to repeat the same task over
and over and become less enthusiastic over time
 Conflicts- No sufficient cooperation may lead to inter–
departmental contradiction.
 They work best within large companies, especially those that produce
products or services continuously, such as in manufacturing.
 Smaller companies may find functional structures too rigid,
preventing them to adapt to changes quickly and easily.
2. Divisional structure:
 They have their own division which corresponds to either products
or geographies
 Each division contains the necessary resources and functions
needed to support the product line and geography.
 Examples: McDonald’s Corporation and Disney. These brands split the
entire organization by location to adjust their strategies for audiences
representing different markets.
2. Divisional structure:
2. Divisional structure:
McDonald’s is well-known for its geographic structure and localization
strategy for food preferences. The McDonald’s in Malaysia is certified
halal (no pork products) and you can order the McD Chicken Porridge:
chicken and onions in porridge. Other examples are Brie Nuggets (fried
brie) in Russia; the Ebi Filet-O (shrimp patty) in Japan; and in Canada,
you can get poutine (fries and cheese curds smothered in gravy).
T Y P E S O F O RG A N I Z AT I O N S T RU C U T R E :

2. Based on formation of group:

Advantages of Divisional structure:


 Size of organization can be increased without problem.
 Improves ability of organization to respond to customer.
 Enhances the efficiency of organization.

Disadvantages of Divisional structure:


 Competition may lead to conflicts.
 Formulation is expensive.
 Control system is complicated.
3. Matrix structure:
 Matrix organization is a hybrid structure.
 It is a combination of two or more organization structures. For
example, Functional Organization and Project Organization.
 The organization is divided into different functions, e.g. Purchase,
Production, R & D, etc. Each function has a Functional
(Departmental) Manager, e.g. Purchase Manager, Production
Manager, etc.
 The organization is also divided on the basis of projects e.g. Project
A, Project B, etc. Each project has a Project Manager e.g. Project A
Manager, Project B Manager, etc.
 The employee has to work under two authorities (bosses).
 The authority of the Functional Manager flows downwards while the
authority of the Project Manager flows across (sidewards). So, the
authority flows downwards and across.
 Therefore, it is called "Matrix Organization".
 Resources will be directed to another project when one is completed
 It is a type of organizational management in which people with similar
skills are pooled for work assignments, resulting in more than one manager
to report to
3. Matrix structure:

Example
 Companies like Larsen & Tourbro (L&T) adopt this structure for the
execution of various projects. The execution of L&T’s construction
of Jawaharlal Football Stadium in Chennai is entrusted to a team
drawn from the functional departments of the headquarters. The
overall responsibility for the project lies with project manager. The
people who work in the project are responsible to the project
manager as well as their functional head from whom they are
drawn. The matrix may be temporary or permanent. In
construction activities, the project is disbanded after the execution,
whereas it may take a permanent form in the case of consumer
goods company
T Y P E S O F O RG A N I Z AT I O N S T RU C U T R E :

2. Based on formation of group:

Advantages of Matrix structure:


 Facilitates better planning.
 More flexible.
 Ensures better use of resources, enhances skills of an employee.

Disadvantages of Matrix structure:


 Multiple projects at a time will lead to complex control.
 Relationship is complicated.
 Decisions are usually delayed.
4. Team structure:
 This structure is made of teams working towards a common goal
while working on their individual tasks.
 They are less hierarchical
 have flexible structures that reinforce problem-solving,
decision-making, and teamwork.
 Comprises members of various departments who work together.
 E.g. Shift employees.
T Y P E S O F O RG A N I Z AT I O N S T RU C U T R E :

2. Based on formation of group:

Advantages of Team structure:


 Reduces interdepartmental conflicts.
 Administrative cost is low.
 Employee learns the function of various departments.

Disadvantages of Team structure:


 Conflict in loyalties.
 Increased time spent in meetings.
T Y P E S O F O RG A N I Z AT I O N S T RU C U T R E :

5. Network structure:
 A network structure is one in which more than one organization
combines to produce a good or provide a service.
 These organizations permit outsourcing or hire others to
handle one or more of its functions (outsourcing), for example,
marketing, production, sales etc.
 Helps to visualize both internal and external relationships
between managers and top-level management.
 Relies on other organization.
 E.g. H&M (Hennes & Mauritz). H& M outsourced the production to
China to benefit from the cheap labor in China.
 MarutiUdyog, Wipro, Larsen and Toubro
Network structure

Advantages

• Less hierarchical,
 more decentralized
 more flexible
 span of control wider
 Work can be outsourced to other firms which specialize in that
particular work. This lowers the cost

Disadvantages of Team structure:


 Complex
 outsourcing important work to external firms makes it difficult to
control and less reliability
T Y P E S O F O RG A N I Z AT I O N S T RU C U T R E :

5. Network structure:
 A network structure is one in which more than one organization
combines to produce a good or provide a service.
 These organizations permit outsourcing or hire others to
handle one or more of its functions (outsourcing), for example,
marketing, production, sales etc.
 Helps to visualize both internal and external relationships
between managers and top-level management.
 Relies on other organization.
 E.g. H&M (Hennes & Mauritz). H& M outsourced the production to
China to benefit from the cheap labor in China.
 MarutiUdyog, Wipro, Larsen and Toubro
L I N E A N D S TA F F AU T H O R I T Y,
D E PA RT M E N TA L I Z AT I O N
L I N E AUTHORITY:
 It is the primary authority responsible for achieving the organization's
core objectives and making day-to-day decisions
 Line managers have the authority to issue orders, manage resources,
and make operational decisions related to their department.
 It represents the direct hierarchical chain of command within an
organization.
L I N E AUTHORITY:
 In line authority, the superior will be exercising the authority
directly over the subordinates to carry out orders and
instructions.
 E.g. In a manufacturing company, the plant manager, production
manager, and the sales manager would typically have line authority over
their respective departments. They make decisions that directly affect
production levels, quality, and sales targets.
L I N E AUTHORITY:

Advantages:
 Simple and easy to understand.
 Delegation of authority is clear.
 Channel of communication is clear.
 Ensures discipline in an organization.

Disadvantages:
 Inflexible.
 Neglects advices from experts.
 Limited to small organization.
S TA F F AUTHORITY:
 Staff authority is authority that helps line authority
in
attaining the objectives of the organization. It is a support
function within an organization
 Staff authority involves giving advice to the line managers to
carry out the operation.
S TA F F AUTHORITY:
 It does not have direct control over the organization's core
activities but provides expertise, advice, and support to line
managers and departments. Staff authority roles are typically
advisory in nature, helping line managers make informed
decisions.
 In the same manufacturing company, the HR manager, legal
counsel, and financial analyst would typically have staff
authority. They provide guidance and support to line managers
but do not have the same level of direct control over production
or sales processes.
S TA F F AUTHORITY:

Staff authority can be classified in following forms:

1. Advisory staff authority:


 Provides advice and assistance to line manager.

2. Compulsory staff consultation:


 Line authority must compulsorily consult with staff
authority
while taking decision.

3. Concurring authority:
 Staff will be given complete authority to take decisions.
S TA F F AUTHORITY:

Advantages:
 Improves the quality of decision.
 Reduces complexity to line authority.
 Leads to innovations.

Disadvantages:
 Managerial problem.
 Weakens line authority.
L i n e Vs S TA F F AUTHORITY

• Line authority is associated with direct control and decision-


making power over core operational functions, while staff
authority provides advisory and support roles to help line
managers make effective decisions.

• Both line and staff roles are essential for the efficient
functioning of an organization, with line roles focused on
execution and staff roles focused on providing expertise and
guidance.
D E PA RT M E N TA L I Z AT I O N :
 Departmentalization is the process of breaking down a large monolithic
enterprise into small and flexible departments.
 How jobs are grouped together is called departmentalization.
 A Department is an organizational unit that is headed by a manager who is
responsible for its activities.
 Aim : To group activities and personnel to make manageable units.
I M P O RTA N C E O F D E PA RT M E N TAT I O N :
 Provides autonomous.
 Increases operating efficiency.
 Helps in fixing the responsibilities to various executives.
 Easier for appraisal identification.
 Facilitates budget preparation, control over expenditure.
D E PA RT M E N TAT I O N T Y P E S :

1. Departmentation by numbers:
 Departments are created on the basis of strength of employees.
 Same activities will be performed by small groups.
 e.g.: Military
D E PA RT M E N TAT I O N T Y P E S :

2. Departmentation by time:
 Departments are formed on the basis of time of performance.
 e.g.: Shift work
D E PA RT M E N TAT I O N T Y P E S :

2. Departmentation by time:

Advantages:
 24 × 7 service.
 May provide part time work.

Disadvantages:
 Night time supervision.
 L a c k of coordination.
D E PA RT M E N TAT I O N T Y P E S :

3. Departmentation by function:
 Departments are formed on the basis of work nature.
 Large scale enterprise follows this method.
 For example, Manufacturing, Production, R & D, Purchasing, etc.
 Same kinds of jobs are grouped together in departments.
 This kind of departmentalization includes persons with the same
knowledge or skills (like Accounting Department having persons of
commerce, Marketing Department having MBA persons).
D E PA RT M E N TAT I O N T Y P E S :

3. Departmentation by function:

Advantages:
 Ensures performance control.
 Facilitates delegation of authority.
 Ensures coordination.

Disadvantages:
 Lack of interdepartmental communication.
D E PA RT M E N TAT I O N T Y P E S :

4. Departmentation by territory:
 Departments are formed on the basis of geographical function
of organization.
D E PA RT M E N TAT I O N T Y P E S :

4. Departmentation by territory:

Advantages:
 Helps the organization to improve sales.
 Reduces operation cost.
 Expands business.

Disadvantages:
 Lack of communication among branch organization.
 Friction between regional managers.
D E PA RT M E N TAT I O N T Y P E S :

5. Departmentation by customers:
 Departments are formed on the basis of needs of customer.
 Each expert will serve a specific group of customer.
D E PA RT M E N TAT I O N T Y P E S :

5. Departmentation by customers:

Advantages:
 Facilitates concentration on customer satisfaction.
 Helps to analyze the market requirement.

Disadvantages:
 Need experts in specific problems.
 Production activities cannot be organized effectively.
D E PA RT M E N TAT I O N T Y P E S :

6. Departmentation by process:
 Departments are formed the basis of equipments and
on
process.
 e.g. Ginning, spinning, weaving, etc. in a textile industry.
D E PA RT M E N TAT I O N T Y P E S :

6. Departmentation by process:

Advantages:
 Focuses on optimistic technology.
 Effective utilization of resources.

Disadvantages:
 Lack of coordination.
 Experts are required.
 Conflicts.
D E PA RT M E N TAT I O N T Y P E S :

7. Departmentation by product:
 Departments are formed on the basis of type of service
and product.
 Each will have individual functional
department
departments.
 e.g. Kirloskar, Honda
D E PA RT M E N TAT I O N T Y P E S :

8. Matrix organization

9. Strategic Business Unit .


S PA N O F C O N T RO L :
 Span of control is defined as the number of employees
a
manager can effectively manage.
 If span of control increases, it reduces the operational cost of an
organization.
 But sometimes, wider the span lesser will be the effectiveness
of control.
Determinants of Span of Control

The number of subordinates under one superior should range between 4


and 12 depending upon various determinants of the span of
control.

Competence of Superior: Competence of Superior is capable enough


to handle more subordinates. The span may be wider if the manager
possesses these skills to greater degree as compared to others.

Time available for Supervision: The span should be narrow at


the higher levels because top managers have less time available for
supervision. They have to devote a major portion of their time to
planning, organizing, directing, and controlling. Each top manager
will delegate the task of supervision to his subordinates who have to
devote comparatively less time to the important functions of
management.

Leadership Style : In case of autocratic style, the frequency of


meeting of subordinates with superior is high
Determinants of Span of Control

Nature of work : When the spans are narrowed, the levels in the
organization increase. This involves delegation of authority and
responsibility. If the work is of a routine and repetitive nature, it can
easily be delegated to the subordinates.

Means of communication: An effective system of communication in


the organization favors a large number of levels because there will be
no difficulty in transmission of information in spite of a large number
of intervening layers.

Capacity of Subordinates: If the subordinates are skilled, efficient


and knowledgeable they will require less supervision. In such a case,
the superior may go in for a wider span.

Control Mechanism. The span of control also depends upon the


control mechanism being followed. Control may be followed either
through personal supervision or through reporting. The former favors
narrow span and the latter favors a wide span.
D E L E G AT I O N O F AU T H O R I T Y,

C E N T R A L I Z AT I O N A N D

D E C E N T R A L I Z AT I O N
D E L E G AT I O N O F AUTHORITY:
 Delegation is the process of granting authority or right to
decision making in certain defined areas and charging the
subordinate with responsibility for carrying through assigned
task.
D E L E G AT I O N O F AUTHORITY:
 It is common knowledge that there is a limit to the number of
subordinates a superior can effectively manage, however
talented he may be.
 Once a man’s job grows beyond his personal ability, he succeeds
when he delegates his authority.
Process of Delegation:
Process of Delegation:

1. Sizing up the work:


 Superior has to assess his/her workload in terms of activities
and task to be assigned to him/her and result expected of him.
 He/she should analyze which part of work has to
be
delegated.
Process of Delegation:

2. Assignment of duties to subordinates:


 Subordinates must explained about nature of work,
the
limitation of authority, target expected.
Process of Delegation:

3. Granting of authority to perform duty:


 In this process official authority be given to the
will
subordinate.
 Work force below the delegate will be instructed to follow the
commands of delegate.
Process of Delegation:

4. Creation of obligation:
 Delegate will be taking in charge.
 He/she will be responsible for all the activities performed.
Advantages of Delegation:
 Reduction of executive burden.
 Facility of expansion / multiplicity of skill.
 Efficient running of branch organizations.
 Identification of talents.

Disadvantages of delegation:
 Dependence on managers.
 Failure in completion of duty, due to lack of skill.
 Conflict among workers.
C E N T R A L I Z AT I O N :
 Centralization is the reservation of authority at a central point
within the organization.
 Role of subordinates becomes insignificant in this case.
Advantages of Centralization:
 Facilitates greater uniformity.
 Lowers operating cost.
 Enhances coordination.

Disadvantages of Centralization:
 Individual initiative destroyed.
 Overburden with routine functions.
 Communication gap with lower units.
 Keeps the customer away.
D E C E N T R A L I Z AT I O N :
 Dispersal of decision making authority down to the
level
where work is to be performed.
Characteristics of decentralization:
 Reflects the management’s attitude and philosophy.
 Managerial skills need to be developed among employees.
 Number of decisions must be made by lower level of management.
Advantages of decentralization:
 Facilitates diversification.
 Higher motivation for employees.
 Ensures effective control.
 Minimizes risk.
 Development of management.

Disadvantages of decentralization:
 May increase operational cost.
 Conflict among same level of employees.
 Lack of communication.
D E C E N T R A L I Z AT I O N vs D E L E G AT I O N :
 Delegation is entrustment of authority from one to another.
 Decentralization is organization wide delegation between top
managements and departments.
Jo b D e s i g n

• Job design is the process of specifying the duties and


responsibilities that will be included in employees' roles.

• Human Resource (HR) managers aim to design work


duties specific to the individual so that it allows the
employee to maximize their performance and stay
engaged and motivated.
E l em e n t s o f Jo b D es i gn

• Tasks that employees are expected to perform in the set


time.

• Motivation - the jobs should be designed in a way that


brings motivation to employees to do their job.

• Resource allocation - the company should allocate their


resources effectively and efficiently to the specific job
role, as appropriately allocated resources can influence
innovation.

• Reward systems - both monetary and non-monetary


rewards should be incorporated into the job design as
they can motivate employees to perform better.
Tec hn i ques o f Jo b D es i gn
Jo b s i m pl i fi c a t i o n

• I t i nvolve s bre a k i n g d ow n a complex job i n to


si mp le r, more ma n a g e a ble t a sks or compon e n t s.
• T he a i m i s to ma ke work more e f f i ci e n t , a n d e a si e r
to p e r fo r m, a n d to re d uce t he n e e d for hi ghly
sp e ci a l i z e d s k i ll s.

• T he key o bje ct ive s of job si mpli f i ca t i on i n clud e :

• I n cre a se d Ef f icie nc y : By d iv i di n g a complex job


i n to s i mp l e r t a sks, i t 's of te n e a si e r for e mploye e s
to p e r fo r m t he i r work . T hi s ca n le a d to i n cre a se d
p rod uct iv i t y a n d e f f i ci e n cy a s i n d iv i d ua ls ca n
focus o n s p e ci f i c, re pe t i t ive t a sks.
Jo b s i m pl i fi c a t i o n

• Re d u ce d Sk ill Re q u ire me nt : Si mpli f i e d jobs may


n o t re qui re hi ghly spe ci a li ze d sk i lls, ma k i n g
f i n d i n g a n d t ra i n i n g e mploye e s e a si e r. T hi s ca n
be be n e f i c i a l i n si t ua t i on s whe re t ur n ove r i s
hi gh, a n d n e w e mploye e s n e e d to qui ck ly a d a pt to
t he i r ro le s .

• Re d u ce d Wo rk loa d: Div i di n g t a sks ca n a ls o


re duc e t he me n t a l a n d physi ca l work loa d on a n
e mp loye e , whi ch ca n be he lpf ul i n preve n t i n g
bur n out a n d e n sur i n g job sa t i sfa ct i on .
Jo b s i m pl i fi c a t i o n

• E xa mp l e : A s s e mbly li n e con ce pt , popula r i z e d by


He n r y Ford i n t he e a rly 2 0 t h ce n t ur y.
• T he compl ex ma n ufa ct ur i n g t a sks a re broke n d ow n
i n to a s e r i e s o f s i mple r, spe ci a li z e d t a sks.
• E a ch worke r i s re spon si ble for a spe ci f i c, re pe t i t ive
task.
• T he be n e f i t s i n clud e i n cre a se d e f f i ci e n cy, re d uce d
sk i ll re qui re me n t s for worke r s, a n d hi ghe r
prod uct iv i t y.
• T hi s ma ke s ma s s product i on of a utomobi le s a n d
ot he r g o od s fa s te r a n d more a f ford a ble , ult i ma te ly
t ra n sfo r mi n g i n dust r i e s a n d con sume r ma rke t s.
Jo b Ro t a t i o n

• Jo b rot a t i on i s t he pra ct i ce of mov i n g e mploye e s


t hrough d i f fe re n t role s or d e pa r t me n t s w i t hi n a n
o rga n i z a t i o n .
• T he se ro t a t i on s a re of te n te mpora r y a n d
p re d o mi n a n t ly l a te ra l, me a n i n g t ha t t hey ha ppe n
be t we e n jo bs on t he s a me leve l a n d a re n ot
con s i d e re d p romot i on s.
• I t i s d on e to re d uce t he bore d om of d oi n g sa me
t y p e of jo b eve r yd ay a n d ex plore t he hi d d e n
p ote n t i a l of a n e mploye e .
Jo b Ro t a t i o n
J o b Ro t a t i o n E xa mpl e
• A n ur s e may s hi f t be t we e n ma te r n i t y a n d g e r i a t r i c
wa rd p o s i t i on s , g iv i n g t he n ur se ex posure to
va r i o us i s s ue s a n d ex pe r i e n ce i n ca r i n g for a w i d e
ra n g e of p a t i e n t s .
• I n Abbo t t , M e d ical D e v ice Compa ny e mploye e s
have t he o p p or t un i t y to rot a te jobs i n si x focus
a re a s: c li n i c a l, f i n a n ce , i n for ma t i on te chn olog y,
a n d op e ra t i o n s . T hose chose n for Abbot ’s prog ra m
commi t to a t wo - to t hre e -ye a r a ssi g n me n t i n
whi c h t hey ro t a te be t we e n va r i ous t a sks,
d i sci p li n e s , a n d of f i ce loca t i on s a roun d t he n a t i on .
T hi s g ive s n e w g ra d ua te s t he a bi li t y to ex pe r i e n ce
seve ra l ro le s i n a shor t pe r i od of t i me , a llow i n g
t he m to i nve s t i ga te t he i r ow n i n te re st s a n d
p re fe re n ce s .
Jo b e n l a rg e m e n t
• Job e n la rg e me n t me a n s i n cre a si n g t he scope of a job
by a d d i n g more d ut i e s a n d t a sks to t he job role
hor i z on t a lly w i t hi n t he sa me hi e ra rchi ca l leve l.
• T hi s a p p ro a ch i s a way to ma ke jobs more
i n te re st i n g a n d re d uce mon otony by g iv i n g
e mp loye e s a g re a te r se n s e of a ccompli shme n t a n d
i nvo lve me n t .

Key fe a t ure s o f j ob e n la rg e me n t i n clud e :


• E mpl oye e s a re a s si g n e d a w i d e r ra n g e of t a sks,
whi c h ca n ma ke t he i r work more i n te re s t i n g a n d
e n ga g i n g .
• E mpl oye e s may a cqui re n e w sk i lls a s t hey t a ke on
a d d i t i on a l re s p o n si bi li t i e s, whi ch ca n be be n e f i ci a l
for t he i r p e r s o n a l a n d profe ssi on a l g row t h.

• By bre a k i n g up t he rout i n e a n d i n t rod uci n g n e w


t a s ks, jo b e n la rg e me n t ca n he lp re d uce t he
bore d om t ha t ca n come w i t h re pe t i t ive work .

• E mpl oye e s may fe e l more mot iva te d a n d sa t i sf i e d


whe n t hey have a more d ive r se se t of
re s p on s i bi l i t i e s , a s t hey ca n se e t he re sult s of t he i r
e f for t s a cro s s d i f fe re n t a spe ct s of t he i r job.

• Wi t h i n c re a s e d re spon si bi li t i e s, e mploye e s may


have mo re a uton omy a n d d e ci si on -ma k i n g powe r i n
t he i r ro le s .
D rawba c ks
• I n cre a s e s s t re s s a n d work loa d for t he e mploye e s i f
n o t ma n a g e d p ro pe rly.
• Le a d s to e mp loye e bur n out whe n a pp ly i n g job
e n l a rg e me n t s t ra te g i e s.

E xa mp l e
Custome r s e r v i ce re pre se n t a t ive : a pa r t f rom ha n d li n g
custome r i n qui r i e s a n d re solv i n g i ssue s, a custome r
se r v i ce re p re s e n t a t ive ca n e n ga g e i n cross-se lli n g or
upse lli n g p ro d uc t s or se r v i ce s, con d uct i n g custome r
sa t i sfa ct i o n s ur veys, or a ssi st i n g w i t h soci a l me d i a
ma n a g e me n t fo r t he compa ny.
Jo b E n ri c hm e n t
• Job e n r i c hme n t focuse s on e n ha n ci n g t he d e pt h a n d
qua l i t y o f a jo b by prov i d i n g e mploye e s w i t h more
a uto n omy, re s p o n si bi li t y, a n d oppor t un i t i e s for
pe r son a l g row t h a n d d eve lopme n t .
• Job e n r i c hme n t i nvolve s e n r i chi n g t he ex i st i n g job
by i n cre a s i n g t he sk i ll, re spon si bi li t y, a n d cha lle n g e
leve l.
J o b E n ri c hm en t VS Jo b en l a rgemen t

• Jo b en l a rg e m e n t : ex pa n d s t he n umbe r a n d va r i e t y
of t a s ks w i t hi n a job.

• Jo b en r i c hm en t : focus e s on e n ha n ci n g t he qua li t y
a n d d e p t h of t he t a sks.
J o b E n ri c hm en t VS Jo b en l a rgemen t

• Job enlargement: typically adds tasks of a similar skill level.


• Job enrichment: involves adding more complex and
challenging tasks that require higher-level skills.

• Job enlargement: may not necessarily increase employee


a u t o n o m y o r d e c i s i o n - m a k i n g a u t h o r i t y.
• Job enrichment: provides employees with greater control
and involvement in decision-making processes.

• Job enlargement: may not actively promote personal growth


and development .
• Job enrichment: aims to provide opportunities for
e m p l o y e e s t o l e a r n n e w s k i l l s , t a k e o n m o r e r e s p o n s i b i l i t y,
and advance their careers.
Ben efi t s
• Job e n r i c hme n t i n cre a se s e mploye e mot iva t i on , job
sa t i s fa ct i o n , a n d e n ga g e me n t .
• I t c a n l e a d to hi ghe r leve ls of pe r for ma n ce ,
cre a t iv i t y, a n d i n n ova t i on .
• By p rov i d i n g e mp loye e s w i t h cha lle n g i n g a n d
f ul f i ll i n g wo rk ex pe r i e n ce s, job e n r i chme n t
con t r i bute s to a posi t ive work e nv i ron me n t a n d t he
ove ra ll s uc ce s s o f t he orga n i za t i on .
E xa mpl e
P rov i d i n g e mp l oye e s w i t h oppor t un i t i e s for con t i n uous
le a r n i n g , s k i ll d eve lopme n t , a n d profe ssi on a l g row t h
t hrough works ho p s , se mi n a r s, on li n e cour se s, or
me n tor i n g p ro g ra ms e n r i che s t he i r k n owle d g e a n d
ca pa bi li t i e s . T hi s e n a ble s e mploye e s to t a ke on more
cha lle n g i n g t a s ks , ex pa n d t he i r sk i ll se t , a n d e n ha n ce
t he i r f ut ure c a re e r prospe ct s.
Recruitment
• It is the process of attracting qualified
persons to apply for the jobs that are open.
• It is the process of discovering potential
candidates.

Internal recruiting - It is Considering


present employees as candidates for openings

External recruiting - Attracting persons


outside the organization to apply for jobs
SELECTION:
 Selection is the process of choosing the most suitable persons
out of all applicants.
 According to O’Donnell, selection is the process of choosing
candidates within or outside the organization, for the current
position or for the future position.
SELECTION:
 In this process, relevant information about the applicant is
collected and deserving candidates are provided with job
opportunity.
S E L EC T IO N PROCESS:

1. Scrutinizing the application / Initial screening:


 A large number of applications are scrutinized and unqualified
applicants are filtered.
 This stage reduces unwanted work load and cost.
S E L EC T IO N PROCESS:

2. Selection tests:
 Tests are being conducted in this process to evaluate qualities
of scrutinized applicants.
 It is the systematic procedure for comparing the behavior of
applicants.
These tests enable the management to bring out the right person for the
job
S E L EC T IO N PROCESS:

3. Interview process:
 Interview is face to face interaction between interviewer and
the candidate.
 Types: Preliminary, Structured, Unstructured, Stress,
Panel,
Telephonic, Online.
Selection
test
Intelligence
test

Aptitude test

Personality

test

Achievement test

Simulation

test Assessment

test
 Intelligence test:-
It tests the mental ability of the candidate. These
test measure the learning ability of candidate &
their power to take quick decisions on crucial
points

 Aptitude tests:-
It tests an individual’s capacity to learn a particular
skill.
 Cognitive tests:- which measure intellectual, mental

aptitudes.
 Motor tests:- these tests check the hand-eye

coordination of employees.
 Proficiency tests:-
These test are designed to measure the skills
already by the individuals. They are used to test
the level of knowledge.
Personality tests:-
These tests judge the psychological make-up of any
person. These tests check an individual’s
motivational level, emotions, integrity, sympathy,
sensitivity, etc.
In this test a controversial situation is
presented to the person.
(https://www.16personalities.com/estj-
personality)
Interest test:-
These test will suggest what type of jobs may be
 Achievement test:- These are designed to
measure what the applicant can do on the job
currently. These tests are also known as the work
sample tests.

 Simulation test: It measures the ability of the


person to face various problems while at work.
These test are used for hiring managers.

 Graphology test: these tests involve using a


trained evaluator to flourish a person’s handwriting to
assess the person's personality & emotional make-up
How Confident you are?
The higher the bar on the “t”
indicates how high you set goals in
life, how high your level of self-
esteem.
Higher pressure indicates higher
expressions of emotions and that the
candidate is experiencing higher stress.
 Integrity

test:-
These tests are designed to measure employees’
honesty to predict those who are more likely to steal
from an employer or otherwise act in a manner
unacceptable to the organization.
In it, many “yes” or “no” type questions are asked.
BENEFITS

 It tends to eliminate biases in the


selection of personnel
 Tests can identify talents of

individuals which might otherwise


be overlooked
 These tests reduce the cost of selection

because large on of people can be


evaluated
 These tests measure the aptitude of
candidates
 Tests provide a healthy basis for

comparing applicants
background.
LIMITATIO
N
 These tests measure only a part of
total information
 These tests are far from perfection, it

does not make perfect prediction of


an individual’s ability.
 No test can measure with guarantee

the complex combination of


characteristics required in numerous
positions.
Comparison Recruitment Selection

Negative – seeking out ways to reduce the


Approach Positive – seeking out an increase in the applicant applicant pool until one ideal candidate is
pool. identified.

Objective Inviting more candidates to apply for a vacant Choosing the most suitable candidate and
position. rejecting the rest.
Key Factor Advertising the job. Appointing the candidate.
Sequence First. Second.

Vacancies are notified by the organization through The organization makes an applicant go
Process various sources, then an application form is made through various levels (submitting a form,
available to candidates. writing a test, undergoing an interview, etc.) to
deem whether they’re an appropriate fit.

The recruitment policy specifies the objectives of The selection policy consists of a series of
Specifications recruitment, providing rules and regulations for the methods/steps/stages by which the evaluation
implementation of the recruitment program. of the candidate will be done.

Contractual Recruitment only implies communication of Selection involves the creation of a contractual
Relation vacancies and open positions – therefore, no agreement between the employer and
contractual relation is established. employee.

Method Economical. Expensive.


TRAINING AND DEVELOPMENT:
 Training is a set of activities that opportunity to
provide
acquire and improve job – related skills.
 Development means all round improvement on the
performance, personality growth in proficiency, advancement
and progress in all other traits.
NEEDS:
 Orientation to new hires.
 Orientation to potential promotes.
 Refreshing knowledge of existing employees.
 Awareness against risk factors.
 Human relations.
 Complexity in organization.
 Upgrading the knowledge.
I M P O RTA N C E :
 A trained worker can contribute more towards output of
the
organization.
 Trained employees will make better use of resources.
 Helps the employees to be loyal to the organization.
 Helps to attain promotions.
 Eliminates risk and accidents.
 Helps in standardizing the system.
 Reduces the time to learn the system.
TRAINING METHODS:
 Employee training and development should be guided by
principles of motivation, progressive information, practice,
individual ability enhancement.
 The types of training are:

1. O n job training

2. Off job training


METHODS OF TRAINING

ON THE JOB TRAINING OFF THE JOB TRAINING

1. JOB ROTATION 1. CASE STUDY METHODS


2. COACHING 2. INCIDENT METHOD
3. JOB INSTRUCTIONS 3. ROLE PLAY
4. COMMITTEE 4. IN-BASKET METHOD
ASSIGNMENTS 5. LECTURES
5. INTERNSHIP 6. BUSINESS GAMES
TRAINING 7. SIMULATION
8. MANAGEMENT
EDUCATION
9. CONFERENCES
O N J O B T R A INING :

1. Apprenticeship training:
 Individuals those learns trade skills like plumbing,
carpentry, machining, etc are imparted theoretical knowledge.
 Then they have to go for hands on training practice.
2. J o b rotation:
 This training method involves the movement of trainee from one job to
another to gain knowledge and experience from different job assignments.
 This method helps the trainee understand the problems of other employees.
 These rotations are predominantly lateral, meaning that they happen between
jobs on the same level and are not considered promotions.
 They are also often temporary with people moving back to their original job
after a certain time.
 E.G. A retail company rotates employees through various departments, such as
sales, customer service, and inventory management. This allows them to gain
a broad understanding of the business operations.
JOB ROTATION

ADVANTAGES DISADVANTAGES
• Allow managers to see your • Wastage of time & efforts
hidden talents • Employees take time
• Helps in exploring interest &
• Leads a whole lot of stress
ideas
& anxiety
• Motivates all employees &
help them to deal with new • It doesn’t check the time
challenges wasted
• Keeps away fraudent
practices
• Boosts satisfaction
Coaching :
 Newly hired employees are trained under the section head
/ divisional manager.
 Under this method, the trainee is placed under a particular supervisor who
functions as a coach in training and provides feedback to the trainee.
 Sometimes the trainee may not get an opportunity to express his ideas.
 Example: An aspiring leader is paired with a senior executive who
serves as their mentor. The mentor provides guidance, advice, and
coaching to help the individual develop leadership skills.
COACHING
ADVANTAGES DISADVANTAGES
• Proper guidance on how to • Ideas given by trainee are
conduct an activity not considered
• Cost effective • Trainee wouldn’t get a
• No loss of productivity chance to explore more
4. Committee Assignments:
 A group of trainees are asked to solve a given organizational
problem by discussing the problem.
 This helps to improve team work.
COMMITTEE ASSIGNMENTS
ADVANTAGES DISADVANTAGES
• Improves employees • Can’t always reach to a
interrelationship. conclusion
• Builds team spirit • Creates hassle among
• Deals with real organization employees.
problem
O N J O B T R A INING :

5. Temporary promotion:
 In absence of manager, his subordinate will be taking charge.
O F F J O B T R A INING :

1. Lecture method:
 Trainees are exposed to concepts, theories, etc.
2. Simulation training:
 Duplication of organization training environment.
 Under this method an imaginary situation is created and trainees are
asked to act on it.
 Example: Airline pilots undergo flight simulator training, which replicates
real-world scenarios and emergencies. This helps them practice decision-
making and responses in a controlled environment.
SIMULATION
ADVANTAGES
• Gain understanding about
DISADVANTAGES
the
consequences of their action and • Expensive
take corrective action
• Real life situation cant be
• Feedback to learners can be given
immediately
completely re-created
• don’t wait for real life • Not every situation can not
situation to deal with be included
• Allows trainee to undertake high-risk
involving decisions
3. Role playing:
 A problem situation is simulated asking the employee to assume the role of a
particular person in the situation.
 The participant interacts with other participants assuming different roles.
 The whole play will be recorded, and trainee gets an opportunity to examine
their own performance.
 Example: In customer service training, employees act out scenarios where
they play the roles of both customers and service providers. This helps them
practice handling various customer interactions effectively.
ROLE PLAY
ADVANTAGES DISADVANTAGES
• Indicates skill level • Time consuming
• Prepares for real life • May not be taken seriously
• It’s social & communal • Some feel uncomfortable
4. Case studies:
 Case study deals with any problem confronted by a business which can be
solved by an employee.
 The trainee is given an opportunity to analyse the case and come out with all
possible solutions.
 This method can enhance the analytic and critical thinking of an employee.
 Example: In a business management course, participants analyze real case
studies of successful companies and develop solutions for current business
challenges, applying their theoretical knowledge.
CASE STUDY METHOD
ADVANTAGES DISADVANTAGES
1.Good source of ideas about 1. Hard to draw definite
behavior cause-effect conclusions
2. Good opportunity for
innovation 2.Hard to generalize from a
3.Good method to study rare single case
phenomena 3.Possible biases in data
4.Good method to challenge collection and interpretation
theoretical assumptions
5.Good alternative or
complement to the group focus
of psychology
Career
Development
• Career development not only improves job
performance but also brings about the
growth of the personality.
• Individuals not only mature regarding their
potential capacities but also become better
individuals.

Purpose of development
Management development attempts to improve
managerial performance by imparting
 Knowledge
 Changing attitudes
 Increasing skills
Career
Development
The major objective of development is
managerial effectiveness through a planned
and a deliberate process of learning. This
provides for a planned growth of managers to
meet the future organizational needs.

• Career Stages
Four distinct career stages have been
identified: trial, establishment/advancement,
mid-career, and late career. Each stage
represents different career needs and interests
of the individual
Career
Development
• Trial stage
The trial stage begins with an individual's
exploration of career-related matters and ends
usually at about age 25 with a commitment on
the part of the individual to a particular
occupation. Until the decision is made to settle
down, the individual may try a number of jobs
and a number of organizations. Unfortunately
for many organizations, this trial and
exploration stage results in high level of
turnover among new employees. Employees in
this stage need opportunities for self-
exploration and a variety of job activities or
assignments.
Career
Development
• Establishment Stage
The establishment/advancement stage tends to
occur between ages 25 and 44. In this stage,
the individual has made his or her career
choice and is concerned with achievement,
performance, and advancement. This stage is
marked by high employee productivity and
career growth, as the individual is motivated to
succeed in the organization and in his or her
chosen occupation. Opportunities for job
challenge and use of special competencies are
desired in this stage. The employee strives for
creativity and innovation through new job
assignments. Employees also need a certain
degree of autonomy in this stage so that they
can experience feelings of individual
achievement and personal success.
Career
Development
• Mid Career Crisis Sub Stage
The period occurring between the mid-thirties
and mid-forties during which people often
make a major reassessment of their
progress relative to their original career
ambitions and goals.
• Maintenance stage
The mid-career stage, which occurs roughly
between the ages 45 and 64, has also been
referred to as the maintenance stage. This
stage is typified by a continuation of
established patterns of work behaviour. The
person is no longer trying to establish a place
for him or herself in the organization, but
seeks to maintain his or her position. This
stage is viewed as a mid-career plateau in
which little new ground is broken. The
individual in this stage may need some
Career
Development
• Late-career stage
In this stage the career lessens in importance
and the employee plans for retirement and
seeks to develop a sense of identity outside the
work environment.

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