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Organizing Work. 2. Chapter 7. Learning Objectives. Explain the importance and rationale behind organizing work. Define division of labor. Distinguish between power, authority, and responsibility. Explain the concept of centralization versus decentralization. Define empowerment.
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Organizing Work 2 Chapter 7
Learning Objectives • Explain the importance and rationale behind organizing work. • Define division of labor. • Distinguish between power, authority, and responsibility. • Explain the concept of centralization versus decentralization. • Define empowerment. • Identify several reasons why managers are reluctant to delegate authority.
Organizing Work • Most work done through organizations • Process of organizing – division of labor • More effective use of resources • Informal organization Reasons for Organizing • Primary reason – establish lines of authority • Improves efficiency and quality • Synergism • Final reason – improve communication
Division of Labor • Organizing • Labor can be divided • Vertical division • Horizontal division • 6 advantages of horizontal division • Major problem – boredom and humiliation • Job scope • Job depth • Not desirable in all situations
Power, Authority, and Responsibility • Power • Authority • Responsibility Sources of Authority • Function of position • Formal theory • Acceptance theory
Centralization versus Decentralization • Limitations to the authority • Funnels – Figures 7.1 and 7.2 • Degree of authority • Never completely either • Today’s trend – more decentralization • Advantage – flexibility and quicker action • Disadvantage – potential loss of control
Empowerment • A form of decentralization • Managers express confidence • Four elements must be present: • Participation, innovation, access to information, and accountability • Looks simple • Several actions to implement • Today’s trend • Self-managed work teams
Principles Based on Authority • Key concepts – delegation, unity of command, the scalar principle, and the chain of command Delegation: The Parity Principle • Herbert Engel • Occurs when one needs something done • Responsibility • Parity principle • Subordinates must accept • Reasons for manager’s reluctance • Successful delegation
How to Delegate • Successful delegation • Defining objectives • Controlling delegation • Checks • Most vague part • Rule of thumb • Failure to master • Exception principle • Micromanaging
Unity of Command • One immediate manager • Key to avoiding problems • Problems stem from managers Scalar Principle • Chain of command • Problem • Common misconception
Span of Management • Sir Ian Hamilton • V. A. Graicunas • Lyndall Urwick • Criticism • Revision • Opposite situation overlooked • Pros and cons
Workplace Changes in Organizations • Changes • Flextime • advantages • Telecommuting • Advantages • Disadvantages • Job sharing • Forms • Critical factor • Benefits