Welcome Topic 3:

Organization Management

Presented ByMr. J.B.Shirote

Lecturer in Mechanical Engineering DepartmentLatthe Education Society’s Polytechnic

P-41,M.I.D.C.,Kupwad,Sangli.

Principals of Organization1.Authority and Responsibility2.Span Of Control3.Effective Delegation4. Balance, Stability and flexibility5.Communication6.Centralised and Decentralized

1.Authority and ResponsibilityRight to give ordersRight to commandAuthority can be

delegated(divided)Authority of settling issuesAuthority of control the things

Types of authoritycoercive- use of punishmentExpert- use of skillReferent- use of influenceReward- use of award

ResponsibilityResponsibility is the other side of

authorityHigher the authority, higher the

responsibilityResponsibility cannot de

delegatedResponsibility is duty,

assignments and accountability for the results

2.Span Of ControlRelated with delegation It is the number of subordinates can be

handled by the manager effectively.It shows how many no of subordinates

can be effectively handled by manager Directly.

Maximun:20.Related with no.of level of management,

Narrow span:Subordinates are controlled very tightlyUnder utilization of managers capacityComplex and sensitive work has very small span of control

Wide span:Loose control on sub ordinatesOverloading of workSimple and recitative work has more span of control.

Factors affecting span of controlControl requiredCapacity of managerKind of workKind of workersManagement methodNature of organisation

3.Effective DelegationIt is a process which assigns work

to others and offers sufficient authority to perform that work.

Higher authority assigns duties and responsibility to the subordinates

At the same time necessary authority is given to these subordinates

Importance Higher authority gets more time

to concentrate on important issues

Subordinates gets chance to work on their own

Person becomes specializedMorale of employees increasesBetter results Work is completed with min time

Steps in effective delegation1. Goals establishment2. Developing personal discipline of

supervision3. Establishing responsibility4. Motivation5. Determinate what to delegate6. Training7. Report 8. Control

BalanceOrganization has many

departments, functions, and units. Setup of the departments should be balanced

All functions should be executed, developed, controlled in balanced manner.

Any underdeveloped dept. leads to the problems in the success of org.

Authority, centralization, decentralization must be balanced equally.

StabilityIt is the ground of new

developmentStability creates confidence

among organization membersUnstable organization may waste

its time and energy to solve their problems

Decision making is dependent on the stability

Stability creates status in the market

FlexibilityIt is the ability to adjust, change,

bend and blend as per requirement without the disturbing the basic structure

Flexibility helps to work as per changes in the market condition, technology transfer, laws etc.

Flexibility protects the system to become obsolete.

5.Communication If there is poor communication of

no communication then relations are not possible to maintain

The process by which a person, group or organization transmits some type of information to another

purpose of communication

To forward instructionsTo inform noticesTo share informationTo motivate subordinatesTo appreciate successTo get feedbackTo warn about situations

Types of communicationoral-writtenVerbal-nonverbalUpward- downward-horizontalFormal- informal

Barriers in communicationLanguage problemNetwork Ineffective sourceWrong timePoor mediaWrong channel Incapable receiverCultural barriers

6.CentralitionCentralization-It is the concentration of authority at the center.Here few authorities will retain the major responsibity and power

Advantages:

Control is uniformPolicies are not varyingNo duplication of workDecisions are applicable to allLow Cost

DecentralizationThe authority is delegated in the

hands of subordinatesIt is spread across the

organisation

Advantages:No excessive work on top

authoritySpecialized work culture may be

possibleControl Is more effectiveResult oriented workEffective implementation of

decisionsMore flexibility