O R G A N I Z AT I O N What is Organization? A group of individuals who are cooperating willingly and effectively for a common goal. Seeks to know who is to do and what is to be done STRUCTURAL ELEMENTS OF AN ORGANIZATION Men Materials Machine Methods Money MAJOR ELEMENTS OF ORGANIZATIONAL STRUCTURES Distribution of functions Vertical and horizontal authority relationships Communication and decision processes Policies MANAGEMENT What is Management? It is the process of directing and facilitating work of people who are organized for a common purpose. It is the process of combining the efforts and resources of individuals with a common interest to achieve a desire objective. It is the function of getting things done through the efforts of others. It is the application of authority and the assumption of responsibility. It is an art, the art of handling people. MANAGEMENT CONCEPT Systematic Things can be done better by means of plan of action. Good decisions and actions are based on the systematic application of sound principles of complete and reliable facts and of good practices. Scientific By the application of the scientific method to the study and analysis of the operations of a particular job, men have discovered the best-known methods of performing the operations. Humanistic It has been proven many times in the past that application of good human relations “pays off” through cooperation and coordination leading towards greater accomplishment. MANAGEMENT THEORIES Scientific Management Theory o Frederick Taylor o Scientific method should be used to perform task in the workplace, as opposed to the leader relying on their judgement or the personal discretion of team members. o His philosophy emphasized that forcing people to work hard would results in the most productive workplace. o He recommended simplifying tasks to increase productivity. o He suggested that leaders assign team members to jobs that best match their abilities, train them thoroughly and supervise them to ensure they are efficient in the role. o FOUR MAIN PRINCIPLES Using scientific methods to determine and standardize the one best way of doing a job A clear division of tasks and responsibilities High pay for high-performing employees A hierarchy of authority and strict surveillance of employees Human Relation Theory o George Elton Mayo o He conducted experiments designed to improve productivity that laid the foundation for the human relations movement. o His focus was on changing working conditions like lighting, break times a nd the length of the workday. Every change he tested was met with an improvement in performance. o Ultimately, he concluded that the improvements weren’t due to the changes but the results of the researchers paying attention to the employees and making them feel valued. o These experiments gave rise to the theory that employees are more motivated by personal attention and being part of a group than they are by money or even working conditions. Theory X and Y o American social psychologist Douglas McGregor introduced X and Y theories in his book, “The Human Side of Enterprise,” and they refer to two styles of management – authorization (Theory X) and participative (Theory Y). o THEORY X – people dislike work have little ambition, and are unwilling to take responsibility. Managers with this assumption motivate their people using a rigid “carrot and stick” approach, which rewards good performance and punishes poor performance. o THEORY Y – people are self-motivated and enjoy the challenge of work. Managers with this assumption have a more collaborative relationship with their people, and motivate them by allowing them to work on their own initiative, giving them responsibility and empowering them to make _______ decisions. EXECUTIVE FUNCTIONS Managers do not do the actual work of an organization. His specific actions are: 1. To Plan 2. To Organize 3. To Direct 4. To Control Directing People on the Job An ORDER is a specific message conveyed by a leader to a follower for the purpose of influencing the followers to take desired actions. WHEN TO USE VERBAL ORDERS? When the orders is simple and the message can be clearly heard When privacy is important When the follower is intelligent and reliable When a demonstration is involved WHEN TO HAVE WRITTEN ORDERS When precise figures or complicated details are involved When orders must be passed on to someone else When the workers involved are slow to understand and forgetful When you want to hold the receiver strictly accountable When particular sequence must be followed exactly When a notice board can be suitably used When you are quoting general instructions from higher authorities When a record is desirable, perhaps the order may need to be referred to in the future The way an ORDER is phrased makes a lot of difference. Here are some principles on how to phrase orders effectively. It should be: 1. CLEAR – phrase it in simple terms and repeat anything that might be forgotten or misunderstood. 2. COMPLETE – answer all the questions who, what, how, when, where and why. 3. CONCISE – make it short enough for the receiver to be able to repeat it to prove that he received it fully. 4. ACCEPTABLE – ensure that the receiver will readily act on the order as he sees it justified, practical, tactful, challenging and accompanied by efficient authorities. Always remember that every order has three meanings: 1. The meaning YOU THINK you convey 2. The meaning YOU DO CONVEY, directly and by implication 3. The meaning THE RECEIVER THINKS you convey