Modern Management, 10e (Certo)

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12-1
Objectives
1. An understanding of the relationship of responsibility, authority, and
delegation
2. Information on how to divide and clarify the job activities of individuals
working within an organization
3. Knowledge of the differences among line authority, staff authority, and
functional authority
4. An appreciation for the issues that can cause conflict in line and staff
relationships
5. Insights into the value of accountability to the organization
6. An understanding of how to delegate
12-2
Responsibility
 The
Job Description
 Dividing
Job Activities
 The
Functional Similarity Method
 Functional Similarity and Responsibility
Supplemental guides suggest avoiding:
Overlapping responsibility when making job activity divisions
Responsibility gaps
Creating job activities for tasks that do not enhance goal attainment
Outcomes when employees are uncertain about task responsibility:
1. One of the two may perform the job
2. Both employees may perform the job
3. Neither employee may perform the job
4. Employees may spend valuable time negotiating
12-3
Responsibility
12-4
Responsibility
 Clarifying
Job Activities of Managers
 Management
 Responsible

Responsibility Guide
Managers
Dimensions to determine the degree of responsibility a manager has:
1. Attitude toward and conduct with subordinates
2. Behavior with upper management
3. Behavior with other groups
4. Personal attitudes and values
12-5
Responsibility
12-6
Responsibility
12-7
Authority
 Authority
on the Job
 Acceptance of Authority
Authority will be accepted only if the individual:
1. Can understand the order being communicated
2. Believes the order is consistent with the purpose of the organization
3. Sees the order as compatible with his or her personal interests
4. Is mentally and physically able to comply with the order
To increase acceptance of a manager’s commands:
1. Manager uses formal channels of communication
2. Each member has an assigned formal channel for orders
3. Line of communication is as direct as possible
4. Complete chain of command is used to issue orders
5. Manager possesses adequate communication skills
6. Manager uses formal communication lines only for organizational business
7. Command is authenticated as coming from a manager
12-8
Authority
 Types
 Line
of Authority
and Staff Authority
 Line–Staff
 Roles
Relationships
of Staff Personnel
1. The advisory or counseling role
2. The service role
3. The control role
 Conflict
in Line–Staff Relationships
 Functional
Authority
 Accountability
12-9
Authority
12-10
Delegation
 Steps
in the Delegation Process
 Obstacles
to the Delegation Process
1. Obstacles related to the supervisor
2. Obstacles related to subordinates
3. Obstacles related to organizations
 Eliminating
Obstacles to the Delegation Process
12-11
Delegation
12-12
Delegation
 Centralization
and Decentralization
 Decentralizing
an Organization: A Contingency Viewpoint
Amount of decentralization appropriate for a situation:
1. What is the present size of the organization?
2. Where are the organization’s customers located?
3. How homogeneous is the organization’s product line?
4. Where are organizational suppliers?
5. Is there a need for quick decisions in the organization?
6. Is creativity a desirable feature of the organization?
12-13
Delegation
12-14
Delegation
 Centralization
and Decentralization (continued)
 Decentralization

at Massey-Ferguson: A Classic Example
Guidelines for Decentralization
1. Competence to make decisions
2. Adequate and reliable information pertinent to the decision
3. Authority for decision rests with manager accountable for most units

Delegation as a Frame of Mind

Complementing Centralization
12-15
Delegation
 Centralization
and Decentralization (continued)
 Decentralization

at Massey-Ferguson: A Classic Example (continued)
Management Responsibilities
1. Determining enterprise’s overall objectives
2. Formulating the policies that guide the enterprise
3. Control of the business
4. Product design
5. Achievement of overall objectives and measuring actual performance
6. Corporate plans or budgets
7. Availability and application of general company funds
8. Capital investment plans
12-16
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