Professional Documents
Culture Documents
Module 3
Module 3
MODULE 3
The first level of management is called top-level management. Top management is made up
of senior-level executives of an organization, or those positions that hold the most
responsibility. Jobs titles such as Chief Operating Officer (COO), Chief Executive Officer
(CEO), Chief Financial Officer (CFO), President, or Vice President are commonly used by top
managers in organizations. These top managers are responsible for setting the overall
direction of a company and making sure that major organizational objectives are achieved.
Their leadership role can extend over the entire organization or for specific divisions such as
finance, marketing, human resources, or operations.
C. GROWTH OF SPECIALIZATION
Specialization can increase the productivity of and provide a comparative advantage for a
firm or economy. Microeconomic specialization involves the individual actors and economic
components, and macroeconomic specialization involves the broad advantage an economy
holds in production.
2. IN ORDER TO BE EFFECTIVE ON ITS VISION AND MISSION OF THE COMPANY, HOW THOSE
ORGANIZATION MANAGE ITS PEOPLE?
The first step in the process of organising involves identifying and dividing the work that has
to be done in accordance with previously determined plans. Work is divided into
manageable tasks so that duplication can be avoided and workload can be shared among
employees.
C. ESTABLISHMENT OF RELATIONSHIP
You can establish relationships between two people, two organizations, or a person and an
organization. The relationships that you establish can be reciprocal—that is, when you
indicate a relationship in one record, the system creates the relationship in the
corresponding record.
An organizational structure is a system that outlines how certain activities are directed in
order to achieve the goals of an organization. These activities can include rules, roles, and
responsibilities. The organizational structure also determines how information flows
between levels within the company.
A. MANAGEMENT OPERATION
Operations management is the process that generally plans, controls and supervises
manufacturing and production processes and service delivery. Operations management is
important in a business organization because it helps effectively manage, control and
supervise goods, services and people.
B. WORK DELEGATION
Delegation refers to the transfer of responsibility for specific tasks from one person to
another. From a management perspective, delegation occurs when a manager assigns
specific tasks to their employees.
Expansion is the act or process of expanding while growth is an increase in size, number,
value, or strength.
4. IN DECIDING A STRUCTURE WHAT ARE THE AREAS THE MANAGEMENT WILL TAKE INTO
CONSIDERATIONS?
A Mission Statement defines the company's business, its objectives and its approach to
reach those objectives. A Vision Statement describes the desired future position of the
company. Elements of Mission and Vision Statements are often combined to provide a
statement of the company's purposes, goals and values.
Goals are the desired outcomes of the business's activities. Objectives tend to be precise,
measured actions, with time for completion. Generally, obtaining a goal will require
completion or accomplishment of various objectives.
Regularly observe group interactions and progress, either by circulating during group work,
collecting in-process documents, or both. When you observe problems, intervene to help
students move forward on the task and work together effectively.
A. LINE ORGANIZATION
Line organization is the simplest framework for the whole administrative organization. Line
organization approaches the vertical flow of the relationship. In line organization, authority
flows from the top to the bottom. It is also known as the chain of command or scalar
principle.
b. chain of command
Line authority provides authority to decide and direct and it acts as a control means for the
flow of communication through a scalar chain of authority. Line officials are in the chain of
command from the highest executives to the lowest position in the organisation. Each
successive manager exercises direct line authority over his subordinates.
c. chain of communication
The primary purpose of line authority is to make the organisation work. It facilitates
leadership process by establishing authentic channels of communication. The flow of
communication up and down the organisation is facilitated by line relationship. Every
subordinate reports to his superior and his subordinate reports to him.
d. carrier of accountability
Line authority is not absolute. They are responsible for how they exercise authority and for
its consequences. They are accountable for performance of their activities to their superiors
and two subordinates are accountable to their superiors for performance.
6. FUNCTIONAL STRUCTURE
A functional structure is a type of business structure that organizes a company into different
departments based on areas of expertise. These departments serve as functional units and
are overseen by functional managers or department heads.
a. Features
ADVANTAGES
o Specialization
o Production
o Executive Development
o Scope of Expansion
o More Efficiency
DISADVANTAGES
o Complexity
o Dual Command
o Limited Perspective
o Delay in decision making
o Problem of succession
6. BUREAUCRATIC STRUCTURES
7. MATRIX STRUCTURE
A matrix organization is a company structure where teams report to multiple leaders. The
matrix design keeps open communication between teams and can help companies create
more innovative products and services. Using this structure prevents teams from needing to
realign every time a new project begins.
a. Features
A. WHAT IS AN ORGANIZATION?
Organization is important because it allows individuals and groups to perform tasks more
efficiently. It helps people find information and items faster, and it allows groups to work
together without wasting time. Organization is important for dealing with information as
well.
Choose the right blend of people. Align dream team members to four phases of digital
business activity – Discover, Design, Pilot, Build-Out. Develop a portfolio of capabilities by
activity phase. Blend the right behaviors to motivate the dream team.
Effective Sharing of Goals. A healthy organization shares its business goals with employees at
every level of the organization.
Great Teamwork.
High Employee Morale.
Offers Training Opportunities. ...
Strong Leadership. ...
Handles Poor Performance.
Understands Risks.
Adapts to Opportunities and Changes.
Generally, the six functional areas of business management involve strategy, marketing,
finance, human resources, technology and equipment, and operations. Therefore, all
business planners should concentrate on researching and thoroughly understanding these
areas as they relate to the individual business.
F. DISCUSS THE GROWTH SPECIALIZATION
H. WHAT ARE THE FACTORS TO BE CONSIDERED IN THE NUMBER OF PEOPLES A MANAGER CAN
EFFECTIVELY HANDLE?
Organizational size. Large organizations tend have a narrow span of control, whereas smaller
organizations often have a wider span of control.
Workforce skill level.
Organizational culture.
Manager's responsibilities.
Internal Environment refers to all the inlying forces and conditions present within the
company, which can affect the company's working. External Environment is a set of all the
exogenous forces that have the potential to affect the organization's performance,
profitability, and functionality.