Functional Management Skill-Group 2

FUNCTIONAL MANAGEMENT
SKILL
ORGANIZING
GROUP 2
Rosemarie Boncato
Rodelyn S. Nortez
Jane Ivy Villareal
Cariel-Joy Segui
Mariel Teodoro
ORGANIZING
• AFTER PLANNING, ORGANIZING FOLLOWS. THE GOALS AND OBJECTIVES

ESTABLISHED DURING PLANNING WILL ALL GO TO WASTE WITHOUT EFFECTIVE
ORGANIZING, THROUGH THE DEVELOPMENT OF A DESIGNED STRUCTURE OF
ROLES FOR EFFECTIVE PERFORMANCE. IT REQUIRES AN INTERLACING OF
DECISION AND COMMUNICATION WORK UNITS TO COORDINATE EFFORTS
TOWARD THE ORGANIZATIONAL GOALS AND OBJECTIVES THAT WERE SET
EARLIER. TO FUNCTION WELL, ORGANIZATION STRUCTURES AND THEIR SPECIFIC
ROLES MUST BE UNDERSTOOD BY ALL MEMBERS OF THE ORGANIZATION. RULES
AND REGULATION PRINCIPLES MUST ALSO BE PUT INTO PRACTICE. HOWEVER,
THAT ORGANIZING DEPENDS ON THE SPECIFIC SITUATION OF THE FIRM.
Nature of Organizations
• Differentiation in organizations involves division of labor and specialization according to
Bateman and Snell (2008). These necessarily result from the organization’s composition
many different work units with different kinds of tasks, using different skills and work
activities coordinating with one another for a common end.
• Division of labor involves assigning different tasks to different people in the organization’s
different work units.
• Specialization, the process in which different individuals and units perform different tasks.
• An organization’s overall work is complex and would be too much for any individual,
therefore, the bigger the organization, the more work units or work divisions and
specializations are to be expected.
INTEGRATION OF WORK UNITS
• INTEGRATION OF WORK UNITS INTEGRATION IS ANOTHER PROCESS IN THE ORGANIZATION’S INTERNAL ENVIRONMENT
WHICH INVOLVES THE COLLABORATION AND COORDINATION OF ITS DIFFERENT WORK UNITS OR WORK DIVISIONS.
• COORDINATION REFERS TO THE PROCEDURES THAT CONNECT THE WORK ACTIVITIES OF THE DIFFERENT WORK
DIVISIONS/UNITS OF THE FIRM IN ORDER TO ACHIEVE ITS OVERALL GOAL. STRUCTURAL MECHANISMS MAY BE DEVISED
IN ORDER TO INCREASE COLLABORATION AND COORDINATION. THE MORE HIGHLY DIFFERENTIATED ONE’S
ORGANIZATION IS, THE GREATER THE NEED FOR INTEGRATION AMONG THE DIFFERENT UNITS
Types of Organization Structures According to Bateman and Snell (2008), a vertical structure clears out
issues related to authority rights, responsibilities, and reporting
a. vertical structure relationships. Authority rights refer to the legitimate rights of
b. horizontal individuals, appointed in positions like president, vice president,
structure manager, and the like, to give orders to their subordinates, who in turn,
report to them what they have done.
c. network structure
A horizontal structure refers to the departmentalization of an organization
into smaller work units as tasks become increasingly varied and numerous
Finally, a network structure is a collection of independent, usually single
function organizations/companies that work together in order to produce a
product or service. Such network organizations are each capable of doing
their own specialized work activities independently, like producing,
distributing, designing, etc., but are capable of working effectively at the
same time with other network members.
vertical structure
network structure
horizontal structure
ORGANIZATION THEORIES AND APPLICATION
• THERE ARE TWO MAIN CLASSIFICATIONS OF THEORIES REGARDING ORGANIZATIONAL DESIGN ACCORDING TO ROBBINS AND COULTER
(2009): TRADITIONAL AND MODERN. TRADITIONAL PERTAINS TO THE USUAL OR OLD-FASHIONED WAYS, WHILE MODERN REFERS TO
CONTEMPORARY OR NEW DESIGN THEORIES. TRADITIONAL ORGANIZATIONAL DESIGN THEORIES INCLUDE:
1. Simple
This organizational design has few departments, wide spans of control, or a big number of subordinates
directly reporting to a manager; has a centralized authority figure and has very little formalization of work;
usually used by companies that start out as entrepreneurial ventures. When applied, its strengths and
weaknesses are revealed.
Simple Organizational Design

Strengths Weaknesses
• flexible • risk that overdependence with over-dependence on a single person
• fast decision-making and results • no longer appropriate as the company grows
• clear accountability
2. FUNCTIONAL
THIS ORGANIZATIONAL DESIGN GROUPS TOGETHER SIMILAR OR RELATED SPECIALTIES. GENERALLY, FUNCTIONAL
DEPARTMENTALIZATION IS UTILIZED AND PUT INTO PRACTICE IN AN ENTIRE ORGANIZATION. FOR EXAMPLE: A
MARKETING FIRM THAT MARKETS CARS AND RELATED PRODUCTS LIKE TIRES, CAR BATTERIES, AND ACCESSORIES.
Functional Organizational Design

• cost-saving advantages • managers have little knowledge of other units’ function
• management is facilitated because
workers with similar tasks are grouped
together
3. Divisional
This organizational design is made up of separate business divisions or units, where the parent corporation
acts as overseer to coordinate and control the different divisions and provide financial and legal support
service
Divisional Organizational Design
• focused on results • managers • possible duplication of activities and
are responsible for what happens resources • increased cost and reduced
to their products and services efficiency
4. TEAM DESIGN
5. MATRIX-PROJECT DESIGN
6. BOUNDARY-LESS DESIGN
DELEGATION
1. DEFINING THE GOAL CLEARLY. MANAGERS MUST CLEARLY EXPLAIN THE TASK OBJECTIVE AND THE WORK OR
DUTIES SOMEONE ELSE IS EXPECTED TO DO.
2. SELECTING THE PERSON WHO WILL BE GIVEN THE TASK. THE SELECTED SUBORDINATE MUST BE COMPETENT AND
MUST SHARE THE MANAGER’S TASK OBJECTIVES.
3. ASSIGNING OF RESPONSIBILITY – MANAGERS MUST EXPLAIN THAT THE RESPONSIBILITY ASSIGNED TO THE
SELECTED SUBORDINATE IS AN EXPECTATION FOR HIM OR HER TO PERFORM THE ASSIGNED TASKS WELL.
4. ASKING THE PERSON ASSIGNED ABOUT HIS OR HER PLANNED APPROACHES TO ACCOMPLISH THE TASK
OBJECTIVES. IT IS EXPECTED THAT THE PERSON CHOSEN TO DO THE TASK ALREADY HAS A TENTATIVE PLAN OF
ACTION THAT MAY BE PRESENTED TO THE MANAGER, TO ASSURE HIM OR HER THAT THE PERSON ASSIGNED COULD
ACHIEVE THE TASK OBJECTIVE.
5. GRANTING THE ASSIGNED PERSON THE AUTHORITY TO ACT. IF THE MANAGER IS SATISFIED WITH THE TENTATIVE
PLAN OF ACTION PRESENTED, GRANTING OF THE AUTHORITY TO ACT IMMEDIATELY FOLLOWS. AUTHORITY IS A
RIGHT TO ACT IN WAYS NEEDED TO CARRY OUT THE ASSIGNED TASK.
Thankyou!
!!
Group 2

Functional Management Skill-Group 2

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FUNCTIONAL MANAGEMENT

• AFTER PLANNING, ORGANIZING FOLLOWS. THE GOALS AND OBJECTIVES

Simple Organizational Design

Functional Organizational Design

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