Yönetim Esasları - II Fundamentals Of Organizing fatihbook.com man102 (Bülent Evirgen) - 1 - CHAPTER 1: FUNDAMENTALS OF ORGANIZING Organizing Function Specialization Authority Formalization Centralization Organizing Structures Formal Informal Formal - Graphical Illustration - Mainly outlined by managers - How to show organizations resources Informal - Social Relations - Because of different values, customs, there are informal groups - Evolves naturally (employees evolves organization) Division of Labor (Specialization) - Assignment of variety tasks have among the employees - Production is divided into number of steps with responsibility for individuals - Example: assembly line in the car - There should be balance between specialization and human motivation Chain of Command Line Authority Organizational Charts - Shows us authority structure in the organization - Unity of Command: Every individual should have only one boss. If too many bosses give orders, there will be confusion Span of Management Tall Organizations Flat Organizations Tall Organization - Much more proper for research and development companies because control is very strict - Fewer individual Flat Organization - Much more proper for mass production because it’s tasks are more standard and routine - Span o organization is wider - Not complex Factors define wide or narrow Tasks Standardization Subordinates Formalization Standardization - Decision making is inflexible - Communication problems Formalization - Written documentations (policies…) - Policy: Guidelines BÜLENT EVDRGEN – F515 Week 5 : Review Questions-Quiz 1 Week 6 : Midterm 1 Week 9 : Quiz 2 Week 12: Midterm 2 Week 14: Make-up quizes-midterms-Presentation - Advantages: - Because of we only concentrate the particular job; there will be efficiency - It influence performance - Because of individuals responsible for a particular tasks, will not be bored down authority top fatihbook.com man102 (Bülent Evirgen) - 2 - Centralized and Decentralized Fayol’s Bridge (Chain of Command) - According to Fayol, there are situations in which chain of command is advisable. - Assume that, an employee from production department (F) need information from marketing (G) and need chain of command and make a bridge and give information from G Organizational Structure • • • • Internal - Tasks - Mission, Vision - Human Resource Quality - Implemented Technology - Goals • • • • External - Customers - Market Condition - Government Regulations - Competition - Socio cultural Factors Internal/External factors affecting the organization structure Departmentalization - Grouping Positions Functional Structure Organizational Resources Functional Expertise Centralized Decision Making Ex: Product Departmentalization in Textile - Each product will need a functional structure - Under each product will be different departments - For every organization have individual marketing and sales departments CHAPTER 2: RESPONSIBILITY, AUTHORITY and DELEGATION Major elements of organizing are presented: - Responsibility - Authority - Delegation - Decentralization Responsibility - Obligation of the performed the assign activities to the person accept. - Main characteristic is that it can’t be delegated - The source of responsibility lies within the individual Three areas are related to responsibility 1) Dividing job activities 2) Clarifying job activities of managers 3) Being responsible 1) Dividing Job Activities Functional Similarity Method Basic method how to divide job activity - If more than one individual responsible for the same activity, we can say there is overlapping responsibility - Job can’t be done, because every individual will think that other one is responsibility - When certain tasks are not involved into responsible are in the individual, it happens responsibility gap. Dimensions of Responsible Manager Behavior - Subordinates - Upper Management - Other Groups - Attitudes Activity Definition Job Design Responsibility Textile indusrty Jean Shirt Jacket Objective Examination Centralized Decentralized fatihbook.com man102 (Bülent Evirgen) - 3 - 2) Authority - Authority is the right to make decision and allocate resources. - Authority vasted in the organizational positions, not the people - Managers can only utilize rights as long as their own duty Conditions Authority 1- Communication 2- Consistent between order and purpose of org… 3- Order matched with personal interests 4- If individual can comply with order 3) Delegation - Delegation is the process of assigning job activities and related authority to specific individuals in the organization Main Steps of Delegation Process 1. Assignment the specific duties to individuals 2. Grant appropriate authority to the subordinates 3. Create obligation for the subordinates to complete the assigned duties Obstacles to Delegation Process - related to supervisor - related to subordinates - related to organizations 4) Decentralizing / Contingency View • Size of Organization Large organization need - high delegation - more decentralization • Location of Organizational Customers Customers need - more decentralization • Product Diversification Need for reactive decisions - flexible and delegated CHAPTER 3: MANAGING HUMAN RESOURCES Internal Environmental factors influencing HRM (Human Resources Management) - Personal factors (employee needs and wants) - Job characteristics (job security) - Interpersonal relations - Organizational factors External Environmental factors influencing HRM - Work force diversity (demographical character..) - External sources of human resources (a pool from qualitative employees) - Competitors - Regulators Human Resources Planning • • • • Determining the right number of people - Past experiences: We need to evaluate the needless employees - Evaluating work loads: We need to look at the amount of our production and number of customers - Production technology: If we use very improve technology, we need lower number of employee - The practices of the other companies: There are three types of authority 1. Line Authority: Full and direct authority that managers have 2. Staff Authority: Limited authority 3. Functional Authority A B C Operations ACC R/D HRM Basic Functions of HRM HR Planning HR Compensation HR Performance Appraisal HR Training HR Recruitment Selection Adviser Line Authority Staff Authority Functional Authority fatihbook.com man102 (Bülent Evirgen) - 4 - • • • • Determining the right qualification of people - Job Analysis is a systematic analysis of all the jobs existing in an organization 1) Job Description 2) Job Specification 3) Job Evaluation Job Analysis Methods Interview Method - Employees are interviewed by the experts in order to find out the necessary information about job Structured Questionnaire Method - Employees raid(?) their jobs 1) Job Description: Analyses jobs at work with a list - Identification (job summary) - Duties, responsibilities - Working conditions 2) Job Specification: List of human requirements - Education - Analytical Judgment Skills - Communication Skills 3) Job Evaluation: Human Resource Recruiting and Selection • Recruiting - Recruiting as a candidate search and find - Built up a pool and select qualified people Steps of Recruiting 1. investigating / finding the necessary candidates in / out of the organization 2. application of these candidates to the organization for the vacant positions • Selection Inferior sources - Carrier Planning Exterior sources - Application form - Tests - Interviews Human Resource Orientation and Training Orientation qualified employees get information about business philosophy of the organization, culture… They learn organization’s atmosphere. • • • • Non-Managerial Level Training Programs o On the job training: employees learn while they are performing their tasks o Off the job training: conferences • • • • Managerial Level Training Programs o on the job training - coaching - job rotation o off the job training - role planning method - case studies ilyas köse man102 (Bülent Evirgen) - 5 - • Maslow Theory 1) Every individual behave in a way to satisfy his needs - Needs most important to determine behaviors 2) Individual needs are satisfy in a hierarchical order - Unless the lower needs are satisfy, the higher needs don’t leak the individual certain behavior. Maslow hierarchy of needs Psychological: basic needs, security, sex… Safety/Security: protection Belongingness: represent aspects of work and nonwork situation Esteem: For example; for individual at work who need a public recognaziation, large office, a good title Self Actualization: You need to show your potential in work and out of the work - Managers can use hierarch of needs theory as a tool for motivation - Manager need to understand how to satisfy the employees - Every individual is motivated by different ways - If the manager, diagnoses the needs of the employees to be satisfy to create such a work environment in which unsatisfied needs of employees can be satisfy - Employee at work are guided the certain behavior in order to reach to unsatisfied needs Responsibility and Challenge: Representative the self actualization • Herzberg Theory - Focus on job satisfaction 1. Group Motivators 1- Challenging of work 2- Recorporation for accomplishment 3- Fealing of achievement 4- Responsibility 5- Opportunities 6- Job itself 2.Group Hygiene Factors - Pay - Status - Security - Working conditions - Fringe benefits - Interpersonal needs - Motivation is only possible with the existence of the motivators - Hygiene factors create the minimum conditions - Unless the hygiene factors don’t excess, you can not motivate Conclusions 1. Motivators can increase worker satisfaction 2. Hygiene factors can reduce workers this satisfaction 3. Hygiene factors are minimum factors to satisfy the employees 4. Employee will not be motivated only true motivators, unless hygiene factors become available. • Equity Theory - According to equity theory only perceptions not facts influence motivation - Equity theory suggestions that people compare their own job situation to other persons - Judgments people make about equity between themselves and their compheration others will influence their motivation - Equal ??? of outputs and inputs will lead to higher worker motivation. How to reduce inequity existing in work situation 1) Reduce Inputs - Exert less effort - Work fewer hours 2) Ask for more outputs - Ask for additional pay - Job promotion - Require different responsibilities 3) Rationalize that inequity / equity exist 4) Leave the situation REVDEW QUESTIONS 1) “At work, only perceptions influence motivation” Comment on this statement by considering the equity theory 2) Identify the alternatives to react if you perceive inequity according to theory 3) Employee A: Believes that the current job provides opportunities for promoting to newly created managerial positions while fringe benefits are not available Employee B is satisfied with her salary and working condition while the job itself was boring. Comment on the situation according to Herzberg Motivation Theory 4) What is the conclusion of Maslow Theory to create a better work environment for managers ilyas köse man102 (Bülent Evirgen) - 6 - Transformational Leadership - related to charismatic leadership - encourages new ways of handling problems - promotes learning for all organizational members - leaders fight against the resistance of change - helps change / transform organizations successfully - help the troubled organization perform better in the long run - Focuses on high priority issues of the org… - Create a vision and build commitment throughout the org. by facilitating organizational changes - An organization in crises requires decisive / bold leadership - Is called on to create sth new out of sth old Transactional – Transformational Leader - Conventional leadership involves a series of transactions between the leader and group members - Transactional leaders give followers sth they want in exchange for sth followers want - Charisma, individualized consideration are the major traits distinguishing transformational leaders from transnational leaders. Categorizing Operations by internal involvement Demostic Organizations Operation within a single country Acquire resources/sells, goods/services within the same country International Gap - based within a single country - making sales + purchasing materialies in different countries Multinational Organizations - Significant operations in more than one country - Multinational organizational are manage common strategy from the corporation center - International scale Transnational (Global) Organizations - Ownership Management Control develop on may be from different countries - Maximum level of international captivity (involvement) - Do business whatever it makes sense to them and don’t rely on loyalty of a single company - International involvement increases from demostic transnational - International organizations have much more involvement international environment, multinational organizations have much more involvement international activities ~ Midterm Topics - Leadership - Motivation - International Environment REVDEW QUESTIONS 5) What is the assumption of Ohio State Studies in leadership? 6) Identify the subordinates’ outcomes in which the leader does not concern for productivity and is very poor in two-way communication with the employees. (According to Ohio State Studies) 7) What is advantage of Path Finder Method to the organization of Cisco as far as his applications are concerned? 8) Text: Selection Skill of Toyota which factors are evaluated to fulfill the fight position as a challenge for selection process. 9) Why is managing not identical with leading?