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Organisation is a mechanism or
structure that enables living things to
work effectively and efficiently together
An
Examples????
Concept of Organisation
Improtance of Organisation
Sound
Facilitates
Facilitate
A
A
It
Elements of Organisation
(a)
(b)
(c)
(d)
(e)
(f)
Grouping
of Activities:
Organisation Theory
Concept:
Different Theories
(C)
(A)
(B)
Appraisal of Theory:
- It considers organisation as open system. It continually
intereacts with the external environment: the basic purpose
of interaction is survival.
- The system operates in dynamic and ever changing
environment.
Organisational structure
Organisation Structure
Marketing
Selling
Production
Finance
Manu
Assembly
Quality
Tooling
Control
Purchasing
Need of structure:
Product Structure
CEO
Corporation
Corporate
Managers
Washing Machine
Division
Lighting
Division
Television
Division
Geographic Structure
CEO
Corporation
Corporate
Managers
Northern
Region
Western
Region
Southern
Region
Eastern
Region
Market Structure
CEO
Corporation
Corporate
Managers
Large Business
Customers
Small Business
Customers
Educational
Institutions
Individual
Customers
Organisation Chart
Benefits of chart
It tells quickly as who is responsible for a particular function.
It pin points the weakness of organisation.
It can serve as a training devise and a guide in planning for
expansion.
Limitations:
- It needs frequent updating
- It shows static picture of dynamic business
- It marks definite channel through which information must
flow, shortcuts sometimes may improve the efficiency.
Committees
Principles
The number of person in committee should depend upon
the need and be optimum.
Responsibility, authority, objectives and duties should be
clearly defined.
Agenda of committee should be prepared and
communicated to the members at least a week before
meeting.
Meeting should begin and end on prefixed timings.
Problems not related to the subject-matter at hand should
not be discussed because it will simply waste time.
The operation of the committee should be cooperative
development.
The committee must be dissolved after its purpose is over.
Types
A Temporary Committee
Advantages:
Limitations:
- Sometimes it happens that what committee finishes in a
week ,a good individual may complete in a day.
- In committee, no individual can be held responsible.
- Committee operations are slow and committees tend to
hang on for a considerable time.
Types of Organisation
Line
or Military organisation
Functional
Line
Organisation
Line Organisation
Manager
Superintendent
Worker A
Worker B
Worker C
Advantages:
o It is simple and easy to understand and also flexible to
expand or contract.
o Clear channel of communication, with no confusion.
o It is capable of developing all round executive at the higher
levels of authority.
Disadvantages:
It neglects specialists.
It overloads a few key executives.
Due to lack of specialization perhaps there is more
wastage of materials and man hours.
Functional Organisation
Advantages:
Disadvantages:
It is difficult to maintain discipline as each worker is
responsible to eight persons.
It makes industrial relationship more complex.
Workers always remain confused about the authority and
activity of each person.
Advantages:
Staff executive has an expert advice.
There is no confusion and wastage of man, material and
machine hours.
Executives are relieved from some of their loads.
o Disadvantages:
o Product cost will increase because of salaries of staff
executive.
o Executives if they start depending too much on staff
executives may lose their authority and power.
Project Organisation
A Project Organisation
President
Vice President
Project A
Project B
Project C
Advantages:
It does not interfere with the existing organisation.
It provides concentrated attention that a complex project
demands.
Limitations: