Chapter 8: Organizing for the Activity-Based Program

Organization

• Planning is a continuous process

• Organization begins when action occurs

• The planned and intentional structure of roles or positions in an identified unit that seeks to achieve established purposes and objectives

• Term may refer to an institution or enterprise

• Purpose of organizing is to make human effort productive and effective

Organizational Roles

• Identify verifiable objectives which are a major part of planning

• Include a clear idea of the major duties or activities involved

• Incorporate an understood area of discretion or authority, so that the people filling the roles know what they can do to accomplish results

• These roles must be intentionally planned and designed

Formal Organization

• A planned structure that is identified and made known to all who relate to the productive unit

• Enables the individual to understand the roles of group members as they strive for common objectives

• Cooperation and unity are keys to fulfilling purpose

Informal Organization

• Is any group that contributes to joint outcomes without a conscious joint goal

– Social groupings

– Church groupings

Departmentalization

• Establishing organizational divisions

• The department is a distinct area or division of an enterprise with a director who has authority and responsibility for the performance of specified activities

Departmentalization by Numbers

• Based on a certain number of people

• Manager is appointed to the group to direct activities

– Israelites

– Military

• This method is not often used due to:

– Technology has fostered many specialized skills

– Grouping by special interest is more efficient

– Only Useful at lower organizational levels

Departmentalization by Function

• Follows the principle of task specialization

• Figures 8.1, 8.2, and 8.3 show task specialization

Figure 8.3

Span of Control and Organizational Levels

• How to make the control function most efficient

• Span of control refers to the number of subordinates that a manager supervises

– Limit is from 4 to 15 (upper level to lower level)

– Complexity of tasks

– Maturity and experience of personnel

• If the span is narrow there are more levels to the organization

Narrow Span of Control

• Advantages

– Greater control

– Close supervision

– Fast communication between subordinates and superiors

• Disadvantages

– Higher cost

– Involvement of superiors in subordinates work

– Great distance between the top and bottom of the organization

Wide Span of Control

• Advantages

– Delegation of authority is forced

– A positive feeling of responsibility and worth results for subordinates

– Policies must be developed clearly and in detail

– Careful selection of subordinates becomes critical

– Distance between the top and bottom levels is small

– Operational costs are minimized

• Disadvantages

– More difficult to maintain control

– Inefficient managers may cause decision delays

Steps in Organizing

1) Identifying Specific Tasks or Activities

– People with relevant skills

2) Grouping the Tasks and Activities

3) Assigning Resources and Responsibilities

– Funding, Personnel, time and facilities

– Authority as well as responsibility is delegated

4) Coordinating Activities and Relationships

– Harmonize in a common action and effort

– Communicate throughout the organization

Line and Staff Relationships

• Relates directly to authority

• Line function is supervisory

– Lines of authority run from top to bottom

• Staff function is advisory

– Provide line administrators with info, special advice, and counsel

– Authority here is based on expertise not position

Figure 8.5

Figure 8.6

Line and Staff Relationships

• The line may devise, but the staff must advise

• The line makes decisions and acts on them.

• The staff counsels and advises

Functional Authority

• Is a right delegated to a person by a top-level administrator to perform a line function in a department or admin unit of which he or she is not a member

– Example: a financial specialist (staff) may be given responsibility to move into an athletics dept. that is having financial problems, and would answer to the provost, not the AD; No new authority, but part of the AD’s authority is reassigned

Benefits and Limitations in Using Staff

• Specialization has become very sophisticated

• The director or administrator needs the advice of the specialists

• Specialists may need functional authority to make certain decisions without the line manager

• Too much staff authority confuses the workers; undermines the line authority; when a plan fails that is recommended by the staff, staff and line take sides and blame the other; staff may not see the whole picture

Making Line and Staff Relationships Productive

• Establish conditions for productive line and staff relationships

– Some people in authoritative positions are not willing to listen to the experts; fear of losing power or looking stupid, or some other psychological reason; or to save money

• Need to establish mutual respect and appreciation

• Staff need to do their research thoroughly; and administrators must keep staff fully informed of facts related to decisions that may affect the specialist’s role

Decentralizing Authority and Delegation

• Provides key decision-making opportunities for lower-level administrators who are closer to the place where production actually occurs

• Advantages

– Improved product quality

– Improved morale

– Reduction of red tape and operating costs

– More time for top-level executives to devote to other activities, i.e., PR and Development

Delegation

• Means by which decentralization is achieved

• Authorizing a person or persons to act in one’s behalf

– Along with accountability and responsibility

– Involves the staff in executing basic functions geared to meet defined objectives

Delegation Process - Engel

1. A superior determines that there are some objectives that may not be accomplished

2. Must shift the obligation for an objectives accomplishment to someone else

3. Selects a delegate

4. Superior explains the scope of the objective and the nature of the obligation

5. Authority is shifted to the delegate to achieve the objective

6. Scope of the objective may be narrowed or broadened; and the delegate gets wide latitude

– The delegate must be allowed to “play his/her role in achieving the necessary objectives” McConkey

7. The delegate either achieves, fails, or partially achieves the objective

8. The superior evaluates the results, and may or may not withdraw the authority from the delegate

Danger of Over-delegating

• If the director does not have enough time to get all the things done that he/she considers important, then they should delegate

• Which functions should the director handle:

– Handle his/her own hot potatoes

• Emergency situations

• Important matters that have serious consequences

• Matters of exception to general policy and routine procedures

– Conduct appraisals of his or her subordinates

– Reward or punish subordinates

– Do jobs requiring his/her status and position

What Functions to Delegate

• The administrator can usually delegate:

– Routine and inconsequential details to his/her secretary and staff assistants

– Tasks and duties that others can handle as well as or better than he/she can – jobs that use specialized skills

– Activities that will lead to the development of the subordinates and their skills

• Staff evaluations - director

• Scheduling of facilities - delegate

• Unpleasant or undesirable tasks – share in the tasks

• New director avoid delegating too much in the beginning

Barriers to Effective Delegation

• Director’s reluctance to let go

– Insecure in position, is more competent than any subordinate, doesn’t know how to delegate, fearful of the competency of the subordinate who might replace the director someday, unable to adequately define objectives

• Subordinates reluctance to accept responsibility

– Do not understand the requirements of the task

– Too dependent on others

– Feel uncomfortable with the organization

– Do not believe in themselves

– Fear of criticism

– Already feel overworked

Action Guides for Effective Delegation

• Set fair and attainable job standards

• Understand the concept of delegation

• Know subordinate’s capabilities

• Develop meaningful goals and objectives

• Correct subordinates mistakes tactfully

• Reward subordinates with greater responsibility

• Show genuine concern for what the subordinates are doing

• Provide training for handling responsibility

• Delegate authority along with responsibility

• Be aware of areas that should not be delegated

• Acknowledge the importance of results