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Principles of Management
Midterm

Organizing

Organizing process of grouping together of men and establishing relationships among them, defining authority and responsibility of personnel by using the company's other basic resources to attain predetermined goals or objectives. Dividing of work and coordinating divided work

Organizing as a Process Structure must reflect objectives and plans Plans and objectives are the bases in organizing process Structure must reflect authority given to top and middle management Authority and Responsibility Chain of Command Structure should reflect their external environment Should consider the organization's external environment Organization must be manned Manpower

Organization Executive structure of the business The framework or backbone by which the work of a business

Types of Organization Structure Line Organization | Line and Staff Organization | Functional Organization | Committee | Exist when two organizational units are related to each other by a relationship of direct command. Simplest form of structure and refers to a direct straight-line responsibility and control from the top management down to the lower level of management Oldest form of organization structure based the classical principle of the Scalar Chain Line units/departments are directly involved in the production or distribution of the company's primary products or services | Utilizes the assistance of experts or specialists Staff units do not exercise any authority or command power over other units in the organization | Utilizes the pure services of experts or specialists Removed the staff specialist from assisting capacity and gave him the pure authority and responsibility for supervision and administration of the function, replacing the operating foreman. Violates the Unity of Command principle |

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