ORGANIZATION AND MANAGEMENT

MODULE 2

Recruitment
The process of identifying and attracting the people with the necessary qualifications. It is a set of activities designed to
attract qualified applicants for job position vacancies in an organization.
Recruitment may either be:

EXTERNAL - outside sources are considered in the process of locating potential individuals who might want
to join the organization and encouraging them to apply for actual or anticipated job vacancies.

METHODS OF EXTERNAL RECRUITMENT:

ADVERTISEMENTS – though websites, newspapers, trade journals, radio, television, billboards, posters and
e-mails among others. UNSOLICITED APPLICATIONS – received by employers from individuals who may or
may not be qualified for the job openings. INTERNET RECRUITING – independent job boards on the Web
commonly used by job seekers and recruiters to gather and disseminate job opening information. EMPLOYEE
REFERRALS – are recommendations from the organization’s present employees who usually refer friends and
relatives who they think are qualified for the job.
LABOR UNIONS - possible sources of applicants for blue-collar and professional job jobs. PUBLIC &
PRIVATE EMPLOYMENT AGENCIES – may also be good sources of applicants for different types of job
vacancies for they usually offer free service while private one’s charge fees from both the job applicant and the
employers soliciting referrals from them.
EXECUTIVE SEARCH FIRMS– also known as “head hunters” help employers find the right person for a job.
Such firms seek out candidates with qualifications that match the requirements of the job openings that their
client company hopes to fill.
EDUCATIONAL INSTITUTIONS – good sources of young applicants or new graduates who have formal
training but with very little work experience.
PROFESSIONAL ASSOCIATIONS – may offer placement services to their members who seek employment.

INTERNAL - filling job vacancies can be done through promotions or transfer of employees who are already
part of the organization. In other words, recruitment is within the organization.

Selection
The process of choosing individuals who have the required qualifications to fill present and expected job
openings.

The selection process typically includes the following steps:

Establishing the selection criteria – Selecting human resources in an organization requires understanding of the nature
and purpose of the job position which has to be filled.
Requesting applicants to complete the application form – Application forms must be completed because these provide
the needed information about the applicant. Management will find it easier to decide whether an applicant meets the
minimum requirements for experience, education, etc.
Screening by listing applicants who seem to meet the set criteria – This involves the preparation of a shortlist of
applicants who meet the minimum requirements of the job position to be filled. It is done to avoid wasting of time by
conducting interviews who do not meet the set criteria for the job opening.
Screening interview to identify more promising applicants – Here, a shortlist of applicants is prepared. Included in the
list are applicants who will be asked to undergo formal interview by the supervisor/manager.
Interview by the supervisor/manager or panel interviewers –Through formal interview of the most promising
applicants, other characteristics of the applicants may be revealed by the supervisor.

MODULE 3
Designing Training Program
– This phase involves stating the instructional objectives that describe the knowledge, skills and attitudes that
have to be acquired or enhanced to be able to perform well. In short, these are performance-centered objectives
that must be aligned with the firm’s objectives.

MODULE 4

McGregor’s Theory X and Theory Y

– refers to the theory that was proposed by Douglas McGregor.

Theory X is a negative view of workers which assumes that workers have little ambition, dislike work and avoid
responsibilities, they need to be closely monitored or controlled in order for them to work effectively.
Theory Y is a positive view of workers which assumes that employees enjoy work, seek out and accept
responsibility and are self-directed.

Maslow’s Hierarchy of Needs Theory

a. Physiological needs refer to the human need for food, water, shelter and
b. Safety needs refer to human for security and protection form physical and
c. Social needs pertain to the human desire to be loved and to love, as well as
d. Esteem Needs include the human need for self-respect, self-fulfillment, and
e. Self-actualization needs are the final needs in Maslow’s hierarchy.

Herzberg’s Two Factor Theory – was proposed by Frederick Herzberg.

This theory is also known as the Motivation –Hygiene Theory which states that intrinsic factors (achievement,
recognition, growth and responsibility) are associated with job satisfaction while extrinsic factors (company
policy, salary, security and supervision) are associated with jobs dissatisfaction. Intrinsic factors are motivators
while the extrinsic factors are called hygiene factors.

Supportive Leadership
Where the leader shows concern and friendliness to subordinates

DIRECTION AND FLOW OF COMMUNICATION

Vertical communication- involves communication flow between people belonging to different organizational
levels.

Upward communication- is the flow of information from an employee who belongs to a lower hierarchical level
to the boss/manager who belongs to a higher hierarchical level.

Downward communicaton- is the flow of information from the manager, who belongs to a higher hierarchical
level, to the subordinates/employees, who belong to lower hierarchical levels
Horizontal communication- takes place among employees belonging to the same hierarchical level. Members of
cross-functional teams who belong to different units/departments but occupy the same organizational level
make use of this type of communication in order to save time and facilitate coordination.

Diagonal communication- entails communicating with someone or others who belong to different
departments/units and different hierarchical levels.

Path-goal Theory

– a theory developed by Robert House which states that the leader’s task is to lead his other followers or
subordinates.

Directive Leadership
– where the leader gives specific guidelines to followers so that task accomplishment would be easier;
Supportive Leadership
– where the leader shows concern and friendliness to subordinates;
Participative Leadership
– where the leader asks for suggestions from followers before decision-making; and
Achievement Leadership
– where the leader sets the goals that subordinates must try to achieve.

MODERN LEADERSHIP VIEWS

1. Transactional Leadership Model

A theoretical model which states that leaders guide their subordinates toward the achievement of their organization’s
goals by using social exchange or transactions by offering rewards in exchange for their productivity.

2. Transformational Leadership Mode

A view that developed from transactional leadership. It states that leaders inspire or transform followers to
achieve extraordinary outcomes. Through their leadership, they are able to excite and inspire followers to exert
extra effort to achieve group goals.

3. Charismatic Leadership Theory

another modern theory of leadership which states that leaders who have a charismatic personality are able to
influence their subordinates to follow them.

4. Visionary Leadership Theory

is a theory which states that leaders are able to make their subordinates follow because of their ability to create
and articulate a realistic, credible and attractive vision that may improve present conditions or circumstances.

5. Team Leadership Theory

is a theory that emerged because if the fact that leadership is increasingly taking place within a tem context and
that more companies are now utilizing work teams led or guided by leaders.

6. Servant Leadership Theory

a theory proposed by Robert Greenleaf in 1970 stating that servant-leaders must focus on increased service to
others rather than to one’s self.

MODULE 5

Controlling
Control is a management task that helps identify errors and find solutions to improve, if not
totally eradicate the situation. Modern management concepts described control a
foreseeing action. Old concept of control were only applied upon the discovery of errors.

Breakeven point = Fixed Costs/Selling price per unit -

variable costs per unit

Breakeven point- the amount of sales at which there is no profit, nor loss is known as the
breakeven point.

Responsibility Accounting
This system give every department heads the opportunity control and allocate expenses and cost based on what
they need at a particular time.
Cost center - is a department that incurs costs but doesn’t have any revenues. This is one of the department that
uses company resources but doesn’t contribute to the production, sales, or profitability of the business.
Revenue center – Incurs cost and expenses and produces revenue.
Profit center – is a department that generates revenue and uses the resources of the company. Example is the
Sales department.
Investment center – Their job is toanalyze the department’s performance byway of looking at the assets and
resources and how they used these assets and resources to produce revenues.