MANAGEMENT MIDTERMS REVIEWER

3. Needs Leaders who can effectively

L1: PLANNING, ORGANIZING, AND reinforce learning
STAFFING - These leaders encourage
their employees to learn and
think creatively
Learning Organization
- Not restrained from
- An organization that
entertaining different points
constantly transforms and
of view
innovates itself through
learning and knowledge
“ORGANIZATION”
- All members are
Became prominent in management during
encouraged to take part in
1920s and 1930s
solving critical issues.
- A social group that has
- Nothing is kept secret
well-coordinated processes and
activities for the purpose of
Three (3) Elements of Learning
achieving its objectives.
Organization
- Functions entail the structuring and
grouping of jobs ensuring that
1. Supportive Learning Environment
these are performed by qualified
- Employees are not afraid to
and competent personnel.
voice out their opinions
- Employees are not judged
Hierarchy
- They are not overstressed
- Clarifies the line of authority of
top-level, middle-level, and low-level
2. Availability of learning Processes
management and avoids confusion
and Practices
among employees as to who their
- Generation, collection,
immediate superiors are.
interpretation, and
dissemination of
The organization process:
information relevant to the
company’s operations
- Include technological
trends, development of new
product ideas, training, and
education of employees.
- Ensured that information is
shared with those who need
them
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Organizational Design and Structure 2. Departentazation
- Grouping of similar
Organizational Design functions, jobs, and tasks
- Identifies the essential tasks and into departments
operations of the company - Functional: personnel and
- focuses on 3 aspects: work tasks related to a single
activities, reporting relationships, company operation are
and departmental grouping grouped together
options - Divisional
Organizational Structure Departmentalization: based
- The framework that shows how on product, service process,
each component of the company geographic location, or
relates to each other. customer

Configurations and Elements of 3. Chain of commands

Organizational Structure: - Communication and work
relationships between
Mechanic Structure employees and managers.
- A rigid and tightly controlled - Indicates who reports to
structure that resembles whom.
bureaucracy. - 3 underlying principles:
- Decisions are mostly made from Authority - right inherent in
top to bottom. a managerial position to
- Its advantage: maximizes give directions
efficiency while minimizing costs Responsibility - an
Organic Structure obligation to perform duties
- More flexible and highly adaptable. assigned to an employee.
- The organization is decentralized Unity of Command -
and less formal. Employees are requires that an employee
given broader responsibilities should only report to one
based on the current needs of the superior.
company.
4. Span of control
Six(6) key elements - The number of employees a
manager can effectively
1. Work Specialization and efficiently manage.
- Jobs are divided into steps
or individual task 5. Degree of centralization
- Employees specialize in a - The extent authority and
specific task or aspect of decision-making is given to
the job or operation a small group of people.
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Centralization - when major
decisions are made by top
management.
Decentralization - when
lower management is
allowed to make important
decisions.
6. Formalization
- The process of
standardizing jobs and
establishing rules and
guidelines that guide
employees.
Simple organizational structure:
Owner/Manager
____|____
Employee 1 | Employee 2 | Employee 3
- The most basic structure. It is
applicable to small businesses
when the majority of the power and
decision-making rests on the
owner.
Functional grouping
- Grouping together similar functions
into departments
Vertical Hierarchy
- Employees follow a chain of
commands and top managers
delegate tasks to lower-level
managers and employees.
Divisional Organizational Structure
- Concentrate on their own division’s
performance. Geographical,
product, and customer.
Multi-focused grouping
- Combines both functional and
divisional structures
Matrix Structure
- Used when both technical expertise
and product innovation are crucial
in meeting organizational goals
Two(2) Types of matrix structure:
Functional Matrix
- Organizes the company in a
way that gives functional
managers primary authority
Product matrix
- Assigns greater authority to
the product managers
Matrix Org. Structure
- Combines features of functional
and divisional structures
- Often used in larger companies
Ex:
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Horizontal grouping
- Eliminates the complexities of
hierarchies and divisions.
- Establishes a structure with little or
no levels between employees
- Promotes flexibility and quick
response.
Other types of Org.
1989 - Henry Mintzberg “Minzberg on
Management”
1. Entrepreneurial org. - focused on
the chief executive, the staff is
small and informal.

Team-based Org. Structure 2. Machine Org - Decision-making is

- A horizontal design that organizers centralized and there is a
employees into teams whose distinction between line and staff.
members perform varied functions.
3. Diversified Org. - central
administration is called
headquarters and there is a set of
semi-autonomous units or
divisions.

4. Professional org. - standardized

Virtual Network Grouping
- The latest approach that takes
advantage in information and
communication tech.
- Company is structured as a group
of departments that are loosely
connected through electronic
means.
Network Org. structure
- Hires only a few employees which
amounts to lesser cost for salaries
and benefits
products and services and
employees usually do routine work.
5. Innovative org - a modern org.
Which is flexible and doesn't utilize
planning and controlling systems.
6. Missionary org. - the mission is the
main focus of this type of org.
Organization Theories
● Bureaucracy
- Max Weber, 1800
- Formal rigid structure and
legitimate authority in orgs.
- Associated with formality,
rigidity, and low
commitment.

● Scientific Management
- Frederick Taylor
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- Analysis of jobs by
identifying and evaluating
specific task.
● Systems Theory
- Karl Ludwig von Bertalanffy
and Kenneth Boulding, 1950
- Collection of parts that are
coordinated in
accomplishing a particular
goal.
- Act of making employees
accountable for their own actions.
Formal Org.
- Rests on authority and
responsibilities
Informal Org.
- Personal relationships established
among employees.

● Contingency Theory L2: STAFFING IN THE

- No single best way of
managing an org.
- Integrates all management
approaches and identifies a
specific approach to be
applied in the situation
DELIGATION
- Allocation of tasks to employees
ORGANIZATION
Staffing / Human Resource Management
- Acquiring and developing human
resources that willcarry out and
perform the various activities of the
org.

Delegation of Authority
- Allows subordinates to do tasks
outside their regular work, enabling
them to exercise a certain level of
authority

Three(3) elements of Delegations:

1. Duty - bound by the duties
expressed in function and
objectives of the org.
2. Authority - The manager’s
authority over his subordinates
should be clearly defined.
3. Obligation - express willingness to
fully accept their responsibilities.

EMPOWERMENT