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Prepared by Pheng Khna, Siv Vutthy Build Bright University 1
Organizingi-foundation of organizingWhat is Organizing? Organizing: It is the process of arranging all of the resources in order to execute the organization plans.1-What is an organization structure?It is a system or network of communication and authority that links people and groups of people together to achieve important tasks.
Chapter3:
Prepared by Pheng Khna, Siv Vutthy Build Bright University 2
2-The process of building an organization structureStep1: Review plans and objectivesIt is the starting point of building an organization structure. It is dictate the purpose and activities that organization have or will have.Step2: Determine work activitiesDetermine what activities are necessary to accomplish the organizational objectives. (create a list of tasks to accomplished objectives)
Prepared by Pheng Khna, Siv Vutthy Build Bright University 3
Step3: Classify and group activitiesExamine activities identified to determine its general nature (marketing, production, finance, and personnel), group the activities into these areas, and establish the basic department design for the organization structure.Step4: Assign the work and delegate authorityThe activities now must be designed to individuals who are simultaneously given the appropriate authority to accomplish the task.
Prepared by Pheng Khna, Siv Vutthy Build Bright University 4
Step5: Design a hierarchy of relationshipDetermine the vertical and horizontal operating relationships of the organization as a whole.3-Role of Organization
Prepared by Pheng Khna, Siv Vutthy Build Bright University 5
4-Characteristics of organitional structure Authority
Line authority: the authority that follows the chain of command established by formal hierarchy. Staff authority: the authority that supports, assists, and advises of line authority. Functional authority: the authority to make decisions on specific activities.
Prepared by Pheng Khna, Siv Vutthy Build Bright University 6
Delegation Assignment of tasks : specific tasks or duties that are to undertaken by manager for assignment to the subordinates. Delegation of authority: a guideline for authority should be delegated to complete the duties or tasks. Acceptance of responsibility : when we accept the assignment, we have an obligation to do our best to complete the task provided by the manger. Accountability: being answerable to others for the results of one’s actions.
Prepared by Pheng Khna, Siv Vutthy Build Bright University 7
Centralization and Decentralization of authority
Centralization : the concentration of authority at the top of an organization or department. Decentralization : a high degree of delegated authority throughout an organization or department.
Prepared by Pheng Khna, Siv Vutthy Build Bright University 8
5-Types of organizational structure Line organization
It is the simplest and the oldest form of organization structure. It is one that establish a clear line of authority flowing from the top downward through every subordinate position.It is appropriation whenJobs are simple and Routine, fewEmployees, and The manager can stay in complete control
GM
SalesManager
ProductionManager
Prepared by Pheng Khna, Siv Vutthy Build Bright University 9
Line and Staff organization
It is one that has a clear chain of command from top downward but that also includes various auxiliary groups of people who come under the heading of staff.
GM
MarketingManager
ProductionManager
FinanceManager
Staff Service
Prepared by Pheng Khna, Siv Vutthy Build Bright University 10
Functional organization
It is one in which specialists are given direct authority in their particular area of expertise. That is the one alternative to line organization.
GM
MarketingManager
ProductionManager
FinanceManager
HRManager
Prepared by Pheng Khna, Siv Vutthy Build Bright University 11
Committee organization
It is a formal groups in that they are created by the organization, but it is usually not as specific as that of the task group.Committees are routinely used for resolving conflict within the organization, recommending decisions to senior management, generative ideas, and innovative solutions that confronting the business.
Prepared by Pheng Khna, Siv Vutthy Build Bright University 12
Management CommitteeChair of the board, GM,
senior and deputy general manager
MarketingManager
ProductionManager
FinanceManager
HRManager
Board Of Director
Committee organization chart
Prepared by Pheng Khna, Siv Vutthy Build Bright University 13
ProjectManager
Matrix organization
It is one that assigns specialists from functional departments to work on one or more projects that are led by a project manager.
President
Vice Pre Vice Pre Vice Pre Vice Pre
ProjectManager
Prepared by Pheng Khna, Siv Vutthy Build Bright University 14
iI- Human resource management1-What is HRM? HRM: is the process of staffing function of the organization, including the activities of human resource planning, recruitment, selection, orientation, training, performance evaluation, compensation, and safety and health.2-Why is managing HR so importance?There are many factors affect to the business including:
Prepared by Pheng Khna, Siv Vutthy Build Bright University 15
3-Human Resource Management Process
a)-Human Resource PlanningIs the process of reviewing human resource requirements to ensure that required number of employees with the required skill available when they are needed.
Prepared by Pheng Khna, Siv Vutthy Build Bright University 16
Strategic Plan
Human Resource Planning
Forecasting Human Resource Requirement
Reviewing Human Resource Inventory
Demand=Supply Shortage of workersSurplus workers
Comparison ofRequirement and
availability
No Action-Restrict hiring-Reducing hours-Early retirement-Layoff
Requirement/Selection
HR Planning Process
Prepared by Pheng Khna, Siv Vutthy Build Bright University 17
b)-RecruitmentIt is the process of attract people to apply for jobs with appropriate quality.Sources of Recruitment Internal: hiring from the inside. External: hiring from the outside.
Prepared by Pheng Khna, Siv Vutthy Build Bright University 18
Human Resource Planning
Alternative to recruitment
Recruitment Individuals
InternalSource
ExternalSource
Internal Method External Method
Recruitment
Recruitment Process
Prepared by Pheng Khna, Siv Vutthy Build Bright University 19
c)-SelectionIt is the process by which an organization choose from a list of applicants the person or persons who best meet the criteria for the position available, considering current environment condition.
Prepared by Pheng Khna, Siv Vutthy Build Bright University 20
Selection Process
Step1: PreliminaryScreening interview
Step2: ApplicationBlank completed
Step3: Employmentinterview
Step4: Employmenttest
Step5: MoreInterview
Step6: BackgroundAnd Reference Check
Step7: ConditionalOffer
Step8: Physicalexamination
Step9:Decision
Prepared by Pheng Khna, Siv Vutthy Build Bright University 21
d)-OrientationIt is the series of activities that give new
employees the information to help them adapt to the organization and their new jobs.
Organization orientation Company history, products and services Organization structure and important role Policy and Procedure some areas
Personal organization Work area, department or office Duties and Responsibility Team members Position or Role
Prepared by Pheng Khna, Siv Vutthy Build Bright University 22
Human Resource Development ProcessIt is the process of improving employee
competency levels and organizational performance through training, education, and development programs.
Determine HRD needs
Establish specificObjectives
Select HRDMethod
EvaluationHRD Program
ImplementHRD Program
Select HRDMedia
Prepared by Pheng Khna, Siv Vutthy Build Bright University 23
e)-Performance EvaluationIt is a formal system of periodic and evaluation of
an individual’s job performance.
Identify specificPerformance
Evaluation Goals
Establish jobExpectation
Examine WorkPerformance
DiscussPerformanceEvaluation
EvaluatePerformance
Performance evaluation Process
Prepared by Pheng Khna, Siv Vutthy Build Bright University 24
f)- CompensationIt refer to every types of rewards that individual
receive in return for their labor.
Compensation structure in the organization
Compensation
Financial Non-financial
Direct Indirect JobJob
Environment
-Wage-Salary-Commission-Bonuses-…
-Insurance-Social benefit-Pad absent-…
-Interest duty-Responsibility-Recognition-…
-Coworker-Flextime-Cafeteria-…
Prepared by Pheng Khna, Siv Vutthy Build Bright University 25
g)-Safety and HealthIt is mean of reducing potential suffering and keeping health. Safety: involves protecting employees from injures caused by work-related accidents. Health: refer to employees’ freedom from physical and emotional illness.