CHAPTER ONE
INTRODUCTION
1.1 BACKGROUND OF STUDY
An organization is established to achieve set goals and objectives. For it to realise this, its work has to be divided among its members. Some structure and technology is necessary to make possible the effective performance of key activities and to support the efforts of staff members. Structure and technology provides the framework of an organization and its pattern of management. It is by means of structure and technology that the purpose and work of the organisation are carried out.
The structure of an organisation is usually depicted in the form of an organisation chart. This will show, at a given moment in time, how work is divided and the grouping together of activities, the levels of authority and formal organisational relationships. The organisational chart provides a pictorial representation of the overall shape and structural framework of an organisation. Some charts are very sketchy and give only a minimum amount of information. Other charts give varying amounts of additional detail such as an indication of the broad nature of duties and responsibilities of the various units. Organisation charts are useful in explaining the outline structure of an organisation. They may be used as a basis for the analysis and review of structure, for training and management succession, and for formulating changes.
The functions of structure and technology, the activities and defined relationships within it, exist independently of the members of the organisation who carry out the work. However, personalities are an important part of the working of the organisation. In practice, the actual operation of the organisation and success in meeting its objectives will depend upon the behaviour of people who work within the structure and who give shape and personality to the framework.
The human relations writers are critical of the emphasis on the formal organisation. The favour a structure in which there is increased participation from people at all levels of the organisation, greater freedom for the individuals, and more meaningful work organisation and relationships. The view of the human relations writers represents more of an attitude towards organisation than specific proposals, but it reminds us of the importance of the human element in the design of structure and technology. Managers need to consider how structural design and methods of work organisation influence the behaviour and performance of members of the organisation.
The quality of the relationship between line and functional managers lies at the heart of achieving both the compliance to rules and ability to work with the principles behind them. If the relationship is good, and trust and respect high, then both sides understand the importance of each other’s role. Line management knows they will always be pressing to drive harder on performance, but understand the functional roles are there to help create, and strengthen the boundaries they must cross.
The overall function and direction of a work organisation is determined by the nature of its corporate strategy. Strategy provides goals, objectives and guidelines for the structure & technology and operations of the organisation. Organisations play a major and increasingly important role in the lives of us all. The power and influence of a business organisation must also be tempered by decisions relating to its broader social obligations and ethical responsibilities.
Also, the structure and technology of an organisation affects not only productivity and economic efficiency but also the morale and job satisfaction of its workforce, hence the impact it has on its employee behaviour. Getting the structure and the technology right is the first step in any organisational plan. Structure should be designed, therefore, so as to encourage the willing participation of members of the organisation and effective organisational performance.
It is important to bear in mind that there are many variables that influence the most appropriate organisation structure and system of management, including situational factors and the contingency approach. Changing patterns of work organisation, the demand for greater flexibility and the multi-skilling challenge, and managerial processes such as delegation and empowerment also have a major interrelationship with structure and influence decisions on structural design and technology.
While recognising that there is clearly no one right organisation, there is nevertheless, in the final analysis, an underlying need to establish a framework of order and system of command by which the work to be undertaken is accomplished successfully. This demands that attention be given to certain basic principles and considerations in the design of organisation structure and technology, or in reviewing the effectiveness of an existing structure and technology.
STATEMENT OF THE PROBLEM.