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Organization Chart: Importance of Organizational Structure

The document discusses organizational structures and charts. It describes the importance of having a clear organizational structure that defines roles and responsibilities. There are two main types of structures - tall/centralized and flat/decentralized. Tall structures have many management levels and strict chains of command, while flat structures empower employees and encourage collaboration. Well-designed organizational charts visually illustrate reporting relationships, lines of authority, and division of labor to facilitate effective management.

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Meena Koushal
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0% found this document useful (0 votes)
2K views9 pages

Organization Chart: Importance of Organizational Structure

The document discusses organizational structures and charts. It describes the importance of having a clear organizational structure that defines roles and responsibilities. There are two main types of structures - tall/centralized and flat/decentralized. Tall structures have many management levels and strict chains of command, while flat structures empower employees and encourage collaboration. Well-designed organizational charts visually illustrate reporting relationships, lines of authority, and division of labor to facilitate effective management.

Uploaded by

Meena Koushal
Copyright
© © All Rights Reserved
We take content rights seriously. If you suspect this is your content, claim it here.
Available Formats
Download as DOCX, PDF, TXT or read online on Scribd

ORGANIZATION CHART

All organizations have a management structure that determines the relationships between
functions and positions and subdivides and delegates roles, responsibilities and authority to
carryout defined tasks.

IMPORTANCE OF ORGANIZATIONAL STRUCTURE


 It enables members to know what their responsibilities
 It frees the manager and the individual workers to concentrate on their respective roles
and
 responsibilities
 It coordinates all organization activities so there is minimal duplication of effort or
conflict.
 Avoids overlapping of function because it pinpoints responsibilities.
 Shows to whom and for whom they are Responsible

Purpose:

 Divides work to be done in specific jobs & dept.


 Assigns tasks and responsibilities associated with individual jobs.
 Coordinates diverse organizational tasks.
 Establishes relationship b/w individuals, groups and departments.
 Establishes formal lines of authority.
 Allocates organizational resources.
 Clusters jobs into units.

ORGANIZATIONAL RELATIONSHIP
1. FORMAL RELATIONS
2. INFORMAL RELATIONS

1.Formal Structure

Formal Organization

 Should not be flexible


 Well defined jobs
 Channeled
 individual and group efforts
 Definite
 authority / responsibility

2. INFORMAL RELATIONS
 Informal structure is generally social, with blurred or shifting lines of authority and
accountability.
 It also has its own channels of communication, which may distribute information more
broadly and rapidly than the formal communication system.
Informal Structure
Informal organization
A network of personal / social relationships, not established, required by FORMAL
organization but arising spontaneously

 flexible
 Loosely
 organized
 ill defined
 Spontaneoous

Structure (membership), communication networks (“grapevine”), and relationships


behaviors and norms) do not necessarily follow those of the formal organization.

Types of organizational structure


1. Tall or Centralized Organizational Structure
2. Flat or Decentralized Organizational Structure

Tall organizational structure


• Large, complex organizations often require a taller hierarchy.
• In its simplest form, a tall structure results in one long chain of command similar to the
military.
• As an organization grows, the number of management levels increases and the structure
grows taller. In a tall structure, managers form many ranks and each has a small area of control.

ADVANTAGES:
1. The quality of performance will improve due to close supervision.
2. Discipline will improve.
3. Superior - Subordinate relations will improve.
4. Control and Supervision will become easy and convenient.
5. The manager gets more time to plan and organise the future activities.
6. The efforts of subordinates can be easily coordinated.
7. Tall Organisation encourages development of staff.
8. There is mutual trust between superior and subordinates

DISADVANTAGES:
1. Tall Organisation creates many levels of management.
2. There are many delays and distortion in communication.
3. Decisions and actions are delayed.
4. It is very costly because there are many managers. The managers are paid high salaries.
5. It is difficult to coordinate the activities of different levels.
6. There is strict supervision. So the subordinates do not have any freedom.
7. Tall Organisation is not suitable for routine and standardised jobs.
8. Here, managers may became more dominating.

Flat organizational structure


• Flat structures have fewer management levels, with each level controlling a broad area or
group.
• Flat organizations focus on empowering employees rather than adhering to the chain of
command.
• By encouraging autonomy and self-direction, flat structures attempt to tap into employees’
creative talents and to solve problems by collaboration.

ADVANTAGES
1. Flat Organization is less costly because it has only few managers.
2. It creates fewer levels of management.
3. Quick decisions and actions can be taken because it has only a few levels of management.
4. Fast and clear communication is possible among these few levels of management.
5. Subordinates are free from close and strict supervision and control.
6. It is more suitable for routine and standardized activities.
7. Superiors may not be too dominating because of large numbers of subordinates.
DISADVANTAGES
1. There are chances of loose control because there are many subordinates under one manager.
2. The discipline in the organization may be bad due to loose control.
3. The relations between the superiors and subordinates may be bad. Close and informal relations
may not be possible.
4. There may be problems of team work because there are many subordinates under one
manager.
5. Flat organization structure may create problems of coordination between various subordinates.
6. Efficient and experienced superiors are required to manage a large number of subordinates.
7. It may not be suitable for complex activities.
8. The quality of performance may be bad

ORGANIZATIONAL CHART
Organizational chart is a line drawing that shows how the parts of an organization are linked.
The organization chart establishes the following:
 Formal lines of authority—the official power to act
 Responsibility—the duty or assignment
 Accountability—the moral responsibility

1. AUTHORITY is defined as the official power to act. It is power given by the organization to
direct the work of others. Example: A manager may have the authority to hire, fire, or
discipline others.
2. A RESPONSIBILITY is a duty or an assignment. It is the implementation of a job.
For example, a responsibility common to many charge nurses is establishing the unit’s daily
patient care assignment
ORGANIZATIONAL CONCEPTS:
3. DELEGATION is the process of assigning duties or responsibilities along with orresponding
authority to another person. Authority must be delegated with the responsibility.
4. ACCOUNTABILITY means that individuals agree to be morally responsible for the
consequences of their actions.
Example: A nurse who reports a medication error is being accountable for the responsibilities
inherent in the position.

CHARACTERISTICS OF AN ORGANIZATIONAL CHART


 Division of Labor/Work
 Chain of Command
 Span of control
 Unity of command
 Authority
DIVISION OF LABOR/WORK
Subdivision of work into separate jobs assigned to different people
Potentially increases work efficiency
Necessary as company grows and work becomes more complex
CHAIN OF COMMAND
It is a formal line of authority and communication within the organization and the structure.
demonstrates who formally reports to whom within the organization. The vertical lines in
the chart represent chain of command.
UNITY OF COMMAND
The concept of unity of command is that each person on the organization chart has one manager
or one boss.
SPAN OF CONTROL
Span of control means the number of individuals a person is responsible for managing. A wide
span of control indicates that many people are reporting to a manager, and a narrow span of
control indicates that only a few people are reporting to the manager.
AUTHORITY
The rights inherent in a managerial position to tell people what to do and expect them to do it.

TYPES OF ORGANIZATIONAL CHARTS


1. Vertical charts
 It shows high-level management at the top with formal lines of authority down the
hierarchy, are most common.
2. A left-to-right (horizontal) charts:
 It shows the high-level management at the left with lower positions to the right. Shows
relative length of formal lines of authority, helps simplify understanding the lines of
authority and responsibility.
3. Circular charts
 It shows the high-level management in the center with successive positions in circles. It
shows the outward flow of formal authority from the high-level management. It reduces
status implications.

Vertical chart

Circular chart
A LEFT-TO-RIGHT (HORIZONTAL)
CHART

ADVANTAGES OF AN ORGANIZATIONAL CHART:


1. It provides a quick visual illustration of the organizational structure.
2. It provides help in organizational planning.
3. It shows lines of formal authority, responsibility and accountability.
4. It clarifies who supervises whom and to whom one is responsible.
5. It emphasizes the important aspect of each position.
6. It facilitates management development and training.
7. It is used to evaluate strengths and weakness of current structure.
8. It provides starting points for planning organizational changes.
9. It describes channels of communication.

DISADVANTAGES:
1. Charts become outdated quickly.
2. Does not show informal relationship.
3. Does not show duties and responsibilities.
4. Poorly prepared charts might create misleading effects.

STANDARDS FOR EVALUATING THE EFFECTIVENESS OF HIERARCHICAL


ORGANIZATION STANDARDS
1. Line authority relationships are clearly delineated anddefined by the organizational and/or
functional charts and policies;
2. Staff authority relationships are clearly delineated and defined by the organizational and /or
functional charts and policies;
3. Functional authority relations are clearly delineated and defined by the organizational and /or
functional charts and policies;
4. Staff personnel consult with, advise and provide counsel to line personnel;
5. Service personnel functions are clearly understood by line and staff personnel;

RECOMMENDATION OF NURSING INSTITUTE FACULTY BY INC


Qualifications & experience of teachers of college of Nursing
S. POST, QUALIFICATION & EXPERIENCE
NO.
1. Principal cum Professor- 15 years experience with M.Sc.(N)
out of which 12 years should be teaching experience with
minimum of 5 years in collegiate programme.

Ph.D.(N) is desirable
2. Vice- Principal cum Professor- 12 years experience with
M.Sc.(N) out of which 10 years should be teaching experience
with minimum of 5 years in collegiate programme.

Ph.D.(N) is desirable
3. Professor- 10 years experience with M.Sc.(N) out of which 7
years should be teaching experience.

Ph.D.(N) is desirable
4. Associate Professor- M.Sc. (N) with 8 years experience
including 5 years teaching experience

Ph.D.(N) desirable
5. Assistant Professor- M.Sc. (N) with 3 years teaching experience

Ph.D.(N) desirable
6. Tutor- M.Sc.(N) Or B.Sc.(N)/P.B.B.Sc.(N) with 1 year experience

S. Designation B.Sc.(N) B.Sc.(N)


No.
40-60 (Students 61-100 (Students
intake) intake)
1 Principal 1 1
2 Vice-Principal 1 1
3 Professor 0 1
4 Associate Professor 2 4
5 Assistant Professor 3 6
6 Tutor 10-18 19-28

Principal is excluded for 1:10 teacher student ratio norms (Teacher)


Tutor student ratio will be 1:10

(For example for 40 students intake minimum number of


teacher required is 17 including Principal. The strength of
tutors will be 10, and 6 will be as per sl. No.02 to 05)
Sl. Designation B.Sc.(N) P.B.B.Sc.(N) M.Sc.(N)
40-60 20-60 10-25
No.
(students (students (students
intake) intake) intake)
1 Professor cum 1
PRINCIPAL
2 Professor cum 1
VICE- PRINCIPAL
3 Professor 0 1
4 Associate Professor 2 1
5 Assistant Professor 3 2 3*
6 Tutor 10-18 2-10
*1:10 teacher student ratio for M.Sc.(N) if B.Sc. (N) is also
offered by the institution.
*Candidates having 3 years experience after M.Sc. (N) only
will be considered for M.Sc. (N) programme.
OTHER STAFF (Minimum requirements)

(To be reviewed and revised and rationalized keeping


in mind the mechanization and contract service)
 Ministerial

a) Administrative Officer 1
c) Office Superintendent 1
d) PA to Principal 1
e) Accountant/Cashier 1

 Upper Division Clerk 2

 Lower Division Clerk 2

 Store Keeper 1
a) Maintenance of stores 1
b) Classroom attendants 2
c) Sanitary staff As per the physical space
d) Security Staff As per the requirement

 Peons/Office attendants 4
 Library
a) Librarian 2
b) Library Attendants As per the requirement

 Hostel
a) Wardens 2
b) Cooks, Bearers, As per the
requirement Sanitary Staff
c) Ayas /Peons As per the requirement
d) Security Staff As per the requirement
e) Gardeners & Dhobi Depends on structural
facilities (desirable)

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