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WEEK 08: ORGANIZING: STRUCTURAL RELATIONSHIPS


Sections: Responsibility | Authority | Influence | Power | Delegation

Responsibility

Definition. The power of personal code of morals to control the conduct of an individual. This was accentuated by Pres. Harry S. Truman's quip: "The buck stops here!"

Responsibilities of the Chief Executive/Manager.
1. Elaborate the management policies.
2. Define the objectives of the firm.
3. Develop strategies and long-range plans.
4. Develop operating policies.
5. Control operations and problem-solving.


Sections: Responsibility | Authority | Influence | Power | Delegation

Authority

Definition. The right to act as indicated in the organizational heirarchy; command obedience and cooperation of resources to achieve desired goals; institutional right to induce behavioral change; leader of the group; assigner of tasks; judge of results and giver of awards.

Grounds.
1. Rational. Authority as a right, e.g., elective or appointive positions.
2. Traditional. Preservation of the sanctity of tradition.
3. Charismatic. Prominence of a person.

Danger Points.
1. Authority gaps. Responsible for the consequences of someone's judgement.
2. Decision Reversal. Reversal of decision by higher echelon even when justified.
3. Insubordination. Contesting an authority by a subordinate.
4. Confused Accountability Link. Organizational realities dictate accountability not their depiction on paper.

Stages.
1. Complete. Full Authority.
2. Limited. Act and report upward.
3. None. No action taken.


Sections: Responsibility | Authority | Influence | Power | Delegation

Influence, Identification and Loyalty

Definition.
Influence is the effect of one person on the behavior of others. Usually, voluntary in nature and an unconscious effort. Types of influence are persuasion, suggestion, commentary, advice, expiditing or blocking.

Identification is decision to participate in an organization by accepting goals as one's own (self-involvement).

Loyalty is commitment to an organization.


Sections: Responsibility | Authority | Influence | Power | Delegation

Power

Definition. The psychological force that identifies the potential of a person as perceived by others to influence their actions. Power results from personal characteristics, familial associations, political connections, expert knowledge or strategical duties and physical location.


Sections: Responsibility | Authority | Influence | Power | Delegation

Delegation

Definition. To entrust to another; working through others.

Benefits.
1. Use of special skills of subordinates.
2. Training of subordinates.
3. Preparation for expanded job responsibilities.
4. Less routine, more lattitude to attedn to suppliers and customers.
5. Test of capabilities in problem-solving and initiative.
6. Freed to attend to long-range tasks, planning and developing new products.

Steps.
1. Awareness. Be aware of the psychological factors such as:
a. Loss of control
b. Egotism, no one will perform as well or subordinate will do the job better.
c. Knowledge is power.
d. Advancement for you and your subordinate.
e. Bad experience with delegation, prevent mistakes from happening.
2. Know Purpose.
a. Give useful experience to subordinate
b. Challenge a bright employee.
c. Ease workload.
Don't delegate if issue is
a. Hot Potato - pass along to take one out of the spot.
b. Power - the power to discipline is non-transferrable..
c. Morale Maintenance - delegate task to improve morale but not its maintenance.
d. Know-how - Expertise is pass along by teaching or training..
e. Confidential - when trust and confidence are involved, e.g., cost data or personal affairs.
3. Select Right person. consider:
a. Nature of task.
b. Abilities of the individual.
c. Present activity versus time.
d. What the subordiante can contribute.
4. Smooth the path.
a. Add How-to. Give instructions for critical elements, add cautions, and indicate sources for additional information.
b. Excuse. Clear interdepartmental activity (excuse).
c. Reassure. Clear your availability.
5. Retain Control. Told of unexpected developments or delays, and constant progress reports.

If delegation fails:
1. Is Situation Remediable?
2. Support delegatee? So that failure is not permanently destructive.
3. Limp Across the Finish Line. Or step in and take over!


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