This video explains the methods of planning in management, which include repeated use plans (objectives, policies, procedures, rules, and strategies) and single use plans (programs and budgets). Objectives are the aims, goals, or targets that an organization wants to achieve, providing focus and yardsticks for performance measurement. Management by Objectives (MBO) is a technique where superiors and subordinates jointly identify objectives. Policies serve as guidelines for managers to take decisions, while procedures describe the sequence of operations. Rules specify dos and don'ts with penalties for violations. Strategies are plans of action to achieve tasks or overcome competition. The organizing function involves identifying and grouping work, defining and delegating responsibility and authority, and establishing relationships to enable efficient accomplishment of objectives. Formal organizations are well-defined structures with predefined policies and authority relationships, while informal organizations arise spontaneously from personal and social relations. Various organizational structures include line, line and staff, functional, matrix, committee, and project structures, each with distinct advantages and disadvantages.
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Hello everyone. In this class, we are going to learn about the different methods of planning where we have repeated use plans as well as single use plans wherein in the repeated use plans objectives, policies, procedures, rules and strategies will become. And in single use plans, we have programs and budgets. So let us go into detail about each one of these. Coming to the objectives, it is nothing but objectives are considered as aims, goals, targets or missions, missions um missions of the company. So that is the destination point where the organization uh wants to reach. So here the organization may have different objectives like profit maximization, higher market share, consumer satisfaction, employee satisfaction, product diversification or expansion of their markets. So it depends on the kind of organization, the size and the current financial situation of the company. So objectives will be changing on the uh uh year after year where the company as according to the business environment they fix the the targets or the objectives to be achieved. So now what is the advantage of fixing objectives because that give focus to the organization on what they have to work. So and uh they can do a proper planning based on the objectives itself. So planning can be uh properly done the courses of actions can be properly uh decided with uh on the basis of the fixed objectives of an organization and organization helps and uh the integration of activities of an organization is based on objectives itself. So they provide the necessary yard sticks for measurement of the performance. But though there are certain advantage of having objectives equally there are disadvantages because they limit the organization and certain factors may not be measured quantitatively like employee attitude behavior. So in the name of objective there may be a tendering to exploit its workers. This results frustration among the workers. So now we have one more topic called as management by objectives which we consider as a technique by which the superior and subordinate jointly identify the objectives desire to be achieved by the subordinates in tune with the overall results expected for a particular period of time. Coming to the process of this, it is a technique by which the superior and subordinate jointly identify the objectives desired to be achieved by the subordinates in tune with the overall results expected. So the process of management by objectives is something like this presented in the graph where the different angles of the uh stages in the process of the management by objectives are defined where every company will define the organizational goals in its initial case that is of setting its objectives and setting objectives is not only critical to the success of company but also it serves a variety of purposes. Purpose it needs to include several different types of managers in setting goals. That's what we say like employee involvement should be there whenever you are setting goals for the organization. So the objective set by the supervisors are provisional based on an interpretation and evaluation of what company can or want to reach or want to achieve in a specified time. So that is what definition of the organizational goals where the goal have to be decided by the superiors based on what the organization wants to reach in future. The next point we have is defining employee objectives.
Once the employees are briefed about the objectives, plans or strategies to follow, the managers can start working with their subordinates especially on establishing their personal objectives.
So this will be like onetoone discussion with the subordinates which will let the managers know about their targets and what goals the employees are expected to accomplish within a specified time and not only that even what kind of resources are being provided so that they can accomplish the task. They can share some tentative thoughts about which goals the organization or department can find feasible and flexible and can reach the targets.
After that we have continuous or constant uh monitoring performance and progress. Though the management by objective approach is necessary for increasing the effectiveness of the managers, it is equally essential for monitoring the performance and progress of each and employee from time to time in the organization because after one year if you go for the assessment of the performance then that will be a very lengthy period and there is no scope for recovery. There is no scope for improvement especially in the performance of the employee. So continuous monitoring has to be done regarding the performance and progress what the employee is doing for a particular period of time and timely this has to be monitored observed and equivalent to that a proper feedback has to be given for the employees so that they can improve their performance in that case. So the next step we have is performance evaluation with the MDO framework. The performance review is achieved by the participation of the manage managers especially the superiors or the immediate boss of the employees are going to review the performance of the employee by observations or through any other methods followed in the organization. So the performance evaluation will give us the proper feedback about the uh strengths and weaknesses of the employees, the results and objectives uh achieved by the employee for a specific period of time and it also enables the employees to track or make corrections to their actions if needed. So the on there should be an ongoing feedback system and this ongoing feedback should be complemented by frequent evaluation meetings in which superiors can communicate the feedback to the subordinates and discuss the progress towards attainment of the objectives leading to a very good feedback in the future followed by performance appraisal. performance reviews on a routine uh basis uh like on a routine review of the success of the employees within management by objectives organizations. So performance reviews are considered as a routine review of the success of employees. So it promotes better communication relationship between superior and subordinate. Not only that, it gives the subordinate an opportunity to discuss or to fix his target in consultation with his superior if he thinks that the targets or something not achievable or not performable. And subordinates are also given a chance to fix the target based on their own potentials. They feel because of all these things they they may feel motivated and take lot of efforts to achieve the targets. So always periodical reviews which are done by the superiors help the employees to go in a right direction. But coming to the disadvantages superior subordinates have to meet several times to set the objectives where it is a time taking more paperwork has to be done and periodical review will also consumes more time. So and uh some in some cases MBO is not uh like not is not having anything much to do with the lower levels of management because objectives are generally fixed by the superiors and conveyed to the subordinates and furthermore conveyed to the employees.
So this is about the objectives. How the objectives are going to help to improve the performance of the employee. How the objectives are going to uh reassigning of the activities after discussing with the employees. Coming to the second one that is policies like if you go back to the first slide so that is methods of planning. After objectives we have PL we have policies.
Now what are policies? Policies are generally uh like they serve as a valuable guide to the managers uh when they take certain important decisions like these are some guidelines we can say or these provide certain set of instructions to the managers to behave in a proper format or to uh formulate certain rules and regulations in the organization. So policies provide ready answers to the questions pertaining to certain issues in the organization. They prescribe the limits within which the decisions have to be made or the expected behavior of employees in the organization. Like example employee promotion whether it has to be made on seniority basis or on merit basis or both should be considered. So in policy we will be having an answering for all these questions. So in case decisions are taken on seniority basis then then uh the decisions can be taken on that or if merit candidates are available in the organization then you can also take the decision based on the merit basis. So whatever the manager thinks it right or important as according to the performance of the people he can decide who has to be given a promotion. So generally in policies we will have a set of guidelines to be followed or whatever we have to provide to the employees.
There will be a set of rules and regulations on these provisions. So what and and a good policy should be always clear and definite. It should not give any scope for misinterpretation.
So proper language has to be used so that nobody will be confused with the language. The policy should be logical.
Logical statements should be implemented which can be applicable or which can be implemented especially and they should be based on ethical and moral values.
The policies should be fair uh to all the employees. No kind of discrimination have to be shown in the policies and they should be revised periodically from time to time based on the need and requirements. But though there are certain factors which determine the formulation of policies like the beliefs and values of the owners the founders of the organization as according to their beliefs and values the policies will be framed and sometimes government regulations availability of funds also restrict us. Though we have we though the organizations keep big statements in the policies but when coming to the implementation part they have to go with the actual present environment where sometimes that the regulations may not uh support them in order to take that or in order to implement that or fund scarcity may be there in order to follow that. So certain resources may restrict the implementation of policies technology to be adopted market trends will be changing. So as according to that every time we have to change the policies and sometimes the trade unions or the uh general business environment force the organizations to implement some kind of policies. So there are these are like certain factors which determine or influence the policy decisions in the organization.
But policies we say that they guide managers to take bold decisions. They also save sometime time. They also save the time sometimes by providing a ready solution to certain problems in the organization. They provide a clear-cut guidelines on which decisions can be taken. They ensure consistency and policies prevent the managers from misusing their authorities uh authorities.
But policies cannot provide solutions to all the organizational problems.
However, they provide guidelines not solutions and we cannot or the managers cannot blindly apply the policy without making a initial um check. So policies do not allow the managers to think also because already everything is framed. So there is nothing to do the managers have to think originally and implement.
So this is about the policies and every organization can frame different types of policies like we have formulated policy, implied policy, imposed policy, appeal policy. What is a formulated policy? Is one which is specified by the organization for providing the guidelines to its members. Like every organization formulates various policies in different aspects. This policy flow from flows from higher level to the lower levels in an organization. So this policy which is already formulated by the top management and they provide clear guidelines to all its members. So that is formulated policy and implied policy like sometimes policies may not be clearly stated and actions of managers particularly at the higher levels. They provide guidelines for actions at lower levels but these actions might constitute the policy sometimes. So sometimes the organization has clearly expressed policies for its image only but it is not able to enforce them. It don't want to implement them.
In such a case the action of the decision maker depends on his own guidelines and prejudices. So that is what that kind of policies we can say as implied policy and we have imposed policies also. This arises from the influence of some outsider agencies like such agencies are there maybe government we can take an example which provides policies for the public sector organizations and they have no scope in framing guidelines for their organization. So these agencies will provide guidelines or they will provide a broader framework for revising or devising specific policies for the organizations.
For example, in a public sector banks, you can see the recruitment and selection is done by the IBPS and individual banks do not have any control on that. So that is what we call it as imposed policy. And we have appealed policy. And a policy arises from the appeal made by any subordinate or subordinate by a subordinate to a manager to or to his superior for deciding an important case. So this is by case to case. The need for such an appeal may arise because the particular case may not be mentioned in the policy may not be covered in the policy. So the appeal is then taken upward and the decision is made by the uh on the case sets uh like the president uh which becomes policy providing guidelines for deciding similar cases in future. So these are the different types of policies we have. Coming to the next one we have procedures. Procedures will lay down the manner in which certain work has to be performed. It describes the sequence of operations to be carried out uh by an employee in a given task. So it describes the sequence of operations to be performed. It also facilitates a systematic framework of the work and not only that it defines the systematic performance of the work also and they ensure that the work proceeds in the right direction in the right manner and it always aims for proper coordination.
So the procedural uh formalities sometimes may delay in the performance of the work. A few procedures may result in confusion but they always set guidelines in which the employee is expected to work or behave. So it provides the detailed sequence of operations what to be performed by the employee in the given task. Coming to the rules, rules are not like like they are dos and don'ts like what you are expected to do and what you're not expected to do and when you uh violate the conditions or the rules or the policies what kind of punishment you are going to get out of that violation. So they are always rigidly enforced. They specify the dos and don'ts in the organization and there is always a fine or penalty for the violation of rules in the organization. Example like u not but ser not serious but in every organization we see no smoking boards in the workplace wear uniform while you are in the factory. So like this we can see the sign boards or the dos and don'ts boards and uh generally if the employee violates any of the uh particular rule so they will be punished. So either punishment can be in the form of penalty or any fine or even in certain cases he may be sent to imprisonment. So rules are the guidelines which specify how to behave and what not to do in the organization. Then come strategies.
Strategies are nothing but the plan of actions to be undertaken by the employee uh in order to achieve the task which is given to them. We can also say that it is tactics adopted by the uh competitors or it is the tactics adopted by the organizations to overcome the competition or it is any kind of action plans you are going to take to counterattack your opponents. So organizations adopt strategies especially when they are in crisis when they face tough competition when they want to survive without any uh without any hurdles or challenges. So certainly they will formulate strategies in such cases. Examples like when the organization have less scales or the there's a fall in the sca sales of the product. So they will come with a new strategy and because of the competitive pressures also the organizations will come up with a different strategy to attract the talented people or uh to render better services to the customers like that and sometimes because of the trade union demands also the strategies will be formulated in the organization.
Simply they are the plan of action generally undertaken by the organizations to defeat the competitors.
And here we have uh so these are nothing but the routine or uh we can say that these are nothing but uh the the different methods of uh policies uh especially the different methods of planning the repeated use plans whatever we have and next comes our singleuse plans. So single use because if you see the repeated use plans they are not they are always repeated when and there the situation arises they are going to be adopted. But coming to the single use plants these are only for specific purpose. Whenever they arise the single-use plants will be designed and after serving that they become useless or given up. So like that we have programs. It specifies the date and time by which the activities of the organization will be carried out.
Suppose for example if the organization wants to produce like it can clearly define the program statements like to produce 5,000 TVs or to produce 5,000 products by 31st March 20 26 or 27. So and then to sell certain amount of products before 31st December 2026 that means that after 2026 or after 2027 that is going to become obsolute. So that is nowhere existing. So it specifies program specifies the date and time by which the activities have to be completed and after that they become meaningless. So this why this programs are necessary means it ensures a commitment. It ensures what we have to do and clearly we will be sticking to that deadlines and because of the fear of missing the deadlines the employees will take it as seriously and work on the targets. So it ensures commitment among employees. No wastage of time is there because there are clear-cut guidelines will be there, timelines will be there and employees work with motivation because however they have to complete that deadlines and this brings coordination among the workers because they have to meet the work they have to meet the deadlines. So these is nothing but the single use plan program and budgets. Budget are especially the financial plans of the business. It is generally expressed in numerical terms.
A budget we say that it is a statement of projected activities of business in the near future. So this budgets helps in determining the future course of action especially in financial terms. So it also prepares the organization about the financial expenditure what they are going to uh in uh the incur for a specific period of time and before preparing the budget especially the companies have to see the past happenings the present needs and the future trends uh into consideration and then they have to prepare.
Hello everyone. In this video, I'm going to explain about the organizing function in detail. So let us go for the definition of the organizing. Organizing is a process of identifying and grouping the work to be performed, define and delegate responsibility and authority and also establishing the relationships for the purpose of enabling people to work most efficiently and effectively in accomplishing the objectives. So coming to the definition of the organizing. So it is one of the function of the human of the management where it is a process of identifying and dividing the task the work among all the employees as according to their qualifications and experiences. So not only dividing and assigning the work but also assigning a proper authority and responsibility so that the or the employees will work committedly, efficiently and effectively for the attainment of the organizational goals. Organizing is a process of division and assigning the work the suitable work to all the employees in the organization.
Let us go to the next slide where I we discuss about the process of organizing.
Now we say that organizing is nothing but division of work where the first step in this particular function is dividing the work because every department have their own work and every activity is different from uh one uh person to person or from one department to another department. So there are lot of task to be performed by every person in the organization. So division of work is the first step in organizing where we divide the work to be done into specific activities discrete activities and again which are grouped into job that are being assigned to the employees in the organization and these jobs again consist of certain task to be completed by them. So division of work is the primary function of organizing where we divide the work to the individuals and grouping jobs and departmentations. So the departmentation is the basis or the organizing is the basis for the departmentation. Departmentation is nothing but grouping all the similar kind of work into uh into larger units called as departments. So divisions or sections. So now how the departments have to be divided based on the similar kind of jobs which are performed. So here we are going to group all the similar kind of jobs and form them into bigger units called as departments. So establishing of departments based on the uh based on the nature of the activities is generally performed with the help of the organizing function. And the third one is assignment of duties. Once the departments have been formed, each employee is placed under the charge of an individual that is their reporting authorities. Now once the departments are being formed, every employee has to get his portion of work which he is responsible to accomplish under the supervision of a superior. So assignment of duties again as per their qualification and experiences have to be made by the individuals or by the superiors appointed. So establishing authority relationships is also one of the process where the various members of the organizations who perform the jobs are linked with authority and responsibility relations. So every individual is however connected with another individual in the form of either superior or subordinate relationship. So here we are going to establish the authority relationships like who is the superior and who is the subordinate and who has to work under uh who has to work under uh the supreme authority of another. So these are the various components which are involved in the process of organizing. Coming to the next topic, this is about the types of organizations. Now we have formal organization and informal organization.
Where a formal organization is a well- definfined structure where authority, relationships and responsibility that defines the authority and relationships among the all the individuals, all the organizational members. It works along predefined set of policies, plans, procedures, schedules and programs. So there are certain set of guidelines which will be followed by every individual in the formal structure and where every every individual is responsible for certain activities in the organization. So this is what a formal structure where we have the authority relationships and a set of predefined policies, plans and schedules where everyone has to follow them. where informal organization defines that informal organization as a network of personal as well as social relations not established or required by a formal organization but arising spontaneously as people associate with another. For example, I can quote an example in order to differentiate what is formal and what is informal. Suppose if the higher officials are conducting a meeting where they want to discuss about the organizational matters, issues, policy, decision making or something related to the employment or the organization.
So now such kind of meetings where certain set of guidelines will be followed and all will come together for certain decision making which is related to organizational matters. So that is a formal organization structure. we can call but after that meeting even some people will sit together in the same conference room but they discuss the personal and social issues which are which may not connected with the organization and which are like there are no set of guidelines and policies to discuss such matters. So that is an informal organization where we don't have any rules or procedures to follow.
So the basic difference between a formal and informal is formal organization is a cons uh consciously and deliberately created where an informal organization arises spontaneously which comes out of the discussions what they generally make or the employees generally make. So authority and responsibilities are vital in the formal organization structure where in informal we don't have any kind of authority relationships where all the discussions may be related to personal factors and the people will act like in a friendly manner and confident that are very important in this informal organization and in the formal organizations we see rules and regulations are important and everybody is bound to follow those rules. rules and regulations. But in informal they are not bound to any rules and regulations. There is that is only the relationship between one person to the another how they are interacting. So authority flows downwards here from upwards to downwards in the formal organization structure and responsibility flows upwards but in informal we don't have any such guidelines no authority no responsibility. So formal organizations are created only to attain a specific purpose where informal organizations are just to fulfill our social needs we can say. So and formal organization is always permanent and stable which is connected to your organization where informal spontaneously it will come and go. So there is no stability in the informal organization structure. So this is is all about the type of organizations that is formal versus informal and in the in this slide we are going to discuss about the different forms of organization structures. Now the organization structures are completely dependent on the organizational uh matters like it is it depends on the top management decisions like how many levels they want to see in their organization. So depending upon the cost, time and the levels which are needed to control the organization the management may form any one of the structure may implement any one of the structure. So designing the organization structure is ordinarily considered to be the matter of choice among a large number of alternatives to the organizations and the traditional forms of organization structures in the olden days were line line and staff and functional organization. But afterwards new forms like new forms of organization structures were being added like committee matrix and project structures.
it because based on the current market needs or demands. So when you come to the various types of organization structures we have line organization, line and staff organization structure, functional organization structure, committee organization structure, project structure and matrix organization structure. The very first one if you see this is known as like line line organization structure. This is known as scalar military departmental or vertical organization and it is considered as the oldest form of organization structure where initially it was being followed by most of the companies. So this concept holds that in any organization or hierarchy derived from a scalar process there must be a single head who commands the entire organization and it is perhaps the oldest and simplest simplest organizational structure. And in this kind of structure, every manager exercises a direct authority over the subordinate who in turn directly reports to their superiors. This is a hierarchal arrangement of authority. Each department is self-contained and works independently of other departments.
Lines of authority are vertical that is from top to bottom and there are no staff specialist. If you see the hierarchal structure, so here you can see that the organization structure will be in a linear form. It's a in a line form where only single level of management will be existing and that uh is going to hold all the supreme authorities of the organization and they are going to command and control the rest of the people. So here line of authorities are vertical from top to bottom it is going to flow and the line managers are the people who are going to take the decisions in the organization.
Coming to the advantages of line organization. It is not a complicated relationship where clearly all the line managers will be uh uh known for each and every employee because there are no much levels we can say that only one hierarchial level will be existing and he's going to rule entire organization.
So all the authority and responsibility lies on that individual. So clearly everybody knows that who is the authorized person for commanding or controlling. So it clearly defines the authority and responsibility of each and every individual. Each person knows clearly whom they have to report because no not much hierarchial levels. So it is very easy to understand that whom they have to report and who should to report to him. So there is a unity of command here that is only as one superior is there and he's going to give orders to the subordinate. So subordinate gets orders from one superior only. It provides scope for better supervision because only one supervisor exist. So he is going to control each and everyone.
So there is no scope for confusion and this ensures greater discipline.
But coming to the disadvantages, it lacks specialization because here we are not dividing into departments or into different hierarchy levels or we are not forming uh we are not making people responsible for the departments also. So no departments exist only the line managers are there who is going to supervise the entire organization. the line managers but the line managers are overburdened with lot of work because they are the only one person who has to look after all the activities of the department. So they are overburdened with lot of work. Example you can see the marketing manager he's going to manage the entire department monitor sales and assess the performance of the sales people. So that is the way how he's going to work. So all the burden is on the marketing manager. So it is always a downward communication where superior commands the subordinates and as a result the subordinates may not have any freedom to express their ideas and they may lose initiative. The line managers enjoy monopoly in the matter of decision making. That is an advantage in certain cases but lot of time they are only responsible for the decisions they are making. So the line managers monopoly is one kind of disadvantage which is faced by the line managers.
Coming to the next organization structure, we have line and staff organization structure. And this particular structure is going to fill the gaps whatever we see in the line management where in line management only line managers are going to look each and everything and we know that everyone is not expert in all areas. So sometimes we may take the help of some experts who have expertise in that particular area and for suggestions or from ideas in the process of decision making. So this staff that support what we are expecting the expert advice what we are expecting is considered as staff specialist in the line and staff organization structure where it combines line as well as staff people in the process of decision making. So line managers make decisions while the staff experts provide advice and support. So they are act like a stick to the line managers in the process of decision making. They collect they analyze the market data and suggest the line managers for proper and prompt decision making in the organization and line organization structure. If you take that is suitable for small scale organization structures where only limited number of people will be working and one person can manage them. But whereas line and staff organization structure this is can this is commonly applied or used in medium and larger scale organizations. So here we can see in the graph we can see like the staff are nothing but the personal assistant who is going to give advice to the managing director in the process of decision making where he will analyze the market information and suggest ideas and these staff people can be in any form like legal advisers, chartered accountants, HR advisers who are going to give expert advisers to the top management in the process of decision making the advantages of line and staff.
Staff experts provide support to the line personnel here because they act like a stick and support. They guide the line managers in the process of decision making. This provides line executives to concentrate on their core activities and perform well. The line executives get relief from work burden. What we have seen in the line structure where everything is tackled by the line managers. Now here as the staff people are going to support them so their workload can be reduced. The suggestion given by the staff experts helps to take better decisions because we are saying that they are expertise in their own areas and they know the market. They can properly analyze and suggest the best ideas to the line managers in the process of decision making. But though there are advantages, there are equally disadvantages of line and staff. where conflicts may arise between line and staff executives beh because here the staff managers are not the common employees. They are experts and specialist in those areas because even though the staff persons are going to give advice, the line managers may consider or may not consider the advisers given by the staff. So that creates conflict and that creates like the staff managers may feel that they are not given proper privileges in the organization and their advisers are seldom considered. So the staff experts do not have the authority to make decisions because the line managers are the final people who are going to take decisions and when their decisions are not considered however they are going to get disappointment out of that and in future they may not extend their support. And coming to the next organizational structure. This is called as functional organizational structure where organization is divided based on the specialized functions. That is as according to the similar activities departments will be departmental units will be established and each and every department will have one manager who is going to look after all the activities of the departments. So employees work under the experts in different departments as per their specializations and the most commonly you you see in departments are like HR, finance, marketing and production. So this kind of concept increases the concept like implements the concept of specialization where similar activities can be grouped and the departments can be formed and as according to the needs and requirements of the departments the employees can be recruited. As employees are expert in those areas, efficiency of labor, effective utilization of labor can be possible with the functional organizational structure. And here like what happens here if you see the picture where each and every department have one specialist with what we call them as marketing department manager, finance department manager and who is going to look after the downside activities that finance manager will look after the activities done by the cashier and the activities done by the accounting. So everything he is a person who is expertized in that particular area. He knows what should be done, how the accounts need to be maintained. So he will be carefully uh watching all the activities of the people in the department and observe whether they are furnishing the information properly or not. As he is going to have the command on the subject, he can go into detail and analyze whether the employees are performing properly or not. So this type of organization structure increases specialization as well as the efficiency of the labor. Coming to the advantages, it promotes specialization. As we discussed, each department specialize in a particular line of work. So more concentration can be done. More committedly, the employees can work because that is their own area. Each functional head looks after specific activities. That's why they are not overburdened. Better control can be there because you are the boss for your department. So you can control limited people properly in time and you know you can observe easily what are they doing.
Each individual concentrates on particular task. So it will maximize efficiency of the labor. But disadvantages more number of departments more implementation more maintenance cost and divisions often leads to confusion also difficulty to control and coordinate between all the departments and sometimes decision making may not be done at a faster rate because you have to consult with all the departments and then the decisions have to be taken because every department is interlin interconnected with each other. So finance department whenever it has to take decisions it has to consult the other departments also. So if if there is no better coordination decision making will be a problem. So faster decision making may not be happening to the next we have matrix organization structure and which combines the functional as well as project structure.
So here employees report to the functional and the project managers and here the projects may be different because as per the project requirements the people and the departments may be established and in most commonly in the IT sector we see this kind of structure where the companies will be handling lot of clients and every client has its own specifications and as according to the client specifications they have to deliver the product. So based on the project they will be having production, finance, marketing, sales, development and research department. So whatever it may be they want to establish but every project they will be having all the departmental line managers. And here when the project is completed even the structure is also collapsed and when the new project comes new structure will be formulated. So that is the reason this kind of structure promotes flexibility and teamwork. But the problem here is the employees should work under the functional as well as project manager where sometimes it violates the unity of command. But coming to the advantages, it gives motivation for the personal because every project is different from one another. So there is a lot of scopes to upgrade their skills. It promotes better communication because communication is needed to interact in the projects. So it promotes communication. Disadvantages as I said it violates the unity of command. Dual command for the employees may result in confusion, stress and pressure. And here also quick decisions may not be possible because line managers, project managers and the key managers have to interact and coordinate and discuss and then take the decisions. And then comes the county organization structure where here the employees will be grouped into committees and they have to collectively take decisions because whenever a problem arises whenever any grieviance arises. So generally one person will not try to resolve that one person will not try to take a decision. So their collective people opinions are required to take decisions so that they can be implemented properly and the employees will accept that. So here committee organization structure is going to committee organization structure is made collectively by a group or committee. We can say it encourages participation and group discussion useful for policy formulation and coordination. Here here committees are formed.
Here committees are formed based on the nature of the problem. uh what kind of people should be involved in the committee and then the people will be selected and they will be grouped together in order to make decision and generally not only for problem resolution even for policy formulation and coordination although committees are encouraged to participate.
Coming to the advantages this kind of organization structure there is a lot of scope for group opinions and judgment. Committee members feel motivated when they participate in the discussion. Problems that cannot be solved by individual will be generally referred to the committee. Uh but this type of organization structure is more expensive. It takes more time.
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