Objectives 1. An understanding of the relationship of responsibility, authority, and delegation 2. Information on how to divide and clarify the job activities of individuals working within an organization 3. Knowledge of the differences among line authority, staff authority, and functional authority 4. An appreciation for the issues that can cause conflict in line and staff relationships 5. Insights into the value of accountability to the organization 6. An understanding of how to delegate

Responsibility The Job Description Dividing Job Activities The Functional Similarity Method Functional Similarity and Responsibility Supplemental guides suggest avoiding: Overlapping responsibility when making job activity divisions Responsibility gaps Creating job activities for tasks that do not enhance goal attainment Outcomes when employees are uncertain about task responsibility: 1. One of the two may perform the job 2. Both employees may perform the job 3. Neither employee may perform the job 4. Employees may spend valuable time negotiating

Responsibility

Responsibility Clarifying Job Activities of Managers Management Responsibility Guide Responsible Managers Dimensions to determine the degree of responsibility a manager has: 1. Attitude toward and conduct with subordinates 2. Behavior with upper management 3. Behavior with other groups 4. Personal attitudes and values

Responsibility

Responsibility

Authority Authority on the Job Acceptance of Authority Authority will be accepted only if the individual: 1. Can understand the order being communicated 2. Believes the order is consistent with the purpose of the organization 3. Sees the order as compatible with his or her personal interests 4. Is mentally and physically able to comply with the order To increase acceptance of a manager’s commands: 1. Manager uses formal channels of communication 2. Each member has an assigned formal channel for orders 3. Line of communication is as direct as possible 4. Complete chain of command is used to issue orders 5. Manager possesses adequate communication skills 6. Manager uses formal communication lines only for organizational business 7. Command is authenticated as coming from a manager

Authority Types of Authority Line and Staff Authority Line–Staff Relationships Roles of Staff Personnel 1. The advisory or counseling role 2. The service role 3. The control role Conflict in Line–Staff Relationships Functional Authority Accountability

Authority

Delegation Steps in the Delegation Process Obstacles to the Delegation Process 1. Obstacles related to the supervisor 2. Obstacles related to subordinates 3. Obstacles related to organizations Eliminating Obstacles to the Delegation Process

Delegation

Delegation Centralization and Decentralization Decentralizing an Organization: A Contingency Viewpoint Amount of decentralization appropriate for a situation: 1. What is the present size of the organization? 2. Where are the organization’s customers located? 3. How homogeneous is the organization’s product line? 4. Where are organizational suppliers? 5. Is there a need for quick decisions in the organization? 6. Is creativity a desirable feature of the organization?

Delegation

Delegation Centralization and Decentralization (continued) Decentralization at Massey-Ferguson: A Classic Example Guidelines for Decentralization 1. Competence to make decisions 2. Adequate and reliable information pertinent to the decision 3. Authority for decision rests with manager accountable for most units Delegation as a Frame of Mind Complementing Centralization

Delegation Centralization and Decentralization (continued) Decentralization at Massey-Ferguson: A Classic Example (continued) Management Responsibilities 1. Determining enterprise’s overall objectives 2. Formulating the policies that guide the enterprise 3. Control of the business 4. Product design 5. Achievement of overall objectives and measuring actual performance 6. Corporate plans or budgets 7. Availability and application of general company funds 8. Capital investment plans