Organizational concepts

INTRODUCTION
ALLAN
Organizations are viewed as established social systems designed to carry out specific objective.
To accomplish the goals and objectives of the organization efficiently and effectively, human and
material resources are essential.

An organization includes people working together for a common purpose while working in
different areas. Relationships are emphasized in an organization. The structural design of an
organization may vary from bureaucratic or hierarchic to adhocracy or organic unit but its
success depends on the skills of the manager.

It is important that the student should have n understanding of the concepts of organization to
prepare him or her for beginning professional nursing. The concepts include organizational
structure, organizational chart, and organizational principles.

ORGANIZATIONAL STRUCTURE
ARYAN
The organizational structure provides the framework in which management process is carried out
in an organization. It is designed to show clear lines of authority, flow communication and
relationships among the various departments, and to pinpoint persons or responsible and
accountable.

Stoner defines organizational structure or design as the formal mechanism through which the
organization is managed. In Chandler’s words:

“It includes first, the lies of authority and communication between the different administrative
offices and officers, and second the information and data that flow through these lines of
communication and authority. Such lines and such data are essential to assure the effective
coordination, appraisal, and planning so necessary in carrying out the basic goals and policies
ad in uniting together the total resources of the enterprise”.

There are two types of organizational structure: the formal type, which is planned and made
public; and the informal type, which is unplanned and covert.

Informal Structure

The informal organizational structure consists of personal and social relationships among the
members of the organization chart. It is though the informal structure that the people with little or
no formal status or position may gain recognition. This unofficial personal relationship among
workers may influences also has its own channel of communication called the grapevine, where
information is disseminated faster than in the formal system of Communication. However,
information transmitted through the grapevine may or may
Formal Structure ARYAN
The formal Structure describes the positions, the responsibilities of those occupying the
positions, and the working relationships among the various units of departments. There are two
basics forms formal organization structure: the hierarchic or bureaucratic model and the
adaptive or organic model.

Hierarchic or Bureaucratic Model

RYNNE
This model is designed to facilities large-scale administration by coordinating the work of
many personnel. It is associated with subdivisions, specializations, technical qualifications, rules
and standards, impersonality, and technical efficiency.
Gillies describe a hierarchical structure or pure line as straight forwards, and a direct
chain of command pattern that emphasizes superior-subordinate relationships. The line
organization is more efficient than another type of structure because it provides clear authority-
responsibility relationships between workers at all levels and requires less information
transmission between managers and workers than do more complex organizations.

Adaptive/Adhocracy or Organic Model

Tomey describes the adaptive or organic model as newer organizational frameworks that are
more free form, open, flexible, and fluid than the older bureaucratic models. The assumptions,
aims and structures of the adaptive or organic model differ from those of the bureaucratic model
on the following aspects:

 Greater recognition is given to the informal structure ad the group is encouraged to

improve its own norms or standards.
 Realities are recognized and the structure is designed to meet them.
 Since relationship is flexible, the organizational chart is likely to be used.
 Job descriptions are less meaningful.
 It is staffed by independent and self-reliant people.

Other characteristics of an organic model are: (a) motivation is not derived from supervision but
rather from the needs of the system, peer pressure and task-related factors; (b) rewards and
recognitions are based on the results of individual and group work rather than on subjective
evaluations from supervisors or managers; and (c) management is participative.
ROCHELLE AND ARYAN BUT GREATER PART SHALL
BE TAKEN BY ROCHELLE
Adhocracy organizational models consist of several types of structures, as follows: free form,
collegial management, project management, task force, and matrix organization.

a. Free Form. Free form organizational structure stresses open communication, consensus,
independent judgment and self-regulation. Organizational charts, manuals, job
descriptions and position titles are minimized in this type of organizational structure to
increase flexibility in the organization. Managers in this structural design must be
dynamic, should be willing to take risks and can manage change.
b. Collegial Management. Collegial management enhances democratic management. It
limits autocratic leadership and ensures that each functional area of the organization is
represented. It maintains a division and balance of power among top management
through collective responsibility. Directors are well informed about other functional areas
which will help broaden their approach to problem solving.
c. Project Management. Project management organizational structure is useful for long-
range projects that need much panning, coordination, and research. The most common
type of project management is the general or functional management. In this type,
department heads manage activities of the functional groups. The function of the general
manager is to coordinate the activities. There is no central authority and decisions are
made not from the best interest of the project but to the advantage of the strongest
functional group. An advantage of this organizational structure is that lead time between
planning and production and decision making is increased because the coordination and
approval of all functional groups are required.
The other type of project management is aggregate management. The manager in this
type is appointed, has his own staff, and has fully authority and control over the projects. The
people involved in the project report direct to him. An advantage f this type is that people
involved have the tendency to be loyal to the project because at the moment, that is their only
job.
d. Task Forces. The forces are organized for special projects that are short-range. It is a
temporary assignment of a group of people who have been selected because of their
special qualifications and expertise. They are relieved of their usual task and duties to
concentrate on the project which other wise could not be accomplished while performing
their usual work. Having task forces can be an efficient method of problem-solving ad
can offer opportunities for training of would-be-managers.
e. Matrix Organization. Matrix organizational design is a structure within the formal
bureaucratic design. T allows the creation of groups within the organization itself.
Although the groups may belong to various departments or units, they have common
goals and vision.
It is a dynamic organization. It fosters flexibility in dealing with organizational
changes and uncertainties. Decision-making, which is made at the middle management level,
provides greater opportunities for personnel development, increases motivation, and
encourages group consensus. Conflicts are inevitable in organizations because the structure is
complex. In the matrix design, increased communication is encouraged and enhanced.
Differences of opinion are likewise recognized and dealt with the soonest possible time.
Team building between departments is encouraged and consultants are utilized as
connections between departments.
ORGANIZATIONAL CHARTS

An organizational chart is a drawing that shows how the parts of an organization are linked. It
depicts the formal organizational relationships, areas of responsibility, persons to whom one is
accountable, and channels of communication.

Murray and DiCroce describe an organizational chart as a graphic representation of the chain of
authority from chief executive to each member of the organization. The organizational chart
depicts the chain of command, division of work, levels of management, and functional
communication pattern.

The organizational chart has the following uses:

1. It outlines administrative control.
2. It s used for policy making and planning.
3. It is to evaluate strengths and weaknesses of the present structure.
4. It shows the relationship with other departments and agencies.
5. It is used to orient new personnel to the organization.
Organizational charts may be vertical, horizontal, and concentric or circular.

Vertical Chart or Tall Structure

The vertical chart or tall structure depicts toe chief executive at the top with lines of authority
flowing down the hierarchy. This structure is most effective when managers desire better
coordination and effective communication. Furthermore, this structure clearly defines the
relationships between and among the different levels in the organization. More attention is given
to messages which come from managers than those from the lower echelons. Members, however,
are given more opportunities to participate in decision-making activities because of limited or
small span of control.

Horizontal Chart or Flat Chart

The horizontal or flat chart depicts the manager at the top with a wide span of control. The levels
of management are not shown in flat chart. Employees in this structure report to one manager.
They have more freedom. Head nurses or frontline managers are given more authority.
Communication in this structure is direct, simple and fast with minimal distortions of messages
since the distance between top and lower levels s shorter.

Circular or Concentric Chart

The concentric or circular organization chart depicts top management in the center represented
by the Board of Trustees or Directors, Chief of Hospital or Hospital Administrator and the Chief
Nurse. Those in the middle and lower levels of management such as the nurse supervisor, charge
nurse and staff nurse are in concentric circles. This chart shows the outward flow of formal
authority which is from the center moving outward. This type f structure minimizes or reduces
the implications of status on positions. It represents a conceptual, rather than a functional, view
of the organization.

LINE AND STAFF RELATIONSHIP

JOYCE
Line Authority

Line authority is a chain of command, a manager-staff associate or leader-follower relationship.

In this relationship, the manager delegates authority to an associate who in turn delegates
authority to the staff. For example, the chief nurse who is responsible for organizing and
administering the department of nursing can not possibly perform al her duties and
responsibilities may delegate some of her responsibilities to the assistant chief nurse. Line
authority is depicted by a solid line on an organizational chart. The manager in this structure has
the right to give orders, demand accountability, and discipline those who violate rules and
policies.

Staff Authority

Staff authority refers to a form of influence used by specialized individuals who hold unique
roles in the organization and who, while not directly responsible for employees, are involved
with the outcome of the employees’ work. An example is a clinical nurse specialist who has a
staff position in relationship to employees. Staff authority is depicted by a dashed line on an
organizational chart.

Staff supports line-authority relationship by serving as consultants or advisers. They are

responsible for lacing data, providing details and offering counsel on managerial problems.

PRINCIPLES OF ORGANIZATION
QUEENY AND EILEEN
In a bureaucratic organizational structure, certain principles are observed for efficient and
effective functioning of its personnel. As a manager, you must observe the following principles:

1. Communalization. Communicate with different people at different levels. It is a part of

your responsibility. The need for effective communication is imperative. To ensure
effective communication, the following guidelines are suggested:
(a) Clearly define in writing the nature of each position, its duties, authority, responsibilities
and relationships with other positions and make it available to all concerned.
(b) Make clear the line of authority, from the supreme authority to every individual in the
group.
(c) Ensure that the channels of command are not violated by staff units.
(d) Never criticize a subordinate in the presence of executives or employees of equal or
lower rank.
(e) Promote interests of those under you when reporting to your superiors.
(f) Make and keep adequate reports.
 QUEENY AND EILEEN
2. Unity of Command. Assign workers to be responsible for a single area and to report only
to one supervisor. To achieve unity of command, observe the following rules:
(a) Centralize authority and responsibility in the head of the organization.
(b) See that no person occupying a single position in an organization is subjected to definite
orders from more than one source.
(c) Know whom you report and who reports to you.

3. Span of Control. There are many factors that must be considered when determining the
number of employees that one supervisor can effectively and efficiently manage. Some of
these are the:
 Level of managerial experience of the manager
 Skill level of the employees
 Stability of the work unit or department
 Level of morale among the employees
 Type of work managed

To determine the span of control:

 Limit the number of subordinates that you can effectively inspire, animate, direct,
and coordinate.
 Note that two few immediate subordinates result in over supervision; too many in
the under supervision.
 Be responsible for the action of the subordinates.

4. Delegation of Authority. An essential part of the management is some amount of

participation among the lower level managers. To achieve efficiency in delegating,
observe the following guidelines:
(a) Let a few of people accomplish the task.
(b) Systematically align all personnel and activities so that you can delegate the authority and
responsibility for specific ad well-defined duties.
(c) Never give orders to subordinates who are under a responsible superior.
(d) Do not change the scope of responsibility of a position without a definite understanding
of the effects on all persons concerned.
(e) See to it that there is no overlapping of authority (two or more supervisors having control
of the same function).

5. Similar Assignments. The responsibilities assigned to a particular unit of an organization

should be clear-cut and well understood. Below are some guidelines you may observe in
assigning responsibilities:
(a) Do not assign a function to more than one independent unit of the organization.
Overlapping responsibilities causes confusion and delay.
(b) Assign definite and clear-cut responsibilities to each member of the organization.
(c) Never permit an organization to grow so elaborately as to hinder work assignment.
(d) Assign specific, clear-cut, and similar functions to subordinates.
(e) Assign every necessary function to a specific individual.
6. Unity of Purpose. Definite plans must e formulated based upon the objectives, policies,
standards, and work procedures previously accepted by the organization. Be aware that
 QUEENY AND EILEEN
every component in the organization should work toward unity of effort and authority and
that responsibility for action should be decentralized to the units and individuals
responsible for the actual performance of operations.

HOSPITAL
ADMINISTRATOR

CHIEF NURSE

NURSE TRAINOR/ ASSISTANT CLINICAL NURSE

EDUCATOR CHIEF NURSE SPECIALIST

NURSE SUPERVISOR

HEAD NURSE

STAFF NURSE STAFF NURSE STAFF NURSE