PPM Notes
PPM Notes
ORGANIZING
Elements of organising
1. Setting Goals: Defining clear objectives that the organization aims to achieve.
2. Evaluating Current Systems: Assessing existing structures and processes to identify
strengths, weaknesses, and areas for improvement.
3. Creating a Plan: Developing strategies and action plans to organize resources and
activities effectively.
4. Implementing a Plan: Putting the plan into action by assigning tasks, allocating
resources, and coordinating efforts.
5. Maintaining an Organization: Ensuring ongoing operation and sustainability by
monitoring
performance, addressing issues, and adapting to changes.
6. Being Flexible: Remaining adaptable to evolving circumstances and adjusting
organizational structures and processes as needed.
1. Formal Organization:
Definition: A structured system where authority, roles, and responsibilities are clearly
defined and delegated.It has Hierarchical structure, clear chain of command, formal rules
and procedures.
Example: Corporate companies, government agencies, military organizations.
2. Informal Organization:
Definition: A spontaneous network of relationships and interactions among individuals
within an organization, based on shared interests or friendships.It has Fluid and flexible,
based on social connections and personal relationships, not officially sanctioned.
Example: Employee social groups, lunchtime clubs, unofficial communication channels.
Differences between formal and informal organization
purposes of organizational structure:
Organizational design
2. Strategy: The organization's strategy, including its goals, objectives, and competitive
positioning, shapes its structure. Different strategies (e.g., differentiation, cost leadership,
innovation) require different organizational structures to support their implementation. For
instance, a company pursuing a differentiation strategy may have a more decentralized
structure to encourage innovation and customer responsiveness.
4. Size: The size of an organization affects its structure as it grows or shrinks. Larger
organizations often have more complex structures with multiple layers of management
and specialized departments to manage the increased scale and scope of activities.
Conversely, smaller organizations may have simpler, more informal structures with fewer
hierarchical levels.
Benefits:
2. Faster & More Effective Decision Making: Clear roles and responsibilities streamline
decision-making processes, enabling quicker responses to opportunities and challenges.
3. Improved Quality of Goods & Services: Organizational design can enhance quality
control mechanisms and promote a culture of excellence, resulting in better products and
services.
1. Ineffective Problem Solving: Poorly designed organizations may struggle to identify and
address issues efficiently, leading to delays and missed opportunities.
3. Inconsistent Quality of Work: If processes are not properly aligned or monitored, the
quality of outputs may vary, damaging reputation and customer trust.
6. Missed Targets and Poor Performance: Inefficient structures and processes may result
in missed deadlines, budget overruns, and overall poor performance against strategic
goals.
conflict
Definition:
Serious disagreement and argument about something important. If two people or groups
are in conflict, they have had a serious disagreement or argument and have not yet
reached agreement.
Forms of Conflict:
1. Intrapersonal Conflict: Conflict experienced by a single individual when their own goals,
values, or roles diverge.
2. Interpersonal Conflict: Conflict between two or more people who interact, arising from
differences in goals, values, and styles. This type of conflict can become personal.
3. Intragroup Conflict: Conflict within a group or team, where members clash over goals or
procedures.
4. Intergroup Conflict: Conflict between groups inside and outside an organization, where
disagreements arise on various issues. This can occur between two groups within the
same organization as well, known as intergroup conflict.
1. Lack of Role Clarification: When roles and responsibilities within a team or organization
are not clearly defined, confusion and misunderstandings can arise, leading to conflicts
over tasks and expectations.
2. Poor Processes: Inefficient or poorly designed processes can lead to frustration and
disagreements among team members. When procedures are unclear or ineffective, it can
result in mistakes, delays, and conflict.
5. Lack of Resources: Limited resources, such as time, budget, or manpower, can lead to
competition and conflict among team members vying for the same resources to
accomplish their tasks or goals.
1. Importance of Goal:
Description: Focusing on shared objectives and common goals to find solutions that
benefit everyone.
Importance: Keeps the focus on the bigger picture, ensuring that conflicts are resolved
in a
way that aligns with the organization's mission and objectives.
2. Competing:
Description: Asserting one's own interests and goals over others to win the conflict.
Importance: Useful when quick and decisive action is needed, but can strain
relationships and lead to resentment if overused.
3. Collaborating:
Description: Working together to find mutually beneficial solutions that address the
concerns of all parties involved.
Importance: Fosters teamwork, creativity, and innovation, while building trust and
strengthening relationships among team members.
4. Importance of Relationships:
Description: Prioritizing maintaining positive relationships and preserving harmony, even
if it means sacrificing personal goals.
Importance: Ensures that conflicts are resolved in a way that preserves trust, respect,
and cooperation among team members, fostering a supportive and cohesive work
environment.
5. Avoiding:
Description: Ignoring or sidestepping the conflict without addressing the underlying
issues.
Importance: Can be useful for temporary situations or when the issue is trivial, but
avoiding conflicts can lead to unresolved tensions and escalate into larger problems if not
addressed.
6. Compromising:
Description: Finding a middle ground where each party gives up something to reach a
mutually acceptable solution.
Importance: Helps maintain relationships by ensuring that both parties feel their
concerns are heard and considered, but may result in suboptimal outcomes or unresolved
issues.
7. Accommodating:
Description: Yielding to the interests or demands of others to maintain harmony and
avoid conflict.
- Importance: Promotes goodwill and cooperation by demonstrating flexibility and
willingness to accommodate the needs of others, but may lead to feelings of resentment if
one party consistently sacrifices their own interests.
Absolutely, here's a concise definition of coordination along with its techniques:
Coordination
Coordination: The process by which a manager synchronizes the activities of different
departments or sections to ensure that organizational goals are achieved efficiently and
effectively.
Techniques of Coordination:
1. Coordination by Chain of Command: Ensuring that tasks and information flow through
the established hierarchical structure, with clear lines of authority and responsibility.
organizational change
Implications:
Type of Change Implemented: Different types of changes (e.g., structural, cultural,
technological) will have varying implications on the organization's operations, resources,
and stakeholders.
Extent of Transformation: The degree to which the organization is transformed can impact
its overall performance, competitiveness, and ability to adapt to market dynamics.
Speed of Change: Whether the change is gradual or sudden can affect how well
employees adapt, the level of resistance encountered, and the overall success of the
change initiative.
For Employees:
1. More Opportunity for Skill Growth: Organizational change can provide employees with
opportunities to learn new skills, develop existing ones, and expand their knowledge
base.
4. Increased Opportunity for Employee Input and Participation: Change initiatives that
involve employees in decision-making processes can enhance their sense of ownership,
engagement, and commitment to organizational goals.
5. More Scope for Innovation: Organizational change can create an environment that
encourages creativity and innovation, leading to the development of new ideas, products,
or processes.
6. Opportunities for New Roles and Promotions: Restructuring or expansion efforts may
create new job roles or advancement opportunities for employees, providing avenues for
career growth and development.
For Organization:
1. New Business Opportunities: Organizational change can open up new markets,
industries, or business lines, expanding the organization's revenue streams and growth
potential.
5. Better Staff Morale: Clear communication, employee involvement, and opportunities for
growth can boost morale, job satisfaction, and retention rates among employees.
6. More Cohesive Vision and Values: Organizational change efforts can align employees
around a common vision and set of values, fostering a sense of unity and purpose within
the organization.
Departmentation:
Departmentation involves organizing activities into distinct units or departments based on
similarities in function, product, process, customer, geography, or a combination of these
factors. This helps streamline operations, improve coordination, and facilitate efficient
management of resources within the organization.
1. Line Organization Structure: Simplest form where authority flows from top to bottom in
a direct line.
Power:
Power is the capacity of a person to influence the behavior of others, getting them to do
something they might not otherwise do, even if they resist. It can be derived from both
positional and personal sources.
Basis of Power:
Positional Power: Derives from an individual's position within an organization. Includes
legitimate power (based on formal authority), reward power (ability to provide rewards),
coercive power (ability to punish), and informational power (access to valuable
information).
Authority:
Authority is the legitimate right of a position holder to give orders and expect compliance
from subordinates. It is conferred by the organization's structure and is associated with
formal positions of leadership or management.
Recruitment: This is the process of finding and attracting potential candidates for a job or
position within a company. It involves activities such as posting job advertisements,
searching for candidates through various channels (like job boards, social media, and
networking), and encouraging qualified individuals to apply.
Selection: Once candidates have applied, selection involves identifying and choosing the
best-fit candidate for the job. This includes assessing applicants through interviews, tests,
and
evaluations to determine their skills, experience, and suitability for the role. The goal is to
match the right person with the right job, ensuring they have the necessary qualifications
and attributes to excel in the position.
4. Hiring without bias: Employing fair and inclusive practices to evaluate candidates based
solely on their qualifications, skills, and experience, while mitigating unconscious biases.
10. Taking a proactive hiring approach: Anticipating future staffing needs and actively
seeking out top talent through continuous networking, talent pipelining, and succession
planning initiatives.
Selection process
Training and Development
Training and Development (T&D) in HR focuses on enhancing the performance and skills
of individual employees and groups within an organization. It involves systematic efforts to
impart knowledge, skills, and behaviors necessary for employees to excel in their roles
and contribute effectively to organizational objectives. T&D initiatives may include
onboarding programs, skills training, leadership development, workshops, and continuous
learning opportunities tailored to meet the evolving needs of employees and the
organization. The goal is to improve job performance, increase employee engagement,
foster career growth, and ultimately drive organizational success.
The training and development process typically involves several key steps:
1. Identify Training Needs: Identifying the skills, knowledge, and behaviors that employees
need to perform their jobs effectively. This can be done through surveys, performance
evaluations, skills assessments, and discussions with managers.
2. Setting Objectives: Defining clear learning objectives and goals for the training program
based on the identified needs. These objectives should be specific, measurable,
achievable, relevant, and time-bound (SMART).
3.select the Training Program**: Developing the training content, materials, and activities
that will help employees acquire the necessary skills and knowledge. This may involve
selecting training methods such as workshops, e-learning modules, on-the-job training, or
external courses.
Training methods
**On-the-Job Training Methods:**
2. **E-Learning:** Using digital platforms and online resources to deliver training content
to employees remotely. E-learning offers flexibility, scalability, and accessibility, allowing
employees to learn at their own pace and convenience.
Performance appraisal
1. **Create & setup performance standards:** Establish clear and specific performance
standards or criteria against which employee performance will be evaluated. These
standards should be aligned with organizational goals and job requirements.
2. **Mutually set identifiable and measurable goals:** Collaboratively set goals and
objectives with employees that are specific, measurable, achievable, relevant, and time-
bound (SMART). These goals provide a clear direction for performance expectations.
5. **Discuss the appraisal with the employee:** Conduct performance appraisal meetings
or discussions with employees to review their performance evaluation results, provide
feedback, and discuss strengths, areas for development, and future goals.
6. **Identify and initiate corrective actions:** Identify any performance gaps or areas for
improvement and develop action plans to address them. This may involve providing
additional training, resources, support, or setting new goals to enhance performance.
motivation,
Motivation is the internal drive or energy that directs and sustains behavior towards
achieving specific goals. It involves the combination of factors that influence an
individual's willingness and enthusiasm to perform tasks and pursue objectives, both
personal and organizational.
**Maslow's Theory of Human Needs:**
Maslow's hierarchy of needs is a psychological theory proposed by Abraham Maslow. It
suggests that individuals have a hierarchy of needs that must be satisfied in a particular
order, from basic physiological needs to higher-level psychological needs. The hierarchy
is typically represented as a pyramid, with physiological needs such as food, water, and
shelter at the base, followed by safety, love and belongingness, esteem, and self-
actualization needs at the top. According to Maslow, individuals are motivated to fulfill the
unmet needs in each level, and higher-order needs become motivating factors once
lower-level needs are satisfied.
**Herzberg's Two-Factor Theory of Motivation:**
Herzberg's Two-Factor Theory, also known as the motivation-hygiene theory, was
proposed by Frederick Herzberg. It suggests that job satisfaction and dissatisfaction are
influenced by different sets of factors. Hygiene factors, such as working conditions, salary,
company policies, and interpersonal relationships, are essential for preventing
dissatisfaction but do not necessarily lead to job satisfaction. Motivational factors, on the
other hand, such as recognition, achievement, responsibility, and opportunities for growth
and advancement, are intrinsic to the job and directly contribute to satisfaction and
motivation. According to Herzberg, improving hygiene factors can only eliminate
dissatisfaction, while enhancing motivational factors is crucial for increasing job
satisfaction and intrinsic motivation.
Job design
**Job Design:**
Job design refers to the process of structuring and organizing work tasks, responsibilities,
and duties to accomplish specific objectives within an organization. It involves determining
the content and structure of jobs in a way that maximizes efficiency, productivity, and
employee satisfaction.
**Key Points:**
1. **Organizing Work Tasks:** Job design entails breaking down complex tasks into
manageable units and organizing them into specific job roles or positions.
2. **Achieving Objectives:** The primary goal of job design is to align the tasks, duties,
and responsibilities of a job with the overall business objectives of the organization.
3. **Conscious Efforts:** Job design requires deliberate and intentional efforts to analyze
job requirements, allocate tasks, and structure job roles to optimize performance and
achieve desired outcomes.
4. **Job Analysis:** Job design is closely linked with job analysis, which involves
gathering information about the duties, responsibilities, skills, and qualifications required
for a particular job.
5. **HR Manager's Role:** Human resource managers play a crucial role in job design by
overseeing the process, ensuring alignment with organizational goals, and addressing
any issues related to job content and structure.
6. **Maximizing Efficiency:** Well-designed jobs can enhance efficiency by clearly
defining roles, reducing duplication of efforts, and promoting specialization.
7. **Employee Satisfaction:** Job design also considers factors such as autonomy,
variety, task significance, and feedback to enhance employee satisfaction, engagement,
and motivation.
Here are some common techniques used in job design:
1. **Job Simplification:** Simplifying job tasks by breaking them down into smaller, more
manageable components. This technique aims to reduce complexity and improve
efficiency by eliminating unnecessary or redundant tasks.
4. **Job Enrichment:** Enhancing job roles by providing employees with more autonomy,
responsibility, and decision-making authority. Job enrichment focuses on increasing the
intrinsic value of the job by offering opportunities for skill development, creativity, and
personal growth.
Leadership
**Leadership:**
Leadership involves inspiring and influencing others to achieve common goals and
objectives. While management focuses on planning, organizing, and controlling resources
to accomplish tasks efficiently, leadership is about setting a vision, motivating people, and
guiding them towards that vision.
**Leadership Styles:**
1. **Honesty and Integrity:** Leaders who demonstrate honesty and integrity earn trust
and respect from their team members. They adhere to ethical principles, maintain
transparency, and uphold their commitments.
2. **Inspiration:** Effective leaders inspire and motivate others by setting a compelling
vision, articulating goals, and leading by example. They foster a sense of purpose and
enthusiasm among team members, encouraging them to strive for excellence.
4. **Vision:** Leaders with a clear vision can articulate a compelling direction for their
team or organization. They possess the ability to anticipate future trends, identify
opportunities, and inspire others to work towards a common goal.
5. **Never Give-Up Spirit:** Resilience and determination are critical qualities for leaders
to navigate challenges and setbacks. Leaders who demonstrate a never-give-up spirit
remain focused, adaptable, and optimistic in the face of adversity.
6. **Empathy:** Empathetic leaders understand and consider the perspectives, feelings,
and needs of their team members. They foster a supportive and inclusive environment
where individuals feel valued, heard, and understood.
2. **Message:** The message is the content or information being conveyed by the sender.
It can be in the form of ideas, knowledge, opinions, facts, feelings, etc., and is intended
for reference by the recipient.
4. **Media:** The media refers to the channel or means through which the encoded
message is
conveyed from the sender to the recipient. It can be oral (verbal communication) or written
(written communication).
5. **Decoding:** Upon receiving the message, the recipient decodes or interprets the
encoded signals to understand the intended meaning of the message.
6. **Recipient:** The recipient is the final person in the communication chain who receives
and interprets the message. The effectiveness of communication relies on the recipient's
ability to correctly understand and act upon the message.
7. **Response:** Once the recipient receives and understands the message, they may
provide a response or feedback to the sender, confirming receipt and understanding of
the message. This completes the communication process.
8. **Noise:** Noise refers to any interference or obstacles that disrupt the communication
process, leading to misunderstandings or misinterpretations. Examples include technical
issues (e.g., poor phone connection), semantic barriers (e.g., language differences), or
psychological barriers (e.g., prejudice or bias).
Unit 5
**Controlling:**
Controlling is a managerial function that involves monitoring, evaluating, and regulating
organizational activities to ensure they are carried out as planned. It focuses on verifying
whether resources are being utilized effectively and efficiently to achieve predetermined
goals and objectives.
**Types of Control:**
1. **Strategic Control:**
- Strategic control is concerned with monitoring and evaluating the overall strategic
direction and performance of an organization.
- It involves assessing whether the organization is effectively pursuing its long-term
goals, objectives, and strategies.
- Strategic control helps senior management identify deviations from strategic plans and
take corrective actions to realign the organization's
activities with its strategic objectives.
- Examples of strategic control measures include financial performance metrics, market
share analysis, and competitive benchmarking.
2. **Operational Control:**
- Operational control focuses on monitoring and regulating the day-to-day activities and
processes within an organization.
- It involves ensuring that routine tasks and operations are executed efficiently and in
accordance with established procedures and standards.
- Operational control helps middle and lower-level managers track progress, identify
problems, and implement corrective measures to achieve operational efficiency and
effectiveness.
- Examples of operational control mechanisms include budgetary controls, quality
assurance processes, and performance dashboards.
Stages of control
The stages of control typically involve a cyclical process aimed at ensuring that
organizational activities align with goals and standards. Here are the stages:
1. **Establishing Standards:**
- The first stage involves setting specific standards or criteria against which performance
will be measured. These standards may include quantitative targets, qualitative
benchmarks, or behavioral expectations.
- Standards serve as reference points for evaluating performance and provide a basis
for comparison to assess deviations.
2. **Measuring Performance:**
- Once standards are established, the next stage involves measuring actual
performance against these standards. This may involve collecting data, monitoring
processes, and analyzing results to assess the extent to which goals are being met.
- Measurement can occur in various forms, such as quantitative metrics, qualitative
assessments, or behavioral observations.
4. **Analyzing Deviations:**
- Upon identifying deviations from standards, the next stage involves analyzing the
reasons behind these variances. This may involve investigating root causes, identifying
contributing factors, and assessing the impact on organizational objectives.
- Analysis helps managers understand the underlying issues and determine appropriate
corrective actions to address them.
Designing an effective control system involves several key steps and considerations to
ensure that organizational activities align with strategic goals and objectives. Here's a
framework for designing an effective control system:
3. **Organizational Communication:**
- Foster open and transparent communication channels throughout the organization to
facilitate information flow and feedback loops.
- Ensure that employees understand the strategic objectives, performance expectations,
and their roles in achieving them.
- Establish regular reporting mechanisms, meetings, and forums to discuss performance
results, share insights, and address issues or concerns.
4. **Motivational Dynamics:**
- Consider the motivational aspects of the control system to encourage desired
behaviors and performance outcomes.
- Recognize and reward achievements aligned with strategic goals to reinforce positive
behaviors and outcomes.
- Provide opportunities for employee involvement, autonomy, and skill development to
enhance motivation and engagement in the control process.
3. **External Audit:**
- External audit involves the examination of the financial statements and accounting
records of an organization by independent external auditors.
- External auditors verify the accuracy, completeness, and compliance of financial
reporting with relevant accounting standards and regulations.
- External audit provides assurance to stakeholders, including shareholders, creditors,
and regulators, regarding the reliability of the organization's financial statements.
4. **Management Audit:**
- Management audit focuses on evaluating the effectiveness and efficiency of
management practices, policies, and processes within the organization.
- It involves assessing the performance of management in achieving organizational
objectives, managing resources, and implementing strategies.
- Management audit helps identify areas of improvement in managerial decision-
making,
resource allocation, and operational effectiveness.
By utilizing these overall control techniques, organizations can effectively monitor and
evaluate various aspects of their operations, finances, management practices, and human
capital to ensure alignment with strategic objectives and enhance overall performance
and value creation.