Analysis of existing management structures
Kuznetsov. Fundamentals of management
The design and formation of organizational structures is important not only for the newly created organizational-legal forms of enterprises, but also for existing, because they have to operate in different conditions, changing the composition and structure of management functions. Therefore, there must be analyzed all the formal organizational structure of the enterprise, the composition of the structural units, the number to workers, their compliance complexity and the structure of the work to be done, etc.
In this regard it seems appropriate to briefly consider the available foreign experience and methods of analysis.* In the analysis it is necessary to study all the structural elements of the enterprise, which includes: organizational structure, structure job functions, the structure of the exchange of services, information structure, resource technological structure, the structure of labor resources. Consider the essential side of the analysis of the organizational structure and the structure of business functions.
In considering organizational structure it is recommended to use two fruitful approach: concise organizational analysis and setting specific personal goals and objectives to the performers. Both approaches are aimed at identifying the relationship between the personal contribution of employees and the main objective of the enterprise.
The first approach is top-down called INTROSPECT ("introspection", "introspection"). The second is "bottom up" — got the name of the UOC (management by objectives).
The method of organizational analysis INTROSPECT developed in 1975. The main focus in this method of research is on managerial and administrative personnel to improve efficiency of knowledge workers. The emphasis is on types of work that contribute to the objectives, goals and strategy of the company.
The analysis of the organizational structure in this method is performed in the following sequence: objectives, strategy, goals, functional organization, positions, employees, their goals and objectives.
The method allows to develop recommendations to improve organizational structure and increase the productivity of the organization due to: reduction of management costs; reduction of duplication; reduction of the fragmentation functions performers; regulation of workload managers in order to avoid underloading and overloading; shift efforts to key strategic objectives; develop a rational plan for the employment and allocation of tasks among employees in accordance with the change in the structure and scope of activity of the enterprise.
In its approach to the management structure of developers and the inspector proceeded from the following principles and ideas:
1. The Manager receives a salary for what performs the actual management and provides the leadership this organization, so he has most of his time to engage in some type of management. To manage means to be in charge, to direct, to lead, teach, measure, and engage in all other activities: planning, organizational work, preparation of financial plans, financial analysis, etc.
2. The Manager must be subordinate to a lot of people to manage took all his attention, but at the same time quite a bit, so he could pay attention to everyone.
3. The number of levels of management in any organization should be minimal.
4. Executors must deal with a limited number of well-designed tasks which directly contributes to the goals of the organization.
5. A clear understanding of the tasks can be distorted as a result of inefficient information transfer. One reason for this distortion may be too many levels of management, resulting In reduced ability to make changes, to solve problems independently, to find other ways.
6. Based on the experiences of developers, the study on this method usually takes 14-18 weeks and is applicable to any organization — you need only funds and professionals. The study usually involves 3-4 people. It includes six
I stages: 1 — preparation, 2 — collect data 3 — processing data 4 — analysis 5 — prepare report. 6 — follow-up G control. The result of the 5th stage are written recommendations for the improvement of the organizational structure, which shall be submitted to the head of the enterprise (organization), on whose initiative the study was conducted.
It should be borne in mind that even in those rare cases, when the organizational structure is built successfully, i.e. has a high practicability, it can not stay a long time unchanged. The changing conditions of activity of the enterprise require the continued development of its organizational structure. Therefore, all businesses should periodically review organizational structure and modify it in such a way as to increase its usefulness.
Method of analysis the bottom-up (utsp) is in the opposite direction, i.e., from the individual worker and the formulation of its goals and objectives. It allows to link the work of each employee with the goals of the enterprise, its strategy and the main task. This approach has found wide application (1945) and almost always gives good results in its development. The causes of failures lie not in its principles, and how it is implemented in practice.
Setting personal goals and objectives establishes the important thing, what is the contribution of every employee in the realization of organizational tasks, namely:
- creates the necessary conditions for the integration of each with the objectives, strategies and objectives, ensuring the adequacy of the functional organization;
- creates conditions for the personal interest of employees in the success of the business;
- provides the basis for evaluating individual performance.
The correctness of setting personal goals and objectives requires
preliminary study the main objectives of the enterprise, its strategy and objectives.
The UOC is not only an approach to the analysis, but the method of constant the work done by managers. UOC allows us to solve several key problems associated with the management of the enterprise (organization):
- focuses employees on the expectations that are generated as purpose of the activity;
- sets the performance of the work by determining the timing of particular tasks;
- defines the process of achieving goals through dialogue about setting goals and achieving them;
- facilitates the control of the wage system, providing a reasonable basis to reward good performance and achievements;
- helps to evaluate grounds for promotion, allowing you to identify opportunities for the employee.
Can be considered that the UOC is a method of management whereby managers at different levels define the main areas of their responsibility where they have to work with.
The next structural element of organizations is the structure of job functions, including: function, sub-function, activities, positions, tasks, operations, actions. Their analysis is carried out in three ways: "bottom-up", "intermediate" and "top-down".
Analysis of job functions necessary to start top-down with analysis of functional organization, measurement of functional activities and ending with the rationing of work. That is, under this approach are analyzed: the distribution of work among staff; distribution of work functions; summary of costs (for each function are specified labour costs and costs); the distribution of work between departments, etc.
The top-down approach is used in practice very successfully. It allows you to get amazing results, when it is possible to determine the list of necessary functions, to identify principal activities associated with these functions to find direct or indirect gauges of the reasons for these activities.
Intermediate approach based on the use of regression models, using past experience. It allows to predict the demand for labour provided that the level of performance and productivity in the future is maintained at the same level as in the period, which include the original data. In the transition to a market economy and its formation is no similar past experience. This significantly limits the application of this method at this stage.
The bottom-up approach is based on the regulation of labor. It involves the measurement of work and sets the goal of developing cost-effective techniques, which are used as standard, and the measurement time required to perform standard conditions or operations compared to the norm. You can also use the integrated standards of the time, taking into account significant differences of employees management staff from the workers. Such significant differences, at least three. First, it is not so monotonous; second, in any situation, a valid many different and alternative actions that contribute to the implementation of the tasks; thirdly, between action and its result, which facilitates the implementation of the main tasks of the enterprise, it may take considerable time.
Using labor regulation, we should not forget about the other recommendations aimed at the development of personal motivation by providing artists greater freedom in choosing their actions and, of course, responsibility. This gives the employee a sense of ownership and fosters personal involvement and interest.
Labor regulation as a major instrument of economic management method is required when signing for a fixed term personal contract with the Executive Director. Contracts have to work the whole managerial personnel of the company. The contract, first of all, should define the scope of work and responsibilities of the expert; the conditions of remuneration; conditions of work; working hours, holidays; conditions under which a worker can be dismissed; other conditions associated with the specificity of work of the enterprise and specialists. The volume of work is determined on the basis of labour standards or expert evaluations (in all cases it needs to be coordinated with hired worker). Appropriate to the contract attached personal job description and a list of works to be performed for heads of departments — Department regulations or service. You need the contract to specify criteria (indicators) and methods for evaluating the activity of specialists, the possible timing of such assessments, their periodicity.
Used in foreign practice methods of analysis of the organizational structure and job functions focused in the end on search of reserves of increase of efficiency of work of employees and achieve the main objectives — generate sufficient profits and to avoid bankruptcy in the face of competition. Undoubtedly, these methods need to be mastered by entrepreneurs and experts of management personnel of all enterprises and used in their work.