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Chapter 09 - Organizing and Delegating
9-1
CHAPTER 9
Organizing and Delegating
LEARNING OBJECTIVES
1. Define departmentalization and describe several ways it is implemented in organizations.
2. Understand the difference between authority and responsibility and between line and staff
personnel.
3. Describe a virtual organization.
4. Explain the concept of centralized versus decentralized authority.
5. Define empowerment and explain what elements are necessary for it to thrive.
6. Identify and describe several principles of supervision based on authority.
7. Recount the basic steps in the delegation process.
8. Discuss why supervisors are often reluctant to delegate authority.
9. Describe some supervisory tasks that can’t be delegated.
10. Describe several tips for making delegation more effective.
SUGGESTIONS FOR PRESENTATION
Problems Caused by Violating Principles of Supervision
Nearly every organizational problem, apart from the ones caused solely by personalities of the
incumbents, can be traced to a violation of one or more of the principles of supervision.
Have the students share, in class or in a small group, a brief summary of a problem they’ve
observed in an organization to which they belong: their job, fraternity or sorority, baseball team,
church, school club, etc. Discuss which of the five principles were violated to cause the problem.
LECTURE OUTLINE
Supervision Dilemma
John asked one of his employees to get an order out to a preferred customer. Three days later, he
found that nothing had been done.
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I. The Organization Structure
• The organization structure results from the grouping of work activities and the
assignment of each grouping to a manager.
o Generally, this structure is developed by upper levels of management. However, it is
important that the supervisor know and understand the makeup of the total
organization.
A. Organization Charts
• An organization chart uses a series of boxes connected with one or more lines to
graphically represent an organization’s structure.
o It provides an overall picture of how an entire organization fits together.
B. Departmentalization
• Departments can be formed on the basis of work function, product or service,
geographic area, customer, or time.
o Functional departmentalization occurs when organization units are defined
by the nature or function of the work. Refer to Figure 9.2
o Departmentalization by product or service occurs when all the activities
necessary to produce and market a product or service are under a single
manager. Refer to Figure 9.3
o Geographic departmentalization occurs in organizations with operations or
offices that are physically separated from each other. A company with regional
offices uses geographic departmentalization. Refer to Figure 9.4
o Departmentalization by customer is based on division by customers served.
Refer to Figure 9.5
o Departmentalization by process or equipment occurs when organizational
units are defined by the specific process of types of equipment being used.
o Departmentalization by time or shift may be used by organizations that work
more than one shift.
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C. Authority and the Supervisor
• Authority of supervisors is determined by upper level management and implemented
through the organization structure.
D. Line versus Staff Authority
• Line authority is based on supervisor-subordinate relationship, creating a direct line
of authority from the top to the bottom of the organization structure.
• Staff authority is used to support, advise, and help line personnel.
o Staff employees are specialists in a particular field used to support and advise
line personnel.
• Some staff specialists resent that they are only advisers to line personnel, whereas
line managers feel that staff managers are interfering in their department.
• The matrix (sometimes called project) form of organization is a way of forming
project teams within the traditional line-staff organization.
o A project is a combination of human and nonhuman resources pulled together
in a temporary setup to achieve a specific goal.
o Under the matrix structure, those working on a project are officially assigned
to the project and to their original or base departments.
▪ A manager is given the authority and responsibility to meet the project
objectives in terms of cost, quality, quantity, and time of completion.
▪ The project manager is assigned the necessary personnel from the
functional departments of the parent organization.
• A virtual Organization is one in which people work together across geographical or
organizational boundaries by means of information technology. In a virtual
organization, coworkers often do not see each other on a regular basis.
o There are three common types of virtual organizations.2
▪ A group of skilled individuals form an organization by communicating
via computer, phone, fax, and videoconference.
▪ A group of organizations that specialize in specific functions, such as
manufacturing or marketing, partner together.
▪ A large organization outsources many of its operations by using modern
technology to transmit information to its partner organizations.
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E. Centralized versus Decentralized Authority
o The more freedom the supervisor has to make decisions, the more
decentralized the organization.
• Empowerment is a form of decentralization that gives subordinates substantial
authority to make decisions. The four essential elements of empowerment are:
o Participation
o Innovation
o Access to information
o Accountability
F. Responsibility and the Supervisor
• Responsibility is accountability for reaching objectives, using resources properly,
and adhering to organizational policy.
• The term responsibilities refers to job duties, or the things that make up a
supervisor’s job. Figure 9.8 lists some typical supervisory responsibilities.
G. Power and the Supervisor
• Power is the ability to get others to respond favorably to instructions and orders.
o It is personal in that it is a function of a person’s ability to get others to act.
• Authority and power usually accompany each other. Thus, a supervisor who has a
certain degree of authority usually has certain powers that go along with the
authority.
II. Principles of Supervision Based on Authority
• The following are guides to assist the supervisor in the proper use of authority.
A. Parity Principle
• The parity principle states that authority and responsibility must coincide.
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B. Exception Principle
• The exception principle (also known as management by exception and closely
related to the parity principle) states that supervisors should concentrate their efforts
on matters that deviate from the norm and let their employees handle routine matters.
C. Unity of Command Principle
D. Scalar Principle
E. Span of Control Principle
III. Delegating Authority and Responsibility
• In its most common use, delegation refers to the delegation of authority. To delegate
authority means to grant or confer authority from one person to another.
A. How to Delegate
• Successful delegation involves three basic steps:
o Assigning work to the different employees in the work group
o Creating an obligation (responsibility and accountability) on the part of each
employee to perform the duties satisfactorily
o Granting permission (authority) to take the actions necessary to perform the
duties
• Successful delegation includes the delegation of both authority and responsibility.
o Assigning work
▪ Identify what work should be delegated.
▪ Decide which subordinates should handle each task by matching
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employee skills with task requirements.
▪ Communicate what needs to be done, not how.
o Creating an obligation (responsibility and accountability)
▪ Tell the employee what is expected.
▪ Feelings of responsibility must come from within the individual.
o Granting permission (authority)
▪ Empowerment involves giving employees substantial authority to make
B. Why People Are Reluctant to Delegate
• Most supervisors are promoted from the ranks of operative employees, where
performance is an individual function.
o A supervisor’s performance is almost totally dependent on the performance of
others. Problems occur when the new supervisor does not fully realize this
difference.
• If you want anything done right, do it yourself.
o The supervisor may be doing a poor job in selecting and training employees. If
an employee can do the job in an acceptable manner, he or she should be left
alone to do it.
o Discouraged supervisors often attempt to immerse themselves in their old
duties.
• Preconceived ideas about employees.
o Don’t jump to conclusions about an employee based on one incident or second-
hand information.
• Desire to set the right example.
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o Some supervisors hoard work to look busy or to be martyrs.
C. Why Employees Don’t Want to Accept Delegation
• It’ is easier to ask the supervisor than to make a decision
• Fear of criticism
D. Tasks That Can’t Be Delegated
• The following things normally should not be delegated.
o Planning activities
o Assigning work
E. Practical Tips for Effective Delegation
• Know your employees’ abilities.
• Don’t be afraid of over delegating.
• Practice good communication skills when delegating.
• Don’t expect perfection the first time.
Solution to the Supervision Dilemma
Though John has delegated work to a subordinate, the delegation has not been successful.
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Supervision Illustrations
9–1: Tampa Police Decentralize
9–2: A History of Empowerment at HY-VEE
9–3: Delegating Saves County Money
9–4: Raiders’ New Coach is a Delegator
REVIEW QUESTIONS
1. What is departmentalization? What are the different types of departmentalization?
2. Define authority. What is the difference between line authority and staff authority?
3. What is a matrix structure?
4. What is a virtual organization?
5. What is meant by centralized versus decentralized authority?
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6. Define empowerment. What are some things a supervisor can do to foster an environment
that encourages empowerment?
7. Define responsibility. Can authority and responsibility be delegated?
8. Define power. What is the difference between power and authority?
9. What is the parity principle?
10. What is the exception principle?
11. What is the unity of command principle?
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12. What is the scalar principle?
13. What is the span of control principle?
14. What are three basic steps involved in delegation? Briefly discuss each.
183-185]
15. State seven reasons why supervisors are reluctant to delegate authority.
Seven reasons why supervisors are reluctant to delegate authority are:
• It is easier to do it myself
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16. List five reasons why employees are sometimes reluctant to accept delegation.
Five reasons why employees are sometimes reluctant to accept delegation are:
17. Name six general categories of things that should usually not be delegated.
18. Discuss several tips that can help a supervisor delegate.
Practical tips for effective delegation are:
• Know your employees’ abilities. Become familiar with their major strengths and
weaknesses by observing their work, discussing problems when they arise, and
reviewing past performance appraisals.
• Don’t be afraid of overdelegating. Many supervisors don’t delegate enough for fear
of delegating too much.
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SKILL-BUILDING QUESTIONS
1. If you were planning to give a 10-minute talk to your employees on the topic of delegation,
what would you say? Give your answer in outline form.
Students’ response may vary.
II. Why Delegation Is Difficult
IV. Things That Can’t Be Delegated By a Supervisor
2. Some supervisors contend that the art of delegation either comes naturally or it never
comes. Do you agree with this contention? Why or why not?
Chapter 09 - Organizing and Delegating
3. How does the concept of empowerment relate to delegation? Do you think that successful
delegation depends on subordinates being empowered?
4. “The scalar principle creates so much red tape and slows down activity to such an extent
that it creates more problems than it solves.” Do you agree or disagree with this statement?
Support your answer.
REFERENCES
ADDITIONAL READINGS
SKILL-BUILDING APPLICATIONS
Incident 9–1: Where Do You Start?
This case describes how a supervisor may not be able to function efficiently due to lack of proper
organization and delegation.
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1. Do you think Carl is highly motivated? Is he a good supervisor?
2. What do you think are Carl’s major problems?
3. What suggestions would you make to Carl?
Incident 9–2: Promotion Possible
This case describes how subordinates will not be able to function effectively if delegation and
responsibility do not match the authority to complete a task.
1. Do you think Chang should accept the job? Why or why not?
2. What organization principle has been violated?
3. If you were Chang, what would you tell the president of ABC?
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Exercise 9-1: Minor Errors
The purpose of this exercise is to illustrate the problems that may result from a violation of the
principle of unity of command and to show different ways in which a conflict can be handled.
Comments to the class and score for each alternative:
1. This is the direct approach, but it violates the chain of command and may create a larger
3. This is the best approach. You’re following the chain of command and getting a second
4. This is a good approach, and it could work—if, in fact, the real reason for the criticism is
willingness to dig in and improve.
Exercise 9-2: “In-Basket”
Ineffective delegation skills may be the most serious problem faced by supervisors. If they can’t
do this, they’ll frustrate both themselves and their subordinates.
Suggested responses:
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1. Which tasks are supervisory in nature and which are operational in nature?
2. How does each task compare to the list of tasks that can’t be delegated on pages 187–188?
The list of “Tasks That Can’t Be Delegated” and the corresponding item numbers in
parentheses are:
3. For those tasks that you chose not to delegate, were you influenced by any reasons listed in
Figure 9.8?
Exercise 9–3: Delegation Quiz I
Exercise 9–4: Delegation Quiz II
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Exercise 9–5: Hank Attempts to Delegate
SUPERVISORY ANECDOTES
Employee empowerment involves the delegation of decision making to employees, while
holding them accountable for outcomes. Results of a survey of state agencies show that while
Employee complaints about lack of feedback or lack of authority suggest that the process of
delegation is not being fully practiced by their superiors. Delegation involves three distinct but
highly interrelated activities: 1. assigning responsibilities, 2. granting authority, and 3. providing
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RELATED VIDEOS:
1. Empowering Others and Empowering Yourself, American Management Associations, 28
and 26 mins. These videos discuss getting people to work together and take on
responsibility.
6. Empowerment, Crisp Publications, 19 mins. This video helps understand the importance of
empowerment and assesses an organization’s level of empowerment.
