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Good Morning
Morning to
to all
all
Presentation Topic is “Organisational Structural
Implementation” by
Anoop Sharma
Roll no. MBA0710
MBA-3rd Semester
Organisational Systems

• The Organisational Structure provides the mechanism


for the distribution of authority & responsibility within
the Organisation .It is also related with subdividing the
total authority & responsibility among different
organisational units & positions .
There are six organisational
systems which are as below:-

• 1. Information System.
• 2. Control System.
• 3. Appraisal System.
• 4. Motivation System.
• 5. Development System &
• 6. Planning System.
1. Information System.
• A structure subdivides the total responsibility while the information
system serves to coordinate the divided responsibility. If a strategy is to
be effectively implemented, Organisational arrangements that provide the
information to managers to perform their task & relate their work to
others are necessary. The information system, therefore, serves two
important purposes: it enables the managers to know what they need to
grasp in order to perform their tasks & also to coordinate their activities
with others.
• A broader term “management information system” (MIS) is used to
denote the organisational arrangements designed to aid managers in
performing their activities.
2. Control System.
• Control has traditionally been considered as a major
management function. While controlling, the manager
essentially deals with “the measurement & correction of
the performance of activities of subordinates in order to
make sure that enterprise objective & plan devised to
attain them are being accomplished”. In other words,
control ensures that the implementation of strategy takes
place according to predetermined plans.
The control cycle.
• 1. Establish standards.
• 2. Measure performance.
• 3. Evaluate performance
against standards.
• 4. Determine corrective
performance.
3. Appraisal system.
• The achievement of organisational objectives has to be monitored
if the implementation of strategy is to take place. The appraisal
system performs this critical role of evaluating managerial
performance in the light of organisational objectives. Managerial
appraisal is an important element in the total control system.
• The use of the results of appraisal have to be guided by the true
function of measurement which is “to increase the perceptions of
the problems limiting achievement”. Only a system of appraisal
that provides the strategists with an understanding of the problems
before the managers who are responsible for implementation, is an
effective system. In this context management by objectives (MBO)
provides participatory method of performance & objective setting,
where managers can be involved in appraisal so that they
themselves & their superiors know what has prevented them from
achieving the desired objectives.
4. Motivation System.
• The motivation system plays a positive role in inducing
strategically desired behaviour so that managers are
encouraged to work towards the achievement of organisational
objectives. But, as yet, there is no complete understanding of
how motivation works. However, it is known that incentives
play an important role in motivation. Incentives are the means
by which individuals can be encouraged to perform better.
Generally, the incentives are divided into two groups : the
monetary & the non monetary incentives. Monetary incentives
are provided in the form of money. Salary, bonus, profit
sharing plan, & so on, are common monetary incentives. Non-
monetary incentives are in the form of rewards, recognition,
designation, perquisites, & so on.
5. Development System.
• Management development is considered to be a
“process of gradual, systematic improvement in the
knowledge, skills, attitudes, & performance of those
individuals in an organisation who carry
management responsibilities”. The strategic aim of a
development system is to see that the new experience
is provided in the light of strategic tasks required for
the implementation of strategy. The development
system has to be activated in such a manner that it
prepares the managers to perform a vital function in
strategy implementation.
6. Planning System.
• In an organisation, the function of formulation of strategy is a staff
function while the implementation of strategy is a line function. Both
these views prevails & affects organisational policies related to the role of
the planning system.
• Strategists are concerned with the mechanism of the planning system &
the way it should be changed to suit the requirements of a new or
modified strategy. It would be natural to expect that the planning system
would work better in a centralised manner in entrepreneurial & functional
structured organisations. In divisional organisation, the planning system
could be a decentralised one with the active involvement of SBU-level
managers in the formulation as well as implementation of strategy. Thus,
it is important to adapt the planning system to the requirements of the
strategy that is to be implemented.
Conclusion.
• In this way, we can say that, Organisational system like
information, control, appraisal, motivation, development,
& planning form the core of any structure. Each of these
systems plays a significant role in strategy
implementation. There design has to come from a
consideration of the requirement of the strategy being
implemented. In implementation, these systems have to be
changed to suit the requirements of a new or modified
strategy.
THANKS TO
ALL

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