Introduction to US Health CareIntroduction to US Health Care

Chapter 14Chapter 14

Public Health Public Health

PolicyPolicy

14-1

Public Health ServicesPublic Health Services

Protection of the nation’s public health is Protection of the nation’s public health is a government responsibility.a government responsibility.

Public Health Agencies Three core

functions are

Assessment

Policy Developm

ent

Assurance

14-2

The Department of Health The Department of Health

& Human Services (DHHS)& Human Services (DHHS)

The DHHS and various federal agencies perform The DHHS and various federal agencies perform several public health functions.several public health functions.

•Data gathering and analysis, and surveillance and control: The CDC

•Conducting and sponsoring research: The NIH

•Providing programmatic assistance to state and local governments

14-3

The Department of Health The Department of Health

& Human Services (DHHS)& Human Services (DHHS)

The DHHS and various federal agencies perform The DHHS and various federal agencies perform several public health functions.several public health functions.

•Ensuring the safety of food and drugs: The FDA

•Ensuring access to health services by aged and poor

people: The CMS

•Providing direct services to special populations14-4

State Health AgenciesState Health Agencies

The state’s role in public health: The state’s role in public health:

Licensing health Licensing health care professionalscare professionals

Inspecting and Inspecting and licensing health licensing health care facilitiescare facilities

Collecting vital Collecting vital statisticsstatistics

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The state’s role in public health (The state’s role in public health (contd.) contd.)

Investigating and analyzing the epidemiology of disease

Epidemiology study includes three factors:

1.Incidence

2.Distribution

3.Control14-6

The state’s role in public health (contd.)The state’s role in public health (contd.)

• Observing and managing communicable diseases in the

community

• Registering diseases and tumor information

• Providing laboratory services

• Formulating health policy and legislation

• Analyzing health policy and legislation’s impact

• Providing community health education

14-7

Food safety inspectionFood safety inspection Sanitation servicesSanitation services Investigation and control of Investigation and control of

STDsSTDs Drinking water purificationDrinking water purification

Local Health AgenciesLocal Health Agencies

Most front-line public health services are provided locally.

14-8

Private Health Care ProvidersPrivate Health Care Providers

Private health care providers contribute to the Private health care providers contribute to the public health by:public health by:

Engaging in surveillance and monitoring of Engaging in surveillance and monitoring of diseasesdiseases

Administering immunizationsAdministering immunizations Screening for communicable diseasesScreening for communicable diseases Offering patient educationOffering patient education Coordinating the provision of private and Coordinating the provision of private and

public health servicespublic health services14-9

Federal & State Statues and RegulationsFederal & State Statues and Regulations

• Title 21, Federal Food, Drug, and Cosmetic Act

•OSHA Laws•The Hazard Communication Standard•The Medical Waste Tracking Act•The Occupational Exposure to Bloodborne Pathogen Standard

•The Health Insurance Portability and Accountability Act

State laws differ from state to state, i.e. abortion laws

14-10

Researchers conduct surveys comparing the U.S. population to populations in Researchers conduct surveys comparing the U.S. population to populations in other developed countries. Key indicators are:other developed countries. Key indicators are:

CostCost AccessAccess ResponsivenessResponsiveness Infant mortalityInfant mortality Fairness of financing Fairness of financing

Health IndicatorsHealth Indicators

14-11

To classify health systems researchers look at a number of factors.To classify health systems researchers look at a number of factors.

Degree of primary care regulationDegree of primary care regulation Type of financial access to health careType of financial access to health care Whether the health system relies on generalists or specialists to Whether the health system relies on generalists or specialists to

provide primary careprovide primary care

Characteristics of the Health SystemCharacteristics of the Health System

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To determine if a the foundation of a country’s health system is primary To determine if a the foundation of a country’s health system is primary or specialty care researchers look at the following factors:or specialty care researchers look at the following factors:

Extent to which the PCP acts as the point of entry into the systemExtent to which the PCP acts as the point of entry into the system Extent to which the physician provides continuous care over timeExtent to which the physician provides continuous care over time Comprehensiveness of the care providedComprehensiveness of the care provided Extent of coordination of services by the PCPExtent of coordination of services by the PCP

Primary Care or Specialty CarePrimary Care or Specialty Care

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OrganizingOrganizing

Closely related to planningClosely related to planning Defines and arranges the activities needed to Defines and arranges the activities needed to

accomplish objectivesaccomplish objectives Establishes relationships among various Establishes relationships among various

functionsfunctions Is the process of deciding how to best group Is the process of deciding how to best group

and relate organizational activities and and relate organizational activities and resourcesresources

StructureStructure

Each organization has an organizational structure. By action Each organization has an organizational structure. By action and/or inaction, managers structure businesses. Ideally, in and/or inaction, managers structure businesses. Ideally, in developing an organizational structure and distributing developing an organizational structure and distributing authority, managers' decisions reflect the mission, objectives, authority, managers' decisions reflect the mission, objectives, goals and tactics that grew out of the planning function. goals and tactics that grew out of the planning function. Specifically, they decide: Specifically, they decide:

1. Division of labor 1. Division of labor 2. Delegation of authority 2. Delegation of authority 3. Departmentation 3. Departmentation 4. Span of control 4. Span of control 5. Coordination 5. Coordination

Delegation of AuthorityDelegation of Authority

Authority is legitimized power. Power is the ability to Authority is legitimized power. Power is the ability to influence others. Delegation is distribution of influence others. Delegation is distribution of authority. Delegation frees the manager from the authority. Delegation frees the manager from the tyranny of urgency. Delegation frees the manager to tyranny of urgency. Delegation frees the manager to use his or her time on high priority activities. Note use his or her time on high priority activities. Note that delegation of authority does not free the manager that delegation of authority does not free the manager from accountability for the actions and decisions of from accountability for the actions and decisions of subordinates. subordinates.

Principles and ConceptsPrinciples and Concepts

Delegation of authority is guided by several key Delegation of authority is guided by several key principles and concepts:principles and concepts:

Exception principleException principle - Someone must be in charge. A - Someone must be in charge. A person higher in the organization handles exceptions person higher in the organization handles exceptions to the usual. The most exceptional, rare, or unusual to the usual. The most exceptional, rare, or unusual decisions end up at the top management level because decisions end up at the top management level because no one lower in the organization has the authority to no one lower in the organization has the authority to handle them. handle them.

DecentralizationDecentralization

Decisions are to be pushed down to the lowest Decisions are to be pushed down to the lowest feasible level in the organization. The feasible level in the organization. The organizational structure goal is to have organizational structure goal is to have working managers rather than managed working managers rather than managed workers. workers.

Parity principleParity principle

Delegated authority must equal responsibility. Delegated authority must equal responsibility. With responsibility for a job must go the With responsibility for a job must go the authority to accomplish the job. authority to accomplish the job.

Span of controlSpan of control

The span of control is the number of people a The span of control is the number of people a manager supervises. The organizational structure manager supervises. The organizational structure decision to be made is the number of subordinates a decision to be made is the number of subordinates a manager can effectively lead. The typical guideline is manager can effectively lead. The typical guideline is a span of control of no more than 5-6 people. a span of control of no more than 5-6 people. However, a larger span of control is possible However, a larger span of control is possible depending on the complexity, variety and proximity depending on the complexity, variety and proximity of jobs. of jobs.

Unity principleUnity principle

Ideally, no one in an organization reports to Ideally, no one in an organization reports to more than one supervisor. Employees should more than one supervisor. Employees should not have to decide which of their supervisors not have to decide which of their supervisors to make unhappy because of the impossibility to make unhappy because of the impossibility of following all the instructions given them. of following all the instructions given them.

Line and staff authorityLine and staff authority

Line authority is authority within an organization's or unit's Line authority is authority within an organization's or unit's chain of command. Staff authority is advisory to line authority. chain of command. Staff authority is advisory to line authority. Assume a crew leader reports to the garden store manager who Assume a crew leader reports to the garden store manager who in turn reports to the president. Further assume that the crew in turn reports to the president. Further assume that the crew leader and store manager can hire and fire, and give raises to leader and store manager can hire and fire, and give raises to the people they supervise. Both the crew leader and store the people they supervise. Both the crew leader and store manager have line authority. To contrast, assume that the manager have line authority. To contrast, assume that the president has an accountant who prepares monthly financial president has an accountant who prepares monthly financial summaries with recommendations for corrective action. The summaries with recommendations for corrective action. The accountant has staff authority but not line authority. accountant has staff authority but not line authority.

Story Time-ChallengesStory Time-Challenges

What are some of the new challenges What are some of the new challenges confronting managers in today's business confronting managers in today's business environment? environment?

Frederick Taylor (1917)Frederick Taylor (1917)

Developed scientific management theory (often Developed scientific management theory (often called "Taylorism") at the beginning of this century. called "Taylorism") at the beginning of this century. His theory had four basic principles: 1) find the one His theory had four basic principles: 1) find the one "best way" to perform each task, 2) carefully match "best way" to perform each task, 2) carefully match each worker to each task, 3) closely supervise each worker to each task, 3) closely supervise workers, and use reward and punishment as workers, and use reward and punishment as motivators, and 4) the task of management is motivators, and 4) the task of management is planning and control.planning and control.

Max Weber (1947)Max Weber (1947)

Expanded on Taylor's theories, and stressed the need to reduce Expanded on Taylor's theories, and stressed the need to reduce diversity and ambiguity in organizations. The focus was on diversity and ambiguity in organizations. The focus was on establishing clear lines of authority and control. Weber's establishing clear lines of authority and control. Weber's bureaucratic theorybureaucratic theory emphasized the need for a hierarchical emphasized the need for a hierarchical structure of power. It recognized the importance of division of structure of power. It recognized the importance of division of labor and specialization. A formal set of rules was bound into labor and specialization. A formal set of rules was bound into the hierarchy structure to insure stability and uniformity. the hierarchy structure to insure stability and uniformity. Weber also put forth the notion that organizational behavior is Weber also put forth the notion that organizational behavior is a network of human interactions, where all behavior could be a network of human interactions, where all behavior could be understood by looking at cause and effect. understood by looking at cause and effect.

Hawthorne Hawthorne ExperimentExperiment

One of the first experiments that challenged One of the first experiments that challenged the classical view was conducted by Mayo and the classical view was conducted by Mayo and Roethlisberger in the late 1920's at the Roethlisberger in the late 1920's at the Western Electric plant in Hawthorne, Illinois Western Electric plant in Hawthorne, Illinois (Mayo, 1933). While manipulating conditions (Mayo, 1933). While manipulating conditions in the work environment (e.g., intensity of in the work environment (e.g., intensity of lighting), they found that any change had a lighting), they found that any change had a positive impact on productivity. positive impact on productivity.

Chester BarnardChester Barnard

Writing in 1939, Barnard proposed one of the first Writing in 1939, Barnard proposed one of the first modern theories of organization by defining modern theories of organization by defining organization as a system of consciously coordinated organization as a system of consciously coordinated activities. He stressed in role of the executive in activities. He stressed in role of the executive in creating an atmosphere where there is coherence of creating an atmosphere where there is coherence of values and purpose. Organizational success was values and purpose. Organizational success was linked to the ability of a leader to create a cohesive linked to the ability of a leader to create a cohesive environment. He proposed that a manager's authority environment. He proposed that a manager's authority is derived from subordinates' acceptance, instead of is derived from subordinates' acceptance, instead of the hierarchical power structure of the organization. the hierarchical power structure of the organization.

Story Time-HawthorneStory Time-Hawthorne

What was the Hawthorne study and why was it What was the Hawthorne study and why was it important? important?

Formal OrganizationFormal Organization

Organized activities creating subsystems that Organized activities creating subsystems that are synchronized to deliver a product or are synchronized to deliver a product or service.service.

Structure may be dependent upon its Structure may be dependent upon its objectives, size, geographic coverage, space, objectives, size, geographic coverage, space, technology, culture, etc.technology, culture, etc.

Structure will coincide with strategy and Structure will coincide with strategy and function.function.

ImpersonalImpersonal

Organization occurs around activities to be Organization occurs around activities to be performed to create the product or service, not performed to create the product or service, not around the individuals or personalities in place around the individuals or personalities in place to perform themto perform them

Must be structured to accommodate the Must be structured to accommodate the individuals working withinindividuals working within

Theories of OrganizationTheories of Organization

Authority: right to take actionAuthority: right to take action Span of management: number of individuals Span of management: number of individuals

and/or functions supervisedand/or functions supervised Division of work: assigning work duties to Division of work: assigning work duties to

individuals and designing jobsindividuals and designing jobs Departmentalization: grouping like jobs Departmentalization: grouping like jobs

together (subsystems)together (subsystems)

Theories of OrganizationTheories of Organization

Unity of command: one bossUnity of command: one boss Coordination: balancing the use of resources Coordination: balancing the use of resources

to perform activities to achieve the goals of the to perform activities to achieve the goals of the organizationorganization

Elton MayoElton Mayo

Human Relations Theory-Higher productivity Human Relations Theory-Higher productivity can be achieved be meeting the needs of the can be achieved be meeting the needs of the workers. Work satisfaction was based on work workers. Work satisfaction was based on work relations and morale and feeling as though the relations and morale and feeling as though the individual is part of a team, over and above individual is part of a team, over and above monetary rewards monetary rewards

Two Factor TheoryTwo Factor Theory

Frederick Herzberg split the categories into either Frederick Herzberg split the categories into either hygiene factors or motivators. The presence of the hygiene factors or motivators. The presence of the hygiene factors, such as working conditions salary hygiene factors, such as working conditions salary and job security, does not motivate but the absence of and job security, does not motivate but the absence of the conditions will lead to dissatisfaction. To the conditions will lead to dissatisfaction. To motivate the employer should seek what motivates motivate the employer should seek what motivates each employee.each employee.

Theory X and Theory Y TheoryTheory X and Theory Y Theory

Douglas MacGregor-Theory x managers Douglas MacGregor-Theory x managers believe that people are lazy and do not want to believe that people are lazy and do not want to work. Theory y managers think people do work. Theory y managers think people do want to work. The best path is through theory want to work. The best path is through theory y. This path of developing people’s abilities y. This path of developing people’s abilities and giving them more responsibilities will lead and giving them more responsibilities will lead to improved performance and productivity. to improved performance and productivity.

Team Role TheoryTeam Role Theory

Meredith Belbin-There are 9 team role types. Each Meredith Belbin-There are 9 team role types. Each type has a behavioral strength and a characteristic type has a behavioral strength and a characteristic weakness. Allowable weaknesses are the negative weakness. Allowable weaknesses are the negative side of the positive strength. Belbin’s theory states side of the positive strength. Belbin’s theory states that teams in which a wide range of team-roles are that teams in which a wide range of team-roles are represented perform better than those where there is represented perform better than those where there is an imbalance of roles because certain roles are over-an imbalance of roles because certain roles are over-represented. The fulfillment of these team roles are represented. The fulfillment of these team roles are vital to performance vital to performance

Theory of Profound KnowledgeTheory of Profound Knowledge

Edward Deming stated in his book “The New Edward Deming stated in his book “The New Economics for Industry, Government and Education” Economics for Industry, Government and Education” that the prevailing style of management must undergo that the prevailing style of management must undergo transformation and this requires a new map of theory transformation and this requires a new map of theory he refers to as profound knowledge. The first step, he refers to as profound knowledge. The first step, according to Deming, is the transformation of the according to Deming, is the transformation of the individual. The system of profound knowledge individual. The system of profound knowledge includes four components. Appreciation for a system, includes four components. Appreciation for a system, knowledge of variation, the theory of knowledge, and knowledge of variation, the theory of knowledge, and knowledge of psychology knowledge of psychology

Fred LuthansFred Luthans

Reinforcement theory introduces the idea Reinforcement theory introduces the idea that consequences influence behavior. People that consequences influence behavior. People are moved to action because they think that are moved to action because they think that positive results will occur from the action. positive results will occur from the action. Depending upon the type of consequence that Depending upon the type of consequence that follows, people will produce some behaviors follows, people will produce some behaviors and avoid others and avoid others

Albert BanduraAlbert Bandura

Social Cognitive Theory-General self-efficacy, Social Cognitive Theory-General self-efficacy, believing that one is capable of finding the answer or believing that one is capable of finding the answer or being able to accomplish almost any task presented, being able to accomplish almost any task presented, is related to satisfying social relations. The higher is related to satisfying social relations. The higher one’s general self-efficacy the more satisfaction in one’s general self-efficacy the more satisfaction in life one is likely to achieve. Satisfaction with one's life one is likely to achieve. Satisfaction with one's accomplishments should be high in people with a accomplishments should be high in people with a high level of general self-efficacy. high level of general self-efficacy.

Victor VroomVictor Vroom

Expectancy Theory-Assumes that humans are actively gauging Expectancy Theory-Assumes that humans are actively gauging their environment. They try to think out the consequences of their environment. They try to think out the consequences of their actions. Humans have a cause and effect way of thinking their actions. Humans have a cause and effect way of thinking that casts outcomes success based on their behavior to achieve that casts outcomes success based on their behavior to achieve the outcomes. They evaluate the outcome of their behavior and the outcomes. They evaluate the outcome of their behavior and the likelihood that each of their possible actions will lead the likelihood that each of their possible actions will lead to the outcome they seek. The amount of effort they exert will to the outcome they seek. The amount of effort they exert will depend on the perceived rewards and the chances of attaining depend on the perceived rewards and the chances of attaining the goalthe goal

James GalbraithJames Galbraith

Contingency Theory-Business strategies are dictated Contingency Theory-Business strategies are dictated by the operating environment. The intensity of the by the operating environment. The intensity of the rivalry is determined by industry concentration and rivalry is determined by industry concentration and entry barriers. For this theory to work effectively entry barriers. For this theory to work effectively within the organization a complete plan of action within the organization a complete plan of action must be adopted for each contingency. This includes must be adopted for each contingency. This includes communicating in the same manner throughout the communicating in the same manner throughout the organization. organization.

Story Time-SatisfactionStory Time-Satisfaction

Discuss the importance of job satisfaction in Discuss the importance of job satisfaction in achieving productivity. achieving productivity.

Discuss the relationship between job Discuss the relationship between job satisfaction and absenteeism. satisfaction and absenteeism.

Organizational StructureOrganizational Structure

Formal arrangement of jobs in the organizationFormal arrangement of jobs in the organization Depicted in charts: Table of organization or Depicted in charts: Table of organization or

organization chartsorganization charts Includes titlesIncludes titles Displays chain of command through use of linesDisplays chain of command through use of lines

Organizational DesignOrganizational Design

Process involving decisions about job Process involving decisions about job specialization, departmentalization, chain of specialization, departmentalization, chain of command, span of control, centralization, or command, span of control, centralization, or decentralizationdecentralization

Can be applied at all managerial and Can be applied at all managerial and supervisory levelssupervisory levels

Authority and Span of ControlAuthority and Span of Control

Authority: Right to direct others, basis Authority: Right to direct others, basis through which the manager gets the job donethrough which the manager gets the job done

Span of control (also known as “span of Span of control (also known as “span of management”): The number of individuals management”): The number of individuals reporting to a given managerreporting to a given manager

AuthorityAuthority

Formal or informalFormal or informal Power to influence decisionsPower to influence decisions Assigned to an individualAssigned to an individual Theorists: Weber and BarnardTheorists: Weber and Barnard

Limitations on AuthorityLimitations on Authority

ExternalExternal MoresMores LegislativeLegislative EthicsEthics

InternalInternal Organization rulesOrganization rules Labor agreementsLabor agreements

Tapering effect: The lower down the administrative Tapering effect: The lower down the administrative ladder, the less authority one has.ladder, the less authority one has.

Types of AuthorityTypes of Authority

Positional: based on position within the Positional: based on position within the organization (impersonal)organization (impersonal)

Functional: based on one’s expertise and Functional: based on one’s expertise and knowledge (personal)knowledge (personal)

Charismatic (also known as “personal”): based Charismatic (also known as “personal”): based on one’s magnetism, characteristics, on one’s magnetism, characteristics, charisma/charm (personal)charisma/charm (personal)

Types of PowerTypes of Power

Coercive power is associated with people who Coercive power is associated with people who are in a position to punish others. People fear are in a position to punish others. People fear the consequences of not doing what has been the consequences of not doing what has been asked of them. asked of them.

Connection PowerConnection Power

Connection power is based upon who you Connection power is based upon who you know.  This person knows, and has the ear of, know.  This person knows, and has the ear of, other powerful people within the organization. other powerful people within the organization.

Expert PowerExpert Power

Expert power comes from a person’s expertise Expert power comes from a person’s expertise (duh!).  This is commonly a person with an (duh!).  This is commonly a person with an acclaimed skill or accomplishment. acclaimed skill or accomplishment.

Informational PowerInformational Power

A person who has access to valuable or A person who has access to valuable or important information possesses informational important information possesses informational power. power.

Story Time-PowerStory Time-Power

What do you think is the best type of power What do you think is the best type of power for a leader to seek?for a leader to seek?

Span of ManagementSpan of ManagementSpan of ControlSpan of Control

Number of individuals that report to a Number of individuals that report to a particular managerparticular manager

Effectiveness of the supervision of the Effectiveness of the supervision of the subordinatessubordinates

Span can be broad or narrow depending on Span can be broad or narrow depending on certain factorscertain factors

Factors Affecting Span of Factors Affecting Span of ManagementManagement

Competence of supervisorCompetence of supervisor Skills of subordinatesSkills of subordinates Proximity of subordinates to supervisorProximity of subordinates to supervisor Extent of non-managerial duties assigned to Extent of non-managerial duties assigned to

supervisorsupervisor Extent of delegationExtent of delegation Standardized processesStandardized processes Complexity of tasks performed by subordinatesComplexity of tasks performed by subordinates Frequency of change in processes and organizationFrequency of change in processes and organization

Tall and Flat OrganizationsTall and Flat Organizations

Tall organizations: Tall organizations: More levels of managementMore levels of management May or may not have fewer subordinates per May or may not have fewer subordinates per

managermanager Involve more channelsInvolve more channels Challenge communicationChallenge communication

Tall and Flat OrganizationsTall and Flat Organizations

Flat organizations:Flat organizations: Fewer levels of managementFewer levels of management Fewer channelsFewer channels May encourage greater delegationMay encourage greater delegation May have increased employee morale and May have increased employee morale and

productivityproductivity Both hindered by too many subordinates—Both hindered by too many subordinates—

spreading the manager thinspreading the manager thin

Legitimate PowerLegitimate Power

Legitimate power comes from the position a Legitimate power comes from the position a person holds.  This is related to a person’s title person holds.  This is related to a person’s title and job responsibilities.  You might also hear and job responsibilities.  You might also hear this referred to as positional power. this referred to as positional power.

Referent PowerReferent Power

People who are well-liked and respected can People who are well-liked and respected can have referent power. have referent power.

Reward PowerReward Power

Reward power is based upon a person’s ability Reward power is based upon a person’s ability to bestow rewards.  Those rewards might come to bestow rewards.  Those rewards might come in the form of job assignments, schedules, pay in the form of job assignments, schedules, pay or benefits. or benefits.

Span of ControlSpan of Control

"There is nothing which rots morale more quickly "There is nothing which rots morale more quickly and more completely than poor communication and and more completely than poor communication and indecisiveness -- the feeling that those in authority do indecisiveness -- the feeling that those in authority do not know their own minds.  And there is no condition not know their own minds.  And there is no condition which more quickly produces a sense of indecision which more quickly produces a sense of indecision among subordinates or more effectively hampers among subordinates or more effectively hampers communication than being responsible to a superior communication than being responsible to a superior who has too wide a span of control.”who has too wide a span of control.”

Story Time-NumbersStory Time-Numbers

Should there be a maximum number of Should there be a maximum number of employees that a manager should have to employees that a manager should have to manage?manage?

How many people do you think should be the How many people do you think should be the maximum number that a manager should maximum number that a manager should manage?manage?

How Many Subordinates?How Many Subordinates?

Studies by Graicunas, Urwick, Davis, and Studies by Graicunas, Urwick, Davis, and HamiltonHamilton

5 to 6 direct reports at the executive level5 to 6 direct reports at the executive level Up to 30 at the manager levelUp to 30 at the manager level

Delegation of Organizational Delegation of Organizational AuthorityAuthority

Seminar 4Seminar 4

ObjectivesObjectives

1.1. Discuss authority and describe the flow of Discuss authority and describe the flow of authority through the organizational authority through the organizational structure.structure.

2.2. Explain how delegating authority is key to Explain how delegating authority is key to creating an organization.creating an organization.

3.3. Define delegation of authority.Define delegation of authority.

ObjectivesObjectives

4.4. Describe the scalar chain and unity of Describe the scalar chain and unity of command.command.

5.5. Distinguish between authority and Distinguish between authority and responsibility.responsibility.

6.6. Describe the spectrum of delegation with Describe the spectrum of delegation with centralization on one end and centralization on one end and decentralization at the other end.decentralization at the other end.

7.7. Identify some barrier to delegation.Identify some barrier to delegation.

Formal OrganizationFormal Organization

Foundation is division of labor and Foundation is division of labor and departmentalizationdepartmentalization

Building blocks include:Building blocks include: DelegationDelegation AuthorityAuthority Chain of commandChain of command

Building BlocksBuilding Blocks

Delegation: conferring or granting authority from superior to Delegation: conferring or granting authority from superior to subordinate to act as a representative of the superior.subordinate to act as a representative of the superior. Chain of command: created from the process of delegation Chain of command: created from the process of delegation

whereby responsibilities are divided among others at whereby responsibilities are divided among others at different levelsdifferent levels

Authority: right to issue directives and to accomplish Authority: right to issue directives and to accomplish managerial functions (planning, organizing, controlling, etc.)managerial functions (planning, organizing, controlling, etc.)

Delegation of AuthorityDelegation of Authority

When delegatingWhen delegating the boss does not surrender all of his/her authoritythe boss does not surrender all of his/her authority the boss retains the overall authority to perform the boss retains the overall authority to perform

those functions for which he/she is responsiblethose functions for which he/she is responsible the boss can revoke or reallocate authority to the boss can revoke or reallocate authority to

subordinatessubordinates

Chain of CommandChain of Command

Also known as the “scalar chain”Also known as the “scalar chain” Is the vertical authority relationship from Is the vertical authority relationship from

superior to subordinatesuperior to subordinate Pictorially displayed by the organization chart Pictorially displayed by the organization chart Based on positional authorityBased on positional authority Based on unity of commandBased on unity of command

Organizational ChartOrganizational Chart

Pictorial display of the organizationPictorial display of the organization Allows individuals to visually identify to whom Allows individuals to visually identify to whom

they report and from where their authority and they report and from where their authority and assignments comeassignments come

Solid lines represent line authoritySolid lines represent line authority Dashed lines represent staff or matrix authorityDashed lines represent staff or matrix authority Demonstrates span of controlDemonstrates span of control

Unity of CommandUnity of Command

Directly tied to delegationDirectly tied to delegation Unity of command states that each subordinate report Unity of command states that each subordinate report

is accountable to only one superioris accountable to only one superior When the unity of command is violated:When the unity of command is violated:

Subordinates can become confused about conflicting Subordinates can become confused about conflicting directivesdirectives

Frustration may be created and morale may be affected Frustration may be created and morale may be affected

Process of DelegationProcess of Delegation

Essential components of the delegating process:Essential components of the delegating process: Assignment of duties and the defining of results Assignment of duties and the defining of results

expected by a manager to the immediate subordinatesexpected by a manager to the immediate subordinates Granting of permission to make decisions, use Granting of permission to make decisions, use

resources, or take actions (granting of authority)resources, or take actions (granting of authority) Creation of an obligation on the part of the subordinate Creation of an obligation on the part of the subordinate

to successfully perform assigned duties (responsibility to successfully perform assigned duties (responsibility and accountability)and accountability)

Delegation by a SupervisorDelegation by a Supervisor

Supervisor must assign tasks and grant Supervisor must assign tasks and grant authority; doing so creates responsibility for authority; doing so creates responsibility for each of the supervisor’s subordinates.each of the supervisor’s subordinates.

Supervisor determines:Supervisor determines: Which tasks are to be done by the supervisorWhich tasks are to be done by the supervisor Which tasks are to be done by the subordinatesWhich tasks are to be done by the subordinates

Which subordinates are to do which tasksWhich subordinates are to do which tasks Relieves the supervisor of some of the Relieves the supervisor of some of the

detail workdetail work

Story Time-DelegationStory Time-Delegation

What process should a manager use to decide What process should a manager use to decide who to delegate authority?who to delegate authority?

How to Assign Duties/TasksHow to Assign Duties/Tasks

Determine which tasks can be done by any Determine which tasks can be done by any subordinatesubordinate

Identify those tasks that require special skills; Identify those tasks that require special skills; assign to the individuals with the required assign to the individuals with the required knowledgeknowledge

Decide which tasks or portions of tasks will be Decide which tasks or portions of tasks will be performed by the supervisorperformed by the supervisor

Assigning DutiesAssigning Duties

Assign by skill, not by personalityAssign by skill, not by personality Be logicalBe logical Be able to explain the assignmentBe able to explain the assignment Distribute assignments fairlyDistribute assignments fairly Avoid assigning to the individual you know Avoid assigning to the individual you know

will get it donewill get it done Need to make sure others are prepared to do the Need to make sure others are prepared to do the

workwork

Barnard’s Acceptance Barnard’s Acceptance Theory Theory

Conditions that must be met for an Conditions that must be met for an individual to accept a directive as being individual to accept a directive as being authoritativeauthoritative Individual must understand the directive.Individual must understand the directive. Individual must believe that what is to be done Individual must believe that what is to be done

is consistent with the organization’s purpose.is consistent with the organization’s purpose. The work must be something in which the The work must be something in which the

person has a personal interest.person has a personal interest. Person must be mentally and physically capable Person must be mentally and physically capable

of doing the work.of doing the work.

How Much Delegation of Authority?How Much Delegation of Authority?

Make consistent with the tasks or duties assignedMake consistent with the tasks or duties assigned State the expected resultsState the expected results Will facilitate groomingWill facilitate grooming

All supervisors should develop someone who can be their “back-All supervisors should develop someone who can be their “back-up”up”

Regardless of the degree of delegation, the supervisor remains Regardless of the degree of delegation, the supervisor remains accountable for the outcomeaccountable for the outcome Anticipate some errors by those to whom you have delegatedAnticipate some errors by those to whom you have delegated

ResponsibilityResponsibility

Delegating authority creates an obligation for the Delegating authority creates an obligation for the subordinate to satisfactorily perform the tasks or subordinate to satisfactorily perform the tasks or duties assignedduties assigned

Acceptance of the obligation creates responsibilityAcceptance of the obligation creates responsibility Authority to perform duties flows from management Authority to perform duties flows from management

to subordinateto subordinate Responsibility to accomplish the duties flows from Responsibility to accomplish the duties flows from

the subordinate to the managerthe subordinate to the manager Authority can be delegated; responsibility cannotAuthority can be delegated; responsibility cannot

Revoking AuthorityRevoking Authority

May occur during a restructuringMay occur during a restructuring May occur because of a change of leadership May occur because of a change of leadership

or subordinatesor subordinates

The Back-UpThe Back-Up

Serves as a reserve person who is ready to Serves as a reserve person who is ready to support the supervisor and serve in the support the supervisor and serve in the supervisor’s absencesupervisor’s absence

The back-up should:The back-up should: know how to do the jobknow how to do the job handle problems that arisehandle problems that arise show good judgmentshow good judgment be interested in further developmentbe interested in further development

The Back-UpThe Back-Up

Developing the back-up includesDeveloping the back-up includes Involving the back-up in the workings of the Involving the back-up in the workings of the

departmentdepartment Involving the back-up in meetingsInvolving the back-up in meetings Allowing the back-up to solve problemsAllowing the back-up to solve problems Dissecting errors and working through the processDissecting errors and working through the process Recognizing individuals for a job well doneRecognizing individuals for a job well done

Degree of DecentralizationDegree of Decentralization

Depends on the skills of the manager and his/her willingness to Depends on the skills of the manager and his/her willingness to delegatedelegate Concern for loss of status, power, or controlConcern for loss of status, power, or control TrustTrust

Varies depending on size and age of organizationVaries depending on size and age of organization Depends on the skills and willingness of subordinates to take on Depends on the skills and willingness of subordinates to take on

additional responsibilityadditional responsibility May increase morale by allowing staff to make their own decisionsMay increase morale by allowing staff to make their own decisions

General SupervisionGeneral Supervision

Giving orders in broad, general termsGiving orders in broad, general terms Not “micromanagement”—supervisor should only Not “micromanagement”—supervisor should only

be interested in the results achievedbe interested in the results achieved Subordinates should decide how to achieve the Subordinates should decide how to achieve the

results/goalsresults/goals May be known as “team management”May be known as “team management” Supported in a Theory Y cultureSupported in a Theory Y culture Allows employees to take pride in their Allows employees to take pride in their

achievementsachievements

Story Time-Best PracticeStory Time-Best Practice

What are some of the best things that What are some of the best things that manager’s can do get the respect and best manager’s can do get the respect and best productivity from their employees?productivity from their employees?

Good Night!Good Night!

Thank you for attending the seminar?Thank you for attending the seminar?