Abstract
The aim of this work is to examine the importance
of organizational structure in effective management of general cotton mill
Onitsha on issue affecting the management and employees. To uncover the trend
of events in the scene, a review of related literature was carried out. As a
method of gathering data a structured and closed-ended questionnaire was
designed, validated, reproduced and administered on a sample of 50 out of which
40 were retrieved while 12 were lost due to logistic problems. Data based on these
were presented and analyzed. It was discovered among other things that,
communication, workflows, authority and responsibility are all valid
relationships that exist between different dimensions of organizational
structure that can affect managerial efficiency. It was concluded that the
manner in which an organization is structured is evident in the effectiveness
of the management of such organization and also there only a low degree of
difference existing between the structural designs of the department within the
organization. The following recommendation are made by the researcher based on
the organizations generally and general cotton Mill Onitsha must review there
organizational structure with the intention of adopting or creating one that
will be completely free from communication hitches and hiccups so that
cohesiveness will rule in such organizations and better understanding of tasks,
expectations etc. can be upheld at all time.
TABLE OF CONTENTS
Title i
Approval ii
Dedication iii
Acknowledgement iv
Table of contents vi
Abstracts ix
CHAPTER
1
INTRODUCTION
1.1
Background of
the study 1
1.2
Statement of
the problem 6
1.3
Purpose of
the study 8
1.4
Significance
of the study 9
1.5
Research
questions 10
1.6
Scope/delimitation
of the study 11
1.7
Definition of
terms 12
CHAPTER
2
RELATED LITERATURE REVIEW
2.1 The
meaning of organizational structure 14
2.2 Structure
15
2.3 The
traditional early perspective 17
2.3.1 Environment
and structure 25
2.3.2 Division
of labour 27
2.4 Departmentation 31
2.2.1 Types
of structure 34
2.5 Authority
and delegation 36
CHAPTER
3
RESEARCH METHODOLOGY
3.1 Design
of the study 38
3.2 Area of
the study 38
3.3 Population
of the study 39
3.4 Sample
of the study 39
3.5 Instrument
for data collection 40
3.6 Validation
of the Instrument 41
3.7 Distribution
and retrieval of instrument 42
3.8 Method
of data analysis 42
CHAPTER
4
DATA PRESENTATION AND ANALYSIS 43
4.1 List of
findings 48
4.2 Discussion
of findings 49
CHAPTER
5
SUMMARY OF FINDINGS, CONCLUSION AND RECOMMENDATION
5.1 Summary
of findings 51
5.2 Conclusion
52
5.3 Recommendations 53
5.4 Limitations
of the study 55
5.5 Suggestions
for further research 56
Reference
57
Appendix
59
Questionnaire
60
CHAPTER
1
INTRODUCTION
1.1 BACKGROUND OF THE STUDY
Every organization have objectives which has always
been to achieve a goal. These objectives are identified through planning. This
is simply because through planning, management of organization establish means
of achieving objectives invariably, establishing a means for achieving these
objectives becomes the prior occupation for management. This brings theme face
to face with a major management function which is organization. The
organization process is mainly aimed to achieve co-ordination through the
design of structure of task, authority and relationships. Meanwhile, the level
of objective attainment generally determines the extent of management
effectiveness. On the other hand, structure being a direct result of management
function of organizing is the framework through which an organization
accomplished the task and responsibilities needed to attain its objectives.
This may be why Donnelly et al (2004) stated that “structure is a means for
achieving the goal established in planning. Coming to task that structure in
the present day organization presents, the need for people to organize their
efforts in order to attain certain objectives becomes more and more imperative.
Hence organization structure defined the format for allocation of work roles to
identify the members of the organization. It establishes the line of authority
for integration and co-ordination activities. According to Gabraith and
Nathanson, (2009) organizational structure means “the organization of work into
roles such as production, financial, marketing and so on. The combining of
roles into departments or divisions all in an effort to achieve set objectives.
We can therefore describe the functional structure in terms of dividing tasks,
jobs and delegating authorities thus, this provides some aspects of major
challenges faced by management, management in expected to make the appropriate
analysis that will help in designing an effective organizational structure.
A
sound organizational structure will aid directing, co-ordinating and control,
in the overall outset of an organization and its members. Therefore it becomes
a network of interaction and relationships between positions, therefore
functions and occupants and also a means through which management attempt to achieve
organizational goals. The foregoing emphasizes the fact that structure is the
result from organizational design. It could therefore be regarded as a guide
without which a managerial team will not function effectively. Thus, it is far
from surprise that it has been the subject of intensive study which has been
adopted in trying to design effective organization structure. Firstly it was the classical theorists who
passed the ideal of “one best way for structuring effective organization.
Unfortunately the answer provided by the decades of systematic research has
proved this notion wrong. Organizations face a wide range of internal and
external conditions that there cannot be a single structure or design that will
prove successful in all. Thompson (2007), has confirmed that idea by stating
that, the best organizational structure is one that can adjust to tackle any
situation at hand. At this basic fact has become increasingly apparent, a new
prospective on organizational design known as the contingency approach has
taken form. Supports of this approach reason that there is, in fact not best
single structure. People and environment in the above factor function with the
key dimensions of organization structure, which include departmentation, chain
of commands, span of control, centralization, conversion staff complexity. The
above facts, present a lot of challenges for modern managers. Prescribing a
successful organizational structure that agree adjusts to agree with both
internal and external environment. Unless, researches are therefore carried out
inorder to involve radiated recommendations, they will not be effective in
practice.
Brief
History of General Cotton Mill Onitsha
The
company was incorporated in 1964 as a private company under the companies
ordinance (AP 37 to manufacture printed cloths. It came into full operations in
1973 after new equipment were acquired for the spinning/weaving mills to
complement the printing process thus becoming a full integrated textile
factory. General cotton mill Limited facilitates include 39640 spindles, 1,238
looms and finishing plant for bleaching, drying and printing which include 2
rotary printing machines. The company since its inception maintains two service
agreement. It is technically supported by Texas cotton mill limited of Hong
Kong and by UAC of Nigeria Plc, for it commercial services. They supply prudent
management resources sustain over the years. The authorized share capital of
the company is N400,000 share of 50 kobo each i.e. N200,000 only N189,583,330
share are issued and fully paid.
1.2 STATEMENT OF THE PROBLEM
Overtime, organizational structure has been proven
to be of basic importance to every organizations existence. Authorities and
responsibilities will be clearly defined, every task assigned to a person and
the person held responsible for how well or badly he or she performs the job.
Duties and tasks are shared into departments and units with a manager
overseeing the affairs of such departments and units. These departments must
all work harmoniously towards the achievement of set objectives (Udoye, 2011).
The problems that are encountered therefore, are problems of duplication of
tasks and repetition of process. The importance of organizational structure in
management effectiveness cannot be utilized if the best organizational
structure is not adopted. Most cases haphazard and unobjective structures are
due to management neglect of the importance of organizational structure. The
study therefore will seek to highlight deeply, the importance of organizational
structure in order to draw the attention of management to it. The study will
also identify different patterns of organizational structure and their
characteristics so that management can be well informed towards choosing the
bets structure that will suit the operations of general cotton mill, Onitsha.
1.3 PURPOSE OF THE STUDY
This
study is to examine the relationship among some element of organizational
structure and managerial effectiveness in Nigeria business organization.
Therefore it will seek to:
1.
Identify
factors in the organizational structure that could affect managerial
effectiveness.
2.
To determine
whether there is problem in the structural design of any department within the
organization.
3.
To find out
if the level of education of subordinate influence the way a manager structures
his department.
4.
To identify
the links between the above variable and the managers degree of effectiveness
in meeting up to the objectives he is expected to achieve.
5.
Determine
whether those variables have the same or different effects on managerial
effectiveness in the different departments.
1.4 SIGNIFICANCE OF THE STUDY
Proper
organizational structure in the organization will reduce role conflicts and
avoid stress to manager, it will also specify span of control. The study will
help many corporate organizations that will go through the work in adopting a
sound or proper organizational structure, which will enable them achieve their
set objectives. It will also specify the roles the work flows and flow of
authority or responsibility from top to the bottom of the organization, which
reduces stress and job dissatisfaction among some employee. It will encourage,
easy job analysis in the organization. This research will also help top
management during job evaluation and performance appraisal.
1.5 RESEARCH QUESTIONS
In order to further guide this research work, the following questions
have been advanced.
1.
What relationship
exists between different dimensions of organizational structure that can affect
managerial efficiency?
2.
What is the
degree of difference existing between the structural designs of the department
within the organization?
3.
Does the
level of education of the subordinates affects or influence the way a manager
structure his department?
4.
What are the
lines between the above variables and managerial degree of effectiveness in
meeting up to the objectives he is to achieve?
5.
Does the same
variable have some or different effects on managerial effectiveness of other
organizations?
1.6 SCOPE/DELIMITATION OF THE STUDY
Due to the nature of this research, it will not be
feasible to study the influence of all the structural variable that could
affect managerial effectiveness hence, only some of them will be covered in
this study. The scope of this study will be limited to General Cotton Mill
Onitsha, due to time and financial constraints.
1.8 DEFINITION
OF TERMS
Organizational
Structure: Refers to the setting
through which an organization accomplished the task and responsibility needed
to attain its objectives and goal.
Organization
design: Concerned with
identifying basic principles that determine the organizational structure of any
business organization in relations to the demand of technology and
environmental forces.
Technology: This is the conversion process used by an
organization to transform inputs into outputs.
Environment: Refers to those elements, institution,
organization etc whose activities affects the performance of an organization
and are not subject to the organizations control. Hence, the organization must
adopt or adjust to their demand or only try to have some level of influence on
them.
Centralization: Refers to the degree authority and responsibility
are concentrated to key persons in the organization.
Co-ordination: The process of creating an effective links
between the components parts of organizational structure which results from
departmentalization.
Authority: Is the right to act, it is power vested in a
particular person or position and accepted as appropriate and recognized as
legitimate not only by the power wielder but also by those over whom he holds
such power.
Strategy: The basic goals and objectives and means of
achieving them.
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