The faculty members taught as many as 5 courses per semester while the lecturers taught three courses. The College of Commerce was distributed among the four major fields, namely: Banking and Finance, Accounting, Marketing and Business Management. In June Of 1988, Mr.. Santos assumed the position of Dean of the College of Commerce. Since the college experienced rapid growth in enrollment in the University during the past ten years, Dean Santos wanted to combine curricular improvements and administrative changes that would improve the College’s efficiency and effectiveness.
Under the Dean are six Department heads. These department heads were senior faculty who were considered academically and professionally well-prepared in the department. These department heads have Teaching quotas and at the same time, they also have administrative duties to fulfill such as training new recruits and providing recommendation to fellow faculty for promotion. On the other hand, these department heads also enjoy special allowances depending on their rank and seniority.
Seeing all the extra expenses, Dean Santos proposed a departmental reorganization so as to alleviate the College’s unnecessary expenses and streamline the apartments in such a way that they can cross-fertilize with each other. However, the department heads, as well as the faculty were unanimously against the proposal of Dean Santos, arguing that merging the six departments into three would entail loss of academic identity. They also argued that the merger would increase the size of each department and the homogeneous nature of the College will be lost as well. Problem What would be the better organizational structure to be adopted by SST. Francis College of Commerce, in order for them to improve the efficiency and effectiveness of their college? L. Objectives A. To determine which organizational structure can improve the efficiency and effectiveness Of the college. B. TO retain harmonious relationship among faculty members. C. To challenge and motivate the College of Commerce to achieve their full potential in providing academic excellence. IV. Areas of Consideration A. SST. Francis University The University is a medium-sized private university in a major port city in the Visas.
It is one of the better universities in the city and well known primarily for its Engineering and Science degree courses and has a total enrollment of 26,000 in graduate & undergraduate levels. B. College of Commerce It is a major unit of the University but was a far second in enrolment, at 3000 students or so, to the College of Engineering. It has 4 major fields namely: Banking & Finance, Accounting, Marketing, & Business Management. The college also has 55 full time faculty and over 1 00 lecturers. The college has also experienced one of the major rapid growths in enrollment in the university during the past ten years.
C. Dean Santos He was the former Vice Dean for Administration under the College of Commerce and is the current Dean of the College of Commerce. He is now expansible for the administrative aspects of the operations of the College, including student records and services, accounting, supplies, maintenance, and class scheduling to name a few. He was eager to improve further the enrollment of the College and he wants to improve the efficiency and effectiveness of the college, thus, proposing a departmental reorganization. D.
Department Heads They are the senior faculty who were considered academically and professionally well-prepared in the department. They teach their quota of four courses per semester, at the same time, cater to administrative duties as ell, such as recruitment of faculty, training and guiding new recruits, assigning qualified faculty to teach the different courses offered, and recommending faculty members for promotion. The department heads were paid a special allowance on top of their salaries. With the proposed reorganization Of the College, the department heads greatly opposed the Dean’s proposal.
E. Full-time Faculty Members They taught as many as five courses per semester and they are also in support of the department heads’ stand on the proposed reorganization of the college. F. Heads of the Accounting, Finance, Marketing and Production They are expansible for insuring the academic quality of the four degree majors, namely, Banking and Finance, Accounting, Marketing and Business Management. G. Proposed Departmental Reorganization This was proposed by Dean Santos which will reduce the existing number of departments from six to three.
This departmental reorganization will focus on alleviating the extra expenses the college has acquired and this will encourage cross-fertilization among the faculty of the college. H. Assumption Special allowances may be removed once a faculty is no longer a department head, however it may also be retained at the discretion of the college. V. Alternatives A. To reorganize the College of Commerce by reducing the existing number of departments from six to three. B. To retain the original number of department heads (Accounting, Finance, Marketing, Production, Economics and Law), however, their special allowances will be eliminated.
C. To reorganize the College of Commerce by merging the smaller departments, which are Law and Economics and combining it with the four major departments, which are the Departments of Accounting, Finance, Marketing and Production. The Economics Department will be merged with the Finance department and the Law department will be merged with the Accounting department. The special allowance enjoyed by the two department heads will not be removed but the remaining four department heads’ special allowances will be increased for they will be handling the load of the merged departments. VI.
Evaluation Alternative 1: Reorganization of the College of Commerce by reducing the existing number of departments from six to three would save as much as PH,OHO. O per year. Currently, the department heads are paid a special allowance, ranging from Phi to Phil, 200 pesos per month, on top of their regular salaries, depending as well on the rank and seniority. Additional savings will also be realized from the clerical and other office expenses. The savings the College can get from reducing the number of departments, can improve the College’s financial position even without raising tuition fees.
Furthermore, easing on the number of departments would mean it will have to be merged to the surviving departments. This arrangement will give opportunity for the faculty to cross-fertilize with each other and to share their knowledge about their field of expertise to someone of different profession where the latter might be able to use in his own field of specialization. It will not only develop their profession as an accountant, a production manager or as a lawyer, but also their profession as a teacher.
Reducing the departments to three will also provide opportunity for reengineering of departments, eliminating small ones which may be merged with other departments, thus removing redundancy. The remaining departments merged with the eliminated ones can be devised in such a way that the approach of teaching in the courses will be more focused on what the student plans to pursue or is currently pursuing. The Law Department will be merged with the Accounting Department since charity of the law subjects that are required from a commerce graduate is required from an accountancy student.
The Marketing Department can be combined with the Production Department and Economics Department joined with Finance, being the subjects having a cause and effect relationship with each other. However, dissolving three departments might lead to the loss of each departments academic identity. The homogeneous grouping of the departments enables them to communicate effectively, develop themselves together professionally, and allow them to easily relate with each other since they are from the same field of expertise.
Such kind of reorganization will also negatively boost the personnel’s collective morale especially that of the heads of the deep rodent that will eventually be eliminated. Moreover, merging the departments would mean an increase in the size of each remaining departments, making it harder to manage for the remaining department heads. The remaining department heads would have to handle the faculty and lecturers from the eliminated departments, all of them possibly reporting to him or her at the same time.
Such large numbers of subordinates to manage and their administrative duties included will leave o time for the department head to teach their quota of four courses per semester, hence the possibility of hiring additional faculty or lecturers to fill in, which will induce additional cost, thus negating the savings of merging departments. Finally, reducing the departments to three might negatively impact the College of Commerce in light with the rapid growth in enrollment during the last ten years albeit the higher standards of admission of the school as compared to neighboring colleges offering commerce degrees.
The increase in enrollment in the College of Commerce, despite its high tankards, might be attributed to the degree of specialization provided to a certain subject, where the same would be lost and wane into insignificance should the merger of the departments is implemented. Alternative 2: By keeping the original number of Department Heads, the academic identity and homogeneity of each department is maintained. Maintaining the small size of faculty members creates good relationship and rapport among them.
Since each department IS handling a small group, there will be a proposal to eliminate their special allowances in order to save on cost as much as 86,400 a year. This reduction on cost is somehow a significant savings for the college, which can be allocated to other projects for improvements on facilities or a resource fund that can be utilized for Research and Development programs. However, retaining the same number of departments would still incur the same amount of clerical and other office expenses. Furthermore, taking this action has its labor implications.
The Department Heads may file a formal complaint from the Department of Labor (DOLE) against the University because elimination of their benefit is considered as a diminution which is a violation of the labor code. The labor code states that “any benefit and supplement being enjoyed by employees cannot be reduced, diminished, discontinued or eliminated by the employer”. Moreover, it would be inconsistent and difficult to justify that special allowances be discontinued considering the rapid growth in enrollment for the past ten years.
It also follows that diminution of benefits already enjoyed by the Department Heads for quite a long time can greatly affect their morale that would result to poor job performance. Thus, the quality on education and overall performance of the college could be at risk. Alternative 3: One major advantage in merging the smaller departments, which are Law and Economics and combining it with the four remaining departments, which are Accounting, Finance, Marketing and Production, would be the retention of the Major departments.
These four major departments are the one’s who are responsible for insuring the academic quality of the four degrees, namely Banking and Finance, Accounting, Marketing and Business Management. The Law department will be incorporated with the Accounting department since the law subjects that will be required will also just focus on the field of counting. At the same time, the Economics department will be merged with Finance, since both departments have courses and subjects that intermingle with each other.
With regards to cost savings, the merger will reduce the cost of the college’s clerical and administrative expenses. Another advantage would be that even if the departments were reduced into four, the teaching load will still be manageable. The remaining department heads can still manage their loads and at the same time, still keep up with their administrative functions. Merging the two departments to the four major apartments will also lessen and even remove the redundancy of the subject courses being offered.
Academic identity and homogeneity will still be present and intact because the departments are just combined in a way that the college of commerce will be able to accommodate and offer improved learning and efficient teaching and administrative tasks. On another note, even if the two departments were merged already, their special allowance will still be intact and would not garner any negative implications with regards to their right to benefits. However, increasing the special allowances of the four remaining apartment heads will result to minimal savings that will be acquired by the College of Commerce.
Recommendation: After evaluating the alternatives, It is best to recommend the reorganization of the College of Commerce by merging the smaller departments into the four major departments. The Law and Economics departments being the smaller ones will be combined with the four other departments representing the four major courses, which are the Departments of Accounting, Finance, Accounting department. With the departments merged, the special allowance enjoyed by the two department heads will not be removed but the remaining our department heads’ special allowances will be increased for they will be handling the load of the merged departments.
This reorganization will result to a more concentrated College of Commerce, wherein they can focus on ensuring the academic quality of the four degrees, namely Ban king and Finance, Accounting, Marketing and Business Management. This academic quality is what brings the College of Commerce more enrollees despite their higher standards compared to other colleges. In merging the smaller departments to the four major departments, course programs can be signed to focus and specialize on specific courses, and unnecessary costs in maintaining separate departments for subjects that are not considered a course will be removed.
This Will ensure the effectiveness of the college, with regards to teaching the courses offered, and efficiency in maintaining departments that develop its courses. Adapting this kind of reorganization will also avoid disputes among department heads, removed and retained alike. Former department heads will still enjoy their special allowances as part of their seniority and tenure. The remaining department heads on the other and, will be compensated as well by increasing their special allowances due to the increased responsibility.