Co-ordination

In any organisation , whatever the chosen structure, it is vital that effective co-ordination is achieved between different departments and functions.

How to achieve co-ordination

The main way this is achieved is through the budget-setting process, e.g. to ensure that production make enough products (subject to inventory policies) to meet predicted sales figures from marketing. Both the production and marketing budgets will be based on the same set of assumptions.

Common-sense mechanisms for co-ordination include the following:

• regular planning meetings between the managers
• effective and regular communication between departments to confirm deadlines, target activity levels, etc.
• clear, well documented reporting lines
• supervision.

More specifically, co-ordination is achieved in one or more of the following ways; the relative complexity of the work affects the method chosen:

• Standardised work processes - the work is specified, and everybody works in the same way.
• Standardised outputs - through such things as product or service specifications. Whilst the results are standardised, the means are not.
• Standardised skills and knowledge - even though each job is performed independently. This is an important co-ordinating mechanism in professional activities and specifies the kind of training needed to perform the work.
• Direct supervision - exists throughout the hierarchy where individuals issue instructions and monitor performance. One person has a specific co-ordinating role.
• Mutual adjustment - co-ordination results from internal communication and through informal contact between the people performing their organisational roles. This exists in simple structures where people work closely together. It also applies to some complex tasks, e.g. in a research project if the outcome is uncertain, colleagues will adjust their activities in the light of new findings.

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