Concept and Definition
Organizing is the function of management which follows planning. It is a function in which the synchronization and combination of human, physical and financial resources takes place. All the three resources are important to get results. Therefore, organizational function helps in achievement of results which in fact is important for the functioning of a concern. According to Chester Barnard, “Organizing is a function by which the concern is able to define the role positions, the jobs related and the co- ordination between authority and responsibility. Hence, a manager always has to organize in order to get results.
Nature of the function of Organizing
The following are the important characteristics of organisation. Division of work or specialization - The entire philosophy of organisation depends on the concept of specialization. In specialization, various activities are assigned to different people who are specialists in that area. Specialization improves efficiency. Thus, organisation helps in division of work and assigning duties to different people. Orientation towards goals - Every organisation has its own purposes and objectives. Organizing is the function employed to achieve the overall goals of the organisation. Organisation harmonies the individual goals of the employees with overall objectives of the firm. Composition of individuals and groups – Individuals form a group and the groups form an organisation. Thus, organisation is the composition of individual and groups. Individuals are grouped into departments and their work is coordinated and directed towards organizational goals. Differentiated functions - The organisation divides the entire work and assigns the tasks to individual in-order to achieve the organizational objectives each one has to perform a different task and tasks of one individuals must be coordinated with the tasks of others. Continuous process - An organization is a group of people with defined relationship to each other that allows them to work together achieve the goals of the organisation. This relationship does not come to end after completing a task. Organisation is a never ending process.
Process of Organizing
A manager performs organizing function with the help of following steps:- Identification of activities - All the activities which have to be performed in a concern have to be identified first. For example, preparation of accounts, making sales, record keeping, quality control, inventory control, etc. All these activities have to be grouped and classified into units. Departmentally organizing the activities - In this step, the manager tries to combine and group similar and related activities into units or departments. This organization of dividing the whole concern into independent units and departments is called departmentation. Classifying the authority - Once the departments are made, the manager likes to classify the powers and its extent to the managers. This activity of giving a rank in order to the managerial positions is called hierarchy. The top management is into formulation of policies, the middle level management into departmental supervision and lower level management into supervision of foremen. The clarification of authority help in bringing efficiency in the running of a concern. This helps in achieving efficiency in the running of a concern. This helps in avoiding wastage of time, money, effort, in avoidance of duplication or overlapping of efforts and this helps in bringing smoothness in a concern’s working. Co-ordination between authority and responsibility - Relationships are established among various groups to enable smooth interaction toward the achievement of the organizational goal. Each individual is made aware of his authority and he/she knows whom they have to take orders from and to whom they are accountable and to whom they have to report. A clear organizational structure is drawn and all the...