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Organizing Function of Management

Updated on October 31, 2014

Organising in Management

Organising is the process of defining and grouping activities and establishing authority relationships among them to attain organizational objectives. See under in the words of Louis A.Allen, what is Organising in management.

Don't agonize. Organize.
Don't agonize. Organize.

Organising Definition

"Organisation is the process of identifying and grouping of the works to be performed, defining and delegating responsibility and authority and establishing relationships for the purpose of enabling people to work most efficiently".

- Louis A. Allen

Importance of Organising

  • Organising helps Organisations to reap the benefit of specialization.
  • Organising provides for Optimum utilization of resources.
  • Organising helps in Effective administration.
  • Organising channels for Expansion and growth.
  • Organising achieves co-ordination among different departments.
  • Organising creates scope for new change.

(Read more on the Importance of Organizing...)

Organising Process

Division of work: The first process of Organising includes identification and division of work which shall be done in accordance with the plans that are determined previously. 

Departmentation: once the work of identifying and dividing the work has been done those are similar are to be grouped.

Linking departments: When the process of departmentation was completed, linking of departments has to be done so that those departments operate in a co-ordinated manner which gives a shape to overall organisation structure. 

Assigning Duties: On completion of departmentation process assigning duties i.e. defining authority and responsibilty to the employees on the basis of their skills and capabilities has to be done, which in consequence magnifies efficiency with regard to their work. 

Defining hierarchal structure: Each employee should also know from whom he has to take orders and to whom he is accountable/responsible.

Organisation Structure

Organisation structure is the pattern of relationships among various components or parts of the organisation which prescribes the relations among various activities and positions. An effective structure will result in increased profitability of the enterprise. whenever an enterprise grows in size or complexity it needs an adequate organisation structure.

Line Organisation Structure: Hierarchy derived from a scalar process. Organisation is quite simple in understanding and implementation. this does not offer scope for specialization.

Line and Staff Organisation Structure: Staff personnel generally specialists in their fields advice line managers to perform their duties. Staff personnel have right to recommend, but have no authority.

Functional Organisation: Grouping of activities on the basis of functions required for the achievement of ultimate objectives.

Divisional Organisation Structure: Several fairly self-contained autonomous units were created. Each unit was headed by a manager and is directly accountable to the organisation.

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