Organizing-Departmentalization

Organizing

Organizing can be defined as the process by which the established plans are moved closer to realization.Once a manager set goals and develop plans, his next managerial function is organizing human and other resources that are identified as necessary by the plan to reach the goal.Organizing involves determining how activities and resources are to be assembled and coordinated.Organizing produces a structure of relationship in an organization and it is through these structured relationships that future plans are pursued.

Organizing, then, is that part of managing which involves: establishing an intentional structure of roles for people to fill in the organization.It is intentional in the sense of making sure that all the tasks necessary to accomplish goals are assigned to people who can do the best.

According to Henry Fayol, “To organize a business is to provide it with everything useful or its functioning i.e. raw material, tools, capital and personnel’s”. To organize a business involves determining & providing human and non-human resources to the organizational structure. Organizing as a process involves:

  • Identification of activities.
  • Classification of grouping of activities.
  • Assignment of duties.
  • Delegation of authority and creation of responsibility.
  • Coordinating authority and responsibility relationships.

Benefits of Organizing

While the planning function of managers is essential to reaching business goals, lots of careful planning can go to waste if managers fail to organize the company’s assets and resources adequately. Some of the benefits of organizing include the following:

  • Organization harmonizes employees’ individual goals with the overall objectives of the firm. If employees are working without regard for the big picture, then the organization loses the cohesion necessary to work as a unit.
  • A good organizational structure is essential for the expansion of business activities. Because organizational structure improves tracking and accountability, that structure helps businesses determine the resources it needs to grow. Similarly, organization is essential for product diversification, such as the development of a new product line.
  • Organization aids business efficiency and helps reduce waste. In order to maximize efficiency, some businesses centralize operations while others arrange operations with customer or regional demands in mind.
  • A strong organizational structure makes “chain of command” clear so employees know whose directions they should follow. This in turn improves accountability, which is important when outcomes are measured and analyzed.

Basically organizing is deciding where decisions will be made, who will do what jobs and tasks, who will work for whom, and how resources will assemble.

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