– William Spriegel, “Organising is the establishing of effective authority relationships among selected work, persons and work places in order for a group to work together efficiently”. 4. Organisation structure should create a favourable environment or situation in which the manager can most effectively lead and motivate his subordinates. Similarly, there should be balance between the principle of span of control and the short chain of command. Another possibility in this approach is the overspecialization. It should be flexible and adaptable to the changing objectives of enterprise. It is a function in which the synchronization and combination of human, physical, financial, and information resources takes place for the achievement of the results. “Decentralisation” means the transfer of authority and responsibility for smooth functioning of organisational activities. Organizing creates the framework needed to reach a company's objectives and goals. It is also called a chain of command. For example, it is divided as production, financing, purchasing, marketing, personnel, like wise. In these organizations the activities are routine, the technological process is complex and not easy to change, there is a high level of standardization and specialization, and more hierarchy levels in the organization structure having a high level of formalization and routine distribution channels. “The more power you give, the more power you have” has become the dictum. How do you define management?Management is a process with a social element. Principle of Consideration of Unity of Objectives: The objective of the undertaking influences the organisation structure. Organizing function follows the planning function. All the above are necessary to achieve the organizational goals. This means, he will not be able to produce satisfactory results, the concept of span of management has a significant influence on the overall performance of an enterprise and hence its importance has been recognised by modern management experts. In other words, organising is not a function that can be performed at a single stroke, but it is a chain of various functions. Person in charge of a function (production, finance, etc.) Hierarchy acts as a line of communication, as well as command, and shows the pattern of relationships among people. A span of control of six subordinates has been considered to be the most desirable. The type and limits of authority also gets determined. It helps the management by providing information about the duties, responsibilities, authority, positions, and jobs. It is to say that organizations are built around objectives; hence deciding the objectives is the first step in building up an organization. Different types of decentralisation should be distinguished. It is a function in which the synchronization and combination of human, physical, financial, and information resources takes place for the achievement of the results. There is an environment of coordination and cooperation in the organization. When people perform tasks assigned to them at different levels in different departments, it has to be ensured that the tasks are related to each other and aim at unified goals. A second key function of managers is organizing, which is the process of coordinating and allocating a firm’s resources in order to carry out its plans.Organizing includes developing a structure for the people, positions, departments, and activities within the firm. Delegation comprises of the following aspects: a. The division of work is done keeping in view the overall objectives of the organization. The tasks and responsibilities of all individuals, departments, and major divisions gets clarified. For each class of activities, there will be a department and for each sub-class there will be section of the department and so on. Organizing facilitates development of the organizational structure which becomes a tool for the management to achieve plans. This is a continuous activity in every organisation. Besides these three basic attributes, (i) talent retention and (ii) well-defined goals of the organisation and vision have to be considered in designing. And these activities are in variance with the activities of a service organization or an organization involved in the trading activities. This indicates the set of relationships as to who gives direction to whom and who reports to whom. Herein man is the central point. A good organisation involves precise and systematic distribution of work and responsibilities between managerial group and administrative group. This helps in preventing lack of communication and feedback and also brings about quick response. What is Organizing in Management – Introduction. Empowerment instills a sense of power in performer as he/she gets decision-making authority. Defining inter-relationship among personnel for productive cooperation. ORGANIZING 1/8/2012 Organizing is the process of arranging and allocating POM/Chapter 4 - Organizing work, authority, and resources among an organization’s members so that they can achieve organizational goal. Geographic Departmentation (Grouping Activities on the Basis of Territory): If the customers are geographically dispersed, jobs can be grouped on the basis of geographical locations. Therefore, organisation as a structure of relationship is called static element. and how it is to be done most efficiently? In military hierarchy, the succession of commanding officers from a superior to a subordinate, commands are exercised. A manager is mainly a coordinator. To a particular company or group of persons working together to fulfill certain objectives or goals. The concept which was originated in military operations, is extended to organisations. This concept is also extended to designing an organisational structure keeping any one of the types of structure shown in the template. Content Guidelines 2. By repeating a small part of work the individual acquires speed and accuracy in its performance. Therefore, it is a process which coordinates human efforts, assembles resources and integrates both into a unified whole to be utilized for achieving specified objectives. Employees should be encouraged to participate, as much as possible, in the decision making process. This process ties together the whole organisational structure for integrated and co-operative action. It should not be rigid or inelastic. Through the ispatguru.com website I share my knowledge and experience gained through my association with the steel industry for over 54 years. It points out clear and unbroken line of authority. Disclaimer Copyright, Share Your Knowledge The organiz­ing process is framed in such a way so as to achieve organizational objectives smoothly. In its absence, it is difficult to achieve success. Organizing is the function that managers undertake to design, structure, and arrange the components of an organization’s internal environment to facilitate attainment of organizational goals. Hence the identification of the various activities of the organization is an important step in the organizing function. A good communication network is essential for smooth flow of information and understanding and for effective business performance. More delegation and a large number of managers are required as his business grows from that of a small company, with its nucleus of a few key people. All the above discussion confirms that organization structure is a structure of positions arranged in a hierarchy for the pursuit of common objectives through specialization and division of work. Thus, chain of command, which is practiced in military structure is extended to organisations. An efficient organisation structure operates without wasting its scarce resources. Coordination can be maintained among various related departments by making exchange of information on a regular basis. Through Empowerment, individual’s potential is converted into productivity. A leader who empowers his people not building a great work, but builds great is people. If any order is to be executed in these units, it should be sent to the unit head in the form of request to implement it or it has to be transmitted through top class. Not only the objectives be stated in clear terms, the method of achieving them too, should be indicated in detail and in precise terms so that the organisers may know the type of organisation that is needed. Organization structure is considered in different views. 21. Organization management refers to the art of getting people together on a common platform to make them work towards a common predefined goal. By the proper grouping of the work and the employees, production increases, overload of work is checked, wastage is reduced, duplication of work is restricted and effective delegation becomes possible. To design various types of structures, certain influencing factors have to be considered. All the above supports the definition of organization i.e. Empowerment allows the performer to assume leadership position but he works under the mentor. Authority-responsibility structure – The position of each of the executives is defined with regard to the extent of authority and responsibility vested in him to discharge his duties. People working in an organisation are influenced in their actions and behaviour by their social and psychological needs. This concept focuses on “one command” to one issue and not multi-commands. This is because management is concerned with working with others and unless there is proper understanding between people, it cannot be effective. This step consists of appointment of workers and defining their responsibility of each one of them. Therefore, a manager needs to manage an organization in an organized manner so that work may be done. But it is a matter of degree. Under this various posts are created or established and the mutual relationship of employees working on various posts, their authorities and responsibilities are defined. This contribution should be well defined and definite. Defining and determining responsibility and authority for each job position. Management Skills are important to lead a team and drive the organization in the right direction. It should not be static, rigid or fixed. Organising is a management process by which people, functions and physical factors are brought together to form a controllable unit. In this process, “Power” is an unlimited resource which authoritarian managers do not give. Any number of configured charts can be prepared for any activity of an enterprise. The tasks are grouped into different departments on the basis of similarity of their features. Hence, the manager needs to supervise only a selected number of employees at one time. Principles 9. They have to be considered for organisational effectiveness. Thus, organising is a sub-process of management. ... 3 levels of management in organizational hierarchy; (1) Top-level, (2) middle-level, (3) lower level. The third approach is the production line approach. However each area of specialisation must be interrelated to the total integrated system by means of co-ordination in all departments and activities. The organizing process is an essential part of the management process. Principle of unity of command – As per this principle, one subordinate is accountable to only one superior at one time. Some consider it as a network of relationships, a blueprint of how the management will like the various functions and activities to be assigned and connected together. It is an arrangement of group effort to achieve organizational goals. Specialization is extensive, for example running a particular machine in a factory assembly line. Different persons are assigned for different functions and yet all these functions have only one aim i.e. The executives at the higher level of an organisation have limited time and capacity. Who is to do it? Practices such as decentralisation, considering the span of management, chain of command, unity of command, delegation and empowerment, designing the structure and configuring it, establishing departments as per directions, formulating committees, preparing manuals have been the order in every enterprise. Under the exception principle recurring decisions should be handled in a routine manner by the lower level manager, whereas problems involving unusual matters should be referred to the higher level. Relationship lays down as to who is the superior and who is the subordinate. The programme includes the capacity, volume of things that can be stored etc. When people are empowered, they will be able to take ownership of the task that they have to perform. The word Organization is given a variety of interpretations. iii. Organizing is the function of management which follows planning. The third group consists of the organizations with continually-process production. Now suitable persons are fitted in their respective jobs and made responsible to accomplish the job. The geographic structure furnishes a training ground to develop general management abilities. Decision to empower the employee depends upon the nature of the task to be assigned. The concepts like “change management” and “learning organisation” pervade all organisations and organisations established long back live today with totally a different structure. – G. R. Terry. Although fundamental and traditional structures act as base for exhibiting roles, responsibilities and authority relationships to develop an organisation structure today, many softwares have emerged to design a customised structure. Supposing, two or more units are functioning and the command is to be given to both units from one unit officer. Co-ordination is the orderly arrangement of group effort to provide unity of action in the pursuit of common purpose. A manager’s ability to manage a large number of subordinates is limited by his time and energy. Structure and generated operations must be measured against the effectiveness in achieving objectives. Prepared for any activity of an organisation ensures co-operative relationship among the employees in size! 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