After having decided about the first function of management i.e.,
planning and after having determined what is to be done, how it is to be done,
and by whom it is to be done. It
however, remains to be seen as to how all these business activities can be done
in a planned manner. On other words, how
the objectives determined under planning can be successfully achieved. For the successful achievement of these
objectives determined under planning can be successfully achieved. For the successful achievement of these
objectives it is necessary to divide the main activity into various sub
activities and determine the relationship between those persons who are to
perform those activities or functions.
For examples in an enterprise under planning it has been planned to
produce t.v sets. Now in order to achieve this objective the main activity will
be sub divided into various activities among the sales department, production
department, marketing department, finance department, etc. various persons
appointed on various posts in all these departments
Will work for this purpose. Now it
will be decided about all these persons as to what will be their authority and
responsibility and who will be the superior and who will be the subordinates. In this way an effort is made to achieve the
objectives of the enterprises by dividing the main work into sub work and
deciding the relationship between the persons engaged in these activities.
Doing this all is called organization.
MEANING OF THE
ORGANISATION:
The word organizing is derived
from the word organism which means that a unit with many parts and each part of
it, even though working independently, as a define relationship with the main
unit. In a business all the departments
or posts have their separate function but they are all related to the main
objective of the business. In others
words, organization means deciding about the various departments and the posts
in these departments and the relationship between them, morever, in order to
run their work smoothly, their authority and responsibility have to be
prescribed. It must be made clear that the need for an organization arises only
even the number of people working in an enterprises is more than one. If there is only one person. He is expected to perform all the function
single handed and there will be no need to divide the work. In the absence of division of work,
organization is meaningless.
SIGNIFICANCE OR
ADVANTAGES OF ORGANISING
Organisation is an instrument
that defines relations among different people which helps them to
understand as to who happens o be their
superior and who is their information helps in fixing responsibility and
developing coordination. In such
circumstances the objectives of the organization van be easily achieved. That
is why, it is said that, organization is a mechanism of management. In addition to that it helps in the other
functions of management like planning, staffing, leading, controlling, etc. the importance of organization or its merits
becomes clear from the following facts:
1.
INCREASE
IN MANAGERIAL EFFICIENCY: A good and balanced organization helps the
managers to increase their efficiency.
Managers, through the medium of organization, make a proper distribution
of the whole work among different people according to their ability. Relation among different people come to be
established, available resources stat getting used efficiently and thus the pre
determined objectives can be easily achieved.
2.
PROPER
UTILASATON OF RESOURCES: Through the medium of organisation optimum
utilisation of all the available human and material resources of an enterprise
becomes possible. Work is alloted to
every individual according to his ability to the maximum extent. For example if an employee possesses the
knowledge of modern machinery but the modern machinery is not available in the organization, in that case, efforts
are made to make available the modern machinery.
3.
SOUND
COMMUNICATION POSSIBLE: Communication is essential for taking the right
decision at the right time. However, the
establishment of a good communication system is possible only through an
organization. In an organization the
time of communication is decided so that all the useful information reaches the
officers concerned which, in turn, helps
the decision making.
4.
FACILITATES
COORDINATION: In order to attain successfully the objectives of the
organization, coordination among various activities in the organization is
essential. Organization is only medium
which makes coordination possible. Under
organization the division of work is made in such a manner as to make all the
activities complementary to each other increasing their inter dependence. Inter dependence gives rise to the
establishment of relation which in turn, increases coordination.
5.
INCRESE
IN SPECIALISATION: Under
organisation the whole work is divided into different parts. Competent persons are appointed to handle all
the sub works and by handling a particular work repeatedly they become
specialists. This enables them to have
maximum work performance in the minimum the organization gets the benefit of
specialization.
6.
HELPFUL
IN EXPANSION: A good organization helps the enterprises in facing
competition. When an enterprise starts
making available good quality product at cheap rates, it increases the demand
for its products. In order to meet the
increasing demand for its product an organization has to expand its business.
7.
CHECK
ON CORRUPT PRACTICES: In a good oganisation all the employee are
assigned work according to their ability and they get their remuneration
according to their work. In such a
situation they work hard and with honesty leaving no scope for corruption to
breed.
8.
DECREASES
EMPLOYEES TURNOVER: In good organization employees get job satisfaction,
therefore, they never think of leaving it.
Thus, there is a decrease in the employees turnover and the organization
saved of the trouble of recruiting new employees and giving them training which
results in economy.
9.
BETTER
HUMAN RELATION: A good organization we have the right man at the right
job. This gives a complete information
about the ability and capacity of the employees, arrangement for giving him
training is made. The word development
is used for the managers. Managers are
provided with information for facing future problems along with special
development facilities in the particular wards.
10.
DEVELOPING
OF NEW IDEAS: in a good
organisation employees are comparatively mentally satisfied. New and independent ideas are born in such a
situation, every employee makes efforts to find out new technique in his work
performance which leads to increase in the productivity of an organization.
11.
INCREASE
IN SPECIALISATION: Under
organization the whole work is divided into different parts. Competent persons are appointed to handle all
the sub works and by handling a particular work repeatedly they become
specialists. This enables them to have
maximum work performance in the minimum time while the organization gets the
benefit of specialization.
12.
FACILITATES
PROMOTION: In the organization
every body knows fully well his position in the organization. He also knows the qualifications required for
the post above his own rank. When a
higher post falls vacant the possibility of his promotion becomes apparent.
It becomes clear from the above
mentioned facts that organization has the same importance for management as a
structure of bones in a human body. In
other words, organizing Is a very important function of management.
Departmentation
We divided the dimesions jof a formal organisational structure into two
parts- vertical dimensions and horizontal dimensions. The horizontal dimensions of the organisation
structure is based on the process of specialisation. It means that the whole work is divided into
many groups on the asis of similar with of work so that an officer with special
ability and proficiency can be appointed for each work group. Because of specialization there is decrease in the work load of not only
every offcier or manager of each work. group but each officer can perform his
function more efficiently, dividing work on the basis of specialization is
known as departmentation, and the work groups thus established are called
departments.
For example: a manufacturing concern can cancern can have production,
marketing , financial and personnel departments. Before establishing these departments
the work is dicided on the basis of the
aims or objectives of the enterprises.
All the activities of a similer
nature are put together in a work group of department.
NEED AND IMPORTANCE OF DEPARTMENTATION:
1.
DEVELOPMENT OF MANAGERIAL SKILL: Because of departmentation the managers
perform certain function tome and again, and remaining within their limit take
decision about them. They become expert
in their department within a short span of the time. Their being expert in their field helps them
in their work performance which is not only good but is also done within the
minimum time.
ESTABLISHMENT OF MANAGEABLE UNIT
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