Definition: Organizing is the second key management function, after planning, which coordinates human efforts, arranges resources and incorporates the two in such a way which helps in the achievement of objectives. It involves deciding the ways and means with which the plans can be implemented.
It entails defining jobs and working relationships, assigning different tasks associated with the plans, arranging and allocating resources, design a structure which distinguishes duties, responsibilities and authorities, scheduling activities, in order to maintain smoothness and effectiveness in operations.
Characteristics of Organizing
- Division of Labour: Work is assigned to the employee who is specialised in that work.
- Coordination: Different members of the organization are given different tasks to perform when all the tasks are put together logically and sequentially, it results in the objectives, so coordination is required.
- Objectives: Objectives need to be specifically defined.
- Authority-Responsibility Structure: For an effective authority responsibility structure, the position of each manager and executive is specified, as per the degree of the authority and responsibility assigned to them, while performing the duties.
- Communication: The techniques, flow and importance of communication must be known to all the members.
Process of Organizing
Organizing is the core function which binds all the activities and resources together in a systematic and logical sequence. It encompasses a number of steps which are pursued to achieve organizational goals. Now, we will discuss those steps in detail:
- Identification and division of work: Organizing process begins with identifying the work and dividing them as per the plans. Basically, the work is classified into different manageable activities, to avoid redundancy, and sharing of work is encouraged.
- Departmentalization: After classifying the work into different activities, the activities having a similar nature are grouped together. This process is called as departmentalization which facilitates specialization and forms the basis for creating departments.
- Assignment of the task: After the formation of departments, employees are placed in different departments under a manager, called as a departmental manager. Thereafter, employees are assigned the jobs as per their skills, qualifications and competencies. For the effectiveness of the performance, the manager must ensure that there is a proper match between the job and the incumbent, i.e. the right person has to be placed at the right job.
- Establishment of organizational hierarchy: Deployment of work is not all, the employees must be aware of whom they have to report and who can give them orders. Hence, work relationships need to be established clearly, which helps in the creation of a hierarchical structure of the organization.
- Provision of resources to the members: Arrangement and deployment of resources such as money, materials, supplies, and machine, etc. which are important to carry out day to day operations of the organization.
- Coordination of efforts and scheduling of activities: The final step to this process is the coordination of efforts and scheduling the activities in a logical and systematic manner so that the common objectives can be achieved effectively.
Importance of Organizing
Organizing is integral to management as it facilitates the smooth functioning of the enterprise. The importance of organizing is as under:
- Advantage of Specialization: Organizing helps in the classification of jobs systematically amongst the workforce, which helps in the reduction of workload, as well as improved productivity. This is because the organization will get the benefit of specialization wherein workers will perform specific work on a regular basis, according to their competency.
- Describes work relationships: The definition of work relationships describes the flow of communication and determine the superior-subordinate relationship. This removes confusion and chaos, in getting orders and instructions.
- Effective utilization of resources: Organizing function ensures the best possible utilization of resources whether it is human, material, financial or technical. This is because jobs are assigned to the employees which avoid overlapping and duplication of work.
- Adaptation to change: Organizing process helps the organization to survive and adapt the changes, by making substantial changes in the strategies, hierarchy, relationships, etc.
- Development of personnel: Organising encourages creativity in executives. Delegation of authority reduce their workload and they get time to identify new methods to perform the work. It also enables them to explore new areas for their growth and development.
In a nutshell, with organizing the manager brings order out of disorder, removes confusion with respect to work and responsibility, and frames an ideal environment where all the members of the organization can work in tandem.