•
Social unit of people, systematically arranged and
managed to meet a need or to pursue collective goals on a continuing basis. All organizations have a management
structure that determines relationships between functions
and positions,
and subdivides and delegates roles,
responsibilities,
and authority to carry out defined tasks.
Organizations are open systems in that they affect and are affected
by the environment beyond their boundaries.
•
Organization
–
Deliberate
arrangement of people to accomplish some specific purpose
–
Characteristics
of an organization
•
distinct purpose
•
deliberate
structure
•
people
–
Today’s
organizations have adopted:
•
flexible work
arrangements
•
open
communications
•
greater
responsiveness to changes
•
DEFINITIONS OF ORGANIZING
“It is the
grouping of activities necessary to attain the goals of the enterprise and the
assignment of each grouping to a manager without authority necessary to
supervise it”.
•
“Organisation refers to the
relationship between the various factors present in a given endeavor”.
•
“Organisation is the process of
defining and growing the activities of the enterprise and establishing the
authority relationship among them”.
•
Organizing - the process of creating an organization’s
structure
Organizational structure - the formal framework by which job tasks are
divided, grouped, and coordinated
Organizational design - process of developing or changing an
organization’s structure
THE FUNCTIONS OR PROCESS OF AN ORGANISATION:
1. Determining the activities to be performed.
2. Assignment of responsibility to personnel:
Assigning the responsibility of carrying out the decision to certain employees.
Authority as a continuation of official and
personal factor. Official authority is derived from the manager’s position and
personal authority is derived from personal quality such as intelligence,
experience, moral worth, past services etc.
Responsibility arises out of assignment of
activity. In order to discharge the responsibility properly, there should be
parity of authority and responsibility.
3. Delegation of authority: Process of getting
things done through the efforts of other people. The modern age is an era of
giant business corporations organized on a large scale. Therefore no
individuals, how so ever talented or experience, can cope with all the affairs
of the business enterprise and show masterly skill in all the branches of the undertakings.
Delegation is the ability to get results through others.
4. Selecting right man for right jobs.
5. Providing right environment.
THE PRINCIPLES OR KEY ELEMENTS IN ORGANISATION
PROCESS:
1. Departmentation:
Grouping of activities on the basis of similarity,
into separate units.
2. Delegation:
Functions, assignment of duties and
responsibilities, perform the assigned duties and responsibilities,
accountability, a subordinate, to whom the duty has been assigned.
3. Centralization:
Is the systematic and consistent reservation of
authority at central points in the organisation. Power at the central i.e., top
management departmentation is opposite of centralization.
4. Decentralization:
“Is simply a matter of dividing up the managerial
work, and assigning specific duties to various executive skills”. It refers to
the pushing down of authority and power of decision making to the lower levels
of the organisation.
5. Accountability:
When a subordinate is assigned some duties to be
performed, he will be accountable to his superior for doing or not doing that
work. A subordinate is made to answer for his success or failure in
accomplishing his responsibility and exercising his authority.
NATURE OR CHARACTERISTICS OF AN ORGANISATION:
Division of work:
Every group of persona join together for common
purpose has to divide his total efforts into different functions.
Co-ordination:
In an organisation, different persons are assigned
different functions, and get all these functions have only one aim
accomplishment of the objectives for that we require co-ordination.
Objectives:
Well-defined objectives should be there. Indicates
the result that an organisation expects to achieve in the long run. Objectives
or goals represent the end towards which all the managerial functions are
directed. Objectives direct the individual efforts and activities of an
organisation.
Authority – responsibility structure:
An organisation means an arrangement of positions
into a graded series. The positions are so ranked that each of them is
subordinate to the one above it and safer or to the one below it.
Communication:
Every organisation has its own channels and methods
of communication. Effective communication is must for success.
THE IMPORTANCE OR PURPOSE OF ORGANIZING :
1. Facilitates administration.
2. Facilities growth and diversification.
3. Answer an optimum use of human resources.
4. Adoption of new technology.
5. Helps in giving importance to various
activities.
6. Encourage creativity and initiative.
7. Facilitates training and development of
personnel.
Classical and modern views of organizing
•
Mechanistic
Organization
–
Rigidly and
tightly controlled structure
–
Tries to
minimize the impact of differing human traits
–
Most large
organizations have some mechanistic characteristics
•
Organic
Organization
–
Highly adaptive
and flexible structure
–
Permits
organization to change when the need arises
–
Employees are
highly trained and empowered to handle diverse job activities
–
Minimal formal
rules and little direct supervision
Mechanistic Vs Organic
Mechanistic
|
Organic
|
•
High Specialization
•
Rigid Departmentalization
•
Clear Chain of Command
•
Narrow Spans of Control
•
Centralization
•
High Formalization
|
•
Cross-Hierarchical Teams
•
Free Flow of Information
•
Wide Spans of Control
•
Decentralization
•
Low Formalization
|
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