Organising

ORGANISING

Organising is a fundamental function of management that involves assembling and coordinating human, financial, physical, informational, and other resources needed to achieve organisational goals. It is the process that initiates the implementation of plans by defining jobs, grouping activities, delegating authority, and establishing relationships among people to work effectively towards the common objectives. Organising transforms plans into action by creating an organisational structure that clarifies roles, responsibilities, authority, and reporting relationships. For example, Wipro Technologies restructured itself by decentralising management and creating subsidiaries based on product lines such as telecommunications, engineering, and financial services. Each subsidiary became self-sufficient with its own accounting, personnel, and administrative functions, empowering business leaders with greater responsibility and enabling customer orientation. Organising ensures that resources are optimally utilised and people work collectively and effectively. It removes ambiguity in duties, clarifies authority and responsibility, and facilitates coordination and cooperation among employees. Thus, organising is essential for the smooth functioning and growth of any enterprise. **Table on page 1 (12×1)** | LEARNING OBJECTIVES | | --- | | After studying this chapter you should be able to: | | ■ Explain the concept of organising; | | ■ Explain the process of organising; | | ■ Describe the importance of organising; | | ■ Explain the meaning, advantages and disadvantages of functional organisation; | | ■ Explain the meaning, advantages and disadvantages of divisional organisation; | | ■ Explain the meaning, advantages and disadvantages of formal and informal organisation; | | ■ Distinguish between formal and informal organisation; | | ■ Explain the concept of delegation and decentralisation; | | ■ Describe the importance of delegation and decentralisation; | | ■ Distinguish between delegation and decentralisation. |

• Organising is the process of coordinating human efforts and resources to achieve objectives.
• It initiates the implementation of plans by defining jobs and establishing working relationships.
• Organising creates an organisational structure that clarifies authority and responsibility.
• It helps in optimal utilisation of resources and effective teamwork.
• Decentralisation and delegation are key aspects of organising.
• Organising transforms plans into action and supports business growth.
• 📌 Organising: The process of identifying and grouping work, delegating authority, and establishing relationships to achieve objectives.
• 📌 Organisational Structure: The framework within which managerial and operating tasks are performed.

STEPS IN THE PROCESS OF ORGANISING

The process of organising involves a systematic series of steps that help structure the enterprise effectively to achieve desired goals. The steps are: (i) Identification and division of work: The first step is to identify all the work that needs to be done according to the plans and divide it into manageable activities to avoid duplication and share workload. (ii) Departmentalisation: After dividing work, similar activities are grouped together into departments based on criteria such as product, territory, or function. This grouping facilitates specialisation and coordination. (iii) Assignment of duties: Jobs are allocated to individuals within departments based on their skills and competencies, ensuring a proper match between job requirements and employee abilities. (iv) Establishing authority and reporting relationships: Clear lines of authority and accountability are established so that each employee knows who to report to and who is responsible for what. This creates a hierarchical structure that facilitates coordination and control. For example, if twelve students are assigned to unload books, stock shelves, and dispose of waste, grouping them under supervisors and assigning specific tasks ensures faster and better completion of work. These steps collectively help in translating plans into effective action by organising resources and people.

• Identification and division of work breaks down tasks into manageable units.
• Departmentalisation groups similar activities for specialisation.
• Assignment of duties matches jobs to employees' skills.
• Authority and reporting relationships clarify who commands and who reports.
• Creates a hierarchical structure for coordination and control.
• Prevents duplication and confusion in work execution.
• 📌 Departmentalisation: Grouping of activities or jobs into departments based on similarity.
• 📌 Authority: The right to command and take decisions within an organisation.
• 📌 Responsibility: Obligation to perform assigned duties.