What is Organizing Function of Management?

Organizing function of management plays a significant role in implementation of a plan. The management function of organizing ensures that efforts are directed towards the attainment of goals laid down in planning phase in such a manner that sources are optimally and efficiently used.

Organizing implies a process which coordinates human efforts to assemble resources for achieving specified objective.

Steps in the process of Organizing function of management

Organizing involves a series of steps that need to be taken in order to achieve the desired goal.

  • Identification and division of work
    The first step involves identifying and dividing the work into manageable activities so that the duplication of efforts can be avoided.
  • Departmentalisation
    The activities which are similar in nature are grouped into departments. The process is called departmentalisation.
  • Assignment of Duties
    Jobs are allocated to members of each department in accordance to their skills and completeness. The work must be assigned to those who best fit to perform well.
  • Establishing reporting relationship
    Each individual should not know who he has to take order from and to whom he is accountable. The establishment of clear relationships helps to create a hierarchal steps and helps in coordination among departments.

Organization Structure

The organization structure is defined as the framework within which managerial and operating tasks are performed. It specified relationships between people, work and resources. It enables an enterprise to function as an integrated unit by regulating and coordinating the responsibilities of individuals and departments
Span of Management:  it refers to the number of subordinates that can be effectively managed by a superior.

Types of Organization Structure

The type of structure adopted by an organization varies with the nature and types of activities performed by an organsation. The organizational structure can be classified into two categories:

  • Functional structure:  A functional structure is an organizational design that groups similar or related jobs together. It is most suitable when the size of the organization is large, has a diversified activities and operations require a high degree of specialization. The figure below depicts an example of functional structure:
    organizing function of management
  • Divisional structure: It is an organization structure comprises of separate business units or divisions. Each unit has a divisional manager responsible for performance and who has authority over the unit. Each division is self-contained as it develops expertise in all functions related to a product line. The figure below depicts an example of divisional structure:
    organizing in management

We hope you liked this article on Organizing Function of Management. Here are few useful articles for you to read next:

Download this article as PDF

Click to go to RBI Grade B Preparation Page

Tags: organizing in management, organizing function, organizing process in management with examples, organizing and management, organising function of management, organising in management functions