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Organizing: Prof. V. Swati

The document discusses the concepts of organizing and organization. It defines organizing as the process of structuring teams and resources after a plan is in place. An organization is defined as a social construct created by groups to achieve specific purposes through planned activities. Key aspects of organizing discussed include the importance of structure, defining roles and coordination. Organizations can be formal, based on defined hierarchies and objectives, or informal, arising from employee interactions. Both formal and informal organizations are important for coordination and achieving goals.

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Swati Venkatesh
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95 views

Organizing: Prof. V. Swati

The document discusses the concepts of organizing and organization. It defines organizing as the process of structuring teams and resources after a plan is in place. An organization is defined as a social construct created by groups to achieve specific purposes through planned activities. Key aspects of organizing discussed include the importance of structure, defining roles and coordination. Organizations can be formal, based on defined hierarchies and objectives, or informal, arising from employee interactions. Both formal and informal organizations are important for coordination and achieving goals.

Uploaded by

Swati Venkatesh
Copyright
© Attribution Non-Commercial (BY-NC)
We take content rights seriously. If you suspect this is your content, claim it here.
Available Formats
Download as PPTX, PDF, TXT or read online on Scribd
You are on page 1/ 27

ORGANIZING

Prof. V. Swati
TOPICS TO BE DISCUSSED
 Introduction
 Nature
 Importance
 Process
 Formal & Informal Organizations
INTRODUCTION
 Second function of management
 Oncea plan is in its place, one has to structure the
teams & resources
 Has direct co-relation with Organization’s success
 Follows planning
 Synchronization& combination of human,
physical & financial resources takes place
Defining Organisations

 Farnham & Horton define organisations as:


..social constructs created by groups in society to achieve specific
purposes by means of planned & co-ordinated activities.

These activities involve using human resources to act in


association with other inanimate resources in order to achieve
the aims of the organisation.

 Chester Barnard, “Organizing is a function by which the


concern is able to define the role positions, the jobs related &
the co-ordination between authority & responsibility. Hence, a
manager always has to organize in order to get results”.
Common factors in Organisations

There are at least three common factors in any


organisation:

 People

 Objectives

 Structure
Organizing
 Lack of organization is a major contributor to
crisis.
 A well-organized and efficient unit is one in
which:
 Lines of authority and responsibility are clearly
drawn—and observed.
 Jobs, procedures, and standards are clearly defined
—and followed.
 People know what to do and how to do it—and
they do it.
 Standards of quality, quantity, and performance are
7
clearly set—and met.
NATURE
 ‘Organization’ is used many ways. It means different things
to different people.
 Following uses of the term are popular:
 A group of people united by a same goal.
 An entity, an ongoing business unit engaged in optimum utilization
of human resources to create a result.
 A structure of relationships between various positions in an
enterprise.
 A process by which employees, facilities & tasks are related to each
other, with a view to achieve specific goals.

 The static & dynamic interpretations of the term organization


are quite commonly used.
Organization as a Structure
 Classical theorists: structure is important for achieving the stated
goals.
 Manager determines the work activities to get the job done, writes
job descriptions, puts people into groups & assigns them to superiors.
 He then, fixes goals, issues deadlines & establishes standards of
performance.
 Koontz & O’Donnell, “Organization is a structural relationship by
which an enterprise is bound together & the framework in which
individual effort is coordinated”.
 Depicts array of relationships.

 It is not only a network of formal, superior-subordinate relationships


but informal relationships also play an important role in processing
work.
Organization as a Structure
Organization, as a structure, has foll. features:

 Two or more persons


 Common goals
 Cooperative efforts
 Division of work
 Communication
 Rules & regulations
 Pyramidal shape
Organization as a Process
(Organizing)
 It is a process by which employees, resources & tasks are related
to each other, with a view to achieve specific goals.
 It refers to the way, work is arranged & allocated among
members of the organization, so as to achieve the goals.
 As a process, organization thus refers to one of the important
functions of management, organizing.
 Allen, ‘Organizing is the process of identifying & grouping the work
to be performed, defining & delegating responsibility & authority and
establishing relationships for the purpose of enabling people to work
most effectively together in accomplishing objectives’.
Organization as a Group
 A balance between the two aspects- dynamic & static- is made by
placing greater focus on human interaction.

 C. I. Barnard, “Organization is a system of consciously


coordinated activities or forces of two or more persons”.

 Etzioni, “Organizations are social units (or human groupings)


deliberately constructed and reconstructed to seek specific
goals”.

 W. J. Duncan, “An organization is a collection of interacting &


interdependent individuals who work toward common goals &
whose relationships are determined according to a certain
structure”.
Organization as a Group
 The
definitions emphasize on 5 essential features
common to all organizations:

 An organization always refers to people


 An organization is created for people
 People interact with one another in some way
 These interactions are specified by some sort of structure
 Interactions are facilitated to achieve joint objectives
IMPORTANCE
 Sound organization is an important prerequisite of efficient
management.

 It enables the organization in following ways:

Enlarges abilities
Facilitates effective administration
Provides growth & diversification
Facilitates optimum use of resources
Stimulates creativity
Helps in coordination
PROCESS
Identify
the Tasks
Coordinatio
n & Control

Division
of Work

Delegate
Authority

Establish
Relationship
s
FORMAL & INFORMAL
ORGANIZATIONS
 A formal organization is a group of people working together
cooperatively, under authority towards objectives that mutually
benefit the participants & the organization.

 The informal organization can be viewed as a shadow


organization.

 Formal structures will be set out on paper in the form of


organizational charts but informal structure develops in most
organizations which is based on the reality of routine
interactions between the members of the organization.
Formal Organisations

Schein defines a formal organisation as….

… the planned, co-ordination of the activities of a


number of people for the achievement of some
common, explicit purpose or goal, through the
division of labour & function, & through a hierarchy
of authority & responsibility
Formal Organisations

Formal organisations are:

 Deliberately planned and created


 Concerned with the co-ordination of activities
 Hierarchically structured with stated objectives
 Based on certain principles such as the specification
of tasks and defined relationships of authority &
responsibility
Informal Organisations

The informal organisation arises from:

 the interaction of people working in the organisation


 their psychological and social needs

 the development of groups with their own


relationships and norms of behaviour, irrespective of
those defined within the formal structure
THE FORMAL & INFORMAL
ORGANISATION
Formal Organisations
 Organisation charts

 Spans of control

 Job definitions & descriptions

 Production efficiency

 Policies & procedures


Informal Organisations
 Prestige& power
 Personalanimosities &
structures
friendships
 Emotionalfeelings,
 Grapevines needs & desires

 Groupnorms &  Effective relationships


sentiments
 Personal & group goals
 Informal leaders
Comparing Formal & Informal Table 4.2

Organisations

Source: Adapted from J. L. Gray and F. A. Starke, Organizational Behavior: Concepts and Applications, Fourth edition, Merrill Publishing
Company, an imprint of Macmillan Publishing Company (1988), p.432. Reproduced with permission from Pearson Education Inc., Upper
Saddle River, NJ.
Comparing Formal & Informal Table 4.2

Organisations

Source: Adapted from J. L. Gray and F. A. Starke, Organizational Behavior: Concepts and Applications, Fourth edition, Merrill Publishing
Company, an imprint of Macmillan Publishing Company (1988), p.432. Reproduced with permission from Pearson Education Inc., Upper
Saddle River, NJ.
Comparing Formal & Informal Table 4.2

Organisations

Source: Adapted from J. L. Gray and F. A. Starke, Organizational Behavior: Concepts and Applications, Fourth edition, Merrill Publishing
Company, an imprint of Macmillan Publishing Company (1988), p.432. Reproduced with permission from Pearson Education Inc., Upper
Saddle River, NJ.
THANK
YOU!
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