Information of Organization

1. ORGANIZING
SURESH BABU KN
PG DEPT. OF COMMERCE
SDM College Ujire.

2. ORGANIZING
Organizing is the process of detailed
arrangement of work and working
conditions in order to perform the
assigned activities in an effective manner.
Definition:
Mc. Farland “ an identified group of people
contributing their efforts towards the
attainment of goals”

3. Concept:
1. As entity
a. Identifiable aggregation of human
beings
b. Deliberate and conscious creation
c. Purposive creation
d. Co-Ordination of activities
e. Structure
f. Rationality
2. As a group of people
3. As a structure
4. As a process
a. Departmentation
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4. b. Linking departments
c. Defining authority and responsibility
d. Prescribing authority relation ship
Principles of Organization:
1. Principles of definition
2. Principles of objective
3. Principles of specialization
4. Principles of co-ordination
5. Principles of authority
6. Principles of responsibility
7. Principles of explanation
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5. 8. Principles of efficiency
9. Principles of uniformity
10. Principles of unity of command
11. Principles of balance
12. Principles of leadership
13. Principles of exception
14. Principles of flexibility
15. Principles of unity direction
16. Principles of span of control
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6. Importance :
1. Facilitate administration
2. Increase the efficiency of the management
3. Facilitates growth and diversification
4. Adoption of new technology
5. Ensures optimum utilisation of material
resources and human efforts
6. Places proportionate importance to the
various activities of the enterprises
7. Encourages creativity and initiative
8. Facilitates co-ordination
9. Facilitates training and development of
managerial personnel
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7. Classification of organization:
1. Formal organization
2. Informal organization
1. Formal organization:
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8. Features:
1. It is properly planned
2. It is based on delegated authority
3. It provides division of labour
4. It provides unity of command
5. Organization charts are usually drawn
6. It is deliberately impersonal
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9. Advantages:
1. The definite boundaries of each worker is
clearly fixed.
2. Easily can avoid the overlapping
responsibilities
3. It gives a sense of motivation
4. Sense of security arises from classification
of works.
5. There is no chance of faviourism in
evaluation
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10. • Disadvantages
• It does not takes in to consider sentiments
and values of employees
• It reduces the work speed of employees
• It creates the problems of coordination
• Some times
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11. Informal organization:
• Features:
1.The structure gets created automatically
without any intended efforts of managers
2. It is formed by the employees to get
psychological satisfaction
3.The structure does not follow any fixed path
of flow authority
4. The existence of informal organization
structure depends up on the formal
organization structure
5. Any person can communicate any one with
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12. Advantages:
1. Fast communization
2. Fulfills social needs
3. Grapevine communication
4. Team work
5. Compensate the short working of formal
organization
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13. Disadvantages:
1. Spread rumors
2. No systematic working
3. May bring negative results
4. More emphasis to individual interest
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14. Line organization
It is also known as scalar, military, or
vertical organization.
This concept holds that in any organization
or hierarchy derived from a scalar process,
there must be a single head who
commends it.
Advantages
1. Simplicity
2. Discipline
1. Prompt Decision
2. Orderly communication
3. Easy supervision and control
4. Economical
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15. 7. Overall development of the manager
Disadvantages:
1.Over loading
2. Lack of specialisation
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16. Line and Staff organization
It combines the line organization with staff
department that support and advise line
organizations. Most of the medium and large
sized firms exhibit line and staff
organisational structure.
Merits:
1. Sound managerial decisions
2. Relief to line executives
3. Chances of promotion
4. Improvement in efficiency
5. Discipline
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17. Advantages:
1. Committee decisions are better than
individual decisions
2. Better co-ordination of activities
3. Group discussion leads to creative
thinking
4. Participative in group decision making
Disadvantages:
1. Delay in decisions
2. Group action may lead to compromise
and indecision
3. Conflict between line and staff
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