Importance of organizing
Organizing is one of the important functions of management. It is the process of defining and grouping the activities and establishing the formal relationship among them. The following are the major importance of organizing:
1. Efficient and effective management
A good organizational structure is the first requirement of efficient management. It is the system through which a manager directs, controls and coordinates the business activities. The manager delegates authority and responsibility to subordinates on the basis of their skill and efficiency.
2. Facilitates specialization
A sound organizational structure helps to develop specialization among the workers. It takes care of division and subdivision of various types of work among managers and subordinates. The division and classification of work lead to developing specialization among the workers.
3. Avoids overlapping and duplication
Organizing helps to avoid overlap and duplication of efforts. In the process of arranging, work is divided into many departments, sections, and individuals. This helps to avoid duplication and overlap of activities and efforts.
4. Optimum use of human resources
Human resources are the main elements of an enterprise to mobilize other resources. A sound organizational structure ensures the right person at the right job. The effective use of human and other resources helps to minimize the cost of output.
5. Defines authority responsibility relationship
A sound organizational structure clearly defines the authority-responsibility relationship among all the members. Thus, the clarification of authority-responsibility relationship brings smoothness in organizational performance.
6. Basis of co-ordination
Organizing is the basis of co-ordination. It is known as the important means of coordination among various departments and persons of the enterprise. It develops the feeling of team spirit among the members to achieve common objectives.
7. Establishes channels of communication
A sound organizational structure clarifies the channels of communication through the scalar chain. The clear communication among the members is the basis of the effective completion of defined objectives.
8. Leads to growth and diversification
Organizing leads to growth and diversification of business activities of the enterprise. It provides a framework within which an enterprise can expand and grow its business. It helps to keep control of various activities of the enterprise.
9. Productivity and job satisfaction
organizing creates a good working environment in the enterprise. It creates such an environment where people can perform their job efficiently. Besides, it promotes efficiency development programs like training, workshop, seminar, etc. This contributes to minimizing wastage and misuse of resources.
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