An employee is given sufficient freedom within the domain of his responsibility and his authority. Because of a sense of belonging and high morale that a well-structured organization develops among employees and also because of clear-cut accountability, recognition of skill and appreciation for their contribution towards organizational growth, the employees develop their own initiative and a spirit of innovation and creativity. Organization harmonizes employees’ individual goals with the overall objectives of the firm. It is a mechanism of management which is shown by specialization, division of labour, transparency in work, adaptability, effective administration and most of all by eminent leadership at work with the required skill. but the modem machinery is not available in the organization, in that case, Importance or Significance of a Sound Organizational Structure! When an organization plans well, employees at all levels know what the vision of the company is. Decide on a span of management 5. for example, the responsibility of completion of a project successfully is on the project manager and it is the responsibility of the project manager to update the top management about the progress of the work regularly and make them aware of the shortcomings that they are facing. This information helps in fixing responsibility This is helping in defining the jobs properly which clarifies the role of every person. IMPORTANCE OR ADVANTAGES OF ORGANIZING . Organizing – A Management Function. Determine what is to be done 2. Expansion and Growth. For example, if an employee possesses the knowledge of modem machinery specialization. In such circumstances the objectives of the organization can be easily achieved. This is because the organization will get the … Organization is the decision. Performance of the organizing function can pave the way for a smooth transition of the enterprise in accordance with the dynamic business environment. Managers, through the medium of organization, make a proper people which helps them to understand as in who happens to be their superior All the three resources are important to get results. Organization harmonizes employees’ individual goals with the overall objectives of the firm. Content Guidelines 2. facing competition. The significance of the organizing function mainly arises from the fact that it helps in the survival and growth of an enterprise and equips it to meet various challenges. Fact checked by. ADVERTISEMENTS: After reading this article you will learn about the advantages and disadvantages of different types of organisation:- 1. It helps in avoiding confusion and delays, as well as duplication of work and overlapping of effort. In this article, you are going to discover the importance of management in any organization by looking into each of these aspects. Clarity in Working Relationships 3. IMPORTANCE OR ADVANTAGES OF ORGANIZING Organization is an instrument that defines relations among different people which helps them to understand as in who happens to be their superior and who is their subordinate. In such circumstances the objectives of the Another relevant factor for team motivation and performance is the provision of benefits. Competent Without proper documentation, you could be at risk for lawsuits or other legal issues if a terminated employee sues your business for unlawful termination or discrimination. If employees are working without regard for the big picture, then the organization loses the cohesion necessary to work as a unit. Some of the beneficial outcomes of optimally designed organizational structures are: While there are many different structures that organizations can adopt, depending upon the type of organization including whether it is a service organization or a manufacturing organization, a well structured organization has many benefits. Strategic management enhances the problem-prevention capabilities of organizations because it promotes interaction among managers at all divisional and functional levels… Duplication exists when work distribution is not clearly identified and the work is performed in a haphazard and disorganized way. Effective and efficient administration: The organizing function defines the various activities and authority relationships in the organizational structure. Since a good organizational structure requires that the duties be clearly defined and assigned, such duplication of work is eliminated. That is why, it is said that … It is a function in which the synchronization and combination of human, physical and financial resources takes place. Organizing helps ineffective communication among the employees and management of the organization. On the other hand, organization can be easily achieved. Therefore, a manager needs to manage an organization in an organized manner so that work may be done. Organizations that do not plan are at a major disadvantage when compared to businesses that do plan. Organizing is integral to management as it facilitates the smooth functioning of the enterprise. Organization is an instrument that defines relations among different people which helps them to understand as in who happens to be their superior and who is their subordinate. However, to be successful with this action, it is essential to invest in items that are attractive to employees, such as food stamps, health insurance, and scholarships. As such employees may belong to a particular functional group but may contribute to a team that supports another program. Copyright © 2018-2021 BrainKart.com; All Rights Reserved. That is why, it is said that Organization In order to meet the increasing demand Assigning tasks 3. While the planning function of managers is essential to reaching business goals, lots of careful planning can go to waste if managers fail to organize the company’s assets and resources adequately. Advantages and Disadvantages of Committee Organisation. 8 Quantitative Standards against which Performance can be measured in an Organization. A matrix structure is organized to manage multiple dimensions. human and material resources of an enterprise becomes possible. increases the demand for its products. Why an Organized Home Can Be an Effective Stress Management Tool By. To answer this question, we need to go back to the drawing board – to the essential functions of management. Plagiarism Prevention 4. persons are appointed to handle all the sub-works and by handling a particular importance of organization or its merits becomes clear from the following Before publishing your articles on this site, please read the following pages: 1. Organization focuses attention of individual’s objectives towards overall objectives. It results in traceability of outcomes and the work interdependency of that particular task is reduced to a minimum. (BS) Developed by Therithal info, Chennai. into different parts. 2. The runarounds occur when we do not know who is responsible for what and we are not sent to the right people in the first instance for getting some work done. enterprise starts making available good quality product at cheap rates, it Facilitates Growth and Diversification: a decent organization structure is important for increasing commercial activity. A good organizational structure is es… work repeatedly they become specialists. in turn, helps 1. If these requirements are clearly established and the yearly increments or the cost of living increments for each type of job are properly and clearly understood, then compensation administration policies are easier to implement. the establishment of a good communication system is possible only through an among various activities in the organization is essential. In this sense, the management of business processes has become even more important, especially in sectors such as retail, distribution and electronic commerce. This information helps in fixing responsibility and developing coordination. Businesses have a huge responsibility to be compliant with employment and labor laws. Points that highlights the importance of organizing in an organization are: 1. The importance of organizing is as under: Advantage of Specialization: Organizing helps in the classification of jobs systematically amongst the workforce, which helps in the reduction of workload, as well as improved productivity. A plan, on the other hand, helps a manager organize resources and activities efficiently and effectively to achieve goals. Adaptation to Changes 5. For example, it helps to avoid confusion about the efforts. Importance of Organizing in Business Management. The assignment of each group to a manage with authority necessary to supervise it 3. Therefore, organizational function helps in achievement of results which in fact is important for the functioning of a concern. utilization of all the available the establishment of relations which, in turn, increases coordination. 2. Image Guidelines 5. Recognizing the Advantages of Planning The military saying, “If you fail to plan, you plan to fail,” is very true. Benefits of Specialization 2. allotted to every individual according to his ability and capacity and This helps in the completion of maximum work in minimum time ensuring the benefit … expansion work encourages it. Effective Administration 6. The greatest advantage of organizing information within a company is the efficiency of the resources. Organizing is a management function which follows planning. for its products an organization has to expand its business. In order to attain successfully the objectives Privacy Policy 8. Advantages and Disadvantages of Line Organisation 2. But the benefits of project management don’t end there. of work is made in such a manner as to make all the activities complementary to Below is the list of important benefits of Strategic Management that must be in your knowledge while developing a plan for your business. managers, Through the medium of organization optimum Advantages and Disadvantages of Staff Organisation 3. Organizing is a step towards effective management. Believe that these benefits of strategic management are enough to encourage people to hire a special team of strategist for the planning of their business. Apart from the positive impact on time management, organizing … Financial Benefits . Work is However, Grouping of activities is necessary to attain objectives 2. An organized professional will spend less time correcting mistakes, searching for information and fixing any clutter. A fair and equitable wage and salary schedule is based upon the premise that the jobs with similar requirements should have similar benefits. Download Template Now. Helpful in Expansion: A good organization helps the enterprise in The purpose of an organization structure is to establish a form so that they may better work together to achieve the enterprises objectives. In addition, local governments are able to share statistics and progress reports with council members and the community. Since the authority and the extent of exercise of such authority is known, it develops a sense of independence among employees which in turn is highly morale boosting. Report a Violation, 3 Steps that should be taken to Build the Structure of an Organization. Content Filtrations 6. conditions ant created to enable him to utilize his ability to the maximum Disclaimer 9. Vision and Purpose. If employees are working without regard for the big picture, then the organization loses the cohesion necessary to work as a unit. Increase in Specialization: Under organization the whole work is divided Without a plan, managers are set up to encounter errors, waste, and delays. facts. Inter-dependence gives rise to Creating coordination horizontally and vertically in the enterprise structure The purpose of organizing function of managemen… A good and balanced organization helps the In addition to that it helps in the other efforts are made to make available the modem machinery. In such circumstances the Organization is an instrument that defines relations among different The time saved means more time for doing productive things and more resources for other projects, therefore more money. The structure of the organization is the framework within which effort is coordinated. Facilitates Coordination: In order to attain successfully the objectives When an Advantages and Disadvantages of Functional Organisation 4. Sound organizing function helps the management in many ways. (1) Increase In Managerial Efficiency: A good and balanced organization helps the Organizing is the function of management that involves developing an organizational structure and allocating human resources to ensure the accomplishment of objectives. It is a function in which the synchronization and combination of human, physical, financial, and information resources takes place for the achievement of the results. extent. All resources ranging from the most important human resources to … Image Courtesy : images.flatworldknowledge.com/carpenter/carpenter-fig07_001.jpg. (2) Proper Utilization of Resources: Through the medium of organization optimum Besides helping firms avoid financial demise, strategic management offers other tangible benefits, such as an enhanced awareness of external threats, an improved understanding of competitors’ strategies, increased employee productivity, reduced resistance to change and a clearer understanding of performance-rewardrelationships. Such systematic structures lead to better coordination among the teams and departments therefore helping in the overall development of … The It provides for reporting levels both horizontally as well as vertically and uses cross-functional teams to contribute to functional expertise. Free Project Plan Template in Excel. a good organization has an element of flexibility which far from impeding the Benefits of Strategic Management. only medium which makes coordination possible. efficiency. performance in the minimum time while the organization gets the benefit of Personnel management is a process of maintaining and organizing the workerÕs welfare in order to create efficient and successful operations within an organization. managers to increase their It has a built-in system of “checks and balances” so that the progress towards the attainment of objectives is evaluated along the way so that any required adjustments can be made and any new decisions required can be taken. Copyright 10. decision at the right time. This is because planning affords benefits that make an organization competitive and efficient. Since the lines of communication and flow of authority are clearly identified on the organizational chart, the intercommunication is both clearer and easier and it eliminates ambiguity. This information helps in fixing responsibility and developing coordination. into different, A good organization helps the enterprise in In an organization the time of communication is decided so that Optimum Utilization of Resources 4. ORGANIZING Organizing is the process determining what the process to be done, how it will be done, and who is to do it., a manger who wants t Basically, a manager who wants to organize hoir or her department must address these issues: 1. Having structure around project management and knowing how to use the techniques to finish your projects in time comes … The process of organizing involves evaluating and understanding that which you are organizing to create a system to be able to locate what resource is needed with the most efficiency relative to the task. It is the process of establishing orderly uses for all resources within the management system of the organization. Organizing ensures effective role-job-fit for every employee in the organization. Since each person is assigned a particular job to perform, the responsibility of performing that job rests solely with him. Importance of Organizing Function of Management Optimum Resource Utilization. Decide how achieve coordination 4. TOS 7. Sound Communication Possible: Communication is essential for taking the right 5 Benefits of Project Planning and Management. 1. Furthermore since each job is well described in terms of qualifications and duties, the promotional stages can be more clearly established. A good organizational structure is es… It leads to efficient information exchan… the decision-making. Well defined jobs - Organizational structure helps in putting right men on right job which can be done by selecting people for various departments according to their qualifications, skill and experience. Development of Personnel 7. 6 benefits of organizing management processes with cloud ERP Today, with the coronavirus pandemic, companies face several challenges to continue their businesses. Click to download our Free Project Plan Template in Excel to begin simplifying your project management. This type of structure brings together employees and managers across departments to work toward accomplishing common organizational objectives. of the organization, coordination Employee reviews and other employee performance documentation help protect your business and ensure that you’re following all necessary and relevant laws. Organizing is the function of management which follows planning. This enables them to have maximum work Study Material, Lecturing Notes, Assignment, Reference, Wiki description explanation, brief detail. Under organization the division of the organization, Under organization the whole work is divided Is a mechanism of management. Since the goals are clearly established and resources clearly identified, both short term as well as strategic planning becomes more focused and realistic and such planning contains the provision to permit changes to be made in the right direction including expansion and contraction of facilities, operations and activities when it becomes necessary. distribution of the whole work among different people according to their Since the organizational chart clearly pinpoints the positions of individuals relative to one another, it is easier to know as to which level a person has reached at any given time in the organizational hierarchy. Organizing is the function of management which follows planning. By doing so it ensures that the resources employed by the business are not wastefully used. each other increasing their inter-dependence. ability. Prohibited Content 3. organization. However, in a well organized company where the responsibilities are clearly established, this does not occur. Some of the beneficial outcomes of optimally designed organizational structures are: While there are many different structures that organizations can adopt, depending upon the type of organization including whether it is a service organization or a manufacturing organization, a well structured organization has many benefits. Benefits Specialization. functions of management like planning, staffing, leading, controlling, etc. and who is their subordinate. all the useful information reaches the officers concerned which. Learn about our editorial process. and developing coordination. facing competition. Elizabeth Scott, MS. twitter ; Elizabeth Scott, MS, is a wellness coach specializing in stress management and quality of life, and the author of "8 Keys to Stress Management." Elizabeth Scott, MS. Some of the benefits of organizing include the following: 1. Benefits Management. According to Organization is an instrument that defines relations among different people which helps them to understand as in who happens to be their superior and who is their subordinate. These are planning, organizing, staffing, directing, and controlling. When senior management and employees are sharing the same information, there is better communication between them to identify problem areas and find mutually agreeable solutions. As already elaborated efficient organizing involves putting together the right things at the right places and sticking it all together to get the job done. Importance of Organizing. utilization, Communication is essential for taking the right Organizing in an organization helps in defining the roles of every person and therefore defines the hierarchy in the organization in a better manner. To establish a formal system of roles that people can perform means that the purpose of organizing is. While the planning function of managers is essential to reaching business goals, lots of careful planning can go to waste if managers fail to organize the company’s assets and resources adequately. When, Important Short Questions and Answers: Principles of Management - Planning, Strategy formulation and implementation process, Decision making process: Problem Analysis vs Decision Making, Formal and Informal Organization: Characteristic Features, Advantages and Disadvantages, Differences Between Formal and Informal Organization, Line and Staff authority: Types, Features, Advantages and Disadvantages, Departmentation: Various patterns, Advantages and Disadvantages, Span of control: Factors Affecting, Advantages and Disadvantages. This is one of the most important benefits, because having the data readily available and clearly communicating it builds trust in the organization. It is the process of organizing groups and sub-divide the various activities and jobs based on the concept of division of labor. Some of the benefits of organizing include the following: 1. Confusion about the efforts duties, the promotional stages can be easily achieved process establishing. 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