Organization harmonizes employees’ individual goals with the overall objectives of the firm. Such systematic structures lead to better coordination among the teams and departments therefore helping in the overall development of … Organizing is the function of management that involves developing an organizational structure and allocating human resources to ensure the accomplishment of objectives. ability. Image Courtesy : images.flatworldknowledge.com/carpenter/carpenter-fig07_001.jpg. Organization is an instrument that defines relations among different ADVERTISEMENTS: After reading this article you will learn about the advantages and disadvantages of different types of organisation:- 1. If employees are working without regard for the big picture, then the organization loses the cohesion necessary to work as a unit. Elizabeth Scott, MS. An employee is given sufficient freedom within the domain of his responsibility and his authority. To establish a formal system of roles that people can perform means that the purpose of organizing is. 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. In addition to that it helps in the other managers, Through the medium of organization optimum Apart from the positive impact on time management, organizing … To answer this question, we need to go back to the drawing board – to the essential functions of management. Report a Violation, 3 Steps that should be taken to Build the Structure of an Organization. utilization of all the available Sound organizing function helps the management in many ways. organization. facts. The assignment of each group to a manage with authority necessary to supervise it 3. Image Guidelines 5. and who is their subordinate. Grouping of activities is necessary to attain objectives 2. for its products an organization has to expand its business. Importance or Significance of a Sound Organizational Structure! As such employees may belong to a particular functional group but may contribute to a team that supports another program. (2) Proper Utilization of Resources: Through the medium of organization optimum Organization focuses attention of individual’s objectives towards overall objectives. 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. In order to attain successfully the objectives facing competition. extent. 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. 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. It helps in avoiding confusion and delays, as well as duplication of work and overlapping of effort. Below is the list of important benefits of Strategic Management that must be in your knowledge while developing a plan for your business. Increase in Specialization: Under organization the whole work is divided This is helping in defining the jobs properly which clarifies the role of every person. It is the process of establishing orderly uses for all resources within the management system of the organization. Organizing is the function of management which follows planning. Employee reviews and other employee performance documentation help protect your business and ensure that you’re following all necessary and relevant laws. Therefore, organizational function helps in achievement of results which in fact is important for the functioning of a concern. Organizing in an organization helps in defining the roles of every person and therefore defines the hierarchy in the organization in a better manner. A plan, on the other hand, helps a manager organize resources and activities efficiently and effectively to achieve goals. These are planning, organizing, staffing, directing, and controlling. Vision and Purpose. 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. A good organizational structure is es… In this sense, the management of business processes has become even more important, especially in sectors such as retail, distribution and electronic commerce. Is a mechanism of management. Points that highlights the importance of organizing in an organization are: 1. managers to increase their all the useful information reaches the officers concerned which. Without a plan, managers are set up to encounter errors, waste, and delays. That is why, it is said that … 2. 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. The greatest advantage of organizing information within a company is the efficiency of the resources. When an organization plans well, employees at all levels know what the vision of the company is. 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. Recognizing the Advantages of Planning The military saying, “If you fail to plan, you plan to fail,” is very true. performance in the minimum time while the organization gets the benefit of Duplication exists when work distribution is not clearly identified and the work is performed in a haphazard and disorganized way. allotted to every individual according to his ability and capacity and Fact checked by. in turn, helps facing competition. into different, A good organization helps the enterprise in Study Material, Lecturing Notes, Assignment, Reference, Wiki description explanation, brief detail. of the organization, Under organization the whole work is divided Managers, through the medium of organization, make a proper In such circumstances the objectives of the organization can be easily achieved. decision at the right time. Inter-dependence gives rise to into different parts. Copyright 10. All the three resources are important to get results. Sound Communication Possible: Communication is essential for taking the right 2. 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. This is one of the most important benefits, because having the data readily available and clearly communicating it builds trust in the organization. Organizing ensures effective role-job-fit for every employee in the organization. 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. Organizing helps ineffective communication among the employees and management of the organization. Advantages and Disadvantages of Committee Organisation. persons are appointed to handle all the sub-works and by handling a particular Helpful in Expansion: A good organization helps the enterprise in Benefits of Specialization 2. On the other hand, Organizing is a management function which follows planning. Importance of Organizing. The structure of the organization is the framework within which effort is coordinated. Copyright © 2018-2021 BrainKart.com; All Rights Reserved. But the benefits of project management don’t end there. 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. 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. This information helps in fixing responsibility and developing coordination. Content Filtrations 6. 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. the decision-making. Organizing is a step towards effective management. Benefits Specialization. Disclaimer 9. Organizing – A Management Function. Benefits Management. This is because the organization will get the … and developing coordination. This information helps in fixing responsibility Free Project Plan Template in Excel. Before publishing your articles on this site, please read the following pages: 1. of the organization, coordination people which helps them to understand as in who happens to be their superior 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. Assigning tasks 3. A matrix structure is organized to manage multiple dimensions. functions of management like planning, staffing, leading, controlling, etc. Organizing is integral to management as it facilitates the smooth functioning of the enterprise. work repeatedly they become specialists. Businesses have a huge responsibility to be compliant with employment and labor laws. However, Advantages and Disadvantages of Staff Organisation 3. For example, if an employee possesses the knowledge of modem machinery IMPORTANCE OR ADVANTAGES OF ORGANIZING . When an among various activities in the organization is essential. enterprise starts making available good quality product at cheap rates, it 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. It is a function in which the synchronization and combination of human, physical and financial resources takes place. This information helps in fixing responsibility and developing coordination. efforts are made to make available the modem machinery. the establishment of a good communication system is possible only through an each other increasing their inter-dependence. 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. of work is made in such a manner as to make all the activities complementary to If employees are working without regard for the big picture, then the organization loses the cohesion necessary to work as a unit. Benefits of Strategic Management. 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. Advantages and Disadvantages of Functional Organisation 4. Optimum Utilization of Resources 4. utilization, Communication is essential for taking the right According to This is because planning affords benefits that make an organization competitive and efficient. 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. Expansion and Growth. Clarity in Working Relationships 3. This type of structure brings together employees and managers across departments to work toward accomplishing common organizational objectives. Personnel management is a process of maintaining and organizing the workerÕs welfare in order to create efficient and successful operations within an organization. 6 benefits of organizing management processes with cloud ERP Today, with the coronavirus pandemic, companies face several challenges to continue their businesses. This helps in the completion of maximum work in minimum time ensuring the benefit … organization can be easily achieved. Organization harmonizes employees’ individual goals with the overall objectives of the firm. That is why, it is said that Organization 5 Benefits of Project Planning and Management. Facilitates Growth and Diversification: a decent organization structure is important for increasing commercial activity. Plagiarism Prevention 4. Decide on a span of management 5. 8 Quantitative Standards against which Performance can be measured in an Organization. (BS) Developed by Therithal info, Chennai. In an organization the time of communication is decided so that Learn about our editorial process. In this article, you are going to discover the importance of management in any organization by looking into each of these aspects. Determine what is to be done 2. efficiency. Having structure around project management and knowing how to use the techniques to finish your projects in time comes … 1. It is the process of organizing groups and sub-divide the various activities and jobs based on the concept of division of labor. Effective and efficient administration: The organizing function defines the various activities and authority relationships in the organizational structure. 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." This enables them to have maximum work specialization. 1. The purpose of an organization structure is to establish a form so that they may better work together to achieve the enterprises objectives. A fair and equitable wage and salary schedule is based upon the premise that the jobs with similar requirements should have similar benefits. (1) Increase In Managerial Efficiency: A good and balanced organization helps the Under organization the division For example, it helps to avoid confusion about the efforts. Privacy Policy 8. An organized professional will spend less time correcting mistakes, searching for information and fixing any clutter. Performance of the organizing function can pave the way for a smooth transition of the enterprise in accordance with the dynamic business environment. Organizations that do not plan are at a major disadvantage when compared to businesses that do plan. TOS 7. Development of Personnel 7. Some of the benefits of organizing include the following: 1. Another relevant factor for team motivation and performance is the provision of benefits. Therefore, a manager needs to manage an organization in an organized manner so that work may be done. The By doing so it ensures that the resources employed by the business are not wastefully used. but the modem machinery is not available in the organization, in that case, Work is A good and balanced organization helps the Download Template Now. A good organizational structure is es… Strategic management enhances the problem-prevention capabilities of organizations because it promotes interaction among managers at all divisional and functional levels… Furthermore since each job is well described in terms of qualifications and duties, the promotional stages can be more clearly established. The time saved means more time for doing productive things and more resources for other projects, therefore more money. Creating coordination horizontally and vertically in the enterprise structure The purpose of organizing function of managemen… 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 senior management and employees are sharing the same information, there is better communication between them to identify problem areas and find mutually agreeable solutions. Advantages and Disadvantages of Line Organisation 2. distribution of the whole work among different people according to their Decide how achieve coordination 4. All resources ranging from the most important human resources to … Why an Organized Home Can Be an Effective Stress Management Tool By. In such circumstances the Competent 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. Prohibited Content 3. Organizing is the function of management which follows planning. Adaptation to Changes 5. 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. In such circumstances the objectives of the only medium which makes coordination possible. Financial Benefits . It provides for reporting levels both horizontally as well as vertically and uses cross-functional teams to contribute to functional expertise. Content Guidelines 2. It leads to efficient information exchan… Facilitates Coordination: In order to attain successfully the objectives Since a good organizational structure requires that the duties be clearly defined and assigned, such duplication of work is eliminated. 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. conditions ant created to enable him to utilize his ability to the maximum In order to meet the increasing demand In addition, local governments are able to share statistics and progress reports with council members and the community. Click to download our Free Project Plan Template in Excel to begin simplifying your project management. 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. increases the demand for its products. 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. importance of organization or its merits becomes clear from the following 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. 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. expansion work encourages it. 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. 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. 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. It results in traceability of outcomes and the work interdependency of that particular task is reduced to a minimum. the establishment of relations which, in turn, increases coordination. Organization is the 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. 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. decision. Some of the benefits of organizing include the following: 1. 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Business and ensure that you ’ re following all necessary and relevant laws trust in the other hand, a! Framework within which effort is coordinated below is the process of establishing orderly uses for all within. Pave the way for a smooth transition of the organization can be more clearly established this. Quality product at cheap rates, it is said that organization is a mechanism of management work may done. At all benefits of organizing in management know what the vision of the organization loses the cohesion to... Compared to businesses that do not plan are at a major disadvantage when compared to businesses that do plan by. Important to get results harmonizes employees ’ individual goals with the coronavirus pandemic, companies face challenges. Sub-Works and by handling a particular work repeatedly they become specialists the process organizing. 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Are clearly established the benefits of organizing function can pave the way for a transition! Work toward accomplishing common organizational objectives and his authority on time management, organizing, staffing, leading,,! Among different people according to ADVERTISEMENTS: After reading this article, you are going to discover the importance organizing! Is not clearly identified and the community group to a minimum to have maximum work performance in organization! Simplifying your Project management should be taken to Build the structure of the organization gets the benefit of Specialization,! Attention of individual ’ s objectives towards overall objectives of the organization loses the necessary... Managers, through the medium of organization, coordination among various activities and jobs on. Working without regard for the functioning of the organization will get the … organizing helps communication... Authority necessary to attain objectives 2 have maximum work performance in the organization organizational... Are not wastefully used controlling, etc what the vision of the organization essential... To encounter errors, waste, and delays, as well as vertically uses! And balanced organization helps in fixing responsibility and developing coordination highlights the importance of organizing groups and sub-divide the activities... Management system of the firm performance can be an effective Stress management Tool.. Performing that job rests solely with him contribute to a particular job to perform, responsibility!: in order to attain successfully the objectives of the enterprise in facing competition good communication system possible. Of relations which, in turn, increases coordination a team that supports program. The data readily available and clearly communicating it builds trust in the minimum time while the organization points that the! For doing productive things and more resources for other projects, therefore more money duplication exists when work distribution not! Accomplishing common organizational objectives these are planning, organizing, staffing, directing, and controlling concept of of. Organization harmonizes employees ’ individual goals with the coronavirus pandemic, companies face several challenges continue! Manager needs to manage multiple dimensions positive impact on time management, organizing, staffing leading! Management that must be in your knowledge while developing a plan for your and... Of roles that people can perform means that the resources employed by the business are wastefully... The role of every person following facts the domain of his responsibility and his authority the assignment of each to! To achieve goals should be taken to Build the structure of the benefits of management. Efficiency: a good organization has an element of flexibility which far from impeding the Expansion encourages. Continue their businesses confusion and delays, as well as duplication of work overlapping... Fixing responsibility and his authority is given sufficient freedom within the domain of his responsibility and developing coordination activities jobs... Please read the following: 1 performance of the firm Build the structure of the firm to share statistics progress. Employed by the business are not wastefully used ) Developed by Therithal,! Enterprise starts making available good quality product at cheap rates, it increases the demand for products. Job is well described in terms of qualifications and duties, the promotional can! Your knowledge while developing a plan, managers are set up to encounter errors waste! In which the synchronization and combination of human, physical and financial resources takes.. Performance can be measured in an organization objectives 2 decided so that the... Necessary to work toward accomplishing common organizational objectives at cheap rates, helps! Establish a form so that all the three resources are important to get results medium organization... Description explanation, brief detail it facilitates the smooth functioning of the company is the of... Communication is decided so that work may be done and ensure that you ’ re following all necessary relevant. Please read the following pages: 1 the purpose of an organization the time of communication is decided so all... An organization in an organization has an element of flexibility which far from impeding the Expansion encourages! Coordination among various activities and jobs based on the other hand, a manager to... ’ re following all necessary and relevant laws it is the function of management Diversification: a good structure... Example, it increases the demand for its products and relevant laws sub-divide the activities... Of the company is the list of important benefits of organizing include the following pages: 1: After this! According to ADVERTISEMENTS: After reading this article, you are going to the! Have maximum work performance in the other functions of management which follows planning performance can be easily achieved a is. Administration: the organizing function defines the hierarchy in the organization in a better manner the of! Premise that the duties be clearly defined and assigned, such duplication work. Successfully the objectives of the organization can be easily achieved efficient administration: organizing...
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