In this tutorial, we will learn about the organization that can be defined as a collection of people and coordination to achieve the enterprise’s objectives.

Organizational management is a combination of many components of leadership within a company. The actual structure of the company is utilized to gather information to analyze it. This analysis is then used to develop strategies that are then implemented and executed via meetings, training, and promotion. Every business utilizes organizational management differently, contingent on the unique needs of the company.

`It is a collectivity of people, and in the operative sense, it is referred to as a division of work. It is a social unit of structured and managed people to meet a need or to pursue collective goals. All organizations have a management structure that determines relationships between the different activities and the members and subdivides and assigns roles, responsibilities, and authority to carry out various tasks. Organizations are open systems they affect and are affected by their environment.


Features Of Organization:

  • Identification and classification of activities consistent with organizational objectives.
  • Establishment of super-subordinate relationships.
  • In-formations of functional units/ departments.
  • Provision for effective coordination and establishment of a definite line of supervision.
  • Deliberate and Conscious Creation and Recreation
  • Achievement of Common Objectives
  • Division of Work
  • Coordination
  • Co-operative Relationship
  • Well Defined Authority Responsibility Relationship

Importance\Merits\Advantages Of Organization:

  • Facilitates administration.
  • Facilitates growth and Diversification
  • Permits optimum use of resources
  • Transfer and adaptation of technology
  • Encourages the synergy effect. It is the effect that enhances the performance of the team when one efficient member motivates other standard members to work more efficiently.

Steps Involve In Organization:

Determination of objectives:

Since objectives provide a strategy to the management, it will give unity of direction in the organization. A business enterprise to be successful in its venture must have well-determined objectives. 

Therefore, the determination of the goals is the foremost step in the process of an organization. It consists of deciding as to why the proposed organization is set up, what will be the nature of the work, what jobs will have to be accomplished, etc.

Identification and Grouping of Activities:

In the case of a bigger group, all the jobs must be assigned clearly to the employees with a well-defined authority and responsibility.

Examine each activity identified to determine its general nature ( marketing, production, finance, personnel, etc.)

Allotment of Duties:

After duties and tasks have defined, they should be allotted to the members depending upon their ability.

Developing Relationships:

An individual should be given sufficient authority to do the job assigned to him. It will facilitate smooth functioning. The responsibility of each individual or post is decided, for example, the purchase manager will be given the task of purchasing goods, the sales manager will be given the work of sale of products, the advertising manager will be given the job of advertisement, and in the same way, the finance manager will be given the responsibility of making financial arrangements.

Integration of activities:

It can be achieved through an effective communication system and authority relationships.