Organization

Prepared by

Rajveer Bhaskar,Assistant Professor,RCPIPER, Shirpur, M.S.

Organization

Essential part of life Organization as a structure – network of

relationships among individuals & positions in an organization.

McFarland: an identifiable group of people contributing their efforts towards attainment of goals.

Organization as a process – process of determining, arranging, grouping & assigning the activities to be performed for attainment of objectives

Nature of organization

Common purpose Division of labor Authority structure People Communication Coordination Environment Rules & regulation

Steps in organizing process

Identification of activities Grouping activities Assigning duties Delegation of authority

Need & significance of organization structure

Facilitates administration Facilitates growth & diversification Optimum use of technological improvements Encourage human beings Stimulate creativity

Principle/features of organizing structure

Unity of objectives Division of work Span of control Scalar principle Functional definition Exception principle Unity of command

Principle/features of organizing structure

Balance Efficiency Flexibility Continuity Facilitation of leadership Parity of authority & control coordination

Types of organization

Formal –deliberately created by management Informal – pattern of activities, interactions

and human relationships which emerge spontaneously due to social & psychological forces operating at workplace.

Differences

Origin- creation Nature-planned/unplanned Size-large/small Continuity- stable/unstable Focus- job/people Structure-structured/unstructured Goal-profit/satisfaction Control- rules & regulation/ group norms & valve Communication-specified/unspecified

Reasons of informal organization

Socialize Job satisfaction Source of protection Communication device Training & development Coordination & control Overcoming managerial limitation

Organization structure

Concerned with allocation of task & delegation of authority

1. Line organization – military/scalar2. Functional organization – specialization/functional3. Line & staff organization4. Project organization – division according to

projects5. Matrix organization – project + functional6. Committee organization – committee

Line & staff organization

Combination of line & functional structure Advantages1. Expert advice2. Reduced workload3. Training of personal4. Quality decision5. Flexibility

Line & staff organization

Disadvantages1. Line staff conflicts2. Confusion3. Ineffective staff4. Expensive