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