CHAPTER 5 ORGANISING

Meaning and steps Meaning: It is a process of grouping activities and establishing authority relationships among them. Steps: – identification and division of work –Departmentalization –Assignment of duties –Establishing reporting relationships

Importance of organising Division of work Clarity in reporting relationships Optimum utilization of resources Growth Better administration Greater creativity

Organisation structure It is a framework within which managerial and operating tasks are performed. It can be of two types – functional and divisional. Span of management: It is a number of subordinates under a superior. It can be wide span and narrow span.

Functional structure Managing director Human resourcesMarketing Purchasing

Divisional structure Managing director CosmeticsGarments Marketing Human resources Purchasing Footware

Formal organisation It is the structure which is designed by the management to accomplish a particular task.

Informal organisation It is a network of social relations among employees in a organisation. Ex:friendship in the organisation. It has got no written rules

Characters tics Based on formal organisation It has no written rules and procedures. Independent channels of communication Not deliberately created It lacks stability

Advantages Effective communication Fulfills social needs Fulfills organizational objectives LIMITATIONS it creates rum ours It resists changes Pressure of group norms

DELEGATION

Meaning It is assigning the work to others and giving them authority to do it. It is the process of entrusting responsibility and authority and creating accountability of the person to whom work or responsibility has been handed over.

Process of delegation 1.Assigning responsibility Divides the while work Routine jobs are delegated and crucial jobs are done by the managers

2.Granting of authority: Responsibility without authority is meaningless. Parity of authority and responsibility is required.Thus all needed authority should be delegated for the fulfillment of a responsibility

3.Fixing responsibility: this means to hold subordinates responsible for their work performance.Every subordinate is just accountable to that officer who delegates authority for the fulfillment of jobs.

Importance of delegation Effective management Employees development Motivation of employees Facilitation of growth Basis of management hierarchy Better co-ordination