Home Business & Management What is Organising? Detailed outline.

What is Organising? Detailed outline.


Most of us heard this term organising but only few knows what it is ?

In business this is the second function of management after planning so, let’s start a detailed on organising.

And understand in dept what it is.

what is in it for me

  1. Definition of organising
  2. Process Of Organisation
  3. Significance of Organising
  4. Conclusion
  5. Frequently asked questions

Definition of Organising

Once the plan form after that, the next function of managers is to organise activities and set up an organisational structure to use the plan

Setting up an organisational structure means firstly deciding the structure of what percentage of units and sub-units are needed, and secondly, how many posts are needed in each department, and then divide the authority and responsibility among different people.

Once these decisions are taken an organisational structure is set up. Organizing refers to arranging everything in orderly form and making the most complete use of resources.

When the managers are doing organising function it results in the making of an organisational structure which shapes the system of working.

For example

Your School plans to conduct Sports Day. All the teachers and students are given different jobs, various resources are arranged and a principle is selected to whom every one report for the work is done and pending. As a result, The whole arrangement is known as organising.

Process Of Organising

1. Identification and division of work

Firstly, every manager in the organisation identifies and divides the work as per plan.

The division of work confirms that there will be no duplication as well as the burden of work on one individual.

work must be equally divided among the workers. The manager divides the work into smaller units and each unit is known as a job.

For example

In a restaurant, everyone has given a job. One waiter serves the dishes, cashier receives the payment, one person cooks food, one person cleans tables, etc. with a division of work into pieces restaurant work smoothly and systematically. But if it is not there restaurant will not run successfully.

2. Grouping jobs and  Departmentalization

when work is divided into smaller jobs after that, related and similar jobs are categorised under one group and put under one department. The departmentalization or grouping of jobs can be done by the organisation in the department.

But most common two ways are

  • Functional departmentalization

In this type of department jobs that are similar to each other are managed under one department.

For example

Jobs that are related to production are classified under the production department, work related to sales will be classified under the sales department, and so on.

  • Divisional departmentalization

When a company is busy in producing more than one type of products then they prefer divisional departmentalization Under such kinds of departments jobs related to one product are grouped under one unit.

For example

If a company is producing energy drinks, chips, medicines then work related to production, sales, and marketing of energy drinks are grouped under one department, jobs related to chips under one and so on.

3. Assignment of duties

 After dividing the organisation into specialized departments then work is divided among workers on the basis of their skills and qualification. The work is given according to the skills of the employee.

They assigned duties by giving then a form called job description. This form clearly defines the duties and responsibilities of the employee towards the organisation.

4. Establishing reporting relationship

After grouping the actions and activities in all other different departments the employees have to work efficiently in the organisation and for working efficiently they need some authority.

Therefore in this step of organizing, an organisation assigns authorities to the employees matching to the job, they have to perform.

Significance of Organising

1. Benefits in specialization

In every organisation each individual is allotted some part of the work and not the whole task. Due to work allotted and assigned to the workers as per their qualifications, this will lead to specialization.

A person can automatically become professional when he is repeating the same job again and again.

For example

In a furniture shop, if a person is measuring and cutting wood for a sofa for a long time after that he became a specialist in this work by doing the same work repeatedly.

2. Role Clarity

In this step of organising employees already assigned different jobs and managers clearly define the jobs.

The jobs are defined in the written form called job description which clearly spells out what exactly has to be done in every job.

In short, This form of job brings clarity in the minds of employees.

3. Clarity in working relationships

This function is related to what all and how much powers and authority are enjoyed by managers at different levels. But managers in the organisation already know very clearly to whom they can give orders and from whom they will receive orders.

The relationships between seniours and juniours are already cleared by the organisation to the manager.

in short it defines the relation between seniors and juniors in an organisation.

4. Optimum utilization of resources

In this organising function, the job description has already cleared the jobs so there is no chance of copying of work, so there is no chance that the same work is done by two or more individuals.

5. Coordination and effective administration

Similar and related jobs are grouped under one department so, that it brings up unity in the efforts of workers and harmony in the work.

This function creates a relation between different departments with the aim of maintaining co-ordination among the different units.

In short, this function helps in working together with all other units and sub units of department.

6. Adoption to change

With the help of this function whenever the business environment changes take place because of organising we can adopt systematically, organisation function creates different units and group-related activities under each unit.

With this, changes can be adopted only in that area which may be affected by these changes, so that changes can easily speak to the whole organisation through departments.

7. Expansion and growth

When whole work and departments in the organization are divided properly and complete utilization of resources is done, the company can easily face upcoming challenges and problems and can expand their activities in a planned manner.

8. Development of personnel

The delegation of authority plays the most important role in the organising. By delegation of authorities managers try to find more methods and ways of performing the job.

It provides time for growth and innovates new technology in the companies. Delegation never reduces the workload on managers but it helps in realizing their potential for more creative work.


Organising is a very important function of management it provides a platform for all the functions of management including planning, staffing, directing, controlling. therefore It creates an organizational structure to use the plan.

Setting up organisational structure means deciding the body of working how many units and subunits or departments are needed.

Frequently asked questions

1. what type of structure can a formal organisation have?

Functional structure.
Divisional structure.

2. What would be the effect of no delegation of authority?

there will be delay in work and manager will become overburdened.

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