Organizing Simply explained for BBA S1 - Kerala University

2. Organizing - Syllabus
• Organizing - meaning - nature and purpose -
Dimension of structure - horizontal and
vertical - dimensions - formal and informal
dimensions - organisation chart and manual -
Delegation – Decentralisation -
Departmentation - Span of management.

3. Organizing determines
What tasks are to be done
Who are able to do that
How the tasks are to be grouped
Who will report to whom
What decisions are to be made

4. Organizing:
• Organizing is the function of management
that involves developing an organizational
structure and allocating human resources to
ensure the accomplishment of objectives.
• Organizing is the process of defining and
grouping activities, and establishing authority
relationships among them to attain
organizational objectives.

5. Organizing - Definition
• According to Louis A Allen,
" Organizing is the process of identifying and
grouping of the works to be performed,
defining and delegating responsibility and
authority & establishing relationships for the
purpose of enabling people to work most
efficiently together in accomplishing
objectives.”

6. Purpose of Organizing
Divide the work to be done into specific jobs and
Departments
Assign tasks and responsibilities associated with
individual
Coordinates diverse organizational tasks.
Clusters job in to Units.
Establish relationship among individuals, group,
and departments
Allocates and deploys organizational resources

7. Organization
• Organization is a group of people working
together to achieve common goal.
• Organization is an entity comprising multiple
people that has a particular purpose.
• Organization is a formalized structure of roles
& positions.

8. • Organization structure represents the hierarchical
arrangement of various positions in an
organization.
• It defines how the jobs are formally divided,
grouped and coordinated.
• The framework in which the organization defines
how tasks are divided, resources are deployed,
and departments are coordinated.
• An organization's structure dictates who is in a
position of authority, how work is divided and
how employees are assigned duties.
Organization Structure

9. Organization Chart

10. Organization Chart
• It is a graphic representation of the structure of
an organization showing the relationships of the
positions or jobs within it.
• It is also used to show the relation of one
department to another, or others, or the function
of an organization to another.
• An organizational chart is a diagram that shows
the structure of an organization and the
relationships and relative ranks of its parts and
positions/jobs.

11. Dimensions of Organization Structure
• An organization's structure dictates who is in a
position of authority, how work is divided and
how employees are assigned duties.
They are,
• Vertical
• Horizontal

12. Vertical
• The vertical organization has a structure with
power emanating from the top - down.
• There's a well-defined chain of command with
a vertical organization, and the person at the
top of the organizational chart has the most
power.
• Employees report to the person directly
above them in the organizational structure.

14. Horizontal
• A horizontal organization has a less-defined
chain of command.
• Employees may perform many different
functions and may report to several
supervisors, rather than a single boss.
• Employees may work in teams, with everyone
on the team having input.

15. Horizontal structure

16. Hierarchical:
• In a hierarchical organization structure,
employees are grouped with every employee
having one clear supervisor.

17. Flat:
• Many levels of middle management are
eliminated. This enables employees to make
decisions quickly and independently. Thus a well-
trained workforce can be more productive by
directly getting involved in the decision-making
process.

18. Functional:
• Under a functional organization structure,
people who do similar tasks are grouped
together based on specialty and their
functions.

19. Divisional:
• Workers are grouped into teams based on the
products or projects that meet the needs of a
certain type of customer. The division of labor
in this kind of structure ensures workers
making similar products can achieve greater
efficiency and higher output.

20. Matrix:
• A matrix structure combines elements of the
functional and divisional models. It groups people
into functional departments of specialization, then
further separates them into divisional projects and
products.

21. Network:
• Network organizational structure helps
visualize both internal and external
relationships between managers and top-level
management.

22. Elements of Organization Structure
(Organizational Design)
Work Specialization
Delegation of Authority
Departmentalization
Chain of Command
Span of Management
Centralization & Decentralization
Formalization

23. Work Specialization
• Work Specialization is the degree to which
organizational tasks are sub-divided into
individual jobs.
• Work specialization allow managers to break
complex tasks into smaller, more precise tasks
that individual employees can complete.

24. Delegation of Authority
• It is the process of assigning duties and
authority.
• Here rather than doing the entire work, the
works are broken down into number of steps,
with each steps being completed by separate
individuals.

26. Departmentalization
Departmentalization is the basis on which
individuals are grouped into departments and
departments into total organizations.
The main advantage of departmentalization is
obtaining efficiencies from putting specialists
together.

27. Departmentalization includes,
• Functional
• Product / Service
• Geography
• Process
• Customer

28. Chain of Command
• It is the unbroken line of authority that
extends from the top of the organization to
the lowest level and clarifies who must report
to whom.

30. Span of Management
• The total number of subordinates who can be
effectively and efficiently supervised and
controlled by a manager.
• Two Types
Narrow Span
Wide Span

31. Narrow span / Tall Hierarchy

32. Wide span / Flat Hierarchy

33. Centralization & Decentralization
• Centralization is the degree to which decision making
is concentrated at a central or single point in an
organization.
• The top management makes the organization's key
decisions with little or no input from lower level.
• Control and Decision making by the Top level

34. Decentralization
• Decentralization is Delegation of Authority to
lower level management and to all
departments of the organization. Here the
authority is pushed down to the lower level
management.

35. Formalization
• The degree to which jobs in the organization
are standardized.
• The extend to which employee behaviour is
guided by rules and procedures.
• The written document used to direct and
control employees