The document discusses the concept of organization, defining it as a system of cooperative activities between two or more people to achieve common goals. It also defines organization as an entity, a group of people, a structure, and a process. The importance of organization is outlined as providing order, encouraging specialization, improving administration, stimulating creative thinking, facilitating communication, and helping expand an enterprise. Organization is summarized as a process of identifying and grouping work, defining responsibility and authority, and establishing relationships to enable effective teamwork toward shared objectives.

1. Jul 2012
CONCEPT OF ORGANIZATION
“Organization is the form of every human
association for the attainment of common
purpose” –Mooney and Railey
“Organization is a system of cooperative activities
of two or more persons”
—Chester Bernard

2. Jul 2012
CONCEPT OF ORGANIZATION
• As an Entity
Enterprise as a whole like a company, corporation,
partnership firm, hospital, university, etc.,
• As a Group Of People
Refers to people
Composed of people who interact among
themselves

3. Jul 2012
CONCEPT OF ORGANIZATION
• As a Structure
Prescribes the relationships among individuals and
positions that they hold
• As a Process
Departmentation— Linking Departments—Defining
Authority & Responsibility— Prescribing Authority
Relationships

4. Jul 2012
CONCEPT OF ORGANIZATION
• Analysis Of Activities To Be Performed
• Grouping Activities Into Various Divisions/
Departments/ Sections
• Assigning Activities To Various Individuals
• Delegating Them Appropriate Authority

5. Jul 2012
IMPORTANCE OF ORGANISATION
• Backbone of Management
• Encourages Specialization
• Eliminates Problem of Duplicating and Overlapping
• Brings Order and Cohesiveness
• Improves Administration
• Stimulates Creative Thinking

6. Jul 2012
IMPORTANCE OF ORGANISATION
• Facilitates Effective Communication
• Helps Provide Balanced Emphasis on Various
Activities
• Helps Build Up and Expand the Enterprise
• Helps in Smooth Delegation of Authority

7. Jul 2012
CONCEPT OF ORGANIZATION
“Organization is a process of identifying and
grouping the work to be performed, defining and
delegating the responsibility and authority, and
establishing the relationships for the purpose of
enabling people to work most effectively together
in accomplishing common objectives.”
–Louis A Allen