Class 12 Business Stud
, Organizing
Organizing is the process of defining and grouping the activities
the enterprise and establishing authority relationships among th
— Theo Haimm
In general words, organizing refers to arranging
everything in orderly form and making the most
efficient use of resources.
Organizing is a process that initiates the
implementation of plans by clarifying jobs and
working relationships and effectively deploying
resources for the attainment of identified and
desired results (goals).
, Steps in the Organizing Process
Identification and Division of Work :
The first step in the process of organizing involves identifying and dividing the work
that has to be done in accordance with previously determined plans.
The division of work make sure there is no duplication of work and there is no burden of work on on
The manager divides the work into smaller unit and each unit of work is called a job.
Grouping the Jobs and Departmentalization :
After dividing the work in smaller jobs, related and similar jobs are grouped and put under one dep
The departmentation or grouping of jobs can be done by the organization in different ways but the
common two ways are :
a) Functional Departmentation : Under this method jobs related to common functions are grouped under
department
i. For example, all the jobs related to production are grouped under the production department
ii. Jobs related to sales are grouped under the sales department and so on.
b) Divisional Departmentation :
i. When an organization is producing more than one type of product then they prefer divisional depart
ii. Under this jobs related to one product are grouped under one department.
iii. For example, if an organization is producing cosmetics, textile and medicines then jobs related to the
production, sale and marketing of cosmetics are grouped under one department, jobs related to texti
one and so on.
, Organizing
Organizing is the process of defining and grouping the activities
the enterprise and establishing authority relationships among th
— Theo Haimm
In general words, organizing refers to arranging
everything in orderly form and making the most
efficient use of resources.
Organizing is a process that initiates the
implementation of plans by clarifying jobs and
working relationships and effectively deploying
resources for the attainment of identified and
desired results (goals).
, Steps in the Organizing Process
Identification and Division of Work :
The first step in the process of organizing involves identifying and dividing the work
that has to be done in accordance with previously determined plans.
The division of work make sure there is no duplication of work and there is no burden of work on on
The manager divides the work into smaller unit and each unit of work is called a job.
Grouping the Jobs and Departmentalization :
After dividing the work in smaller jobs, related and similar jobs are grouped and put under one dep
The departmentation or grouping of jobs can be done by the organization in different ways but the
common two ways are :
a) Functional Departmentation : Under this method jobs related to common functions are grouped under
department
i. For example, all the jobs related to production are grouped under the production department
ii. Jobs related to sales are grouped under the sales department and so on.
b) Divisional Departmentation :
i. When an organization is producing more than one type of product then they prefer divisional depart
ii. Under this jobs related to one product are grouped under one department.
iii. For example, if an organization is producing cosmetics, textile and medicines then jobs related to the
production, sale and marketing of cosmetics are grouped under one department, jobs related to texti
one and so on.
