Organizing and Organizational structure

By-
Faisal Usmani
Mohammad Aamir Khan
Adnan
Irisha Herdwaria
Organizing and Organizational
Structure
Organizing

Organizational structure

Case study
Meaning of organizing-
•Organizing is the process of defining and
grouping activities and establishing authority
relationship among them to attain organizational
objectives.

•Organizing Definition-

“Organizing is the process of identifying and

grouping of the works to be performed,
defining and delegating responsibility and
authority and establishing relationships for
the purpose of enabling people to work most
efficiently" - Louis A. Allen
•How does organizing help-
•Organizing helps Organizations' to reap the benefit
of specialization.
•Organizing provides for Optimum utilization of
resources.
•Organizing helps in Effective administration.
•Organizing channels for Expansion and growth.
•Organizing achieves co-ordination among different
departments.
•Organizing Process-

1. Division of work:
The first process of Organizing includes
identification and division of work which
shall be done in accordance with the plans
that are determined previously.
2- Departmentation:
once the work of identifying and
dividing the work has been done
those are similar are to be grouped.
3- Linking departments:
When the process of departmentation was
completed, linking of departments has to be
done so that those departments operate in
a co-ordinated manner which gives a shape
to overall organizational structure.
4- Assigning Duties:
On completion of departmentation process
assigning duties i.e. defining authority
and responsibility to the employees on the basis
of their skills and capabilities has to be done,
which in consequence magnifies efficiency with
regard to their work.
5-Defining hierarchal structure:
Each employee should also know from
whom he has to take orders and to whom he
is accountable/responsible.
 Organizational Structure:
Meaning-
•Organizational structure is the pattern of relationships
among various components of the organization.
• Whenever an enterprise grows in size or complexity it
needs an adequate organization structure.
• An effective structure will result in increased profitability
of the enterprise.
•Definition
•Every company has two organizational structures:
The formal one is written on the charts; the other is
the everyday relationship of the men and women in
the organization.

-Harold S. Geneen
 Organizational structure types-

•Line and Staff organization Structure:

•Staff personnel generally specialists in their fields
advice line managers to perform their duties. Staff
personnel have right to recommend, but have no
authority.
•Functional structure:
•Employees within the functional divisions of an organization
perform a specialized set of tasks, for instance the computer
Engineering department would be staffed only with software
engineers and not with mechanical engineer.

• This leads to operational efficiencies within that

group.
•Divisional structure:
•The divisional structure, groups each organizational
function into a division.
•Each division within a divisional structure contains all the
necessary resources and functions within it.
• Divisions can be categorized from different points of view.
One might make distinctions on a geographical basis (a US
division and an EU division, for example). In another
example, an automobile company with a divisional structure
might have one division for SUVs, another division for
subcompact cars, and another division for sedans.
•Matrix structure:
•The matrix structure groups employees by both function
and product. This structure can combine the best of both
separate structures.
• example- A company that produces two products,
"product a" and "product b". Using the matrix structure,
this company would organize functions within the
company as follows-
"product a" sales department, "product a" customer
service department, "product a" accounting, "product b"
sales department, "product b" customer service
department, "product b" accounting department.
•Case study-
Mumbai Dabbawalas
Introduction-
 A Dabbawala is a person in the Indian city, Mumbai,
whose job is to carry and deliver freshly made foods
from home in lunch boxes to office workers.
 The Dabbawala originated when India was under
British rule.
 Though the work sounds simple, it is actually a high
specialized trade which has become integral to
Mumbai’s culture.
APPROACH-
DISCIPLINE :
 No Alcohol Drinking during business hour.
 Wearing White Caps during business hour.
 Carry Identity cards.

LATEST MARKETING STRATEGY :

 Marketing message in “dabba”.
 How do they do it...? Executive commitiee
(5members)

 War against time Team of 20-25 headed by group

leader
(10.30 – 1.00)

Inividual dabbawala
workload=30 tiffins
ORGANISATIONAL STRUCTURE
PRESIDENT

VICE PRESIDENT

GEN. SECRETARY

TREASURER

DIRECTOR(19)

MUKADAM

MEMBERS
5000
 Awards and Felicitation-

 Shri. Varkari Prabhodhan Mahasmati Dindi(palkhi) –

4th March 2001.
 Invitation from CII for conference held in Banglore.
 Documentaries made by BBC , UTV , MTV , and ZEE
TV.
 Some Achievements-

 World record in best time management.

 Name in “GUINESS BOOK of World Records”.

 Registered with Ripley’s “believe it or not”

 Online Services and Order
through SMS-
 Developing a software application through which
people of Mumbai can order Dabba service online
through internet.
 The Dabbawalas have started to embrace technology,
and now allow booking for delivery through SMS.
Case study-
Amul Butter
 HISTORY
 It began with two village cooperatives and 250 litres of milk
per day.
 Today amul collects , processes & distributes over a million
litres of milk and milk products per day on behalf of more than
1000’s village cooperative owned by a half a million farmer
members.
 It started as the awareness among the farmers that grew &
mature into protest movement.
 Life of farmer Iin Kiara district is very difficult and unjustible.
As thir income is entirely derived from seasonal crop.
Marketing anddistributionb system was
controlled by private tradors & middleman,
so farmer are compelled to sell it for watever
they was offered.
Realization is what led to establishment of
Kiara district cooperative milk product which
is formally registered on december 14, 1946..
By the end of 1948, 400 farmers joined in
more village society and quantity of milk
handled by one union increase from 250 –
5000 litres a day.
THE KAIRA EXPERIMENT:A
NEW BEGINNING
Management comitee & its Chairemen
educating them about democratic process.
Rich and poor , the elite &ordinary come
together to cooperate for common cause.
One might wonder is that the farmer who knows
almost everythng about impregnating a cow or a
buffalo is also equally aware of processing the
human &work towards planning it,
Everyday AMUL collects 4,47000 litres of milk
from 2.12 million farmers convert milk into
branded package products & deliver goods worth
Rs6 crore to over 5,00,000 retail across country.
ORGANISATIONAL STRUCTURE OF AMUL
 It all started in Dec.1946 with groups of farmerskeen to free
themselv from intermediaries gain access to market.
 Based in village of Anand the Kaira district milk cooperative
union (ie AMUL) expanded exponentially.
 It join hand with other milk cooperative &Gujarat network
now cover 2.12 million farmer, 10411 village level milk
collection centers &14 district level plants under overall
supervision of GCMMF.
 This initiative would directly benefit small farmers &
contribute to development of society.
 Markets then and today are primitive and poor in
infrastructure. Amul & GCMMF acknowledge that
development & growth couldn’t be left to market forces and
that proactive intervention was required.
oManagement of this network is made more
complex by fact tht GCMMF is directly
responsible only for small part of chain.
oAMUL adopt a low cost price strategy to make
its product affordable.
oThe GCMMF enhanced the Product mix
through progressive addition of higher value
product.
oAs compare to high value dairy product
segment from other firm Amul product is
consistent with care , philosophy of providing
milk at basic affordable price.
oAmul products are avialable in over 5,00,000 retail
outlet across India through its network ovr 3500
distributors. There are 47 depot with dry and cold
warehouse.
oGCMMF on and advance demand draftinstead of
cheque system.(As demand draft minimise dumping)
o The board drawn from heads of all unions and
boards of union comprise of farmers elected through
village societies.
oTechnologies and initiative is properly organised-
new product, process technology, complementary
assets enhance milk production &e-commerce.
oGCMMF was one of the fast moving consumer goods
firm Implement B2C commerce.
CONCLUSIO
Thank you!