Essentials of Organizing as a Management

Function
Prof. Santanu Mukherjee
Management Functions
 What is Organizing?
• Organizing is the function of management that involves
 Developing an organizational structure, and;
 Allocating human resources to ensure the accomplishment of objectives.
• The structure of the organization is the framework within which effort is
coordinated.

 Organization Structure

• Defines how a task allocation,

coordination and supervision are
directed toward the achievement
of organizational goals.
• Considered as the viewing glass
through which individuals see
their organization and its
environment.
 Organizational Design
• Organizational design is a step-by-step methodology
Identifies dysfunctional aspects of work flow;
Procedures;
Structures and systems.
• Realigns them to fit current business realities/goals and then develops
plans to implement the new changes.
Purpose of Organizing
Nature of Organizing
 Principles Organizational Design
• Declare amnesty for the past - Organization design should start with
corporate self-reflection
What is your sense of purpose?
How will you make a difference for your clients, employees, and
investors?
What will set you apart from others, now and in the future?
What differentiating capabilities will allow you to deliver your value over
the next two to five years?
 Principles Organizational Design
Elements of Organization Design
 Principles Organizational Design
• Make the most of top talent
Talent is a critical but often overlooked factor when it comes to org
design; 
But in reality, you need to design positions to make the most of the
strengths of the people who will occupy them;
Technical skills and managerial acumen of key people – empower the key
people with all equipment's;
 Principles Organizational Design
• Promote accountability
Rapid information flow;
Clear decision rights;
Motivators;
Structure.
 Principles Organizational Design
• Build on your strength
There are always strengths to build on in existing practices and in the culture;
For example, that your company has a norm of customer-oriented
commitment. Employees are willing to go the extra mile for customers when
called upon to do so;
You can draw attention to that behavior by setting up groups to talk about it,
and reinforce the behavior by rewarding it with more formal incentives.
 Principles Organizational Design
•
 Management by Objectives
• Management
by Objectives (MBO)
A personnel management
technique where managers and
employees work together to set,
record and monitor goals for a
specific period of time;
Organizational goals and
planning flow top-down through
the organization and are
translated into personal goals for
organizational members.
 Key Objectives of MBO
• The core concept of MBO is planning
An organization and its members are not merely reacting to events and problems
but are instead being proactive;
MBO requires that employees set measurable personal goals based upon the
organizational goals;
For example, a goal for a civil engineer may be to complete the infrastructure of a
housing division within the next twelve months;
The personal goal aligns with the organizational goal of completing the
subdivision.
• MBO is a supervised and managed activity so that all of the individual goals can be
coordinated to work towards the overall organizational goal.
 Key Objectives of MBO

• Individual, personal goal can be as one

piece of a puzzle that must fit together
with all of the other pieces to form the
complete puzzle: the organizational
goal;
• Goals are set down in writing annually
and are continually monitored by
managers to check progress;
• Rewards are based upon goal
achievement.
Key Objectives of MBO
End of Pack