Text 2. ORGANIZING

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There can be no doubt that good people and those who want to cooperate will work together most effectively if they are ac­quainted with the parts they are to play in any team operation and the way their roles relate to one another. Designing and maintaining these systems of roles is the managerial function of organizing.

An organizational role incorporates different objectives, which are the most important part of planning; a clear idea of the ma­jor duties or activities involved; and an understood area of dis­cretion or authority so that the person fulfilling the role knows what he/she can do to accomplish goals.

Thus, we think of organizing as the identification and classi­fication of required activities; the grouping of activities essential to attain objectives; the assignment of each grouping to a mana­ger with the authority necessary to supervise it; and the provision for horizontal and vertical coordination in the organization struc­ture.

An organization structure should be designed to clarify who is to do what tasks and who is responsible for what results, to remove obstacles to performance caused by confusion and uncer­tainty of assignment and to furnish decision-making and com­munication networks reflecting and supporting enterprise objec­tives.

The word " organization" implies a formalized intended struc­ture of roles or positions. Many authors on management distin­guish between formal and informal organization.

Formal organization means the intentional structure of roles in a formally organized enterprise. Formal organization must be flaxible. There should be room for discretion, for advantageous utilization of creative talents and for recognition of individual likesand capacity in the most formal of organization.

Informal organization is a network of personal and social relations not established or required by a formal organization but arising spontaneously as people associate with one another. The informal relationships established in a group of people playing ping-pong after dinner may help in the achievement of organizational goals. It is much easier to ask for help on an organization problem from someone you know personally.

One of the aspects of organizing is the establishment of depart­ments. A department as the term is usually used for production division, the sales unit, western/southern branch, the market research section or accounts receivable unit. While the purpose of organizing is to make human cooperation effective, the reason for levels of organization is limitations of the span of manage­ment. Organization levels exist because there is a limit to the number of persons a manager can supervise effectively, even if tins limit varies depending on situations.