Importance of the organizational structure

Importance of the organizational structure

The following function of the organizing and that of organization are important in several ways, which are outlined as follows:

1.       Specialization: in the process of organizing care is taken to see that the activities are divided and sub divided into compact and convenient jobs. They are also to be grouped on the basis of similarly. Organizing thus promotes specialization, speedy performance of the tasks and efficiency.

2.       Well defined jobs: the jobs of the managers and non managers are clearly defined and differentiated. This helps the process of looking for and selecting the employees, and fitting the right person to the right job.

3.       Clarifies authority and power: a clear cut definition of the authority enjoyed by each manager and his jurisdiction of activity minimizes conflict and confusion about the respective, powers and privileges of the managers.

4.       Avoiding duplication of work: organizing helps in the avoiding duplication of work and overlapping in responsibilities among various employees and work units. This is because specific jobs are assigned to individuals and work groups.

5.       Coordination: the organization structure serves as a mechanism for coordination and unification of efforts of the people. Harmony of work is brought about by higher level managers existing their authority over interconnected activities of lower level managers.

6.       Source of support and security: organizational structure is a source of support, security and satisfaction to the managers and employees in performing their assigned tasks. It recognizes the relative status levels of members, each one of the members enjoys a definite status and position in the organization.

7.       Adoption: organizational structure facilitates adjustment to changes in work and load caused by changing conditions in the external environment related to technology, markets, products and resources. 

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