The process of organizing involves the following steps:

1.    Determination of objectives :

Every organization is established for some objective or goal. Various tasks or activities of his organization are determined for achieving this goal. For example, if the organization is established to export goods, it must determine the nature and types of goods to be exported, the sources from where raw material will be obtained, countries where goods will be exported, co-ordinate with foreign buyers etc. Determining the total workload of the transition is the first step in the process of organizing.

2.    Division of activities:

Since one person cannot manage all the activities, he breaks the total task into smaller units and assigns them to members. Work should be assigned according to qualification and ability of every person.

3.    Grouping of activities :

After the work is assigned to people, those performing similar activates are grouped in one department.Various departments like sales, finance, accounting etc. Are filled with people having different skills and expertise but performing similar activities. Grouping of actives into departments is called departmentalization and each department is governed by a set of rules, procedures and standards.

4.    Defining authority and responsibility:

Every department is headed by a person responsible for its effective functioning. Departmental heads are appointed to carry out the activities of their respective departments. It is ensured that competence of departmental head matches hob requirements of the department. Each head has the authority to get the work done from his departmental members.

He delegates responsibility and authority to members of his department. This creates a structure of relationships where every individual known his superior and subordinates and theory reporting relationships.

5.    Co-ordination of activities :

When departments work for their objectives, there may develop inter-departmental conflicts. This can obstruct the achievement of organizational goals. For example, the finance department wants to cut down the costs, but the marketing department needs additional funds to market its products. This conflict can be resolved through co- ordination so that all departments share the common resources. Coordination can be broth but defying relationships amongst various department and people working at different positions.

6. Reviewing and re-organizing:

 There must be constant appraisal of the above steps so that changes in the organization structure can be brought, consequent to changes in the environmental factors. Constant appraisal and re-organization is and integral part of the organizing process.

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