L E A R N I N G
O B J E C T I V E S
Once the plans have been laid down
and objectives specified therein, the
next step is to organise resources
in a manner which leads to the
accomplishment of objectives. A
After studying this chapter you
should be able to:
n Explain the concept of
organi...
Way To Go, Wipro!
ORGANISING 5
CHAPTER
L E A R N I N G
It’s not quite there yet, but the goal is certainly within
reach. One of India’s largest IT solutions providers, OBJECTIVES
Wipro Technologies, is taking on the likes of IBM and
Accenture in its effort to be included among the largest After studying this chapter you
should be able to:
and most successful technology services companies in
the world. n Explain the concept of
Restructuring Wipro was considered the organising;
most important step in becoming a global giant, n Explain the process of
driven by the goal towards improved customer- organising;
orientation. n Describe the importance of
During the past few months, Wipro separated organising;
itself into several subsidiaries by product line: n Explain the meaning, advantages
telecommunications, engineering, financial and disadvantages of functional
services, etc. Each subsidiary brings in about $300 organisation;
million in annual earnings and is self-sufficient n Explain the meaning, advantages
with their own accounting books, personnel and and disadvantages of divisional
administrative functions. organisation;
Wipro shifted from a centralised to n Explain the meaning, advantages
decentralised management system. All and disadvantages of formal and
responsibilities for growth lay with the informal organisation;
management of each entity. n Distinguish between formal and
“We tried to de-layer the organisation and informal organisation;
empower our business leaders with a much higher n Explain the concept of
degree of growth responsibility,” said Premji. “We delegation and decentralisation;
removed an entire layer [of executives]”. n Describe the importance of
delegation and decentralisation;
Adapted from an article by Heide B. Malhotra and
for Epoch Times Washington D.C. n Distinguish between delegation
and decentralisation.
Once the plans have been laid down critical issue in accomplishing the
and objectives specified therein, the goals specified in the planning
next step is to organise resources process is structuring the work of an
in a manner which leads to the organisation to adapt to the dynamic
accomplishment of objectives. A business environment. The activities
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Ch_05.indd 109 08-08-2022 09:50:36
, 110 Business Studies
of an enterprise must be organised The organising function leads to the
in such a manner that plans can be creation of an organisational structure
successfully implemented. which includes the designing of roles
For planning to be fruitful a number to be filled by suitably skilled people
of considerations like resources that and defining the inter relationship
will be needed, optimum utilisation between these roles so that ambi
of the same translation of work into guity in performance of duties
attainable tasks, empowering the can be eliminated. Not only is this
workforce to accomplish these tasks important for productive cooperation
etc., need to be understood and dealt between the personnel but also for
with properly. clarification of extent of authority,
It is evident from the way Wipro as well as responsibility for results
has moved towards reaching for and logical grouping of activities.
it’s goal of becoming a globally
successful technology company, Meaning
that organising plays a significant Let us take an example to understand
role in implementation of plans. how organising takes place. Have
What has Wipro done to become a you ever paid attention to how, the
contending force among other global school fete which you enjoy so much,
giants? Are there lessons to be learnt actually takes place? What goes on
from Wipro’s approach? behind the scene to make it the
Wipro organised itself in a manner desired reality you want? The whole
that allowed customer orientation to activity is divided into task groups
dominate over other goals and diversified
each dealing with a specific area like
on the basis of product lines. It also
the food committee, the decoration
modified the relationships within the
committee, the ticketing committee
management hierarchy to suit the goals.
and so on. These are under the
The management function of
overall supervision of the official in
organising ensures that efforts are
charge of the event. Coordinating
directed towards the attainment
of goals laid down in the planning
relationships are established among
function in such a manner that the various groups to enable smooth
resources are used optimally and interaction and clarity about each
people are able to work collectively group’s contribution towards the
and effectively for a common purpose. event. All the above activities are a
Thus, it is in the context of effective part of the organising function.
management that the organisation Organising essentially implies a
function earns due importance. It is process which coordinates human
a means for translating plans into efforts, assembles resources and
action. integrates both into a unified whole
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Ch_05.indd 110 08-08-2022 09:50:36
, Organising 111
to be utilised for achieving specified student supervises the work by
objectives. grouping students, dividing the work,
Organising can be defined as a assigning each group their quota and
process that initiates implementation developing reporting relationships
of plans by clarifying jobs and among them, the job will be done
working relationships and effectively faster and in a better manner.
deploying resources for attainment From the above description, the
of identified and desired results following steps emerge in the process
(goals). of organising:
(i) Identification and division
Steps in the Process of of work: The first step in the
process of organising involves
Organising identifying and dividing the
Organising involves a series of steps work that has to be done in
that need to be taken in order to accordance with previously
achieve the desired goal. Let us try determined plans. The work
and understand how organising is divided into manageable
is carried out with the help of an activities so that duplication
example. can be avoided and the burden
Suppose twelve students work for of work can be shared among
the school library in the summer the employees.
vacations. One afternoon they are (ii) Departmentalisation: Once
told to unload a shipment of new work has been divided into small
releases, stock the bookshelves, and and manageable activities then
then dispose of all waste (packaging, those activities which are similar
paper etc). If all the students decide in nature are grouped together.
to do it in their own way, it will result Such sets facilitate specialisation.
in mass confusion. However, if one This grouping process is
Definition of Organising
Organising is the process of identifying and grouping the work to
be performed, defining and delegating responsibility and authority,
and establishing relationships for the purpose of enabling people to
work most effectively together in accomplishing objectives.
Louis Allen
Organising is the process of defining and grouping the activities of the
enterprise and establishing authority relationships among them.
Theo Haimman
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