Organization and Management

 Organization management refers to the art of getting people together on a common platform to make them work towards a common predefined goal.

 Organization management enables the optimum use of resources through meticulous planning and control at the workplace.

 Organization management gives a sense of direction to the employees. The individuals are well aware of their roles and responsibilities and know what they are supposed to do in the organization.

  Need for Organization and Management

 1. Organization management gives a sense of security and oneness to the employees.

 2. An effective management is required for better coordination among various departments.

 3. Employees accomplish tasks within the stipulated time frame as a result of effective organization management.

 4. Employees stay loyal towards their job and do not treat work as a burden.    

 5.  Effective organization management leads to a peaceful and positive ambience at the workplace.

Essential Features of Organization Management

Planning

• Prepare an effective business plan. It is essential to decide on the future course of action to avoid confusions later on.
• Plan out how you intend to do things.

Organizing

• Organizing refers to the judicious use of resources to achieve the best out of the employees.
• Prepare a monthly budget for smooth cash flow.

Leading

• The managers or superiors must set clear targets for the team members.
• A leader must make sure his team members work in unison towards a common objective. He is the one who decides what would be right in a particular situation.

Control

• The superiors must be aware of what is happening around them.
• Hierarchies should be well defined for an effective management.
• The reporting bosses must review the performance and progress of their subordinates and guide them whenever required.

Different Management Styles

1) Autocratic Style of Working

• In such a style of working, the superiors do not take into consideration the ideas and suggestions of the subordinates.
• The managers, leaders and superiors have the sole responsibility of taking decisions without bothering much about the subordinates.
• The employees are totally dependent on their bosses and do not have the liberty to take decisions on their own.
• The subordinates in such a style of working simply adhere to the guidelines and policies formulated by their bosses. They do not have a say in management’s decisions.
• Whatever the superiors feel is right for the organization eventually becomes the company’s policies.
• Employees lack motivation in autocratic style of working.

2) Paternalistic Style of Working

• In paternalistic style of working, the leaders decide what is best for the employees as well as the organization.
• Policies are devised to benefit the employees and the organization.
• The suggestions and feedback of the subordinates are taken into consideration before deciding something.
• In such a style of working, employees feel attached and loyal towards their organization.
• Employees stay motivated and enjoy their work rather than treating it as a burden.

3) Democratic Style of Working

• In such a style of working, superiors welcome the feedback of the subordinates.
• Employees are invited on an open forum to discuss the pros and cons of plans and ideas.
• Democratic style of working ensures effective and healthy communication between the management and the employees.
• The superiors listen to what the employees have to say before finalizing on something.

4) Laissez- Faire Style of Working

• In such a style of working, managers are employed just for the sake of it and do not contribute much to the organization.
• The employees take decisions and manage work on their own.
• Individuals who have the dream of making it big in the organization and desire to do something innovative every time outshine others who attend office for fun.
• Employees are not dependent on the managers and know what is right or wrong for them.

5) Management by Walking Around Style of Working

• In the above style of working, managers treat themselves as an essential part of the team and are efficient listeners.
• The superiors interact with the employees more often to find out their concerns and suggestions.
• In such a style of working, the leader is more of a mentor to its employees and guides them whenever needed.
• The managers don’t lock themselves in cabins; instead walk around to find out what is happening around them.

Levels of Organizational Management

Most companies have an organisational structure that consists of three levels: first-level managers, middle-level managers, and top-level managers. The bottom management level consists of first-line managers.

They control the work of non-managerial employees who are usually directly involved in the production process or the creation of products within the organisation. These managers are also referred to as supervisors, line managers, or office managers. The middle level consists of managers between the first and top level. They control and supervise the work and responsibilities of first-line managers.

Job titles that are often found within this level are: project leader, department head, department manager, or division manager. The managers of the highest level make up the top of the Organizational Management. They are responsible for making decisions, determining goals and objectives, and making plans that affect the entire organisation. These managers are often referred to as operating officer, CEO, or chairman of the board.

Hierarchy

All the managers described above are ranked hierarchically based on authority and responsibility. They each perform various tasks. The different roles within an organisation are often shaped like a pyramid: the lower the level, the more managers, and vice versa.

Organization

The organization section sets up the hierarchy of the people involved in your business. It's often set up in a chart form. If you have a partnership or multi-member LLC, this is where you indicate who is president or CEO, the CFO, director of marketing, and any other roles you have in your business. If you're a single-person home business, this becomes easy as you're the only one on the chart.

Technically, this part of the plan is about owner members, but if you plan to outsource work or hire a virtual assistant, you can include them here, as well. For example, you might have a freelance webmaster, marketing assistant, and copywriter. You might even have a virtual assistant whose job it is to work with your other freelancers. These people aren't owners but have significant duties in your business.

Some common types of business structures include sole proprietorships, partnerships, LLCs, and corporations.

Sole Proprietorship

This type of business isn't a separate entity. Instead, business assets and liabilities are entwined with your personal finances. You're the sole person in charge, and you won't be allowed to sell stock or bring in new owners. If you don't register as any other kind of business, you'll automatically be considered a sole proprietorship.

Partnership

Partnerships can be either limited (LP) or limited liability (LLP). LPs have one general partner who takes on the bulk of the liability for the company, while all other partner owners have limited liability (and limited control over the business). LLPs are like an LP without a general partner; all partners have limited liability from debts as well as the actions of other partners.

Limited Liability Company

A limited liability company (LLC) combines elements of partnership and corporate structures. Your personal liability is limited, and profits are passed through to your personal returns.

Corporation

There are many variations of corporate structure that an organization might choose. These include C corps, which allow companies to issue stock shares, pay corporate taxes (rather than passing profits through to personal returns), and offer the highest level of personal protection from business activities. There are also nonprofit corporations, which are similar to C corps, but they don't seek profits and don't pay state or federal income taxes.