BEFORE WE GO INTO THE DETAILS WHAT ROLE ORGANISING PLAYS IN BUSINESS MANAGEMENT, WE WILL FIRST OF ALL LOOK AT THE DEFINITION:
Organizing in management is a pivotal function that produces the harmonious collaboration of human efforts and resources, aligning them purposefully to achieve set objectives. It entails structuring, grouping, and coordinating resources – be it finances, materials, machinery, or manpower – to work collectively toward a particular goal.
(COURTESY OF BING)
ACTION WITHOUT PLANNING IS FATAL, BUT PLANNING WITHOUT ACTION IS FUTILE, AN OLD BUSINESS MANAGEMENT SAYING TELLS US. THAT IS BECAUSE EVEN IF YOU HAVE THE NICEST PLAN FOR YOUR BUSINESS, IT WON’T BE WORTH ANYTHING IF YOU WON’T PUT YOUR PLAN INTO REALITY. AND THE BEGINNING OF THIS REALITY IS TO ORGANISE YOUR UPCOMING BUSINESS. YOU HAVE A GOAL WHICH – ACCORDING TO YOUR PLAN – YOU WANT TO ACHIEVE, AND NOW YOU MUST START TO MAKE IT THE REALITY YOU WANT IT TO BE.
AS WE SEE FROM THE DEFINITION, ORGANISING YOUR BUSINESS MEANS THAT YOU GATHER ALL RESOURCES YOU HAVE AND MAKE THEM WORK FOR YOUR BUSINESS EFFICIENTLY. TO ACHIEVE THIS, YOU HAVE TO LAY OUT AN ORGANISATIONAL STRUCTURE; THIS ORGANISATIONAL STRUCTURE CAN ALREADY BE PART OF THE BUSINESS PLAN WHICH WE DISCUSSED IN AN EARLIER LESSON. THERE ARE MANY EXAMPLES FOR ORGANISATIONAL STRUCTURES ON THE INTERNET (FOR EXAMPLE 7 Organizational Structure Types (With Examples) – Forbes Advisor ), JUST CHECK IT OUT.
LET ME GIVE YOU AN EXAMPLE FOR ORGANISING YOUR BUSINESS:
LET’S ASSUME YOU WANT TO OPEN A SHOP SELLING BABY ARTICLES. YOU HAVE A SHOP IN A VERY GOOD AREA (REMEMBER: LOCATION, LOCATION, LOCATION IS ONE OF THE MOST IMPORTANT ISSUES RUNNING A SHOP). YOU HAVE ENOUGH CAPITAL TO PURCHASE GOODS TO SELL, AND YOU HAVE ONE EMPLOYEE (IT MIGHT BE ADVISABLE TO HAVE A FEMALE EMPLOYEE, AS YOU WANT TO SELL BABY ARTICLES; MOST OF THOSE ARTICLES MIGHT BE BOUGHT BY WOMEN, AND THEY MIGHT TRUST A FEMALE EMPLOYEE MORE THAN A MALE; YOUR BUSINESS IS NO SPACE FOR GENDER EXPERIMENTS).
NOW YOU MUST FIND THE BEST SUPPLIER FOR THE GOODS YOU WANT TO SELL. GET OFFERS FROM VARIOUS SUPPLIERS, AND COMPARE THE OFFERS. REMEMBER THAT THE CHEAPEST OFFER IS NOT ALWAYS THE BEST. THERE ARE MANY OTHER MATTERS THAT PLAY A ROLE WHEN CHOOSING YOUR SUPPLIER, E.G. DELIVERY TIME FOR GOODS SUPPLIED, REPLACEMENT OF SPOILT OR OUTDATED GOODS, ETC, IT MIGHT ALSO BE THAT YOU NEED MORE THAN ONE SUPPLIER, DEPENDING ON THE RANGE OF ITEMS YOU INTEND TO SELL. IN ONE SENTENCE: BE VERY CAREFUL AND THOROUGHFUL WHEN CHOOSING YOUR SUPPLIER(S).
MAKE ALSO SURE THAT YOUR INVENTORY IS UP-TO-DATE, AND THAT THERE ARE ALWAYS ENOUGH GOODS IN YOUR SHOP. FIND OUT HOW MUCH TIME IT TAKES FOR YOUR SUPPLIER TO DELIVER NEW ITEMS, AND ORDER THESE NEW ITEMS IN TIME.
THE SAME ACCOUNTS GENERALLY FOR YOUR EMPLOYEE. WELL, NOW THAT YOU FOUND A RELIABLE AND LOYAL EMPLOYEE (WE DISCUSS THE MATTER OF STAFFING IN A LATER LESSON), YOU MUST DISCUSS THE WORKING HOURS WITH HER. THE WORKING HOURS FOR YOUR EMPLOYEE MIGHT NOT BE IDENTICAL WITH THE OPENING HOURS OF THE SHOP, ESPECIALLY IF YOU INTEND TO BE PRESENT IN YOUR SHOP YOURSELF, IF YOU HAVE MONEY ENOUGH TO EMPLOY MORE THAN ONE STAFF, YOU MIGHT EVEN OPT FOR SHIFTS. YOU MUST GIVE EVERY EMPLOYEE A JOB DESCRIPTION WHICH DEFINES EXACTLY THE ROLE THE EMPLOYEE WILL PLAY IN YOUR BUSINESS.
ORGANISING ACCOUNTING IS VERY CRUCIAL FOR YOUR BUSINESS. WITHOUT A PROPER ACCOUNTING, YOU MIGHT FACE A LOSS IN YOUR BUSINESS SOONER THAN LATER, AND THEN A BANKRUPTCY OF YOUR BUSINESS MIGHT NOT BE FAR AWAY.
WHEN YOU LOOK AT THE DEFINITION OF ORGANISING IN MANAGEMENT, YOU MIGHT THINK THAT IT IS VERY COMPLICATED. WELL, IT CAN BE COMPLICATED, BUT WE CAN TAKE INTO CONSIDERATION THAT YOUR BUSINESS IS A RATHER SMALL ONE, AND ORGANISING IT IS NOT TOO COMPLEX. IT WON’T TAKE MUCH OF YOU TO ARRANGE THE COOPERATION BETWEEN THE VARIOUS PARTS OF YOUR BUSINESS. THAT IN MIND, YOU MUST BY ALL MEANS HAVE A CLEAR VIEW THAT ALL THE COMPONENTS OF YOUR BUSINESS ARE DOING THEIR CONTRIBUTION FOR THE SUCCESS OF YOUR BUSINESS. HABING A SMALL OR MICRO BUSINESS DOES NOT MEAN THAT IT SHOULD BE ORGANISED BADLY, OR EVEN NOT AT ALL ORGANISED.
ALSO KEEP IN MIND THAT ORGANISING YOUR BUSINESS IS NOT ISOLATED FROM THE OTHER PARTS OF BUSINESS MANAGEMENT. AS WE HAVE DEALT WITH PLANNING BEFORE, THERE IS ALWAYS A CONNECTION BETWEEN ORGANISING AND PLANNING. IF YOU SEE ANY MISHAPS IN THE COOPERATION OF THE VARIOUS PARTS OF YOUR BUSINESS, YOU MUST ALWAYS PLAN HOW TO MAKE IT BETTER.
AND NOW TO THE QUESTIONS:
- WHAT IS THE MAIN PURPOSE OF ORGANISING IN MANAGEMENT?
- WHY IS IT NECESSARY TO HAVE AN ORGANISATIONAL STRUCTURE FOR YOUR BUSINESS?
- GIVE EXAMPLES FOR ORGANISATIONAL STRUCTURES!
- WHY IS ACCOUNTING IMPORTANT IN ORGANISING IN MANAGEMENT?
- HOW ARE PLANNING AND ORGANISING CONNECTED IN BUSINESS MANAGEMENT?
