Organisation is defined as the arrangement of the persons in any business so that they act as one body and work together towards a common goal.
It is a process of defining and fixing the responsibilities of those persons who are associated with the organisation and co-ordinating ebe relationship of one with another,
Organisation is thus a human association for the attainment of common objectives which social, political or economic.
The achievement of the organisation would depend upon elicit setup of organisation.
Inefficient economic organisation of an enterprise would lead to losses and ultimately to winding up of the enterprise.
Therefore building up of an organisation is one of the major tasks of the chief executive of the enterprise.
The efficient functioning of the organisation is possible when :
1) Competent and right types of persons are selected and placed in the right place.
2) Every member of the organisation knows the goal of organisation.
3) Every member of the organisation knows his duties and responsibilities in achieving the common goal.
4) Every member is delegated authority and power adequate enough to enable him to take the decisions for discharge of his responsibilities.
5) There is proper co-ordination among different members, departments or branches.
Characteristics of Good Organization
An organisation should have the following characteristics :
1) It must have an organisation goal.
2) It must have setup of persons incharge of different branches or departments of an organisation.
3) It must specify the functions and activities of every individual of the organisation
4) Duties, powers and responsibilities of cach individual should be clearly defined.
5) There should be higher up authority to direct and co-ordinate activities of different individuals, branches or departments of the organisation.
6) It should have proper structure.
7) It should include all the activities and no activity should be repeated.
8) It should be flexible with the changing situation.
9) There should be resources for the existance and survival of the organisation.
10) It should have place of work and well defined jurisdiction.
11) It should give satisfaction to the employees and should boost their moral.
Fig. Characteristics of Organisation