Management Process- Organising and Staffing


Organising is next to planning. It means to bring the resources (men, materials, machines, etc.) together and use them properly for achieving the objectives. Organisation is a process as well as it is a structure. Organising means arranging ways and means for the execution of a business plan. It provides suitable administrative structure and facilitates execution of proposed plan. Organising involves different aspects such as departmentalization, span of control, delegation of authority, establishment of superior-subordinate relationship and provision of mechanism for co-ordination of various business activities.

 “Organising” is the function of gathering resources, establishing orderly uses for such resources and structuring tasks to fulfill organisational plans. It includes the determination of what tasks are to be done, how the tasks are to be grouped, who is going to be responsible to do these tasks and who will make decisions about these tasks.

An organisation is “a system of consciously coordinate activities or efforts of two or more persons”.

Chester Barnyard

The Process of Organising:

The process of organising has the following steps:

1. Determination of objectives.

2. Determining activities.

3. Grouping activities.

4. Assigning duties.

5. Developing relationships.

1. Determination of Objectives:

The first step in the organising process is to determine the organisational goals and objectives. So it is necessary to state in clear terms what the objectives are.

2. Determining Activities:

Managers prepare and analyse the activities needed to accomplish the objectives in the second stop. There may be specific activities, which are unique to the type of business that an organisation is in. Example: In the restaurant, the two major activities or tasks are cooking food and serving customers.

3. Grouping Activities:

Once the tasks have been determined, these tasks must be classified into manageable work units. This is usually done on the basis of similarity of activities. The major categories of tasks can be subdivided into smaller units to facilitate operations and supervision.

4. Assigning Duties:

After grouping the various activities into manageable units, suitable persons are selected to be assigned the duty or responsibility for each group of activities.

5. Developing Relationships:

It is necessary to define the relationships among the employees, when two or more people work together. Here, everyone should clearly know who is his superior from whom he has to take orders and to whom he will be answerable. This will help the smooth working of the enterprise by facilitating the delegation of responsibility and authority.

Process of Organisation

Steps in the Process of Organisation

So we can broadly list the steps in the process of organisation as follows:

1. Identification and Division of work

The organisational work commences with an identification of the extent and the amount of work that needs to be done and dividing this into manageable activities. The idea behind this is to eliminate duplication and share the burden of work.

2. Departmentalisation

Now as the work has been redefined as a number of manageable activities, the next step is to group activities according to a predefined basis. This basis decided what activities are similar to each other. All the similar activities are assigned to a particular department. All in all, a number of departments are defined that are concerned with their own set of activities.

3. Assignment of Duties

The next step involves the distribution of work among the employees. The responsibility of looking after the functioning of each department is given to an individual. Further, jobs are allocated to the employees. It is important to realize that this assignment of jobs should be done in such a manner that the employees most suited for a particular type of job ultimately perform it. This ensures, a proper match between the ability and the type of job of the employee and subsequently effective overall performance.

4. Establishing Reporting Relationships

The final step is concerned with erecting a hierarchical structure and effecting communication among the diverse departments. This is done by establishing relationships. Effectively this means that every employee should be made aware of whom he has to take orders from and prove his accountability.


Staffing refers to manpower required for the execution of a business plan. Staffing, as managerial function, involves recruitment, selection, appraisal, remuneration and development of managerial personnel. The need of staffing arises in the initial period and also from time to time for replacement and also along with the expansion and diversification of business activities. Every business unit needs efficient, stable and cooperative staff for the management of business activities. Manpower is the most important asset of a business unit. In many organisations, manpower planning and development activities are entrusted to personnel manager or HRD manager. ‘Right man for the right job’ is the basic principle in staffing.

 Staffing is a managerial function which involves obtaining, utilising and retaining, qualified and competent personnel to fill all positions of an organisation, from top to operative echelon. In finer terms, staffing is placing the right person at the right job.

It aims at employing, deploying and monitoring a competent and contented staff, i.e. daily wage earners, contract employees, consultants, regular employees, etc., to undertake various managerial and non-managerial activities in an organisation.

Importance of Staffing

  • It helps in thefinding out efficient and effective workforce, to fill different posts in the organisation.
  • It improves organisation’s performance and productivity by appointing the right person at the right job.
  • It facilitates in identifying the staffing requirements of the organisation in future.
  • It ensures continuous survival and growth of the organisation, by way of succession planning for executives.
  • It develops personnel to take up top managerial positions of the organisation.
  • It ensures training and development of the people working in the organisation.
  • It assists the organisation inmaking the optimum use of human resources.

Therefore, staffing increases employee morale and job satisfaction. Further, it helps the top management in ascertaining the manpower requirement resulting from a promotion, transfer, employee turnover, retirement, etc. of the existing employees.

Process of Staffing

Staffing process stresses on equipping the organisation with an exact number of people, and that too at the right time and place, which will help the organisation to attain its objectives effectively. The staffing process involves a series of steps, discussed as under:

  1. Manpower Planning: Popularly known as human resource planning, it is the process of forecasting the firm’s demand for and supply of competent workforce, in the adequate number in future.
  2. Recruitment: It entails seeking, stimulating and obtaining, as many applications as possible from the eligible and competent candidates.
  3. Selection: It is the decisive step of the staffing process, which involves differentiating between applicants, so as to identify and choose the candidate who best fulfils the qualifications and requirements of the vacant position.
  4. Placement: The allocation of rank and responsibility to selected candidate, is known as Placement.
  5. Orientation and Induction: After the placement, the next step is to provide the new employee with the information they require for functioning comfortably and efficiently in an organisation. Induction is the process of introducing the new joinees to the job and the organisation as well.
  6. Training and Development: In this step, the new joinees undergo training to acquire specific skills. Development implies learning opportunities, designed by the organisation, to ensure the growth of employees.
  7. Performance Appraisal: A rational assessment and evaluation of employee’s performance against clear-cut benchmarks.
  8. Career Management: Career Management is a process in which the individual understand and learns new skills and interests and use them for the betterment of the organisation and self.
  9. Compensation: Compensation refers to the consideration which an individual gains, in return for his/her contribution to the organisation.

Staffing process recognises the significance of each person employed by the organisation, as the work of every individual, keeps the organisation going. So, acquiring a good staff is a tough task, because the success of the organisation depends on it and so, the process should be performed attentively.

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