FREE online courses on Organisation - Importance of an organization

Significance of the organization in any institution may be discussed as below:

(i)        It facilitates administration and management: An organization is an important and the only tool to achieve enterprise goals set by administration and explained by management.

(ii)       It helps in the growth of an enterprise: Without an organization, an enterprise is just like a man without a body, leaving head and mind (Management & Administration) only.

(iii)      It ensures optimum use of human resources: It establishes persons with different interests skills, knowledge and viewpoints.

(iv)     It stimulates creativity: A sound and well conceived organization structure is the source of creative thinking and initiation of new ideas.

(v)      Use of improved technology: A good organization provides for optimum use of technological improvements.

(vi)     Co-ordination in the enterprise: In a good organization, the different departments perform their functions in a closely related manner.

(vii)    Executive development: The pattern of an organization structure has strong influence on the development of executives.

(viii)   It ensures cooperation among workers: A good organization promotes mutual goodwill and cooperation among workers also.