Definition of the term Organisation

The term Organisation has been defined and interpreted differently by different authors. It is a process of bringing and uniting people to achieve the objectives of the organisation. It also implies the grouping of the staff achieve the common objectives.

Haimann viewed that “organising is the process of defining and grouping the activities of the enterprise and establishing the authority relationships among them.

In performing the organising function the manager defines, departmentalizes and assigns so that they can be most effectively executed. Organisation is concerned with the building, developing and maintaining of a structure of working relationship in order to accomplish the objectives of the enterprises.


Organisation means the determination and assignment of duties of people, and also the establishment and the maintenance of authority relationship among these grouped activities. It is the structural framework within which the various efforts are coordinated and relate to each other”.

Koontz and O’Donnell explain that “organising involves the establishment of an international structure of roles by identifying and listing the activities required to achieve purpose of an enterprise, the grouping of these activities, the assignment of such groups of activities to a manager, the delegation of authority to carry them out and provision for co-ordination of authority and informational relationships horizontally and vertically in the organisation structure.

Sometimes all these factors are included in the term ‘organisation structure. Sometimes they are referred to as ‘managerial authority relationship.