Organizing is that function of management in which the combination and synchronization of physical, human and financial resources take place and it is essential to combine all these to get the desired results. It is concerned with combining word to be done by people, human resources and all the physical resources for getting a meaningful relationship so that the organizational goals is achieved. Therefore, for the effective functioning of the organization, it is important to have the organizational function on proper place. Organization is the function of management followed by planning and without organizing in place, it would be impossible for organization to function. There was particular steps that are to be followed by the manager when performing organizing function. These include identification of activities, classification of authority, organizing the activities departmentally, coordination between the responsibility and authority. Without the prior construction of the framework of activities, it is not possible for any planning to succeed. It is required to determine the relationship between the different jobs and provision of their proper integration. Organizing is considered to be the vital function as it helps in ensuring that the operations have structure. The success of organization is dependent upon the organization function of management which, is the process of identifying the responsibilities, grouping the activities and achieving coordination between them. Hence, organization function of management can be referred to the identification or determination of activities, creating relationship among the workforce, grouping and sub dividing of these activities and attainment of maximum coordination by the proper delegation of authority.

Organizing is that function of management which involves the allocation of human resources and development of structure of organization so as to ensure that the objectives are accomplished. The efforts for the accomplishment of the objectives is coordinated in the framework of the structure of organization. There is usually the organization chart that is used for representing the structure and the organizational design decisions is indicated by the decisions which is made about the structure of the organization. The design of the jobs of individual within the organization is incorporated in the function of organizing. It is required to make the decisions about responsibilities and duties of the individual jobs and the manner in which such jobs are carried out. Any decisions about the nature of jobs which is made within the organization is referred to as the decision of job design. At the level of organization, organizing involves the decisions that is used for departmentalize in the best manner and effectively coordinating the efforts by clustering the jobs into department. There are several ways to departmentalize and this include organizing by product, function, customer and geography. Multiple methods of departmentalization are used by many larger organizations. At the level of jobs, organizing involves designing the jobs of individual in the best way so that the human resources are utilized effectively. Traditionally, the principles on which the job design was based include specialization and division of labor and this assume that individual could become more proficient in performing the job when the content of job is narrow. However, it is indicated by the experience that the job has possibility to become specialized and narrow. The outcome would be negative in such event and this causes an increase in the organizational commitment, decrease in the satisfaction of job, commitment of organization, turnover and increase absenteeism. In the recent times, many organizations have put an effort to create a balance between the needs of worker having jobs and need for specialization of worker by entailing variety and autonomy. It would not be possible for the organization to work towards the organizational goals without organizing.

In accordance with the variety of structures, organization can be organized which enable it to perform effectively and efficiently. The key difference between functional structure and matrix structure is that in the former organization is divided on the basis of specialized functional areas such as marketing, production and sales for the management purpose and the latter one is the type of organization that is where grouping of employees are done concurrently using the two dimensions of operations. In addition to this, the way on which the managing and structuring of the functions depends on managing and structuring.

Functional organizational structure is the one where the functional area forms the basis of bifurcation of the reporting relationship of the organization that is the grouping of the employees are done based on their area of specialization. Organizations of team is done in a set of functions that is the function units such as marketing, engineering, finance and human resources and all these are coordinated and controlled from the level of top management. This type of organizational structure is the most common type of structural design and have evolved from the concept of high control framework and the concept of high specialization towards the path of generating higher amount of efficiency. Moreover, functional structure is less of business or product oriented and more of technical oriented.

Matrix organizational structure is considered complex in nature and this is because it combines the two organizational structures. It is appropriate for the companies that is engaged in carrying put various projects and have multiple categories of products. On other hand, functional organizational structure is convenient and simple to manage. This particular organization is consider suitable for organizations that has a single category of product and carry out its operation in a single location. However, there exist some similarities between the divisional and matrix structure where the employees are grouped by product line and role of organizational functions. In the divisional structure, a stricter hierarchy is enforced within each division. It is required by each department manager to report her or his progress to the divisional manager and thereafter they report to the directors and owners of company. For example, a company with divisional structure would have widgets sales manager and widgets accounting supervisor who reports to the chief of widget division.