Organizational Structure and Planning Stages for Business

Stages of Organization Process

• Stages of Organization Process

Levels of organization. Clarify the hierarchy of command by defining who decides, controls and executes tasks within the company.

Assigning roles at each command level. Allocate the scope of authority and responsibility, and specify the people who are under each manager's orders.

Defining relationships between organizational levels. All levels must be coordinated and interrelated to ensure consistent activity across the company.

Distributing functions and objectives. Assign clear and specific tasks and group them into divisions or departments according to the activity to be performed.

Define communication channels. Establish the channels of communication for everyone working in the company in all respects.

Stages of Planning

The planning process involves a series of steps that cover the preparation and implementation of plans. These are listed as follows:

1. Analysis of the initial situation. Assess the current status of the company and its environment, and identify opportunities to take advantage of.
2. Set goals. Define both general goals and specific sub-objectives; i.e., specify the targets you want to reach.
3. Establish or identify alternative lines of action. Determine the different paths toward the company's objectives.
4. Evaluation of the alternatives. Evaluate and analyze each alternative action: study strengths and weaknesses, and assess costs, risks, and difficulties to be overcome.
5. Choice of an alternative. Decide which plan will be executed based on the evaluation.

Control and monitoring. Even after choosing an alternative that seems secure, reality may evolve differently and the plan may not work as expected. In that case, return to the alternatives and make the necessary changes. Therefore, plans should be regularly monitored and adjusted.

This defines the role of the organization: to design a structure in which all tasks are assigned to each person in the company, with clear responsibility and authority. In addition, the organization aims to order the set of relationships that can arise between different tasks and coordinate timing among all areas of company operations.