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Organizing Functions of Management

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Organizing Function of Management


Organization is paramount in any company or organization but is of particular importance in today's business world. Companies that are a success are in a perpetual cycle of organization to ensure that their operations and procedures are designed in such a way as to maximize efficiency and productivity. Disorganization can lead to disastrous results via wasted efforts, lost productivity and employee disdain at redundant tasks and processes. In this paper I will explore the organization function of management in relation to resources at Geico Insurance Company and how the organization function of management relates to several key areas.


Organization in Relation to Human Resources

Human Resources are an important aspect to any company. Management's performance in human resources will dictate whether or not a company will be successful in the long run by staffing themselves with the right people for the right positions. Many companies and their managers feel the pressure to be fully staffed and hire people without really evaluating their potential for quality work as well as being a good fit for the environment the managers wish the office to have. Geico has experienced staffing issues recently because they are committed to maintaining a certain standard of quality when offering a position to a new employee and are unwilling to just settle for the ordinary.

Managers at Geico have to carefully observe their respective employees and determine if they need additional people and if they do the managers must evaluate the different personalities they manage and what type of person would fill the open position successfully. One of the wisest methods a manager can undertake is to set their employees up to succeed not only as individuals but also as a team.

The objective of organization is to set up relationships and procedures in which employees can obtain the best results from their combined efforts. This is to be accomplished by minimizing and overcoming the negative factors of conflict, confusion and frustration. The stronger the structure of the organization, the more efficient and smooth running the company will be. (Weiss 2007)

Organization in Relation to Knowledge

Information is readily available to anyone in just about any place at any time and in any format. PDA's, cell phones and hand held computers enable employees to access the information they need at the click of a button, but is the information they are accessing organized? Managers have a gigantic responsibility when it comes to organizing the knowledge that they share with not only their employees but their customers as well.

Managers at Geico must have the foresight to make sure that the knowledge that they are in charge of is properly organized and compartmentalized so that efficiency remains on par and panic is not created when sensitive knowledge needs to be shared and communicated. When managers are able to keep the knowledge and information that they have organized they are able to ensure that it is properly delivered to the appropriate people in a way that will maximize its effectiveness.

Organization in Relation to Physical Assets

Physical assets truly require a high level of organization if a company hopes to maximize their profits and efficiency. This is always a challenge in the industry and Geico is not impervious to this challenge. Managers at Geico must constantly evaluate if the offices they do business in are strategically located not only on the sales level but on with the service side of the business as well. Managers continuously determine whether or not the amount of claims in a particular area warrants an additional office to properly care for Geico's customers.

Organization is of the utmost importance due to the costly nature of Geico's physical assets because its greatest physical asset is its employees. Employees as everyone well knows require salaries and benefits and when these costs are multiplied by the number of employees it will take to properly staff an office it can quickly become quite expensive.

Geico must also determine if it is over abundant in an area with licensed agents. If there are too many agents in a concentrated area the agents will not be able to make a high commission and will leave the company for "greener pastures." Geico's managers must determine the demographics and population in an area and determine how many agents any given area can support. By doing this Geico's managers are able to set agents up to succeed by enabling them to earn a profitable living.


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