Why Entrepreneurs Must Master the Art of Organizing?

Why Entrepreneurs Must Master the Art of Organizing?

When an Entrepreneur launches a business, what he requires is a group of people to handle various aspects of his business. Even though an Entrepreneur can take pride in being called as One Man Army, he cannot do each and everything all alone. This is Why Entrepreneurs Must Master the Art of Organizing.

Unfortunately, this is rarely the case. An Entrepreneur may start as a one-man army or with few team members, but even after many years, he sticks to the same style of doing business. 

The reasons can be many. Here are three –

1. Gets Comfortable with his Situation: Once a person starts doing a job in a particular manner, he starts getting comfortable with his way. Running their business in a particular manner makes an entrepreneur comfortable at three levels - physical, mental, and emotional. He starts thinking that because he has been doing the task for so many years in a particular manner that is the right way. He becomes stiff and refuses to change.

2. Doesn’t Earn Enough to Expand: Most of the Entrepreneurs work on thin margins. Their profits are so low that they find it difficult to sustain month on month. Mentally they become so disturbed because of the financial challenges that they take multiple responsibilities and become the hardest working employee of their own firm.

3. They lack the knowledge to create a Company: Most entrepreneurs only know how to do a single task, on which they base their business. They believe that remaining everything will come easily to them. For example, if an entrepreneur is good at designing, he thinks marketing is no big deal. He just has to go and meet clients and they will give him business. When things don’t go their way, they start getting frustrated and become the biggest hurdle to the success of their own company.

How Can Entrepreneur Get Out of This Rut?

The success of an enterprise depends on the organization that runs the enterprise. Most of the entrepreneurs don’t comprehend what is an organization.

To begin with, let’s understand what an organization is.

What is an Organization?

An organization is coming together with a group of people to carry out different tasks in a company. These tasks are coordinated and have a purpose.

To create a successful organization, an entrepreneur must first master the art of Organizing.

In order to understand organizing, we need to look at it as a specialized step by step process. Not everybody is capable of creating such a process. It requires a great deal of patience and practice. An entrepreneur worth his salt must learn to become a master in creating this process.

Elements of Organizing:

If an entrepreneur understands the basic elements of organizing and follows it diligently he will be able to create a strong base for his enterprise.

Here are the five elements of organizing:

1. Identification of activities to be performed in an enterprise – Most entrepreneurs just have an idea of the activities to be performed. It is not concrete. As an entrepreneur do you have in writing what all activities will be performed by your company? Even if it is a limited number of tasks, put it on paper. It’s not enough to have it in your mind.

2. Creating Departments for Various Related Activities – Once you know all the activities of your enterprise, you need to club related activities together. Like, people involved in production related activities should be grouped together.

3. Establishing Roles and Responsibilities of each Department and Individuals Working in that Department – As an entrepreneur, do you know what role each department plays in your company? What are the responsibilities of each individual working in a department? If you don’t have the Rules and Regulations clearly defined then your organization will be one big mess. Each department must be governed by Rules and Regulations for the betterment of your company.

4. Delegating Authority – Organizing is incomplete if you don’t delegate authority. Most entrepreneurs have a team but they hold the authority. This makes their team members puppet, who keep on coming back to the entrepreneur for every single decision.

5. Coordination and Control of Activities – Even though you delegate authority, you need to be in control of all the activities going on in your company, and at the same time, you need to coordinate between the departments.

In Conclusion

The sole purpose of organizing is to help a company achieve its goals in an efficient manner.

If an entrepreneur is able to master the art of organizing by following the above steps, he can create an enterprise that will last for a long, long time to come.

********************