Credits to: http://www.businessmanagementideas.com/organisation/importance-of-proper-coordination-to-achieve-organizational-objectives/1785
In order to achieve organisational objectives efficiently and effectively, the managers have to give a common direction to group efforts and the working of different departments.
The process by which a manager integrates their activities is known as coordination. Coordination is an orderly arrangement of group efforts to maintain harmony among individuals efforts towards the accomplishment of common goals of an organisation.
It is the force that integrates all functions of the management. Managers at each level are required to perform this function for smooth operations in the organisation. Thus, coordination synchronizes the efforts of different groups of persons from various units in an organisation.
In any organization, each employee has his own values and aspirations. Management tries to maintain a good bond between organisational and individual objectives. It utilizes their knowledge and experience of individuals for the achievement of organisational objectives. At the same time, it also tries to do justice to employees’ objectives.
For example, the objective of employees is generally to get maximum remuneration whereas the objective of the organisation is to increase the production and wealth. Managers coordinate both by motivating the employees to achieve higher remuneration by producing more, which ultimately helps in realizing the objectives of both sides.
Key Elements of Coordination:
The main elements of Coordination are as:
(i) Integration, (ii) Balancing and (iii) Timing.
Coordination integrates all diverse interests and efforts of all individuals to achieve common goals of an organisation.
Coordination provides mutual support to various activities so that goals of different units are in line with one another.
Coordination adjusts the time schedules of different activities so that they can support one another to deliver the final result in time.
For example, Mr. Sourav (Sales Manager) has the objective of selling 100 units in a week. He cannot sell them until and unless Mr. Sumit (Production Manager) produces 100 units which is possible only when the Mr. Surjit (Purchase Manager) buys enough raw material to produce 100 units per week etc.
Though sales department, production department and purchase department work independently, their effective functioning depends on one another. Hence, there is need to balance the activities of all departments of an organisation.
“Coordination – The Essence of Management”
Coordination is not really a separate function of management but in fact it is the essence of management. It is like a thread of garland, flowers of which are different managerial functions. It should be performed right from the planning stage to the controlling stage. Absence of coordination weakens the effect of authority-responsibility relationships in the organisation.
Coordination activates each function of management and makes them effective and purposeful. It helps in achieving harmony among individual efforts for attaining organisational goals. It is present in all the activities of an organisation such as production, sales, finance etc.
It synchronizes the working of different groups of persons. It helps in reducing time, cost and in increasing efficiency, morale of the employees. It establishes direct contact between the management and the employees.
(i) Helps in achieving organisational objectives with minimum of conflict.
(ii) Provides the required quality, timing, amount and sequence of efforts.
(iii) Brings harmony in efforts of different departments and individuals.
Nature/Characteristics of Coordination:
The nature of coordination is as under:
1. Coordination Integrates Group Efforts:
Coordination gives a common direction to group efforts to ensure that work is performed according to the plans. Such need arises as individuals working in an organization have different backgrounds and styles of working.
2. Coordination Ensures Unity of Action:
Coordination integrates the functions of all departments and ensures that all activities aim at accomplishment of organisational objectives. For example, in a manufacturing business, the production department, sales department and purchase department are all reciprocally interdependent.
Sales department has to provide production department with information about the demand of the product and purchase department needs to know how much quantity of raw material is required to meet the demand. If even anyone of the three does not perform its jobs properly, all of them will be affected.
3. Coordination is a Continuous Process:
Coordination is a never ending process. It starts with the functions of planning and continues till controlling. It is an ongoing process, required for the efficient functioning of the organisation.
4. Coordination is all Pervasive Function:
All the activities of an organisation are interrelated and interdependent. Thus, coordination is required at all levels and in all departments. For example, the coordination among purchase, production and sales department is essential for achieving organisational goals.
The activities can be performed smoothly in the production department if purchase department provides the required raw material, in time. Similarly, the sales activities can be performed only when there is sufficient timely production of goods.
5. Coordination is the Responsibility of all Managers:
Every manager is required to perform the function of coordination. For example, top level managers coordinate the activities of their subordinates to ensure that the overall policies of an organisation are duly implemented. Operational level management coordinates the activities of its workers so that work is performed according to plans.
6. Coordination is a Deliberate Function:
A manager is required to coordinate the efforts of different people towards common goal of the organisation. Coordination gives common direction to the efforts of the employees who are willing to work and cooperate.
From the above discussion, it can be concluded that coordination is not a separate function of management, but rather it’s the essence of management. It is required at all the levels, all departments and in all managerial functions.
Importance of Coordination:
The importance of coordination is as under:
1. Size of the Organization:
The need of coordination arises when the organization grows in size. Growth here means increase in number of employees. Employees with different values, experiences and objectives become part of the organization to satisfy their needs. In order to bring harmony in the organization, management has to integrate personal goals with the organizational goals through coordination.
2. Functional Differentiation:
The organisation is divided into different departments, sections or divisions. They try to work in isolation and independently. The need of coordination is required to ensue these units remain a part of the organisation and move towards the realization of pre-determined organisation goal.
In modem organisation, diversification and complexities of technology give rise to specialisation. The organisation hire specialists who that they are competent to handle their jobs. They do not consult departmental heads. This often leads to conflict among specialists and departmental heads. Therefore, coordination is needed to reconcile differences to ensure unity of action achieve organisational objective.