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Functions of Organizational Goals
Goals are the reason for the establishment and functioning of organizations. Managers prepare plans, form organizational structures, accumulate resources, and provide instruction to subordinates for the implementation of plans to achieve determined goals. The following are the major functions of organizational goals:
- Basis of Organizing
- Basis of Control
- Proper Use of Resources
- Assist in Staffing
- Fulfill Individual Goals
- Maintain Distinct Image
- Feeling of Job Security
Basis of Organizing
Organizational goals are the basis of organizing. Manager develops rules, regulations, communication systems, and working procedures for improving employee performance. Authority is delegated to the employees based on their responsibility.
Basis of Control
Management prepares plans, accumulates resources, and implements a plan for achieving desired goals. The actual performance achieved is evaluated and compared with the planned performance and if the actual work done is not meet the planned performance, the corrective measure is taken. The corrective measure is taken by organizational goals.
Proper Use of Resources
Goals initiate the proper use of resources including the human resources of an organization. Managers provide instructions and guidance for the proper use of resources focusing on goals. Proper use of resources facilitates minimizing wastage which ultimately helps to minimize the cost of products and services.
Assist in Staffing
One of the functions of organizational goals is to place the right person at the right job. Similarly, it assists in the implementation of development programs such as training, seminar, workshop, conference, etc. This helps to develop the working efficiency of employees which further assists in the proper use of other physical resources.
Related: Staffing: Definition, Objectives, Importance, & Process
Fulfill Individual Goals
At the primary stage, management initiates all the activities of employees to achieve organizational goals. When the organization can expand the business to earn a profit, it can fulfill the individual needs of employees in terms of an increased salary, allowance, bonus, commissions, etc.
Maintain Distinct Image
Achievement of organizational goals helps to fulfill both the basic and social needs of individual employees. They may have distinct identification and status in society.
Feeling of Job Security
Goals help employees to develop the feeling of job security in the organization. When an organization achieves its goals, employees also feel secure working in the organization for a long duration of time. The successful functioning of an organization encourages individuals to do the assigned job confidently and comfortably.