Organizing is the process of identifying and grouping of activities required to attain the objectives, delegating authority, creating responsibility and establishing relationships for the people to work efficiently. As a process, organization refers to the process of determining, arranging, grouping and assigning the activities to be performed for the attainment of objectives. Thus, the organization is a mechanism or structure which helps the activities to be performed effectively. The organization is established for the purpose of achieving the business objectives. An organization structure should be designed to clarify who is to do what task and who is responsible for what results. The organization structure is designed both from mechanistic point of view. It is not only a mechanical structure of duties, activities and relationships, but also web of human interactions within social group with attitudes and aspirations. The success or failure of an organizing depends upon the principles to be followed in the organization.