The purpose of loaning classification to each member is to make certain that the Club includes a representative of every worthy and recognized business, professional, or institutional activity in the community. Thus it is one of the chief sources of the strength and diversity of Rotary.

According to the Constitution and By-laws of Rotary International, each active member of a club shall be classified according to his business or profession. Classification loaned to an active member describes the activity of the particular firm, institution or profession with which the member is connected.

The benefit of classification system is that it prevents exclusive groups in the Rotary and takes one away from one's own little world and compels him to take personal interest in what others are doing and thinking.
The Committee updates the club's classification survey of the community as soon as possible after 1 July each year, when the Rotary year begins, and not later than 31st August. Once the survey is completed, the Committee compiles a roster showing the particular classification has been loaned to each member.

The job of the Classification committee does not end with preparation of this roster. During the year changes will occur as new members are inducted, members leave or change their profession and therefore the roster has to be updated accordingly. This enables the committee to inform the membership development committee whether or not there is a classification available for a proposed member.