Break your team up into 2 or 3 teams. If you do 2 teams you’ll need 8 or 9 on a team with a player for each defensive position. If you only have 8 on a team you can eliminate either the pitcher, catcher, or one outfielder based on what is a priority for your team that day.  If  you only have 12-15 players on your team break it up into 3 teams of 4-5. Then place two of the teams on defense and one team hitting fungoes. No matter what, have the teams and batting orders pre-made before practice. This will eliminate unnecessary downtime during practice.
Alright, let’s get to the drill. “Fungo Baseball/Softball” is a great drill for fielding and base running.  It’s the same as playing an inter-squad scrimmage, except the pitchers do not throw live, and the hitters toss the ball to themselves and hit fungoes where they want.  It is set up as a competitive game with an endless amount of teaching points. I really like to do this drill early in the season in order to simulate some real game like situations, and also when you’re on a hot streak and you’re looking to keep your team sharp on the little things like relays, backing up, and communication.

Fungo bats are typically only used by coaches, to consistently place grounders and pop flies to their fielders for practice purposes. And with a fungo bat in their hands, some coaches can pull off wicked accuracy – as one story goes, the late California Angels player and coach Jimmie Reese once shot an 82 on an 18-hole golf course using nothing but a putter and a fungo bat.
A fungo bat is a specially designed bat used by baseball and softball coaches for practice. The etymology of the word fungo ( /ˈfʌŋɡoʊ/) is uncertain, but the Oxford English Dictionary suggests it is derived from the Scots fung: to pitch, toss, or fling.[26] A fungo is longer and lighter than a regulation bat, with a smaller diameter. The bat is designed to hit balls tossed up in the air by the batter, not pitched balls.[27] Typical fungo bats are 35 to 37 inches (89 to 94 cm) long and weigh 17 to 22 ounces (480 to 620 g). Coaches hit many balls during fielding practice, and the weight and length allow the coach to hit balls repeatedly with high accuracy. The small diameter also allows coaches to easily hit pop-ups to catchers and infielders along with ground balls due to better control of the barrel of the bat.
The fungo is used by a coach to hit balls for defense practice. It is lighter weight, so less fatiguing to hit ball after ball. The fungo sheds its weight above the hands. The severely tapered barrel to drops weight and maintains a high moment of inertia. While the bat would be at greater risk of breaking if used in a live batting exercise, it is safe to use in practice because there are much fewer mis-hits.
Four historically significant baseball bats showcased in the National Baseball Hall of Fame's traveling exhibit "Baseball As America". From left to right: bat used by Babe Ruth to hit his 60th home run during the 1927 season, bat used by Roger Maris to hit his 61st home run during the 1961 season, bat used by Mark McGwire to hit his 70th home run during the 1998 season, and the bat used by Sammy Sosa for his 66th home run during the same season.
Many players "bone" their bats, meaning that before games, they rub their bats repeatedly with a hard object, believing this closes the pores on the wood and hardens the bat. Animal bones are a popular boning material, but rolling pins, soda bottles and the edge of a porcelain sink have also been used. Pete Rose had his own way of hardening his bats: he soaked them in a tub of motor oil in his basement then hung them up to dry.[25]

It is not clear why pregame infield fell out of favor in the majors. Today, coaches hit balls to infielders and outfielders during batting practice. Most players go at it leisurely, lobbing balls back in or across the diamond. That rankles old-school players like Jerry Kindall, a former major league infielder who coached Arizona to three N.C.A.A. titles before retiring in 1996.

Though entertaining enough, this play appears in its entirety as a small part of Sorrentino's magnum opus MULLIGAN STEW. You can read it as easily there as in this form. Plus you'll have the rest of Mulligan Stew as well. So I recommend you only buy this volume if you're the sort of collector who owns books because of what they are, not what they say.
If fungoes are a ball tossed into the air by a batter and then struck as it comes down then a fungo bat is a baseball bat used for hitting fungoes. To go into more detail, a fungo bat is a long, lightweight baseball bat used by coaches (or parents) during pregame hitting or practice to help them hit grounders and pop flys with more consistency and less fatigue. To be one of the best in baseball, countless hours of practice are a must and fungo bats are intended for both infield and outfield practice. Plus, they help tremendously with control and accuracy so that coaches and parents can place a ball where they want when they want. 
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