Organising Business Studies - Organising

The organisation producing multiproduct must adapt

Uniproduct manufacturing company must adapt

For fast communication and to get correct feedback, the following organisation is suitable.

Organisations having plans of expansion and diversification must adapt

Span of management refers to

What is meant by span of management?

National Vritech Ltd. has grown in size. It was a market leader but with changes in business environment and with the entry of MNCs, its market share is declining. To cope up with the situation CEO starts delegating some of his authority to the General Manager, who also felt himself overburdened and with the approval of CEO disperses some of his authority to various levels throughout the organisation. Identify the concept of management discussed above.

"The existence of informal organisation depends on the formal organisation." Comment.

Name the type of organisation in which (a) Friendly relationship exists among members(b) Official relationship exists among the members.

What type of structures can a formal organisation have?

State any three points which highlight the importance of delegation for an organisation.

State any three advantages that a functional structure offers to an organisation.

"Authority can be delegated but accountability cannot be." Explain.

Kiran Industries is a company manufacturing office furniture. The company chose to diversify its operations to improve its growth potential and increase market share. As the project was important, many alternatives were generated for the purpose and were thoroughly discussed amongst the members of the organisation. After evaluating the various alternatives Sukhvinder, the Managing Director of the company decided that they should add 'Home Interiors and Furnishings' as a new line of business activity.(a) Name the framework, which the diversified organisation should adopt, to enable it to cope up with the emerging complexity? Give one reason in support of your answer.(b) State any two limitations of this framework.

Selective Dispersal of Authority leads to___________.

Decentralisation is___________ of Delegation.

Divisional structure focuses on__________ specialisation.

Functional Structure focuses on__________ specialisation.

Psychological and social needs get satisfied in__________ organisation.

Span of management define responsibility area of a manager.

A network of social and friendly interaction create informal organisation.

Who reports to whom is made clear in establishing reporting relationship.

Formal organisation focuses on work only, and ignores human relations.

As end result of organisation function, a structure gets created automatically.

A company manufacturing sewing machines set up in 1946 follows formal organisation structure. It is facing lot of problems such as delays in decision-making. As a result, it is not able to adapt to the changing business environment. The work force is also not motivated. There is a problem of red tapism and employees' turnover is very high.You advise the company with regard to change it should bring about in its organisation structure to overcome the problems faced by it. Give reasons in terms of benefits it will derive from the changes suggested by you. In which sector can the company diversify keeping in mind the declining market for the product the company is manufacturing.

"A manager is of the view that he is not responsible for the quality of work that he has delegated to his subordinate." Do you agree with this viewpoint? Justify your answer by giving proper arguments.

An organisation is manufacturing medicines, cosmetics, textiles and soaps. What kind of organisational structure is suitable for this organisation and why?

"Delegation of authority is based on elementary principle of division of work." Explain.

Sita and Gita are twin sisters. After completing a course in Journalism both of them joined a leading newspaper company as sub-editors. Over the years, due to their hardwork, they are promoted to the post of chief editor in different divisions. However, the way of their functioning is totally different. Sita believes in capabilities of her subordinates. Therefore, follows policy of selective dispersal of authority in all levels of other division.On the other hand, Gita prefers to function through strict control and retains all the decisions making authority with herself.(i) In the above context, state the concept used by Sita and Gita.(ii) State any three differences between both the concepts.