Does not allow deviations from set policies. The first step that is involved in organising is identifying the number of … Rigidity/ Curbs Creativity: In this organisation the employees have to do what they are told to do & have no opportunity of thinking. This results in more and better work being accomplished in much lesser time. This shows their selfish attitude. It implies reservation of some authority with the top-level management and transferring rest of the authority to the lower levels of the organization. Means to Achieve Organizational Objectives - It is a means to achieve the objectives specified in the plans. Helps in increasing managerial efficiency: Managers of one department are performing same type of function again and again which makes them specialized and improves their efficiency. Does not mean abdication of responsibility. All Right Reserved. The best app for CBSE students now provides Staffing class 12 Notes Business Studies latest chapter wise notes for quick preparation of CBSE board exams and school based annual examinations. 2. It is not deliberately created by the management. 1. 1. ADVERTISEMENTS: The process of organizing consists of following steps! Group Norms for Standards of Behaviour: No written rules & procedures to govern inter- relationships. CBSE class 12 Business Studies Organizing class 12 Notes Business Studies in PDF are available for free download in myCBSEguide mobile app. 2. On this basis, an unprofitable division can be closed. 1. Relations among persons working on different posts are determined. 1. myCBSEguide | CBSE Papers & NCERT Solutions. The work should be identified and a proper job description should be created. Activities are divided into depts. FOR EXAMPLE-Sales department insists on a customer-friendly design which may cause production difficulties. It makes the co-ordination easier at departmental level. Organizing provides a clear description of jobs and working relationships. Avoids Duplication of Effort: In Formal Organisation, work is systematically divided among various depts. Dividing the whole enterprise according to the major products to be manufactured (like metal, plastic, cosmetics etc.) ADVERTISEMENTS: And an individual in the organisation is assigned one job only. - Once the plans have been laid down and objectives specified therein, the next step is to organize resources in a manner which leads to the accomplishment of objectives. endobj Inter-departmental conflicts can also arise in the absence of a clear separation of responsibility. 1. 2. Work is bound by rules & while following the scalar chain of command, decisions & actions get delayed. – E.g. may form their own informal groups. Control can be made effective by the evaluating the performance of each decentralized unit in the light of clear and pre-determined standards. 1.Faster Spread of Communication and Quick Feedback - Informal Organisation cuts across formal channels of communication. In general words organising refers to arranging everything in orderly form and making the most efficient use of resources. They learn how to decide and develop managerial skills. (adsbygoogle = window.adsbygoogle || []).push({}); The steps in an organising process are as under: After the planning is done and the goals are set, the next step which comes into picture is setting the organisational structure and doing the organising. – Job = a set of related tasks that can be performed by an individual. 2. ;�c�2��c��z�i��G�ĉ�K��]��cq�X� It creates rumours: All the persons in an informal organization talk careless and sometimes a wrong thing is conveyed to the other persons. 3. Pursuing dept. It gives rise to duplicity of efforts among divisions & increases cost. This determines the levels of management in the structure. Hence, in cases of the poor performance of the division, appropriate remedial action can be taken. Ensures That All Functional Areas Get Due Attention. Cloudflare Ray ID: 5f77232ccbab1ed6 Then marketing manager will be answerable for the work performance of his subordinates. Thus, their initiative gets slackened Poor organisation practices may not provide adequate recognition to creative talent, since it does not allow any deviations from rigidly laid down polices. Well defined structure of tasks and relationships. Therefore, more effective supervision can be exercised. & are able to improve performance. The reporting relationships mean to establish the authority and responsibility relationship. endstream It is personal means the feelings of individuals are kept in mind. << /Filter /FlateDecode /Length 7286 >> x���݊-9r���SԵ�9��C������=�1���`e���kKk�Z���9Ù�B��J)B Following steps are involved in the process of organising. Reduction of Executives’ work load: It reduces the work load of officers. IMPORTANCE / ADVANTAGES OF FORMAL ORGNISATION, Formal communication may lead to procedural delays as the established chain of command has to be followed which increases the time taken for decision-making. Difference between – Delegation and Decentralization. It is impersonal i.e. Lack of initiative: The employees have to do what they are told to do and they have no opportunity of thinking. Emphasis on Work: - It places more emphasis on work to be performed than inter personal relationships among employees. It gives rise to duplicity of efforts among divisions. It is a process of sharing tasks and authority. the structure that is designed by the management to accomplish organizational objectives. Quick and better decisions: The burden of managerial decisions does not lie in the hands of few individuals but gets divided among various persons which helps them to take better and quick decisions. endobj So to avoid all the limitations, the proper departments head will be selected so that the head can be accountable for the activity he or she is looking after. A sound organization structure allows a business enterprise to add more job positions, departments and even diversify their product lines. As the organization grows in size, there is tendency to move towards decentralization. Also growing companies which intend to add more lines of products in future adopt this structure. Granting requisite authority to enable employees to perform the job satisfactorily. 1. 3. 2. It is deliberately created by the top management. According to Allen,‘ Decentralisation refers to systematic efforts to delegate to the lowest level, all authority except the one which can be exercised at central points.‟. Products: Textiles, chemical, power division, etc. • It implies reservation of some authority with the top level management and transferring rest of the authority to the lower levels of the organization. CBSE Class 12 Case Studies In Business Studies – Organising. 3. The organising function follows the function of planning and the other functions of management follow organising. Promotes efficiency in utilization of manpower as employees perform similar tasks within a dept. endobj 5. 4. Suitability of Functional Organisation: The functional organisation structure is suitable in the situations given below: (i) where the size of the business unit is large; (iii) where decentralisation of authority is needed and; (iv) where there is only one product that is sold. 3. To increase the role and the autonomy of lower level of management. Copyright 2020 @ Extraclass Edtech Private Limited . 40 0 obj These are the Organizing class 12 Notes Business Studies prepared by team of expert teachers. 1. ∴ No chance of overlapping of work. CBSE quick revision note for class-12 Business Studies, Chemistry, Math’s, Biology and other subject are very helpful to revise the whole syllabus during exam days. structure that is designed by the management to accomplish organizational objectives.. – It specifies clearly the boundaries of authority & responsibility and there is a systematic coordination among the various activities to achieve organizational goals. Performance & security by Cloudflare, Please complete the security check to access. Relation between Span of Management and Organization structure: Span of management refers to the number of subordinates that can be effectively managed by a superior. 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