Chapter 5 Solutions — Organising

Exercises

1. 1.
   Identify the network of social relationships which arises spontaneously due to interaction at work.
2. 2.
   What does the term 'Span of management' refer to?
3. 3.
   State any two circumstances under which the functional structure will prove to be an appropriate choice.
4. 4.
   Draw a diagram depicting a functional structure.
5. 5.
   A company has its registered office in Delhi, manufacturing unit at Gurgaon and marketing and sales department at Faridabad. The company manufactures consumer products. Which type of organisational structure should it adopt to achieve its target?
6. 6.
   What are the steps in the process of organising?
7. 7.
   Discuss the elements of delegation.
8. 8.
   How does informal organisation support the formal organisation?
9. 9.
   Can a large sized organisation be totally centralised or decentralised? Give your opinion.
10. 10.
    Decentralisation is extending delegation to the lowest level. Comment.
11. 11.
    Neha runs a factory wherein she manufactures shoes. The business has been doing well and she intends to expand by diversifying into leather bags as well as western formal wear thereby making her company a complete provider of corporate wear. This will enable her to market her business unit as the one stop for working women. Which type of structure would you recommend for her expanded…
12. 12.
    The production manager asked the foreman to achieve a target production of 200 units per day, but he doesn't give him the authority to requisition tools and materials from the stores department. Can the production manager blame the foreman if he is not able to achieve the desired target? Give reasons.
13. 13.
    Why is delegation considered essential for effective organising?
14. 14.
    What is a divisional structure? Discuss its advantages and limitations.
15. 15.
    Decentralisation is an optional policy. Explain why an organisation would choose to be decentralised.
16. 16.
    Distinguish between centralisation and decentralisation.
17. 17.
    How is a functional structure different from a divisional structure?
18. 18.
    A company, which manufactures a popular brand of toys, has been enjoying good market reputation. It has a functional organisational structure with separate departments for Production, Marketing, Finance, Human Resources and Research and Development. Lately to use its brand name and also to cash on to new business opportunities it is thinking to diversify into manufacture of new range of…
19. 19.
    A company manufacturing sewing machines set up in 1945 by the British promoters follows formal organisation culture in totality. It is facing lot of problems in delays in decision making. As the result it is not able to adapt to changing business environment. The work force is also not motivated since they cannot vent their grievances except through formal channels, which involve red tape…
20. 20.
    A company X limited manufacturing cosmetics, which has enjoyed a pre-eminent position in business, has grown in size. Its business was very good till 1991. But after that, new liberalised environment has seen entry of many MNCs in the sector. With the result the market share of X limited has declined. The company had followed a very centralised business model with Directors and divisional heads…