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Question
State any two circumstances under which the functional structure will prove to be an appropriate choice.
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Solution
The circumstances under which the functional structure will prove to be an appropriate
choices are as follows:-
• Large Size
• Requirement of Specialisation
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'Steelo Ltd.' decided to set-up its steel manufacturing factory in the backward area of Orissa where very less job opportunities were available. People of that area welcomed this effort of 'Steelo Ltd.' To attract people to work in its factory it also decided to provide many other facilities like school. hospital. market etc. in the factory premises. 'Steelo Ltd.' started earning huge profits. Another competing company asked its production manager 'Aslam' to investigate the reasons of earning huge profits by 'Steelo Ltd.' Aslam found that in both the companies there was systematic coordination among the various activities to achieve organisational goals. Every employee knew who was responsible and accountable to whom. The only difference was that in his organisation communication took place only through the scalar chain whereas 'Steelo Ltd.' was allowing flow of communication in all the directions as per the requirement which lead to faster spread of information as well as quick feedback.
a. Identify the type of organisation which permits 'Steelo Ltd.' the flow of communication in all the directions.
b. State another advantage of the type of organisation identified in (a) above.
c. State any two values which 'Steelo Ltd.' wanted to communicate to the society
Differentiate between formal and informal organisation on the basis of origin.
Differentiate between formal and informal organization on the basis of the following:
Origin
Differentiate between formal and informal organization on the basis of the following:
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What does the term ‘Span of management’ refer to?
Draw a diagram depicting a functional structure.
Grouping of activities on the basis of functions is a part of ____________.
It is defined as the framework within which managerial and operating tasks are performed.
Which of the following does not follow the scalar chain?
Span of management can be classified into which of the following categories.
Which of the following points highlight the suitability of functional structure?
______ is suitable for companies who focuses on operational specialization.
______ ensures that the heads of separate business units in the organisation are responsible for profit or loss of their unit and have authority over it.
Which type of organisational structures is the most suitable for those business enterprises where a large variety of products are manufactured?
Which of the following gives shape to the organisation structure?
Which type of organisational structures is the most suitable when the size of the organisation is large and is producing one line of product?
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Diligent developers, a website design company in Bangalore is a startup initiative of Mr. Maniraj which aims at achieving a profit margin of 10% in its first year. Mr. Maniraj appointed Mr. Advait as the Digital marketing Head, Mr. Kiyansh as the head of Backend department and Mr. Nirved headed the Graphics Designing Department. Since each head was specialised in specific skills, it resulted in increased efficiency and better coordination. However, problems arose when Mr. Advait started considering group objectives superior to organisational objectives and stopped exchanging information with Mr. Kiyansh and Mr. Nirved. The company had to bear the brunt of lack of coordination and was unable to achieve its objectives. |
- Identify and state the organisational structure adopted by the company.
- State two benefits and two limitations of the identified structure highlighted in the above case.
| Diligent developers, a website design company in Bangalore is a startup initiative of Mr. Maniraj which aims at achieving a profit margin of 10% in its first year. Mr. Maniraj appointed Mr. Advait as the Digital marketing Head, Mr. Kiyansh as the head of the Backend department and Mr. Nirved headed the Graphics Designing Department. Since each head was specialised in specific skills, it resulted in increased efficiency and better coordination. However, problems arose when Mr. Advait started considering group objectives superior to organisational objectives and stopped exchanging information with Mr. Kiyansh and Mr. Nirved. The company had to bear the brunt of a lack of coordination and was unable to achieve its objectives. |
- Identify and state the organisational structure adopted by the company.
- State two benefits and two limitations of the identified structure highlighted in the above case.
