Assignment Code: AOM-01/TMA/2022-23

Course Code: AOM-01

Assignment Name: Office Organization and Management

Year: 2022-2023

Verification Status: Verified by Professor

Maximum Marks: 100

Attempt all the questions:

1. Differentiate between centralised and decentralised systems of purchasing stationery. Compare their relative merits and demerits. Which method will you adopt for a big organisation whose branches are located in different cities? (20)

Ans)

Centralization

In an organisational structure known as centralization, the top management has the power to make decisions. The right to develop strategies and choose the goals and objectives on which an organisation will run belongs to a select group of members. In a centralised organisation, top management establishes policies and procedures, which are then communicated to lower-level staff members, who are expected to follow them without challenging the authority.

The benefit of such a structure is that it gives workers a clear framework within which all work must be completed. The drawback of such a structure is that it lengthens the decision-making process. Because chosen members of top management have the power to make decisions, this could lead to biased decisions.

Merits

A Clear Chain of Command

An incorporated association profits by an unmistakable hierarchy of leadership in light of the fact that each individual inside the association realizes who to answer to. Junior workers likewise realize who to approach at whatever point they have worries about the association.

Centered Vision

At the point when an association pursues a brought together administration structure, it can concentrate on the satisfaction of its vision easily. There are clear lines of correspondence, and the senior official can convey the association’s vision to workers and guide them towards the accomplishment of the vision.

Decreased Expenses

A brought together association holds fast to standard strategies and techniques that control the association, which help decrease office and authoritative expenses. The fundamental chiefs are housed at the organization’s head office or home office, and accordingly, there is no requirement for conveying more offices and gear to different branches.

Demerits

Bureaucratic Administration

Brought together administration takes after an oppressive type of initiative where representatives are just expected to convey results as indicated by what the best administrators appointed them. Representatives can’t add to the basic leadership procedure of the association, and they are simply implementers of choices made at the larger amount.

Remote Control

The association’s administrators are under enormous strain to define choices for the association, and they need command over the execution procedure. The disappointment of administrators to decentralize the basic leadership process adds a ton of work to their work area.

Deferrals in Work

Centralization results in postponements in work as records are sent to and from the head office. Workers depend on the data imparted to them from the best, and there will be a misfortune in worker hours if there are delays in handing-off the records.

Decentralization

Another organisational structure type is decentralisation, which works by assigning decision-making authority to numerous teams dispersed across various geographic locations. In such a company, those in the middle and lower levels of management make the majority of the decisions regarding planning, strategy, and their implementation.

Decentralization has the advantage of giving employees the freedom to decide for themselves what is best for the company, which raises employee satisfaction levels and increases productivity. Low-level employees can develop their leadership abilities thanks to decentralisation, which may ultimately help the organisation grow.

Merits

Expansion of Exercises

Decentralization diminishes the weight of the CEOs with settling on routine choices. They can undoubtedly commit the time accessible for critical exercises, for example, enhancement of items, raising vital fund, getting licenses and beginning new lines of generation and taking care of vital issues of the business concern, while less essential and routine might be left to the centre and supervisory dimensions.

Advancement of the Managerial Personnel

As the business develops in size, it requires the administrations of countless and here decentralization gives a preparation ground to the future supervisors. The supervisors learn by understanding inside the association concerned.

Successful Control and Supervision

Decentralization prompts compelling control and supervision. Since concerned chiefs appreciate full expert to make changes in work task, to take disciplinary activities, to change generation plans or to prescribe advancements, they are in a situation to oversee the subordinates’ exercises.

Demerits

Problems of Coordination

Decentralization makes the usage of the administrations of particularly gifted individuals. As a result of frail money related assets, arrangement of such people may not be conceivable.

External Factors

Decentralization expands the issues of coordination among the different units. Increase the administrative price  Now and again, decentralization may not be conceivable by any stretch of the imagination. Outer factors make this troublesome, for example, expansive strikes.

2. (a) Do you mean by office management? What are the elements of office management?

Ans) Modern management's growing reliance on information is what's driving the expansion of office functions. It is necessary to implement an efficient system of office management and organisation in order to meet this demand with skill and efficiency at the lowest possible cost. The office's primary goal is to offer administrative support to all other organisational departments.

Receiving, recording, analysing, storing, and communicating information are all tasks that the office performs, in addition to other administrative duties. A group of people collaborate on office activities in order to effectively provide a range of services. Office management is concerned with putting management's principles and practises into practise to get office staff to complete tasks.

Planning, organising, coordinating, and controlling ice activities are thus included. The job of office management is to direct the employed staff in using the proper tools and procedures to carry out office duties. The definition of office management as "that branch of the art and science of management which is concerned with the efficient performance of office work whenever and wherever that work is done" can thus be used.

Elements

Objectives

Office management is concerned with achieving specific desired goals with the assistance of office staff. Office goals can be divided into three categories: service, profit, and social responsibilities. It is expected that office work will support and aid other functional departments in effectively carrying out their duties. Service is therefore a key goal of office work management. Effective office operations increase productivity and profitability. The importance of upholding certain moral and ethical standards established by the sector and society in which the business operates is emphasised by social responsibilities.

Means

The methods which are adopted to achieve the desired objectives are called the means. The office manager must use the most suitable materials, and standard equipment, required for the performance of work by the office staff. This requires full information about nature of office machines and equipment available and their application in day-to-day office work.

Personnel

Well-trained personnel are required to perform various office activities. Office machines cannot completely replace human effort but can only help the office staff in doing their work accurately and quickly. . Recruitment, training, and placement of office employees and their motivation constitute an important element of office management.

Environment

Office environment plays a major role in the performance of office work by its staff. Office personnel spend best part of their life in working for the organisation. The surroundings in which office employees work must be congenial. Proper lighting, ventilation, colouring of walls, and availability of other common facilities ensure better atmosphere for work.

(b) Explain the significance of internal office communication. Mention the types of inter-communication found in a modem office. (10+10)

Ans) One of the office manager's main responsibilities is establishing a successful internal communication system. A good communication system aids in fully and successfully meeting the organization's communication needs with maximum speed, accuracy, and economy. The qualities of a good communication system are listed below:

1. Simplicity: It should be easy to install and maintain the system. The staff should have no trouble comprehending and using the system.

2. Suitability: The system needs to be appropriate for the organisation it is intended for. It should be able to meet the organization’s communication needs adequately, effectively, and economically. 

3. Speed: The system must ensure that oral and written communication is transmitted quickly. Accuracy should not be sacrificed in order to achieve speed.

4. Accuracy: The system ought to be able to guarantee accuracy in the transmission of all kinds of oral and written communication. If errors arise as a result of any system flaw, the very purpose of communication will be defeated.

5. Safety: The system should ensure that messages transmitted are not lost or miscarried in course of transit.

6. Secrecy: Not all communications are secret or confidential. But the system should have inbuilt mechanism f.>r ensuring secrecy of confidential communication.

7. Flexibility: The system should be well-defined but not too rigid. It should be capable of being adapted to changes in the structure of the organisation.

8. Economy: The system's management and organisation cannot be too expensive.

Internal communication, also referred to as inter communication, occurs between groups of people and departments within an organisation. It could be. There are two types of intra-departmental communication: (i) between the executive and staff of the same department; or (ii) between staff from different departments.

All office work, whether done centrally or decentralized, is interconnected and interdependent; therefore, effective coordination and efficient performance of the work cannot be achieved without constant communication between departments and between individual employees within each department. Internal communication makes sure that both intra- and inter-departmental communication flow smoothly and quickly.

According to (i) organisational relationships, (ii) the direction of flow, (iii) the form or medium of communication, and (iv) the means and methods used for transmission, internal communication can be divided into various types. Now let's talk about some crucial forms of internal communication.

3. Briefly comment on the following: (4×5)

(a) "The sanitary conditions prevailing in the office have a potent effect on the staff and consequently on the quality and volume of work accomplished."

Ans) A working person is likely to forget that they have an unquestionable personal responsibility for the place of employment, where they spend between 25% and 30% of their time. A quick response prompts the idea that those in charge of the workplace, such as employers or managers/caretakers, are to oversee its operations fully or at least largely.

The majority of us feel that we are already overworked or occupied taking care of our homes and personal spaces during the day, so taking care of our workplaces on top of that would be an excessive burden. This sentiment is shared by common men. Personal hygiene and sanitation at work are two such crucial areas where only we as individuals can provide assistance. Even under the law, management is required to put industrial health and well-being first and to assume full responsibility for maintaining safe and healthy workplaces.

The concerned management is responsible for preventing any negative effects on health, safety, well-being, the environment, and the local community or society that may result from industry processes, operations, or installations, but when it comes to personal hygiene, sanitation, and general neatness/cleanliness, we must all work together and make substantial contributions. The goal is to maintain good health and fitness both at work and everywhere else.

(b) "Indexing is an integral part of filing and records management."

Ans) The organisation places a high value on record management. Record management focuses on securely storing records and providing them as needed. An instrument of record management called indexing enables quick and easy access to records. Without indexing, filing is useless. In this regard, some of indexing's significance can be explained as follows:

1. Easy location: Indexing points out the required records or file and facilitates easy location.

2. Saves time and efforts: Indexing gives the ready reference to the records and saves the time and efforts of office.

3. Efficiency: Indexing elps to find out the records easily and quickly which enhances the efficiency of office.

4. Cross reference: There are two ways to maintain a specific record. By using cross references, indexing makes it easier to find these records.

5. Reduce Cost: Indexing helps to reduce the cost of office by saving time and efforts.

(c) "One of the common faults of office management is unwanted mechanisation."

Ans) Procurement of a machine for the office needs funds which may not be possible for small firms. For example, duplicators. computers. addressing machines, etc., are quite costly. Only the big offices can buy such expensive machines. Moreover, the operation costs of certain machines are also high. Computer is an example in this regard. Small offices may not be able to bear the cost of installation and operation of such equipment and machines.

Breakdown of an office machine may incur heavy losses to the firm. With the breakdown of a machine, the work will be held up in the office. This may also lead to dislocation of work in many departments. The real cost of breakdown of a machine is much higher than the cost incurred on its repairs. The office devices may not be used to the fullest possible capacity because alternative uses may not be possible. It may prove uneconomical to use such machines. Thus, mechanisation of office should not be attempted to give it a modern look only. The decision to buy any machine should be taken only after careful consideration of its benefits, and limitations.

(d) “Handling of information is the basic component in the office management process today.”

Ans) Office management is the process of organising, directing, coordinating, and monitoring the actions of a team of individuals who are working to accomplish business goals effectively and economically. Not only is office management essential for business organisation, but it is also crucial for non-business organisation. There is a need for direction of individual efforts toward a common goal or objective in modern internet society as well. A location, such as an office, is where the direction is given.

Personnel

The office work is actually done by office staff. In small organisations, the office manager typically oversees the hiring and placement of office staff. Staffing is handled by the human resource management department in large organisations.

Environment

The atmosphere of an office is determined by the type of business. The various office tasks must be completed in a specific setting or circumstance. Office work is performed in a setting that is created and maintained for efficiency. An office manager has a duty and responsibility to create a suitable environment by implementing various practises and procedures.

Purpose

The office staff must be aware of the reason behind each task's completion as well as how it affects the productivity of others. The office manager explains the goal to the staff. If not, office work is not performed in a way that makes the best and most economical use of office resources while also achieving the goals.

4. Write short notes on the following: (4×5)

(a) Leasehold building for office accommodation

Ans) An asset that is being leased is referred to as a leasehold in accounting. Usually, the asset is a piece of real estate, like a building or a room inside one. In exchange for a set number of scheduled payments made over the lease's duration, the lessee enters into a contract with the lessor to have the right to use the property. A commercial leasehold arrangement might include renting out office space to a business or a building to house a retail establishment.

The terms of the arrangement between the lessee (tenant) and the lessor will be specified in a leasehold contract (property owner or landlord). Commercial real estate contracts, like those for office space, are typically intricate agreements that specify landlord and tenant responsibilities, security deposits, breach of contract clauses, and leasehold improvement clauses. Larger tenants might be able to negotiate better conditions in exchange for longer leases and more space. The typical length of a commercial property lease is one to ten years.

(b) Essentials of a good filing system

Ans) The essentials of a good filing system are as follows:

1. Simplicity: To ensure that every member of the office staff is able to understand the filing system, it must be easy to use. The organisation system shouldn't be overly intricate or difficult. But it shouldn't be sacrificed in the name of ease of use.

2. Suitability: The filing system should be completely applicable to the firm concerned and suit the nature and requirements of the business for which it is introduced.

3. Adaptability: The system must be flexible enough to accommodate changes in business. For instance, a book seller might eventually start publishing books. In this situation, the existing filing system cannot be abolished in favour of a new one. To avoid being a waste, the newer version of the existing system must allow for expansion.

4. Economy: Cheap system of filing is to be adopted. The cost incurred by the system must be proportionate to the results obtained. The desired result must be obtained by using minimum finance, time, clerks, etc.

Less Space

Due to high rent, space efficiency is crucial in all situations. So, it's important to see that the system only needs a small amount of floor space. Dead documents can be removed for this, and outdated files that are not at all needed should also be deleted. Such documents and files can be regularly deleted to free up space.

(c) Time and motion study for setting standards

Ans) A time and motion study, also known as a time-motion study, is a business efficiency technique that combines Frederick Winslow Taylor's Time Study and Frank and Lillian Gilbreth's Motion Study (the same couple as is best known through the biographical 1950 film and book Cheaper by the Dozen). It plays a significant role in scientific management.

Time study developed after its initial introduction in the direction of establishing standard times, whereas motion study developed into a method for enhancing work processes. The two methods were combined and improved into a widely used approach that can be used to upgrade and improve work systems. Methods engineering is the term used to describe this integrated approach to work system improvement, which is used in both industrial and service organisations today, such as banks, schools, and hospitals.

(d) Features of supervision

Ans) A good supervisor is expected to have the following qualities with regard to his conduct and behaviour:

1. He should be punctual.

2. He must be self-disciplined

3. He should be alert so as to be able to take note of irregularities in work performance.

4. He should take timely decisions.

5. He should adopt a human approach to solve human problems.

6. He must have integrity of character and a strong personality.

7. He must avoid giving a sense of inferiority to his subordinates.

8. He should deal with the subordinates with sympathy and understanding.

5. Distinguish between the following: (4×5)

(a) Employee Manual and Procedure Manual

Ans)

Employee Manual

The employee manual, also known as the "employee handbook," is the most well-known and frequently used manual. Its goal is to acquaint a worker with issues related to his or her employment relationship with the company. This manual contains information on pay scales, bonuses, vacations, employee services, and educational opportunities. A well-written employee manual gives new hires helpful information. Employees who have worked for the company for a long time will also find it to be a great resource and source of information.

Procedures Manual

It contains specific guidelines and instructions that must be followed by an employee when performing his duties. This manual provides a thorough explanation of what must be done, how it must be done, who must do it, and when it must be done. This manual's objective is to lay out procedures to be followed when carrying out organisational tasks.

(b) Financial Data and Non-financial Data

Ans) Figures expressed in monetary units, such as dollars, pounds, or rupees, make up financial data. numbers for income and spending. capital put up. Annual financial statements (Profit & Loss Account and Balance Sheet) include the figures in summarised form for the value of opening and closing stocks. Government agencies and other organisations regularly release financial data pertaining to the national economy, such as the gross domestic product, per capita income, import and export values, loans and advances made by financial institutions, capital issues by companies, etc.

Facts and figures expressed in forms other than money units are referred to as nonfinancial data. Such information can be divided into two categories: a) quantitative information and b) non-quantitative information. Quantitative data includes facts and figures that are expressed in numbers, other common measurement units, or by weight (for instance, tonnes of cement, barrels of oil, bales of cotton, and the like). In a similar way, personnel data expressed in numbers include the number of employees, those paid on a daily basis, etc.

Facts are sometimes recorded as the opinions or preferences of individuals or as the rankings or grades given to various objects. These are commonly known as nonquantitative data. For instance, information about consumer preferences for various brands of a product may be generated through a market survey. Customers' opinions on the relative importance of various features of a particular product may be requested. Similar to this, people may express their opinions about how effective various forms of advertising are by using terms like "very effective," "moderately effective," "ineffective," and so on.

(c) Medical benefits and Recreational benefits for staff welfare

Ans)

Medical Benefits

The majority of large companies today offer their employees a variety of health benefits. Employees who participate in this programme receive paid medical leave, reimbursement for medical expenses incurred by them, as well as additional benefits like free hospitalisation, dental, optical, and surgical care, periodic health exams, etc. Some large enterprises also maintain exclusive health care facilities.

Group insurance is occasionally a plan that offers reasonable protection for the life risks of several employees, all under one contract. The insurance policy is written on the lives of the group of employees, and in the event of death, the deceased employees are given the sum of money received from the insurance company. When combined, medical benefits enable an organisation to address employee health issues and ensure the continuity of their services. In turn, this inspires the staff to give the organisation their best work.

Recreational Benefits

Like other members of an organisation, office workers require recreational amenities to unwind and maintain their spirits. Employees' tensions, annoyances, and boredom are relieved by properly run recreational programmes. Participation in indoor and outdoor games as well as other friendly competitions promotes social interaction, which results in a sense of community.

Similar to this, attending social events like gatherings, picnics, and parties from time to time helps people get to know one another better. These relaxed gatherings foster a culture of understanding and cooperation among the staff. The management may also offer reading rooms, libraries, and spaces for holding cultural events, among other things, to further improve the lives of the workers. In order to allow their employees to enjoy their vacations in comfortable climates, large organisations also maintain vacation homes in hill stations and other popular tourist destinations.

(d) Centralised and Decentralised correspondence

Ans)

Centralised Correspondence

In a centralised plan, trained staff working under the direction of a qualified supervisor draught correspondence in a central correspondence department. All correspondence that doesn't need the special attention of departmental executives is relieved from departments.

Advantage

1. High-quality correspondence is consistently produced by trained staff.

2. All correspondence leaving the office can maintain a constant positive attitude toward customers. Better customer relationships and increased goodwill are the outcomes of this.

3. By having the same group of employee’s draught all of the AU correspondence, the entire organization's correspondence is kept to a consistently high standard.

Disadvantages

1. The work of departmental staff must frequently be interrupted by staff from the central department in order to gather, confirm, or update information. The work of the department is hampered as a result. Letter draughts created by the central staff are based on departmental information obtained second-hand. This could lead to letters that are unreliable and inaccurate.

2. Referring draughts to concerned departments for the necessary adjustments can cause unnecessary delays and may also call for extensive customer correspondence.

Decentralised Correspondence

Decentralized or departmental correspondence is more practical when the correspondence is of a specialised nature. According to the decentralised plan, each functional department's in-house staff is responsible for handling all correspondence for that department. The department manager and executives are in charge of and overseeing the correspondence work.

Advantages

1. The departmental staff's letters are more precise and effective because they are based on first-hand knowledge.

2. There is no need to consult other departments because the department has all the information required for drafting. The work is expedited, and unnecessary delays are eliminated.

Disadvantages

1. Departmental clerks lack the specialised knowledge needed to write effective and high-quality letters. Work output is also decreased.

2. The quality and approach of letters coming from various departments vary greatly, reflecting poorly on the organisation.