Practicing Success

Target Exam

CUET

Subject

Business Studies

Chapter

Organising

Question:

Read the following passage and answer the following questions.

'Mitabhi Colours' is a profitable company that makes different types of paint colors. Mitabhi colours is working by clubbing similar related jobs under different departments. The company is well-organized, and this has led to a consistent increase in revenue. Workers have clear job roles, which helps them gain experience and boost productivity. Each worker know who he has to take orders from and to whom he is accountable. The company recognizes the need to connect with employees and values them as its most important asset. Delegating tasks to employees not only frees managers from routine work but also provides valuable learning opportunities in practical situations. The company holds its meetings according to the mood of the members. It has no set pattern of behaviour.

Which of the following is not the importance of organising?

Options:

Benefits of specialisation

Clarity in working relationships

Optimum utilization of resources

Decline development of personnel

Correct Answer:

Decline development of personnel

Explanation:

The correct answer is option 4- Decline development of personnel.

The organising helps in the development of personnel not declining it. Organising can be defined as a process that initiates implementation of plans by clarifying jobs and working relationships and effectively deploying resources for attainment of identified and desired results (goals). The following points highlight the crucial role that organising plays in any business enterprise:

(i) Benefits of specialisation: Organising leads to a systematic allocation of jobs amongst the work force. This reduces the workload as well as enhances productivity because of the specific workers performing a specific job regularly. Repetitive performance of a particular task allows a worker to gain experience in that area and leads to specialisation.

(ii) Clarity in working relationships: The establishment of working relationships clarifies lines of communication and specifies who is to report to whom. This removes ambiguity in transfer of information and instructions. It helps in creating a hierarchical order thereby enabling the fixation of responsibility and specification of the extent of authority to be exercised by an individual.

(iii) Optimum utilization of resources: Organising leads to the proper usage of all material, financial and human resources. The proper assignment of jobs avoids overlapping of work and also makes possible the best use of resources. Avoidance of duplication of work helps in preventing confusion and minimizing the wastage of resources and efforts.

(iv) Development of personnel: Organising stimulates creativity amongst the managers. Effective delegation allows managers to reduce their workload by assigning routine jobs to their subordinates. The reduction in workload by delegation is not just necessary because of the limited capacity of an individual but also allows the manager to develop new methods and ways of performing tasks. It gives them the time to explore areas for growth and the opportunity to innovate thereby strengthening the company’s competitive position. The delegation also develops in the subordinate the ability to deal effectively with challenges and helps them to realize their full potential.