12th Class Business Studies Organising

  • question_answer 30)
    Paragraph A company manufacturing sewing machines set up n 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. Employee turnover is high. Its market share is also declining due to changed circumstances and business environment.   You are to advise the company with regard to change it should bring about its organisation structure to overcome the problems faced by it. Give reasons in terms of benefits it will derive from the changes suggested by you. In which sectors can the company diversify, keeping in mind the declining market for the product the company is manufacturing?

    Answer:

    The suggestions are (i) To overcome the limitations of formal organisation, the management should encourage workers to interact and socialise with each other through get together outings. In this way, everyone will interact and likeminded people will come closer. The net result will be more satisfied workforce. (ii) The management should try to decentralize organisation structure. (iii) The suggested area where the business can be diversified is textile machineries like embroidery units, sequencing units, buttoning units.


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