Business Studies

The Principal of ABC Public School ordered the staff that they will be allowed to sit in the staffroom situated in their block. No teacher will be allowed to sit in another staffroom. During school's hours, teachers can meet teachers of their department only for work related matters. He wants each teacher to strictly work as per rules and directions given by him.
(a) Identify the type of organisation in this and state disadvantage of such organisation.
(b) State the value violated in the above case. 


SOLUTION
(a) Formal organization.
Formal organisation is a well-defined structure of authority and responsibility that defines delegation of authority and relationships amongst the organisational members. It works along pre-defined set of policies, plans, procedures, schedules and programmes. Most of the decisions in formal organisation are based on pre-determined policies.It is a deliberately designed structure with formal authority, responsibility, rules, regulations and channels of communication. Some degree of formalization is necessary for organisations to function effectively; to avoid taking time-consuming decisions, to handle conflicting situations and exercise control over the activities of subordinates.
Though formal structure of relationships helps to achieve organisational goals, it suffers from the following limitations:

1. Loss of initiative:
As too much emphasis is placed upon formal rules and regulations, workers do not use their creative and innovative skills to perform organisational tasks. There is loss of initiative and innovative abilities due to strict adherence to rules.

2. Unsatisfied social needs:
Man is a social being. He needs to interact with people and share his feelings at-work and off-work with others. In a formally designed organisation structure, social needs remain unsatisfied as people are related to each other through a formal chain of command to discuss only official matters with each other. Social interactions are altogether ignored.

(b) Social need. Social values are missing:
Man is a social being. He needs to interact with people and share his feelings at-work and off-work with others. In a formally designed organisation structure, social needs remain unsatisfied as people are related to each other through a formal chain of command to discuss only official matters with each other. Social interactions are altogether ignored.
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Subjective Medium Published on 18th 09, 2020
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