Business Studies · Class 12 Commerce
Ch 5Organising — Class 12 Business Studies, concept-first.
Once plans have been laid down and objectives specified within them, the next step is to organise resources in a way that leads to the accomplishment of those objectives.
Key concepts
Hover a concept to preview it and jump to its most relevant Q&A.
Organising Process Steps
Think about the last time you helped plan a family gathering. First, someone had to decide what needed to happen — food, seating, entertainment.
Most relevant Q&A
- Your school must have various societies for extra-curricular activities like the dramatics society, the quiz club, the economics society, th…Preview
- What are the steps in the process of organising?Free
- The process that initiates implementation of plans by clarifying jobs and working relationships and effectively deploying resources for atta…Preview
- 'The process of organizing allows a business enterprise to accommodate changes in the business environment. It allows the organization struc…Preview
- Explain the following as significance of 'organising' function of management : (a) Benefits of specialisation (b) Clarity in working relatio…Preview
Chapter contents
The NCERT structure, section by section. Open a section to see its questions, then read the concept-first solution.
Introduction
Once plans have been laid down and objectives specified within them, the next step is to organise resources in a way that leads to the accomplishment of those objectives.
Meaning
Organising is the process that turns a plan into action. Without it, even the best-laid plans remain ideas on paper. The textbook uses a familiar example to bring this to life.
Steps in the Process of Organising
The process of organising is not a single action but a sequence of logical steps. The textbook uses a simple example to show why this sequence matters: imagine twelve students told to unload books, st…
Importance of Organising
Organising is not just about putting things in order — it is the function that turns a collection of people and resources into a working, growing enterprise.
Organisation Structure
The organising process produces a concrete outcome: the organisation structure. This is the formal framework that defines how tasks are divided, who reports to whom, and how different parts of the ent…
Types of Organisation Structures
The structure an organisation adopts is not a one-size-fits-all decision. It depends directly on the nature and variety of activities the organisation performs.
Formal and Informal Organisation
Every enterprise has two structures running inside it at the same time. One is the formal organisation — the official, deliberately designed hierarchy of jobs, rules and reporting relationships that m…
Informal Organisation
Interaction among people at work gives rise to a network of social relationships among employees, and this is called the informal organisation.
Delegation
Delegation is the tool a manager uses to get work done through others. A manager, no matter how capable, cannot do every task alone — the sheer volume of work makes it impractical.
Importance of Delegation
Delegation is not just a way to reduce a manager's workload — it is the engine that makes an organisation run effectively.
Decentralisation
Decentralisation is about where decisions are made in an organisation. In some companies the top management takes all the decisions itself; in others this power is deliberately shared with even the lo…
Importance
Decentralisation is not just a mechanical transfer of authority down the hierarchy. It is a philosophy — a belief that people at lower levels are competent, capable, and resourceful.
Key Terms
- Organising – The process of identifying and grouping the work to be performed, defining and delegating responsibility and authority, and establishing relationships so that people can work together e…
Summary
- Organising is the process of defining and grouping activities and establishing authority relationships among them.
Very Short Answer Questions
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- Q1Identify the network of social relationships which arises spontaneously due to interaction at work.Free
- Q2What does the term 'Span of management' refer to?Free
- Q3State any two circumstances under which the functional structure will prove to be an appropriate choice.Preview
- Q4Draw a diagram depicting a functional structure.Preview
- Q5A company has its registered office in Delhi, manufacturing unit at Gurgaon, and marketing and sales department at Faridabad. The company ma…Preview
Short Answer Questions
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- Q1What are the steps in the process of organising?Free
- Q2Discuss the elements of delegation.Free
- Q3How does informal organisation support the formal organisation?Free
- Q4Can a large-sized organisation be totally centralised or decentralised? Give your opinion.Preview
- Q5'Decentralisation is extending delegation to the lowest level.' Comment.Preview
- Q6Neha runs a factory wherein she manufactures shoes. The business has been doing well and she intends to expand by diversifying into leather…Preview
- Q7The production manager asked the foreman to achieve a target production of 200 units per day, but did not give him the authority to requisit…Preview
Long Answer Questions
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- Q1Why is delegation considered essential for effective organising?Free
- Q2What is a divisional structure? Discuss its advantages and limitations.Free
- Q3'Decentralisation is an optional policy.' Explain why an organisation would choose to be decentralised.Free
- Q4Distinguish between centralisation and decentralisation.Preview
- Q5How is a functional structure different from a divisional structure?Preview
- Q6A company, which manufactures a popular brand of toys, has been enjoying good market reputation. It has a functional organisational structur…Preview
- Q7A company manufacturing sewing machines, set up in 1945 by British promoters, follows formal organisation culture in totality. It is facing…Preview
- Q8A company X limited manufacturing cosmetics, which has enjoyed a pre-eminent position in business, has grown in size. Its business was very…Preview
Do It Yourself
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CBSE Sample Papers
Questions from official CBSE sample papers.
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- Q1Statement I: Delegation is the entrustment of responsibility and authority to another, and the creation of accountability for performance. S…Preview
- Q2Differentiate between 'Delegation' and 'Decentralisation' on any four bases.Preview
- Q3Sushant was an able Project Manager at 'Keiro Ltd.' Sushant's Head, Naveen handed over a new project to Sushant. Sushant already had enough…Preview
- Q4The process that initiates implementation of plans by clarifying jobs and working relationships and effectively deploying resources for atta…Preview
- Q5'The process of organizing allows a business enterprise to accommodate changes in the business environment. It allows the organization struc…Preview
- Q6'The right of an individual to command his subordinates and to take action within the scope of his position' is called : (A) Decentralizatio…Preview
- Q7(a) 'Organisation's decision to opt for Functional Structure or Divisional Structure will vary with the nature and type of activities perfor…Preview
- Q8Differentiate between 'Authority' and 'Responsibility' on the basis of 'flow'. OR Distinguish between 'Responsibility' and 'Accountability'…Preview
- Q9Differentiate between 'Delegation' and 'Decentralisation' on any three bases.Preview
- Q10Which statement is not correct, with respect to 'Organisation Structure' ? (A) Ensures coordination among human and physical resources. (B)…Preview
- Q11Explain the following as significance of 'organising' function of management : (a) Benefits of specialisation (b) Clarity in working relatio…Preview