Classwork Series and Exercises {Commerce – SS3}: Structure of Business

SS 3 Commerce

Topic: Structure of Business

Contents 

• Span of Control
• Factors Determining Span of Control
• Inter and Intra-Departmental Communication.
• Factors to be Considered in Choosing a Communication System.

SPAN OF CONTROL

Span of control can also be called span of management.

 It refers to the number of personnel or subordinates a manager can manage or control effectively and the number of staffs working with him. For the purpose of effective control, the number of subordinates under a manager should be restricted to what his mental ability can handle.

Factors determining span of control i.e. the factors that can determine the number of subordinates a manager can handle or work with. These factors are:

1. The nature of the work; for instance complex jobs require more supervision and less number of subordinates while routine work requires more subordinate and less supervision.
2. The size of the organization; a small organization, the span of control will be few and vice versa for big organizations.
3. The level of technological development will also determine the span of control.
4. The demands on the managers time in other jobs.
5. Frequency of interpersonal relationship between a manager and the subordinates.
6. The caliber of subordinates in terms of experience, skills exposure and educational background.
7. The personality of the managers
8. The qualification, training and experience of the manager is another factor
9. The quality and level of communication.

INTERDEPARTMENTAL AND INTRADEPARTMENTAL COMMUNICATION

Communication is the transmission of meaningful information, opinions or ideas from one person (sender) to another person (receiver). It plays an important role in any organization; it ensures effective coordination and efficient result in any organization.

Inter-departmental communication: This is the means of sending and receiving information from one department to another in the same organization. It is the communication that exists among various departments in the organization.

The media of communication in inter-departmental organizations are: circular, telephone (inter communication), staff location system, computer terminals, etc.

Intra-departmental communication: This is the means of sending and receiving information within the same department in an organization.

The media of communication available in intra-departmental communication are: Direct face-to-face, inter-office memorandum, notice board, circulars, intercom etc.

Factors to be considered in choosing a communication system.

1. The speed of transmission
2. Cost of installation, running and maintenance
3. Distance between the departments or office
4. The type of information that is to be communicated.

Test and Exercise.

1. The means of receiving and sending information from one department to another in the same organization is (a) interdepartmental communication (b) intra-departmental communication (c) oral communication (d) written communication. as(a)
2. The process of determining the number of subordinate a manager can control or work with for effectiveness is (a)span of direction (b)span of control (c)communication (d)span of communicating.ans (b)
3. The following factors must be Considered in choosing a communication system except (a) the speed of transmission (c) the type of information (c) distance between the departments (d) the level of relationships. ans (d)
4.  The following factors can determine span of control except (a)size of organization (b)nature of the job (c)the employee decision (d)the qualification and experience of the manager.ans (c)
5. The use of direct face-to-face media of communication can be used in (a)inter-departmental organizations (b)multi-departmental organization (c)none of the above (d)intra-departmental organization. ans (d)