Organising Structure: Departmentation, Delegation, Authority–Responsibility and Span of Control Questions

Question 1

Define organising.

Accepted Answer

Organising is the process of arranging and grouping activities, assigning duties and establishing authority relationships to implement plans effectively.

Question 2

What is departmentation?

Accepted Answer

Departmentation means grouping similar and related activities into departments for better coordination and control.

Question 3

What is delegation?

Accepted Answer

Delegation is assigning responsibility and authority to a subordinate to perform a task while the manager remains accountable for results.

Question 4

Define authority.

Accepted Answer

Authority is the right to take decisions, give orders and allocate resources to accomplish assigned responsibilities.

Question 5

What is span of control?

Accepted Answer

Span of control is the number of subordinates a manager can effectively supervise and control.

Question 6

State any one type of departmentation.

Accepted Answer

Functional departmentation groups activities according to functions such as production, marketing, finance and HR.

Question 7

Explain the steps in organising process.

Accepted Answer

Steps in **organising** are:

1) **Identification and division of work**: list activities to be done.
2) **Grouping (departmentation)**: combine similar activities into departments.
3) **Assignment of duties**: allocate work to individuals.
4) **Delegation of authority & relationships**: define who reports to whom and give authority to perform.
5) **Coordination**: integrate efforts of departments for unity of action.

Flow (write/draw): Activities → Grouping → Assignment → Delegation/relationships → Coordination

Question 8

Differentiate between authority, responsibility and accountability.

Accepted Answer

Authority, responsibility and accountability differ as follows:

| Basis | **Authority** | **Responsibility** | **Accountability** |
|---|---|---|---|
| Meaning | Right to command/decide | Duty to perform | Answerability for results |
| Source | Position in organisation | Assigned work | Performance outcome |
| Delegation | Can be delegated | Can be assigned | Ultimately cannot be fully delegated |

Thus, for effective work, **authority should match responsibility**, and managers remain accountable for results.

Question 9

Explain types of departmentation with examples.

Accepted Answer

Types of **departmentation** (any three with examples):

- **Functional**: by functions (Production, Marketing, Finance).
- **Product**: by product lines (TV division, Mobile division).
- **Geographical**: by regions (North, South branches).
- **Customer**: by customer groups (Retail vs Corporate).
- **Process**: by stages (Spinning, Weaving, Dyeing).

Departmentation improves **specialisation** and **coordination**.

Question 10

Explain centralisation and decentralisation. Which is better?

Accepted Answer

**Centralisation** means decision-making authority is concentrated at top level, while **decentralisation** means authority is delegated to lower levels.

| Basis | Centralisation | Decentralisation |
|---|---|---|
| Decision location | Top | Lower levels |
| Speed | Slower | Faster |
| Initiative | Low | High |

Which is better depends on situation: small firms may prefer centralisation for control, whereas large/dynamic firms prefer decentralisation for speed and development of managers.

Question 11

Explain narrow and wide span of control and factors affecting span.

Accepted Answer

A **narrow span** means a manager supervises few subordinates, leading to a **tall structure**. A **wide span** means a manager supervises many subordinates, leading to a **flat structure**.

Factors affecting span include:
- Nature of work (routine vs complex)
- Ability of manager/subordinates
- Degree of **standardisation** and rules
- Communication systems/technology

Thus, complex work usually needs a narrow span, while routine work can have a wide span.

Question 12

Explain line authority and staff authority with one example each.

Accepted Answer

**Line authority** is the direct authority in the **chain of command** (superior to subordinate), while **staff authority** is **advisory/supporting** authority given to specialists.

| Basis | Line authority | Staff authority |
|---|---|---|
| Nature | Direct command | Advisory support |
| Role | Responsible for results | Provides expertise |
| Example | Production manager instructs supervisor | HR advises on recruitment/training |

Thus, line managers decide and execute, while staff specialists help with expert inputs.

Question 13

Explain delegation of authority: elements and importance.

Accepted Answer

**Delegation of authority** is the process of assigning work to subordinates by giving them necessary authority to perform tasks, while the superior remains accountable.

### Elements of delegation
1) **Authority**: right to take decisions and direct actions.
2) **Responsibility**: obligation to perform assigned duties.
3) **Accountability**: answerability for results (finally remains with superior).

### Importance of delegation
- Reduces manager’s workload and allows focus on **strategic** tasks.
- Develops subordinates’ **skills**, confidence and leadership.
- Speeds up **decision making** and improves efficiency.
- Improves motivation through trust and responsibility.

| Element | Meaning | Key note |
|---|---|---|
| Authority | Right to decide | Can be delegated |
| Responsibility | Duty to do | Can be assigned |
| Accountability | Answerability | Cannot be fully delegated |

### Conclusion
Effective delegation needs clear authority, proper communication and follow-up control so that work is done correctly.

Question 14

Explain departmentation and discuss its merits and limitations.

Accepted Answer

**Departmentation** is grouping related activities into departments to achieve specialisation and coordination.

### Merits
- Promotes **specialisation** and efficiency.
- Makes **coordination** easier within departments.
- Helps in performance **control** by fixing responsibility.
- Facilitates growth by adding new departments/divisions.

### Limitations
- Can create **departmental silos** (each department focuses only on its own goals).
- Increases inter-department conflicts and delays if coordination is weak.
- May increase cost due to duplication of resources across departments.

| Aspect | Points |
|---|---|
| Merits | Specialisation, control, growth |
| Limitations | Silos, conflicts, duplication |

### Conclusion
A good organisation balances departmentation with strong coordination mechanisms (meetings, communication, common goals).

Question 15

Explain span of control and how it affects organisational structure. Draw a simple diagram for narrow vs wide span.

Accepted Answer

**Span of control** is the number of subordinates a manager can effectively supervise. Span directly affects whether the organisation becomes **tall** or **flat**.

### Effect on structure
- **Narrow span** → more managerial levels → **tall structure** → close supervision.
- **Wide span** → fewer levels → **flat structure** → faster communication.

### Factors affecting span
Nature of work, capability of manager and workers, standardisation, communication systems, and geographical spread.

### Simple diagrams (write/draw)
Narrow span (tall):
Manager → 2–3 subordinates → more levels

Wide span (flat):
Manager → 6–10 subordinates → fewer levels

### Conclusion
An organisation should choose span depending on complexity of work and competence of employees—there is no single best span for all cases.

Organising Structure: Departmentation, Delegation, Authority–Responsibility and Span of Control

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