“Should Organizing Activities Effective For

Better Results”

Presented to:
Humayun Zafar

Submitted by:
Ali Wahid
Muhammad Arsalan
Saba Ilyas Qureshi
Sehrish Baig
Uzma Khan
 LETTER OF AUTHORIZATION

Dear Readers:

We have been authorized to conduct an elaborate research on “Should Organizing

Activities Effective for Better Results” and to prepare a report on the same, by the
Management of College of Business Management and the course instructor of Principles
of Management, Mr. Humayun Zafar. The enclosed report contains thorough study of
the research conducted by using different methodologies and research techniques with
factual data including the analysis.

Emphasis was to evaluate and analyse the data as much as possible to measure the
satisfaction level considering various motivating variables and identify the areas
needing improvement.

We hope that this report will serve the requirement of being a complete set of
information.

Sincerely,

Ali Wahid
Muhammad Arsalan
Saba Ilyas Qureshi
Sehrish Baig
Uzma Khan

2
 LETTER OF TRANSMITTAL

Mr. Humayun Zafar

Course Instructor
Principles of Management
Institute of Business Management - CBM

Dear Sir:
Here is the final term report, on the research conducted as a practical implementation of this
course, which you have assigned and authorized us and is now ready for your perusal.

This study helps us to improve our knowledge base pertaining to research techniques and
various problems which may arise during any practical or real life research implementation. This
report gives the details about the nature of the business problem, its relation to our research
objective, and all the possible analysis of the respondents' information which helped us to
simulate the results and findings.

We have tried our best to cover every aspect in this report but if you require any further
clarification or have any queries, it would be brilliant for us to answer your questions and
facilitate your understanding on the report.

Sincerely,
Ali Wahid
Muhammad Arsalan
Saba Ilyas Qureshi
Sehrish Baig
Uzma Khan

3
 LETTER OF ACKNOWLEDGEMENT

Dear Readers:

First of all, we would like to thank the Almighty Allah for giving us the strength and
ability without which we couldn't move forward towards the finalization of this report.
We would like to take this opportunity to express our heartfelt gratitude to the people
who have supported us in the compilation of this comprehensive report.
We would like to thank our teacher, Mr. Humayun Zafar for enlightening us with the
requisite knowledge of the course, Principles of Management, and giving an insight
significance of research techniques and methodologies in business and other
operations.
Finally, we thank all the people who provided us the required information and data
necessary to fulfil the scope of this report.
We hope that this report will prove to be a useful source of study in the area of
business research and also the findings specific to this research may be useful for
various organizations and also for the students taking up the course of Principles of
Management and others in future.
Thank you
Sincerely,
Ali Wahid
Muhammad Arsalan
Saba Ilyas Qureshi
Sehrish Baig
Uzma Khan

4
 Table of Contents

Executive Summary
…………………………………………………………………………………………. 6
Company Profile
…………………………………………………………………………………………. 6
The Vision
…………………………………………………………………………………………. 7
Corporate Responsibility
…………………………………………………………………………………………. 7
Business
…………………………………………………………………………………………. 7
Market Position
…………………………………………………………………………………………. 7
Customers
…………………………………………………………………………………………. 8
Organizational Structure
…………………………………………………………………………………………. 8
Organizational Chart ………………..
………………………………………………………………………. 8
Job Simplification
…………………………………………………………………………………………. 9
Job Design
…………………………………………………………………………………………. 9
Job Rotation
…………………………………………………………………………………………. 9
Job Enlargement
…………………………………………………………………………………………. 10
Job Enrichment
…………………………………………………………………………………………. 10
Alternative Work Schedule
…………………………………………………………………………………………. 10
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Departmentalization
…………………………………………………………………………………………. 10
Vertical Coordination
…………………………………………………………………………………………. 11
Span Of Management
…………………………………………………………………………………………. 12
Centralization
…………………………………………………………………………………………. 12
Decentralization
………………………………………………………………………………………. 12
Centralization Vs Decentralization
…………………………………………………………………………………………. 13
Delegation
…………………………………………………………………………………………. 13
Performance Appraisal
…………………………………………………………………………………………. 14
Outsourcing
…………………………………………………………………………………………. 14
Apendix
…………………………………………………………………………………………. 19

Executive Summary:

Organizing is the function of management that involves developing an organizational

structure and allocating human resources to ensure the accomplishment of objectives.
The structure of the organization is the framework within which effort is coordinated.
The structure is usually represented by an organization chart, which provides a graphic
representation of the chain of command within an organization. Decisions made about
the structure of an organization are generally referred to as "organizational design"
decisions.
Organizing also involves the design of individual jobs within the organization. Decisions
must be made about the duties and responsibilities of individual jobs as well as the
manner in which the duties should be carried out. Decisions made about the nature of
jobs within the organization are generally called "job design" decisions.

It is a function in which the synchronization and combination of human, physical and

financial resources takes place. All the three resources are important to get results.
Therefore, organizational function helps in achievement of results which in fact is
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important for the functioning of a concern. According to Chester Barnard, “Organizing is
a function by which the concern is able to define the role positions, the jobs related and
the co- ordination between authority and responsibility. Hence, a manager always has
to organize in order to get results.

Organizing at the level of the organization involves deciding how best to

departmentalize, or cluster jobs into departments to effectively coordinate effort. There
are many different ways to departmentalize, including organizing by function, product,
geography, or customer. Many larger organizations utilize multiple methods of
departmentalization. Organizing at the level of job involves how best to design
individual jobs to most effectively use human resources.

This report highlights the different organizing activities observed at Dawlance

Company Profile:
History
Dawlance is a brand name of group of companies which was established in 1980 with a
name United Refrigeration Industries Limited. Initially they started their business with
refrigerator manufacturing and later on increased their product line. Its products line
includes refrigerator, deep freezer, washing machine, microwave oven and air
conditioners. Being a brand leader Dawlance is committed to enhance the living
standard of people through manufacturing reliable home appliance products and
marketing them at affordable prices in Pakistan.
It is the Largest Company in Pakistan engaged in appliance business. Dawlance stands
for durable & reliable household appliances. Its refrigerator Factory is located in
Hyderabad. The main Objectives are to provide dependable and reliable product at
reasonable price to majority of Pakistanis and to enhance their quality of Life. Present
Market Share of Dawlance product is: refrigerators 65%, Washing Machines 35%,
Microwave Oven 40%, Chest Freezers 45%, Air Conditioners 15%.
Dawlance has got products, which are as per international standards and carry all the
basic features, which need in any such type of appliances. Dawlance believe that
whatever they provide to their customers should be durable and reliable. All the
products, which Dawlance markets, are durable enough and customer can keep on
using them for quite many years without any problem. It provides its refrigerators, 3
years compressor guarantee and 1 year chest freezer, and free service in spare parts
under normal use. Dawlance is an ISO 9000 certified company. It is one of their
missions to provide quality product to their customers. Therefore, they ensure that
every product, which is delivered from their factory, must go through rigorous quality
check. So that only perfect product, free from any defect once it is delivered to their
customers.

Dawlance has got around 800 dealers all over the country. Dawlance ensures that its
refrigerators are available almost in all appliances markets of Pakistan. They have got
80% penetration in dealer sector. One can get very easily their product in any city or
small town of Pakistan.
Dawlance has got various types of dealers according to their potential. Around 25% of
dealers are "A-class" dealers who sell over 1000 units and above per year. "B-class"

7
dealers are those dealers who sell from 400 units up to 999 units per year. They are
around 50% in total dealer and the rest are in best 25% of "C-class" dealers sell from
200 up to 399 units per year.
In order to provide quick and timely delivery to their dealers: they have got big
warehouses located in almost all big cities and towns. Whenever they get order from
the dealer they try to provide supplies to their dealer from closest warehouse. In case
stock is not available in the warehouse then it is delivered directly from Hyderabad
Factory. The maximum delivery time incase stock is delivered from Hyderabad Factory
is four (4) days. However if supply is given from closest warehouse then hardly it takes
2-3 hours time. They believe that, timely delivery of their product to the dealer, is one
of an important element in their success in Pakistan.

There are 16 operational centers (Branches) to operate this large dealer network all
over the country. They possess very effective logistics system with 16 big warehouses
all over the country for the prompt execution of sales invoices. Hence Dawlance
products are available almost in all the cities and small towns as well. As regards to the
after sales services, the service centers are present where company dealers exist.
There are 20 company‟s own service centers and 40 contract workshops in remote
areas to provide timely and effective customer service.

The Vision
"We are committed. Above everything else, Dawlance places its top priority on the
satisfaction of human beings the satisfaction of its customers, partners and employees.
All our policies and approach towards work revolve around our corporate belief."
Corporate Belief
• Individual must be respected.
• The customer must be given the best possible products and services.
• Excellence and superior performance must be pursued.
Corporate Responsibilities
• Advancing the standard of living in Pakistan by manufacturing reliable and
affordable electrical products.
• Implementation of first class production engineering.
• Development of our employee not only for the firm's benefit but to contribute to
each employee personal growth.
• Major contributor in restoring Pakistani status and prestige.
• To reinforce value like harmony, solidarity, discipline and dedication.
Business
• Manufacturing and marketing of domestic appliances
Market Position
• Leader in household appliances in Pakistan
• Largest company engaged in appliances business

Customers
• Up to Middle Upper Class of Pakistan

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Organizational structure:
Organizing is arranging and structuring work to accomplish the organization’s goals. It’s
the process through which managers design an organizations structure. The challenge
for managers is to design an organisational structure that allows employees to
effectively and efficiently do their work. Formal and informal framework of policies and
rules, within which an organization arranges its lines of authority and communications,
and allocates rights and duties.

Organizational structure determines the manner and extent to which roles, power, and
responsibilities are delegated, controlled, and coordinated, and how information flows
between levels of management. This structure depends entirely on the organization's
objectives and the strategy chosen to achieve them. In a centralized structure, the
decision making power is concentrated in the top layer of the management and tight
control is exercised over departments and divisions. In a decentralized structure, the
decision making power is distributed and the departments and divisions have varying
degrees of autonomy. An organization chart illustrates the organizational structure.

Organizational chart:
An organizational chart (often called organization chart, org chart, organigram(me), or
organogram(me)) is a diagram that shows the structure of an organization and the
relationships and relative ranks of its parts and positions/jobs. The term is also used for
similar diagrams, for example ones showing the different elements of a field of
knowledge or a group of languages.

An organizational chart of a company usually shows the managers and sub-workers

who make up an organization. It also shows the relationships between directors:
managing director chief executive officer: various departments... In many large
companies the organization chart can be large and incredibly complicated and is
therefore sometimes dissected into smaller charts for each individual department
within the organization.

An organizational chart also represents lines of authority and responsibility. Generally,

an organizational chart is a horizontal or vertical tree that contains geometric shapes to
represent staff or divisions. The lines that connect the shapes indicate relationships
between the positions. An organizational chart indicates the formal structure of a
business or company.

In standard organizational charts, the shape is similar to a pyramid. Often, box size is
relative to the authority level of the position; for example, an executive position may
have a larger rectangle than a subordinate position. Peers generally have boxes of
similar size on an organizational chart. Lateral positions on an organizational chart

9
indicate a relationship between departments on the same level of hierarchy in the
organization.

Because in a large company, the organizational chart can be space-intensive and

complex, smaller charts may be utilized to represent individual departments. Other
common space-saving techniques used in organizational charts include a staggered
tree method, a columnar stack, or a list style which provides names or job titles rather
than boxes. To avoid the frequent need to update an organizational chart, you might
use position titles rather than the names of individual staff.
Job Simplification:
A job specification describes the knowledge, skills, education, experience, and abilities
you believe are essential to performing a particular job. The job specification is
developed from the job analysis. Ideally, also developed from a detailed job description,
the job specification describes the person one want to hire for a particular job.
A job specification cuts to the quick with the requirements whereas the job description
defines the duties and requirements of an employee’s job in detail. The job
specification provides detailed characteristics, knowledge, education, skills, and
experience needed to perform the job, with an overview of the specific job
requirements.

Job Design:
Job design and work organization is the specification of the contents, method and
relationships of jobs to satisfy technological and organizational requirements as well as
the personal needs of job holders. Work arrangement (or rearrangement) aimed at
reducing or overcoming job dissatisfaction and employee alienation arising from
repetitive and mechanistic tasks. Through job design, organizations try to raise
productivity levels by offering non-monetary rewards such as greater satisfaction from
a sense of personal achievement in meeting the increased challenge and responsibility
of one's work.

Job rotation:
Job rotation is an approach to management development where an individual is moved
through a schedule of assignments designed to give him/her a breadth of exposure to
the entire operation.
Job rotation is also practiced to allow qualified employees to gain more insights into the
processes of a company, and to reduce boredom and increase job satisfaction through
job variation.
The term job rotation can also mean the scheduled exchange of persons in offices,
especially in public offices, prior to the end of incumbency or the legislative period.

10
At the senior management levels, job rotation - frequently referred to as management
rotation, is tightly linked with succession planning - developing a pool of people capable
of stepping into an existing job. Here the goal is to provide learning experiences which
facilitate changes in thinking and perspective equivalent to the "horizon" of the level of
the succession planning.
For lower management levels job rotation has normally one of two purposes:
promotability or skill enhancement.
In many cases senior managers seem unwilling to risk instability in their units by
moving qualified people from jobs where the lower level manager is being successful
and reflecting positively on the actions of the senior manager.
Job rotation is the surest way of keeping the employee away from complacency and
boredom of routine. It is difficult for an employee to sustain his interest in a given job
for any substantial length of time as humans have the tendency of outgrowing their
jobs through the learning and experience that they gain over a period of time.

Job Enlargement
As early as 1950 in the USA job rotation and job enlargement were being both
advocated and tested as means for overcoming boredom at work with all its associated
problems.

However, workers often expect higher payment to compensate for learning these other
jobs and for agreeing to changes in working practices. The new jobs are often only a
marginal improvement in terms of the degree of repetition, the skill demands and the
level of responsibility; as a result workers have not always responded positively to such
change. Job enlargement schemes may not be feasible, e.g. in motor vehicle assembly,
without a major change in the production facilities.

The concepts of both job rotation and enlargement do not have their basis in any
psychological theory.

Job Enrichment
Job enrichment is a type of job redesign intended to reverse the effects of tasks that
are repetitive requiring little autonomy. Some of these effects are boredom, lack of
flexibility, and employee dissatisfaction. Job enrichment, aims to create greater
opportunities for individual achievement and recognition by expanding the task to
increase not only variety but also responsibility and accountability. This can also
include greater worker autonomy, increased task identity and greater direct contact
with workers performing servicing tasks.

Alternative Work Schedule

Also known as Compressed Work Week, an Alternative Work Schedule challenges the
traditional paradigm of standard work week. It regularly allows full-time employees to
eliminate at least one work day every other week by working longer hours during the

11
remaining days. The definition's intention primarily includes weekly and biweekly
arrangements. Weekly arrangements such as 4/40 eliminate one work day every week.
Biweekly arrangements such as 9/80 eliminate one day every two weeks.
Such work arrangements must be agreed upon between the employee, their customer,
their leader, and their team.
An Alternative Work Schedule is a natural extension of Flexi Time. Flexi Time is a policy
allowing individuals some flexibility in choosing the time, but not the number, of their
working hours. When a work day is eliminated we refer to this as a flexi day off.

Departmentalization:
Departmentalization refers to the process of grouping activities into departments. .
Departmentalization is the basis on which work or individuals are grouped into
manageable units. Departmentalization is the basis on which work or individuals are
grouped into manageable units.

There are five traditional methods for grouping work activities.

• Departmentalization by function organizes by the functions to be performed. The
functions reflect the nature of the business. The advantage of this type of grouping is
obtaining efficiencies from consolidating similar specialties and people with common
skills, knowledge and orientations together in common units.

• Departmentalization by product assembles all functions needed to make and

market a particular product are placed under one executive. For instance, major
department stores are structured around product groups such as home accessories,
appliances, women's clothing, men's clothing, and children's clothing.

• Departmentalization by geographical regions groups jobs on the basis of

territory or geography. For example, Merck, a major pharmaceutical company, has its
domestic sales departmentalized by regions such as Northeast, Southeast, Midwest,
Southwest, and Northwest.

• Departmentalization by process groups jobs on the basis of product or customer

flow. Each process requires particular skills and offers a basis for homogeneous
categorizing of work activities. A patient preparing for an operation would first engage
in preliminary diagnostic tests, then go through the admitting process, undergo a
procedure in surgery, receive post operative care, be discharged and perhaps receive
out-patient attention. These services are each administered by different departments.

12
• Departmentalization by customer groups jobs on the basis of a common set of
needs or problems of specific customers. For instance, a plumbing firm may group its
work according to whether it is serving private sector, public sector, government, or
not-for-profit organizations. A current departmentalization trend is to structure work
according to customer, using cross-functional teams. This group is chosen from
different functions to work together across various departments to interdependently
create new products or services. For example, a cross-functional team consisting of
managers from accounting, finance, and marketing is created to prepare a technology
plan.

Vertical coordination:
The process of ensuring that each successive stage in the production, processing, and
marketing of a product is appropriately managed and interrelated to the next, so that
decisions about what to produce, and how much, are communicated as efficiently as
possible from the consumer to the producer. Vertical integration is a type of vertical
coordination, but the latter does not necessarily require that a single organization own
or control all of the stages. For example, the use of contracts and marketing
agreements between buyers and sellers, and the availability of timely, accurate price
and other market information are methods for achieving vertical coordination.

Span of management:
Also known as span of control, is a very important concept of organizing function of
management. It refers to the number of subordinates that can be handled effectively
by a superior in an organization. It signifies how the relations are planned between
superior and subordinates in an organization.
Span of management is generally categorized under two heads- Narrow span and Wide
span. Narrow Span of management means a single manager or supervisor oversees
few subordinates. This gives rise to a tall organizational structure. While, a wide span of
management means a single manager or supervisor oversees a large number of
subordinates. This gives rise to a flat organizational structure. There is an inverse
relation between the span of management and the number of hierarchical levels in an
organization, i.e., narrow the span of management, greater the number of levels in an
organization.
The more efficient and organized the managers are in performing their tasks, the better
it is to have wide span of management for such organization. The less capable,
motivated and confident the employees are, the better it is to have a narrow span of
management so that the managers can spend time with them and supervise them well.
The more standardized is the nature of tasks ,i.e., if same task can be performed using
same inputs, the better it is to have a wide span of management as more number of
subordinates can be supervised by a single superior. There is more flexibility, quick
decision making, effective communication between top level and low level
management, and improved customer interaction in case of wide span of management.
Technological advancement such as mobile phones, mails, etc. makes it feasible for

13
superiors to widen their span of management as there is more effective
communication.

Centralization:
The process of transferring and assigning decision-making authority to higher levels of
an organizational hierarchy.
Centralization is said to be a process where the concentration of decision making is in a
few hands. All the important decision and actions at the lower level, all subjects and
actions at the lower level are subject to the approval of top management.
Centralization is the systematic and consistent reservation of authority at central points
in the organization. The implication of centralization can be:
• Reservation of decision making power at top level.
• Reservation of operating authority with the middle level managers.
• Reservation of operation at lower level at the directions of the top level.
Under centralization, the important and key decisions are taken by the top
management and the other levels are into implementations as per the directions of top
level. For example, in a business concern, the father & son being the owners decide
about the important matters and all the rest of functions like product, finance,
marketing, personnel, are carried out by the department heads and they have to act as
per instruction and orders of the two people. Therefore in this case, decision making
power remain in the hands of father & son.
Centralization is the tendency to restrict delegation of decision making in an
organization, usually by holding it at the nearest top of the organization structure. Also,
it is a situation where the top management is the people who take all the organization
decision.

Decentralization:
Decentralization refers to the systematic effort to delegate to the lowest level of
authority except that which can be controlled and exercised at central points.
Decentralization is not the same as delegation. In fact, decentralization is all extension
of delegation. Decentralization pattern is wider is scope and the authorities are diffused
to the lowest most level of management. Delegation of authority is a complete process
and takes place from one person to another. While decentralization is complete only
when fullest possible delegation has taken place. Decentralization is wider in scope and
the subordinate’s responsibility increase in this case. On the other hand, in delegation
the managers remain answerable even for the acts of subordinates to their superiors.
In a decentralization structure, co-ordination to some extent is difficult to maintain as
there are lot many department divisions and authority is delegated to maximum
possible extent, i.e., to the bottom most level delegation reaches. Centralization and
decentralization are the categories by which the pattern of authority relationships
became clear. The degree of centralization and de-centralization can be affected by
many factors like nature of operation, volume of profits, number of departments, size of

14
a concern, etc. The larger the size of a concern, a decentralization set up is suitable in
it.
Decentralization is the tendency to disperse decision-making authority in an
organization structure, to know whether authority should be contracted or dispersed in
the organization

Centralization versus decentralization:

The general pattern of authority throughout an organization determines the extent to
which that organization is centralized or decentralized.
A centralized organization systematically works to concentrate authority at the upper
levels. In a decentralized organization, management consciously attempts to spread
authority to the lower organization levels.
A variety of factors can influence the extent to which a firm is centralized or
decentralized. The following is a list of possible determinants:
• The external environment in which the firm operates. The more complex and
unpredictable this environment, the more likely it is that top management will let low-
level managers make important decisions. After all, low-level managers are closer to
the problems because they are more likely to have direct contact with customers and
workers. Therefore, they are in a better position to determine problems and concerns.
• The nature of the decision itself. The riskier or the more important the decision, the
greater the tendency to centralize decision making.
• The abilities of low-level managers. If these managers do not have strong decision-
making skills, top managers will be reluctant to decentralize. Strong low-level decision-
making skills encourage decentralization.
• The organization's tradition of management. An organization that has traditionally
practiced centralization or decentralization is likely to maintain that posture in the
future.
Delegation:
Delegation (or deputation) is the assignment of authority and responsibility to another
person (normally from a manager to a subordinate) to carry out specific activities.
Delegation empowers a subordinate to make decisions, i.e. it is a shift of decision-
making authority from one organizational level to a lower one. Delegation, if properly
done, is not abdication. The opposite of effective delegation is micromanagement,
where a manager provides too much input, direction, and review of delegated work. In
general, delegation is good and can save money and time, help in building skills, and
motivate people. Poor delegation, on the other hand, might cause frustration and
confusion to all the involved parties. The delegation can be temporary or permanent.
The manager or team leader making the delegation is still involved, however, the
extent of that involvement will vary depending on the existing knowledge and skill
levels of the employee receiving the delegation. If the employee is very experienced,
the manager’s involvement will be minimal. If the employee is inexperienced, the

15
manager may provide more support, as the delegation is clearly being treated as a
development exercise.
Delegation is a critical skill for small business success, however.
Performance appraisal:
Performance appraisal, employee appraisal, performance review, or (career)
development discussion is a method by which the job performance of an employee is
evaluated (generally in terms of quality, quantity, cost, and time) typically by the
corresponding manager or supervisor. A performance appraisal is a part of guiding and
managing career development. It is the process of obtaining, analysing, and recording
information about the relative worth of an employee to the organization. Performance
appraisal is an analysis of an employee's recent successes and failures, personal
strengths and weaknesses, and suitability for promotion or further training. It is also the
judgement of an employee's performance in a job based on considerations other than
productivity alone.

Outsourcing:
Outsourcing is usually the term used when a company takes a part of its business and
gives that part to another company. In recent times, the terms have been most
commonly used for technology related initiatives such as handing over the IT help-desk
to a third-party. But it can also refer to non-technical services such as handing over the
telephone-based customer service department.
Although the main objective of outsourcing is often cost reduction, many companies fail
to realize any cost benefits. Businesses of all kinds can and do benefit from the tool of
outsourcing every day. Businesses large and small have been outsourcing every day
projects for many years. The businesses that use outsourcing as a tool to enhance and
grow their business already know the value that outsourcing brings to their
organization.
Outsourcing is a business process term for what has literally become known as hiring a
consultant, independent contractor, or freelancer to do a specific task or tasks for an
organization in which the organization either does not have the time or the expertise to
do on their own.
The organizations that have used outsourcing for many years know that with the
positives it brings to the organization that it is also important to have a well managed
plan of action for hiring a consultant or contractor for a business task. This includes
deciding which projects or tasks to outsource, whom to hire for these tasks, how to
manage the project, how to agree on payment terms, and how to achieve the desired
results.
There are many forms of outsourcing ranging from outsourcing payroll to outsourcing
package handling, to everything in between. Outsourcing also allows companies to
focus on other business issues while having the details taken care of by outside
experts. This means that a large amount of resources and attention, which might fall on
the shoulders of management professionals, can be used for more important, broader
issues within the company. The specialized company that handles the outsourced work
16
is often streamlined, and often has world-class capabilities and access to new
technology that a company couldn't afford to buy on their own. Plus, if a company is
looking to expand, outsourcing is a cost-effective way to start building foundations in
other countries.
While outsourcing may prove highly beneficial for many companies, it also has many
drawbacks. It is important that each individual company accurately assess their needs
to determine if outsourcing is a viable option.
Organizational Structure:

• An organizational structure is a mainly hierarchical concept of subordination of

entities that collaborate and contribute to achieve organizational goals .
Organizational Design:
• The process of developing an organizational structure is called organizational
design. An aid to visualize organizational structure is the organizational chart which
is a line diagram depicting the broad outlines of an organizational structure.
Job Design:
• Specification of task activities associated with a particular job
Job Simplification
Job Rotation
Job Enlargement
Job Enrichment

Job Simplification:

17
 • In Dawlance Factories jobs are design in a such a manner that a person has only a
small number of narrow activities to perform i.e. A worker working on the line
assembly will be mainly focusing on the job assigned to him.
Job Rotation:
• The periodic movement of the workers through a set of job in planned sequence i.e
Dawlance rotates its employees across different departments & regions to make
their jobs more challenging & enhance understanding of various organizational
aspects.

Job Enlargement:
• Allocation of a wider variety of similar task to a job in order to increase the job
scope i.e Dawlance practices job enlargement by assigning a regional manager an
additional zone.

Job Enrichment:
• The process of upgrading the job-tasks mix to increase the potential of growth,
achievement & recognition which results in job depth. i.e A person heading Sales
Department is given a special assignment regarding Imports & Exports.

Alternative Work Schedules:

• Dawlance Head Office allows flexibilty in starting & finishing times a long as
individuals work the total number of required hours per day.
• Unfortunately, it does not promote the idea of compressed work week.
Departmentalization:
• It is the grouping of individuals into unit & units into departments to facilitate
achieving organizational goals. Four common departmentalization's patterns are:
➢ Functional
➢ Divisional
➢ Hybrid
➢ Matrix
Functional Structure:
• At Dawlance head office positions are structured into units based on expertise, skills
and similarity of work activities i.e Marketing, Finance, Administration, Customer
Services, Human Resource
Divisional Structure:
• Divisional structures group units based on Product or market similarities i.e
Dawlance have separate factories for its major products (Ref, D.F are manufactured
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 in one factory because of product similarities whereas Split, W/M, MWO are
manufactured in separate facilities.

Hybrid Structure:
• Hybrid structure combines assets of functional & divisional forms with some
activities grouped by function & others by product. i.e In Factory some activities are
grouped by functions & other by product.

Matrix Structure:
• Matrix structure overlay horizontal divisional reporting relationship over a
hierarchical functional structure.

Vertical Coordination:
• Linking of activities at the top of the organization with those at the middle and
lower levels to achieve organizational goals.
• There are 5 important ways to achieve effective co-ordinations.
Formalisation:
• Degree to which written policy, procedures, job descriptions and other documents
specify what actions to take or not to take under a given set of circumstances.
Dawlance has written policies regarding code of conduct, SOPs of different
processes.
Span of Management:
• Number of subordinates who report directly to the specific manager. Dawlance has
a flat structure with few levels and wide span of control.

Centralisation Vs Decentralisation:
• Dawlance the power and authority is mainly retained at the upper levels that is all
major decisions are made at the top level so that it becomes easier to coordinate
the activities of departments and divisions. In short the company is more
centralized.
Delegation:
• Since Dawlance is more centralized structure there is little delegation that occurs
however top managers do some delegating.

Horizontal Coordination:
• At Dawlance horizontal coordination by means of intranet ,email, direct contact,
direct meetings, teleconference, video conference, sms.

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Performance Appraisal:
• Key competencies are evaluated by the HOD twice a year/biannually.
• The ratings are done on their KPI (Key Performance Indicators).
Trainings and Development:
• New product trainings are usually done within the company
• The skills of individual employees such as team building, time management, stress
management and inter personal communication are also conducted by the internal
company.
• Top levels managers are being sent to attend workshops and seminars abroad.
Outsourcing:
• Website maintenance and development has been outsourced to a software house.
• The recruitment of the new management employees has been outsourced to an HR
agency ROZEE.
• There are various parts used in the production of appliances which are being

imported from various foreign countries.

Conclusion:
Based on our findings, we can say that the company has highly centralized decision
making with many formal rules and regulations and hierarchical communication
channels. Vertical coordination is emphasized with little delegation between
management levels. Since company is dealing in durable appliances the environmental
change has been gradual and upper management had been able to stay on top of the
changes. The company emphasize more on loyalty to the organization and obedience
to superiors.
The company has made a significant investment in implementing the Oracle E-Business
suite to bring about a complete organizational change in terms of structure, culture,
human resources and technology.
The company is now using the latest tools and technology across all departments, sales
branches, factories, warehouses and customer service centres. Work methods and
techniques have been changed to deliver new products and enhanced the current ones.
The structural changes include redesigning of jobs, facilitating vertical and horizontal
communication to achieve synergy between various departments and units within the
organization and to support the innovative differentiation strategy of the company.
The company is hiring new workforce to handle changing circumstances. It is also
conducting training and development activities to support the required behaviour and
performance from its employees.
The company is striving to maintain its position as a leader in home appliances. It’s
now focusing more on customer relationship management, better coordination among
departments and employee satisfaction.

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Recommendations:
Since Dawlance is planning to expand, formal rules and regulations can really help with
vertical coordination but excessive formalization can lower efficiency. As the company
is growing in size and might venture into new product or market, new departments and
levels would be added, new staff positions would be added which can drive a change to
current structure i.e it might have to adopt hybrid structure.
The company should go for decentralized decision making and employee
empowerment with standard operating procedures. Communication should be both
hierarchical and lateral among superiors, subordinates and peers with considerable
delegation between levels. There should be more emphasis on commitment to
organizational goals and possession of needed expertise.
The company should be hiring skilled and experienced workforce in order to support its
new technological implementation while training the current employees to keep them
motivated.
Since company is planning to enter into new products and geographic markets, it
should heavily spend on research and development to achieve its innovative
differentiation strategy.

APPENDIX

QUESTIONNAIRE

Q.1) Which approach is used in your organization for designing jobs?

Q.2) Do you provide any alternate work schedules to facilitate your employees?
Q.3) On which basis departmentalization is done in your organization? Elaborate
Q.4) To which extent the policies and procedures are formalized?
Q.5) What is the average Span of management (Span of control)?
Q.6) To which extent the decision making in the company is centralized/decentralized?
Q.7) Are there any information systems in the company to communicate within?
Q.8) What is the Size of the company and environment in which it is operating?

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Q.9) Have you outsourced any functions and Why?
Q.10) How job analysis is done?
Q.11) Which methods of recruitment are being used?
Q.12) What sorts of trainings are provided to employees for organizational
development?
Q.13) What efforts are being made in order to maintain good relationship with
employees? (remuneration and benefits)
Q.14) How do you gauge employee’s performance?
Q.15) Do you follow occupational health and safety standards while
designing/redesigning jobs?

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