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Tally - Accounting Software

DECENTRALIZATION OF AUTHORITY






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Factors in Choice of Location

Whatever the area selected, urban or suburban, the following factors should be considered before making the final choice of location of office building.

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Urban vs Suburban Location

In selecting the location, one of the fundamental points to be considered is whether the office building should be located in an urban area (in a large city or town) or in a suburban area, in a central position or in an out-of-the-way locality.

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Location of the Office Building

The site of location of the office building is important consideration. Unsuitable location of the office building may result in much waste of effort, loss of time, annoyance and inconvenience, and inconvenience, and consequently of much loss of efficiency.

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Factors of Office accommodation

The problem of providing proper and adequate accomodation for the office staff involves consideration of the following factors

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Office accommodation

The aim of all office mangers is to get the office work done with maximum efficiency and at minimum cost.

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Three types of flow charts Flow of Work

Three types of flow charts usually prepared to analyse flow of work in modern offices are : office lay-out charts, flow process charts and management-type flow charts.

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Analyzing Flow of Work

In order to analyse the flow of work throughout the office, different types of charts are prepared.

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Flow of Work of Office systems an procedures

The efficacy of a system or routine is much enhanced when there is a smooth and continuous flow of work.

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Purpose and Utility of Office systems an procedures

The main purpose of having an integrated pattern of office systems, procedures and methods is to ensure economic and efficient performance of office work.

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Office systems an procedures

Office work involves the use of three inter-related factors-personnel, form and equipment. To ensure efficient and economical performance of office work, each office sets up an integrated pattern of systems, procedures (routines) and methods.

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Functions of Office

The nature of relationship between the office and other functional departments may be enumerated as follows: To the various functional departments, e.g., production, sales, purchase and account departments, the general office provides all the common service like mailing and correspondence, typing and duplicating, filing, etc.

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Relation of the 'Office' with other Departments

The basic operations of a business enterprise are generally controlled an directed by a number of functional departments like purchase, sales, production, accounts, cash, etc. Each of these functional departments has a small sectional office attached to it to provide it with the clerical assistance needed for the performance of the basis operation.

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Basic of Departmentation

Different business enterprises follow different bases of departmentation according to their size and nature of operations.

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Purpose of Departmentation

In modern times business operations are carried on a large scale and these are of a varied and complicated nature. It is difficult to organise and co-ordinate these multifarious operations properly unless the essential activities of a business enterprise are classified and divided into some small groups of functions e.g., production, buying selling, financing, accounting, personnel, etc.

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Limitations of Decentralization

Although decentralization has many distinct advantages which account for its popularity with large and expanding enterprises, nevertheless there are serious limitations to its application to all cases and in all situations.

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Benefits of Decentralization

The following benefits are said to accrue from decentralization of authority

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Four alternative arrangements of decentralization of authority

This admixture may take the form of four alternative arrangements

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