A company is manufacturing washing machines. There is a well defined system of jobs with a clear and definite authority, responsibility and accountability in the company. But people are not allowed to interact beyond their officially defined roles. As a result the company is not able to adapt to the changing business environment. The workforce is also not motivated due to lack of social interaction. The company is facing problems of procedural delays and inadequate recognition to creative talents.
(i) Suggest how the organisation can overcome the problems faced by it.
(ii) Give any two benefits it will derive from your suggestion.

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Solution

(i)- An informal organization should be taken into practice.
(ii)- Two benefits the firm will derive, are:
(a) The faster spread of communication and quick feedback.
(b) It helps to fulfill the social needs of the members and enhances their job satisfaction.
(c) Fulfillment of organizational objectives.

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A company manufacturing sewing machines, set-up in 1945 by the British promoters, follows formal organisation culture in totality. It is facing a lot of problems in delays in decision-making. As the result, it is not able to adapt to changing business environment.

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Give reasons in terms of benefits, it will derive from the changes suggested by you. In which sectors can the company diversify, keeping in mind the declining market for the product that the company is manufacturing?

You are to advise the company with regard to change it should bring about in its organisation structure to overcome the problems faced by it

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