Question:

Explain the following steps in the organising process :

(i) Departmentalisation

(ii) Assignment of duties

(iii) Establishing authority and reporting relationships

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Explain departmentalisation as grouping similar activities, assignment of duties as giving jobs by skill to each department member, and the third step as fixing who gives orders and who reports to whom.
Updated On: Oct 26, 2026
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Solution and Explanation

Step 1: Know the process:
The organising process is a series of steps that turns the plan into a working structure. Besides the three steps asked here, it begins with identification and division of work.
We explain the three given steps, with two ideas for each.

Step 2: (i) Departmentalisation:
Departmentalisation is the grouping of similar activities into units called departments. This helps the firm gain specialisation, because people doing similar work come together.
Departments may be made on the basis of function, product, territory or any other suitable base.

Step 3: (ii) Assignment of duties:
Each department is placed under the charge of one person.
Jobs are then given to members of the department according to their skills and abilities. A right person on a right job gives better results.

Step 4: (iii) Establishing authority and reporting relationships:
Every person must know from whom he gets orders and to whom he is answerable.
Such clear relationships build a hierarchy in the organisation. This also helps in coordination among the departments.

Step 5: Sequence check:
Departments are formed first, then duties are given, and lastly authority and reporting lines are set. This is the order of the steps.

Final Answer:
The three steps group like work into departments, give each person suitable duties, and fix who reports to whom.
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