NCERT Solutions for Class 12 Business Studies Chapter 5: Organising; Download in PDF

This article presents well-prepared NCERT Solutions for Class 12 Business Studies Chapter 5, Organising. You can also find a PDF download link for complete NCERT Solutions of the chapter mentioned above.
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Download NCERT Solutions for Class 12 Business Studies Chapter 5

NCERT Solutions for Class 12 Business Studies Chapter 5:NCERT Textbooks consists of a few exercise questions present at the end of each chapter. These are a combination of theoretical and practical questions designed to test your knowledge on all grounds. Jagran Josh has prepared concise, appropriate and easy solutions for these questions. This article consists of NCERT Solutions for Class 12 Business Studies Chapter 5. Practise of these NCERT Solutions will assist you in reaching at great heights in academics.

Along with practise of NCERT Solutions you should also follow the below-mentioned steps for scoring good marks in upcoming CBSE Board Examinations 2023-2024:


 CBSE Class 12 Business Studies Revised Syllabus 2023-2024 (PDF)

CBSE Class 12 Business Studies Sample Paper 2023-2024(PDF)


Find complete NCERT Solutions for Class 12 Business Studies Chapter 5 below:

 Very Short Answer Type:

1.Identify the network of social relationships which arises spontaneously due to interaction at work.

Answer. Informal Organization is the network of social relationships that arises spontaneously due to interaction at work.


2.What does the term ‘Span of management’ refer to?

Answer. Span of Management refers to the number of subordinates that can be effectively managed by a superior. It is important in forming organizational structure. It helps to identify an effective manager. Effective manager is considered as the one that has large span of management. It depends on capacity of supervisor, time available for supervision etc.

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3.State any two circumstances under which the functional structure will prove to be an appropriate choice.

Answer. Two circumstances under which functional structure can be an appropriate choice are:

4.Draw a diagram depicting a functional structure.

Answer.  The diagram of a functional structure is as follows:


5.Company has its registered office in Delhi, manufacturing unit at Gurgaon and marketing and sales department at Faridabad. The company manufactures the consumer products. Which type of organisational structure should it adopt to achieve its target?

Answer. The company should adopt ‘Functional Organizational Structure’ to achieve its target because it promotes control and co-ordination, reduces cost and assists in efficient management.


Short Answer Type:

 1.What are the steps in the process of organising?

Answer. Steps involved in the process of organising are:

2.Discuss the elements of delegation.

Answer. The elements of delegation are as follows:

3.How does informal organisation support the formal organisation?

Answer. Informal organization supports the formal organization in following ways:

4.Can a large sized organisation be totally centralised or decentralised? Give your opinion.

Answer. An organization is said to be centralised when decision making powers lie at the top management level and it is decentralised when these authorities are delegated. An organization can never be either centralised or decentralised. As a company grows in size and complexity, they tend to move towards decentralisation since employees in such organizations are directly and closely involved with certain operations and possess more knowledge about them than the top management. But complete decentralization would create the need for top management and vice versa. Therefore, both of them should be balanced.


5.Decentralisation is extending delegation to the lowest level. Comment.

Answer. Decentralisation is an explanation of division of decision making responsibility among the hierarchical levels. It stands for share in decision-making authority with the low levels. This results in fast and accurate decision making since people from low level are directly associated with tasks and hence can take better decisions. Louis Allen defined decentralisation as “Decentralisation refers to systematic effort to delegate to the lowest level all authority except that which can be exercised at central points”. Delegation remains to a specific level but decentralisation of authority reaches out to almost all levels and the entire organizatioin.

6.Neha runs a factory wherein she manufactures shoes. The business has been doing well and she intends to expand by diversifying into leather bags as well as western formal wear thereby making her company a complete provider of corporate wear. This will enable her to market her business unit as the one stop for working women. Which type of structure would you recommend for her expanded organisation and why?

Answer.  Neha should choose divisional structure for her expanded organization because:

7.The production manager asked the foreman to achieve a target production of 200 units per day, but he doesn’t give him the authority to requisition tools and materials from the stores department. Can the production manager blame the foreman if he is not able to achieve the desired target? Give reasons.

Answer. No, Production Manager cannot blame the foreman for the non-accomplishment of work since he has violated the principle of ‘Parity of Authority and Responsibility’. A subordinate when given the responsibility of fulfillment of a particular task, then he/she should be given appropriate authority for the same.


To find further NCERT Solutions for Class 12 Business Studies chapter 5, click on the link below

Download NCERT Solutions for Class 12 Business Studies Chapter 5

Important Resources for CBSE Board Examinations 2023-2024

CBSE Class 12 Syllabus 2023-24 (All Subjects)

CBSE Class 12 Sample Papers 2023-24 (All Subjects)

NCERT Books for Class 12 (All Subjects)

NCERT Solutions for Class 12 (All Subjects)

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