DEPARTMENT OF business studies

diploma in business management

Module TWO - KNEC

OFFICE ADMINISTRATION AND MANAGEMENT

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 Course Outline
CO TOPIC SUB-TOPIC THEO PRACTI TOTA
DE RY CE L
(HOU (HOUR (HOU
RS) S RS)
8.1. INTRODUCTI  Definition of 14 10 24
1 ON TO terms
OFFICE  The purpose of
ADMINISTRA office
TION AND Administration
MANAGEME and
NT management
 Types of
organization
structures and
charts
8.1. DEPARTMEN  Different 13 9 22
2 TS IN AN departments in
ORGANISATI an
ON organization
 Functions of
various
departments in
an
organization
 Relationship
between
departments.
8.1. THE OFFICE  Meaning of an 14 10 24
3 office
 The functions
of an office
 Types of

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 office layout
 Features of a
good office
8.1. OFFICE  Types of 13 9 22
4 PERSONNEL office
personnel
 The
duties/responsi
bilities of
various office
personnel
 Qualities
required of
various office
personnel
8.1. FILING AND  Different 14 10 24
5 STORAGE OF filing systems
RECORDS  Different
methods of
classifying
records
 Use of filing
equipment
 Follow-up
methods in
filing and
storage of
records
8.1. REPROGRAP  Concept of 12 8 20
6 HY reprography
 Methods used
in
reproduction
of documents
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  Factors to
consider in
choice of
reproduction
methods
 Emerging
issues and
trends in
reprography
8.1. ORGANIZATI  Definition of 13 9 22
7 ON AND terms
METHODS  Objectives of
organization
and methods
 Procedures
used in
carrying out an
organization
and methods
 Importance of
organization
and methods
8.1. EMERGING  Emerging 13 22 35
8 ISSUES AND issues and
TRENDS IN trends in
OFFICE Office
ADMINISTRA Administration
TION AND and
MANAGEME Management
NT  Effects of the
emerging
issues and
trends in the
management

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 and
administration
of an office
 Managing
issues and
trends in office
management

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TOPIC ONE
INTRODUCTION TO OFFICE ADMINISTRATION AND
MANAGEMENT
Definition of Terms
Office: 1) Any place room or buildings where information needed
to run or operate the activities of business are processed.
2) A place set a side for work of clerical in nature which
may consist of a room or a building that is used for clerical
administration set up.
The purpose of an office is to provide services regarding
communication and records.
Administration: This is the management of affairs of any
organization. It is the process of overseeing the day to day
operation of the organization.
Management: It is the process of planning, organizing,
directing /leading and controlling, co-ordination of the work of an
organization in order to achieve the goals of an organization.
OFFICE ADMINISTRATION
This is the act of guiding controlling the affairs of an office to
achieve some specific goal or purposes. Office administration
guides, leads and controls efforts of groups of individuals towards
some common goals.

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THE SCOPE OF OFFICE ADMINISTRATION AND
MANAGEMENT.
OFFICE ADMINISTRATION.
The task of administration is usually the responsibility of an office
administrator or manager. Depending on the general structure of
the organization, the responsibility of the manager or
Administrator involves: The management of a wide range
function.
i) Administrator provides assistance and support to
employees when unusual situation arise during the
completion of an assigned task.
ii) He makes sure that the office always has the resources
needed to remain productive e.g. repairs of office
equipment and requesting for new equipment’s etc.
OFFICE MANAGEMENT
The office manager is the co-ordinate of the work system. Office
management also includes the preparation, communication, co-
ordination and storage of data to support production and other
important operations of an organization. Office Manager Monitor
work process and evaluates the outcome. He issues/gives out
assignments.
Other functions include:
i. Budget development and implementation

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 ii. Purchasing, bookkeeping, human resources, accounting.
iii. Records management e.g. payroll facilities, risk
management etc.
iv. Takes affirmative action and equal employment
opportunity.
v. Responsibility for day to day running of the office.
vi. Assisting senior managers in identifying health and safety
needs in their departments.
vii. Collaborating with senior managers to ensure that staff in
the departments have appropriate information &
technology equipment
THE DISTINCTION BETWEEN OFFICE ADMINISTRATION
AND MANAGEMENT.
1. Administration is concerned with the determination of major
policies of an organization while management puts into
action the policies and plans laid down by the administration.
2. Administration is a determinative function while
management is an executive function.
3. Administration takes Major decisions of an organization as
well as it is affairs as a whole while management takes
decisions within the frame work set by the administration.

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TOPIC TWO
ORGANIZATION STRUCTURES AND THEIR
DEPARTMENT.
Types of organization structure and their charts
Organization Structure.
It refers to mechanisms that controls and coordinate the behavior
of members in an organization in order to achieve the goals in an
organization. It also refers to the distribution of tasks and
responsibilities within an organization. It serves to indicate who is
responsible to whom and for what at any level.
Uses of organization structure.
i. They allow flexibility, encourage employee creativity and
effectively utilize the skills and abilities of the workforce.
ii. They allow management to monitor and control the
business process while facilitating working relationship
among employees from top to bottom.
iii. It defines the guidelines and procedural processes
necessary for a group to accomplish a main goal.
iv. It determines, categorizes and organizes a variety of tasks
to be accomplished when achieving main goal.
v. It determines categories and organizes a variety of tasks to
be accomplished when achieving main goal.
IMPORTANCE OF ORGANIZATIONAL STRUCTURE.

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 i) It clarifies authority- it gives role position to every
manager that is shows status (cadre)
ii) It helps in defining job positions i.e. roles to be
performed by different managers and employees are
clearly defined.
iii) Change is easily administered in an organization
since everybody clearly knows his duties and
responsibilities and therefore coordination is possible
iv) Specialization is enhance through division of work
TYPES OF ORGANIZATION STRUCTURE
1. Line organization structure.
2. Staff organization structure.
3. Line and staff organization structure.
4. Matrix organization structure.
5. Management by committee
1) Line organization structure. (Military Organization
structure)
Also known as military organization.
Under this system the authority moves from top levels to
lower levels i.e. overall authority is with the top person
and operates downwards towards the lowest person within
the organization. Responsibility I greatest at the top and

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 least at the bottom. Accountability for activities is vested
(placed) in the heads of department by top managers.

Advantages of line organization.

i) It is simple to understand.
ii) Decisions are easily made because of direct measure of the
chain of command.
iii) Coordination of personnel in department is facilitated.
iv) Effective delegation is facilitated due to clear line of
authority.
v) Members of department are mainly aware of their
positions in the organization i.e. it highlights the positions.
vi) Staff discipline is easy to maintain that in other forms of
organization structures.
vii) The extent of duties and authority can be clearly defined,
recognized by those concerned.
viii) Line of communication is clear to all.

Disadvantages of line organization.

i) Where the head of department is weak it becomes in
effective.

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ii) Cooperation and coordination between different
departments may be difficult as this depends on the
attitude of the departmental heads.
iii) It is rigid and inflexible because each department is
usually self-reliant.
iv) It is autocratic that is it is dictatorial.
v) It may overload the executives.
vi) Departmental aims may not display company aims which
may not be good for outsiders.

2) Staff organization structure (functional organization

structure)
Under this system various departments are established and
each is required to perform some specific duties. This
form of organization structure has its functions undertaken
by experts irrespective of the department under which the
function lies.
The experts are in direct contact with supervisors and start
operating in department, are authorized to give the direct
instruction in regard to every issue without reference to
their line manager/superior. Each department is headed by
a specialist which removes some limitation of line
organization structure.

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 Advantages
i. Specialists are able to concentrate more fully to their
functions because they are not concerned with the
running of the department operation.
ii. The organization is able to grow without much
alteration to its organization structure.
iii. The best use of knowledge is made of the
commercial and technical expertise

Disadvantages
i. There is no clear line of authority thus control and
coordination is difficult.
ii. Employees may find that they are under too much
force and this may weaken them.
iii. It may weaken the authority and initiative of
position.
iv. It can be an economical if large numbers of high
salary experts are engaged.
v. Responsibility for failures may be difficult to be
established and therefore remedies may not be easy
to apply.
3) Line and staff organization structure.

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In this form of organization there are functional experts
appointed to advise line managers but have no executive
powers. Thus the line managers and supervisors maintain
direct control and authority over the members of
department while at the same time they have experts to
assist their department operation

Advantages.
1) There is direct line of responsibility and authority hence
coordination and cooperation and operated within the
department. Since specialist interests are spread through
organization, controls of department remain with
departmental heads.
2) Specialist knowledge and experience is availed to the
line managers and supervisors from all department
officers.
Disadvantages.
1) Workers can be confused where there is a sharp
difference of opinion between the line and staff
officers.
2) Line managers may lose their judgments and initiatives
due to them depending too much on staff experts.

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 3) Line managers are not bound to follow the advice of
staff experts and this could lead to inefficiency and
waste of expensive skill and personal experience.
4) The staff experts can try to use the authority of line
managers which may lead to confusion.
Committee Organization Structure.
A committee is a person or a body of persons in which specific
duties have been assigned.
A committee occurs where management decisions are formulated
by a group instead of being made by an individual. This type of
organization is common in institution, colleges, hospitals and co-
operative societies. E.g. Budget committee, staff welfare
committee etc.
Advantages of committee organization
i. It has a pool of knowledge and experience.
ii. Quality decisions can be made.
iii. Many points of view are brought together before making
any decision.
iv. It ensures coordination by bringing members of various
departments to pursue similar goals.
v. There is sense of royalty commitment is felt by members
when decisions are made.
vi. Participation in decision making motivates members

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 vii. It facilitates easy communication
viii. It eliminates hasty judgments.
ix. Advice of experts on particular matters can be made
available.
Disadvantages
i. Due to lengthy discussions that take place committees are
often slow in issuing decisions.
ii. Because of collective nature of committee no individual
member can be held responsible for decision made, this
weakens accountability.
iii. Decisions are likely to be the result of compromise as they
may not be taken seriously when being implemented.
iv. Differences of opinions between members may lead to
post ponding of decisions.
v. Some members may not participate fully in decision
making where they are not familiar.
vi. Overbearing members may dominate committee where the
chair person is weak.
vii. Committee may be misused by weak managers who are
afraid of making decision.

Types of committees
1. Standing committee.

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 These committees are created by the standing orders,
rules bylaws or regulations of an organization. They
exist and function more or less on a permanent basis
e.g. finance and education committee etc.
The board usually takes advice and recommendation
from standing committee.

2. Ad hoc
This committee are appointed or created for a particular
purpose or on short term basis.
This committee dissolves when the job is complete.
E.g. A committee appointed to build a playground or to
plan a conference.
3. Advisory committee
This maybe standing or ad hoc and are often setup at
the request of or on the conditions of funding body.

MATRIX STRUCTURE.
Employees in this structure are assigned project teams and are
responsible to the teams leader.
They are expected to produce results through accountability to the
team leaders who are accountable to top management.

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Authority flows horizontally for project authority and vertically for
line authority.
It is also referred to as multiple command system.
It has 2 chains for command i.e. a) One chain of command is
functional which flows the authority vertically.
b) The second chain is horizontal depicted
by the project team.
Benefits/ strength/ Merits/Advantages of Matrix structure.
 It encourages teamwork and integration.
 It enables control for growth.
 There is optimum use of skills and resources.
 There is dual benefit – because of combination of functional
and purpose (objectives) of department.
 Better planning and control – it enables better planning by
focusing resources for specified projects.
 Environmental adaptability – it is the most appropriate
structure to respond rapidly to external change. E.g. beating
the actions of a competitors
 Flexibility – it is highly flexible in regard to adherence to
rules and procedures.
 Better motivation - because any department or division has to
harness (to bring together) it is efforts towards

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 accomplishment of a single project, employees are
effectively motivated.
 Development of personnel – it provides an excellent frame
work for training and developing efficient managers who
under traditional structures are subject to restricted functional
specialization.

Disadvantages/Demerits/Weaknesses/Limitations of Matrix
Structure.
 There are potential for conflicts potentially in regard to
allocation of resources hence there is always sense of
competition and bad feeling.
 There are accounting and control conflicts.
 Multiple relationships may lead to conflict between business
managers, resources and confusion about where authority
lies, because it is decentralize.
 Complex relationship exists which does not follow one –
subordinate – 1 boss an employee is often required to report
to more than one supervisor.
 Power struggle – due to duality of command intensive power
struggle may arise between project and functional
departmental heads, this may jeopardies (cause a failure) on
early completion of projects.

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  Excessive emphasis on group decision making as regards
sharing of organization resources may mean inadequate
action.
 Excessive emphasis on conflict dissolution. This regards
(cause delay) efforts towards accomplishment of objectives

CENTRALISED AND DECENTRALISED STRUCTURE

It gives all control to one center of power; so it is centrally placed.
They are bound to be oppressive and non-participatory.
Employees in this structure lacks initiative and are not involved in
decision making and therefore it encourages negative attitude and
behavior among employees.
DECENTRALISED STRUCTURE
Authority and power is widely diffused throughout the structure of
the organization. It encourages employees to participate in decision
making resulting to some feeling of ownership and partnership.
Employees are well motivated and their behavior is positive.
THE CHART
An organization chart it is a diagrammatic illustration of an
organization structure.
Purpose/importance of charts
i. They show the relationship between line, functional,
lateral and staff in the organization structure.

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ii. They portray the type of organization and define the
spheres of authority for supervising staffs
iii. They show the various department, departmental section
and their relationships to one another
iv. It is useful when explain to new members of the staff the
type of organization they are to work in and their part in it.
v. It shows the chain of command and delegation in the
organization structure.
vi. It shows a complete picture of the organization in a way
that it is simple to understand hence providing information
for every one within the organization from the top to
bottom.
vii. It gets as the starting pointy when the organization of the
business is done.

Advantages of Organizations Charts

i. The line of communication can be seen clearly.
ii. The whole organization structure can be seen at a grasp
enabling members of staff to be aware of how each
department or the whole organization is structured.
iii. The spheres of responsibilities and authority are clearly
stated.

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iv. The span of control of each supervisor of manager can be
clearly seen.
v. The weaknesses in organization can be easily diagnosed.
vi. It can be used to show new staff members how the
organization is structured.
vii. It shows coordination among various departments or
sections thus improving efficiency.
viii. It assist outsiders to know how the organization operates.

Disadvantages of Organizations charts.

i. They become outdated due to changes in positions in the
structure of the organization.
ii. It is expensive to prepare.
iii. Sometimes it may give misleading picture especially on
authority and chain of command.
iv. Interpretation may be too narrow.
v. By showing status it dilutes team spirit.
vi. Usually they show formal relations and fail to show
informal relation within the organization.
vii. Although it shows line of authority it fails to show how
much authority and how far one is responsible or his
responsibility extends.

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 viii. It how’s a certain state of affairs and does not show
flexibility which ought to exist in a dynamic organization.
Types of organization chart
1. Vertical organization chart.
This shows the structure inform of a pyramid with the line of
command proceeding from top to bottom

Board of Directors

Management Director

General Manager

2. Horizontal Organization Chart.

These are charts that read from left to right where the
pyramid is horizontal instead of vertical. Hence the line of

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 command proceeds horizontally from left to right showing
top level from the left and each successive level extends to
the right as shown below.

Production manager
Engineer Clerks of work
Management Director

Purchasing Manager Assistant

Board of Directors

General Manager

Buyer

Sales Home sales overseas Sales

Chief Accountant Assistant

Accountant Posting&invoking

Company secretary assistant

secretary

3. Circular Organizations chart

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The chart portrays the top position in the concentric cycle
from where authority flows to all direction. Equal directors
(same level) fall in the same distance from the center of the
concentric cycle. It consists of spheres showing areas of
responsibility of line and functional managers.

General
Manager

Matrix Organization Chart.

Horizontal lines in a matrix chart give the authority of the
project managers which is represented as broken lines.
Vertical lines portray line authority which is unbroken which
show a chain of command functionally.
General Manager

Production Marketing Finance

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 Personnel

PROJECT A Production marketing finance

personnel

PROJECT B
Production Marketing Finance
Personnel

PROJECT C
Production Marketing Finance
Personnel

VARIOUS DEPARTMENTS IN AN ORGANIZATION

A business enterprise is divided into different sections or
departments. Each department is responsible for a specific type of
work. The main purpose of having different department is to
enable office staff to specialize in their respective jobs. In this way
the office work is divided into convenient way tasks or duties.
Different staff members are responsible for different duties. The
departments are as follows:
i. Personnel/Human Resource Management – This
department is charged with responsibility of recruitment
and training of the office staff. The department exists only

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 in large organizations but in small organizations this duties
are performed by the administration department.
ii. Administration department – This department is
responsible for the overall administration of the tasks. It is
headed by the office manager i.e. Administration
Manager.
iii. Production /factory department – it is responsible for
carrying out processes of manufacturing goods to be sold
by the company.
Its main functions include:
i) Planning for production schedule.
ii) Planning for labor and material supply.
iii) Formulating and advertising on agricultural formula.
iv) Research into better and new products
v) Providing costing and other data related to accounts.
vi) Controlling the quality of the goods produced.
vii) Work in liason with the sales manager to ensure that
the produced goods meets customers requirement.
iv. Purchase department – it is headed by the purchase
manager. It activities and functions include:
i) Maintaining a list of possible suppliers
ii) Placing order to most suitable suppliers.
iii) Receiving goods from the suppliers.

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 iv) Packaging branding and blending of goods.
v) Maintaining the store record.
vi) Matching delivery to production schedule.
vii) He is in charge of stock control
v. Sales and marketing department – It is responsible for
sales promotion and headed by a sales manager. It is in
charge of making sales for the company. Its functions and
activities are:
i) Maintaining a list of all regular customers
ii) Receiving orders
iii) Classifying the customers according to their credit
worthiness.
iv) Arranging for the training of the sales force/people.
v) It sets out its sales target and makes sure they are met.
vi) It deals with customers complains.
vii) It arranges for transport of goods from the warehouse
to the retailors premises.
vi. Accounts department. – It is headed by chief accountant/
finance manager. Functions and activities include:
i. Preparation of invoice as statement to be sent to the
customers.
ii. Receiving and effecting payment on behalf of the
business.

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 iii. Preparation of budgets and financial reports.
iv. Pays workers their salaries and wages.
v. Ensuring that all financial commitment of the
business is met.
vi. It keeps track of creditors and debtors account.
vii. Reports financial matters to the management.
viii. It deals with day to day banking transactions
ix. Keeps track of the company’s cash flow and handles
companies’ taxes.
vii. Secretarial department – it is headed by an officer called
secretary or office manager. The activities and functions
include:
i) It is in charge of co-coordinating all administrative
functions.
ii) Fulfills the companies’ legal matters.
iii) Prepares agenda, minutes and other requirements for
meeting of board of directors
iv) Prepares materials for annual general meeting
(A.G.M)
v) Maintains the shareholders register.
vi) Ensures that the company’s assets are insured.
vii) Maintains the necessary files.
viii) Arrange for training of personnel.

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ix) Maintains staff records.
x) Advices the management on matters of legal
importance
xi) Gives advice to the general manager and other owners
(shareholders)

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TOPIC THREE
OFFICE ORGANISATION
Organization is the structure of relationships and responsibilities,
authorities and duties, by means of which work to be done, and the
personnel and means to do it, are bought together and coordinated.
Office organization is concerned with dividing the activities of an
enterprise among g its personnel. The division of activities results
in the establishment of various departments and sectors in an
organization.
PRINCIPLES THAT GUIDE ORGANIZATIONS
1. Clear objectives.
While employees undertake various responsibilities, such
responsibilities should be clear towards achieving clear goals,
of the entire organization rather than individual departmental
goals
2. Unity of command.
Each subordinate should be answerable to only one superior
to minimize conflict of instructions and ensure that desired
response is obtained.
3. Authority
Authority granted should be balanced with responsibility to
avoid frustration and laws of initiative by individuals.
4. Span of control.

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 The number of subordinates responsible to a supervisor
should be appropriate to the quality of staff, variety of work
and capabilities of the supervisor.
5. Centralization.
There should be the right degree of centralization appropriate
to work flow, requirements and staff specialist abilities.
6. Simplicity.
The organization should be so planned that the objectives are
simple to understand and attainable at a lowest possible cost.
7. Specialization/division of work.
Employees should be given duties according to their
specialist, abilities experience and qualifications.
8. Work distribution.
There should be fair and even distribution of work among
employees

DELEGATION OF AUTHORITY
Delegation of authority means the act of empowering
someone or some group to perform certain tasks and make
decisions. When a manager delegates some assignment to
subordinates, the subordinates assume operating
responsibility but the manager is still ultimately responsible
for getting the assignment completed. I.e. if the subordinate

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fails to complete the job the manager is held responsible for
the failure.

Factors that should be considered when delegating

i. The limit of the delegates’ authority and duties must be
dearly defined and understood.
ii. The delegate should have adequate authority to achieve
the desired result.
iii. In addition to having technical ability and experience,
the delegate must have personal qualities such as self-
confidence, ability to solve common day to day
problems without consulting his/her superiors.
iv. All those subject to the delegates authority should be
made aware of the appointment and of the extend of the
delegates powers.
v. After giving the outline of the job and the desired
standards the manager should leave the subordinates to
do the job without interference.
vi. The delegator must encourage and support the ideas of
the delegate.
vii. Open lines of communication must be maintained so
that the delegate can consult when necessary.

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 viii. Proper control should be established to make sure that
authority is properly used.
ix. There should be a reward system for delegates who
successfully assume authority.

BENEFITS/USEFULLNESS OF DELEGATION
I. It provides motivation by encouraging initiative by the
subordinates.
II. It relieves the superior routine work hence allowing them
to concentrate on more important matters.
III. It instills a feeling of responsibilities among the staffs
IV. It serves as a means of developing management
competence among the subordinates.
V. It prepares the delegates to assume management
responsibilities.

Barriers/difficulties limitations/disadvantages/demerits of
delegation.
 Some managers distract subordinates and have no confidence
in their ability to complete assignments given to them.
 Some managers fear that by giving subordinates more
authority their won status or job will be threatened.

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  Some managers do not know how to delegate effectively and
thus fear losing control.
 In some cases subordinates may not be willing to accept the
assignment of duties given to them, due to fear or failure and
its consequences.
 Some subordinates may not want to take up additional
responsibilities.
 There may be no competent delegate who can take up the
authority

SPAN OF CONTROL
This refers to a number of people a superior can effectively
supervise. Refers to the number of subordinates which a manager
can supervise and control effectively.it is also known as span of
supervision or span of authority span of management. There is
always a limit to the number of subordinates executive can
supervise and control effectively. The problem of span arises
because a superior has limited time limited attention and limited
mental and physical energy. The principle of span of control
implies that no single superior should have more people, looking
for him for guidance and leadership that he can reasonably be
expected to supervise.

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Factors affecting span of control/management/ supervision/
authority.
 Capacity and philosophy of the superior.
If the manager comprehends and resolves problems quickly,
gets along with staff quickly, commands loyalty he can
supervise many people.
 Ability of subordinates
The more competent well experienced and trained the staff
are the less guidance they need therefore the more of them a
superior can supervise. The willingness of staff to undertake
responsibilities and risk enables quicker supervision.
 Nature of work.
In general the more competent the worker the shorter or the
narrower the supervision and the reverse is true.
 Clarity of plans.
If the plans are clear and subordinates authority and
responsibility are well defined, subordinates do not need
guidance from superior leading to a wide span of
management or control.
 Degree of decentralization.
In highly decentralized organizations a manager does not
have to make many decisions himself and therefore can
supervise a large number of subordinates.

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 Communication techniques.
The more effective and well communication systems are the
wider the span of management e.g. well established
grievances of technique reduces face to face contact or
interaction.
 Control techniques.
It also affects the span of management. E.g. Budgeting
allows for a wider span than personal supervision. The use of
objectives standards also reduces the need for close
supervision.
 Location.
Where operations are geographically scattered, span has to be
narrow as one executive cannot manage effectively distant
operations.
 Level of authority.
At higher level of management span of control is generally
narrower than at the lower level.

Centralization and decentralization of office services.

Centralization of office services.
Is the grouping of specialized functions or office services into
one service unit under unified control. It could also refer to
some organizations which control their branches from their

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head office i.e. decisions are taken from the head office and
branches are given orders and instructions on what to do.

ADVANTAGES
 Reduced cost (it is cheap) – the standardized procedure
has considerably reduce the office cost i.e. no more
specialized will be employed and no more machines
will be bought hence less cost will be incurred.
 Uniformity in action. – This is established in the firm
because of control is central administration.
 Personnel leadership – encourages and permits
personnel leadership. This facilitates big action and
attainment of pinpoint objective and standards.
 Flexibility - It permits flexibility and adaptability of the
changing circumstances.
 Improved quality of work – this is possible because
standard procedure, better supervision is provided to the
use of improved machines.
 Better co-ordination– facilitates better coordination
among various sections thus achieving effective
supervision and control.
 There is an increase in specialization among the staff
hence the development of better competence.

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 Machines and equipment are economically used
 Staff absence can be handled easily and has less effect
on the work load.
 Equal distribution of work can be achieved.

DISADVANTAGES
 Delay in work – it results into a rigid structure with
little flexibility which is slow to accommodate change
when necessary.
 There is danger that staffs will form a restricted view of
the organization based on their own particular function.
 Quick decision is not possible due to consultation.
 Staff morale may suffer if staffs do not identify
themselves with staff management control.
 Lack of royalty – in centralization there is no
subordinate’s initiative in work because they are
required to do work which they are asked for.
 No secrecy – it is not possible in a centralized set up to
keep secrets because here orders and decisions flow
from one place and are conveyed to all.

DECENTRALISATION OF OFFICE SERVICES.

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 This refers to the management where each department
is in control of the running of all the office services
required to enable it to operate.
When decentralization take, place each department is in
control of operating its own purchasing, secretarial,
typing and filling services.

ADVANTAGES
1. Workers are exposed to a variety of work which lead
to a higher morale.
2. It offers personnel contact between the worker and
the executive
3. Workers are able to work faster because of less
bureaucracy.
4. It creates departmental loyalty i.e. the staff attached
to the department develop a sense of loyalty to it
thus increasing personnel interest in the work.

DEPARTMENTS IN AN ORGANISATION AND THEIR

RELATIONSHIP.
Administration Department
It has responsibility on the overall administration of the company.
It relates with all other departments in the organization in terms of:

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 a) Generally ensuring smooth flow of work or production in
all departments.
b) Choosing machines and other purchases together with the
purchasing manager in the purchasing department.
c) Straining of staffs together with the Human Resource in
the personnel department
d) Advising top management i.e. B.O.D
e) In terms of Liasing in finance department in their
budgeting.

The personnel department

It is charged with responsibility of recruitment and training of the
staff. It relates with other departments in terms of:
a) Ensuring the cost of training is met through the finance
department
b) Ensuring the equipment and machines used by employees
are in good condition through the administration
department.
c) Ensuring proper resources are sourced by the purchasing
manager for the employees to use.
d) Liasing with the finance department on the payment of
salaries and wages.

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Finance/Account Department
It is responsible for maintaining books of accounts and at the end
of the year to prepare final accounts of the company. It relates with
other departments in terms of:
a) Liasing with the personnel department for the payment of
salaries and wages.
b) Liasing with the sales department to get the total sales so
as to account for the profit made.
c) Leasing with purchase department so as to account for the
purchases, creditors as well as debtors.
d) Liaises with the production manager, for the material
requirement and accounting of the same.
e) Liasing with the administration to ensure a smooth flow of
work into the whole organization.

Sales/marketing department
The department is responsible to sell the products of the company.
It relates with other departments in terms of:
a) Liasing with production department for it to produce the right
products for the customers.
b) Liasing with the finance department to account for sales made a
well as paying for advertisements or other marketing costs.

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c) Liasing with administration department for maintenance and
supply of resources for marketing.
d) Liasing with purchasing department for the purchase of field
work resources e.g. cars.
e) Liasing with the H.R.M, finance manager and Administration
for training of sales force.
Production department
It is responsible for the production of goods. It relates with other
departments in terms of:
a) Liasing with the purchase department for the purchase of raw
material.
b) Liasing with finance department for the payment of the cost
of materials and any other expenses.
c) Liasing with the some department so as to produce what
customers need.
d) Liasing with the personnel department for the welfare and
training of staffs.
e) Liasing with administration department to ensure smooth
flow of work in production.
Purchasing department
It is responsible for the purchase of raw materials, machinery,
motor vehicles, equipment, stationery and other required items.
It relates with other department in terms of:

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 a) Liasing with all other departments to ensure that proper
purchases of machines equipment, stationery and other items
needed by them is made.
b) Liasing with the finance department to pay for the purchase.
c) Liasing with H.R. Department to ensure that the staffs in the
departments are well provided with the resources for use.

TOPIC FOUR
THE OFFICE
An office is a place, room or a building where information
needed to run the activities of a business is processed.
The office has both basic and administrative functions.

BASIC ROLES/FUNCTIONS OF AN OFFICE

1. To obtain information.
It can be obtained through word of mount, by telephone or
written communication.
2. To record information.
The obtained information must be recorded in such a way that it
is readily available to the management when required.
3. To arrange information.
Information should be arranged in such a way that management
can be helped in decision making.

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4. To give information.
The office gives out information from its records as maybe
required such information could be given out to the
management’s employees, customers suppliers.
5. To safeguard assets.
The office has the responsibility of intelligently observing the
affairs of the business as shown in the records.
Vital records such as contracts should be protected and
management should inform of any unusual happenings.

ADMINISTRATIVE FUNCTIONS OF AN OFFICE.

Management Function
It is the most important management function of a manager; it
involves planning coordinating, organizing, staffing,
controlling, directing, communication and motivating. The
manager must organize the office with modern lines effective
performance.

1. DEVELOPMENT OF OFFICE SYSTEM AND

PROCEDURES
All the jobs in the office are interrelated and interdependent.
As such an office must provide better services to the

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 interrelated departments for a smooth flow of work. Hence
office systems sand procedures in essential.
2. FORM DESIGNING AND CONTROL
Forms are documents that are basic tools for all types of
office work. i.e. there are many operations which can be
systematized with the use of printed forms. The use of forms
saves time and energy at every operation.
3. SELECTION AND PURCHASE OF OFFICE
APPLIANCES
The office manager must purchase the appropriate equipment
or furniture for the office work required. Adequate
equipments machines and furniture for the office work
required.
4. CONTROLLING OFFICE COST
Office cost may be controlled by using machines in the office
in labor saving devices. And also adopting improved methods
of management.
5. PERSONNEL FUNCTION
The personnel function is formed by personnel department
and it is assisted by the office. It recruits and selects the
personnel and places them in different jobs in the office. For
efficient performance of the basic functions of the office,
provision of adequate and trained staff is needed. The staff

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 must create reasonable salary and must be properly motivated
to achieve the best performance.
6. MAINTENANCE OF RECORDS
This is the secondary function of an office. Copies of all the
correspondences must be retained for further reference from
a business firm a number of letters goes out daily and a
number of them is also received. If the copies of the original
letters against which the reply have been received are not
available, the decision can’t be taken wisely. Therefore all
the records must be maintained through proper filling
systems and preserved for a number of years.
7. PLANNING SKILL AND POLICIES
In the present stage production is always in anticipation of
demand. Therefore as a manufacturing concern, it has
become essential to plan the activities of the concerned for a
future period. One cannot take a decision or plan unless one
goes into the previous records and obtains relevance
statistical data, studies present, trends and takes decision on
the basis of all the information of the 1st period. When a
proper plan has been made it will be adopted as a policy.
8. PUBLIC RELATION.
It signifies the relations of a business organization with the
general public usually through the distribution of

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 information. P.R guides business enterprise through public
opinions.

OFFICE PREMISES AND THE ENVIRONMENT.

Office premises: The location of office premises and physical
condition such as light, cleanliness, temperature are of great
importance for a working organization because it enhances smooth
running. The decision regarding selection of office site, type of
office layout, and location of departments is referred to as physical
planning of an office.

Factors to consider when choosing the location of an office

1. Site cost – it varies considerably from one area to another. A
central busy site may be convenient for business but it will also
be expensive
2. Site facility – Available facilities such as banks, parking space,
access to another businesses that influence the choice of
location are very important.
3. Transport facility – a reliable form of public transport can be
advantageous for workers and quick delivery of supplies.
Efficient form of transport enables a business to distribute its
goods and services more efficiently.

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4. Market – where the office is required to be in close contact with
the customers the location of the office may be influenced by
the position of the potential market.
5. Prestige – some locations are more prestige and public value
than others, and this can be important consideration in the
choice of location, depending on the current activity carried out
by the organization.
6. Labour – an adequate supply of right kind of staff is essential if
the office is to function efficiently. Hence an office should be
sited conveniently near a suitable labor force.
7. Government policy
Government control over the location of business or provision
of incentives such as tax reduction can influence the location
either in town or in a rural area.
8. Future expansion – the selected site should have space for
future expansion if need be.

OFFICE LAYOUT
This refers to the arrangement of furniture and office equipment in
such a systematic manner that the floor space available is used to
the best advantage, while offering the best physical social and
psychological working condition to achieve the maximum output
of work.

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Factors to consider when designing office layout.
1. Work flow – it should offer a systematic flow of work so that
documents move forward all the time without back tracking
which increases the distance to be travelled. The shorter the
distance the work moves the more efficient the work flows.
2. Supervision – the office should be arranged so that easy
supervision can be facilitator.
3. Floor space – the fullest use must be made of the available
floor space. While furniture should be adequate for the type
of work to be done, if should not be unnessecceriry large to
cover a lot of flow space.
4. Working space – each worker must have adequate space in
which to work effectively. While space needed would vary
for different jobs, the legal requirements must be adhered to.
5. Gangways – (spaces which allow free movement) gangways
of sufficient number and of sufficient width must be allowed
if easy access. The gangways should be free from
obstructions to avoid accident.
6. Proximity of workers and equipment – where workers are
constantly using equipments the equipment should be
situated adjacent or very near the workers concerned. This
avoids unnecessary movements of staff and assists in
promoting good work flow.

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 7. Natural light – work requiring very good light should be
situated close to the windows so to get natural light.
8. Noisy machines – noisy machines should be segregated from
areas requiring quiet atmosphere even if it means interfering
with a smooth flow of work.
9. Appearance – the layout should present a pleasant and
purposeful appearance which contributes the corporate
image.
10. Privacy – where the work demands privacy conditions
of privacy much be provided in the layout so as to meet the
overall objectives of the organization.
11. Safety – the office should be easy to evacuate in case
of danger e.g. fire.

OFFICE PLANS
This refers to how offices are divided for the purpose of carrying
out different functions of an office.
Types of office plans
There are 3 types of office plans:
i) Open plan.
ii) Closed plan
iii) Landscape/panoramic plan

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Open plan
This type of office accommodation consists of one large and
broken floor area accommodating different departments and has no
permanent dividing petitions or wall. Desks and other furniture and
equipments are arranged in orderly rows as far as possible facing
the same direction.

Advantages of open plan offices

Easy supervision.
Supervision is improved as employees can be seen or viewed from
the same point. This tends to stop workers from indulging in
unofficial activities. Absenteeism from desk can be easily noticed
Saving of floor space
Considerable amount of space that could otherwise be taken by
partition is saved.
Freedom of movement
There is greater freedom of movement from the staff since there is
no restricting petition or doors to open and close.
Greater flexibility
Changes in work patterns can be easily accommodated as it is easy
to move furniture and equipments around and thus rearrange
departments without undue expense and inconvenience.
Work flow.

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More smooth workflow can be promoted as document can pass
more easily from one operation to the next.
Lighting and heating
These are less costly to install than in a series of private offices
Machines and equipment
It facilitates more efficient use of machines and equipment as they
can be easily shared.

Disadvantages of open plan office

Impersonal atmosphere
The arrangement of rows of desks promotes factory like and
impersonal atmosphere that prevents the formation of a corporate
feeling among the staffs.
Distractions (taking attention of someone)
Workers are subject to many distractions as other staffs talk about.
Noise
The general noise level coming from various sources such as
members of staff talking and office equipment is generally high.
Privacy
The office lacks privacy and confidentiality of documents handled.
Idle talk
Where supervision is not effective gossiping would be easily
flourished.

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Less prestige
Those working in this type of an office so not carry a status of
prestige
Overcrowding
Due to its flexibility there is tendency to add more desks thus
overcrowding the office.
Tidiness
The office frequently appears less tidy because of the way desks
are arranged. Although some members are more tidy in arranging
their desks than others.
Infections
Such as colds spread around the staff rather quickly

Closed plan
An enclosed office consists of an office with mainly one person or
few persons sharing one room.

Advantages of closed office

Confidentiality.
This type of office encourages confidentiality in the type of work
done
Concentration

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There is maximum concentration on work being done since there
are few disruptions from other members of staff.
Prestige.
Those working in this type of an office carry a status of prestige
Seclusion
It is important for entertaining visitors since they are free to share
their business, because they have no fear of the surrounding.
No disease spread
Infections and disease may not easily spread among the staffs.

Disadvantages
Construction expenses- it is expensive to construct and put
permanent partitions.
Not economical – sharing of machine and equipment is not
necessarily encouraged.
Inflexibility – it is not easy to redesign the office when changes
arise.

Landscape/panoramic plan/partially open offices

It is a large room occupying a complete floor of a building that I
broke up into functional areas by informal arrangement of
furniture, low screens and plans. E.g. Administration blocks.

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Advantages of panoramic plan
i) Supervision is easy when everyone is working in an open
area.
ii) Communication between staff is easier as if it is possible to
see if a person is at his work desk simply by looking around.
iii) Artificial barriers between people working at different levels
in the organization are broken down and a more sociable
atmosphere I created when people are working together.
iv) Expansion of work with consequent increase of staff can be
coped as the larger working area allows more flexibility in
the rearrangement of working space than can be achieved
with smaller room.
v) Full use is made of the available space. There is maximum
use of space available.
vi) Delays in the flow of work caused by routing papers and
people from one room to another are eliminated.
vii) The morale of staff is improved by the clean bright and
spaces appearance of the office.
viii) The noise from office machines has little impact in a large
space as it can be reduced by in cooperating sound absorbing
materials in the structure and furniture.

Disadvantages of panoramic plan

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i) As large areas are involved, air conditioning is essential because
ventilation though windows cannot be relied upon for the whole
office area.
ii) Artificial lighting is required in the office particularly for people
working in the center of the office, as light from the windows
will not be enough.
iii) Sound insulation that is achieved by fitting thick carpeting on
the floor and applying sound absorbing materials on the walls
and other services are expensive to install.

FACTORS TO CONSINDER WHEN LOCATING OFFICE

PARTITION
1. The department will be heavy traffic (many workers) such as
reception should be close to the entrance.
2. Other offices such as cash office should be located far from
entrance for security purposes.
3. Department with heavy machinery and equipment should be
located on the ground floor an department with noisy machines
should be far from others to prevent disturbance.
4. The department that require quiet atmosphere should be
secluded to allow them the quietness they need or deserve.
5. The department that serves others should be centrally located
e.g. a typing tool.

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6. The department requiring natural light should be kept close to
outer walls or upper flows.
7. The convenience facilities such as washrooms should be easily
accessible to all departments.
8. Departments with closer working ties e.g. credit
control/financial/sales should be located near each other.
9. Department that are likely to expand e.g. production department
should be located in an area where there is room for expansion.

NOISE CONTROL IN AN OFFICE

Internal noise is created by the following:
i. Movement of machines.
ii. Movement and conversation of clerks, persons, visitors
etc.
iii. Creaking doors
iv. Calling bells/ telephone
v. Shifting of furniture from one place to another.

MEASURES TO REDUCE INTERNAL NOISE.

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1. Carpets or rubber mats or coir mats can be spread on the
floor to reduce the sound caused by the movement of the
clerks and other people.
2. Below the office machines which create noise in operation
felt pads can be placed which reduce noise.
3. Calling bells can be replaced by buzzers.
4. Banging or creaking doors should be fitted with rubber felt
stops to reduce sound. Proper oiling of the doors will also
reduce noise. Automatic doors springs, rubber pads can also
be fitted.
5. Telephone may be kept in sound proof booths to reduce the
source.
6. Clerks must be instructed so as they don’t make noise to
maintain calmness.
7. When the office is free from noise calmness prevails and
clerks will automatically be discouraged to make sound by
talking or gossiping.

External noise is caused by:

Street sound
Workshops
Noisy industrial processes

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 These sounds rarely enter the office through the open doors and
windows.

Measures to prevent external noise

1. By choosing the site of office away from noisy areas.
2. By affixing double glazing windows and doors.

OFFICE SAFETY AND SECURITY

Maintaining office safety and security is important
administrative function of the office manager.
 It is not enough to merely provide conducive working
environment employees must also be provided with
asafe working place.
 Frequent accidents may have an upsetting effecting
on morale and lower their working efficiency.
 Terrorism, fraud, industrial espionage, threatens
office security.
 The office manager should guard office secrets and
assets against threats to security.

Office Safety
Effects of Accidents
 Permanent disability

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  Prolong hospitalization.
 They put employee out of action temporarily.
 Management incur hospital expenses.
 Management loses their services for prolonged period or
temporarily.
 Accidents affect the morale of employees.
 It also affects their efficiency.
NATURE OF ACCIDENTS
1. Fire due to electrical short-circuiting or burning matches or
cigarette
2. Flash fire through inflammable cleaning fluids getting ignited
by electric sparks.
3. Fall from reclining chaired ladders of filling racks
4. Slipping or tripping on slippery floor or stairways.
5. Electric shock from exposed wire of a machine.
6. Sharp edges of equipment or furniture, broken glass, pencils,
cutters, pins
Factors which cause accident hazards
 Exposed electric wire or loose connection.
 Slippery floors or loose carpeting
 Open drawers of a desks or filling cabinet
 Tilting backwards in a reclining chair
 Sharp edges of office equipment or broken glass

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  Unguarded moving parts of office machines
 Rapidly walking along stairways or through doorways
reading while walking along passages.
 Inadequate lighting in an office or stairway.

Causes of accidents
1. Failure on the part of management to rectify some defects in
office accommodation, furniture, equipment and machines
2. Due to some physical deficiency/ carelessness of the
employees themselves.
Cause of Accidents can be classified into:
i. Mechanical causes – e.g. inadequate lighting exposed
electric wires, unguarded moving machines, technical
defects in equipments etc.
ii. Physiological causes – e.g. bad eye sight, advanced age
and physical disabilities of employees.
iii. Psychological causes – carelessness, tendency to take
unnecessary chances and temporary mental or
emotional imbalance of employees.

MEASURES FOR ENSURING SAFETY.

 Provision of safe working place – Gangways must be such as
to eliminate accidents

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  Safeguarding hazardous machines and equipment i.e. they
should be on a firm ground or foundation.
 Provision of safety clothing to employees engaged in
accident prompt work.
 Maintenance of orderliness and cleanness – stairways and
gangways should be kept free of loose objects.
 Provision of first Aid service – to ensure immediate treatment
of injuries
 Provision of fire lighting equipment (fire extinguisher)
equipment. – They should be kept in suitable and easy
accessible points.
 Safety education and training of employees should be made
thoroughly of the danger of their work or job and the need for
remaining alert against accident shield doing their job.

OFFICE SECURITY.
This includes risks of pilferage (theft) of cash and materials by
staff or public including other risks such as industrial espionage,

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terrorist activity, threats, kidnappings, hold-ups, hijacking of goods
etc.

Causes
1. No check on an authorized and undesirable visitor.
2. Unguarded entrances and exits of office room and compound.
3. Leaving windows and skylight open.
4. Access of all people to all documents of all kinds.
5. Copying of confidential document by authorized persons.
6. No checking of visitors briefcases.
7. Access to cash and safes by too many people and keeping of too
much safes.
8. No control over keys of safes and doors.
9. No check on taking of files and document out of office by staff.
10. Staff taking freely confidential matters inside and outside the
office.
11. Cars and goods are left unguarded in places where they can
be tampered with.
12. No system of checking in and out of staffs and outsiders
13. No security vetting of newly recruited staff

Security measures.
1. Safeguarding the premise i.e.

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 a) All windows and skylights should be closed after office
hrs.
b) A fool proof burglar alarm system should be installed to
alert the security staff against attempts to leak.
c) The compound should be regularity patrolled by
security staff or night watchmen.
2. Regulating only of visitors.
a) Entry of all visitors should be checked at the entrance.
b) Preferably each visitors should be provided with a pass.
c) There should be preferably only one entrance for visitors.
d) Unless well known to the office, a visitor should be
allowed only to visit the department with.
e) Briefcases or visitors should be checked on entry point.
3. Security regulation for the staff.
a) Each member of the staff should be vetted for secutir7 and
the time for recruitment.
b) Security regulations for the staff should be faced carefully
with consolation with the representatives.
c) Each employee should be issued with an identify card with
photograph and signature of the person concerned.
d) Each employee irrespective of his seniority should be
asked to identify him or herself to the security staff while
entering or leaving the premises.

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 e) Regulations should provide for checking of briefcase and
packages of staff at the time of entry and exit.
4. Protecting confidentiality of mail and communication
system.
a) Use of post box and post bank may be introduced while
taking delivery of mail from the post office.
b) Telephones should be fettled with mechanical or electronic
devices to prevent telephone tapping by rival
manufactures.

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