One Man Control is best in the World
The circumstances favorable to one man controlled form of organization are One Man Control is best in the World
1. Size of Organization:
One man control is best if the size of the business is small. A small
organization having small output and few employees can be controlled by one man
2. Prompt Decisions:
One man control is most suitable for those businesses where immediate decisions are required to avail the opportunities eg rapid changes in the prices of the share in the stock exchange market.
3. Stress of Boss:
The persons don’t like to work under the pressure of boss. They can establish
and run their own business independently.
4. Repetitive work:
One man control is desirable if the work is of repetitive nature. The nature of work must remain the same. The employees do the work as a routine matter. The employees complete their duties as per previous guidelines.
5. One Location:
One man control is best when everything is under one roof. The boss can
look after all the activities of many departments. As all the departments are set up in
one building there is no difficulty in supervising the activities of all subordinates
6.High Level of Secrecy:
One man control is suitable where high level secrecy is required. Secrecy is the base of success of business and one man maintains a high standard of secrecy of profit and special techniques of production. As there is only one owner in this business, so there is no chance of leakage of secrecy.
7. Professional Services:
One man control is best when there are specialized services like accounting,
personal, research and statistics. The professionals have the personal skill that is
useful for the people.
8. Working Methods:
One man controls the business successfully if the work is done by the machine. When quality of work remains the same the workers needs no advice again
9. Effective Communication:
One man control is best where the communication is effective. When the message is delivered without waste of time, one man is able to handle the business.
10. Self Satisfaction:
Sole trader feels self satisfaction because all types of work are done under his supervision. So, one man control is admirable due to high level of satisfaction.
11. Uniform Policies:
One man control is possible in business if there are uniform policies. The
owner and the employees do their work according to old practice. There is no
confusion in the minds of the management and the workers.
12. Few Employees:
One man control is best if there are few employees. If number of employees is in thousands then one man cannot supervise them effectively
13. Small Capital:
If small capital is required for any business then one man business is the best.
Due to limited resource and unlimited liabilities one man tries to manage his
business finance effectively and efficiently.
14. Legal Formalities:
Sole proprietorship is very popular because there are no legal formalities and there is no special law to operate this type of business. There is no need to appoint the secretary and other official to fulfill the legal requirement of the business So this
type of business can be control by one person effectively.
16. Contract with Customer:
There are certain businesses where goods or services are provided according to the individual tastes or liking of the customer. For example, beauty parlors, the tailoring shops cafeteria etc. So all these and the similar businesses, sole proprietorship is the most popular and suitable form of business
17. Entire Profit:
The owner of this type of business enjoys all the profit of the business himself but in partnership and Joint Stock Company the profit is distributed among the number of partners and shareholders.
18. Cost Benefits:
Due to small scale business there is no need to hire the well qualified staff for different departments like marketing, finance and HRM etc
19. Self Employment:
Sole trading business provides business carriers too many persons having small resources to support their families. The government cannot provide jobs to all jobless peoples. A man can create his own employment
20. Social Benefits:
The one man business is very beneficial for the society because it provides daily necessities of life at their doorstep. So, that is why this is the best form of business
21. Government Encouragement:
The Government itself encourages to small scale business with subsidies and tax allowances for affective existing in the market.
22. Favour in Tax Rates:
In such business, the rates of income taxes are very low as compared to other business. Government gives some basic tax exemption also. So, that is why this form of business organization is most suitable
23. Dissolution Procedure:
Dissolution procedure of sole proprietorship is quit simple. The owner can sell his business without the consent of any other person. There is no legal ban on dissolution. This feature is increasing the popularity of one man control business
Conclusion:
One man control is best in the world if the man is big Dfaho enough to manage everything. If the volume of business is wide and a lot of employees are working over there in the business, then one man control is not best to run the business properly.