Organisational Manual:

An organisational Manual is wider in scope and contents than the organisation Chart. It describes elements of the structure outline in the chart. An organisation chart shows, who has authority over whom. But it does not show the extent of authority on the duties of each position in the organisation is expected to perform. Therefore large organisations prepares organisation manuals.

An organisation Manual is a small handbook or booklet containing detailed information about the objectives, policies, procedures, rules etc. of the enterprise. It contains job contents in terms of duties and responsibilities.

An Organisation Manual is a useful supplement to organisation chart. It is used to disseminate information about the organisation to the employees. It serves as an instrument for guiding and controlling their activities.

Advantages of Manuals:

Organisation Manuals serve several purposes and they help management in the following ways: 1. An organisation Manual contains, in writing, all important matters regarding the internal structure of the enterprise. 2. It contains rules and regulations as well instructions and standard procedures in a written form. 3. It is useful in the training of new employees. 4. It permits quick decisions at lower levels. 5. It helps to avoid jurisdictional conflicts by identifying clearly the sources of authority. 6. It provides uniformity and consistency in operations. 7. It also facilitates delegation of authority and management by exception.

Drawbacks of Manuals:

Organisation Manuals are subject to the following limitations: 1. Preparation of Manual is an expensive and time-consuming process. Therefore, small enterprises cannot afford to have manuals. 2. Manuals may create rigidity in the organisaion. There is a little scope for individual initiaive and direction. 3. Manuals may put on record those relaionships which should not be exposed.