How to Prepare and Implement Organisation Manuals 9789350433133, 9789350243145

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'lIhu a1aya9lublishhxg'llo use MOMBAI • DELHI • NAGpuR • BANGALORE • HVOERABAO

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C Author: No part of this book shall be reproduced, reprinted or translated for any purpose whatsoever without prior permission of the publisher and author in writing.

ISBN

: 978-93-5024-314-5

REVISED EDITION :2010

Published by:

Mrs. Meena Pandey For HIMALAYA PUBLISHING HOUSE "Ramdoot", Dr. Bhaletao Marg, Girgaon, Mumbai - 400 004. Phones: 2386 01 70/2386 38 63, Fax: 022-2387 71 78 Emai~ [email protected] Website:vw.w.himpubcom

Br.neh Omees : Delhi

"Pooja Apartments", 4-B, Murari La! Street, Ansari Road, Darya Ganj, New Delhi - 110002. Phone: 23270392, Fax: 011-2325 62 86

Nagpur

Kundanlal Chandak: Industrial Estate, Ghat Road, Nagpur - 440 018. Phone: 272 12 16, Telefax: 0712-272 12 IS

Bangalore

No. 16/1 (Old 1211), 1st Floor, Next to Hotel Highlands, Madhava Nagar, Race Course Road, Bangalore - 560 00 1. Phone: 2228 IS 41, 2238 54 61, Telefax: 2228 66 11.

Hyderabad

No. 2-2-1 167/2H, 1st Floor. Near Railway Bridge, Tilak Nagar. Main Road, Hyderabad - 500 044. Phone: 5550 1745, Fax: 040-2756 0041.

Printed by

Bhave Pvt. Ltd., 242, Belasis Road, Nagpada, Mumbai - 400 008.

Dedicated to My wife

Harsha for her Lifelong Inspiration, encouragement, Support and Guidance

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Having prepared manuals of some organisations and conducted training programmes on 'Preparation and Implementation of Organisation Manuals~ I have thought it necessary to share my experience and knowledge with the corporate world and other business houses who might be interested in knowing more about this subject. This book has been written with a purpose in the Indian context and the focus is on creating awareness of orderliness in running the organisations. Orderliness in management-staff relationships and responsibilities,in operating systems and procedures and orderliness in the work environment, as envisaged, are the key factors in running the business smoothly and with steadfastness. This would be possible, if organisations have their manuals followed meticulously and being implemented in the right spiritJustification to have a manual cannot be overemphasized as its presence has to be reckoned with in view of globalization and ISO 9000 standards. The contents of this book has been divided into 15 chapters with each chapter having logically its own parameter expressed in simple language. It could be considered as a self educative, informative and a helpful guide for senior executives and those higher echelons of Government, business and industry who desire to have a manual but are not very sure of how to go about it. Those organisations having a manual or are revising the same or are already in the process of preparing a manual, will undoubtedly benefit from imbibing new insights into this vast field. Some of the unique features covered in this book are: Chapter I on 'Manual - Its Purpose and Objective, Definition and Role'. A Quiz of 20 questions has been added in order to know exactly what a Manual is. The correct answers to this quiz, vide Annexure IV, gives clear understanding of the Manual. Chapter IV on 'How to Prepare a Manual~ This Chapter is important inasmuch as it shows step by step how a Manual is prepared. It starts with an idea, the company management explores and discusses with its executives to find out its worthwhileness.lf the idea is accepted,

,

\ a qualified and experienced person/persons are selected to write the Manual.The preparation of manual requires a number of steps to be followed which are narrated in this chapter. The question of how to go about in preparation of the manual is answered and fully elaborated. Chapter IX on 'Objections to Manual~ This Chapter contains some of the objections raised against the Manual. However, for each objection, proper redressal measures are mentioned which will overrule those objections. Chapter XIII covers implementation process of existing manuals; Manual will work if it is properly monitored. As there is no specific manual monitoring authority in organisations, selection and placement of a Manual Monitoring Officer with certain responsibilities, to monitor the manual as stated in this Chapter, is recommended for obtaining full benefits of manuals. Chapter XIV covers existing procedures from 2 companies reproduced with their permission. They are, "Policy and Procedure for Recruitment" of Mukand Limited and "Bill Passing" procedure ofTata Motors Limited. Also it includes Government procedure on "Noting and Drafting"reproduced here from "$wamy's Manual on Office Procedures' with the Publisher's permission. Chapter XV covers Questionnaire to companies and to some participants of 'Organisation Manuals - Preparation and Implementation' Programmes. From those who responded, 7 crucial questions viz. Question nos. 1,2,4,6, 10, 11 and 16 were selected and their answers have been analysed and results shown in this Chapter with diagrams.This analysis highlights Manual's current status in those organisations and can show the general trend in this regard.

After going through this book, the Government, public and private sector organisations and other business houses will have to decide whether to have a Manual or not for their organisation and the answer will be, I presume, in the affirmative. And if that is so, my purpose in writing this book will be served and my efforts duly rewarded.Any suggestions from readers are most welcome.

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I am grateful to: A

Mr. R.lslam, Sr. Manager, Personnel, Mukand Limited, Thane, for reproducing from their Manual, "Policy and Procedures for Recruitment"

A

Mr.Arup Mukherjee, Manager,Corporate Communications, Tata Motors Limited, Mumbai, for reproducing from their Manual, "Processing of Bills using SAP System"

A

Mr. T. R. Jayaraman, Chief Manager, Swamy Publishers (P) Limited for reproducing from their Book on "Swamy's Manual on Office Procedures'; the procedure on 'Noting and Drafting'

A

The Economic Times for allowing reproduction of my article on 'Corporate Manual- The Organisation Bible~ first published in The Economic Times on November 19, 1992.

A

The number of participants of my Programme on 'Organisation Manuals - Preparation and Implementation' and the Companies who have responded to the Quetionnaire issued to them.

A

Mr. D. P. Pandey, Mr. K. N. Pandey and Mr. Anuj Pandey of Himalaya Publishing House, Mumbai, for being good enough to publish this Book. Especially, Mr. D. P. Pandey for his valuable suggestions regarding this Book.

A

My family members for their good wishes to me in writing this Book.

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Preface Acknowledgement 1. Manual - Its Purpose and Objective, Definition and Role 2 Type of Manuals - Objective and Contents 3

Format of a Manual - Technical Points

1-4 5 - 13 14 - 17

4

How to Prepare a Manual

18 - 25

5 Styles of Writing Manual 6 Writing of Procedures Manual 7 Writing of Procedures Manual - Problems, Benefits and uses 8 Advantages and Uses of Manual 9 Objections to Manual 10 Costs of Operating Without Manuals 11 What do manuals achieve? 12 Manual and Computers, ISO 9000 Standards 13 Revision, Review and Implementation of the Manual 14 Procedure from Manual of Organisations and Government Procedure 15 Analysis of Questionnaire on Manual to Companies Specimen of Objective and Contents of Manual Annexure 1" Training Programme conducted by the Author Annexure 2 Annexure 3 Annexure 4 References Index

Questionnaire Form issued to Companies and to the Participants of Manual Programme Article on 'Corporate Manual - the Organisation Bible' by the Author, Published in The Economic Times. Answers to Quiz on 'Organisation Manual

26 - 29 30 - 36 37 -40 41 -42 43 -45 46-47 48-49 50 - 51 52 - 53 54 - 61 62-67 68 -69 70 -71

72 -75 76-77 78 -78 79 -80

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AND OBJECTIVE;==-~=~-~-----DEFINITION AND=RGLE -----'0=

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PURPOSE AND OBJECTIVE A manual is a storehouse of information for use by all employees of the organisation. The authenticity of information is very important for effectiveness,otherwise incorrect information will have disastrous results.The purpose and objective of manual is to assist and guide every . employee ofthe organisation at any level in providing useful information for his benefit and to show the right way to do the work. So long as it inspires its employees to work systematically and efficiently, the objective of the manual will be achieved. A number of man-hours are spent and great care is taken in its preparation and so it will be difficult to challenge any write-up of the manual. Its objective is made clear i.e. to serve the users and not to criticize them and/or the organisation. However, manuals do face challenges from some of the employees, if the write-up is not very clear which create different meanings to different persons. In that case the objective of the manual is defeated. The manual can be regarded as corporate encyclopedia or as a ready reckoner where one can find answers to their specific queries. It contains instructions and information and acts as guidance to users. It shoutd be user friendly and non-controversial - one which can be trusted upon. Reliability is it~. basic purpose and the confidence it creates will be its achievement. It is a tool of communication, training and control. The aim is to educate in working systematically and to lead towards efficieney.A manual is a boon to any organisation and it will remain ineffective ifit is not referred to incase of any conflicting views.The purpose is to communicate to others what they are to do and how they are to do it.

2

How To Prepare and Implement Organisation Manuals

DEFINITION AND ROLE The manual has been defined as : ..0IIII ..0IIII

..0IIII ..0IIII

Any reference book especially one giving instructions, gUidebook, handbook. An orderly collection of written instructions, directions, facts or data pertaining to the affairs and activities of an organisation, business, job or method . A compilation of procedures properly indexed by category for ready reference. An orderly collection of any or all of the following :Organisation charts and/or data, policy statements, procedure details, standard instructions, or standing orders that pertain to the activities ofthe organisation.

The manual's role today in offices is becoming very vital inasmuch as the growth of the business has led to many complicated systems and procedures which are not very easy to understand. The manual helps in explaining various office practices in simple terms and educates the reader. Its role is instructive, informative and explanatory and hence it could be looked upon as a panacea of modern office work. The manual should grow with the growth of the company and it should be reviewed and revised every year to suit the changing patterns of the organisation and its systems and procedures. The experience of many years go into the making of the manual and it takes a great deal of time, thought and endeavour to present the manual to the members of the staff as a text which could truly be made use of by them while working in the office. The utility angle is not to be lost sight of because it is then that the employees would be interested in referring it constantly. The manual has to be made for constant use and digested. It is in a way"Speaking Experience': The understanding of the manual by the members of the staff will not only enrich their knowledge of the company and its activities but will also assist them in their methods of work by indicating procedures and systems outlined therein.lt is only if a procedure is written, understood and practiced correctly in the office that'one best way' of doing the work could be found out. Attempts should be made to make the manual more and more practical, in its application, instructive, informative and tailor-made to suit employees' needs. A Manual is a reference hand-book which contains information and instructions on a particular subject for guidance to all employees of the organisation. It is a hand-book of reference, as any topic on the subject can be referred to, for information and clarifications. It is a guidebook for those seeking guidance for any activity and a ready reckoner for those who need instant information. It remains confidential and within the organisation. It can be called encyclopaedia as it contains all the required information related to that subject at one place. The circulars issued by the company from time to time with regard to rules and regulations, changes in the way of working and other related announcements about policies, programmes and procedures are normally included in the manual with certain modifications to suit the writeup of the manual.lt is a book containing, in a concise form, the principles, rules and directions needed for the mastery of an art, science or skill.

Manual - Its Purpose and Objective, Definition and Role

3

REFERRING THE MANUAL

The role of a manual is to build up confidence of management and staff by working in a systematic and organized way. Having a manual,leads to the process of professionalisation and builds up a good image and respect for the company. It is a media of communicating vital information which is stored and acted upon. I would not say that the manual is omnipotent in the sense that it solves all organizational problems but the manual will certainly assist in smooth and efficient running of the company in outlining in the correct working systems to be followed for each job. It is a tool of 0 & M practice and every organisation should have it. It helps in applying corrective action when things go wrong.

QUIZ ON ORGANISATION MANUAL You may attempt to answer this quiz. Each statement about the manual is either TRUE or FALSE. The right answers to the quiz appears in annexure-IV which will clear some doubts about 'what a manual is:

4

How To Prepare and Implement Organisation Manuals

MANUAL IS 1. A Management Theory. 2. A Reference Book - Source Book 3. A storehouse of information. 4. Not necessarily an ISO 9000 Document. 5. A book of fiction to be read and kept aside 6. An Encyclopaedia giving information. 7. An Advertisement and Publicity media. 8. A projection for future. 9. Company's Memorandum of Association. 10. A Study Report identifying Co.'s problems and giving recommendations. 11. A guidebook - handbook 12. A book specifying company's marketing strategy. 13. A Ready Reckoner. 14. Used for Training. 15. Helpful in taking correct decisions. 16. An Organisation Bible. 17. A plan determining future course of action. 18. An Agenda or Minutes of a company meeting. 19. A book of Market Research findings. 20. A book of rules and regulations.

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There are various type of manuals prepared in various organisations according to their specific requirements. These incl ude policy manual, procedures, induction, office/organisation, public relations, purchase and stores, sales, accounts, personnel, inspection and quality control, maintenance, training,job evaluation, filing, technical, service and other manuals.

DIFFERENT TYPE OF MANUALS

WHICH MANUAL TO LOOK FOR

6

How To Prepare and Implement Organisation Manuals

The company management must be clear as to the type of manual they would like to have and its usefulness. Depending on the subject or the topics to be covered, they will have to decide whether they would like to have one manual or a number of manuals and an elaborate manual or a concise manual. An elaborate manual, out of proportion, will become clumsy and non-operative. Similarly, too concise a manual will also not serve the purpose for which it has been prepared. It is, therefore, necessary to draw a line between two extremes and have a manual which will assist employees to use it frequently. CONTENTS OF MANUAL The contents of any manual depends on what one would like to include in the manual. The contents has to be chosen very carefully, depending on the subject matter. A million dollar question is 'What to include and what not to include in the Manual.' How much details have to be provided and how brief any subject/topic should be, is a matter seriously to be considered. Other important points to be considered are: (i) Controversial matters (ii) Information without any foundation

(iii) Unnecessary, inadequate and irrelevant information (iv) Sentences, paragraphs with different interpretations and (v) Incorrect or exaggerated matter - all these should be avoided while preparing the manual.As there are various types of manuals, the objectives and contents of a few manuals are given below. OBJECTIVE AND CONTENTS: EMPLOYEE INDUCTION MANUAL The objective of this manual is to welcome the new employee in the organisation.This Induction Manual is given to the employee at the time of his joining the company or at the time of his confirmation.This will create in him a sense of belonging to the company and a family feeling about the company. It comprises interesting information about the policies, products and philosophy of the company. It is written in a lucid, personal and friendly style. The contents of this manual are as under: ..0IIII

Message from the company's chairman welcoming the new employee

..0IIII

Brief history of the organisation and its present position in industry

..0IIII

Branches, factories and their location. No. of departments

..0IIII

List of products manufactured and/or marketed in brief and list of services

..0IIII

Personnel policy of the company

..0IIII

Career opportunities, performance and promotion

..0IIII

Employee welfare measures and amenities

Type of Manuals - Objective and Contents ~

Company's objective and structure

~

Working hours and holidays

~

Leave entitlements and rules

~

House magazine, suggestion scheme, sports club

~

Canteen and subsidized lunch

~

Transportfacility

~

Discipline, code of conduct and teamwork

~

What the company expects from its employees

7

OFFICE/ORGANISATION MANUAL The objective of this manual is to give information about the organisation as a whole so as to understand its structure, policies, programmes and procedures operating within the organisation. It gives an overall picture ofthe organisation as it exists, with a view to making changes as and when they occur. The contents of this manual are as under: ~

Organisation structure ofthe Company

~

Company Policy

~

Code of conduct

~

Business of the Company

~

Departments and theirfunctions

~

Branches

~

Job description of various positions in the Company, authority and responsibility

~

Salary grades

~

Staff welfare measures and amenities

~

Working hours,holidays and leave rules

~

Relations: Head office, factory, branches, agents/stockiest, supplier, customer,shareholders and employees

~

Union and Company management relations

~

Systems and procedures operating in various departments

~

Forms in use and their significance

~

Management development and training

~

Public Relations and House Journal

~

Library.

8

How To Prepare and Implement Organisation Manuals

SYSTEMS AND PROCEDURES MANUAL The objective of this manual is to describe step by step all the procedures operating in various departments for easy understanding and implementation of the same. This is one of the most important manuals, as it lays down the correct procedures to be followed by employees and makes them aware ifthere is any deviation from the laid down standard procedures.This manual will also include specimen of various forms used in the organisation with explanations of certain important forms, where necessary. The style of writing the procedures is important. It should be simple and easy to understand and follow.There should be no ambiguity about written procedures.The procedures could be descriptive or non-descriptive and brief. It is advisable that no steps of any procedure be omitted, as it will not achieve its goal of'complete' procedures.The procedures in the manual will act as a guideline to work in the right and systematic way. The contents of this manual are as under: ..0lIl

Introduction and importance of this manual

..0lIl

Objective

..0lIl

Department functions: Production, Marketing, Finance, Personnel, Purchase, Stores, Secretarial and Legal

..0lIl

Routine procedures of various departments

..0lIl

Style of writing procedures and its benefits

..0lIl

Forms and their uses in procedures

..0lIl

Specimen of important forms and their explanations .

..0lIl

Deviations from written procedures

..0lIl

Introduction of new procedures

..0lIl

Procedure modifications and revision

..0lIl

Problems of non-implementation

..0lIl

Uses and benefits of Procedures manuals

PERSONNEL MANUAL The objective of this manual is to describe the policy, functions and procedures of the Personnel Department as well as authority and responsibilities of various category of employees. Controversial matters between the Management and Union will stand clarified in the manual, which is usually referred to in case of misunderstandings or disputes. Personnel Manual will provide answers to various questions which might arise in the minds of employees. Circulars issued by Management from time to time for the information of employees will find its place in the manual.

Type of Manuals - Objective and Contents

9

The contents of this manual are as under: ~

Introduction - Brief history and business of the Company

~

Company's objective

~

Personnel functions

~

Company's organisation structure

~

Personnel policy and its organisation structure

~

Job descriptions,authority and responsibilities of executives/officers and other designated positions

~

Departments: Recruitment and Placement, Establishment,Time Office,Security - Watch and Ward, Wage and Salary Administration, Medical wing, Training, Labour Welfare, Canteen, Library,Transport, Sports, Industrial Relations

~

Discipline and disciplinary action, union matters

~

Standing orders, labour legislation/Acts.

~

Systems and Procedures of Personnel Department

~

Welfare schemes

~

Leave rules, hours of work, holidays

~

Promotion and transfers

~

Retirement, resignation, termination of service

~

Exit interviews

~

Safety and accident prevention

~

CO.ntract labour, Casual labour

~

Cleanliness and maintenance

~

Communication:Telephone, Telex, Fax, Inter-com, E-mail, Internet

TRAINING AND DEVELOPMENT MANUAL The objective of this Manual is to give information about the Company's plans and policies for training and development of their employees at various levels. Developing skills and performance of employees is a continuous process. Different types of training programmes are organized by the management which are suitable as pertraining needs of the participants. Employees benefit considerably by undergoing these programmes which increase their effectiveness. The contents of this Manual are as under: ~

Introduction and objective

~

Training and Development policy, Training Budget

~

Objective of various training programmes

~

Training needs of various category of employees

10 AlII

How To Prepare and Implement Organisation Manuals

Type of programmes: management, technical, functional, refresher and orientation

Organising the programmes: Preparation of programme material, brochure detailing the programme,selecting the faculty,deciding about the venue,lunch,tea and snacks, training aids-equipments required, type of seating arrangements,duration and timing of lectures, number of participants/employees for the programme and the type of participants, methodology AlII Programme feedback form AlII

AlII

Programme evaluation and review

AlII

Costs of the programme

AlII

Sponsoring candidates to outside programmes organized by management associations, productivity councils, chamber of commerce and other agencies

AlII

Implementing the ideas generated from the programme

PURCHASE AND STORES MANUAL The objective of this manual is to describe purchase and stores functions, policy and procedures. It will give information about terms and conditions of purchase of material.The emphasis will be laid on right quantity, quality, price, source and time factors for material purchase and storing them securely. The contents of this Manual are as under: AlII AlII

Introduction and objective Purchase and Stores Departments' functions, policy and procedures

Terms and conditions of purchase AlII Negotiations with suppliers AlII

AlII

Placing the Purchase Order

AlII

Receipt of goods

AlII

Inspection and rejection

AlII AlII

Issues of material Kardex records and control

AlII

Inventory control methods

AlII

Stocks verification

AlII

Storage equipments, security/safety of goods

AlII

ABC analysis

AlII

LIFO and FIFO methods

Re-order levels AlII JIT purchase of stores material AlII Co-ordination with Purchase, Stores, Accounts and Suppliers AlII

Type of Manuals - Objective and Contents

11

... Material handling ... Purchase costing ... Purchase Plan and budget

NO. OF VOLUMES OF A SINGLE MANUAL STORES AND PURCHASE MANUAL

1. Where to look for a particular information? 2. If properly indexed with headings and sub-headings, required information will be available quickly

SALES MANUAL The objective of this Manual is to give information about the Company's sales policy and procedures to be followed by the sales executives and their departmental staff.The Manual will assist sales representatives to perform their jobs in the right way especially in dealing with customers. The contents of this manual are as under: ...

Introduction and objective

...

Company's sales policy

...

Structure of the Sales Department

12

How To Prepare and Implement Organisation Manuals

.AI

Company's products with brief description

.AI

Dealing with customers

.AI

Building customer relations

.AI

Booking the order

.AI

Terms and conditions of sale

.AI

After sales service and guarantee

.AI

Sales procedures

.AI

Agents, stockists, dealers - their role

.AI

Sales representative's role and training

.AI

Export orders and procedures

.AI

Advertisements and display

.AI

Planning sales itinerary

.AI

Sales budgeting and pricing

.AI

Demonstration and samples

.AI

Expenses statement and re-imbursement

.AI

Sales bulletin, monthly Sales Report

.AI

Sales literature,leafiets, pamphlets

.AI

Market Research and surveys

.AI

Public Relations

ACCOUNTS AND FINANCE MANUAL The objective of this Manual is to lay down policy ad procedures of accounts and finance matters to achieve proper control over company's funds. This is a very important function and is given priority over other functions as it gives information about company's income, expenditure, profit or loss. The company is able to take decisions based on availability of figures from the Accounts and Finance Department. The contents of this Manual are as under: .AI

Introduction and objective

.AI

Company's financial policy

.AI

Maintenance of books of accounts

.AI

Finance budget

.AI

Financial Accounting

.AI

Cost Accounting

.AI

Management Accounting

Type of Manuals - Objective and Contents

13

.1l1li

Cash and petty cash

.1l1li

Cash flow and funds flow

.1l1li

Investment of funds

.1l1li

Internal audit

.1l1li

Annual audit

.1l1li

Trial Balance, Trading, Profit and Loss Account and Balance Sheet.

.1l1li

Accounting terms and their explanation: Depreciation, Reserves, Provisions, Contingent liabilities, Suspense Account, Preliminary Expenses, Bad and Doubtful Debts, Gross Profit and Net Profit, Fictitious Assets, Capital and Revenue Expenditure, Assets and Liabilities

.1l1li

Power of Attorney and authority to sign cheques

.1l1li

Bank Accounts

.1l1li

Receipt and payment procedures

.1l1li

Functions of the Accounts Department

.1l1li

Income Tax and Sales Tax matters

.1l1li

Payment of salaries, wages and deductions therefrom

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The format of a manual has to be attractive and impressive so that any user would welcome to handle the same. Manuals have different sizes and shapes depending on various technical aspects. Format is the design of the manual's pages for positioning of information which includes such details as the binders, dividers, numbering system and organisation of table of contents and indexes. It is the physical framework within which information is available. BINDER Binder is a thick cover for preserving manual papers. There are different types of binders used by companies for their manuals and they are: Ring Binder: Here the pages are punched having loose leaf arrangement.This is the most common and acceptable binder where it becomes easy to add more pages as well as to remove any pages without disturbing or damaging other pages.The ring binder has a screw at both the punched holes which can be removed while pages are added or removed and can again be screwed back to hold the manual in a comfortable position. Clip Binder: This is used where clips can be joined to hold the papers and can easily be opened by single touch of fingers to add or remove papers and can easily be closed. The punching of holes in papers will be necessary to make it a loose leaf binder. Another type of clip binder is like a file where the clip is used to hold papers which are not punched with holes. However, if the clip is not strong, papers will fall out of the clip binder. Permanent Binder: This binder is used where there are no additions or removal of any pages. It is like a bound book which is of permanent nature. Grip Binder: This binderis kept in a folder where the papers are punched with holes and are put together by inserting clips from one side, and inserting small copper circular rings

Format of a Manual - Technical Points

15

into the clips and widening the clips to touch the papers to hold them together and remain secure.These bounded papers with grips are put in a folder. By removing rings and clips,one can add or remove papers without difficulty. The binder size has to be slightly bigger than the paper size so that no papers come out from the binder.The papers will remain in good condition and will have enough space when they are turned around. To choose an appropriate binder is important from the user's point of view. Ease of use will encourage use. If the binder is complicate to use, it will become difficult to keep the manual up-to-date.

PAPER SIZE AND TYPE The paper size normally preferred for the manual is quarter 114th size which is acceptable size by the companies preparing manuals. There is an A4 size i.e. 297 mm by 210 mm which is 11-3/4"by 8-114"- both these sizes can be procured or cut without any wastages.The bigger foolscap size will be an odd size for the manual as it will resemble a file containing papers. Besides, special size papers will increase cost. The type of papers used is white glazed bond papers which are strong and which can last for a number of years. Other inferior quality papers, though cheaper, will not last long and will not create a good impression.

MARGIN The margin has to be kept on all the four sides of the paper. Generally, margin on the left side of the paper should be 1-1/2':on the right side 1':on the top 1"and atthe bottom 2':This will give uniform appearance.

PARAGRAPHS NUMBERING It has to be decided whether the pages of the manual should be serially numbered or whether the paragraphs should be numbered for locating any topic. Both, pages as well as paragraphs need not be numbered together because it will create complications when some pages are added or removed, and so the sequence will not be maintained. In case of numbering of pages, they will be serially numbered. If two pages are deleted and removed, say page nos. 37 and 38, the running sequence of numbers will not include these numbers. And so a list of such page numbers be made out and appended atthe beginning of the manual so that it becomes clear that those pages which have been removed are not really missing. However, ifthree pages are added in-between the pages say 45 and 46, those three pages will be given numbers,45 A, 45 Band 45 ( thus maintaining the sequence 45, 45 A, 45 B,45 (,46 ..... and so on.

16

How To Prepare and Implement Organisation Manuals

Instead of pages, paragraphs could be numbered.There are various methods of numbering as shown below. Any of these methods could be adopted. For example, suppose there are 1,000 paragraphs of a manual, from the beginning till the end. The numbering can start serially with nos. 1,2,3,4,5,6,7,8,9 ...... upto 1,000. This is the simplest way and for additions and removal/deletion of paragraphs, the same method as that of page numbers could be followed. Other paragraph numbering methods are: 1.1, 1.2, 1.3, 1.4, 2.0,2.1,2.2,2.3,2.3.1,2.3.2,2.3.3,2.3.4,2.4,2.5,2.5.1, 2.5.2, 2.6, 2.7 and so on. 1,2, 3,4, 4A, 4B, 4C, 5, SA, 6, 7,8, 8A, 8B, 8(' 8D, 8E, 9, 10, 11, 12, 12A, 12B, 13, 13A and so on. Al,A2, A3,A4, Bl, B2, B3, B3.1, B3.2, B3.3, B4, 84.1, B5, B6, B7, B7.1, B7.2, B7.3 and soon. COLOUR Coloured papers cost more and should be used only where necessary. Charts, graphs and diagrams may be shown in colour for better effect. Normally,good quality white papers are used for manuals and not necessarily coloured. PRINTED OR TYPED a manual has to be typed or printed. Inasmuch as pages have to be removed or added periodically, it is advisable that the pages are electronically typed or data fed into the computers and print out taken. DTP is also used for different size of alphabets for heading, sub-heading, highlighting important points etc. CHARTS, GRAPHS, DIAGRAMS Wherever applicable, photos, charts, graphs and diagrams should be incorporated in the manual for easy understanding of data provided. Explanations and illustrations also help in understanding. NAMING THE MANUAL What name should be given to the manual? The name of the company will appear on the top or at the bottom. The name of the manual will appear in the centre e.g. Personnel Manual or Manual for Supervisors or Organisation Manual and so on. The name selected must be appropriate to the contents of the manual.The same wordings will appear on the first page of the manual with the date when prepared, and by whom prepared. For example, the Company's manual may have been prepared by an outside agency/consultant or by the company's Management Services Department, a & M or Industrial Engineering Division.This name must also appear on the first page of the manual so that due credit is given to them for preparation of the manual.

Format of a Manual - Technical Points

17

CHAIRMAN'S MESSAGE At the outset, the Company Chairman's message will have to be included in the manual. It will focus attention on the scope, importance and usages of the manual.The message will make the objective very clear and will lay stress on implementation of the manual.lt will also invite suggestions from executives and staff for further improvement of the manual. The chairman'S message will answer the million dollar question - 'Why the Company's Manual?'

ENCLOSURES Some manuals have enclosures/annexure at the end, either attached with the write-up or kept in pockets attached to the manual. Specimen forms of companies are generally kept in those pockets, if they are not too many and those which are important which require explanations, for ready reference.

INDEX The key to a usable manual is in the method of indexing its contents. The indexing of the manual must be accomplished with the manual user in mind.The index must include all the important topics which would normally be referred to. The index will be prepared in alphabetical order showing the main topic/subject and underneath sub or related topics. Against the topics will be shown the page numbers or paragraph numbers, as the case may be. It will, therefore, be easy for anyone to refer to any of the topics against those page or paragraph numbers. The index of the manual will appear at the end of the manual.

NUMBER OF COPIES AND DISTRIBUTION When a manual is prepared, the question will arise as to how many copies will be required to be made.That depends on the management to decide.The management will have to find out, who are the persons who will use the manual frequently, who will need it for information and/or reference purpose and for staff training. Normally,each Department Head, Managers and top management personnel must have a copy of the manual. This will help them in systematically organizing and controlling their departments. Dovyn the line, for subordinates, the manual copy is not necessary to be given. However, only the relevant portion of the manual may be given to them for understanding their own activities, responsibilities and to follow correct procedures. As the manual is confidential, distribution of the same must be done carefully. For the purpose of reference, the manual has to be made available to the concerned staff members.

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Preparing a manual is an art by itself and a specialized job as it entails certain skill,qualifications and experience. The persons selected to write the Manual could be an outside agency or a consultant or company's own 0 & M Officer, Industrial Engineer or an officer from Management Services Division who has management background and a broad-based knowledge of the company's various Departmental functions and activities. The person preparing the Manual must have the following qualities: ... Good command over the English language so as to use the right words to communicate. ...

An analytical mind to write and judge the meaning of what is written. A questioning mind helps in getting the required information from the persons contacted. ... Clarity ofthought and expression is necessary to give the right meaning to what is written in the Manual. ...

Understanding of the legal implications of the subject matter is essential to avoid legal problems which may arise later in view of different interpretations of the same words/ sentences, giving rise to ambiguity.

...

Proper grasp of the subject of the manual and its various topics which should reflect in writings and assist in making the manual effective.

... Discrimination of the information/data from the point of view of their inclusion or noninclusion in the Manual as well as taking right decisions with regard to variations in meaning of the write-up. ... Sustained interest in preparation of the manual to achieve excellence in writing the manual. ... Effective and systematic presentation ofthe contents of the manual with a lively writing style to create interest of the readers.

How to Prepare a Manual

19

IDEA AND READINESS Idea of having a Manual springs in the minds of company management as they visualize a number of benefits therefrom.The management may have seen some other manuals of some companies or may have had discussions with other companies' personnel and with their own executives. They then get ready to take up this project of manual preparation. Once the decision is taken, an outside agency/consultant or persons from within the organisaiton are selected to handle this project. A cost and benefit analysis is made and the starting time and completion time is fixed after assessing the total time required for preparation of the manual. The entire manual project is thoroughly discussed with concerned persons and an 'Action Plan' is drawn which is carefully monitored for its execution.

MANAGEMENT OBJECTIVE First of all the objective of the manual has to be clearly defined and approved by the management. The following are the usual objectives of preparation of a manual. .... To give all the related subject information at one place in sequence. .... To train the employees in following the correct methods of working. .... To give correct interpretation of complex matters. .... To serve as a ready reckoner. .... To assist employees in obtaining the information they need from the manual. .... To serve as a guidebook, encyclopaedia. .... To create awareness in systematic working. .... To create a professional image about the Company.

FORMAT, STYLE AND CONTENTS Format is the design of manual's pages of positioning of information. In addition to the page design, format includes such details as the binders, dividers, numbering system and organisation of table of contents and indexes. Format means manual's shape and size which should be attractive and handy. The format will be ascertained after obtaining different viewpoints. Attractiveness, easy to follow, interesting and informative are some of the considerations which should not be overlooked. The style of writing means the way you write Le. the arrangement of words in phrases and sentences, and choice of words. It is necessary to decide the style of writing the manual, beforehand.There are different styles e.g. descriptive, concise, informal, play script and so on. The contents of the manual has to be decided to meet the objectives. Discussions with the Heads of the Departments will help in drawing out a broad outline of the contents. These

20

How To Prepare and Implement Organisation Manuals

could be changed, if required, while writing the manl!al. Certain additions or deletions may be considered in the process of writing/preparing the manual. What to include and what not to include in the manual is a million dollar question. Inclusion of certain topics such as bonus payment, credit policy, loans and advances to employees, workmen and staff dismissals, if not correctly and clearly written in the manual, may create controversies. Similarly, non-inclusion of certain topics such as, welfare schemes for employees, customer care, management philosophy, company's achievements and awards, will keep the readers unaware of these topics and they will remain ignorant about these matters. . How far each topic is to be elaborated also depends on a number of factors which include sensitive issues, exaggerated, biased/prejudicial or controversial matters, saying half-truths and procedural matters. Some manuals run into hundreds of pages and volumes while some are brief and to the point. If the manual is prepared with more and more details running into a number of pages, it s possible that very few will read the entire manual and some may not even read or may not find time to go through the manual.So the manual may remain on the shelf-never to be used again.

COLLECTION OF DATA/INFORMATION It is essential to have discussions with concerned executives to collect and write down the required information for the type of manual which is under preparation. The required information may be given in writing by the executive which could be job description, departmental functions and procedures etc. Supporting forms, circulars, statements and reports may be required for making the information total, it has to be scrutinized and arranged in sequence topicwise and then a draft will be prepared by the manual writer taking into consideration legal implications of the matter, if any.

LEGAL IMPLICATIONS A Manual is an authentic record of the Company's/Department's working with policies and objectives. It is, therefore, necessary that proper care is taken in drafting of sentences and paragraphs.There may arise some legal problems if the meaning is not clear and controversial with different interpretations. Especially, when certain issue crops up between the management and the Union, the manual becomes the authentic record which is cited in support of their views. Sometimes, the issue may go to the Court of law, in which case again, the Company's Manual is referred to. This does not mean that the manual is always seen from the legal point of view, but reasonable care has to be taken keeping this aspect in mind while writing the manual. Sometimes, this is overlooked.

How to Prepare a Manual

21

WRITER AND READER - MEANING DIFFERENCES As stated above, it is necessary that proper care is taken in drafting of sentences and paragraphs in the manual to avoid meaning differences. A fewexamples are given below of wordings,sentences which when read will given one meaning, which when revised and rewritten will give the right meaning which the writer wants to convey to the readers. These examples are not necessarily taken from manuals. 1. Current wordings :"The quality of our products will be upgraded." Comment: This may mean that the quality of our products is not good. Revised wordings : "The good quality of our products will be further upgraded."

2. Current wordings :"In view of recession, it is proposed that the prices of all our products be reduced by 10%. The decision will be taken in due course." Comment: Here, the inference is that the prices will be reduced by 10% and taking that decision is only a formality. Revised wordings: "In view of recession, it has been decided after discussions, that the prices of all our products be reduced by 5% only with immediate effect." . 3. Current wordings:uln view of financial crunch faced by the Company, it is proposed to introduce voluntary retirement scheme for employees." Comment: This may mean that all employees are covered by VRS. Which employees, is not clarified. Revised wordings :"In view of financial crunch faced by the Company, it has been decided to introduce VRS for only B Grade employees." 4. Current wordings:"The workmen will be entitled to one month's wages as bonus, if the Company makes profit." Comment: It may be construed here that workmen will be entitled to one month's bonus even if the profit is very low. They will naturally demand bonus. Revised wordings: "The workmen will be entitled to one month's wages as bonus, if the Company makes gross profit of Rs. 5 crores or above." S. Current wordings: "When you make payment, ask for a recei pt." Comment: This may be interpreted as, someone saying, that he had asked for the receipt, but did not get it. . Revised wordings :"When you make payment, you must insist and obtain the receipt from the party immediately." 6. Current wordings:"The quantity of material received must be first taken into stock and then issued." Comment: It means that any material received whether being rejected or not, must be taken into stock and then issued. Revised wordings : "The quantity of material inspected and accepted only must be taken into stock before issuing the same."

22

How To Prepare and Implement Organisation Manuals

PERSONNEL INTERVIEWS/DISCUSSIONS It is necessary to hold discussions with the persons concerned at various levels for gathering facts/information and checking the same about the subject matter. Head ofthe Department must spare time for discussions with persons preparing the manual. Co-ordination and cooperation of the employees will assist in adherence to the time schedule.The person writing the manual will also give his viewpoints with regard tb the inclusion or non-inclusion of certain topics, or shortening or lengthening of data/information. However, this could ultimately be decided in joint consultation with the management. Collection of data/information, charts, graphs, tables, diagrams and illustrations will be necessary for easy explanation and understanding of various topics. These charts etc. will give a clear picture at a glance which will be easy to follow.

MANUAL WRITER INTERVIEWING INCLUSION VS. NON-INCLUSION It is very important to come to a final decision about inclusion or non-inclusion of certain topics/details in the Manual. This should be considered from the point of view of readers who are employees who are directly concerned with what is stated in the manual.A line of demarcation has to be drawn while preparing the manual so that the writer of the manual is clear in this matter. While writing and/or re-writing, the earlier decision could be changed, if one is convinced of the subsequent decision. However, there has to be a full stop somewhere about the matter written in the manual as it cannot go on changing again and again as the thoughts change.

How to Prepare a Manual

23

PREPARATION OF DRAFT The Manual is required to be drafted first, discussed, revised and edited before it is finally ready. At the draft stage, number of words, sentences and even paragraphs can be revised and re-written for giving a clear meaning to what is intended to convey. The draft is prepared chapter by chapter. Under each chapter heading, all related topics are arranged and put together under different sub-headings.The draft is shown to the Dept. Head/Officer concerned who will go through the same and suggest any changes required. The writer will discuss those changes and may suggest his point of view. Accordingly, the changes will be made, where necessary. However,changes cannot be made endlessly, otherwise the whole project of manual preparation will be delayed.

DRAFT CHECKING Once the draft of a chapter is ready, it is necessary to check the same and make corrections, where necessary. This draft of the chapter will be submitted to the respective executive for his perusal and approval. Some changes may be suggested by the executive to the manual writer.The changes may be considered by the writer.These may be discussed before they are incorporated in the manual chapter. The revised chapter will be finally edited by the writer and submitted to the same executive for final approval. No further changes should be made once the final approval has been obtained. This is so because many-a-times the write-up of the manual chapter passes on to various executives/officers who also make corrections in the draft and that process may go on endlessly.The author had this experience while preparing a manual of one of the companies. Correction and re-correction or revising the matter oftentimes will delay the publication ofthe manual. Once a chapter is over, in the same way other chapters-topicwise will be written,edited and approved for publication.Thereafter, the entire manual will be ready for printing.

FINAL DRAFT - EDITING Once the changes are incorporated in the draft manual, it has to be edited.The editing part of the manual is very important as it is here that the final corrections/changes are made and shown to the management before it is printed.

PRINTING Manual may be given to outside agencies for printing. They are to be instructed regarding type-set, paper size, paragraphing, charts, graphs, margin, paragraph/page numbering etc. The manual can also be printed on company's computer,electronic typewriter, DTP for better visual impression. The management may decide how to bring out the manual as also the number of copies required to be printed.The decision will be based on cost factor and easy handling/reference value of the manual.

24

How To Prepare and Implement Organisation Manuals

MANUAL PREPARATION OF AN ORGANISATION FLOWCHART IDEA

I DISCUSSIONS WITH COMPANY EXECUTIVES

I IDEA ACCEPTANCE AND DECISION MAKING

I AalON PLAN-COST ESTIMATE ANDTIME DURATION

I APPOINTMENTOF A MANUAL WRITER

I DEFIINE OBJEalVE

I DECIDE FORMAT, STYLE AND CONTENTS

I INTERVIEWS, DISCUSSIONS, WITH CONCERNED PERSONS DEFINING MANUAL'S OBJEalVE

I CONTO.

25

How to Prepare a Manual

I INFORMATION AND DATA COLLECTION

I DRAFT PREPARATION

I DRAFT CHECKING BY EXECUTIVE

I ADDITIONS, DELETIONS, IFANY

I FINAL DRAFT, EDITING

I MANAGEMENT ACCEPTANCE AND APPROVAL

I PRINTING

I MANUAL READY

MANUAL IN COMPUTERS

It will be a policy matter to decide whether the company wants to store the manual in computers which will be helpful as a visual display unit. Control of various information, its security and confidentiality will also have to be considered. The stored information in the computer will be accessible to those concerned employees. But care will have to be taken to guard against its unauthorized use. It will be necessary to spend sufficient time on computers for any data/information required. Print-outs may be taken out easily where necessary and sometimes more and more print-outs have to be taken for taking necessary action.

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The manual must follow a consistent style of writing.There must be a smooth flow of language which could be easily understood.The style includes the manner of presentation, conviction and simplicity. It is the arrangement of words in phrases and sentences and the choice of words to be taken care of while writing. There are a number of styles of writing manuals. They are (1) Descriptive (2) Playscript (3) Concise (4) Simple and easily understandable and (5) Informal.

DESCRIPTIVE STYLE Descriptive style is written in Instruction Manuals of certain industrial products,equipments and machines where their operation and use is elaborated fully for the benefit of the user. This style is also used in respect of other manuals where detailed information is required. A specimen of this style is given below:

1. Identity Cards The Identity Card will be issued to all employees of the company for their identification and security reasons. The Identity Card will have the name of the employee, ticket number, employee's photo, his address and his designation/department ofthe company.The Identity Card will have the Company's logo and signature of the employee. All the employees are required to carry Identity Card with them everyday and show the same to the Security Officer at the entrance of the office/factory while entering. The employees will be required to show their Identity Card to the security officer on request. In the event of loss of Identity Card by the employee, the security officer must be informed immediately

27

Styles of Writing Manual

so that a new Card could be issued without delay. The procedure for the issue of the new Identity Card can be known from the Human Resources Department. Accordingly, the employee will have to fill up a Form for the issue of a new Identity Card duly signed by him and authorized by the Dept. Head.

2. Suggestion Scheme The Company has started a Suggestion Scheme with effect from January 1, 2004 for its employees.The objective of the scheme is to reward employees for their practical and useful suggestions which could be implemented by the company. The suggestions could be for cost reduction, procedure simplification, work reduction, increase in efficiency and productivity, monetary savings, reducing delay or any other suggestion which will help the company towards increasing productivity and profitability. Suggestions received from employees will be judged by the Chief Executive Officer, Dept. Head and HRD Manager and arrive at a decision whether to accept the suggestion or not. If accepted, the said employee will be called for discussion to enable him to explain the outcome of his suggestion, when implemented. If the suggestion is of merit, the 3 officers mentioned above will decide the amount of cash award/reward to be given to the employee.

PLAYSCRIPT STYLE Playscript style is normally used in writing procedures. Procedures are written in brief. First of all, the name of the department is mentioned from where the procedure originates. The person who follows the proced ure and does an activity one after the other, step by step, and in sequence - his designation is mentioned so that it is clear that he performs these activities. Once the procedure ends in one department, it may continue in another department with the person of that other department, and so on. One can easily grasp and master the procedure, if it is written in a playscript style. A specimen of this style is given below:

SALES DEPARTMENT Salesman

-

Prepares voucher for reimbursement of weekly conveyance amount Mentions full particulars of expenses incurred with dates and amount Signs the voucher Sends it to the Sales Manager for sanctioning the amount

Sales Manager

-

Receives payment voucher

-

Scrutinises the same Sanctions the amount for payment, if found o.k. Signs the voucher Returns the voucher to the Salesman

28

How To Prepare and Implement Organisation Manuals

Salesman

-

Receives the voucher duly signed

-

Goes to the Cashier to receive payment

Cashier

Receives voucher from the Salesman -

Checks the amount to be paid Makes payment of the voucher amount to the Salesman Receives cash payment towards reimbursement

Salesman

PETTY CASH DISBURSEMENT: PROCEDURE Originator

Fills Petty Cash Voucher form with the following: Pay to, Date, Location, Account Code, Expense details amount -

Attaches supporting documents

-

Obtains authorization of Superior

-

Obtains authorization of Accountant

Accountant

-

Verifies Accounting Charges and returns to Originator

Originator

-

Submits to Cashier for payment

Cashier

-

Verifies authorization and amount, and pays Ensures that date of voucher and date of payment are same -

Obtains signature of Originator signifying receipt etc.

CONCISE STYLE Any information to be given may be given in a concise/brief style in the manual so that it becomes easier to understand when referred to in the manual.Concise style covers essential and relevant points as described below.

1. Job description of a stenographer .. To type letters, statements, circulars, reports etc. .. To take dictation ..

To maintain files and files papers

..

To indent for stationary required.

2. Job description of a clerk in Goods Dispatch Section ..

To prepare daily Dispatch Report

..

To enter Dispatch Report in the Goods Dispatch Register

..

To arrange trucks for loading of material

..

To arrange and check shifting of material within the factory

..

To enter, material shifted, in the Register

..

To pass delivery orders

Styles of Writing Manual

29

3. On Punctuality As an employee of the company, you are expected to be punctual in arriving in the office and also be punctual in attending to your office work when lunch time is over.

Note: It is not necessary to mention the office timings and lunch timings as these timings are known to the employees as mentioned in the manual.

SIMPLE AND EASILY UNDERSTANDABLE STYLE For any type of manual, the style of writing has to be simple and easily understandable.This is necessary as the meaning has to be clear and not ambiguous.

INFORMAL STYLE This is a friendly and non-official style. Normally, Induction Manuals are informal which appeals to the new employee and he feels a sense of belonging to the organisation. Example: (Induction Manual) As you have joined this company, you are on the threshold of a promising career with bright future.You are one of the family members of the company to work in a team with co-operation. You need not hesitate to bring forward your work problems to your boss who will guide you in solving those problems. We work as a family and in the right spirit to achieve our goals with your continuous support.

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Procedure is a sequence of operations of an activity in an organisation. It prescribes in writing a course of action by which an objective or a purpose will be realized.The objective of written procedure is to prescribe methods of accomplishing sound management and assuring of economic control over non-procedural formalities. A small company may not feel necessary to have formal procedures or Procedures Manual.Whilea larger organisation could not operate effectively without formal procedures or Procedures Manual. Written procedures help to integrate diverse functions of all departments/divisions in such a way that an employee can follow the same easily. Good procedures provide direction and stabilization as well as basis for improvement in operations. However, management recognizes that procedures are not the solutions to all problems. For introduction of any new procedure, its need mustbe carefully analysed and evaluated, otherwise it will not serve the purpose. Procedures are needed to eliminate confusion, and get people working together in an organised way. Procedures work best when they are based on the actual experience of the personnel involved. It has been a normal practice that procedures are followed before a particular action is taken;otherwise formulating various procedures is meaningless. However, in exceptional cases, it happens that certain action is taken before the procedure and the procedure is followed subsequently. For example,a Purchase Order will be issued after receipt of the material from the supplier. Without any procedure/procedures, the day-to-day activities in organisations will lead to chaos and confusion.

Writing of Procedures Manual

31

Descriptive and Playscript styles of writing procedures are shown below:

PROCEDURE - DESCRIPTIVE STYLE Bill Passing Procedure

Bills will be received from the party for amount due. They will be sent to the concerned department. The concerned dept. clerk will check the bill with Purchase Order for quantity ordered and rate, Goods Receipt Note and Challan with the quantity received and Inspection Report for the quantity inspected and accepted or rejected. After checking the bill, it will be sent along with the documents viz. Purchase Order copy, G. R. Note/Challan and Inspection Report duly signed and passed to the Accounts Dept. for making payment against the checked bill. The Accounts Dept. will receive the bill duly passed along with the relative documents for their scrutiny. The Accounts clerk will check all particulars of the bill with the supporting documents and pass the bill with his signature, if found o.k. He will then prepare a voucher in the name of the party and the amount due against the bill duly checked. The payment voucher will be signed by him and sent to the Accountant, for authorizing payment of the bill amount, along with the relative documents. The Accountant will check the voucher, bill and the relative documents and will sign the voucher authorizing payment. He will send the voucher, bill and the documents to the clerk for preparing the cheque. A cheque will be prepared by the clerk for the amount mentioned in the payment voucher, in the name of the party. The cheque with all the relative documents will be sent to the authorized signatory/signatories of the cheque for signatures. The Signed cheque will be dispatched to the party by the dispatch clerk. Note: The above is only style depicting the descriptive style.lt is not to discuss whether the procedure is right or wrong.

PROCEDURE - PLAYSCRIPT STYLE Playscript style is a style of writing procedures adapted from scripts written for plays where players come and perform their part one after the other as in a drama. One person speaks his dialogue and the other person joins in the dialogue. A third person also may make an entry in the scene and speak his dialogue and so on. Similarly, playscript is the name derived from the script written for a play/drama where artists/players perform their role. Playscript style of writing procedures of various departments in an organisation is the best style for its brevity, clarity and sequential steps which can be mastered by an employee easily. While conducting study of existing procedures in an organisation, procedures written in a 'playscript style' considerably helps in understanding various operations step by step and taking decisions for eliminating some of the steps and/or introducing some other steps for making the procedures more effectively controlled. This study is a part of Organisation and

32

How To Prepare and Implement Organisation Manuals

Methods study which also helps in time study of various activities. It will become easy to compare the procedural steps of any activity being performed/practiced in any organisation with that of laid down procedures in the Manual.Any deviation either way will come to light, and necessary steps could be taken to streamline procedures. Some playscript style procedures are stated below:

BILL PASSING PROCEDURE Purchase Department Clerk

-

Receives Bill

-

Checks with Purchase Order for quantity ordered, Challan and G. R. Note for quantity received and Inspection Report for quantity accepted

-

Attaches these documents to the Bill

-

Puts rubber stamp on the Bill for having checked the Bill

-

Signs the Bill

-

Sends it to the Accounts Dept.

Accounts Department Clerk

Assistant Accountant

Accountant

-

Receives Bill together with relative documents

-

Verifies the Bill

-

Prepares voucher for amount payable

-

Signs the same

-

Sends it to the Assistant Accountant

-

Receives the Bill, voucher and relative documents

-

Verifies the Bill and the payment voucher

-

Passes the Bill, if found o.k.

-

Signs the bill and payment voucher

-

Sends voucher, Bill and the attached documents to the Accountant

-

Receives the Bill with payment voucher

-

Scrutinises the same

-

Puts his rubber stamp on the voucher

-

Signs the voucher authorizing payment

-

Sends the Bill, voucher and relative documents to the clerk for preparing the cheque

Writing of Procedures Manual

Clerk

33

-

Receives voucher, Bill and documents

-

Prepares the cheque in the name of the party with the amount due mentioned in the voucher

-

Sends the cheque with the relative documents to the authorized signatory, Chief Executive Officer

Chief Executive Officer

-

Checks the cheque with the voucher and Bill amount

-

Signs the cheque Sends it for dispatch

Note: The above is a playscript style which is simple and easily understandable. This Bill passing procedure may differ from company to company. MATERIAL ISSUE PROCEDURE Maintenance Department Clerk

-

Prepares Material Requisition in 2 copies

-

Puts the date and initials the same Sends one copy to Stores for material required Retains one copy. Files it

Stores Department Clerk

-

Receives Material Requisition

-

Checks material required with stock position

-

Initials the same

-

Issues material to Maintenance Department

-

Enters quantity of material issued in the'lssue' column ofthe Kardex Card

-

Files Material Requisition in a box file.

SENDING ENQUIRIES PROCEDURE Purchase Department Purchase Officer

-

Receives Indent from Stores

-

Checks the same Asks for clarifications, if necessary Obtains clarifications

-

Prepares Enquiry with name and addresses of approved suppliers

-

Signs Enquiries

How To Prepare and Implement Organisation Manuals

34

-

Sends Enquiries for typing

-

Receives 2 copies of Enquiries duly typed

-

Checks same

-

Signs them Sends one copy to Dispatch Section

-

Retains one copy in the box file

PROCEDURE - SEQUENCE OF OPERATIONS As each procedure has a number of operations to perform, each company evolves its own procedure for purchase, sales, receipts and payments etc. So the procedure differs from company to company. However, normal routine procedure followed for purchase, stores and sales is given below. Routine Procedures - Purchase ..oil

Receiving Indent from the User Dept.

..oil

Stores, checking for stock

..oil

Passing Indent to Purchase

..oil

Sending enquiries

..oil

Receiving quotations

..oil

Preparing Comparative Statement

..oil

Negotiation with suppliers

..oil

Placing a Purchase Order

..oil

Follow-up with the supplier

..oil

Receiving goods with Challan

..oil

Checking quantity

..oil

Preparing Goods Received Note

..oil

Checking quality

..oil

Preparing Inspection Report

..oil

Taking quantity into stock

..oil

Issue material to the User Dept.

..oil

Receiving Bill from the supplier

..oil

Checking Bill with Purchase Order, G.R. Note and Inspection Report

..oil

Preparing cheque

..oil

Making payment of the Bill

..oil

Obtaining Receipt

Writing of Procedures Manual

35

Routine Procedures - Stores ~

Placing Indent for stock

~

Receiving copy of the Purchase Order

~

Receiving material with Challan

~

Checking quantity of material, Preparing G.R. Note,

~

Checking quality of material

~

Acceptance or rejection of material

~

Preparing Inspection Report

~

Taking material-item into stock

~

Making entries in the Kardex

~

Receiving Material Requisition

~

Checking stock position

~

Issuing material

~

Making entries in the Kardex

Routine Procedures - Sales ~

Receiving enquiries

~

Sending quotation

~

Follow-up of quotation

~

Receiving Order

~

Entering Order in the Register

~

Issuing Work Order to factory

~

Quality control during manufacture

~

Inspection of finished goods

~

Packing goods as per Order

~

Dispatching goods

~

Sending out Invoice

~

Follow-up of payment

~

Receiving payment

~

Issuing Receipt

Note: Some of the above procedures, purchase,stores and sales may be computerized, where applicable.

36

How To Prepare and Implement Organisation Manuals

PROCEDURE ANALYSIS

Who-does-what For examination of any procedure, it is necessary to conduct procedure analysis by asking 6 questions viz. Who, What, How, When, Where and Why and obtaining answers for them. The information gathered will give an alround perspective ofthe procedure.An example of'bill passing' is given hereunder. Likewise any other procedure could be analysed.

PROCEDURE- BILL PASSING Who

-

Clerk

What

-

Passes Bill

How

-

Operations in sequence: Checks the Bill Checks with Purchase Order Checks with Challan Checks with Goods Received Note Checks with Inspection Report Enters Bill in the Register Puts rubber stamp Initials the Bill Prepares voucher Initials the same

When

-

Daily, Weekly or occasionally

Where

-

In a particular department

Why

-

To make payment

--

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Procedures could be a part of any particular manual. If all the procedures operating in various departments of an organisation are compiled in one manual, that manual could be called 'Procedures Manual: It is necessary that step by step sequence of operations is maintained while writing any procedure. It is advisable to adopt 'playscript' style so that each and every operation is recorded concisely reflecting WHO does WHAT. In other words, which activity is performed by whom. The procedure may pass through a number of persons and/or a number of departments, but a link has to be maintained so that not a single step or activity is missed. In this way, the written procedures will form a guidance to those who actually follow the procedures in practice. Procedures exist in all, large or small, organisations. There are always procedures whether written or not, which are followed by everyone when any activity is performed. Certain procedures are implied by convention which are not written down in a manual. For example, if a person requires a file, he may ask for the same to the person keeping files by verbal request. However, if files are given on verbal requests to a number of persons, a number of times every day, the consequences would be that the files may not be returned for a long time or may be misplaced and become untraceable. Thus, if movement of the files is not controlled, the problem offinding the required file/files will become acute with considerable loss of time. Hence, procedure for filing also is necessary. An example of'Playscript Style' is given in Chapter 5 on 'Styles of Writing Manual: PROBLEMS WITH PROCEDURES MANUAL

A number of problems have been raised by users with regard to Procedures Manual. These problems are narrated below with explanations/comments to solve those problems.

How To Prepare and Implement Organisation Manuals

38

1. It is unreliable because actual procedure differs from laid down procedure.

Comment: It may be that the actual procedure or laid down procedure - one of the two is correct in which case either the procedure in the manual may not have been recorded correctly or the actual procedure might have been deviated for some reason. When this difference is known, it has to be corrected immediately by modification of the actual procedure or the laid down procedure whichever is suitable so that there is no difference between the two. When both the procedures, one that is theoretical one, written in the manual and the other one practical which is actually practiced, tally, this problem of unreliability will not remain. It is necessary to review the manual periodically to find out such differences and remedy them so that there are no differences. This corrective measure will build up confidence of employees in the Procedures Manual.

2. It is difficult to understand.

Comment: This depends on the style of writing the manual. If the style is simple, concise and made easy to understand, there would be no difficulty in understanding. Explanations and examples could be given for easy understanding of procedures.

3. It creates inflexibility, if there is too much legalistic and red-tape adherence to it.

Comment: Though written procedures have to be followed in practice, there can be exceptions in which case some sort of explanation will be necessary in case of a particular procedure. For example, a Purchase Order is issued for the purchase of material and no material is to be received without the Purchase Order. This is mentioned in the Procedures Manual. However, in actual practice, if the material is required urgently, it is received from the supplier even without the issue of the Purchase Order in advance. Purchase Order in this case is issued to the supplier but after the receipt of the material. Preparation of the Purchase Order, typing of the same, signing and dispatch takes time and so in emergency cases, flexibility in procedure helps. Further, if too much legalistic view is taken of written procedures, then it will create controversy and confusion which may result in losing confidence in manuals.

4. It is difficult to keep up-to-date.

Comment: Whenever any change in procedure is noticed such change must be incorporated in the manual as per the practice or the actual procedure be changed as per the manual as the case may be. Preferably, every quarter the Procedures Manual has to be checked and revised, if necessary. This step will keep the manual up-to-date.

Writing of Procedures Manual - Problems, Benefits and Uses

39

5. It is expensive. Lot of time and labour is spent in preparation of the manual as against the benefits resulting therefrom. Comment: In fact benefits of having a Procedures Manual outweigh the time and labour costs ifit is well written and properly implemented.There are numerous advantages of this manual as indicated below.

Advantages A A A A

A A

It saves management time in training employees. It gives confidence to employees in connection with procedures to follow. Helps everyone in knowing changes in procedures. Serves as basis for eliminating or introduction of some steps in procedures. Preserves policy and procedures, though employees change. Serves as reference if there is any confusion with regard to certain procedures.

6. It is difficult to implement various procedures. Comment: If it is difficult to implement the Procedures Manual, then the entire exercise is futile.The manual is to be prepared if the management is able to supervise and control the implementation of the Manual. Implementation process will be possible by training and motivating the employees. BENEFITS AND USES

An organisation having a Procedures Manual can rest assured ofits numerous benefits and its systematic working. All office activities are governed by following certain patterns to achieve their objectives. While laying down procedures and following them or by certain established procedural conventions, the work is accomplished. In this context, benefits and uses of Procedure Manual can be highlighted as stated below: A

Forces procedural decisions Management decides and approves necessary procedural actions. Writing of the Manual compels management to decide which procedures are to be followed.

A

Conserves time It settles disputes regarding procedures of work. Management spends less time explaining employees about the procedures.

A

Preserves the experience of the Company The Manual remains operative even though employees may come and go. It is said to be a handbook of ,speaking experience~

A

Aids in training new employees A Manual provides an authoritative source of instructions for new employees and facilitates on-the-job training.

How To Prepare and Implement Organisation Manuals

40

..,.

Promotes morale

It reduces uncertainty. The employee knows what his job is and what is expected of him . ..,.

Provides for delegation of authority

Procedure Manuals can make delegation more effective because they assure an executive that his subordinates will handle situations the same way as he does . ..,.

Provides for Management by Exception

Manuals relieve executive from the necessity of making repeat decisions on recurring and routine problems. They allow him to devote more time to non-routine problems . ..,.

Establishes a basis of control

A Procedure Manual provides an objective standard that can be used as a check upon the performance of departments or individuals. It thus establishes a framework for a performance control system.

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A Manual caters to the needs of the organisation and its employees. As such the following factors will highlight the Manual's effectiveness. EFFECTIVENESS Tailormade : It has to be tailormade related to the organisaiton's objectives, policy, programmes and procedures. There is no readymade manual available and it has to be prepared as per company's requirements. Practical :The manual has to be practical to use so that it becomes easy to implement while working. . Up-to-date: The manual will lose its significance, if not kept up-to-date. Any change in the organisaiton's activities, rules and regulations must be incorporated in the manual without delay. Changes may also take place with regard to policy, procedures, reporting system, purchase and sales terms and conditions, department functions and so on. These changes have to be incorporated in the manual immediately so that concerned employees by referring to the manual will know the present correct position. Employee needs: The manual so prepared must be acceptable to employees and must satisfy their information needs. This would be possible if writing of the manual is clear and information properly indexed. Source of Information: It must serve as a valuable source of information which should be accurate. Easy to implement: Whatever has been in the manual with regard to company's objective, policy, programmes and procedures it must be self-implementable.ln other words,

42

How To Prepare and Implement Organisation Manuals

each employee should be able to do the work himself independently by referring the manual and be guided by it without recourse to others in the organisation. Discussed before writing: For effectiveness, the manual has to be discussed thoroughly before writing so that the writer gets a comprehensive view of preparing a good manual. Editing: Editing is giving final touches to the manual and its various chapters by adding, omitting or modifying certain information for better presentation of the manual. Periodical review: This is a must for any type of manual. Periodical review will generate new ideas for making it a better manual by avoiding any ambiguity or controversy.

USES OF MANUAL 1. Ready reference: Manual is used as a ready reference for any information required as per subject matter ofthe manual.There will be no need to contact any staff memberfor the same. 2. Check deviations: Manual helps in checking deviations. What is written in the manual must correspond with actual practices in operation. Similarly, actions performed must correspond with what has been stated in the manual. 3. Obtain clarifications: It helps in clarification of a number of matters as what is stated in the manual is quite clear and final. 4. Helps in doing better job: Employees may not be clear about their role in the organisation and their authority and responsibility. If they know the same, it will assist them in doing jobs better. It will also help them in following laid down policies and procedures correctly and working satisfactorily.. 5. Training purpose: Any manual could be used for training employees. Employees become clear about their role, responsibilities, empowerment and right methods of work by using the manual. As manual outlines organisation's structure, department's functions and activities, much time is saved in discussing these matters, as the manual is in itself a self learning guide book. 6. Basis for improvement: Manual serves as a basis for continuous improvement in the organisation when it is referred to. Changes could be effected in the organisaitonal set up and organisation behaviour. Employee behaviour can be affected by highlighting maintenance of discipline, code of conduct, implementation of standing orders,attitudinal change towards work culture and inter-personal relations. 7. Administrative control: Controls could be established at various centres as per the guidelines in the manual. It helps in supervision of various activities as per job descriptions. 8. Preserves policies and procedures: Even with the changes in staff, increase or decrease, the company policies and procedures remain the same.They are not affected by manpower changes. 9. Satisfies employee needs: As the employee gets the information required by him from the manual, he feels satisfied. He gets clear picture about his work and responsibilities

.

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Though manual has many advantages and uses, there have been criticisms and objections raised by some company officials with regard to its wortwhileness and usefulness. According to them preparation of manual is a long drawn out time consuming process. It is an exercise which does not solve organizational problems, and it is not helpful to employees. How far these allegations are valid, has to be examined dispassionately. The reactions of some company officials are given below with their redressals. 1. OBJECTION

The manual is too hard to read and make use of it. It is difficult to read and understand the manual and so it is of no use. Redressal

It all depends on how the manual has been written. The style of writing the manual is important and it should be simple and easy to understand so that employees can use it without much difficulty. 2. OBJECTION

The manual is out of date. There are some organisation manuals which are not up-to-date. Hence, information gathered from the manual is out dated. Decisions taken on the basis of information available from the manual may go wrong and it becomes risky.

44

How To Prepare and Implement Organisational Manual

Redressal

The manual has to be kept up-to-date to serve its purpose. In this respect, management has to monitor it. It must be reviewed periodica lIy and amended forthwith for any changes.

3. OBJECTION In the manual, it is not possible to find the required information because the manual is voluminous and not properly indexed. A particular information may not have been included in it and so that information is not available. Why that information is not included in the manual is not known. Redressal

In order to find the required information easily from the manual, it is necessary that the manual's contents, headings, sub-headings and indexes are properly written and all relevant information must be included,. If some information is not included in the manual, it may be because of controversial or unnecessary information, etc.

4. OBJECTION The manual is too large and bulky as it has been prepared exhaustively without considering its practical aspect of making it user friendly. It, therefore, has become unattractive. Rederessal

It is advisable to scrutinize and analyse the information contained in the manual so that unnecessary information is excluded or removed from the manual. All the information should be brief and to the point.

5. OBJECTION The manual has too many revisions and in view of that it is difficult to get the latest position as to where the matter stands. Employees lose confidence in the manual as the information may not have been up dated due to frequent revisions. This means that the manual has not been carefully revised and updated. Redressal

It is essential to examine any changes required in the manual. Such changes must be incorporated in the manual without delay. At any point of time, manual should become authentic and reliable source of information.

Objections to Manual

45

6. OBJECTION Preparing a manual costs too much time and money. It takes considerable time in gathering information, discussions, writing, rewriting and editing. Sometimes the final write-up is delayed because of differences in opinion. Completion of the manual takes more than a year to cover various topics. And its benefits are not known. Redressal

It is essential to fix time targets chapter by chapter for completion of the manual and to adhere to it. If not, it becomes a more time consuming process. However, with proper administrative control, completion target dates could be achieved. Further, only when benefits are known that the preparation of manual is undertaken.

7. OBJECTION The manual is very much elaborated or not at all elaborated. It has not been planned properly. Proper balance between the two is not maintained. Redressal

While preparing a manual, it has to be decided how much detail is necessary for a particular topic. Accordingly, each topic should be appropriately balanced and written to the point.

8. OBJECTION The manual is not meaningful and not understandable.The write-up of the manual is not simple but ambiguous, its meaning is not clear and difficult to understand. Redressal

Since the manual is also a means of communication, the writer and the reader must understand the same thing in the same sense.The manual writer must check that what meaning he wants to convey is what the reader understands, so that there is no misunderstanding and the information conveyed is c1ear.The writer and the reader must be on the same wavelength.

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The decision has to be taken whether to have a manual or not. How far it is beneficial and how far it is not beneficial has to be analysed. If organisations operate without having their manuals, what would happen? Will they be able to operate with success? Will their image be affected? Will they lose customers' orders and confidence? What would be employees' reactions? These and many other questions can be raised for having a manual or not having a manual. Having carefully considered these options, an explanatory table is given below to this effect. There is a difference when communication is verbal and when it is written. Verbal communication may be denied, it may not have been properly expressed or understood, it may be ignored or may be looked upon with suspecion. Verbal communication can create misunderstandings and will not have any standing in the court of law without proof. On the other hand, written communication will have its own weightage and will have a mileage over verbal communication. In an office, when circulars, warnings, instructions, objective, plan, procedures or programmes are written down and conveyed to employees it will have its effectiveness. And so a manual being a sourcebook and a guidebook of written communication, it will be respected and properly understood by the employees with regard to its uses.

47

Costs of Operating without Manuals

Organisations having Manual

Organisations with Dilemma. To have or not To have Manual

Organisation Not Having Manual

1.

Organisations not having Manual

Organisation Having Manual

HigherTraining Costs for training new employees

1.

Serves as a training guide with no costs for training in those areas.

2.

Inconsistency in procedures

2.

Procedures dependable.

3.

Information given may not be correct

3.

Authentic information available

4.

Unsystematic working

4.

Systematic working

5.

Increase in correspondence and communication for giving answers to enquiries from employees.

5.

Less correspondence and communication to answer enquiries from employees in view of standardisation.

6.

Authority and responsibilities not clear, hence buck passing

6.

Authority and responsibilities defined and followed.

7.

Company policy becomes fluid.

7.

Company policy defined and becomes stable.

8.

Lack of confidence in the company due to unsystematic working. Foreign participation difficult.

8.

Company acquires professional status which assists in foreign participation.

9.

More time spent in replying to queries.

9.• Saves

10. Gives rise to arguments over certain matters, not clear.

10.

streamlined

management

Helps to settle arguments

and

time.

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Organisation Manuals make significant contribution to the organisation in its process of implementation. They assist in solving specific problems and increase in professional efficiency. Every organisation needs some form of Manual. It could be Personnel Manual depicting personnel organisation structure, personnel functions, policy and procedures or Induction Manual welcoming the new employee giving him information about the organisation or Systems and Procedures Manual describing existing procedures to be followed. "A growth of demand for training arising from increasing mobility and the scarcity of suitable skilled labour has also accelerated the demand for manuals. In addition, the individual expects to be better informed, to know what his rights and privileges are and how he fits into the organisation." Manuals are able to answer employee's relevant queries about their responsibilities, status, benefits and work culture. Authentic information is available in manuals which cannot be challenged. If procedures are not correctly followed, then reference to Procedures Manual will guide in following the correct procedures step by step. And manuals clarify all doubts in the minds of employees with regard to work in their departments and the organisation.

MANUALS' ACHIEVEMENT Manual being an 'Organisation Bible: there are a number of its achievements. These achievements need not be overlooked if organisations are planning to prepare manual! manuals.The achievements are as under:

Systematic Working: Manuals result in organised and systematic working of the organisation. Each type of work is carefully defined and changes made, if necessary.

What do Manuals Achieve

49

Adminsitrative Control: Delegation of management responsibility, supervision and administrative control becomes easy as management knows their span of control over subordinates. Rules and Regulations Established: Manual defines authority and responsibility and establishes rules and regulations of working.This helps in smooth running of the organisation where working norms are spelt out. Availability of Information: As manual is a sourcebook of information,employees can gather the required information without much difficulty and save time in searching for information from files, reports and circulars. Helps Time Study: Procedures described in the manual assists in time study of various activities. Whichever activity is performed, it has its time taken from its start and again time taken at the end ofthat activity. This exercise will establish average time taken for that activity after taking in a number of observation readings. Key Forms explained: Procedures include forms and their movement. Some forms are simple and easy to understand. While there are some forms which require explanation for filling in. Such forms are explained in the manual so that the procedure runs smoothly.

Objectives, Policies Elaborated: Manual normally specifies organizational objectives, policies, code of conduct, department functions, procedures and systems. No other source except the manual gives these information at one place. Professional Status Achieved: The organisation's professional status is achieved which benefits it in raising its image in public and with foreign collaborators. Job Evaluation: With job description of various positions, it becomes possible to eva Iuate different type of jobs. This becomes the basis of job evaluation. Generates Respect: Manual is respected by the company's customers, suppliers and employees as it creates a better image of organisation behaviour and its working. Shows Organisation Structure: As manual gives diagram with explanation of organisation structure of various departments and of the entire organisation, depending on the type of manual prepared, it helps in making any changes in its structure. Training Needs Fulfilled: By analyzing job descriptions of various positions, training needs of employees to develop their skills becomes possible. A number of training programmes can be visualized and formulated for the benefit of employees.

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In most companies, manual is prepared by writing information on papers and then typed/ printed and preserved in a lose leaf binder.This gives an easy access to anyone who refers to it. After having written the manual, some companies store the manual in computers.When any information is required, it can be seen by referring the particular file in the computer. If necessary, the information could be jotted down from computer or print-out taken. At the time of preparation of the manual, it is the paperwork that is important as the matter is discussed with the persons concerned, who may suggest some changes in the write-up. A meeting may be held where the information collected is discussed so as to finalise the written matter. When the manual is finally ready, after editing, it may be entered and stored in the computer for future reference. When revision of the manual takes place, the written matter i.e. the print-out is gone through by the concerned persons and they make necessary changes where required.Then after the discussions, the manual is amended. And for implementation, the manual in a binder form or the computer may be referred to for taking necessary action. ISO 9000 STANDARDS A number of companies have their own standards, procedures and systems which mayor may not be ISO 9000 certified.There is no single method of meeting ISO 9000 requirements; nor is there any single manual one can buy that will ensure ISO 9000 certification i.e. their seal of approval.When customers do business with these companies, they feel satisfied and confident. "The ISO 9000 standard focuses on 20 aspects of quality programme that are subject to a rigorous audit during the certification process. Each section relates to a specific aspect of

Manual and Computers ISO 9000 Standards

51

of satisfying customers. When trying to determine how each section applies to your requirements, ask yourself how it relates to your customers' expectations." The following 20 elements are contained in section 4 of the ISO 9000 standard document. 1. Management responsibilities 2. Quality system 3. Contract revision 4. Design control 5. Document and data control 6. Purchasing 7. Control of customer supplied product 8. Product identification and tractability 9. Process control 10. Inspection and testing 11. Control of inspection, measuring and test equipment 12. Inspection and test status 13. Control of non-confirming product 14. Corrective and preventive action 15. Handling, storage, packaging, preservation and delivery 16. Control of quality records 17. Internal quality audits 18. Training 19. Servicing 20. Statistical techniques Above factors are looked with customer's perspective relating to quality control, quality assurance, total quality control and total quality management. There are a number of documents and records to be maintained by companies in support of ISO standards, which have to be strictly adhered to for obtaining their certification and further audit procedure.

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If the manual is not reviewed and/or revised periodically, it may not be used by employees as the information may become out of date.Any changes in procedures, functions, authority and responsibility, job descriptions, policy and organisation structure must be immediately incorporated in the respective manual.The changes may refer to addition and/or deletion of certain words, sentences, paragraphs, headings and sub-headings. In some cases, it may be required to change the entire write-up of a chapter to give correct picture of a situation. The manual may be reviewed quarterly or halfyearly,departmentwise and chapterwise.These changes must come through the manual monitoring authority which must be authorized by higher level management in general. No changes should be made without the knowledge and sanction ofthe management. APPOINTMENT OF MANUAL MONITORING OFFICER It has been observed that the companies having manual/manuals find it difficult to implement and/or keep it up-to-date for various reasons.A manual is prepared to fulfil its objective but it remains to be seen whether its objective is realised. In organisations having manuals functional heads do not have time to administer or monitor the manual after its inception. It is here that problems arise with regard to keeping the same up to date or revising the same and implementing it. With such a situation developing, a monitoring/surveillance authority is necessary who can devote full time attention towards its scrutiny and implementation.And that could be Manual Monitoring Officer (MMO) to be appointed with responsibilities of watching manual's operations and taking immediate necessary action for its success.

Revision, Review and Implementation of the Manual

53

The responsibilities of a Manual Monitoring Officer could be as follows: .... To assist in preparation of the Manual .... To monitor the"Manual .... To see that the Manual is kept up-to-date .... To see that it is implemented .... To reply to queries of employees with regard to Manual's contents .... To suggest changes in the Manual, where necessary .... To obtain feedback from employees of Manual users and discuss the same with the management for any changes required. .... To provide training and guidance to employees for proper use of manuals .... To educate employees with regard to manual's objective, its worthwhileness and benefits. .... To hold periodical meetings with departmental managers in reviewing the Manual with its plus and minus points. In most of the companies, such an officer does not exist. But some of the Officers such as Administrative Managers, Personnel Managers,O & M Officers and Industrial Engineers,Office Superintendents and Management Services Managers do look after manual's operations in their spare time but not regularly as their own work and responsibilities leave them little time to monitor the manual on a full time basis. So the question arises - whose responsibility it is to monitor the Manual?

IMPLEMENTATION PROCESS One ofthe objectives of the manual is its implementation. Implementation process is to check whether what is stated in the manual is being followed in practice. If this is not done, the entire purpose of bringing out the manual is defeated. It's no use preparing a manual and keeping it on a shelf - never to be used again.As the manual is supposed to be user friendly, employees would like to refer it as and when required and implement it. The process of implementation has to be total so that the manual becomes effective. It is only the Manual Monitoring Officer who can supervise/monitor the effectiveness of manual in action. Manual in theory and practice must tally as that is the role of the manual otherwise the write-up will be meaningless. It is not an historical record to be read and forgotten. It is not a book of fiction to be read and kept aside. It is not a projection or a plan determining future course of action. In its essence, Manual is all about information which is generated for implementation. And the implementation process should run smoothly.

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Recruitment Policy and Procedure' of Mukand Ltd. is reproduced here with their permission

....

'Noting and Drafting'procedure of the Government is reproduced here with publisher's permission.

....

Processing of Bills using'SAP System' ofTata Motors Limited is reproduced here with their permission.

MUKAND'S RECRUITMENT POLICY Recruitmert Policy of the company is guided by the motto of selection of the right person for the right job.

VACANCY FOR RECRUITMENT Vacancy arises as under: 1.

Expansion of company's business/department

2.

Creation of Additional posts.

3.

RetirementiResignationfTermination of existing employees

SELECTION JSOURCES 1.

Internal Sources (a) Within the organisation i.e. Existing employees. (b) Existing Data Bank.

Procedure from Manual of Organisations and Government Procedure

2.

55

External Sources Advertisement References/Contacts, Recruiting agencies etc. Candidates called for interview from outside are reimbursed their travel expenses.Transit accommodation for outstation candidates is also provided at the company's Guest House according to the need. The selection is based purely on merit viz. on candidate's qualification, experience and interview report.

RECRUITMENT PROCEDURE 1.

Printed requisition form for requirement is received at Personnel Department from the user department with necessary details for sourcing and selection of the candidates.

2.

On receipt of the same, Personnel Department makes an internal search in the organisation either from the existing employees or from the available data bank.

3.

Accordingly, bio-data are compiled and sent to the concerned Departmental/Divisional Head for screening and short-listing.

4.

Short-listed candidates are then called for interview on appointed dates. An interview is arranged with the concerned Departmental Head.

5.

After selection, pre-recruitment medical check-up of the candidate is done and also his credentials, testimonials are checked and verified. Medical check-up can also be done on the day of joining if not done during selection time.

6.

The selected candidates are then called by the Personnel Department for negotiation of salaries.

7.

After the salary negotiation is settled,appointment letters are prepared and sentto the candidates.

8.

The prospective employees thereafter return the acknowledged copy of the appointment letter with due acceptance indicating the date of joining.

9.

On the due date of joining, employee is required to report at the Personnel Department for completing the requisite formalities.

For Branch Offices as well as Site Offices, employees report directly at the respective offices and inform Personnel Department about their joining. In turn, Personnel Department issues necessary guidelines for completing the joining formalities of the new employees.

JOINING FORMALITIES FOR EMPLOYEES 1.

For outstation employees (a) Before the actual date of joining,a new employee has to intimate in advance the date of joining so that the necessary arrangement for his accommodation can be made.

56

How To Prepare and Implement Organisation Manuals

(b) Reimbursement of shifting of household goods upto a certain limit, as negotiated during the salary negotiation, is given for shifting of household goods from his place to his place of joining. (c) On arrival with the household goods, the company makes the arrangement for unloading of the household goods from the truck, but payment to the transporter is not paid by the company on delivery of the household goods. The responsibility of the payment to the transporter lies with the person who has engaged the transport. The employee has to accompany the above receipts by an application through their concerned Department Heads. (d) The employee gets the reimbursement from the company only after joining and on production of the required documents viz. the original lorry receipt, bill and cash receipt duly signed by he transporter, original insurance papers of the household goods and any payment made towards packing, loading and unloading of the household goods.

2. For local candidates Normally, no accommodation is provided to the candidates who are recruited from Local places except for the employees whose job requirement demand stay in the company's residential colony. "Reproduced with kind permission of Mukand Ltd. P. O. Kalwe, Dist. Thane." GOVERNMENT PROCEDURES ON NOTING AND DRAFTING

1. Noting The institution of noting is a legacy we have inherited from the past when the Government of India's Secretariat was small and officers came from provinces for a specified period.The pace of work was leisurely and the volume small;the condition today is just the opposite.The Central Government has turned into a vast machine working at great pressure.The work has grown enormously in volume, complexity and variety.The Government cannot afford to waste time and manpower by indulging in unnecessary and repetitive noting. The dealing hand, while recording a note, should keep the following instructions in view.

2.

Notes(i) Notes are written remarks recorded on a paper under consideration to facilitate its disposal. (ii) It should consist of precis of previous paper, the statement or analysis of the question or questions requiring decision, suggestions on the course of action or orders passed thereon. (iii) A note recorded by a Minister, the Prime Minister, Vice-President or President should be referred to as a'Minute:

Procedure from Manual of Organisations and Government Procedure

57

(iv) The name, designation and, where necessary, the telephone number of officer signing a note should invariably be typed or stamped with a rubber stamp below the signature which should be dated. In recording the date, the month and the year should also be indicated.

3.

General Instructions regarding noting: (i) All notes should be concise and to the point. Excessive noting is an evil which should be avoided.The officers are required to read the paper under consideration and the previous notes, if any.The verbatim reproduction of extracts from or paraphrasing of the PUC or FR or any other part of correspondence or notes on the same file should be avoided. (ii) Any officer who is to note upon a file on which a Running Summary of Facts is available should,in drawing attention to the facts of the case, refer to the Summary without repeating any part of the facts in his own note. (iii) Relevant extracts of a rule or instruction will be placed on the file and attention to it will be drawn in the note, rather than reproducing the relevant provisions in the note.

(iv) If apparent errors in the note of another Ministry have to be pointed out or if the opinion expressed therein has to be criticized, care should be taken that the observations are expressed in courteous and temperate language, free from personal remarks. (v) If the Branch Officer or higher officer has made any remark on a receipt, these should first be copied out and then the note should follow. No note should be written on the receipt itself except in very routine matters. (vi) A note will be divided into serially numbered paragraphs of easy size, say ten lines each. Paragraphs may preferably have brief titles. (vii) When arising out of a single case there are several points requiring orders. Each point should be noted upon and submitted to Branch Officer separately.Such notes will be called Sectional Notes and at the time of recording should be placed after the main notes in the file. (viii) Modification of notes - There should be no occasion to record a note in the first instance and then pasting it over. Such pasting is tantamount to mutilation of the record. It also gives an inelegant look to the files. Even where a note recorded in the first instance needs any modification on account of additional facts/errors having come to notice, a subsequent note may be recorded indicating the circumstances leading to recording of the fresh note, keeping the earlier note intact. In any case, there should be no occasion to conceal a note recorded in the first instance. It is also undesirable for an officer to make his subordinate change his note.

58

How To Prepare and Implement Organisation Manuals

DRAFTING OF COMMUNICATIONS

Procedure for Drafting: 1.

2.

3.

4.

No draft will normally be prepared in simple and straight forward cases or those of a repeatitive nature for which standard forms of communication exist. Such cases may be submitted to the appropriate officer with fair copies of the communication for signature. The initiating level officer will put up a draft, wherever considered necessary by him after examination of the matter, for approval by the appropriate officer. It is not always necessary to await the approval of the proposed line of action and/or what the contents of the communication should be before putting up the draft. The higher officer may revise the draft if it does not meet with his approval. Once he has formulated his views on a case,an officer who is authorized to take a decision thereon, may have the fair communication made for his signature and authorize its issue; otherwise, he will prepare a draft and submit it to the appropriate higher officer for approval. The officer approving the issue of a draft will append his initials thereto with the date in the margin of each page of the draft. It is also expected of him that he passes orders on the file simultaneously whether the draft so approved should be kept on the file (along with the office copy of the communication issued in fair) or not.

GENERAL INSTRUCTIONS FOR DRAFTING

1.

A draft should carry the message sought to be conveyed in a language that is clear, concise and incapable of misconstruction.

2.

Lengthy sentences,abruptness, redundancy,circumlocution, superlatives and repetition, whether of words, observations or ideas, should be avoided.

3.

Official communications emanating from a department and purporting to convey the views or orders of the Government of India must specifically be expressed to have been written under the directions of Government.This requirement does not, however, imply that each communication should start with the phrase 'I am directed to say' or 'The undersigned is directed to convey~ which has the effect of distancing the communicator from the reader at the very outset.A more direct and to the point format is to be preferred if some degree of rapport is to be established with the receiver of the communication. The obligatory requirement can be met in a variety of imaginative ways. For instance, variations of the ph rase can be added to the operative part ofthe letter towards the end as under:

•••••••••••••••••••• .1 have the pleasure to inform you that the Government, on reconsideration of the matter, has decided to sanction an additional grant of or .....................In the light of the above developments, Government conveys its inability to accede to.....................

Procedure from Manual of Organisations and Government Procedure

59

4.

Communications of some length or complexity should generally conclude with a summary.

5.

Where appropriate, the subject should be mentioned in communications (including reminders).

6.

The number and date of the last communication in the series, and if this is not from the addressee, his last communication on the subject, should always be referred to. Where it is necessary to refer to more than one communication or a series of communications, this should be done in the margin of the draft.

7.

All drafts put up on a file should bear the file number.When two or more communications are to issue from the same file to the same addressee on the same date, a separate serial number may be inserted before the numeral, identifying the year to avoid confusion in reference, e.g., 8/5 (I)/87-Estt.8/S (l1)/87-Estt.

8.

A draft should clearly specify the enclosures which are to accompany the fair copy. In addition, short oblique lines should be drawn at appropriate places in the margin for ready reference by the Typist, the Comparers and the Dispatcher. The number of enclosures should also be indicated at the end of the draft on the bottom left of the page thus - 'Encl. 3'.

9.

If copies of an enclosure referred to in the draft are available and are, therefore, not to be typed, an indication to that effect will be given in the margin of the draft below the relevant oblique line.

10. If tHe communication to be dispatched by post is important (e.g., a notice canceling a licence or withdrawing an existing facility) or encloses a valuable document (such as an agreement,service book or a cheque) instructions as to whether it should be sent through registered post or in an insured cover, or under a certificate of posting, will be given on the draft by the section officer concerned with its issue. 11. Urgent communications with bulky enclosures to far-flung areas like Andaman & Nicobar Islands will be arranged to be dispatched by air parcel through Indian Airlines. The addressee will also be advised through wireless to take delivery ofthe consignment. Instructions to this effect will be given by the divisional head/branch officer/section officer at the time of approval of draft. 12. The ndme,designation and telephone number of the officer,over whose signature the communication is to issue, should invariably be indicated on the draft. 13. In writing or typing a draft, sufficient space should be left for the margin and between successive lines to admit of additions or interpolation of words, if necessary. 14. A slip bearing the words 'Draft for approval' should be attached to the draft. If two or more drafts are put up on a file, the drafts as well as the slips attached thereto will be marked 'D.F.A.I: 'D.F.A.II: 'D.F.A.l1I' and so on.

60

How To Prepare and Implement Organisation Manuals

15. Drafts which are to issue as 'Immediate' or'Priority'will be so marked under the orders of an officer not lower in rank than a section officer. 16. The officer concerned will initial on the draft in token of his approval. 17. Instructions contained in Para. 27 (12) will be observed while drafting. The above Government procedures on'Noting and Drafting'is reproduced with permission from publishers of the book'Swamy's Manual on Office Procedures' by Muthuswamy and Brinda, Chennai.

PROCESSING OF BILLS USING SAP SYSTEM - TATA MOTORS LIMITED The billing section of the Corporate Communications Department is a central point which checks and processes all bills pertaining to the area of communication ofTata Motors using the SAP System. The department handles the checking and processing of advertising bills of Indica, Indigo, Sumo, Safari and Commercial Vehicles and other allied suppliers. The process followed would be slightly different for press and TV when compared with, let us say for printing and processing. The way it is done for printing and processing is as follows: ..." The department handles printing on its own for which competitive quotations ar~ sought by the department,cost negotiated and submitted to the indenting department for final approval. ..."

Post the delivery of the job when the bill is received by us from the printer, the same is checked against the approved estimate, parked in the SAP system and sent to accounts section where each bill is checked once more and finally sent for final payment.

..." In addition to printing handled internally through the Corporate Communications Department, we also receive bills for printing done by the Brand Managers on their own. The process followed is that the estimate for a printing job when received from the advertising agency by marketing the team is sent to corporate communication department for verification of rate. Once the rates are approved or negotiated the estimate is sent back to the marketing department for a revised estimate to be sent by the advertising agency which is then sent to the head ofthe marketing team for final approval. ..." Based on the approval, the job is actioned. Post the delivery of the job the advertising agency sends the bill alongwith the copy of the approved estimate to Corporate Communications.AII bills are checked against the approved estimate and parked in the SAP system and sent to accounts section where they are checked once more and sent for final payment.

Procedure from Manual of Organisations and Government Procedure

61

Regarding Press and TV: The department handles Press and T.V. bills of both Passenger Car Business Unit&CommercialVehicie Business Unit.The company follows a system wherein it has an agency of record (AOR).After advertising in either Press orTV, the department starts to receive bills from the AOR agency pertaining to insertions in both Press and TV alongwith copies of approved estimates and reports from the monitoring agency in case of TV. The department checks each insertion and each spot that has appeared for which th~ bills have been received against the relevant esti mate. A manual entry is also made, on the back of the approved estimate, of all bills that may pertain to that one estimate. (One estimate can have one to a mUltiple no. of bills). A similar entry is also made on the SAP system.

Often through this process, double billing that is sometime done by the advertising agency have been corrected by the department. Post the company moving into the AOR Scenario, the department receives two sets of bills, one set consisting of payment to be made to the AOR agency and another set consisting of payment to be made to the agency for its creative inputs. Pre-AOR days the department would receive one bill which would include the total amount inclusive of the agency commission. The process is that each bill is checked as mentioned earlier, entered into the SAP system and sent to Payment Section for further checking and for payment. Bills for Photography: This system is quite the same as printing and processing. The photographer's estimate is sent to Corporate Communications either by the photographer directly (for jobs that are commissioned directly by the department) or received from advertising agencies. The estimates are checked. A proforma invoice of 50% advance is received by Corporate Communications, processed and sent for payment. Post the job, the department also checks how much he is charging for his negatives, transparencies etc. which is billed to us at actuals. Boarding and lodging bills of the photographer and personnel traveling are also checked.The same is then passed and parked on the SAP system and then sent to payment section for final processing and final payment. Miscellaneous Bills:This would include bills for souvenir advertising and sundry suppliers which are passed against approved estimate of senior personnel in the company and parked in the SAP system and then sent to payment section for final payment.

Copies of all bills and estimates are kept in the department for 3 years and thereafter sent to the god own for storing.

Reproduced with kind permission of Tata Motors Limited, Hutatma Chowk, Mumbai 400001.

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A Survey was conducted with the issue of a questionnaire to some participants of a Manual programme and to some companies to find out their answers with regard to the status of their manuals.The answers to this questionnaire have been analysed and their findings given below. A specimen form of the questionnaire has been given in the Annexure II.Out of 16 questions, only the key question nos. 1,2,4,6, 10, 11 and 16 abc and their answers are analysed and given below by working out on percentage basis: (Note: NA stands for Not Applicable)

PERCENTAGE DIAGRAM OF QUESTIONNAIRE ANALYSIS

Q.1

Do you have a Manual? NO - 45%

Ans.: YES - 55%

55% YES

45% NO

63

Analysis of Questionnaire on Manual to Companies

PERCENTAGE DIAGRAM OF QUESTIONNAIRE ANALYSIS Q.2

Do you use it?

Ans.:

YES - 54%

Q.4

Is it easy to locate the required information?

Ans.:

YES - 55%

NO - 24%

NO - 15%

NA-22%

NA - 25%

15%

NO 55% YES 25% NA

How To Prepare and Implement Organisation Manuals

64

PERCENTAGE DIAGRAM OF QUESTIONNAIRE ANALYSIS

Q.6 Is it up-to-date? Ans.: YES - 37% NO - 30%

NA-33%

30% NO

Q.10 Is it self-implementing? Ans.: YES - 45% NO - 20%

NA-35%

45% YES

35% NA

65

Analysis of Questionnaire on Manual to Companies

PERCENTAGE DIAGRAM OF QUESTIONNAIRE ANALYSIS Q.11

Is it Reviewed and Revised Regularly?

Ans.:

YES - 30%

NO - 41 %

NA - 29%

41% NO

30% YES

0.16

Your views on Manual- Existing

Ans.:

REQUIRED - 61 %

NOT REQUIRED - 6%

29% NA

NA-33%

• 61% REQUIRED

66

How To Prepare and Implement Organisation Manuals

PERCENTAGE DIAGRAM OF QUESTIONNAIRE ANALYSIS Q.16

Your views on Manual- Non-Existing

Ans.:

REQUIRED - 33%

NA-55%

NOT REQUIRED - 12%

33%

REQUIRED

Q.16

55% NA

Your views on Manual-In Process

Ans. : REQUIRED - 41 %

NA-55%

NOT REQUIRED - 4%

. 41%

REQUIRED 55% NA

Analysis of Questionnaire on Manual to Companies

67

As the survey comprises of a small number of companies, it essentially shows the trend in the direction of having or not having manual and its effectiveness or otherwise. From this, it appears that this could be the general trend with slight percentage variation, if more and more companies respond to this questionnaire. However, from the data collected, one need not conclude that having a manual does not serve any purpose or that it is an exercise in futility. What is the most important factor is that of bringing out a need-based manual for the organisation with proper checks and balances to achieve its ultimate success. The corporate sector may draw their own conclusions after going through this questionnaire form (see Annexure II) and answering the same so as to take necessary suitable action.

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Specimen of Objective and Contents of Manual training programmes conducted by the author. II

Questionnaire form issued to companies and to the participants of Manual programme

III

Article by the author first published in The Economic Times dated November 19, 1992 entitled,"Corporate Manual- the Organisation Bible';reproduced with their permission.

IV

Answers to Quiz on 'Organisation Manual~

ANNEXURE I Specimen of Objective and Contents of Training Programme on 'Organisation ManualPreparation and Implementation~ conducted by the author. INTRODUCTION In view of globalisation and stiff competition from multinational companies, there is a need for Indian companies to have Corporate/Organisation Manual for their organised and systematic way of working. Manual serves as an "Organisation Bible" which inspires the members of the staff to do the right things more systematically and to guide them in disseminating information, controlling administrative practices and training staff in specific areas.There are various type of Manuals prepared by organisations and they are Policy Manual, Procedures Manual, Personnel Manual, Induction Manual and so on. Preparation of Manual is an art by itself, which can be learnt.

69

Annexures

OBJECTIVE The objective of this programme is to highlight the necessity and importance of Manuals, with appropriate format and contents, in various organisations and show the way of preparing a good and useful Manual which could be used as a sourcebook/guidebook by executives and employees again and again instead of keeping it on a shelf-never to be used again.

CONTENTS ....

Role of Manual, its purpose and objectives, basic concepts and need

....

Uses of Manuals, objections to Manuals, costs of operating without Manuals

.... Types of Ma n ual:Office, Employee, Procedures, Pu rchase, Sa les, Accou nts, Stores, Personnel, Maintenance, Training, Instruction, Policy Manuals etc. ....

Preparation of Manual: Format, technical points, deciding the contents, collection of information/data,obtaining approval, editing and final write-up

....

Objectives,contents, problems and uses of (1) Procedures Manual (2) Employee/Induction Manual (3) Personnel Manual (4) Office Manual and (5) Purchase and Stores Manual

....

Styles of Procedures writing, descriptive and playscript styles

....

Implementation, revision and re-writing

....

What do Manuals achieve? Cost and benefit analysis.

lRAININGPROGRAMME

ill.

70

How To Prepare and Implement Organisation Manuals

ANNEXURE II J.O.1RIPATHIANOASSOCIATES-MANAGEMENTCONSULTANTS PUT TICKS .t

QUESTIONNAIRE TO COMPANIES ON 'MANUAL' WHERE APPLICABLE

1.

Do you have a Manual?

Yes

No

2.

Do you use it?

Yes

No

3

If so, how frequently?

4.

Is it easy to locate the required information?

Yes

No

s.

Is information adequate?

Yes

No

6.

Is it up-to-date?

Yes

No

7.

Is additional information required?

Yes

No

8.

Is unnecessary information included?

Yes

No

9.

Is it selfexplanatory,clear and understandable?

Yes

No

10. Is it self implementing?

Yes

No

11. Is it reviewed and revised regularly

Yes

No

Monthly

Weekly

Daily

12. When is it reviewed and revised? Monthly

Quarterly

Annually

Half yearly

13. Is the Manual distributed to Dept. Heads?

Yes

No

71

Annexures

14. Are some of the pages of the Manual distributed to concerned/relevant persons?

Yes, _ __

No,_ __

15. Are you in the process of having a Manual?

Yes,_ __

No,_ __

16. Your views on Manual:

(a) Existing

Required _ __

Not Required _ __

(b) Non-existing

Required _ __ Not Required _ __

(c) In process

Required _ __ Not Required _ __

NAME OF THE COMPANY

72

How To Prepare and Implement Organisation Manuals

ANNEXURE III CORPORATE MANUAL - THE ORGANISATION BIBLE

J. D. Tripathi There is a need for a manual in every modern organisation inasmuch as it serves as an 'Organisation Bible'which not onlyinspires the members of the staff to do the right things in a systematic way but also serves the purpose of disseminating information administrative, control and training. More and more companies are now embarking on having a manual,or revising the same, to include up-to-date information for their specific use.

OBJECTIVE The primary aim of the manual must be that it could be implemented by itself. In other words, it should be tailor-made, practical,concise and lucid. A lot of time, money and effort is spent in preparing and presenting manuals to be used by company executives and staff. But how far they have been referred to or used by employees is a moot question. Perhaps the entire exercise may bear no fruit for the manual may be kept on a shelf - never to be used again!

USES OF THE MANUAL A manual is a compilation of certain topics/procedures properly indexed by category for ready reference. A procedure, prescribes in writing a course of action by which an objective or purpose will be realized.The purpose of a manual is to communicate to others what they are to do and how they are to do it. It is a handbook of standard practices/procedures followed by the company. It helps in self education, learning and self-implementation of various systems and procedures. It is a reference/source book used for administrative control and satisfies the employees'needs of getting required information at one place. It makes him aware of company rules and regulations which he has to abide by. It also helps in checking deviations from standard practices and helps trainees who undergo the company's orientation programme.

TYPES OF MANUAL There are various types of manuals prepared in various organisations according to their specific requirements. These include procedures manual, personnel manual, office manual, employee induction manual, policy manual, stores manual, maintenance manual, job evaluation manual and so on. Each type of manual will have different contents and its own objective. For example, a procedures manual's contents will include description of all procedures operating in the company from start to finish in sequence, its purpose, number of operations, departments, persons and forms involved, their functions and movements, flow charts and specimen of all forms in use,copy distribution, with explanations, where necessary.

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Likewise, a personnel manual's contents will include the company's personnel philosophy and policy, the functions of the personnel department, its organisation structure, number of sections/sub-divisions such as recruitment and placement, training and development, labour welfare and industrial relations, time office, watch and ward, wages administration, canteen, library, transport and medical wing and their objectives, functions and procedures. Every manual should also include the chairman's brief speech/remarks explaining the purpose of the manual, how to make use of it and inviting suggestions from the staff. It must ideally also include diagrams, charts, graphs where applicable and a master index at the end for easy reference.

MANUAL PREPARATION There are two different styles of writing a manual. One is a descriptive style and another is play-script style.The latter is used in procedure writing. It helps in understanding procedures step by step and in knowing the number of operations performed by an individual.This helps while conducting a time-study of various activities. Descriptive style is lengthy and time consuming. How much detail is required in a description is a matter of opinion. Some manuals run into hundreds of pages and volumes while some are brief and to the point. If the manual is prepared with more and more details running into a number of pages, it is possible that

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How To Prepare and Implement Organisation Manuals

very few will read the entire manual and some may not even read or may not find time to go through the manual. The first thing necessary to consider while preparing a manual is what topics to include and what not to include. How much elaboration is required of a particular topic is the next step. Some topics are deliberately not included in the manual as they give rise to a number of queries and arguments.As manual is an authentic guidebook, care has to be taken about its legal interpretation while writing. Contacts with executives and staff are necessary to gather information required for compiling a manual.The write-up could be shown to the concerned persons and/or departmental heads for their scrutiny.

PROBLEMS WITH MANUALS AND REMEDIES A number of objections have been raised about the usefulness of manuals in organisations and they are as under:

1.

Manuals are unreliable. They describe what is supposed to be done but there is no guarantee that what is described actually takes place. In fact what is described should take place by management supervision. Lack of management's interest/supervision is bound to fail the very objective of bringing out the manual.

2.

Manuals are difficult to understand. This depends on the style of writing the manual which should be lucid, clear and unambiguous.

3.

Manuals create inflexibility while implementing. This is so because of bureaucratic and legalistic approach towards it and adherence to redtapism.lt is the essence of the meaning that comes out of the manual that is to be seen rather than fighting for words/language used.This does not mean that the manual is to be written carelessly. It also depends on how one interprets the wordings.

4.

Manuals are very expensive from the point of view of time, money and labour spent on it. Here, one has to weigh the costs against benefits and potential losses resulting from their absence.

5.

It is difficult to keep manuals up-to-date. For this, it is necessary to incorporate any change immediately in the manual without loss of time. It has to be revised continuously to spot any outdated information, methods and procedures and replace the same with up-to-date information. Management has to

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keep a control over manuals being kept up-to-date. If information. is not kept up-todate, executives and staff will lose interest and confidence in the manual.

6.

Manuals are disregarded and ignored because operative procedures are not in accordance with what has been stated in the manual. In fact, manuals are prepared by examining the existing procedures - with or without modifications - and so what is in operation must tally with what has been laid down in the manual.

COSTS OF OPERATING WITHOUT MANUALS Let us now look at the hidden costs of operating without manuals in an organisation; They are, higher training costs (especially of new employees), inconsistency in procedures, unsystematic working, increase in correspondence and communication costs, authority, responsibility and decision making levels not clear giving rise to buck passing and likely omission of certain necessary procedures, information and reporting system.

BENEFITS An organisation having manual has certain advantages over other organisations not having a manual and they are as follows: It promotes morale and confidence among staff members, achieves co-ordination amongst various departments understanding company's objective, policy and procedures becomes easy, activities become streamlined, methods of working in the office become more systematic, and all this leads to professionalisation.

IMPLEMENTATION AND REVISION The manual will be of no use to the company, if it is not implemented. It is not a book of knowledge which could be read and kept raise. It is not a record of the company's history nor it is a projection for the future. It is not an advertising and publicity media nor does it evolve any management theory or principles. It is a practical guidebook of the company's present systematic working which has to be followed and implemented by everyone. For successful implementation, it is necessary to create awareness in the employees about the manual by organising a short training programme or a discussion meeting to outline the objective of the Manual and showing ways and means of its implementation. Management may also issue circulars to staff with regard to implementation. If any difficulties arise in implementation, they should be discussed with the department heads.The department heads must be assigned full responsibility for the implementation of the manual.

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How To Prepare and Implement Organisation Manuals

MANUALS AND BANK SCAM It may not be of place to conclude here that the bank scam which took place was because of systems failure. This raises important issues viz. whether the RBI, financial institutions, banks and brokers involved in the scam had systems and procedures manuals? If so, were the procedures outlined in the manual strictly followed in practice? Ifthere were modifications, were they not incorporated in the manual immediately? If there were deviations from the standard procedures, were they overlooked and not controlled? If controlled, were there any loopholes? If so, why was the system not made foolproof considering that crores of rupees were involved? The need for manuals is thus obvious.

The Economic Times - November 19,1992 Repreoduced with their permission.

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ANNEXURE IV ANSWERS TO QUIZ ON ORGANISATION MANUAL

3. True 7. False

4.

True

5. False

2. True 6. True

8.

False

9. False

10. False

11. True

12. False

13. True

14. True

15. True

16. True

17. False

18. False

19. False

20. True

1. False

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C. L. Littlefield, Frank M. Rachel and Donald L. Caruth, 'Office and Administrative Management: Prentice-Hall of India Ltd., New Delhi.

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J. C. Morrell, 'Preparing an Organisation Manual: British Institute of Management Foundation, London, Printed by A.I.M.A., New Delhi

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John Rabbit and Peter Bergh,'ISO 9000 Book - of Global Competition and Certification: Quality Resources, London.

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Kenneth Bergstrom,'Procedures and Manuals: Institute of Office Management - India, New Delhi.

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Leo R. Lunine, 'How to Research Write and Package Administrative Manual: AMACOM, American Management Association, New York.

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Leslie H. Matthies, 'The Playscript Procedure: A New Tool of Administation: Office Publications Inc., Stamford, Connecticut

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Muthuswamy and Brinda,'Swamy's Manual on Office Procedures: Swamy Publishers (P) Ltd.,Chennai

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The Economic Times, November 19, 1992,Article"Corporate Manual-The Organisation Bible" J. D. Tripathi

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Victor Lazzaro,'Systems and Procedures: Prentice-Hall, New Jersey

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Accounts and finance Manual, 12-13 Acheivement,48-49 Analysis,62-67 Article on Manual, 72-75 Computers, Manual in, 50 Contents,6-13 Data collection, 20 Inclusion and Non-inclusion, 22 Definition,2 Distribution, 17 of Manual, Copies, 17 Draft preparation, 23 Checking,23 Editing,23 Effectiveness of Manual,42-43 Employee Induction Manual,6-7 Format, 14-17 Government procedure, 56-60 Implementation, 53 Interviews, 22 ISO 9000 standards, 50-51 Legal Implications, 20 Manual How to prepare, 18-25

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How To Prepare and Implement Organisation Manuals

Manual Monitoring Officer, 52-53 Responsibilities, 52-53 Noting and Drafting procedure, 56-60 Objections,43-45 Objective, 1 Office/Organisation Manual, 7 Paragraph numbering, 15-16 Personnel Manual,8-9 Procedue analysis,36 Procedures Manual, 30 Benefits and uses, 39-40 Bill passing,31-33 Material issue,33 Problems,37-39 Sequence of operations, 34-35 Writi ng of, 30-36 Processing of Bills Tata Motors Limited, 60-61 Purchase procedure, 34 Purchase and Stores Manual, 10-11 Purpose, 1 Question na i r, analysis, 62-67 Recruitment procedure, 55-56 Mukund Limited, 54-56 Role of Manual, 2-3 Sales Manual, 11-12 Sales procedure, 35 Stores procedure, 35 Styles, 26-29 Concise, 28-29 Descriptive, 26-27 Informal,29 Playscript,27-28 Simple,29 Systems and Procedures Manual, 8 Training and Development Manual, 9-1 0 Training programme, 68-69 Specimen (Annexure 1),68-69 Uses of Manual, 42