Unit 1.

Office Management and Modern Office and its Functions

Learning Objectives
After studying this unit, the student will be able to
• To improve knowledge on Office management, Modern Office and its functions.

1.1. Functions of Office Management

Since office management is similar to the general or administrative management, it performs the
same functions as are performed by the management. The functions of office management are.
i. Planning : Planning is concerned with dealing in advance what is to be done. According to
Terry Planning is the first fundamental function of management. It provides, prior to activity,
guides and courses for action required by managers in order to achieve goals. Planning is the
selecting and relating of facts, and making and using the assumptions regarding the future in the
visualization and formulation of proposed activities believed necessary to achieve desired results.
ii. Organising : According to Oliver Sheldon “Organization is the process of combining the
works done by a individual or a group to perform with facilities necessary form its execution,
that the duties so performed provide the best channel for the efficient, systematic, positive and
co-ordinated application of the available efforts.
iii. Staffing : Staffing an organisation refers to the selection of men for
the various jobs. It refers to choosing and preparing men so that the selection, recruitment,
training, development, promotion and remuneration of employees.
iv. Directing : The process of direction refers to the way an executives
issues instructions to his subordinate.vIt includes leadership, Communication and supervision.
a. Leadership : The quality of leadership is the ability to influence people to strive willingly for
the realization of mutual objectives.
b. Communication : It is the process of passing information from one person to another person.
It involves a systematic and continuous process of telling, listening, and understanding.
c. Supervision: Supervision attempts to bring about conformity between planned and actual
results.
v. Motivating : Motivating is a process of stimulating an individual to take action which will
bring about the satisfaction of a need and the accomplishment of a desired goal. Motivation
moves a person to action. It is achieved by,
(a) The use of power, or force.
(b) Providing inducements and incentives to employees.
(c) By satisfying the needs of the employees.
vi. Co-ordinating : It means monitoring, balancing and keeping the team together by ensuring a
suitable allocation of tasks to the various members, and by seeing to it that these tasks are
performed with an opinion among the members themselves.

1.2. Meaning of Modern Office

In Simpler terms we can say office is place where business is carried on. In common Parlance, an
office is understood to be a place where clerical work is performed and where all kinds of paper
work (letters, correspondence, files, records etc) and dealt with. It is “a central place where
all sorts of clerical work is done to co-ordinate and control the affairs of the whole organization”
A few definitions may be noted.
Definitions
1. “The office is the administrative center of a business .The purpose of an office has been
defined as the providing of a service of
communication and record” (Mills & Standingford).
2. “An office is a place where business is transacted or professional services are available”
(Random Hours of Dictinary.)

1.3. Office Work

According to Leffingwell and Robinson: “Office work is concerned with records and statistics,
with communication, with computing, with planning and scheduling. Every office task comes
within the scope of one or the other of these activities.
1.4. Office Activities
Each office has a personality of its own. This personality is a reflection of the purpose for which
an office exists. The manufacturing office will have a profile that differs from that of a sales
office. The accounting office will have a different orientation from that of a research and
development office.” In organizing a new office the office manager must first determine the
prime reason existence of that office and then add the necessary ingredients to bring about an
efficient operation entity that achieves pre- determined results. Although offices differ from one
another in prime responsibility, many activities are commonly carried out by all the offices.
Some of these activities are.
(i) Processing Incoming mail.
(ii) Processing Outgoing mail.
(iii) Dictation.
(iv) Transcription.
(v) Typing.
(vi) Printing.
(vii) Copying.
(viii) Filing.
(ix) Records Retrieval.
(x) Records Disposal; and
(xi) Communication.

1.5. Office Functions

The functions of a modern office may be classified into two categories:
1. Basic functions (or) routine functions,
2. Administrative management functions.
Basic functions (or) routing functions
(a) Receive and collecting information
About the activities of the organization the source may be.
(a) Internal sources: ex. different departments, sections, etc.
(b) External sources: Govt. departments, financial Institutions, universities, general public etc.
(b) Recorded of collected information
In a suitable form, this recorded information is needed for preparing future Policies, and taking
decisions.
(c) Arranging (or) Processing of Information
In all the information received cannot be used in the same form. Officem has to convert it in
form of notes, reports, diagrams, graphs etc, and showing different aspects of business.
(d) Communication of recorded and arranged information
promptly
Office has to supply the information to different departments and outside bodies who are related
in some way or the other Ex. Planning is to be done for which future information and projections
are to be made on the bias of part information which has to be supplied by the office in the most
suitable form.
Administrative Management Functions
A part from the basic functions of an office, there are certain administrative management
functions which have to be performed for a smooth functioning of the office.
These functions are outlined below
(i) Management Functions : For efficient functioning of an office the
management function includes.
(a) Planning.
(b) Organising.
(c) Staffing.
(d) Directing.
(e) Communicating.
(f) Controlling.
(g) Co-coordinating and
(h) Motivating.
Office work has to be properly planned, and then organized and executed according to the plan.
(ii)Public Relations Functions : An office has not only maintains relations with the other
departments, it also needs to maintain a good relations with the outside world the public.
Maintaining good relations with the company increases the reputation and good will of
the company.
(iii) Retention of the Records : Office Records includes correspondence, letters, invoices,
orders, financial and cost records, minutes etc. These records have to be retained for future
reference.
(iv) Safeguarding Assets : It is the function of the office to safeguard the assets of the
organization, which may be fixed assets like buildings, plants, Machinery, office equipment,
lighting and air conditioning equipment, movable assets like furniture, office machinery, or the
cash, title deeds, records and documents etc.
(v) Controlling Office costs : With the adoption of scientific methods
for office management, a modern office is further supposed to
discharge the function of Controlling office costs This may be done
by.
(a) Mechanization of the office.
(b) Adopting time and labour saving devices in the office.
(c) Using better forms.
(d) Analyzing the existing office routines and adopting improved ones.

Unit 2
2. Handling Mail
2.1. Introduction
As you know in every office, a large volume of communication—letters, circulars,
telegrams are sent to outsiders or received from them. Inside the organisation also written
materials are exchanged between different departments. A planned and efficient handling
of the mail is essential for the success of any business organisation. It is described as the
backbone and an integral part of an office. In the last two lessons you have learnt about
‘nature and functions of office’ and ‘types of jobs in a modern office’. The present lesson
Handling Mail is divided into four sections and deals with (i) meaning of office mail,
mailing department —centralisation and decentalisation, (ii) handling incoming mail, (iii)
handling outgoing mail and (iv) postal facilities and
services.

2.2. Objectives
After studying this lesson, you will be able to :
define mail;
recognise the implications of centralisation and decentralisation of correspondence
work;
identify and explain the stages of handling incoming mail;
describe the steps in handling outgoing mail; and
recall the facilities and services available from the post office.
2.3. Mail and Mailing Department
‘Mail’ refers to the written communication that passes through the messenger service or
the post office. Every business concern sends out and receives a large number of letters,
notices, circulars, telegrams, memoranda reports, statements, pamphlets, inquiries, etc.
Mail service ensures continuous interaction between insiders as well as between the
organisation and outsiders. It helps the firm in establishing and maintaining contact with
 customers, suppliers, and others concerned. In order to ensure prompt and efficient
handling of mail, the mailing service should be planned and organised properly. Due to
its importance and the vital role played in the organisation, mail should receive special
attention and treatment. Handling of mail is, therefore, done by a specialised department
named as ‘Mailing Department’. The nature of organisation of the mailing department
depends on the size of the firm and the volume of mail to be handled. Mails consist of
three main types — (a) incoming, (b) outgoing and (c) inter departmental. If the mail
relating to various departments of the organisation is received and despatched from one
centralised mail handling department, it is called centralisation of the mailing service. On
the other hand, if each department receives and despatches its own mail, it is known as
decentralised or departmental mail handling system.
2.4. Centralised Mailing Services
Under centralized mailing a separate mailing department is constituted to handle all types
of mail concerning different departments. Letters which originate from a particular
department also pass through mailing department. In small offices the volume of mail is
very small and one individual may handle the entire mail. In some offices the inward mail
is handled by a central section and the outgoing mail is handled by the
respective departments. The main advantages of centralised mail handling are — (1)
Since similar type of activity is performed again and again the employees develop
speed, accuracy and work efficiency. (2) Better supervision and coordination is possible.
(3) It results in reduced of cost of mailing. (4) It often allows new employees to get
training in the office routines. (5) It results in saving in terms of time and money. (6) It
provides optimum use of mail room equipment. (7) Trained and expert staff can be
appointed. (8) It can make special arrangements with the post office for receipt and
despatch of mail. (9) Proper accounting of postage stamps is possible. However, a
centralised mail handling service is not without its drawbacks such as — (1) It may not
appreciate the urgency of service required shown by particular departments. (2) It may
not be possible to maintain secrecy. The mailing department is usually divided into two
sections: one for inward mail and the other for outward mail.
2.5. Handling incoming mail
Efficient handling of mail requires establishment of definite procedures involving step by
step handling of mail. The incoming mail should be received and distributed with speed
and accuracy. The exact method of handling inward mail differs from office to office.
Handling of incoming mail generally consists of the following steps.

a. Receiving the mail

In small offices the mail is received by the executive or his secretary. But in large
offices this task is entrusted to a responsible person in Mailing department.
Incoming mail may be delivered once or twice everyday by the postman or by
messengers or couriers. Sometimes in large offices Post Box or Post Bag is hired.
The mail is collected once or twice a day from the post office by an employee. A
part of the incoming correspondence is delivered by messengers from other
 offices. A clerk is entrusted with the work of receiving letters and issuing receipts
or acknowledging receipt in the peon/messenger book.
b. Sorting : Department wise and Class wise
After the mail has been received, it should be sorted out before it is opened.
Official letters should be separated from the private letters of the employees.
Letters marked ‘confidential’ or addressed to officials by name should be sent
immediately unopened to the concerned officials. The first class official mail is
also sorted for quick opening and delivery, laying aside less important mail for
later handling. After seeing the envelopes the staff recognizes the class of
mail and content with experience.
c. Opening the mail
Letters are opened by hand with the help of a paper knife. If the number of letters
is very large, a letter opening machine may be used. The mail should be opened
carefully to ensure safety of mail. It must also be seen that no papers are left
inside the envelope. A responsible officer should supervise this process.
The contents of the envelopes should be scrutinized to find out the purpose of the
correspondence and the department to which it relates. If there are enclosures,
they should be checked to verify that they are in order. Any discrepancy should be
brought to the notice of the mail room supervisor specially when the enclosures
are cheques, drafts, postal orders, etc.
d. Marking the mail
After opening the mail, each letter should be stamped with the date and time of its
receipt. Stamping may be done with rubber stamp by hand or with the help of
dating, numbering and time recording machines. If necessary, the envelope must
be pinned as an evidence. The letter is marked to the concerned department and a
circulation slip is also attached if required. Designs of such stamps are given
below.

Fig 2.1. (When letter concerns more than one department)

e. Recording
All offices keep a permanent record of inward mail. For this purpose, the “Inward
Mail Register” or “Letter Received Book” is maintained. This register records the
 particulars of letters received. Such a record helps in fixing responsibility for a
lost letter and also in tracing it. Delay or default in dealing with letters can also be
found out. The following is the format of an Inward Mail Register.
Fig 2.2. inward mail register

The Inward Mail Register is considered wasteful and time-consuming if the volume of mail is
large. A Mail Room List is then prepared. This is a list of documents delivered in a batch to a
particular department or individual. The receiver is required to sign the list as a receipt. The
following is the format of a Mail Room List.

Fig 2.3. Mail room lists

Another method can be adopted if central filing is in operation. This is called Mail Room
Schedule. The letters are numbered and entered in a schedule, which indicates the departments
handling them. A proforma of the Mail Room Schedule is given below.
Figure 2.4. mail room schedule

e. Distributing the Mail

After numbering, date stamping and listing, the letters are sorted out department-wise.
This has to be done after all enclosures are securely attached to the covering letter.
Separate trays or baskets may be used for sorting out letters of each department.
Pigeonholes may be arranged if there are a large number of departments. The initials of
the receiving clerks or officials are obtained in a register as acknowledgment of their
receipt.

f. Speedy Disposal
Letters received should be properly attended to and replied in time. They are filed after
necessary action is taken on them. Follow-up action is taken to ensure that all incoming
letters are properly dealt with quickly.

2.6. Handling Outward Mail

Almost every office sends out mail daily. Outward mail must be handled with care, speed
and accuracy due to the following reasons:
— improper handling of outward mail creates bad impression on outsiders.
— delays in sending replies may result in loss of business opportunities.
— delay may result in additional cost e.g., a telegram may have to be sent if a letter has been
delayed. All outgoing mail passes through three stages :
(a) production,
(b) signature and control, and
(c) referencing.
Production involves drafting or dictation and typing (or transcription) of the draft or dictated
matter. Routine letters are signed by junior clerks on behalf of the head but important letters
are signed by the concerned officer or head. Proper control on signatures is a must ; only
authorised person should sign the letters. Thereafter every letter has to be marked at the top
with code or file number for future reference. This is known as referencing. Each
organisation follows its own method of coding and referencing, e.g. reference number
ACC/148/1998 indicates that letter No.148 relates to Accounts Department (Acc.) and it was
sent in 1998.
1. Handling outward mail: Handling outward mail generally involves the following steps:
a. Collection of Outgoing; Mail Generally each department sends its correspondence
to the mailing department for despatch. In certain offices a messenger from mailing
section goes round at scheduled intervals to collect mail from different departments.
A tray marked as ‘outgoing mail’ is kept in each department. All letters to be sent
outside are placed in this tray and the messenger collects the mail from such trays.
Timely collection of outgoing mail improves the efficiency of despatch section.
b. Entering the Mail ; All letters sent outside are to be recorded. The letters which are
to be delivered locally through a messenger or peon are recorded in “Messenger
Book” or “Peon Book”. Outstation letters are entered in ‘Outward Mail Register’ or
‘Despatch Register’. A proforma of the outward mail register is given below.

Figure; outward mail register

Figure : format of Peon Book registrer

c. Folding of Letters; The letter (attached with enclosures) should be folded carefully
and in the correct size. Creases should be straight and should not spoil the neatness of
letters. They should be folded with minimum number of folds. If window envelopes
are used, the folding should be done in such a way that the address becomes visible
through the window. Standard envelopes should be used to accommodate the letters.
Before the letters are inserted in the envelopes, care should be taken for:
— writing the number of letter on the envelope and on the letter itself as recorded in
despatch register.
— checking the enclosures as mentioned at the left hand bottom of the letter, and
— fastening the enclosures by the main letter with pins, tags, clips or stapling wires.
In recent times machines have come up to be used for folding letters and inserting
them in the envelopes automatically.
d. Preparation of Envelopes; After folding, the letters are inserted in the right
envelopes. A complete and correct address must be written. Pin codes should be
given as they ensure a prompt delivery of letters. Address written on the letter and on
the envelope should tally. Window envelope can be used to avoid rewriting of address
on envelope. Address must be fully visible whether written by hand or typed.
Addressing machines may be used whenever necessary. The envelopes should be
sealed with gum, adhesive or cellotape. This work is tedious but should be done with
care. The adhesive should not spread inside as it may spoil the content. Different
categories of mail, like ‘Book Post’, ‘Registered Parcel’ etc. should be stamped or
written as per regulations of the post office.

e. Sorting, Weighing and Stamping

The envelopes of different categories of mail are to be sorted out category wise. The
outward mail generally are of two categories —
Local: to be sent through messenger, and Outstation: to be sent
through post office, courier, airlines. The second category may be classified as mail to
be sent by ordinary post, registered post, speed post, book post, foreign mail, under
certificate of posting, parcels to sent through Indian Airlines, Air India, Sea mail, etc.
The sorted mail should be put in separate trays so that the task of stamping is
facilitated. Stamps are to be affixed on mail which is sent by post. It is necessary
to weigh the different articles to be sent by post so that proper value of stamps are
affixed. An up-to-date copy of the ‘Post Office Guide’ should be kept with the
despatch clerk responsible for affixing stamps. In large organisations franking
machines are used for stamping. The letters which are to be sent by messenger are
entered in the Messenger or Peon Book and handed over to the messenger for
delivery.
 f. Despatching.
Finally, the posting and delivery of letters have to be arranged. Ordinary mail is posted at
the nearest Post Box at regular intervals. Special kinds of mail like registered and insured
articles etc. are separately sent to the post office. Letters to be sent by speed post are to be
presented at the counter of a post office meant for it.

2.7. Postal Facilities and Services

The Postal Department is the main agency which renders different types of mail services within
the country and abroad. The Post Office provides facility of carrying mail from one place to
another in different forms. It sends money through Money Order etc. from one city to another. It
provides facility of saving money through different modes like saving bank, etc. Urgent
messages can be sent quickly through telegrams and speed post. It also provides miscellaneous
services like VPP (VPP is a service just like cash on delivery, you have to attach a VPP money
order slip with your parcel, after the delivery the customer will pay the charge(along with money
order commission Rs.5/- for every Rs.100), and the post office will send the money to you
through Money order), TMO stands for Transit Mail Office. The department of post mainly has
two wings, Post Office & Railway Mail Service(RMS). TMO falls under the RMS. In these
offices there is no article sorting, as a matter of fact NO POSTAL BAGS can be opened in the
TMOs. These are mostly located at Railway Stations where they look after the transit of postal
bags through different trains (sections) (TMO), telephone, post box and bag, certificate of
posting, insurance, parcel registration, book packets, pattern packets, business reply cards and
envelopes, air, andnsea mail services, etc. A copy of Post Office Guide may be obtained/
purchased from the Head Post Office for getting full postal information along with current rates
of different services. Postal rates are revised from time to time. It is, therefore, necessary to
obtain a list of current postal rates for different types of services.

Carrying Mail
The Postal Department carries different types of mail, both inland and foreign. The mail sent
within the country is inland mail whereas a mail sent to foreign countries is known as
international mail. A mail carried by rail or road or ship is surface mail whereas mail carried by
aeroplane is called air mail. Inland mail includes post card, inland letter, envelope, book post,
sample packet, registered newspapers, parcels, etc. Blind literature packets are also sent at
concessional rates. Concessional postage is charged on book packets and pattern packets.

Sending Parcels
Businessmen and individuals frequently send goods and articles in small quantities to customers
and relatives through parcels. The maximum weight acceptable for a parcel is 20 Kg. In case of
more than 4 Kg. weight,
registration of parcel is compulsory. Any article can be sent by registered post. The registered
articles are delivered by the postman after obtaining the signature of the addressee.
Acknowledgment card may also be attached. Parcels are sent even to foreign countries through
airmail or ship. All parcels sent to foreign countries are subject to scrutiny. Therefore, clearance
by Customs Department is necessary on the prescribed form. Letters and parcels containing
costly items — cash, bankdraft, question papers, etc. are insured to avoid loss in transit. Articles
upto the value of 2 000 000 FCFA are insured by Branch Post Office while upto 10 000 000
FCFA value are insured at the Head Post Office. In case of loss, the amount is paid to the sender
as compensation. An article or letter can be sent by V.P.P. (Value Payable Post) and its value
is received from the addressee through the Post Office. Generally books, magazines and small
goods are sent by V.P.P. In case of loss, compensation is paid equal to the value of V.P.P. article.
The Value Payable Money Order commission is charged from the receiver.

Sending Money
A Money Order is an order passed by one Post Office to another Post Office to pay a specified
amount of money to the named person. A printed Money Order form is available on payment. A
receipt is issued by the postal clerk who books the Money Order. A Postal order is a kind of draft
drawn by one Post Office on another directing it to pay the value to the named person. Postal
Orders are the simplest form of remitting specified fees to the concerned office. It can be crossed
like a cheque and can be deposited in the payee’s account only. These have to be enchased
within 6 months. Remittances through Money Order and Postal Order are possible through Post
Office. Telegraphic Money Orders (TMO) can be sent through Post Office for sending money
immediately and quickly from one place to another. Money Orders can also be sent through
speed post. The maximum limit for sending money through Money Order is 999, 000 FCFA
Postal Orders of different value can be purchased from the Post Office for making payment
through Postal Order. Money can be sent also by insured post.

Saving Schemes
In order to promote the habit of thrift in society there are various saving schemes operated by the
Post Offices, like Post Office Saving Bank Account, National Saving Certificates (N.S.C.), Time
Deposit, Fixed Deposit, National Saving Scheme (N.S.S.), Recurring Deposit Scheme, Home
Safe Account, etc. For the benefit of retired persons a Monthly Income Scheme is also
run by Head Post Offices in big cities. Any individual can open and operate a Saving Bank A/c
in the Post Office on the basis of existing rules. NSC can be purchased for a period of 5 to 6
years on an attractive interest rate. Small savings can be deposited in the Post Office on monthly
basis in Post Office Recurring Deposit A/c. Home Safe A/c is useful for children, students and
persons who are below poverty line and wish to save small sums daily or weekly. Retirement
benefits and large sums can be invested in Post Office. Monthly Income Scheme is popular due
to the attractive rate of interest and to get a fixed amount on monthly basis. The details of these
scheme can be had from Post Offices.
Other Useful Services
1. Certificate of Posting
If a sender wants to have a documentary evidence of having posted an article, he can send it
under ‘Certificate of Posting’. Three letters can be sent under one certificate of posting by paying
a minimum fee. The words “Under Certificate of Posting” must be written on letters.

2. EMS or Speed Post

Letters were previously sent through Express Delivery Service. Now an Electronic Mail Service
(EMS) has been introduced known as Speed Post. This service is available at selected Post
Offices. Postal articles are booked at Speed Post Counters and are delivered in 24 hours. Facility
of Foreign Speed Post is also available.

3. Post Box and Post Bag

Post Box facility is available at any Head Post Office on payment of the required fee. The post
master allots a Post Box Number and gives a Key to the hirer. The duplicate key is retained in
the Post Office. All letters or mail of the concerned organisation are put into the box and may be
collected by the authorised representative or peon. A Post Bag is also provided on hire by the
Post Officee with lock and keys. One key along with the bag is given to the hirer while the other
is kept in the Post Office. The mail is put into the bag and locked. The bag is carried by the
authorized person to his office and opened by the manager or executive. This ensures secrecy
of the mail. The biggest advantage is that the mail is collected in time and distributed to the
concerned sections for prompt action instead of waiting for the postman to deliver it.

4. Telegrams and Phonograms

Urgent messages may be sent by telegram from one place to another within a few hours. Charges
for telegrams are based on the number of words and the type of telegram e.g. ordinary, express,
reply paid, multiple address, coded (cypher), greeting etc. The P&T Department has prepared a
list of messages which are normally sent in the form of greetings. A list is available in the
Telephone Directory also. Phonogram facility is also available whereby telegraphic messages are
dictated on phone. Telegraphic messages sent to foreign countries are sent through Cablegrams.

Rates of Postal Services

The rates of postal articles and services are revised and fixed by the Indian Post and Telegraph
Department from time to time. These rates are given in the current POST OFFICE GUIDE. The
students are advised to prepare a list of postal charges for all important mail items for their
information.