The University of Zambia

In association with
Zambia Centre for Accountancy Studies

BFS/BAF/BAA/BBA/BBE/BEF

INTRODUCTION TO MANAGEMENT

TEST 1
st
1 APRIL, 2016
TIME ALLOWED: TWO HOURS (plus 5 minutes to read through the paper)

INSTRUCTIONS:
1. Answer ALL questions.
2. This examination paper carries a total of 60 marks.
3. Candidates must not turn this page until the invigilator tells them to do so.

Q1. Management has evolved over a period of time. For one to fully understand and be able to
define management and functions of managers it is important to be able to explain the main
stages in the evolution of management from the classical theories to the modern day approaches.
You are therefore required to explain the three main stages in the evolution of management,
highlighting the differentiating factors of these stages. In addition to that, briefly explain the
main advantages and disadvantages of the different schools of management. (Reference should
be made to the Classical Theories, Human relations theories and modern theories). (20 marks)

Q2 ​ istinguish the following set of terms:

D
(a) Shareholders and stakeholders
(b) Public goods and merit goods
(c) Public limited companies and private limited companies
(d) Centralisation and decentralisation ​
(e) Job production and flow production systems
​ ​ ​ ​(10 marks)
Q3 ​ (a) Why is it important for organisations to set objectives? ​ ​ ​(3
marks)
(b) Define the following terms and state their significance in business
organisations:- ​(i) Satisficing ​(ii)
Bureaucracy ​ ​ ​ ​ ​ ​(2 marks)
​(c) Explain 5 main features of a limited liability company ​ ​ ​(5

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 marks)
​
Q4. ​(a) Briefly explain Fayol’s 4 principles of organisational design ​ ​(4
marks)
(b) Describe four features of an organisation that is most likely to have a wide span of
control ​ ​ ​ ​ ​ ​ ​ ​ (​ 4 marks)
(c) Why are organisations referred to as open systems? ​ ​ (​ 2
marks)
​ ​ ​ ​ ​
Q5. ​(a) ​Modern organisations are resorting to engaging teams in order to
accomplish their objectives. Therefore matrix structures are common in these organisations as
opposed to functional structures. Explain three advantages and two problems associated with the
use of matrix structure ​ ​ ​ ​ ​ ​ ​ ​ ​(5
marks)
(b) An office furniture firm which successfully produces a range of products made from
high quality materials is planning to boost exports. To do this it must introduce flow production
in its factory. Explain the problems associated with changes in production systems. (5
marks) ​ ​ ​ ​
​
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