LESSON 2 BUSINESS STUDIES

PRINCIPLES OF MANAGEMENT

( CASE STUDIES )

1. Panchayats in our country have been given the power to decide and spend funds granted to
them by government for the welfare of the villages . Identify the management principle
highlighted in the given statement .

2. Now a days people of various nationalities work together in a discrimination free environment
like India born Indira noori is the ceo of pepsi . Identify and mention any 2 positive effects of the
management principle highlighted in the above statement ?

3.In bravo industries the employee’s objective were in direct contrast to organizational
objective ,the employee ignored their own interest to give priority to organizational objective ,
which management principle is highlighted in the above case ?

4.what is principle of management ?

5. Give any one reason why principle of management do not provide ready made solutions to all
the managers ?

6. State how principles of management are flexible?

7. Why did Fayol introduce the concept of gang plank in the principle of scalar chain ?

8. What does the principle of initiative indicate ?

9. State the objective of time study and motion study

10. Give one reason why principle of management are contingent

11. Give the meaning of mental revolution suggested by F.W TAYLOR

12.Intrest of the stake holders like owners , share holders , creditors , tax authority , customers ,
society etc cannot be sacrificed for one individual or a small group of individual who want to
exert pressure on the company . Discuss the principle highlighted in the above statement .

13.varun is a sales manager in M/S BLUE STAR INDUSTRIES , he did an aggressive research
on cost saving advertising techniques & suggest then same to his sales manager , however the
ales manager did not pay any attention to his suggestion , more over he warned him not to come
with any suggestion in future Which principle is being violated by the manager

14. Mayank a sales manager in a vacuum company , he is given the responsibility of meeting
the sales target of 150 vacuum cleaners in a month to achieve this target he needs 20 sales
executives , however he has only 11 executives under him & he has not given the authority to
employ 9 more executive . he is only able to sell 80 vacuum cleaners , the general manager of the
company blames him for not achieving the targets . Do you think he can be blamed for this ?

15. .Akhil and shyam having same educational qualifications work as a sales executive in a water
purifier company .Akhil gets a salary of 14000 per month and shyam gets a salary of 17000 as he
belongs to the home town of sales manager .Name the principle violated in the above case.

16.Gangadhar is a worker in vijay industries a shoe making company he is regularly providing

instructions by one of his superior another superior lays down the sequence of operations his
speed efficiency and quality of work are also supervised by different superiors who specialize in
their respective fields.

1.identify the technique of scientific management followed by Vijay industries.

2.what is the significance of having so many superiors on gangadhar.

3 Which principle of fayol is not applicable in this kind of organisation

17. Sitaram production manager of X Limited wants to increase the speed of packing in order to
identify and eliminate unnecessary and and productive moments of workers in packaging he
installed a movie camera in the factory

1. which technique of scientific management is adopted by Seetharam

2. how can this technique help the X Limited.

18. In the festive season Shah Industries leading manufacturer of gift items decided to reduce the
rest intervals of workers from 30 minutes to just 7 minutes however due to heavy workload and
reduction in the time of various interval efficiency of worker went down and it lead to fall in the
production level instead

1. which technique of scientific management should be followed by industries also state the
technique

2. what should be done by the company to make the technique effective

19. Telco Limited is manufacturing files and folders from old clothes to discourage the use of
plastic files and folders for this they employee people from nearby village where very less job
opportunities are available as employees Harish design applied for the cost reduction but it is not
welcome by the production manager another employee give some suggestion for improvement in
design but it was also not appreciated by the production manager State the principle of
management describe in the above para.
20.Rahul is working as a production manager in CFL limited engaged in manufacturing of CFL
Bulbs There is no class conflict between the management and Workers. the working conditions
are very good the company is earning huge profit as a policy matter ,management is sharing the
gains with workers because they believe that the prosperity of the company can not exist for a
long time without the prosperity of employees sta te the principle of Management described in
the above para

21..rajat joined as a CEO of bharat limited a firm manufacturing computer Hardware on the first
day he addressed the employees he said that he believed that a good company should have an
employee diamonds information system and he wished to minimize employees turn over to
maintain organizational efficiency he informed all the employees that he would ensure all the
agreement were clear fair and there was judicious application of panties However he said that
he believed that lazy personal should be dealt with Sternly to send a message to everyone was
equal in the eyes of Management .Also. that he would want to promote the team spirit of unity
and harmony among employees which would give rise to the spirit of mutual trust, and
belongingness among team members and eventually minimize the need for using penalties, he
told all present that the interest of the organization should take priority over one individual
employee .

a. Identify and explain 4 principles of magt given by fayol which rajat highlighted in his address
to employees .

b. also state the values that he wanted to spread in the organization .

22. Principles of Taylor and fayol are mutually complimentary one believed that management
should not close its ears to constructive suggestion made by employees while other suggested
that a good company should have employee suggestion system whereby suggestions which
results in substantial time or cost reduction should be rewarded . Identify the principles of Taylor
and fayol

23 principles of Taylor and fayol are mutually complimentary ,one believed that management
should share gain with the workers ,while the other suggested that employee compensation
should depend upon the earning capacity of the company & should give them reasonable
standard of living .Identify the principles of fayol and Taylor

24. Employees turnover should be minimize to maintain organizational efficiency . mention the
principle being discussed

25. change in the attitude of workers & management towards one another from competition to
competition .Name the concept given in the above statement

26.Explain the technique of scientific management which is the strongest motivator for workers
to reach standard performance.
27. Nikita and Salma completed their MBA and started working in a multinational company at
the same level. Both are working hard and are happy with their employers Salman had the habit
of backbiting and wrong reporting about his colleagues to impress his Boss. All the employees in
an organisation know about it .At the time of performance appraisal the performance of Nikita
was judged better than Salman. Even then there was Mohammed Sharif decided to promote
Salman stating that being a female Nikita will not be able to handle the complications of a higher
post.

28. 'Sankalp Vidyalaya' believes in Holistic development of students and encourages team
building through a mix of curricular, co-curricular and sports . A committee of 10 prefect was
constituted to plan different aspects of the function. They all decided to use recycled paper for
decoration. There was a spirit of unity and harmony and all members supported each other. With
mutual trust and belongingness the programme was systematically planned and executed Karthik
one of the prefects released that unknowingly the group had applied on one of the principles of
management while planning and executing the programme. He was so inspired by the success of
the function that he asked his father to apply the same principal in his business his father replied
that he was already using this principle. Identify the principle of management applied for the
success of the programme.

29. Identify the techniques of scientific management in the following cases:

a. Wages are given to workers on the basis of performance.

b. Finding a best way of doing a job.

c. It violates the principle of unity of command.

d. To determine the rest intervals needed in completing a task.

e. It helps to identify unnecessary Movement in doing a job.

f. It introduces uniformity in materials, machines, tools and methods of work.

g. Facilitate determination of standard time needed to Performa a job.

h. Many specialist supervise each worker.

i. It aims to eliminate unnecessary diversity of product.

j. Technique of wage payment recommended by Taylor.

30. Identify the fayol's principle of management in the following cases:

a. Employees is given responsibility to achieve target production but no authority is given for
access to raw material.
b. There should be one and only one boss for every individual employee.

c. Each group of activities having same objective must have one head and one plan.

d. Manager should replace 'I' with 'we' in all his conversations with workers.

e. An Organisation must provide right place for resources.

f. Employees should be treated with justice and kindness.

g. Employee should not be moved from their position frequently.

h. Management should promote a team spirit of unity and harmony among employees.

i. One head for one plan.

j. Company should honor the commitment it has made to its employees.

k. Ramesh's objective is sacrificed to achieve the organisational objectives.

h. some part of profit is given to employees as bonus on reasonable basis.

i. A subordinate should not contact higher authority by passing is immediately superior.

j. Workers performing similar jobs should be paid similar wages.

k. Worker should be encouraged to develop and carry out their plans for development.

l. Violation of this principal leads to increase in cost of recruitment, selection and training.

31. sangram enterprises import various computers from China and assembles then to make a
complete computer .The total work involves three different tasks assembling labelling and
packing of computer .Each employee of the company independently performs all the three
tasks .As a result no employee is able to gain specilisation in the particular field and the
company is unable to fulfill order on time .

1State and identify the principle which can be fallowed by sangram Enterprises to over come this
problem ?

2. will the use of this principle enable the employees to gain specilisation

3. Can the company implement the principle in managerial work also ?

32 . Mr.Shyam lal is the production foremen in smart kid private limited ( kids wear
manufacturing company ) He gets instructions from Mr. Aditya (Production manager ) to
increase production due to over purchase of cloth .On the other hand Mr.Kantilal (Sales
manager) orders shyam lal to slow down the production due to un predictable trends in the
market demand
1.Which principle of management is overlooked in the above case ?

2.What can be the possible consequences of such violation ?

3.What can be done by Mr. Aditya and Mr. Kantilal to resolve this issue .