Abes Engineering College, Ghaziabad

Department of Computer Applications

Subject Name-Principles of Management & Communication
Subject Code-KCA-103
Question Bank- Unit-1

UNIT-1
PART-A (Two Marks Questions)

Q1) What is the difference between management and administration?

Ans)

Q2) Who is a manager?

Ans) A manager is a professional who takes a leadership role in an organisation and manages a team of
employees.

Q3) What is meant by coordination?

Ans) Coordination is an orderly arrangement of group efforts to provide unity of action in the pursuit
of common goals.

Q4) What do you mean by management?

Ans) Management is the process of planning and organising the resources and activities of a business to
achieve specific goals in the most effective and efficient manner possible. Efficiency in
management refers to the completion of tasks correctly and at minimal costs. Effectiveness in
management relates to the completion of tasks within specific timelines to yield tangible results.

Q5) Discuss the aims of scientific management.

Ans) The aims of Scientific management are:-
1. Science ,not rule of thumb
2. Harmony ,not discord.
3. Cooperation ,not individualism
4. Maximum output in place of restricted output.
5. Equitable division of work and responsibility between management and labour.

Q6) What is meant by scientific management?

Ans) Replacing rules of thumb with science(organized knowledge), obtaining harmony in group action,
achieving cooperation of all human beings, working for maximum output rather than restricted output.

Q7) What is meant by Henri Fayol’s Unity of Command?

Ans) The management principle ‘Unity of command’ means that an individual employee should receive
orders from one manager and that the employee is answerable to that manager. If tasks and related
responsibilities are given to the employee by more than one manager, this may lead to confusion which
may lead to possible conflicts for employees. By using this principle, the responsibility for mistakes can
be established more easily.

Q8) What are the qualities of a successful manager?

Ans) The qualities of a successful manager are:
1. Interpersonal roles
• Figurehead
• Leader
• Liaison

2. Informational roles
• Monitor
• Disseminator
• Spokesperson

3. Decisional roles
• Entrepreneur
• Disturbance Handler
• Resource Allocator
• Negotiator

Q9) What are the different levels of management?

Ans)

The term “Levels of Management’ refers to a line of demarcation between various managerial positions
in an organization. The number of levels in management increases when the size of the business and
work force increases and vice versa. The level of management determines a chain of command, the
amount of authority & status enjoyed by any managerial position. The levels of management can be
classified in three broad categories:

1. Top level / Administrative level

2. Middle level / Executory
3. Low level / Supervisory / Operative / First-line managers
Top level managers:-
It consists of board of directors, chief executive or managing director. The top management is the
ultimate source of authority and it manages goals and policies for an enterprise. It devotes more time on
planning and coordinating functions. The role of the top management can be summarized as follows:-
Top management lays down the objectives and broad policies of the enterprise.
• It issues necessary instructions for preparation of department budgets, procedures,
schedules etc.
• It prepares strategic plans & policies for the enterprise.
• It appoints the executive for middle level i.e. departmental managers.
• It controls & coordinates the activities of all the departments.
• It is also responsible for maintaining a contact with the outside world.
• It provides guidance and direction.
• The top management is also responsible towards the shareholders for the performance of the
enterprise.

Middle Level of Management:-

The branch managers and departmental managers constitute middle level. They are responsible to the
top management for the functioning of their department. They devote more time to organizational and
directional functions. In small organization, there is only one layer of middle level of management but in
big enterprises, there may be senior and junior middle level management. Their role can be emphasized
as –
They execute the plans of the organization in accordance with the policies and directives
of the top management.
• They make plans for the sub-units of the organization.
• They participate in employment & training of lower level management.
• They interpret and explain policies from top level management to lower level.
• They are responsible for coordinating the activities within the division or department.
• It also sends important reports and other important data to top level management.
• They evaluate performance of junior managers.
• They are also responsible for inspiring lower level managers towards better performance.

Lower Level of Management :-

Lower level is also known as supervisory / operative level of management. It consists of supervisors,
foreman, section officers, superintendent etc. According to R.C. Davis, “Supervisory management refers
to those executives whose work has to be largely with personal oversight and direction of operative
employees”. In other words, they are concerned with direction and controlling function of management.
Their activities include –
Assigning of jobs and tasks to various workers.
• They guide and instruct workers for day to day activities.
• They are responsible for the quality as well as quantity of production.
• They are also entrusted with the responsibility of maintaining good relation in the
organization.
• They communicate workers problems, suggestions, and recommendatory appeals etc to
the higher level and higher level goals and objectives to the workers.
• They help to solve the grievances of the workers.
• They supervise & guide the sub-ordinates.
 • They are responsible for providing training to the workers.
• They arrange necessary materials, machines, tools etc for getting the things done.
• They prepare periodical reports about the performance of the workers.
• They ensure discipline in the enterprise.
• They motivate workers.
• They are the image builders of the enterprise because they are in direct contact with the
workers.

Q10) What do you understand by Esprit de corps?

Ans) The management principle ‘esprit de corps’ of the 14 principles of management stands for striving
for the involvement and unity of the employees. Managers are responsible for the development of
morale in the workplace; individually and in the area of communication. Esprit de corps contributes to
the development of the culture and creates an atmosphere of mutual trust and understanding.

Q11) What is globalization?

Ans) Globalization is the free movement of goods, services and people across the world in a
seamless and integrated manner. Globalization can be thought of to be the result of the opening
up of the global economy and the concomitant increase in trade between nations. In other words,
when countries that were hitherto closed to trade and foreign investment open up their economies
and go global, the result is an increasing interconnectedness and integration of the economies of the
world. This is a brief introduction to globalization.

Q12) Enlist the various functions of management.

Ans) According to Henry Fayol, “To manage is to forecast and plan, to organize, to command, & to
control”. Whereas Luther Gullick has given a keyword ’POSDCORB’ where P stands for Planning, O for
Organizing, S for Staffing, D for Directing, Co for Co-ordination, R for reporting & B for Budgeting. But
the most widely accepted are functions of management given by KOONTZ and O’DONNEL i.e. Planning,
Organizing, Staffing, Directing and Controlling.

1. Planning
It is the basic function of management. It deals with chalking out a future course of action &
deciding in advance the most appropriate course of actions for achievement of pre-determined
goals. According to KOONTZ, “Planning is deciding in advance - what to do, when to do & how to
do. It bridges the gap from where we are & where we want to be”. A plan is a future course of
actions. It is an exercise in problem solving & decision making. Planning is determination of
courses of action to achieve desired goals. Thus, planning is a systematic thinking about ways &
means for accomplishment of pre-determined goals. Planning is necessary to ensure proper
utilization of human & non-human resources. It is all pervasive, it is an intellectual activity and it
also helps in avoiding confusion, uncertainties, risks, wastages etc.

2. Organizing
 It is the process of bringing together physical, financial and human resources and developing
productive relationship amongst them for achievement of organizational goals. According to
Henry Fayol, “To organize a business is to provide it with everything useful or its functioning i.e.
raw material, tools, capital and personnel’s”. To organize a business involves determining &
providing human and non-human resources to the organizational structure. Organizing as a
process involves:
• Identification of activities.
• Classification of grouping of activities.
• Assignment of duties.
• Delegation of authority and creation of responsibility.
• Coordinating authority and responsibility relationships.

3. Staffing
It is the function of manning the organization structure and keeping it manned. Staffing has
assumed greater importance in the recent years due to advancement of technology, increase in
size of business, complexity of human behavior etc. The main purpose o staffing is to put right
man on right job i.e. square pegs in square holes and round pegs in round holes. According to
Kootz & O’Donell, “Managerial function of staffing involves manning the organization structure
through proper and effective selection, appraisal & development of personnel to fill the roles
designed un the structure”. Staffing involves:
• Manpower Planning (estimating man power in terms of searching, choose the person
and giving the right place).
• Recruitment, Selection & Placement.
• Training & Development.
• Remuneration.
• Performance Appraisal.
• Promotions & Transfer.

4. Directing --- It is that part of managerial function which actuates the organizational methods to work
efficiently for achievement of organizational purposes. It is considered life-spark of the enterprise which
sets it in motion the action of people because planning, organizing and staffing are the mere
preparations for doing the work. Direction is that inert-personnel aspect of management which deals
directly with influencing, guiding, supervising, motivating sub-ordinate for the achievement of
organizational goals. Direction has following elements:

Q13) How does effectiveness differ from efficiency?

Ans) It is the function of manning the organization structure and keeping it manned. Staffing has
assumed greater importance in the recent years due to advancement of technology, increase in size of
business, complexity of human behavior etc. The main purpose o staffing is to put right man on right job
i.e. square pegs in square holes and round pegs in round holes. According to Kootz & O’Donell,
“Managerial function of staffing involves manning the organization structure through proper and
effective selection, appraisal & development of personnel to fill the roles designed un the structure”.
Staffing involves:
• Manpower Planning (estimating man power in terms of searching, choose the person and giving
the right place).
• Recruitment, Selection & Placement.
• Training & Development.
 • Remuneration.
• Performance Appraisal.
• Promotions & Transfer

Q14) What is Scalar Chain?

Ans) Scalar chain principle states that instructions & orders should be sent from the top management to
the lower management.

Q15) What is responsibility?

Ans) It is the amount of work from a man by his superior.

Q16) Mention the role of Managers (any two).

Ans) Mintzber’s a management thinker identified ten roles & classified them within three broad
categories.
1. Interpersonal roles:
a) Figure head role:  In this role a manager performs symbolic duties required by status of his office. 
His activities include to greet the visitors attends employee family functions.
b) Leader:  Responsible for the motivation & activation of subordinates.  Responsible for staffing,
training & associated duties.

Q17) Define Organization.

Ans) Barnard gave a theory of formal organisation. he defined it as "a system of consciously co-
ordinated activities of forces of two or more persons." according to him, organisation consisted of
human beings whose activities were co-ordinated and therefore becomes a system : according to
barnard initial existence of organisation depends upon three elements : (i) the willingness of persons to
contribute efforts to the co-operative system (ii) there should be an objective of co-operation and (iii)
proper communication system is necessary.

Q18) Give the main importance of management.

Ans) It is the process of bringing together physical, financial and human resources and developing
productive relationship amongst them for achievement of organizational goals.
•To organize a business involves determining & providing human and nonhuman resources to the
organizational structure.
•identification of activities.
•classification of grouping of activities.
•assignment of duties.

Q19) How management helps employees in organization?

Ans) It is the process of bringing together physical, financial and human resources and developing
productive relationship amongst them for achievement of organizational goals.
•To organize a business involves determining & providing human and nonhuman resources to the
organizational structure.
•identification of activities.
•classification of grouping of activities.
•assignment of duties.
Q20) Define Top level management.
Ans) Top management : Top management is the ultimate source of authority and it lays down goals,
policies and plans for the enterprise. It devotes more time on planning and coordinating functions top
management include :
• to establish the objectives or goals of the enterprise.
• to make policies and frame plans to attain the objectives laid.
• to set up an organizational frame work to conduct the operations as per plans.
• to assemble the resources of money, men, materials, machines and methods to put the plans into
action.
• to exercise effective control of the operations.
• to provide overall leadership to the enterprise.

PART-B (Ten Marks Questions)

Q1) Management can be considered as the management of Men, Material and Machine. Explain the
statement.
Ans) Since man became victorious in the industrial revolution, every business has been using these
five M’s: man, materials, machines, minutes and money; to operate with, or without, success.

Man:
Man, the first of the five M’s is the most important. The right personnel for the right position is a
sure bet for organizational effectiveness and efficiency. No two ways about that. Thus, lateness
and absenteeism, unsafe acts, alcoholism, poor training, incompetence are just some of the
attributes of man at work that could upturn the apple cart of business ventures. Human resources
determine the workings of the other four basic business resources. People make sure materials,
machines, minutes and money are utilised in a productive manner to achieve goals or aims and
objectives of organizations and enterprises. Poor employment practices are inimical to the
sustenance of such ventures. With the right man in the right job, a large portion of effective
business management will have been achieved. No doubts about that.

Materials:
Without materials, human resource is made redundant. Thus every right thinking and right
planning organization knows that materials needed for any business or service must be in place
before ‘man’ can be of use in any business activity. Supply chain departments grew out of this
thinking and has been a very useful and effective aspect of business management. A group of
cement factory workers waiting for supply of limestone may have nothing much to do for as long
as the supply does not arrive. Even if it arrives, but in poor quality, the production is certainly
doomed for a loss. Quality compromised is business pauperized. Poor quality of materials
potentially ruins entrepreneurship. This is an indisputable fact.

Machines:
The metal contraptions called machines have made man fulfill almost effortlessly various dreams
of creating things that make our existence more worthwhile. Machines have replaced man in
tilling, planting, and harvesting. Man has been replaced with looms in cotton and fabric
processing. Countless other ventures requiring physical exertions of force has been taken over by
things fixed with gears, bolts and nuts and conveyor belts. Recently, computers joined in the fray
of increasing production and reduction in time spent by man for manufacturing and general
production of goods and services. However, without man and materials, machines will be
useless. They need to be operated by man and fed with materials. That again is a doubtless fact.

Q2)Explain the features and importance of management.

Ans) Management is an activity concerned with guiding human and physical resources such that
organizational goals can be achieved. Features of management can be highlighted as:

1. Management is Goal-Oriented: The success of any management activity is assessed by its

achievement of the predetermined goals or objective. Management is a purposeful activity. It is a
tool which helps use of human & physical resources to fulfill the predetermined goals. For
example, the goal of an enterprise is maximum consumer satisfaction by producing quality goods
and at reasonable prices. This can be achieved by employing efficient persons and making better
use of scarce resources.

2. Management integrates Human, Physical and Financial Resources:

In an organization, human beings work with non-human resources like machines. Materials,
financial assets, buildings etc. Management integrates human efforts to those resources. It
brings harmony among the human, physical and financial resources.

3. Management is Continuous: Management is an ongoing process. It involves continuous

handling of problems and issues. It is concerned with identifying the problem and taking
appropriate steps to solve it. E.g. the target of a company is maximum production. For achieving
this target various policies have to be framed but this is not the end. Marketing and Advertising
is also to be done. For this policies have to be again framed. Hence this is an ongoing process.

4. Management is all Pervasive: Management is required in all types of organizations whether it is

political, social, cultural or business because it helps and directs various efforts towards a
definite purpose. Thus clubs, hospitals, political parties, colleges, hospitals, business firms all
require management. Whenever more than one person is engaged in working for a common
goal, management is necessary. Whether it is a small business firm which may be engaged in
trading or a large firm like Tata Iron & Steel, management is required everywhere irrespective of
size or type of activity.

5. Management is a Group Activity: Management is very much less concerned with individual’s
efforts. It is more concerned with groups. It involves the use of group effort to achieve
predetermined goal of management of ABC & Co. is good refers to a group of persons managing
the enterprise.

Importance of Management
1) It helps in Achieving Group Goals - It arranges the factors of production, assembles and
organizes the resources, integrates the resources in effective manner to achieve goals. It
directs group efforts towards achievement of pre-determined goals.
2) Optimum Utilization of Resources - Management utilizes all the physical & human
resources productively. This leads to efficacy in management.Management provides
maximum utilization of scarce resources by selecting its best possible alternate use in
industry from out of various uses.
 3) Reduces Costs - It gets maximum results through minimum input by proper planning and by
using minimum input & getting maximum output.
4) Establishes Sound Organization - No overlapping of efforts (smooth and coordinated
functions). To establish sound organizational structure is one of the objective of management
which is in tune with objective of organization and for fulfillment of this, it
establishes effective authority & responsibility relationship i.e. who is accountable to
whom, who can give instructions to whom, who are superiors & who are subordinates.
5) Essentials for Prosperity of Society - Efficient management leads to better economical
production which helps in turn to increase the welfare of people. Good management makes a
difficult task easier by avoiding wastage of scarce resource.

Q3) What are the methods to increase productivity of employees?

Ans) 10 of the best strategies to improve employee productivity that we can implement in our
company:-
1. Hire the right people
2. Provide education and training
3. Provide the right tools and equipment
4. Improve communication
5. Reduce/eliminate work distractions
6. Improve teamwork
7. Set clear goals and provide feedback
8. Improve the work environment
9. Look after and reward your employees
10. Avoid micromanagement

Q4) “Management fulfills all the criteria of being a profession.” Define the statement with suitable
points.
Ans) There are various features that management and profession have in common. In other words, since
management displays features that come under the umbrella of a profession, it is said to be a
profession. Let us dig deeper into the characteristics common to all professions:
Well-defined Body of knowledge
A profession has a certain basic set of knowledge that acts as instruction and can be acquired by
practice.

Restricted Entry
One cannot simply just enter into a profession. Instead, there are some eligibility criteria like an
examination which the person needs to pass in order to enter into the professional domain. For
example, in India, a person becomes a CA only after they pass the examinations conducted by the ICAI.

Professional Association
Every profession is further the lookout of their respective associations. In simple words, each profession
is affiliated to a body, council or association that carries out function like regulating entries, maintaining
the code of conduct, grants certificates and so on. For example, the Bar Council of India controls the
activities of all lawyers.

Ethical Code of Conduct

There are certain ethics which the torchbearer of every profession has to abide by. These guide the
behaviour of the members.
Service Motive
Lastly, the aim of every profession is to serve the clients. This further means that a professional is
required to render committed and dedicated services to ensure fulfilment of client’s interests.

Q5) Explain the scientific theory of management and how does it help in managing the activities of
Business.
ANS) According to Taylor, “Scientific management means knowing exactly what you want men to do and
seeing that they do it in the best and cheapest way.” Scientific management is based on the analysis,
planning and control functions and job accomplished by analyzing, and works can selected and trained
scientifically.
In this, management role is to determine the kind of work for which an employee suited and hire and
assign workers accordingly. Management is not responsible for execution of work but they are
responsible for how the work is done. Co-operation between management and workers can enhance
the work and achieve the maximum output. Taylor called it as “mental revolution”, because it creates
the mutual understanding, trust and confidence between the management and workers for achieving
goal (higher production). Principles of scientific management under scientific management, Taylor
developed the following parameters for organization.
ø scientific work study
ø task planning
ø tools and materials ø selection and training ø standardization
ø worker management interrelationships
ø differential piece wage system

OBJECTIVE OF SCIENTIFIC MANAGEMENT

ø Scientific utilization of various resources like human power, material etc. ø to provide trained and
efficient work force.
ø To provide standardize methods of work.
ø To provide a scientific base for selecting material, and equipment.
ø To provide extra wages to the worker for higher production.
ø Replace old rule of thumbs to new scientific methods.
ø To develop a good rapport between management and workers.
ø To achieve higher production, with reduce costs and maximum efficiency.
ø Less wastage.

Q6) Elucidate evolution of management.

Ans) The practice of management is as old as human civilization. The ancient civilizations of
Mesopotamia, Greece, Rome & Indus valley displayed the marvelous results of good management
practices. The origin of management as a discipline was the work of Fredrick Winsolw Taylor & his
associates during the scientific management movement that developed around 1900. The different
approaches of management are,
i) Classical approach
ii) Behavioural approach
iii) Quantitative approach
iv) System approach
v) Contingency approach-We can identify at least 2 management theory that can grow an
importance.
System approach: Like a human organism an organisation is a system. In an organisation also
people, tasks & the management are interdependent.
 System concepts: System theory was first applied in the fields of science & engineering. “A
system is essential a set or assemblage of things interconnected or independent, so as to form a
complex unity”. Just as a doctor effective manager should collect information about all parts of
the organisation in order to diagnosis a problem & take necessary corrective action.
Some key concepts: Subsystem: While an organisation as a whole is a system, the various
components or parts within it are called the subsystem. Thus a department is a subsystem of
the organisation.
vi) Closed system: A system that does not interact with its environment. A closed system has fixed
boundaries, its operation is relatively independent of the environment outside the system.
vii) Open system: A system that does not interact with its environment. Thus an open system is one
which constantly comes into contact with the environment.
viii) Synergy: Synergy means that departments that interact cooperatively are more productive than
they would be if they operated in isolation.
ix) The organisation imparts information, capital, human resources & material from its
environment. These resources are called as inputs. These inputs are converted into products
using technology, system & methods. Systems approach of management provides an integral
approach to management. This approach is more useful in managerial decision. It provides a
framework through which organisation. Environment interaction can be analysed & contributes
for effective decision-making.
x) Managerial systems: Based on the system approach Talcot parsons has suggested three
meaningful levels in the organisation.
Technical level: It involves actual production & distribution of products & services.
Organisational level: It coordinates & integrates work performance at the technical level.
Institutional level: It is concerned with relating activities of the organisation to environmental
system. It involves relating the organisation to the needs of the environment. The contingency
approach: The contingency approach is also called as situational approach. It is developed by
managers, consultant & researchers who tried to apply for real life situation. Some
management concepts are very effectively in one situation. The same management concept is
failed in another situation. Results or solutions differ because situations differ. In contingency
approach theory managers identify which is suitable technique for a particular situation,
particular environment of the organisation at a specific time. The contingency approach theory
is more favour to the modern management theory. Modern management theory suggests that
psychological approach to the employees
Q7)Explain the various types of business organizations.
Ans)

Q8) Write about System approach and Contingency approach of Management.

Ans) 1. System Approach to Management: Features of Systems Approach:

(i) A system consists of interacting elements. It is set of inter-related and inter-dependent parts
arranged in a manner that produces a unified whole.
(ii) The various sub-systems should be studied in their inter-relationships rather, than in
isolation from each other.
(iii) An organisational system has a boundary that determines which parts are internal and
which are external.
(iv) A system does not exist in a vacuum. It receives information, material and energy from
other systems as inputs. These inputs undergo a transformation process within a system and
leave the system as output to other systems.
(v) An organisation is a dynamic system as it is responsive to its environment. It is vulnerable to
change in its environment.

Contingency Approach of Management :-

 A contingency approach to management is based on the theory that management effectiveness is
contingent, or dependent, upon the interplay between the application of management behaviors
and specific situations. In other words, the way you manage should change depending on the
circumstances. One size does not fit all.

Features of Contingency Theory:

• Management is situational in nature. The technique of management depends on complexity
of the situation.
• Management principles are not universal in nature as there is no best style of management.
Management is situational and managerial actions depend upon the environmental
circumstances.
• It helps in understanding the complex organisations as it focuses on multivariate nature of
organisations.
• It helps an organisation to operate under different environmental conditions. Rather than
having a specific solution to solve problems, it provides a framework where every solution
depends upon the environmental conditions. Same problem can have different solutions at
different points of time and different problems can have same solution at the same point of
time.
• It provides insight into organisation’s adaptability to both internal and external
environment. It is a matter of fitting the internal environment to its external environment.

Q9)Write short notes on Human relations approach.

Ans) Human Relations Theory focuses specifically on the individuals needs and resultant behaviors of
individuals and groups. It takes an interpersonal approach to managing human beings. It presents the
organization is made up of formal and informal elements. The formal elements of an organization are its
structure. The informal aspects of the organization include the interactions between individuals. In this
way, the organization is a type of social system. This system should be managed to create individual job
satisfaction and the resultant motivation of the individual. Notably, much emphasis is placed on how
individuals interact within groups and the result group behavior and performance.

Elements of Human Relations Theory

At the core of human relations theory are these six basic propositions:
• A focus on people, rather than upon machines or economics
• The organizational environment is not an organized social context
• Human relations are important in motivating people
• Motivation depends upon teamwork, requiring co-ordination and cooperation of individuals
involved.
• Human relations within teams must fulfill both individual and organizational objectives
simultaneously
• Individuals and organizations desire efficiency by achieving maximum results with minimum
inputs.
 Also, central to the understanding of Human Relations theory is the concept of individual
motivation. The drawback of this theory is that it requires the acceptance of numerous assumptions
about human behavior.

The primary contributors to Human Relations Theory are:

• Elton Mayo - Mayo is best known for his contribution to human relationships management
through the Hawthorne experiments.

• Mary Parker Follet - Follet employed psychological tools to understand the efficient use of
people. She introduced the concept of de-personalized authority and responsibility. The also
advocated for the integration of decision making through communication channels.

Q10) Explain the various managerial roles and skills.

Ans) Mintzber’s a management thinker identified ten roles & classified them within three broad
Categories:-

1) Interpersonal roles:
a) Figure head role:
• In this role a manager performs symbolic duties required by status of his office.
• His activities include to greet the visitors attends employee family functions.
b) Leader:
• Responsible for the motivation & activation of subordinates.
• Responsible for staffing, training & associated duties
c) Liasin:
• It describes a manager’s relationship with the outsiders.
• A manager maintains smooth relation with other organisation governments industry groups etc.

Informational roles:
a) Monitor: A manager scans the environment & collects internal & external informations.
b) Disseminator: Manager distributes the information to his subordinated in order to achieve
organizational objectives.
c) Spokes person: Transmits the information’s to the outside of the organisation.

Decisional roles:
a) Entrepreneur: Initiates & supervises design of organizational improvement projects.
b) Disturbance handler: Responsible for corrective action when organisation faces on expected
problems.
c) Resource allocator: Manager responsible to allocation of human, monetary & material
resources.
d) Negotiator: As a manager bargains with suppliers, dealers, trade union, agents etc.

Q11) Write the characteristics and limitations of classical approach.

Ans) The Classical Approach is one of the oldest approaches in management and is also known by
various names, i.e., Empirical, Functional and Management Process Approach.

This theory incorporates three view points:

(i) Taylor’s view point,
(ii) Fayol’s Administrative theory,
(iii) Weber’s Bureaucracy.

Classical approach signifies from the following features:

(i) Classical theory concentrate on anatomy of formal organisation through division of labour,
specialization, structure, scalar, functional processes and span of control.
(ii) Management is the study of managerial experiences. If the experiences are studied and
certain generalizations are deducted there from, these will help the practicing managers.
(iii) Classical Approach treats organisation as a closed system.
(iv) Formal organisation structure coordinates the activities of the organisation. They ignored
the element of human beings.
(v) Principles and functions of management have universal application.
(vi) Scientific management emphasized efficiency of lower levels of organisations.
(vii) Work force were supposed to be rational economic force, they could be motivated through
economic incentives.
(viii) Classical approach emphasized on ‘centralization of authority’.
(ix) This school is based on the close study of past managerial experience and cases, so formal
education and training is needed for developing managerial skills.

Limitations of Classical Theory:

The classical approach suffers from several limitations:

(i) The classical ignored the human relations aspects and undermines the role of human factor.
(ii) Classical viewed organisation as a closed system, i.e., having no interaction with external
environment.
(iii) Economic rewards assumed as the main motivator of work force. They have ignored nonmonetary
factors.
(iv)The classical principles are based on managerial experiences and their limited observations. These
are not empirical.
(v) Classical approach is based on over-simplified assumptions. Its principles are ambiguous and
contradictory.
(vi)This school emphasized on strict adherence to rules and regulations. The scope for individual
initiative is thus limited.

Q12) Describe the relative importance of each type of skills to lower, middle and upper level managers.
Ans) The term “Levels of Management’ refers to a line of demarcation between various managerial
positions in an organization. The number of levels in management increases when the size of the
business and work force increases and vice versa. The level of management determines a chain of
command, the amount of authority & status enjoyed by any managerial position. The levels of
management can be classified in three broad categories:
 1. Top level / Administrative level
2. Middle level / Executory
3. Low level / Supervisory / Operative / First-line managers
Managers at all these levels perform different functions. The role of managers at all the three
levels is discussed below:

Top Level of Management:

It consists of board of directors, chief executive or managing director. The top management is
the ultimate source of authority and it manages goals and policies for an enterprise. It devotes
more time on planning and coordinating functions.

The role of the top management can be summarized as follows –

• Top management lays down the objectives and broad policies of the enterprise.
• It issues necessary instructions for preparation of department budgets, procedures,
schedules etc.
• It prepares strategic plans & policies for the enterprise.
• It appoints the executive for middle level i.e. departmental managers.
• It controls & coordinates the activities of all the departments.
• It is also responsible for maintaining a contact with the outside world.
• It provides guidance and direction.
• The top management is also responsible towards the shareholders for the performance
of the enterprise.

Middle Level of Management

The branch managers and departmental managers constitute middle level. They are responsible to the
top management for the functioning of their department. They devote more time to organizational and
directional functions. In small organization, there is only one layer of middle level of management but in
big enterprises, there may be senior and junior middle level management. Their role can be emphasized
as –

• They execute the plans of the organization in accordance with the policies and directives of the
top management.
• They make plans for the sub-units of the organization.
• They participate in employment & training of lower level management.
• They interpret and explain policies from top level management to lower level.
• They are responsible for coordinating the activities within the division or department.
• It also sends important reports and other important data to top level management.
• They evaluate performance of junior managers.
• They are also responsible for inspiring lower level managers towards better performance.
Lower Level of Management
Lower level is also known as supervisory / operative level of management. It consists of
supervisors, foreman, section officers, superintendent etc. According to R.C. Davis, “Supervisory
management refers to those executives whose work has to be largely with personal oversight
and direction of operative employees”. In other words, they are concerned with direction and
controlling function of management. Their activities include –
 • Assigning of jobs and tasks to various workers.
• They guide and instruct workers for day to day activities.
• They are responsible for the quality as well as quantity of production.
• They are also entrusted with the responsibility of maintaining good relation in the organization.
• They communicate workers problems, suggestions, and recommendatory appeals etc to the
higher level and higher level goals and objectives to the workers.
• They help to solve the grievances of the workers.
• They supervise & guide the sub-ordinates.
• They are responsible for providing training to the workers.
• They arrange necessary materials, machines, tools etc for getting the things done.
• They prepare periodical reports about the performance of the workers.
• They ensure discipline in the enterprise.
• They motivate workers.
• They are the image builders of the enterprise because they are in direct contact with the
workers.

Q13) Discuss the relation between “efficiency” and “effectiveness” and how they impact the
performance of an organization.
Ans) Effectiveness is achieving the objective with minimum amount of resources.
The terms efficiency and effectiveness are thought to be the same and sometimes it is used in place
of each other. However, both are different.
 Efficiency is a measure of the amount of resources required to achieve the output, i.e. the use of
system resources to get results. Being efficient implies the system is operating the ‘right’ way.
The relationship between effectiveness and efficiency is that effectiveness is a measure of ’goodness’ of
output, while efficiency is a measure of the resources required to achieve the output. Thus effectiveness
of the system refers to the quality of outputs from the system.
Efficiency and effectiveness are two terms that are most commonly used in management. Efficiency
refers to the act of performing activities with minimum wastage of time and optimum usage of
resources, so that the work done is faster and in an error free manner.
Effectiveness is a broader concept than efficiency and it is related to the extent to which work is
done in order to achieve the desired or targeted outcomes. In other words, we can say it is the
extent to which someone or something is successful towards meeting the desired outcome.

Basis of Difference Effectiveness Efficiency

1. Meaning It refers to completing It refers to completing

the job on time, no the job in the cost-
matter whatever the effective manner.
cost.

2. Objective To achieve end result To conduct cost-benefit

on time. analysis.

3. Main Consideration Time Cost

Q14) What are contributions of F.W.Taylor?

Ans) The origin of management as a discipline was the work of Fredrick Winsolw Taylor & his associates
during the scientific management movement that developed around 1900.
Taylor conducted various experiments at the work place to find out how human beings could be made
more efficient by standardizing the work. The following are the features of scientific management.
1. Separation of planning & doing:
a) Taylor suggests the separation of planning from actual doing.
b) Taylor says that supervisor should be done the planning.
c) The workers only concentrate on doing the work.
2. Functional foremanship:
a) Taylor developed a theory called functional foremanship based on specialization of function.
b) In this system eight foreman were involved to direct & control the activities of the workers.
3. Job analysis: Every job that requires minimum movements & less cost & least time is the best way of
doing the job. This can be determined by motion, time & fatigue study.
a) Time study: The movement which takes minimum time is the best one. This helps in firm the fair work
for a period.
b) Motion study: Taylor suggested the eliminating wasteful movements and performing only necessary
movement.
c) Fatigue study: Employees are both physical as well as mental fatigue easily. Fatigue study indicates
the amount & frequency of rest required in completing the job. Taylor suggests a fair day’s work
requiring certain movements & rest periods to complete it.
4. Standardization: Standards must be maintained in respect a instruments & tools, period of work,
amount of work, working conditions, cost of production etc. Normally these standards will be fixed in
advance on the basis of various experiments.
5. Scientific selection & training:
a) Taylor has suggested that workers should be selected on scientifically.
b) A worker should be physically & technically most suitable.
c) After selection should be given on the training of workers which makes them more efficient &
effective.
6. Financial incentives: Financial incentives can motivate the workers to put in their maximum efforts.
a) According to this scheme a worker who completes the normal work gets wages at higher rate.
b) Who does not complete gets at lower rate.
c) Taylor has suggested that wages should be based on individual performance & not on the position
which he occupies.
7. Economy:
a) Scientific management enhances profit & economy.
b) The economy & profit can be achieved by making the resources more productive as well as by
eliminating the wastages.
8. Mental revolution:
a) Scientific management is based on co-operation between management & workers.
b) Co-operation enhances the effective managerial activities.
c) Mutual conflict should be replaced by mutual co-operation which is beneficial to both.

Q15)Discuss in detail about Henri Fayol’s contribution towards principles of management.

Ans) Henry Fayol, a French industrialist concentrated on the administrative aspect of scientific
management. His contributions are concentrated in his famous book “the general & industrial
administration”. Fayol’s famous book falls into 2 parts. The first is concerned with the theory of
administration in which Fayol divided the total industrial activities into six categories which are given
below.
i. Technical (production, manufacture).
ii. Commercial (buying, selling, exchange).
iii. Financial (search for optimum use of capital).
iv. Security (protection of property & persons).
v. Accounting (balance sheets, cost statistics).
vi. Management (planning, organizing, coordinating, directing, controlling).

The second is concerned with the fourteen principles of management. They are

a) Division of work: Work should be divided in a proper way with reference to the available
time. In general worker on the same job & the managers on the same duty acquire ability
sureness & accuracy which increase their output.
b) Authority & responsibility: Authority: It is the power given to a person to get work from his
subordinates. Responsibility: It is the amount of work from a man by his superior. One of the
essential elements of a good management is delegation of authority to the lower levels of
management & fixing responsibility on town.
c) Discipline: Discipline is very essential for the smooth running of organization. To Fayol,
discipline will result from good leadership at all levels of the organization, fair agreements &
judiciously enforced penalties for infractions.
d) Unity of command: An employee must receive orders & instructions from one supervisor
only. Multiple commands will cause conflicts & confusions. A sound management should avoid
dual commands.
e) Unity of direction: Unity of direction signifies each group of activities having the same
objective must have one head & one plan. All the group should coordinate & work together to
achieve the common goal.
f) Subordination of individual interest to general interest: Every employee is working in an
organization & his interest is to earn money to meet his personal needs. The general interest of
the organization is development & the progress of the organization. The employees should give
importance first to the general interest than his individual interest. It will lead to effective
management of the organization.
g) Remuneration of personnel: Remuneration should be fair for both the employees &
employers. The wage payment systems should satisfy the employees.
h) Centralization: The organization is centralized when the power is concentrated with one
person. If the power is fully distributes to the subordinates of the organization is fully
decentralized. For effective management of people decentralized. For effective management of
people decentralization is necessary. Decentralization helps to take a quick decision on all
important problems.
i) Scalar chain: Scalar chain principle states that instructions & orders should be sent from the
top management to the lower management.

j) Order:
2 types of order
1) materials order
2) social order.
In any organization materials & for men are correct places provided. So that materials can
be easily taken out & men easily located & also save time.
Materials order: “A place for everything & everything in its place”.
Social order: “A place for everyone & everyone in its place”.

k) Equity: Equity refers to the treatment of employees equally. Equal treatment of the
employees helps to achieve organizational goals.
l) Stability of tenure of personnel (staff): A high employee turnover rate is not good for the
efficient functioning of any organization.
m) Initiative: It is concerned with thinking & execution of a plan. When employees come
forward with new ideas, they must be encouraged by the superiors. It will create the morale of
the employees.
n) Esprit -de-corps: This means union is strength. In organization employees should be harmony
and unity. It improves employee moral.
Q16) Draw out clearly whether Management is Science or Art.
Ans) Management as a science or an art:

Science: The following characteristics are essential for a subject to be recognized as a science.
• The existence of a systematic body of knowledge with array of principles.
• Based on scientific enquiry.
• Principle should be verifiable .
• Reliable basis for predicting future events.
Management as a discipline fulfills the science criterion. The application of these
principles helps any practicing manager to achieve the desired goals. Management is a dynamic
subject in that it has heavily from economics, psychology, sociology, mathematics &
engineering. Management is multidisciplinary in nature.
Science classified in to 2 types. They are exact science & inexact science. Exact science where
the results are accurate. In the case of management it is an inexact science.
Management is inexact science because,
• Every organizations human resources are different attitudes, aspirations & perceptions. So
standard results may not be obtained.
• Readymade & standard solutions cannot be obtained.
• Management is complex & unpredictable.
• Every organization decisions are influenced by the environment .

The environment is so complexes & unexpected changes.

Art:
Art means application of skill in finding a desired result. Art is the way of doing things skillfully.
Management is an art because of the following facts:-

• Management process involves the use of practical knowledge & personal skill.
• Management is creative.
• Application of practical knowledge & certain skills helps to achieve concrete results.
Management is both – science & an art:

Management is a science because it contains general principles. It is also an art because it requires
certain personal skills to achieve desired results.

Q17)Nikita and Salman completed their MBA and started working in a multi-national 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 the
organisation knew about it. At the time of performance appraisal, the performance of Nikita was
judged better than Salman. Even then their boss, Mohammad Sharif decided to promote Salman
stating that being a female, Nikita will not be able to handle the complications of a higher post.

(i) Identify and explain the principle of management, which was not followed by this multi-
national company.
(ii) Identify the values, which are being ignored quoting the lines from the above para.
Ans) (i) Multi-national company was not following the principle of equity as the manager promoted
Salman on the grounds that a female will not be able to handle the complications of higher post.
Fayol in his principle clearly stated that the managers should be fair and. impartial while dealing with
their subordinates. There should be no discrimination on the basis of caste, sex or religion. The principle
of equity implies that similar treatment is assured to employees in similar positions.

(ii) (a) Gender equality, fair treatment, equity and impartiality are the values ignored in the lines ‘At the
time of performance appraisal Nikita was judged better than Salman but the boss promoted Salman …
higher post’
(b) Values such as, respect for all, impartiality, teamwork and cooperation are missing in the lines
‘Salman had the habit of backbiting and wrong reporting about his colleagues to impress his boss’.

Q18) Explain the major contributions of Hawthorne experiments towards the development of
management thought.
Ans) In 1927, a group of researchers led by Elton Mayo and Fritz Roethlisberger of the Harvard Business
School were invited to join in the studies at the Hawthorne Works of Western Electric Company,
Chicago. The experiment lasted up to 1932. The Hawthorne Experiments brought out that the
productivity of the employees is not the function of only physical conditions of work and money
wages paid to them. Productivity of employees depends heavily upon the satisfaction of the
employees in their work situation. Mayo’s idea was that logical factors were far less important than
emotional factors in determining productivity efficiency. Furthermore, of all the human factors
influencing employee behaviour, the most powerful were those emanating from the worker’s
participation in social groups. Thus, Mayo concluded that work arrangements in addition to
meeting the objective requirements of production must at the same time satisfy the employee’s
subjective requirement of social satisfaction at his work place. The Hawthorne experiment consists
of four parts. These parts are briefly described below:-

• Illumination Experiment.
• Relay Assembly Test Room Experiment.
• Interviewing Programme.
• Bank Wiring Test Room Experiment.

1. Illumination Experiment:

This experiment was conducted to establish relationship between output and illumination.
When the intensity of light was increased, the output also increased. The output showed an
upward trend even when the illumination was gradually brought down to the normal level.
Therefore, it was concluded that there is no consistent relationship between output of workers
and illumination in the factory. There must be some other factor which affected productivity.

2. Relay Assembly Test Room Experiment:

This phase aimed at knowing not only the impact of illumination on production but also other
factors like length of the working day, rest hours, and other physical conditions. In this
experiment, a small homogeneous work-group of six girls was constituted. These girls were
friendly to each other and were asked to work in a very informal atmosphere under the
supervision of a researcher. Productivity and morale increased considerably during the period of
 the experiment. Productivity went on increasing and stabilized at a high level even when all the
improvements were taken away and the pre-test conditions were reintroduced. The researchers
concluded that socio-psychological factors such as feeling of being important, recognition,
attention, participation, cohesive work-group, and non-directive supervision held the key for
higher productivity.

3. Mass Interview Programme:

The objective of this programme was to make a systematic study of the employees’ attitudes
which would reveal the meaning which their “working situation” has for them. The researchers
interviewed a large number of workers with regard to their opinions on work, working
conditions and supervision. Initially, a direct approach was used whereby interviews asked
questions considered important by managers and researchers. The researchers observed that
the replies of the workmen were guarded. Therefore, this approach was replaced by an indirect
technique, where the interviewer simply listened to what the workmen had to say. The findings
confirmed the importance of social factors at work in the total work environment.

4. Bank Wiring Test Room Experiment:

This experiment was conducted by Roethlisberger and Dickson with a view to develop a new
method of observation and obtaining more exact information about social groups within a
company and also finding out the causes which restrict output. The experiment was conducted
to study a group of workers under conditions which were as close as possible to normal. This
group comprised of 14 workers. After the experiment, the production records of this group were
compared with their earlier production records. It was observed that the group evolved its own
production norms for each individual worker, which was made lower than those set by the
management. Because of this, workers would produce only that much, thereby defeating the
incentive system. Those workers who tried to produce more than the group norms were
isolated, harassed or punished by the group.

Q19) 'Management is the process of getting things done.' State the meaning of the term 'process' used
in this statement.
Ans) Process means a combination of many actions/steps to be performed in the given order to get
things done. A manager performs five functions/ activities starting from planning to controlling in a
given order. That is why management is a process.

Q20) “Management provides judgement and vision”. Explain?

Ans) Management is a dynamic function- it keeps adjusting to the complex and ever-changing external
environment. It helps in decision making. As it visualizes the future and the right course of action
for same, sound decisions become possible. Thus, its foresight provides judgement and vision.