CHAPTER : 03

ORGANIZATIONAL MANAGEMENT

1. structure of organisation is represented by

a) organisation brochure b) organisation chart
c) organisation draft d) none of the above

2. the structure of organisation depends on……

a) scope of functions b) span of control
c) number of employees d) all of the above

3. The structure of organisation is not dependent on

a) resources available b) communication
c) profit margin d) Span of control

4. Which is un important word in the definition of organisation

a) United together b) profit c) common aim d) group of persons

5. Following group is not an organisation

a) labour working on site b) Employees doing discussion in work area
c) Meeting members in a company d) Group of 15 people on bus stop

6. Which are the AIIMS of forming organisation

a) Teamwork b) combined efforts
c) responsibility on all d) all are correct

7. Which statement is wrong

a) Organisation has no boundaries b) It has aims and objectives
c) Organisation is a group of working people d) Organisation is a system

8. Decisions are very quick in

a) Line and staff organisation b) Functional organisation
c) line organisation d) project organisation

9. Which is not the correct advantage of line organisation

a) Easy to understand b) confusion is less
c) specialised d) it is simple
10. Which is not correct disadvantage of line organisation
a) Nobody is overloaded b) Lack of specialisation
c) Overlapping of activities d) Poor Performance

11. At which place line organisation is not possible

a) Government company b) Tiny firms
c) Military department d) Small workshops

12. Which are the essentials of organisation ?

a) Organisational chart b) Delegation
c) Integration d) All

13. Which is the important factor in deciding structure of organisation?

a) Functions b) Specialisation
c) Type of product d) All

14. Vertical dimension of organisation structure defines.....

a) Departmentation b) Hierarchy
c) Both hierarchy and departmentation d) None of the above

15. Scalar organisation is also known as.....

a) Functional organisation b) Project organisation
c) Staff organisation d) Line organisation

16. Line organisation of..... type

a) Horizontal b) Vertical
c) Both d) None

17. Military type organisation is seen in....

a) Project b) Staff
c) Line and staff d) Line

18. Where line organisation is applicable?

a) Small firms b) Workshops
c) Small process industries with automation d) All

19. Functional organisation is also called as.....

a) Project organisation b) Staff organisation
c) Line organisation d) None of the above
20. Which is the correct limitation of project organisation?
a) Differences of opinions b) Complication of functions
c) Heavy pressure of work d) All

21. ....... is a process of dividing large organisation into small and flexible
administrative units.
a) Divisions formation b) Defragmentation
c) Departmentation d) None

22. Which is the aim of departmentation

a) To make people specialised b) To distribute work
c) To give freedom for each function d) All of the above

23. Which is the correct advantage of staff organisation ?

a) More productivity than line b) Standard digestion in process
c) Performance better than line d) All

24. Which is not the correct disadvantage of staff organisation

a) Difficult to handle experts b) Lack of specialisations
c) Ego of specialty d) Discipline is lacking

25. Line and staff organisation is .....

a) Horizontal b) Vertical
c) Both a and b d) None

26. Which organisation is temporary in nature ?

a) Project b) Staff
c) Line and staff d) Staff

27. Project organisation has two forms. which is correct one?

a) Balanced matrix b) Project matrix
c) Functional matrix d) All

28. Which is not the type of departmentation ?

a) By function b) By product
c) By process d) By material pattern
29. Which is the principle of organisation?
a) Delegation b) Span of control
c) Authority and responsibility d) All

30. Number of sub ordinates handled by one manager effectively is called as....
a) Span of control b) Responsibility
c) Delegation d) None

31. .......Check the result , ......shows the result

a) Authority, responsibility b) Responsibility, authority
c) Responsibility , responsibility d) Authority ,authority

32. Which is the pre-requisites of effective delegation ?

a) Decision making freedom b) Knowledge of designation
c) Independence sub ordinates d) All the above

33. Which is the first step in effective delegation?

a) Establishing responsibility b) Training
c) Goals establishment d) None

34. Car division in Tata motors is example of.......

a) Departmentation by function b) Departmentation by product
c) Departmentation by process d) None

35. Which statement is wrong?

a) People become expert in the work allotted to them
b) Product may become brand name
c) Attention is given to the product
d) No duplication of work

36. Sales department in Nokia is the example of......

a) Departmentation by function c) Departmentation by process
b) Departmentation by product d) none

37. Heat treatment shop in Kirloskar is the example of....... Departmentation

a) by function b) Departmentation by process
c) Departmentation by product d) none
38. Meeting is the.... communication.
a) Written c) Non verbal
b) Formal d) Both a and b

39. Which is not the advantage of delegation?

a) Controls from centre increases
b) Stress level on manager reduces
c) Work can be finished in time
d) Workload is reduced

40. Ability to adjust change bend is....

a) Ability b) Balance c) Stability d) Flexibility

41. Request is the..... communication.

a) Download b) Upward c) Both a and b d) None

42. Following business is not coming under sole proprietorship ?

a) Insurance corporation c) Press shop
b) Hardware unit d) Service centre

43. How many partners can be eligible for partnership ?

a) 2 to 10 b) 2 to 5 c) 2 d) All are correct

44. Which is incorrect type of partner?

a) Nominal b) Perfect c) Active d) Sleeping

45. About sleeping partner which statement is wrong?

a) Do not share profit or loss c) They do investment
b) Do not active in daily work d) Also called as silent partner

46. Which is barrier in communication?

a) Confused information c) Poor knowledge
b) Language problem d) All

47. Which is the factor responsible in selection of type of ownership ?

a) Types of business c) Scope of business
b) Capital required d) All

48. Which is not the advantage of sole proprietorship?

a) Freedom of work c) Easy to form a business
b) Documentation is less d) Business growth is faster
49. Achievement due to one will be shared by all others this happens in.......
a) Limited partnership c) General partnership
b) Both d) None

50. All partners have the same status in....

a) Nominal partnership c) General partnership
b) Limited partnership d) None

51. Which is not the limitation of sole proprietorship ?

a) Limited resources are available c) Growth rate is small
b) Corruption is more d) Decisions may be wrong

52. Which statement is correct about nominal partners?

a) Business can use their names c) Do not invest
b) Do not actively involved d) All are correct

53. Which is the type of partnership?

a) Private b) Limited c) General d) Both b and c

54. Which is included in the partnership deed ?

a) Names of partners c) Location of work
b) Name of the firm d) All

55. Which is not the type of joint stock company?

a) Public sector c) Public limited company
b) Private limited company d) None

56. Maximum members in private limited company.....

a) 50 b) 20 c) 30 d) 10

57. Minimum members in private limited company are.....

a) 20 b) 5 c) 10 d) 2

58. Minimum number of directors in public limited company are....

a) 7 b) 10 c) 2 d) 3

59. Agreement between partners is called as....

a) Partnership document c) Partnership draft
b) Partnership deed d) Partnership sheet
60. Highest business secrecy is in....
a) Co-operative society c) Government sector
b) Sole proprietorship d) Partnership

61. Unlimited liability is there in.....

a) Partnership c) Proprietorship
b) Both a and b d) None

62. Which statement is wrong about partnership?

a) It is a joint business c) Business life is dependent on partners
b) There is limited liability d) No transfer of partnership

63. Which is not the limitation of joint stock company?

a) Heavy cost of management c) Political interference is more
b) Flexibility in business is less d) Formation is lengthy process

64. Maximum shareholders in public limited company are.....

a) 50 b) 10 c) 7 d) No limit

65. Minimum shareholders in public limited company.....

a) 50 b) 7 c) 2 d) 10

66. Which is not the advantage of joint stock company?

a) No autocracy c) Easy to form
b) Effective division of work d) Business life is longer

67. Maximum members in co-operative society are.....

a) 500 b)100 c) 50 d) No limit

68. The basic aim of government sector is

a) Providing service to society c) Earning fame
b) Earning profit d) None

69. Which is the objective of public sector ?

a) Balanced regional growth c) Employment opportunities
b) Public welfare d) All

70. Which is not the type of public sector ?

a) Public company c) Public limited company
b) Public corporation d) Government department
71. Which is not the advantage of co-operative society ?
a) Beneficial to common man c) Members are involved in decision making
b) Strengthens rural economy d) Business growth is faster

72. Which is not the limitation of co-operative society ?

a) Government support is less c) Professionalism is very poor
b) Decision making is slow d) Political interference is more

73. Government sector is also called as.....

a) Service sector c) Public sector
b) People's sector d) Nation sector

74. Highest control of government is there in......

a) Public limited company c) Public corporation
b) Public company d) Government department

75. Secrecy is least in ......

a) Joint stock c) Partnership
b) Proprietorship d) Public sector

76. Which is not the advantage of public sector?

a) Huge capital can be raised c) Secrecy is more
b) Job security d) Liability is limited

77. Which is not the limitation of public sector ?

a) More political interference c) Decision making is slow
b) Productivity is less d) Unlimited liability

78. Documentation is less in.....

a) Joint stock c) Partnership
b) Sole proprietorship d) Public sector

79. Which is the first step in organization forming ?

a) formulating plans b) aims are determined
c) identifying activities d) assignment of duties

80. Maximum security of job is in....

a) Co-operative c) Public sector
b) Joint stock d) Partnership