BS Revision-Module 4 & 5

How is management multidisciplinary? Explain.

Management is multidisciplinary because of the following reasons:

Management of an organisation requires wide knowledge about various disciplines as it covers handling of man, machine, material and looking after production, distribution, accounting and many other functions.
It is a separate field of study with its own principles, practices, techniques and approaches.
It can be drawn from fields like Math, Engineering, and Economics.

Describe briefly informal organisation.

1. Informal organisations are not created by the top management and arises from the desire of people.

2. A leader is selected to take care of the group’s interest.

3. The leader depends on the combined support of it’s group’s members.

4. Informal Organisation is temporary in nature.

5. An example: Reading clubs

Explain in brief ‘unsolicited applications’ as a source of recruitment.

Those looking for jobs often apply on their own initiative. They assume that certain vacancies are likely to arise, and apply without references to any job advertisement. Managers keep a record of such applications and contact these candidates when the need arises.

What is meant by directing?

Answer: Directing is concerned with instructing, guiding, supervising and inspiring people in the organization to achieve its objectives.

Telling people what is to be done and explaining them how to do it;
Issuing instructions and orders to subordinates to carry out their assignments.
Supervising their activities.
Inspiring them to meet the managers’ expectations and contribute towards the achievement of organizational objectives.
Providing leadership.
Direction is Management in action.

Describe management as a group.

Management normally refers to a group of managers working in an organisation.

It includes the top executive as well as the first line supervisors. These managers perform their functions jointly as a group.
The success of business does not depend on the efficiency of one, but of all managers taken together. Managers work as a team so that objectives of the business are fully achieved.

State any two features of a good control system.

2 features of a good control system are:

Planning is the Basis of Control : Control is said to be checking performance as per what has been planned. So planning precedes controlling.
Control is a Continuous Process : It is an ongoing and dynamic function of management. It involves a continuous review of performance and is not a one time exercise.

State any four points of relationship between planning and controlling.

4 points of relationship between planning and controlling are:

Planning fixes the goals/standards to be achieved. Controlling checks the actual performance with the standards fixed.
Planning sets the course of actions. Control compares the actual course and the planned course.
Control identifies deviations from the course and initiates corrective actions. Planning is fruitful when control is exercised.
Planning is both backward looking and forward looking. It looks ahead on the basis of past data. Controlling is also both forward and backward looking because controlling involves comparing the actual performance with the planned performance.

Explain any four sources of recruitment.

: 4 sources of recruitment are:

Media Advertisements - Employers post advertisements in newspapers, on television as well as the internet for job vacancies. These advertisements contain details about the job, its nature, the qualification required, how to apply, etc.
Educational Institutions/Campus interviews - Organisations maintain a close relationship with the universities, vocational institutes, and management institute for recruitment of their staff.
Private Employment Agencies - These agencies register with those individuals who are seeking jobs and try to arrange interviews for such candidates.
Recruitment at factory gate - Workers gather in the morning at the factory gate to serve as casual workers.

State any four objectives of management.

Optimum utilization of resources:
Management should try to secure maximum outlay with minimum efforts and resources by utilising the human and material resources available in an organisation for deriving the best results.
Fair return on capital:
Management has to provide a fair return to the owners on the capital invested by them. Management must maintain the investment and should also attract further investments for growth and expansion.

Create goodwill:
Management should aim at building the reputation of the firm through various activities like popularising products by advertising, reasonable price, good quality products etc. Business environment is dynamic and is influenced by a number of factors.
Meet challenges of the changing environment:
Enterprises which are unable to adopt itself to the changing situations, will not be able to survive. Management should frame steps to meet the challenges of the changing environment. Thus, management can help an organisation for its survival and growth.

It is the process of inspiring people to work towards the achievement of organizational objectives. Name this element of directing. State its importance.

Answer: Motivation is the process of inspiring people to work towards the achievement of organizational objectives.

The importance of motivation is as follows:

With proper motivation there can be maximum utilisation of the factors of production (i.e. man , money, material, etc).
It helps reduce employee turnover and absenteeism.
It improves morale and fosters a sense of belongingness among the employees towards the organization.
It reduces the number of complaints/grievances.

‘‘The different levels of management taken together form the hierarchy of management.’’ Do you agree? Explain briefly with the help of a diagram.

Yes, I agree that the different levels of management taken together form the hierarchy of Management.

There are three levels of management which are as follows:

The top level management includes the Board of Directors and the Chief Executive. The chief executive may have the designation of Chairman, Managing Director, President, Executive Director or General Manager. This level determines the objectives of the business as a whole and lays down policies to achieve these objectives (making of policy means providing guidelines for actions and decision).
The middle-level management includes heads of various departments, e.g., production, sales, etc., and other departmental managers. Sometimes senior departmental heads are included in the top management team. The objectives of the business as a whole are translated into departmental objectives for the middle level management. Middle-level managers are particularly concerned with the activities of their respective departments
The lower-level management consists of foremen and supervisors who look after the operative workers, and ensure that the work is carried out properly and on time. Thus, they have the primary responsibility for the actual production of goods and services in the organisation.

Explain the significance of the principles of management.

Ans: Management principles have considerable importance in all group efforts. Following are the points of importance of management principles:

1. Act as a Guide for Research in Management :

The principles so far developed can be tested in new situations and management practices can be made more effective. For example, in earlier days workers were motivated by their remuneration. But now a days family health, education of the children etc. should be considered by the organisation in order to motivate and retain the workers.

2. Improve Understanding :

The knowledge of principles of management helps the managers to manage an enterprise properly. The principles of management help the managers to take correct decisions. Managers can handle situations smoothly.

3. Identify the Areas for Training of Managers:

The principles of management help in identifying the areas where the managers should be trained.

4. Act as Reference for Managers :

Principles act as reference for the managers and help to evaluate whether the decision taken by him are appropriate and accurate.

5. Increases efficiency :

Principles are guidelines for managers for taking accurate decisions. Principles help the manager for solving problems of an enterprise

“Management is both science and art.” Explain.

Management is regarded as a science as well as an art. Science refers to a systematic body of knowledge to understand the subject study.

It should have the following characteristics:
1. Cause and effect relationship.

2. Principles should be verifiable.

3. Predictable results.

4. Universal application.

Management is regarded as an art as it is a personalised process and states that there is no best way of doing things. It is creative and it improves by practice. For example, there is no best way of painting. Similarly, management varies from one manager to another. Thus, management is a combination of both science and art.

Describe the steps in the process of organizing.

Identification of activities: Every organisation is created with a purpose. Based on this, activities can be identified.
Grouping of activities: Once the activities are identified, they can be grouped in different ways. The activities that are similar can be grouped as one and a separate department can be created. Eg. Marketing dept. Can look into the sales and after sales of a product.
Assignment of Responsibilities: Based on the individual's strengths relevant tasks are to be assigned.
Granting Authority: Based on the individual’s responsibility, they are also given authority to ensure effective performance.
Establishing Relationship: This is a very job of management as everyone in the organisation should know as to whom he/she is to report.

Describe briefly ‘Maslow’s Hierarchy of Needs.’

Answer: Maslow has given hierarchy of needs in the following ways :

Physiological Needs: These needs include need for food, shelter and clothing.
Safety and Security Needs : Once physiological needs are fulfilled then the people start thinking about their safety. Safety needs include need for physical safety and economic safety. Physical safety means safety from accidents, disease etc. Economic safety refers to safety of livelihood.
Social Needs : Man is a social animal. Therefore, he wants friends and relatives with whom he can share his joys and sorrows. Social needs include need for love, affection, friendship etc.
Esteem Needs : These are the need for respect and recognition. Esteem needs are also known as Ego needs.
Self Actualisation Needs : Self actualisation needs are concerned with reaching one fulls potential. These needs include need for growth, self fulfillment etc.

Q) State any four points of importance of communication. Briefly explain any two organisational barriers to effective communication.

Answer: The importance of communication is as follows:

Communication helps employees understand their role clearly and perform effectively.
Communication helps mould attitudes and build employees morale.
Communication is the means through which successful delegation and decentralization can be achieved.
Communication improves managerial efficiency and ensures cooperation amongst the staff.

Two organisational barriers to effective communication are:

Rules and Regulation: Rigid rules may lead to red tapism, delay in action and delay in movement of information.
Status: Managers of a higher rank are not open to sharing information with their colleagues of lower ranks. This can cause miscommunication/misunderstandings that mislead the team.

It refers to the process of choosing the most suitable persons from the list of interested candidates.” Identify the process and briefly explain the steps involved in this process.

Answer: The following are the steps in the selection process:

a.) Screening the Applications: After receiving the applications from the candidates through the recruitment process, the same must be examined to decide which ones deserve to be considered and followed up.

b.) Holding Tests: These tests are made to discover and measure the skill and abilities of the candidates in terms of the requirements of the job.

c.) Selection Interview: Interview is the most important part of the selection procedure. It serves as a means of checking the information given in the application form and making an overall assessment of the candidates suitability for the job.

d.) Checking of References: In addition to the requisite educational qualification, skills and experience, it is important that the candidates have a balanced temperament, honesty, loyalty, etc. Since these virtues cannot be judged on the basis of any test this information must be verified from the heads of educational institutes or previous employers.

e.) Medical Examination: Candidates finally selected for the job are asked to undergo a medical examination to see whether they are physically fit for the job.

f.) Issue of Appointment: Selected candidates are offered to join the organisation with a formal appointment letter containing the nature of the job, the compensation, and other terms and conditions

Q) “Management has to ensure that all the activities contribute to the attainment of objectives of the business as a whole. This requires integration of activities and synchronisation of efforts.

Identify the concept of management described in the above para.
Briefly explain any five characteristics of the concept so identified.

Ans: The concept of management described in the above is as follows: Coordination. Managers should, see that everyone in the organisation understands the objectives and works in cooperation with others to achieve these objectives. This function of management is called coordination.

The characteristics of coordination are as follows:

Co-ordination is the essence of Management :
Management objectives can be achieved only if there is unity of action among employees and proper harmony. If the activities of an enterprise are not integrated, there is lack of co-ordination.
Coordination is a Continuous Activity :
Coordination is required in every managerial and operative functions of the business. Activities like purchase, production, finance and marketing are interrelated and have to be coordinated. So it is a continuous process.

Coordination is a Conscious Action :
In order to unite, integrate and harmonize the different activities in an enterprise, co-ordination is an intentional effort of the management.
Co-ordination Attempts to Achieve Objectives :
Individual goals are matched with organisational goals through levels for common purpose. It helps brings efficiency in operations by achieving the objectives of an organisation.
Co-ordination is Needed at All Levels of Management :
The activities of various departments, units and various individuals in an organisation are interdependent in nature. So co-ordination is needed at all the levels of management. For example the activities of purchase, production and marketing are interrelated.

What is meant by training? Explain the different methods of training.

Answer: Training is the act of increasing the knowledge and skill so as to be able to perform their tasks more efficiently is known as training.

The different methods of training can be categorised as:

On-the-job methods: In these methods, employees learn about their job while doing the job while being assisted by their supervisors or seniors.
Off-the-job methods: In these methods, employees are trained away from their workplace so that experts may conduct the training where the trainees are free from the immediate pressure of completing the job at hand.

Q) “Planning in organisation follows a step-by-step process without which it may be difficult to build up proper plans and ensure their implementation.” Briefly describe such steps.

Answer:

The steps in the process of planning are as follows:

Establishment of objectives: Planning begins with defining goals that are concrete and clear terms.
Making assumptions about internal and external factors: assumptions are made on the future environment of the business. External factors relate to conditions outside the organisation and internal factors relate to conditions within the organisation.
Development of alternate course of action: this is done to achieve the objectives set.
Evaluation of alternatives: this requires analyzing the feasibility and possible results of each course of action before selecting the best course.
Selecting the appropriate course of action: the alternative course of action that provides maximum benefit at a minimum cost is selected.
Implementation: after consulting with the required members, the selected course of action is implemented.