What do you understand by Management?

Define its
Features

Management Defined
Management pervades every aspect of organized lift. It is a vital function
concerned with all aspects of the working of an enterprise. Management has
been defined in a number of ways. Prof. Haimann has interpreted the term
management in three distinct aspects:
(a)

Management as a field of study or a subject.

(b)

Management as a team or class of people or a noun.

(c)

Management as a process.

Management as a field of study or a subject refers to the principles and

practices of management. It entails all the principles and practices as a
knowledge and its application in its entirety. This approach, however, fails to
give the correct nature of management.
Management as a team or class of people refers to the group of managerial
personnel of an enterprise functioning in their supervisory capacity. However,
who are the managers and what are the activities that should be treated as
managerial
are
hard
to
identify,
unless
some yardsticks are prescribed. This becomes more difficult specially when
those performing managerial activities have different titles in one
organisation as well as in different organizations.
Management as a process refers to different processes or steps of
managementright from planning to organizing, staffing, supervising and
controlling. Management in this context has been defined as the process of
getting things done by and in cooperation with others.
Definitions: There are many definitions of management. They emphasize one
or the other important aspect of management activity. According to Dalton E.
McFarland, Management is the fundamental integrating and operating
mechanism underlying organized effort.
According to George R. Terry, Management is a distinct process . . .
performed to determine and accomplish stated objectives by the use of
human beings and other resources.

Features of Management
Following are certain features that illustrate the wide breadth of scope of
management.
1.

Universal process: Management is a universal process that is applied in

all types of institutionssocial, religious, commercial, political, etc.
Every organisation and institution, whose object is to achieve its

objectives and goals through group efforts, needs planning, coordination, direction and control, i.e., management.
2.

An integrative process: The essence of management is the integration of

human and physical resources in a manner that it leads to effective
performance. Managers apply knowledge, experience and principles for
getting the results. Management seeks to harmonise the individual goals
with organizational goals.

3.

Dynamic function: Management is a dynamic function of business

organisations. Its functions change from time to time depending upon
the circumstances of the business, i.e., changes in economic, social,
political, technological and human conditions. Management adjusts itself
to the changing atmospheremaking suitable forecasts and changes in
the policies.

4.

Social process: Management is a social process as it primarily deals with

emotional/dynamic and sensitive human beings. The major achievement
is to win their confidence and cooperation. Thus, making it difficult to
precisely define the principles of management. Management principles
are constantly influenced by social traditions, customs and regulations.

5.

Management makes things happen: Managerial ability is distinctly

different from technical ability. Management is the art of getting things
done through people. It implies that under given set of constraints or
problem boundaries how positive results can emerge, by taking welldefined actions.

6.

Management is a multi-faceted discipline: Management has to deal with

heterogeneous resources. Their performance depends upon the proper
knowledge and skill of various disciplines. Management has grown as a
body of discipline taking the help of so many social sciences like
Anthropology, Sociology, Psychology etc. Due to this, management is
also known as a Behavioral Science.

7.

Management is a science and an art: Management is a science because

it has an organised body of knowledge that is based on facts and certain
universal truths. It is an art because certain skills, essential for good
management, are unique to individuals. So many times managers act on
instinct. It is also about interactions that cannot be laid down in black
and white.
8. Intangible force: Managerial ability is an intangible force; it is a social
skill that cannot be seen with the eyes but it is evidenced by the
quality and level of an organisation.

What are the

objectives of management? Describe them in
detail with the role of mangers in achieving organizational goal.

Ans Todays management is playing a vital role in the progress and the
prosperity of the business enterprises. The main purpose of the management is
to run the enterprise smoothly. The broad objectives of the management are as
follows:
1. Optimum utilization of resources
the most important purpose of the management is to use resource of the
enterprise in the most economic way. proper use of men, materials, machines
and money will help a business to earn sufficient profits to satisfy various
interests ,i.e. prop writer s customers ,employees etc.
2. Growth and development of business
By proper planning, organization and direction etc. Management leads a
business to growth and development .it lead to a profitable expansion of the
business. It provide a sense of security among the employers and employees.
3. Better quality goods:The purpose of sound management has always been to produce the
better products at minimum cost. Thus it tries to remove all types of wastages
in business.
4. Mobilizing Best talents: The employment of experts in various fields will help in enhancing the efficiency
of various factors and production. There should be a proper environment,
which should encourage good persons to join the enterprises. The better pay
scale proper amenities, future growth, potentialities will affect more people in
joining a concern.
5. Improving performance:Managements objective is to improve the performance of each and every factor
of the production has the environment is made congenial so that workers are
able to their maximum to their enterprises . The fixing of objective of various
factors of production helps in improving their performance.
6. Planning for future:Another imp. Objective of management is to prepare a perspective plan. No
management can fell satisfied with present if it has not thought of tomorrow
future performance will depend upon present planning .
The manager has to fulfill various responsibilities in order to achieve
organizational goals:(a) Provide direction to the firm: - managers has to, first of all, set
objectives which the firm must achieve. Objectives provided the direction the
firm must move.
(b) Managing survival and growth:-Ensuring survival of the firm is the
critical task of the manager along with survival manager has also to actively
seek growth. no Matter how big or powerful a firm may be today, it is sure to
be lift behind in the race by newer, healthier and more efficient firm if it does
not pursue growth.

(c) Maintaining firm efficiency in terms of profit generation: - Efficiency is

ratio of output a manager has not only to produce results, but to do so in the
most efficient manner possible. The more output that the manger can produce
with the same input, the grater will be the profit generated. Profit is the
surplus or difference the manager can generate between the value of input
and output.
(d) Meeting the challenge of increasing competition: - in todays fast
changing world one of the critical tasks of every manager is to anticipate and
prepare fro the increasing competition. Competition is increasing in term of
more competitor, products, wider verity of products, better quality of products
and a customer who is, today, better informed and more aware than ever
before.
(e) Managing for innovation: - In the context of business, innovation has to
be defined in term of the additional value. it impart to the existing or services.
Value is not express in term of increased cost or price but in term of the
difference it make to the customers. Successful firms innovate in response to
market needs. Involved potential user in the development of innovation, and
understand users need.
(f) Building human organization: - A good worker is the valuable asset to any
company. And, every manager must constantly be on the look out for the people
with potential and attract them to join his company. A manager with a competent
team has already won half the battle. However, competent or brilliant individuals
may be, if they cannot work together with each other they are of not much use to
accompany. it is up to the manager to match individuals in to a well-knit team.
The manager who cannot build his team can not succeed. Teams should be built
on the principles of the divisions of labor, specialization of work and mutual give
and take.

What is planning? Define its different stages in decision-making

process.
Ans:- Planning is decided in advance, what is to be done. Planning involves
selecting missions and objectives and the actions to achieve them, if requires
decision making that is choosing from among alternative future course of action
plans thus provide a rational approach to prospected objectives. Planning
bridges the gap from where we are, and where we want to go.
Various stages involved in planning process include: a.
Establishing objectives: - The first step in planning is to establish
objectives for the entire enterprise and then for each subordinate work unit.
Objectives specify the expected results and indicate the end point of what is to
be done, where the primary emphasis is to be placed, and what is to be
accomplished by the network of strategies, policies, procedures, programmer
and budgets.
b.
Developing Premises: -Second logical step in planning is to
establish and obtain agreement on forecasts upon which the planning shall be

based . Forecasts are assumptions about the environment in which the plan is to
be carried out. It is imp. For all the managers involved in planning to agree on the
premises. The major principle of planning premises is The more thoroughly
individuals charged with planning understand and agree to utilize consistent
planning premises, the more coordinated enterprise planning will be.
(c) Determining alternate courses :The next step in planning is to search for and examine alternative couse of action
and reduce these alternatives so that most promising may be analyzed. The
planner must usually make a preliminary examination to discover the most fruitful
possibilities.
(d)Evaluating alternative courses:The next step is evaluating the alternatives by weighing them in the fight of premises and goals.
Planners typically encounter many uncertainties, Problems of capital shortage, and
various intangible factors, which makes evaluation difficult.

(a)
Selecting a course :This is the point at which the plan is adopted the real point of decision making .
Occasionally. An analysis and evaluation of alternative courses will disclose that
two or more are advisable, and the manager may decide to follow several
courses rather than the one best course.
(b)
Formulating derivative plans:When a decision is made, derivative plans are almost invariably required to support the basic
plan.

(c)

Number zing plans by budgeting :-

After decisions are made and plans are set, the final step is to numberize them by convering
them to budgets. The overall budgets of an enterprise represent the sum total of income
and expenses, with resultant profit or surplus. Each department or programmer of a
business or other enterprise can have its own budget, usually of expenses and capital
expenditures, which tie into the overallbudget.budgets, become a means of adding
together the various plans and also set impt. Standard against which planning progress
can be measured.

Que- What is the nature and scope of delegation and decentralization?

Ans Organization authority is the discretion conferred on people to use their
judgement to make decision and issue instruction. Decentralization is the
tendency to dispersed decision making authority in an organized structure.
The factors to the promote decentralization:1) size and complexity of the organization :- large organization with diverse
product line and conglomerates and companies involved in different field
would find decentralization to be more effective due to limitation in managerial
expertise as well as increased executive work load.
2) Location of target market: - if the customer of an organization are located
geographically for apart, decentralization would be more appropriate
management resources would be placed close to the customers allowing
quicker decisions and faster customer service.
3) Desirability of creativity in the organization: - Decentralization is
suggested if creativity within the organization is desirable and necessary. It
gives the subordinates freedom to be innovative and find better ways of doing
things this freedom is a highly motivational factor which encourages creativity.

4) The time frame of decision: - where quick on-the-spot decisions must be

made, the authority to make them must be delegated encouraging
decentralization.
Authority is delegated when a superior gives a subordinate desecration to make
decisions. Delegation is necessary for an organization to exist. Just as no one
person in an enterprise can do all the tasks necessary for accomplishing a group
purpose, so it impossible, as an enterprise to grow, for one person to exercise all
the authority for making decisions. The process of delegation involves:(a) Determining the results expected from a position.
(b) Assigning tasks to a person.
(c) Delegating authority for accomplishing these tasks
(d) Holding the person in that position responsible for the accomplishment of the
tasks.
Delegation of authority should be affective and result oriented. Some of the
operation that serve as guidelines for effective delegation are:1) Functional clarity:- The function to be performed, the methods of operation
and the results expected must be clearly defined. the authority delegated must
be adequate to ensure that these function are well performed.
2) Matching authority with responsibility:- Responsibility and authority are
highly interconnected. Authority should be adequate and should not only match
the duties to be performed but also the personal capabilities of the subordinate.
3) Unity of command: - A subordinate should be responsible to only one
superior who is delegating the authority in the first place. In this manner the
responsibility for mistakes or accomplishments is traceable and chances of
conflict or confusion is minimal.
5) Principle of communication :- A misunderstood responsibility can be very
dangerous . A general authority can be easily misused. Accordingly,both the
responsibility and authority must be clearly specified openly communication
must be continuously kept open for issuing directions as well as receiving
feedback.
Even though delegation of authority has some definite advantages and is
necessary for optimal organizational operations ,some managers are very
reluctant to delegate authority and many subordinate avoid taking on the
responsibility and authority. The causes for such reluctance are based upon
certain beliefs and attitudes which are personal and behavioral in nature
Reluctance of manager:-

(a) A manager may believe that he can do his work better than his subordinate.
He might think that his subordinate is not capable enough.
(b) Since the manager is responsible for the action of his subordinates, he many
not be willing to take chances with the subordinate s.
(c) Some manager lacks the ability to direct their subordinate. They may not be
good in organizing their thoughts as well as activities and thus may not know
what to do after delegation in order to help the subordinate complete the task.

(d) Some manager feel very insecure in delegating authority ,specially when the
subordinate is capable of doing the job better.
Reluctance of subordinate - while delegation of authority can be highly
motivating factor for some subordinate, other may be reluctant to take it for the
following reasons:(a) Many subordinate are reluctant to accept authority and make decision for fear
that they would be criticized or dismissed for making wrong decision. This is
specially true in situations where a subordinate has make a mistake earlier.
(b) Some subordinate hesitate to accept new and added assignments where
there is a lack of necessary information and when the available resource are
not adequate or proper.
(c) The subordinate may lack self. Confidence in doing te job and may fear that
the supervisor will not be available for guidance once the delegation is made
and this makes them feel uncomfortable with additional responsibility.
(d) The subordinate may not be given sufficient incentives for assuming extra
responsibility which could mean working harder under pressure. According in
the absence of adequate compensation in the form of higher salary or
promotion opportunities a subordinate may avoid promotional opportunities
subordinates may avoid additional authority.

Que-What is the role of leadership in recognition of

human factor? Discuss.
Ans Leadership is the capacity to frame plans which will succeed and the
faculty to persuade others to carry them out in face of all difficulties.
Leaders create mentoring relationships. A mentor is a employee who
sponsors and supports a pess-experienced employee. Leaders coach, counsel
and sponsor their sub-ordinates. As a coach, leaders help to develop their
subordinate skills. As counselors, leaders provide support and help bolster
subordinates self-confidence. And as sponsors, Leaders actively intervene on
behalf of their subordinates, Lobby to get their subordinates rewards such as
promotions and salary increases.
Successful leaders are good teachers. They can present ideas clearly,
listen well and emphasize with the problems of their subordinates. They also
share their experiences with the juniors, act as rde models, share contacts and
provide guidance through the political maze of the organization. They provide
advice and guidance on how to survive and get ahead in the organization and act
as a sounding board for ideas that a junior may be mentor vouches for a
employees answers for him or her in the highest circles with in the organization,
and make appropriate introductions.

The most effective mentoring relationships exists outside the immediate bossrelationship interface. The boss-subordinate context has an inherent conflict of interest and
tension, mostly attributable to managers directly evaluating the performance of subordinates
that limits openness and meaningful communication.

The mentor-protg relationship is beneficial both for the leader as well as

organization. The mentor-protg relationship gives the mentor (leader)
unfiltered access to the attitudes and feelings to lower-ranking employees.
Protg (employees) can be an excellent source of potential problems by
providing early warning signals. They provide timely information to upper
management those short circuits the formal channels. So the mentor-protg
relationship is a valuable communication channel that allows mentors to have
news of problem before they become common knowledge to others in upper
management, from the organizations standpoint, mentoring provides a support
system for high-potential employees where mentors exists, proteges are often
more motivated, better politically grounded and less likely to quit.

Que - What do you mean by control? How to make it effective with the
help of various control techniques?
Ans Control is checking current performance against predetermined standards
constrained in the plans with a view to ensuring adequate progress and
satisfactory performance.
Control is a fundamental management function that ensures work
accomplishment according to plans. It is concerned with measuring and
evaluating performance so as to ensure the best results of managerial efforts.
The basic control process involves three steps: 1.
Establishing standards: - Standards are defined as criteria of
performance. They are the selected points in an entire planning process at which
measures of performance are made so that managers can receive signals about
how things are going and thus do not have to watch every step in the execution
of plans.
2.
Measurement of performance: - The measurement of
performance against standards should ideally be done on a forward-looking basis
so that deviations may be detected in advance of their occurrence and avoided
by appropriate actions. The alert, forward-looking manager can sometimes
predict probable departure from standards. In the absence of such ability,
however, deviations should be disclosed as early as possible.
3.
Correction of deviations: - Standards should reflect the various
positions in an organization structure. If the performance is measured
accordingly, it is easier to correct deviations. Managers know exactly where, in
the assignment of individuals or group duties, the corrective measures must be
applied.

Managers may correct deviations by redrawing their plans or by modifying their

goals. Or they may correct deviations by exercising their organizing function
through reassignment or clarification of duties. They may correct, also, by
additional staffing, by better selection and training of subordinates, or by that
ultimate restating measure firing.
Modern business enterprises use a large number of techniques of managerial control. These may be grouped in to two
categories as follows: -

1.
Traditional or conventional techniques such as budgetary control,
statistical data and reports, managerial costing, break even analysis, standard
costing etc
2.
Modern or contemporary techniques such as management Audit,
PERT, CPM and Management Information System.
Written reports:
Each manager prepares reports on the performance of his subordinates and submits them to his higher
authority. For control purposes, these special reports and analyses help in particular problem areas. Their nonroutine nature can highlight the usual and in doing so, reveal places for significant improvement in efficiency.

Budgets
The budget, which is a component of planning, is also used as a tool of control. Formulation of budget forces an
enterprise to make in advance a numerical estimation of cash flows, expenses and revenues, capital outlays and
machine hour utilization. It represents the planned expenditure on certain items and expected revenues from
various sources. Preparation of budget requires the same process as is required to make any other type of plan.
It is made well in advance and is based on scientific forecasts. Without sufficient budgeting, it may be possible to
control the expenditures, as a plan, it shows clearly the targets to be achieved in financial and/or physical terms.

A budget is a tool of control. Since it is a statement of expected results, it serves

as an effective instrument of control. It is the standards against which the
performance of different departments will be judged. Comparison of actual
results with the budgeted figures will help in detecting the sources of deviations
and taking corrective steps which is the essence in the control process. This will
be achieved because of minimization of wastage off various kinds. Budgets also
help in fixing the responsibilities of persons for unauthorized and uncalled for
expenditures.
Marginal costing

Marginal costing is an important tool in the hands of management for

exercising cost control. Marginal costing is the ascertainment of marginal
cost and of the effect on profit of changes in volume or type of output by
differentiating between fixed and variable cost. Fixed costs remain
unchanged up to a certain level of production but variable cost change with
the changes in the volume of production. Marginal cost is the amount of
money at a given volume of output by which aggregate cost is changed , if
the volume of output is increased or decreased by one unit. Since marginal
costing is based on variable cost, the responsibility for controlling variable
costs can be assigned to various departments. The reports by various cost
centers include only those costs, which can be controlled by them. The
control of fixed cost is the responsibilities of higher level managers.
Marginal costing facilitates Management by exception by focusing attention of
the management on results that are moving out of control significantly. It also

helps the management in evaluating the performance of individuals responsible

for variable costs. The impact of fixed costs is conveyed to management in
amore meaningful way under marginal costing. This helps management in
ensure better utilization of items which involves fixed expenditure such as plant
and machinery, furniture, installations etc. finally, marginal costing helps the
management in understanding the relationship between profit and major factors
affecting profits so that it may exercise control over these factors to achieve
higher profits.
Cost-volume-profit Analysis:
Cost-volume-profit analysis is an attempt to determine the effect of a change in volume, cost, price or product mix on
profits.

It assists management in ascertaining which product is most profitable, what

effect a reduction in sales price will have on final profit, what effect a change in
volume or product mix will have on production costs and profits, what effect will
be on costs, profits and sales volume if there is a change in the plant capacity
and so forth. The important feature of this analysis is that it calls for separation of
variable costs from fixed costs with a view to understand the anatomy and
structure of profit of an enterprise.
Break-Even Analysis
In break-even analysis , the organization analyses the point at which it will break even that is by selling what volume of a
particular item , it will be able to recover the cost involved in producing a particular quantity of that particular item.

Break-Even analysis helps the management in knowing the relationship between

cost, volume of the production and profits or losses. By dividing a total cost in to
fixed and variable, the management can determined the pointer to which it must
carry on the production to cover fixed cost. It cans exercises cost control at
various levels of sales. This will also enable the management to accept orders
during depression or off-season at lower prices that are more than the variable
costs. The access of price over the variable costs will lead to reduction of losses
that will result if no production is carried out. Fixed costs remain unchanged
whether there is production or not.
Management Audit:
By audit we mean a review or examination of completed transactions to see whether they represent a true and
fair state of affairs of the business or not. While conducting an audit, the auditor examines the degree of
conformance of business transactions with the accepted business practices and legal provisions. The main
objective of financial audit Is to know the correct profit or loss of the business during a particular year and to
determine the accuracy of the balance sheet at the end of that year.

Network techniques

Net work analysis is widely recognized as a management tool in both commerce

and industry. Under network analysis, a project is broken down to small activities
or operations, which are arranged in a logical sequence. After this the order in
which various operations should be performed is decided. A network diagram
may be drawn to present the relationship between all the operation involved.
The diagram will reveal the gaps in the flow plan. The net work, thus drawn
shows the inter dependence of various activities of a project and also points out
the activities of a project and also points out the activities that have to be
completed before the others are initiated.

The object of network analysis is to help in planning, organizing and controlling

the operation to enable the management in completion the project economically
and efficiently.
A number of network technique have been developed, most popular among them
being PERT (Program Evaluation and Review Technique) and CPM (Critical Path
Method). Both PERT and CPM recognized the inter related nature of element
with in large work projects. Any project is a complex network of interrelated
activities. In network techniques, and activity is defined as any operation required
to accomplish a particular goal. Any activity requires a specific span of time when
an activity is begun or completed. in a project , some activities are sequential
while others are concurrent to each other. The former are those which are to be
arranged in a particular order. In other words, they are interrelated.

Que-

Explain the important barriers in business communication.

How to make it effective in a competitive environment?

Ans. The communication must be interpreted and understood in the same

manner as it was meant to be sent by the sender, otherwise it will not achieve the
desired results and a communication break-down will occur. There are certain
external roadblocks to effective communication like noise, poor timing,
incomplete, inadequate or unclear information , poor choice of channel of
transmission of information etc. which can affect the proper reception of the
communication. In addition there are personal factors which may interest the
communication not in the same manner as it was intended by the sender but in a
way that the receiver wants to receive depending upon the stimuli present
emotions or prejudices for or against a concept or ideology or personal conflict so
that instead of interpreting the content of the communication, the intent of the
sender my be interpreted.
Some of the organizational barriers and some of the interpersonal barriers to
effective communication are:(1) noise barriers
(a) poor timing
(b) inappropral channel
(c) improper or inadequate information
(d) information overload
(e) network breakdown
(2) semantic barriers
(3) feedback barriers
(4) cultural barriers
(5) perception
(6) sender credibility
Communication can be made effective by using following guidelines:(1) the ideas and message
(2) Communication should be comprehensive and executing communication.

Write short notes on the following:-

(a)Report writing
(b) Process of Communication
Ans

(a) process of communication Communication is the process of passing

information, messages and ideas from one person to nother and
understanding of the same

Que-What are the functions of management? Explain Briefly.

Ans. Management is the process of designing and maintaining an environment
in which individuals working together in-groups efficiently accomplishes
selected aims.
Functions of the management include planning, organizing, staffing,
heading, motivating, communication and controlling.
Planning: - Involves selecting missions and objectives and the actions to
achieve them; it requires decision making, that is, choosing future courses
of action from other alternatives. Planning bridges to gap from where we
are to where we want to go. Morel plan exists until a decision a
commitment of human or material resources has been made. Before a
decision is made, all that exists is a planning study, an analysis, or a
proposal; there is no real plan.
Organizing: - Is a part of managing that involves establishing an
intentional structure of roles and positions for people to fill in an
organization.
For an organizational role to exist and be meaningful to
people, it must incorporate (i) clear idea of the major duties or activities
involved and (ii) an understood area of discretion or authority so that the
person filling the role knows what be or she can do to accomplish goals. It
is in this sense that we think of organizing as (1) the identification and
classification of required activities (2) the grouping of activities necessary
to attain objectives (3) the assignment of each grouping to a manager with
the authority (delegation) necessary to supervise it, and (4) the provision
for coordination horizontally and vertically on the organizational structure.
Staffing Involves filling and keeping filled the positions in the organization
structure. This is done by identifying work force requirements; inventorying
the people available; and recruiting, selecting, placing, promoting
appraising, planning the careers of compensating and training or
otherwise developing both candidates and current jobholders to
accomplish theirs tasks effectively and efficiently.

Leadership is defined as the art or process of influencing people so that

they will strive willingly and enthusiastically towards the achievement of
group goals. Ideally, people should be encouraged to develop not only
willingness to work but also willingness to work with zeal and confidence.
Zeal is ardor, earnestness, and intensity in the in the execution of work;
confidence reflects experience and technical ability. Leaders act to help a
group attain objectives through the maximum application of its capabilities.
They do not stand behind the group to push and prod; they place
themselves before the group as they facilitate progress and inspire the
group to accomplish organizational goals.
The most important problems arise from people-their desires and
attitudes, their behaviour as individuals and in-groups and that effective
managers also need to be effective leaders. Since leadership implies
followership and people tend to follow those who offer a make of satisfying
their own needs wishes and desires, it is understandable that leading
involves motivation, leadership styles and communication.
Motivation is the process that accounts for an individuals intensity,
direction and persistence of effort towards attaining a goal.
Intensity is concerned with how hard a person tries. This is the
element most of as focus on when we talk about motivation. However high
intensity is unlikely to lead to favorable Job performance outcome unless
the effort is channeled in a direction that benefits the organization. There
fore, we have to consider the quality of effort as well as its intensity. Finally
motivation has a persistence dimension. This is a measure of how long a
person can maintain their effort. Motivated individuals stag with a task long
enough to achieve their goal.
Communication It is the process of passing information and
understanding from one person to another. A successful manager should
develop an effective system of communication so that he may issue
instructions and receive the reactions of the subordinates and motivate
them.
A communication is useless until it is transmitted and understood by
others. Perfect communication would exist when a thought or idea was
transmitted so that the mental picture perceived by the receiver was
exactly the same as that envisioned by the sender.
Controlling is the measuring and correcting of activities of subordinates
to ensure that events conform to plans. It measures performance against
goals and plans show where negative deviation exists, and, by putting in
motion actions to correct deviations, help ensure accomplishment of

plans. Although planning must precede controlling, plans are not self
achieving plans guide managers in the use of resources to accomplish
specific goals; then activities are checked to determine whether they
conform to the plans.

Que- Write a short note on Social Responsibility of Management

in Business.
Ans.As business operates in society; it cant exist and grows unless it cares for
society. It
Exists vis--vis with society. It is required to meet different needs of the society.
For meeting
These needs, business has certain social responsibilities to discharge.
Cooperate social
Responsibilities is defined as considering the impact of the companys action on
society. A
Newer concept, social responsibilities , is defined as the ability of a cooperation
to relate its
Operation and policies to social environment in ways that are mutually beneficial
to both the
Company and society. Social responsibilities of business are different for different
sections of
Society, which include responsibilities towards
(d) employees
(e) consumers
(f) Government
(g) Society as a whole
Responsibilities towards employee

1.
2.
3.
4.

Fair wages and regular payment

Good working conditions and safety
Reasonable working standards and norms
Labor welfare services,- Health, education , recreation and
accommodation
5. Training and promotion
6. Recognition and respect for hard work , honesty, sincerity and
loyalty
7. Efficiency of redressing employees grievances.
Responsibilities towards customers

1.
2.

Providing goods and services at a reasonable price

Supply goods and services of promised quality, durability
and services.

3.
4.
5.
6.

Supply social harmless product.

Offering an efficient consumer redressed mechanism
Resisting profiteering and black marketing.
Improving product quality towards R & D.

Responsibilities towards government

1.
2.
3.
4.

Regular payment of taxes.

Resisting bribing, bureaucrat and administers.
Cooperating with go of in up gradation of environment.
Cooperating with go of in social values.

Responsibilities towards society as a whole

1.
2.
3.
4.

Prevention of environmental pollution

Preservation of ethical and moral values.
Making provision of health education and cultural services.
Minimizing ecological imbalance.

Que- Describe various stages in decision-making process.

Ans. Decision making is defined as selection of a course of action from
among alternatives; it is core of planning. The process leading to
making a decision might be thought of as (1) Premising (2) Identifying
alternatives (3) evaluating alternatives in terms of the goal sought and
(4) choosing an alternative, that is making a decision.
The optimizing decision-making is rational i.e. the decision-maker
makes consistent value maximizing choices within specific constrains.
These choices are made following a six-step rational decision-making
model.
The model begins by defining the problem. Problem exists when there is a discrepancy
between an existing and desired state of affairs many poor decisions can be traced to the decisionmaker overlooking a problem or defining the wrong problem.

Once a decision-maker has defined the problem, he or she needs

to identify the decision criteria that will be important in solving the problem.
In this step, the decision-maker determines what is relevant in making a
decision. This step brings the decision-makers interest, values and similar
personal preferences into the process. Identifying criteria is important
because what one person thinks is relevant, other person may not. Any
factors not identified in this stage are considered irrelevant to the decisionmaker.

The criteria identified are rarely all equal in importance. So the third
step requires the decision-maker to weight the previously identified criteria
in order to give them the correct priority in the decision.
The fourth step requires the decision-maker to generate possible
alternatives that could succeed in resolving the problem. Once the
alternatives have been generated the decision-maker must critically
analyze and evaluate each one. Rating each alternative on each criterion
does this. The strengths and weaknesses of each alternative become
evident as they are compared with the criteria and weights established in
the second and third steps.
The final step in this model requires computing the optimal
decision. This is done be evaluating each alternative against the weighted
criteria and selecting the alternative with the highest total score.

Write short note on

(i) Span of Control and (ii) Delegation
Ans. (i) Span of Control: - is defined as the number of subordinates a
manager can efficiently and effectively direct. A wide span of management
is associated with few organizational levels; a narrow span with many
levels. Factors that determine the span of control include.
a) Subordinate Training: - The better the training of subordinates the
fewer the number of necessary superior-subordinate relationships.
Well-trained subordinates require not only less of their managers time
but also less contact with their managers.
b) Clarity of Delegation of Authority: - The Principle cause of the heavy
time burdens of superior-subordinate relationships is to be found in
poorly conceived and confused organization. The most serious
symptom of poor organization affecting the span of management is
inadequate or unclear authority delegation. If a manager clearly
delegates authority to undertake a well defined task a well trained
subordinate can get it done with a minimum of managers time and
affection.
Clarity of Plans Much of the character of a subordinates job is defined
by the plans to be put into effect. If these plans are well defined, if they are
workable, if the authority to undertake them has been delegated, and if the

subordinate understands what is expected, a little of supervisors time will

be required.
Rate of Charge certain enterprise charge much more rapidly than others.
The rate if charge is an important determinant of the degree to which
policies can be formulated and the stability of polices maintained.
Communication Techniques An ability to communicate plans and
instructions clearly and concisely also tends to increase managers span.
The subordinates Job is greatly facilitated by superiors who can express
themselves well.

Organizations with narrow span

Organization with wide span

b) Delegation : Organization authority is the discretion conferred on people to

use their judgement to make decision and issue instruction. Decentralization is
the tendency to dispersed decision making authority in an organized structure.
The factors to the promote decentralization:6) size and complexity of the organization :- large organization with diverse
product line and conglomerates and companies involved in different field
would find decentralization to be more effective due to limitation in managerial
expertise as well as increased executive work load.
7) Location of target market: - if the customer of an organization are located
geographically for apart, decentralization would be more appropriate
management resources would be placed close to the customers allowing
quicker decisions and faster customer service.
8) Desirability of creativity in the organization: Decentralization is
suggested if creativity within the organization is desirable and necessary. It
gives the subordinates freedom to be innovative and find better ways of doing
things this freedom is a highly motivational factor which encourages creativity.
9) The time frame of decision: - where quick on-the-spot decisions must be
made, the authority to make them must be delegated encouraging
decentralization.

Authority is delegated when a superior gives a subordinate desecration to make

decisions. Delegation is necessary for an organization to exist. Just as no one
person in an enterprise can do all the tasks necessary for accomplishing a group
purpose, so it impossible, as an enterprise to grow, for one person to exercise all
the authority for making decisions. The process of delegation involves:(e) Determining the results expected from a position.
(f) Assigning tasks to a person .
(g) Delegating authority for accomplishing these tasks
(h) Holding the person in that position responsible for the accomplishment of the
tasks.
Delegation of authority should be affective and result oriented. Some of the
operation that serves as guidelines for effective delegation are:1) Functional clarity:- The function to be performed, the methods of operation
and the results expected must be clearly defined. the authority delegated must
be adequate to ensure that these function are well performed.
2) Matching authority with responsibility:- Responsibility and authority are
highly interconnected. Authority should be adequate and should not only match
the duties to be performed but also the personal capabilities of the subordinate.
3) Unity of command: - A subordinate should be responsible to only one
superior who is delegating the authority in the first place. In this manner the
responsibility for mistakes or accomplishments is traceable and chances of
conflict or confusion is minimal.
10)Principle of communication: - A misunderstood responsibility can be very
dangerous. A general authority can be easily misused. Accordingly,both the
responsibility and authority must be clearly specified openly communication
must be continuously kept open for issuing directions as well as receiving
feedback.
Even though delegation of authority has some definite advantages and is
necessary for optimal organizational operations ,some managers are very
reluctant to delegate authority and many subordinate avoid taking on the
responsibility and authority. The causes for such reluctance are based upon
certain beliefs and attitudes which are personal and behavioral in nature
Reluctance of manager:-

(e) A manager may believe that he can do his work better than his subordinate.
He might think that his subordinates are not capable enough.
(f) Since the manager is responsible for the action of his subordinates, he many
not be willing to take chances with the subordinate s.
(g) Some managers lack the ability to direct their subordinate. They may not be
good in organizing their thoughts as well as activities and thus may not know
what to do after delegation in order to help the subordinate complete the task.
(h) Some manager feel very insecure in delegating authority ,specially when the
subordinate is capable of doing the job better.

Reluctance of subordinate - while delegation of authority can be highly

motivating factor for some subordinate, other may be reluctant to take it for the
following reasons:(e) Many subordinates are reluctant to accept authority and make decision for
fear that they would be criticized or dismissed for making wrong decision.
This is specially true in situations where a subordinate has make a mistake
earlier.
(f) Some subordinate hesitate to accept new and added assignments where
there is a lack of necessary information and when the available resource are
not adequate or proper.
(g) The subordinate may lack self. Confidence in doing te job and may fear that
the supervisor will not be available for guidance once the delegation is made
and this makes them feel uncomfortable with additional responsibility.
(h) The subordinate may not be given sufficient incentives for assuming extra
responsibility which could mean working harder under pressure. According in
the absence of adequate compensation in the form of higher salary or
promotion opportunities a subordinate may avoid promotional opportunities a
subordinate may avoid additional authority.

Que- Explain main leadership styles.

Ans. A leader is one who guides and directs other people he gives the efforts of
his followers a direction and purpose by influencing their behavior.
Leadership is psychological process of influencing followers or subordinates and
providing guidance to them. It is always related to situation, which means a
leader may be effective in one situation while ineffective in another. To be
effective, a leader should change his leadership style dependency upon the
requirements of the situations. Leadership is a compound of at least four major
ingredients.
a) The ability to use power effectively and in responsible manner.
b) The ability to comprehend that human beings have different
motivation forces at different times and different situations.
c) The ability to inspire and
d) The ability to act in a manner that will develop a climate conductive
to responding to and arousing motivation.
Style of leadership

Leadership style refers to a leaders behavior. Behavioral pattern, which the

leader reflects in his role as a leader, is often described as the style of
leadership. Different leadership patterns exits among leaders in different times
and in different situations. Leadership style is the result of leaders philosophy,
personality, experience and value system. It also depends upon the type of
followers and organizational atmosphere prevailing in the enterprise. Different
types of leadership styles are:
1. Autocratic leadership
2. Participative leadership.
3. Free rein leadership.
1.
Autocratic or Dictatorial Leadership
Autocratic leaders keep the decision-making authority and control in their
own hands and full responsibility for all actions. Also, they structure the entire
work situation in their own way and expect the workers to follow their orders
and tolerate no deviation from their orders. The autocrat ranges from tough to
paternalistic, depending upon whether his motivational approach is threat and
punishment or rewards. The autocratic leader believes that his leadership
based upon the authority conferred upon him by some source, such as his
position, knowledge, strength or the power to punish and reward.
Advantages
a) Autocratic leadership is useful when the subordinates are new on
the job and have no experience either in the managerial decision
making process or performing without active supervision.
b) It can increase efficiency, when appropriate, and get quicker
results, specially in a crisis or emergency situation, when the
decision must be taken immediately.
c) The paternalistic autocrat is useful when the subordinates are not
interested in seeking responsibility or when they feel insecure at the
job or when they work better under clear and detailed directives.
d) It is useful when the chain of command and the division of work is
clear and understood by all.
Disadvantages
a) One-way
communication
without
feedback
leads
to
misunderstanding and communications breakdown.
b) An autocratic leader makes his own decisions which can be very
dangerous in this age of technological and sociological complexity.
c) Since it inhibits the workers freedom, it fails to develop his
commitment to the objectives of the organization.
d) Since it provides for worker resentment, it creates problems with
their morale resulting in poor productivity in the long run.

e) It is unsuitable when the work force is knowledgeable about their

jobs and the job calls for teamwork and cooperative spirit.
2.

Participative or Democratic Leadership

In this type of leadership, the subordinates are consulted and their
feedback is taken into the decision making process. The leaders job is
primarily of a moderator, even though he makes the final decision and
he alone is responsible for the results. The group members are
encouraged to demonstrate initiative and creativity and take intelligent
interest in setting plans and policies and have maximum participation
in decision-making. This ensures better management labour relations,
higher moral and greater job satisfaction. This type of leadership is
especially effective when the work force is experience and dedicated
and is able to work independently with least directive.
Advantages
a) Active participation in the management by labour assures rising
productivity satisfaction.
b) Workers develop a greater sense of self esteem, due to
importance given to their ideas and their contribution.
c) They become more committed to changes that may be brought
about by policies changes, since they themselves participated in
bringing about these changes.
d) The leadership induces confidence, cooperation and loyalty among
workers.
e) It results in higher employee morale.
Disadvantages
a) The democratic leadership requires some favorable conditions in
that the labour must be literate, informed and organized. This is not
always possible.
b) This approaches assumes that all workers are genuinely interested
in the organization and that their individual goals are successfully
fused with the organization goals. This assumption may not always
be valid.
c) There must be total trust on the part of management as well as
employees. Some employees may consider this approach simply
an attempt to manipulate them. Accordingly, the employees must
be fully receptive to this approach to make it meaningful.
d) Some group members may feel alienated if their ideas are not
accepted for action. This may create a feeling of frustration and ill
will.
e) This approach is very time consuming and too many viewpoints
and ideas may make the solid decision more difficult and may be
source of frustration of impatient management.

f) Some managers may be uncomfortable with this approach because

they may fear an erosion of their power base and their control
over labour.
g) This approach relies heavily on incentives and motivation of
recognitions. Appreciation, status and prestige. The labour may be
more interested in financial incentives instead of prestige.
3.

Laissez faire or Free reign Leadership

In this type of leadership, the leader is just a figurehead does not give
any direction. He acts principally as liaison between the group
and the outside elements and supplies necessary materials and
provides information to group members. He lets the
subordinates plan and organize and develop their own
techniques for accomplishing goals within the generalized
organizational policies and objectives. The leader participates
very little and instead of leading and directing, he becomes just
one of the members. He does not attempt to intervene or regulate
or control and there is complete group or individual freedom in
decision-making. This type of leadership is highly effective when
the group members are highly intelligent and are fully aware of
their roles and responsibilities and have the knowledge and
skills to accomplish these tasks without direct supervision.
This type of leadership is evident in research laboratories where the
scientists are fairly free to conduct their research and make their
decisions. Similarly, in a university or a college, the chairperson
does not interfere in the professors teaching methods, but only
assigns the courses to be taught. From then onwards, the
professors are very much their own leaders.
Advantages
a) It creates an environment of freedom, individuality as well as the team
sprit.
b) It is highly creative, with a free and informal work environment.
c) This approach is very useful where people are highly motivated and
achievement oriented.
Disadvantages
a) It may result in disorganized activities, which may lead to inefficiency
an chaos.
b) Insecurity an frustration may develop due to lack of specific decision making authority and guidance.
c) The team sprit may suffer due to possible presence of some
uncooperative members.
d) Some members may put their own interests above the group and team
interests.

In practice, a leader may use all styles over a period of time, but one style tends to predominate as his normal
way of using power. For example, factory supervisor who is normally autocratic may be participative in
determining vacation schedules and free rein in selecting the departmental representative for safety committee. It
should be noted that the classification is not scientific.

Que- Define Control Process. Why is control so essential in business?

Ans. The managerial function of controlling is the measurement and correction
of performance in order to make sure that enterprise objectives and the
plans devised to attain them are accomplished.
The essential elements of any control process are (1)
Establishment of Standards (2) Measurement (3) Comparing performance
with the standards and (4) Taking corrective actions.
1) Establishment of Standards is the first step in control process.
Standards represent criteria for performance. A standard acts as
reference line or a basis of appraisal of actual performance. Standards
should be set precisely and preferable in quantitative terms. Setting
standard is closely linked and is and integral part of the planning
process. Standards are used or bench marks by which performance is
measured in the control operations at the planning stage, planning is
the basis of control.
2) Measurement of Performance After establishing the standards, the
second step is to measure actual performance of various individuals,
groups or units. Management should not depend upon the guess that
standards are being met measurement of performance against
standards should ideally be done on a forward looking basis so that
deviations may be detected in advance of their occurrence and
avoided by appropriate actions.
3) Comparing Performance with Standards Appraisal of performance
or comparing of actual performance with pre-determined standards is
an important step in control process.
Comparison is easy where standards have been set in quantitative
terms as in production and marketing. In other cases, where results
are intangible and cannot be measured quantitatively direct personal
observations, inspection and reports are few methods which can be
used for evaluation. The evaluation will reveal some deviations from
the set standards. The evaluator should point out defect or deficiencies
in performance and investigate the causes responsible for these.
4) Taking Corrective Actions Managers should know exactly where in
the assignment of individual or group duties, the corrective action must
be applied. Managers may correct deviations by redrawing their plans
or by modifying their goals. Or they may correct deviations by
exercising their organizing functions through reassignment or

clarification of duties. They may correct, also, by additional stapling or

better selection and training of subordinates.

Que- What are methods of communication in management?

What are essential qualities of a good business report?
Ans. There are various methods of communication in management. These
include (i) Oral Communication (ii) Written Communication and (iii) Non
Verbal Communication.
1) Oral Communication The chief means of conveying messages is oral
communication. Oral communication may take place (a) face to face
conversation and (b) through mechanical devices.
Face to face conversation is the most natural way of transmitting
message. It is the best means of securing cooperation and
resolving problems. Various studies have shown that face to face
communication carries the message better than any other media.
It avoids misunderstanding between persons talking face to face.
It is because by having face to face conversation one can convey
the message both by words as well as expressions and receive
the response in minimum amount of time. If the receiver is
unsure of the message rapid feedback allows for early detection
by the sender and hence allows for early correction.
Mechanical devices, which are used, for oral communication
include telephones, intercom system and dictating machines.
The major disadvantage of oral communication in management
is where decisions and other communication are verbally passed
up and down to authority hierarchy; there is considerable
opportunity for message to become distorted.

2) Written Communication Written Communication include memos,

letters, electronic mail, fax transmissions, organizational periodicals
notice place on bulletin boards or any other device that is transmitted
via written words or symbols. Organizations use written communication
because it is tangible and verifiable. Typically both the sender and
receiver have a record of the communication. The communication can
be stored for an indefinite period. The marketing plan for a new product
for instance is likely to contain a number of tasks spread out over
several months. By putting it in writing those who have to initiate the
plan readily refer to it over the life of plan.

The final benefit of written communication comes from the process itself. A person is
usually more careful with the written word than the oral word. One is forced to think
more thoroughly about what one has to convey in a written message than in the spoken
one.

Written messages have their drawbacks. They are time consuming so

although writing may be more precise, it also consumes great deal of
time. The other major disadvantage is pack of feedback oral
communication allows the receiver to respond rapidly to what he thinks
he hears. Written communication however, does not have a feedback
mechanism.
3) Non Verbal Communication: Communication through gestures or
postures is often used as a means to supplement verbal
communication. If there is a face to face conversation between two
persons, they can better understand the feelings, attitudes and
emotions of each other. Gestural communication is very much helpful
to motivate the subordinates, as for instance a pat on the back of the
subordinate. Similarly gestures taken by the listeners can help the
communicator to know their reactions.
Essential Qualities of Good Business Report

A well written business report can help avoid semantic and perception
barriers. A well written business report eliminates the possibility of
misunderstanding and misinterpretation. In writing messages, it is
necessary to be precise, making the meaning as clear as possible so that
it accomplishes the desired purpose. The language used should be
simple, as it will be easier for the receiver to understand the message. The
message will be lost if the words used are complex and do not lend to
clear single meaning. Vagueness destroys accuracy which leads to
misunderstanding of the meaning or intent of the message. Accordingly be
specific and to the point.
There is great importance of timing in Business communication. The
communication should not only be timely so that the decisions and actions
can be taken in time and when necessary but also the timing of the
message and the environment setting in which the message is delivered
and received is equally important. An important message delivered at he
wrong time or in a non-conducive environment may lose its effectiveness.
Business communication must pass through the proper channels to reach
the intended receiver. The communication flow ant its spread must avoid
by passing levels or people. When these concerned levels are omitted or
by passed, it creates bickering distrust confusion and conflict. Accordingly
the established channels must be used as required.

Unless it is one-way communication that is simply meant to inform all

business, communication needs a follow up to ensure that is was properly
understood and carried out. A verbal communication may need to be
followed up by written confirmation. The response and feedback to the
communication would determine. Whether the action to the
communication has been appropriate and accurate.
Business communication should be complete so as not only to meet the
demands of today but should also be based on future need of the
organization as well as individuals. A reasonable projection and
assessment of future needs and environment both work and social should
be incorporated when planning and executing communication.
Que- What are the barriers in communication? How can you overcome
them?
Ans. The communication must be interpreted and understood in the same
manner as it was meant to be sent by the sender, otherwise it will not achieve the
desired results and a communication break-down will occur. There are certain
external roadblocks to effective communication like noise, poor timing,
incomplete, inadequate or unclear information, poor choice of channel of
transmission of information etc. which can affect the proper reception of the
communication. In addition there are personal factors which may interest the
communication not in the same manner as it was intended by the sender but in a
way that the receiver wants to receive depending upon the stimuli present
emotions or prejudices for or against a concept or ideology or personal conflict so
that instead of interpreting the content of the communication, the intent of the
sender my be interpreted.
Some of the organizational barriers and some of the interpersonal barriers to
effective communication are:(7) noise barriers
(f) poor timing
(g) inappropriate channel
(h) improper or inadequate information
(i) information overload
(j) network breakdown
(8) semantic barriers
(9) feedback barriers
(10) cultural barriers
(11) perception
(12) sender credibility
Communication can be made effective by using following guidelines:(3) the ideas and message

(4) Communication should be comprehensive and executing communication.

Short Notes on Maslow Law

Maslows Hierarchy of Needs
Self-Actualization
Need for Self Esteem
Need for Social Relations
Need for Security
Physical Needs

What are the level of Management

Strategic Managers
Tactical Managers
Operational Managers

Strategic Managers
The firms senior executives with overall responsibility for the firm.
Developing the companys goals
Focus on long-term issues
Emphasize the growth and overall effectiveness of the organization

Concerned primarily with the interaction between the organization and its
external environment.

Tactical Managers

Responsible for translating the general goals and plans developed by

strategic managers into specific objectives and activities.

Shorter time horizon

Coordination of resources

These are middle managers

Operational Managers

Lower-level managers who supervise the operations of the organization.

Directly involved with non-management employees

Implementing the specific plans developed with tactical managers.

This is a critical role to the organization.

Operational managers are the link between management and nonmanagement staff

Management is acting as set of skills

Four major categories of skills will help you become a good manager:

Strategizing Skills
Task-Related Skills
People-Related Skills
Self-Awareness Skills

Strategizing involves the ability to see the big picture to:

Focus on key objectives without getting mired in details

Sense what is happening inside and outside the company
Respond in an appropriate and timely fashion

Task-Related Skills

Involve the ability to define the best approach to accomplish personal and
organizational objectives.
They include consideration of all resources, including:

Time
Organizational structure
Financial resources
People

They also involve the ability to:

Prioritize
Remain flexible to make changes if necessary
Ensure that value is being created

In contemporary organizations, task-related skills are demanded of most

employees from factory workers to top executives

People-Related Skills

Involve getting work done through others and with others.

People skills include the ability to:

Delegate tasks
Share information
Resolve conflicts
Be a team player
Work with people from very different backgrounds

Self-Awareness Skills

Being aware of your personal characteristics can help you adapt to

others.

To also help you understand why you react to them the way you do.

Avoid rushed judgments

Appreciate the nuances of particular situations
Size up opportunities
Capitalize on your personal strengths
Avoid situations in which you are likely to fail