POM - 2 Marks

Dr.N.G.P. Institute of Technology / ECE Karthika C.
[AP/ECE]
Dr. N.G.P. INSTITUTE OF TECHNOLOGY

Coimbatore-641048
DEPARTMENT OF
ELECTRONICS AND COMMUNICATION ENGINEERING
TWO MARKS WITH ANSWERS
MG6851 / PRINCIPLES OF MANAGEMENT

REGULATION: 2013
PREPARED BY
Ms.C.KARTHIKA, AP/ECE
Dr.N.G.P.IT
Question Bank- Two Marks With Answer MG6851/Principles of Management

Dr.N.G.P. Institute of Technology / ECE Karthika C. [AP/ECE]
Syllabus
MG6851 PRINCIPLES OF MANAGEMENT LTPC

30 0 3
OBJECTIVES: To enable the students to study the evolution of Management, to study the
functions and principles of management and to learn the application of the principles in an
organization .
UNIT I INTRODUCTION TO MANAGEMENT AND ORGANIZATIONS 9

Definition of Management – Science or Art – Manager Vs Entrepreneur - types of managers -
managerial roles and skills – Evolution of Management – Scientific, human relations , system
and contingency approaches – Types of Business organization - Sole proprietorship, partnership,
company-public and private sector enterprises - Organization culture and Environment – Current
trends and issues in Management.
UNIT II PLANNING 9
Nature and purpose of planning – planning process – types of planning – objectives – setting
objectives – policies – Planning premises – Strategic Management – Planning Tools and
Techniques – Decision making steps and process.
UNIT III ORGANISING 9

Nature and purpose – Formal and informal organization – organization chart – organization
structure – types – Line and staff authority – departmentalization – delegation of authority –
centralization and decentralization – Job Design - Human Resource Management – HR Planning,
Recruitment, selection, Training and Development, Performance Management , Career planning
and management.
UNIT IV DIRECTING 9
Foundations of individual and group behaviour – motivation – motivation theories – motivational
techniques – job satisfaction – job enrichment – leadership – types and theories of leadership –
communication – process of communication – barrier in communication – effective
communication – communication and IT.
UNIT V CONTROLLING 9
System and process of controlling – budgetary and non-budgetary control techniques – use of
computers and IT in Management control – Productivity problems and management – control
and performance – direct and preventive control – reporting.
TOTAL: 45 PERIODS
OUTCOMES: Upon completion of the course, students will be able to have clear
understanding of managerial functions like planning, organizing, staffing, leading & controlling
and have same basic knowledge on international aspect of management

UNIT I: INTRODUCTION TO MANAGEMENT AND ORGANIZATIONS

1. Define management. [Dec’14,Dec’12,May’11, May ‘17]
According to Knootz and Weihirch “Management is the process of designing and
Maintaining of an organization in which individuals working together in groups
efficiently accomplish selected aims.
2. Point out any three differences between administration and management.
[May’14,Dec’14]
S.No. Administration Management
1. It is higher level functions Is it lower level functions
2. It refers to the owners of the organization It refers to the employees
Administration is concerned with Management is concerned with execution

3.
decision making of decision
4. It acts through the management It acts through the organization
Administration lays down broad policies Management executes these policies into
5.
and principles for guidance practice.
3. What are the roles of manager has to perform? [May’14,May’11, Nov ‘16]
Interpersonal roles
Figurehead role
The leader role
The liaison role
Informational roles
The recipient role
The disseminator role
The spokesperson role
Decision roles
The entrepreneurial role
The disturbance-handler role
The resource allocator role
The negotiator role
4. Name the three important attitudes of a global manger. [Dec 2013]

i) Managers have to manage a workforce that is different in needs, aspirations and
attitudes from the ones, they were used to back in the former country.
ii) Managers have to work with superiors, subordinates and people are different in culture.

iii) Managers need to understand the varying culture accurately and then learn to adapt
their management styles accordingly to manage the employees effectively.
5. Define administration. [May 2013]

According to E.F.L Breech “Administration is that part of management which is
concerned with the installation and carrying out of the procedures by which the
programme is laid down and communicated and the progress of activities is resulted and
checked against plans. This Breech concerns administration as a part of management”
6. What is globalization? [May 2013]

All these policies measured clearly reflect the changing attitude of Government to
Integrate Indian Economy with the world’s economy is called Globalization.
7. Specify the functions of management. [Dec’12,Dec’11]

i) Planning
ii) Organising
iii) Staffing
iv) Coordinating
v) Controlling
8. Name the different levels of management. [May 2012]

i) Top level management
ii) Middle level management
iii) Lower level management
9. Who is known as the father of modern operations management theory? [May 2012]
Henry Fayol is known as the father or modern operations management theory. He
identified 14 principles of management which he believed to increase the efficiency of
the management process. These 14 principles suited all types of organization and was
very much suitable for the modern approach.
10. What is scientific management? [Dec 2011, Nov ‘15]

Fredick Winslow Taylor is called “Father of scientific management”. Taylor
attempted a more scientific approach to management as well as the problems and the
approach was based upon four basic principles
 Observation and measurement should be used in the organisations.
 The employees should be scientifically selected and trained.
 Due to scientific selection and training, an employee has the opportunity of
earning a high rate of pay.
A revolution in the form of constant cooperation between the employer and employees
should be given the benefits of scientific management.

11. What is system approach to management? [May’10]

The system approach views the organization as a unified, purposeful system
composed of interrelated parts. This way the manger can look at the organization as a
whole or a part of the larger outside environment. Activity of any part affects all other
parts of the organization. A system can be biological, physical or social.
12. What it Time study? [May’10]

This study determines the proper time for performing the operations. The
movements which take a minimum time are the best one. This helps in firms the fair
work for a period.
13. Explain unity of direction. [Dec’07]

Unity of direction signifies each group of activities having the same objective
with one head and one plan.
14. What is meant by Esprit-de-Corps? [May’09]

Union is strength. In organization, employees should be in harmony and unity. It
improves the employee morale.
15. List the functions of Management. [May’07 and May’09]

i) Planning
ii) Organising
iii) Staffing
iv) Coordinating
v) Controlling
16. List the characteristics of Modern Management. [May’10,Nov’16]

i) Management is a continuous process.
ii) Managers use the resources of the organisation both physical as well as human to
achieve the goals.
iii) Management aims acts in achieving the organization goals by ensuring the
effective use of resources.
17. How does effectiveness differ from efficiency? [May’09]

Efficiency means doing things right. It defines the ability to minimize the use of
resources in achieving organizational objectives.
Effectiveness means “Doing the right thing”. The ability is to determine
appropriate objectives.

18. What is a social responsibility? [Apr’04]

Society is the part of management to interact actions with or to protect social
interest in a society.
19. What is Globalization? [Dec’06]

All these policies measured clearly reflect the changing attitude of Government to
Integrate Indian Economy with the world’s economy is called Globalization.
20. What is Multinational Corporation (MNC)? [Apr’10,May ‘15]

“An enterprise owns or controls production or service facilities outside the
country in which they are based”.
The MNC top manager regards the entire world as the relevant frame of reference
for making the kinds of resource acquisition, production and market identified.
MNC is reduction of unit costs through producing more units. MNC the parent
company and its foreign affiliated act in close alliance and cooperation with one another.
21. Is Management - an art or science? [Apr’05]

Managing as practice is an art; the organized knowledge underlying the
practice is a science.
Managing has the following features that make it an art.
i. Creative
ii. Individual approach
iii. Application and dedication
iv. Initiative and
v. Intelligence.
The following features make it a science.
i) Systematic decision making
ii) Universal management process
iii) Situational output and
iv) Universally accepted management.
Thus management can be called both as an art and science.
22. List the contributions of Fayol towards Management. [May’07]

Henry Fayol is a French industrialist whose contributions are termed as operational
management or administrative management. He followed ‘The Classical Approach’ to
the evolution of management thought. His contributions are given as follows:-
i) Grouping of activities of an industrial organization into six groups, namely-
Technical, commercial, financial, security, accounting and managerial;
ii) Identified six types of qualities of a manager are- Physical, mental, moral,
educational, technical and experience;
iii) Fourteen principles of Management namely- Division of Work, Authority and

responsibility and so on; and

iv) Five elements/functions of management- Planning, organizing, commanding,
coordinating and controlling.
23. Write some characteristics of Management? [May’06]

Management is a continuous process. Manager use the resources of organization
both physical as well as human achieve the goal. Management aims act achieving the
organization goals by ensuring effective use of resources.
24. What are the essential skills of Managers? [May ’15]

The major skills required or expected out of managers are:-
i) Technical skills – Pertaining to knowledge and proficiency in activities
involvingmethods and procedures;
ii) Human skills – Ability to work effectively with other persons and to build
upcooperative group relations to accomplish organizational objectives;
iii) Conceptual skills – Ability to recognize significant elements in a situation; and
tounderstand the relationship among those elements; and
iv) Design skills – Ability to solve problems in ways that will benefit the enterprise.
25.List down the scope of management?
i) Functional areas of management

ii) Subject-matter of management
iii) Management is an inter-disciplinary approach
iv) Principles of management
v) Management is an agent of change
vi) The essentials of management
26. What are the roles of management in an organization?

i) Management helps in determining the objectives of an organization
ii) Economic and social development take place through management
27. Mention the characteristics of a bureaucratic system.

i) Well-defined hierarchy
ii) Division of labor and specialization
iii) System of written rules and regulations
iv) Impersonal relationships between managers and employees
v) Selection and evaluation system
28. What are the five specific areas in needs of hierarchy based on Maslow’s theory?
i) Physiological needs
ii) Safety needs

iii) Social needs

iv) Esteem needs
v) Self-actualization needs
29. What are the challenges faced by management?

i) Changing employee expectations
ii) Building organization capabilities
iii) Job design and organization structure
iv) Changing psychosocial system
v) Technological charges
vi) Changes in legal environment
30. List down the benefits of Scientific Management.

i) Replacement of traditional rule of thumb method
ii) Proper selection and training of workers
iii) Incentive wages to the workers for higher production
iv) Elimination of wastes and rationalization of system of control
v) Standardization of tools, equipment, materials and work methods
vi) Detailed instructions and constant guidance of the workers
vii) Establishment of harmonious relationship between the workers

UNIT II:PLANNING
1. Define corporate planning. [Dec 2014]
Most corporation of even moderate size have a corporate headquarters. The heads of
these groups are typically part of the group of senior executives at the corporate
headquarters. Executives at the corporate level in large firms include both those in the
headquarters and those heading up the large corporate groups such as finance, human
resources, marketing etc.
2. List down the policy of planning. [Dec 2014]

i) Planning is purposeful
ii) Planning is a primary function
iii) Pervasive process
iv) Intellectual process
v) Continuous process
vi) Forward process
vii) Involves choice
3. What is Strategic Planning?. Give an example. [May’14,Dec’11]

Strategic planning sets the long-term direction of the organization in which it wants to
proceed in future. It focus on the broad future of the organization. Incorporating both
external information gathered by analyzing the company’s competitive environment and
the firms internal resources, managers determine the scope of the business to achieve the
organization long-term objectives.
Eg : Starting a new business, a new plant, etc..
4. What do you mean by policy? Give an example. [May 2014]

Policies are general statement or understanding which provides guidance in decisions
making to various managers.
5. Mention the three basic approaches followed by managers while selecting from among
alternatives. [Dec 2013]
i) Quantitative and qualitative analysis
ii) Marginal analysis
iii) Cost effectiveness analysis
6. How are plans classified? [Dec’13,Dec’12,May’12]

Standing plans
i) Mission or purpose
ii) Objectives
iii) Strategies
iv) Policies

v) Procedures
vi) Rules
Single use plans
i) Programmes
ii) Budgets
iii) Schedules
iv) Methods
v) Projects
7. What are the objectives of planning? [May’13,Dec’11, May ‘17]
i) Planning is a primary function of an organization.
ii) It helps in achieving objectives.
iii) It is done to cope with uncertainty and change.
iv) It helps in facilitating control.
v) It helps in coordination.
vi) Planning increases organizational effectiveness.
vii) Planning guides in decision making
8. Name any four quantitative forecasting techniques. [May 2013, Nov ’15, May ‘17]
i) Jury of executive opinion
ii) Delphi method
iii) Simple moving average
iv) Weighted moving average
9. Define strategy. [Dec 2012]
A strategy may be defined as special type of plan prepared for meeting the challenges
posted by the activities of competitors and other environment forces.
10. Define MBO. [May 2012, Nov ‘16]

KOONTZ &WEIHRICH: Management by objectives (MBO) is defined as
acomprehensive managerial system that integrates many key managerial activities in a
systematic manner and that is consciously directed towards the effective and efficient
achievement of organizational and individual objective.
(OR)
“MBO is a process whereby the superiors and the subordinate managers of an
enterprise jointly identify its common goals, define each individual major areas of
responsibility in terms of results expected of him, and use these measures as guides for
operating the unit and assessing the contribution of each of its members.” - GEORGE
ODIORNE.
11. Define Planning. [Apr’04 and Nov’08]
Planning is the process of selecting the objectives and determining the course of
action required to achieve these objectives.

12. Define Mission. [Nov’07]

Mission may be defined as “statement which defines the role that an organization
plays in the society”
13. Define objective. [May’10]

The terms “objectives” or “goals” are often used interchangeably. Objectives are
The aims, purposes or goals that an organization wants to achieve over varying periods of
time.
14. What is Operational Planning. [Dec’07]

Planning is executed effectively called Operational Planning.
15. What are the advantages of planning? [Apr’06]
i) It helps in achieving objectives
ii) Better utilization of resources
iii) Economy in operation
iv) It reduces uncertainty and risk
v) It improves competitive strength
vi) Effective control.
vii) Coordination
16. List the functionalities techniques used for decision making. [Dec’06]
Qualitative method
i) Jury of executive opinion
ii) Delphi method
iii) Consumer market survey
iv) Sales force opinion composite
v) Scenario building
vi) Judgment decomposition
Quantity method
i) Time series method and analysis
ii) Econometric forecasting
iii) Technology forecasting
17. Explain the Delphi Technique. [Apr’09]

The Delphi method makes use of a panel of experts, selected based on the areas of
expertise required. The Delphi method is an exercise in group communication among a
panel of geographically dispersed experts. The technique allows experts to deal
systematically with a complex problem or task. It comprises a series of questionnaires
sent either by main or via computerized systems. To a pre-selected group of experts.
These questionnaires are designed to explicit and develop individual responses to the

problems posed and to enable the expert to refine their views as the groups work
progresses in accordance with the assigned task.
18. What do you mean by a Strategy? [Dec’06 and May’09]

A Strategy may also be defined as a special type of plan prepared for meeting the
challenge posted by the activities of competitors and other environmental forces.
19. Give the three generic strategies by Porter. [Nov’08]

i) Strategy is a contingent plan as it is designed to meet the demands of a particular
situation.
ii) Strategy relates an organization to its environment, particularly the external
environment. Strategic decisions, such as objective setting, actions and resources
required to achieve objectives are primarily concerned with external forces.
iii) Strategy is the right combination of both internal and external factors. By consider
internal factors, such as strength and weakness to take various course of action.
iv) Strategy is a contingent plan, as it is designed to meet the demands of a particular
situation.
v) Strategy may involve contradictory action. For example, a manager may take an
action today and may revise his action tomorrow due to change in the situation.
20. Define Planning Premises. [May’09]

Planning premises are the assumptions that should be made about the various
elements of the environment. It provides the basic frame work. In which plans operate.
These premises include organizational polices, resources of various types, sales forecasts
and the ability of the organization to withstand the environment pressure. External
premises include the total factors in task environment, such as political, social,
technological, competitors, plans and actions, and government polices etc.
21. What is expected value of Perfect Information? [May’10]

Expected Value of perfect information is calculated by subtracting the expected value
with the existing information from expected value with perfect information.
22. Explain the term decision and decision-making. [Apr’04 and Dec’06]
A decision may be a direction to other to do or no to do. Decision making is defined
as the process of choosing a course of action from among alternatives to achieve a
desired goal. It is one of the functions of management and also a core process of
planning. The management and also a core process of planning. The management
executive takes a number of decisions every day. Thus, a decision may be rational or
irrational. There are number of alternatives available to the management. The best one is
selected among the available alternatives.

23. How would you evaluate the importance of a decision? [Nov’04]

i) Decision-making is a selection process. The best alternative is selected among
may available alternatives.
ii) Decision-making is a goal-oriented process, Decisions are made to achieve some
goal or objective.
iii) Decision-making is the end process. It is proceeded by a detailed discussion and
selection of alternatives.
iv) Decision-making is a human and rational process involving the application of
intellectual abilities. It involves deep thinking and foreseeing things.
v) Decision-making is a dynamic process. An individual takes a number of decisions
each day.
24. What is planning? [Apr’04 & Nov’08]

Planning is a process of selecting the objectives & determining the course of action
required to achieve these objectives.
(Or)
Planning involves selecting missions and the objectives and the actions to achieve
them. It ends with decision making, which is choosing the best alternative from the avail-
able future courses of action.
EG: The goal set for limited period like five year plans.
25. Important observations subjected about planning?

i) Planning is obtaining a future course of action in order to achieve an objective.
ii) Planning is looking ahead.
iii) Planning is getting ready to do something tomorrow.
iv) Plan is a trap laid down to capture the future.
26. Define policies?

Policies are general statement or understanding which provides guidance in
decisions making to various managers.
27. Write down the different decision-making criteria proposed under uncertainty
conditions.
i) Maximizing the maximum possible payoff
ii) Maximizing the minimum possible payoff
iii)Minimizing the maximum possible regret to the decision maker
iv) Assuming equally likely probabilities for the occurrence of each possible state of
nature
28. Explain in brief about the two approaches in which the hierarchy of objectives can
be explained?
There are two approaches in which the hierarchy can be explained.

1. top-down approach
2. bottom-up approach
In the top-down approach, the total organization is directed through corporate
objective provided by the top-level management. In the bottom up approach, the top level
management needs to have information from lower level in the form of objectives.
29. State any four limitations of planning. [May ‘15]

i) Lack of accurate information.
ii) Time and Cost.
iii) Inflexibility.
iv) Delay during emergency period.
30. What is a meant by reframing matrix?

Reframing matrix is a simple technique that helps to look at business problems
from a number of different viewpoints. The approach relies on the fact that different
people with different experience approach problems in different experience approach in
different ways.

UNIT III:ORGANIZING
1. Define authority. [Dec 2014]

Authority is the right to give orders and the power to exact obedience. The various
sources of authority are
i) Formal authority
ii) Acceptance authority
iii) Competence authority
2. What is staffing? [Dec 2014]

Staffing is the part of the management process which is considered with the
procurement utilization, maintenance and development of a large satisfied work force on
the organization.
3. Define span of control. [May 2014]

Span of control means the number of people managed effectively by a single
superior in an organization. The term “Span of control” is also known as “Span of
management”, “Span of authority” and “Span of responsibility”. But span of management
is a better term because control and supervision are elements of management.
4. List down the different types of training. [May 2014]

On the job training
i) Trainee, Job rotation
ii) Board Membership meeting
iii) Vestibule training
iv) Coaching
v) Temporary promotions.
Off the job training
i) Case study method
ii) Role playing method
5. Distinguish between formal and informal organizations. [Dec 2013]

Sl.no Point of view Formal organization Informal Organization
It is created deliberately
It is created spontaneously
1. Origin and consciously by the
and naturally
frames of the organization.
It is created by the members
It is created for achieving
of the organization for social
2. Purpose legitimate objectives of the
and psychological
organization
satisfaction

3. Nature Planned and official Unplanned and unofficial
4. Size It may be quite large It may be small in size
6. List the difference between authority and power. [Dec 2013]

Power is the ability of individuals or groups to induce r influence the beliefs or
actions of other persons or groups.
Authority in organisation is the right in a position to exercise discretion in making
decisions and affecting others.
7. Define organization. [May’13,May’11]

Organizing refers to the formal grouping of people and activities facilitate
achievement of the firm’s objectives.
Organizing may be defined as the process of
i) Identifying and classifying the required activities i.e. Job Design
ii) Grouping the work to be performed i.e., Departmentation
iii) Defining and delegating responsibility and authority i.e.
Delegation of authority
iv) Span of Control
8. What are the advantages of decentralization? [May 2013]

i) It reduces burden of the management so that it can focus more
ii) Attention on strategic management.
iii) It encourages the decision making and assumption of authority and responsibility.
iv) It facilities the growth and diversification in the organization.
v) It enables the department staff members to complete work early.
9. What is decentralization? [Dec 2012]

If the power is fully distributed to the subordinates of the organization, it is called
decentralization.
10. What are the sources of requirement? [Dec 2012]

Internal Sources
i) Present employees
ii) Present temporary / Casual employees
iii) Retire employees
iv) Dependents of deceased, disabled, retired and present employees.
External Sources

i) Educational and Training Institutes

ii) Private Employment Agencies
iii) Public Employment Exchange
iv) Data banks
v) Casual Applicant
vi) Trade Unions
11. What is functional department? [May 2012]

The most commonly followed basis is departmentation by enterprise function.
Under this case, the activities are grouped on the basis of functions which are to be
performed. Each department head is responsible for the respective departments.
12. What is meant by delegation? [May 2012]
Delegation of authority is a process which enables a person to assign works to
others and delegate them with adequate authority to do it.
13. Mention any two merits of performance appraisal. [May 2011]

i) The raters should be carefully selected and trained.
ii) They must be familiar with the job and the person to be rated.
iii) Follow-up is important for effective appraisal.
14. What is division of labour? [Dec 2011]

Division of labour is defined as the total work of an organization is divided into
functions and sub functions in order to get the benefits of the specialization.
15. Define the term functional authority. [Dec 2011]
Functional authority is the right which an individual or department has delegates
to it over specialized processes, practices, policies or other matters relating to activities
undertaken by personnel in departments other than its own.
16. What do you understand by effective organizing? [Nov’05]
Effective organizing focuses on finding mistakes in present organizing and
avoiding such mistakes by a proper planning. Effective organizing avoids organizational
inflexibility and makes the staff work effectively by avoiding conflicts by clarification.
17. Enumerate the advantages of functional organization grouping. [Apr’05]

i) Since a foreman is responsible for one function be can perform his duties in a
better manner.
ii) This organization structure makes use of specialist to give expert advice to
workers.
iii) It relives line executives of routine, specialized decisions which are sometime
bore some.

iv) Expert guideline reduces the number of accidents and wastages materials, man
and machine hours.
v) It relives the pressure needed to search a large number of all-round executives.
18. What are the limitations of Matrix Organization Structure? [Apr’10]

i) Since use of the matrix means the use of multiple commands, managers often end
up with conflicts.
ii) The organization relationship becomes very complex and there is a great
confusion among personnel.
iii) A matrix organization is created by deputing the staff temporarily from different
functional departments. The project managers do not have any line authority over
such problems. It may result in lack of commitment to project objectives. It is also
very difficult to coordinate such peoples.
iv) Matrix structure may be expensive. The dual chain of command may cause
management costs to double.
19. Define the term Scalar chain. [Apr’10]

The chain of superiors ranging from top management to bottom management is
called scalar chain.
20. Why is informal organization needed? [Nov’06]
i) Since informal organization give s satisfaction to the workers, it motivates
workers and also maintains the stability of the work.
ii) It fills up the gaps and deficiency of the formal organization.
iii) It fills up the gaps among the abilities of the managers.
iv) The presence of informal organization encourages the executives to plan the work
correctly and act accordingly.
v) It is one of the useful channels of communication.
21. Site an example for formal and informal organization. [May’07]

Formal organization: Government offices, Multinational companies, such as
Nokia, Siemens, Hewlett Packard, Canon, Xerox etc.
Informal organization: Service sectors workshops and other small organizations.
22. What are the limitations of Line and Staff authority? [Nov’06, May ‘15]
i) Lack of staff responsibility
ii) Danger of undermining line authority
iii) Dilution of authority
iv) Lack of proper use of staff
v) Resistance to new ideas
vi) Lack of proper authority

23. What is meant by Delegation of Authority? [May’08, May ‘17]

Delegation of authority is a process which enables a person to assign works to
others and delegate them with adequate authority to do it.
24. What do you understand by ‘over delegation’ and ‘under delegation’? [Apr’10]
Over delegation
Some managers burden their subordinates due to their insecure ability to perform
a task and poor time management for the tasks.
Under delegation
It occurs frequently with false assumptions by mangers due to lack of ability on
their part to complete the job correctly and due to lack of trust in sub-ordinates.
25. What is the purpose of HRM? [Apr’10]

i) Requirement
ii) Selection
iii) Training
iv) Appraisal process
26. What is the purpose of Organization? [Nov ‘16]

i) Facilitates Administration
ii) Increases the efficiency management
iii) Stimulates creativity and innovation
iv) Facilitates growth and diversification and
v) Facilitates co-ordination and communication.
27. What is Job design? [Apr’04]

Job design is usually broad enough to accommodate people’s needs and desires. It
may be especially appropriate to design jobs for exceptional persons in order to utilize
their potential. People spend a great deal of time on the job and it is therefore important
to design jobs so that individuals feel good about their work.
Two important goals of job design are:-

i) To meet the organizational requirements such as higher productivity, operational
efficiency, quality of products/service etc.
ii) To satisfy the needs of the individual employees like interests, challenge,
achievement etc.
28. What is Organization Structure?

In organization structure simply by means the systematic arrangement of people working
for the organization. The organization is concerned with establishment of positions and
relationship between positions. The organization structure has two dimensions.

1. Horizontal
2. Vertical
29. What is an Organizational chart? [Dec’09]

According to George Terry, “Organizational chart is a diagrammatical form,
which shows the important aspects of an organization including the major functions and
their respective relationships, the channels of supervision, and the relative authority of
each employee who is in charge of each respective function”. It is a representation of the
framework or structure of an organization. It may be a vertical or top-down chart,
horizontal or left to right chart and circle or concentric chart.
30. What are the different bases of power?

i) Legitimate Power
ii) Referent Power
iii) Reward Power
iv) Coercive Power

UNIT IV:DIRECTING
1. Write short notes on Laissez faire leader. [Dec 2014]

Complete freedom is given to the subordinates so that they plan, motivate, control
and otherwise be responsible for their own actions.
2. Write short notes on Elements of communication. [Dec 2014]

The communication can be through the Superiors to the Subordinates directly,
through electronic devices, through rules, procedures, MoU, Manuals, Handbook, etc..
3. Distinguish between creativity and innovation. [May’14,Dec’13]
The term creativity refers to the ability and power to develop ideas on the other
hand, innovation means the use of these ideas.
4. Define motivation. [May’14,Dec’12,May’11]
Scott defines, “Motivation means a process of stimulating people in action to
accomplish desired goals”.
5. Define organization culture. [Dec’13,May,11]

It is a system of informal rules that spells out how people have to behave most of
the time.
6. What is meant by Brainstorming? [May 2013]

Brain Storming is an excellent way of developing many creative solutions to
problem. It works by focusing on a problem, and then coming up with very many radical
solutions to it. The essence of brainstorming is a creative conference. Ideally of 8 ot 12
people meeting for less than an hour to develop a long list of 50 or more ideas.
7. What are the different types of management strategies involved in leadership?

[May 2013]
i) Exploitative-Autocratic
ii) Benevolent-Autocratic
iii) Consultant-Democratic
iv) Democratic-Participative
8. Who is a leader? [Dec 2012]

Leadership is the process of influencing the behavior of others towards the
accomplishment of goals in a given situation.
Leader is one who makes his subordinates to do willingly what he wants.
9. Mention the elements of directing. [May 2012]

i) Leadership
ii) Motivation
iii) Communication
10. List the process of communication process. [May’12]

i) Sender
ii) Communication channels
iii) Symbols
iv) Receiver
v) Noise and feedback in communication.
11. What is non-verbal communication? [Dec’11]

The information is passed on orally from one person to another.
It can be done by face to face, in meetings or by telephone etc.
12. Define Job enlargement. [Dec’11, Nov ‘15]

Job Enlargement is several short tasks which are given to one worker. Thus, the
scope of the job is increased because there are many tasks to be performed by the same
worker.
13. What are the four basic ingredient of leadership skill? [Apr’05]
i) Physical qualities
ii) Intellectual qualities
iii) Morale qualities
iv) Social qualities.
14. List any four types of Leadership styles. [Apr’10]

i) Autocratic or Dictorial Leadership
ii) Participative or Democratic leadership
iii) Laissez-faire or Free-rein leadership
15.What is power motive? [Dec’07]

Intrinsic Motivation is called a spore motive. Intrinsic motivation is available at
the time or performance of work. These motivations provide a satisfaction during the
performance of the work itself. Some of the intrinsic motivations are praise, recognition,
responsibility, esteem, power, status, participation etc.
16. What are the types of motivation? [Apr’04]

i) Positive motivation
ii) Negative motivation
iii) Extrinsic motivation

iv) Intrinsic motivation
17. What are the different motivational theories? [Apr’04]

i) McGregor’s Theory X and Y.
ii) Carrot and Stick Approaches
iii) Dual-Model Theory
iv) Hierarchy of Needs – Maslow’s theory
v) Herzberg’s Theory – Hygiene Approach to Motivation
vi) Vroom’s Expectancy Theory
vii) Porter and Lawler Expectancy Theory
viii)Equity Theory
ix) McClelland’s Needs Theory
18. Distinguish between motivation and satisfaction. [Apr’05 and May’10]
Motivation
Management is the art of getting work done by the subordinate in ordinate of
attain common goal of the organization. Getting work done is a difficult task.
Satisfaction
After attaining the goals, everyone involved in the same gets happiness or internal
feelings.
19. Give the meaning of social needs. [Dec’07]

Social needs are for love, friendship, exchange of feelings and grievances,
recognition, conversation, belongingness, companionship etc. Social needs tend to be
stronger for some people than for others and stronger some people than for others and
stronger in certain situations.
20. List the Hierarchy of needs. [Dec’06]

i) Physiological needs
ii) Safety needs
iii) Social needs
iv) Esteem needs
v) Self-actualisation needs
21. Define effective communication. [May’07]

If the message sent by the sender to receive is understood by the receiver in the
same sense it is called effective communication.
22. Name the various types of communication. [Apr’04]

i) Download communication
ii) Upward communication

iii) Horizontal or lateral communication.
23. What do you understand by the term ‘job enrichment’? [May ‘17]
Job Enrichment is a non-financial technique of motivation. It is concerned with
designing jobs which include a variety of work content require a higher level of
knowledge and skill, give the worker more autonomy and responsibility for planning,
directing and controlling his own performance and providing the opportunity for
personal growth and meaningful work experience.
24. State two important characteristics of Directing.

Any two characteristics of Directing are:
i) Directing is an important managerial function through which the management
initiates actions in the organisation.
ii) It is a continuous process and it continues throughout the life of the Organization.
25.Mention the importance of Leadership

i) Motivating Employees
ii) Leader develops team work
iii) Better utilization of manpower
iv) Creating confidence to followers
v) Directing group activities
vi) Building morale
vii) Maintaining discipline
26.Name the various leadership styles.

i) Autocratic or Dictatorial leadership
ii) Participative or Democratic leadership
iii) Laissez – faire or Free – rein leadership
27.What are the advantages of democratic leadership?

i) The subordinates are motivated by participation in decision – making process.
This will also increase job satisfaction
ii) Absence of leader does not affect output
iii) Labour absenteeism and turn – over will be minimum
iv) The quality of decision is improved
v) The leader multiplies his abilities through the contribution of his followers
28.What are the steps involved in creative process?

Creativity is defined as the ability to produce new and useful ideas through the
combination of known principles and components in novel and non-obvious ways. The
steps involved in creative process are:

i) Saturation
ii) Preparation
iii) Frustration and incubation
iv) Inspiration or illumination
v) Verification
29.How are problems solved by creative tool? [May ‘15]

Creativity tools are designed to help you devise creative and imaginative solutions
to problems. Creativity tools are designed to help you devise creative and imaginative
solutions to problems.
30. What is a SCAMPER tool?

SCAMPER is a checklist that helps us to think of changes where
S - Substitute
C - Combine
A - Adapt
M - Modify
P - Put to another use
E - Eliminate and
R - Reverse.

UNIT V: CONTROLLING
1. What are the budgetary controls? [Dec’14,Dec’12]

A system which uses budgets as a means of planning and controlling all aspects of
producing and /or selling commodities and services.
2. What are the different types of management strategies involved in leadership?

[Dec’14]
i) Exploitative – Autocratic
ii) Benevolent – Autocratic
iii) Consultative – Democratic
iv) Democratic - participative
3. Define productivity. List the types of productivity. [May’14]

Productivity is a measure of how much input is required to produce a given
output, the ratio is called productivity.
4. What are the types of budget. [May’14]
i) Sales budget
ii) Production budget
iii) Cash Budget
iv) Master Budget
5. What are the steps involved in a basic control process? [Dec’13]

i) Establishing standards
ii) Measuring performance
iii) Comparing actual with standards
iv) Finding out deviations
v) Correction of deviations
6. State any four requirements for effective control. [Dec’13]

i) The control should be economical
ii) It must be simple
iii) It must be flexible
iv) It should be clear objectives
7. List any four types of control. [May’13, Dec’11]
i) Feedback control

ii) Concurrent control

iii) Feed forward control
iv) Continuous control
8. Define MIS. [May’13]

MIS is more advance technology for solving its basic requirements. MIS used for
decision making in the various function areas of business.
9. Define the term budget. [Dec’13,May’12]
A budget is a vital role of planning and control for future activities. It is an
estimate of the future needs to be calculated. Budgetary control is the process of
determining various budgets for the business unit for future. It serves as a methods of
control.
10. What is Quality Control? [Dec’12]
Quality control is the procedure that followed to achieve and maintain the
required quality. Quality control aims at prevention of producing defective products. For
this, statistical methods like sampling plans and control charts are used.
11. Define preventive control. [May’12]
An efficient manager applies the skills in managerial philosophy to eliminate an
undesirable activity which are the reasons for poor management.
12. Mention any two advantages of budgetary control system. [May’11]
i) It improves the planning in the organization
ii) It provides a better utilization of resources in the organization
iii) The system helps to take corrective action at right the in the organization
13. What are the three potential pitfalls of budgets? [Dec’11]

i) Distortion of goals
ii) Hiding inefficiencies
iii) Expenditure
14. List the basic types of control. [Dec’11, May ‘16]

i) Feedback or historical method
ii) Concurrent control
iii) Feed forward control
15. What are the characteristics of control?

i) Control process is universal
ii) Control is a continuous process
iii) Control is action based

iv) Control is forward looking
16. What are the importance of controlling? [May ‘17]

i) Control helps to review, revise and update the policy of organization
ii) The sound control system inspires employees to work hard and give a better
performance
iii) Control helps to increase the co-ordination of the subordinates in the organization
iv) A proper control ensures the organization efficiency and effectiveness
17. What are the inter-relationship between planning and control?

The management process begins with planning and ends with control. The
planning determines standards for performance. A control helps in achieving them.
18. What is feed forward control?

It is a preventive technique in nature. This control involved the evaluation of
inputs and taking corrective action before a particular operation is completed.
19. List some advantages of management by exception.

i) This is used to identify important problems
ii) It reduces unnecessary burden of the top management
iii) It provides a better utilization of managerial talent and knowledge
20. What are the modern techniques of control?

i) Management audit
ii) Return on Investment
iii) PERT and CPM
iv) MIS
21. What is zero base budgeting? [May’09]

Initially, the budget is designed from Zero-base. The main element is ZBB is
future objective orientation.
22. Write some advantages of flexible budget.

i) It is a useful tool for controlling costs
ii) It is more realistic and practical
iii) It traces the impact of various levels of activity on profits
23. Write some used of PERT and CPM.

i) It forces the right actions, right point and right time in the organization
ii) It is used to work out the cost estimates of a project.
iii) It is used determine manpower, material and capital requirements

24. What are the applications of MIS?

i) To find out new opportunities
ii) To provide sales forecasting
iii) To allocate resources
iv) To provide effective managerial activities
25. Define Productivity. [May’09]

Productivity is a measure of how much input is required to produce a given
output.It is a measure of how well the resources are brought together in an organization
and utilized for accomplishing a set of objectives.
26. What are the benefits of increasing productivity for workers? [May’10]
i) Job satisfaction and Job security
ii) Promotion
iii) Higher salary
iv) Better working conditions
27. Define OR. [Dec’05]

Operation Research is a systematic analysis of a problem through scientific
methods, carried out by appropriate specialists, working together as a team, finding an
optimum and the most appropriate solution to meet the given objective under a given set
of constraints.
28. Mention the tools and techniques available for making operations more productive.
[May’09]
i) Linear programming
ii) Assignment problem
iii) Transportation model
iv) Game theory
v) PERT/CPM method
vi) Decision tree approach
29. What is JIT? [May’05]

In Just in Time inventory system, the suppliers deliver the material to the
production spot just in time to be assembled. This method reduces the cost of inventory.
30. What are the uses of computers in handling the information? [Dec’06]
Computers are used for the following purposes handling the information
i) Sales Forecast and Control
ii) Payroll
iii) Business management

iv) Accounting
v) Personnel management information
vi) Cost Accounting

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TWO MARKS WITH ANSWERS

MG6851 / PRINCIPLES OF MANAGEMENT

Question Bank- Two Marks With Answer MG6851/Principles of Management

MG6851 PRINCIPLES OF MANAGEMENT LTPC

UNIT I INTRODUCTION TO MANAGEMENT AND ORGANIZATIONS 9

UNIT III ORGANISING 9

Question Bank- Two Marks With Answer MG6851/Principles of Management

UNIT I: INTRODUCTION TO MANAGEMENT AND ORGANIZATIONS

S.No. Administration Management

1. It is higher level functions Is it lower level functions

2. It refers to the owners of the organization It refers to the employees

Administration is concerned with Management is concerned with execution

4. It acts through the management It acts through the organization

4. Name the three important attitudes of a global manger. [Dec 2013]

Question Bank- Two Marks With Answer MG6851/Principles of Management

5. Define administration. [May 2013]

6. What is globalization? [May 2013]

7. Specify the functions of management. [Dec’12,Dec’11]

8. Name the different levels of management. [May 2012]

10. What is scientific management? [Dec 2011, Nov ‘15]

Question Bank- Two Marks With Answer MG6851/Principles of Management

11. What is system approach to management? [May’10]

12. What it Time study? [May’10]

13. Explain unity of direction. [Dec’07]

14. What is meant by Esprit-de-Corps? [May’09]

15. List the functions of Management. [May’07 and May’09]

16. List the characteristics of Modern Management. [May’10,Nov’16]

17. How does effectiveness differ from efficiency? [May’09]

Question Bank- Two Marks With Answer MG6851/Principles of Management

18. What is a social responsibility? [Apr’04]

19. What is Globalization? [Dec’06]

20. What is Multinational Corporation (MNC)? [Apr’10,May ‘15]

21. Is Management - an art or science? [Apr’05]

22. List the contributions of Fayol towards Management. [May’07]

Question Bank- Two Marks With Answer MG6851/Principles of Management

responsibility and so on; and

23. Write some characteristics of Management? [May’06]

24. What are the essential skills of Managers? [May ’15]

i) Functional areas of management

26. What are the roles of management in an organization?

27. Mention the characteristics of a bureaucratic system.

Question Bank- Two Marks With Answer MG6851/Principles of Management

iii) Social needs

29. What are the challenges faced by management?

30. List down the benefits of Scientific Management.

Question Bank- Two Marks With Answer MG6851/Principles of Management

2. List down the policy of planning. [Dec 2014]

3. What is Strategic Planning?. Give an example. [May’14,Dec’11]

4. What do you mean by policy? Give an example. [May 2014]

6. How are plans classified? [Dec’13,Dec’12,May’12]

Question Bank- Two Marks With Answer MG6851/Principles of Management

10. Define MBO. [May 2012, Nov ‘16]

Question Bank- Two Marks With Answer MG6851/Principles of Management

12. Define Mission. [Nov’07]

13. Define objective. [May’10]

14. What is Operational Planning. [Dec’07]

17. Explain the Delphi Technique. [Apr’09]

Question Bank- Two Marks With Answer MG6851/Principles of Management

18. What do you mean by a Strategy? [Dec’06 and May’09]

19. Give the three generic strategies by Porter. [Nov’08]

20. Define Planning Premises. [May’09]