DEPARTMENT : COMMON SUBJECT

COURSE CODE : GE3751

COURSE NAME : PRINCIPLES OF MANAGEMENT

QUESTION BANK

2 MARKS

1. Why is scientific management considered to be important?

Scientific management is important because it focuses on improving efficiency,
reducing costs, and increasing productivity by applying systematic analysis and
optimizing workflows.
2. Is management a science or art?
Management is both a science and an art. It involves applying scientific methods and
principles, while also relying on creativity, intuition, and experience to achieve goals.
3. Give brief note on business environment
The business environment refers to the external and internal factors that affect the
operations, growth, and success of a business. It includes factors like economic,
social, technological, legal, and political conditions.
4. Mention any four key skills required for a successful manager.
Four key skills required for a successful manager are leadership, communication,
decision-making, and problem-solving.
5. What do you mean by esprit de corps?
Esprit de corps refers to a sense of unity, teamwork, and mutual support among
members of an organization, fostering a positive and collaborative work environment.
6. What are the objectives of planning?
The objectives of planning include setting clear goals, determining the best course of
action, allocating resources effectively, and anticipating potential challenges to
achieve organizational success.
7. What is meant by planning premises?
Planning premises are the underlying assumptions or conditions that are expected to
remain constant during the planning period, such as market trends, technological
advancements, and economic conditions.
8. Enumerate the important steps in decision making.
The important steps in decision making are identifying the problem, gathering
 information, analyzing alternatives, making a choice, implementing the decision, and
evaluating the outcomes.
9. What are the roles of a manager?
The roles of a manager include planning, organizing, leading, controlling, and
decision-making to ensure the efficient functioning of the organization.
10. Classify the different types of policies.
Policies can be classified into different types such as general policies, specific
policies, and procedural policies, which guide decision-making and actions in an
organization.
11. Distinguish between formal and informal organization with examples.
A formal organization is structured, with defined roles and responsibilities (e.g., a
corporate hierarchy), while an informal organization arises from social interactions
and relationships among employees (e.g., friendships at work).
12. List out the features of Planning
Features of planning include setting objectives, defining actions, forecasting future
conditions, allocating resources, and being flexible to accommodate changes.
13. State the purpose of performance management.
The purpose of performance management is to align individual and organizational
goals, monitor progress, provide feedback, and improve employee performance.
14. What is meant by departmentation?
Departmentation refers to the process of dividing an organization into different
departments based on functions, products, geographical locations, or customer types.
15. How will delegation of authority be helpful for task accomplishments in an
organization?
Delegation of authority helps by distributing tasks, empowering employees,
improving decision-making, and enhancing efficiency within the organization.
16. Define decision making.
Decision making is the process of identifying and choosing the best course of action
from available alternatives to solve a problem or achieve a goal.
17. Compare formal and informal communication.
Formal communication follows official channels and is typically documented (e.g.,
emails, meetings), while informal communication is casual and spontaneous (e.g.,
conversations, chats).
18. What is decentralization?
Decentralization is the process of distributing decision-making authority and
responsibility to lower levels of management, allowing greater autonomy and
flexibility.
19. What are the types of budget?
Types of budgets include incremental budgets, zero-based budgets, flexible budgets,
and fixed budgets, each serving different purposes based on organizational needs.
20. What are the factors affecting job satisfaction of an individual?
Factors affecting job satisfaction include work environment, compensation, job
security, career growth opportunities, and relationships with coworkers and managers.
21. Define career plateau.
A career plateau refers to a point in an individual's career where opportunities for
promotion or growth become limited, leading to stagnation in professional
development.
22. Outline the various styles of leadership.
Various leadership styles include autocratic, democratic, transformational,
 transactional, and laissez-faire, each focusing on different approaches to decision-
making and employee involvement.
23. Identify the potential barriers in communication with examples.
Barriers to communication include language differences (e.g., misunderstandings),
physical distance (e.g., remote work), emotional barriers (e.g., stress), and cultural
differences (e.g., varying communication norms).
24. State the significance of motivation.
Motivation is significant as it drives employees to achieve goals, improve
performance, enhance job satisfaction, and contribute to organizational success.
25. What are non-budgetary control techniques? Provide examples.
Non-budgetary control techniques include management by objectives (MBO),
performance appraisals, audits, and ratio analysis, which help in monitoring and
controlling activities without relying on budgets.
26. Write a short note on feed forward control.
Feed forward control involves anticipating potential problems and taking corrective
actions before they occur, ensuring that the organization is prepared for future
challenges.
27. What is charismatic style of leadership?
Charismatic leadership is characterized by a leader's ability to inspire and influence
others through their personality, vision, and emotional appeal.
28. How will you solve productivity problems of the employees?
To solve productivity problems, one can improve work conditions, provide adequate
training, set clear goals, and offer motivation and rewards to encourage performance.
29. Define Productivity. List the types of productivity.
Productivity is the measure of efficiency in producing goods or services. Types
include labor productivity, capital productivity, and total factor productivity.
30. What is meant by cost control?
Cost control refers to the process of managing and reducing expenses to keep them
within budgeted limits, ensuring profitability and financial efficiency.

13 MARKS

1. Define the term Management and explain the various functions of Management.
o Start with the definition of management as a process of planning, organizing,
leading, and controlling resources to achieve organizational goals.
o Discuss the functions in detail:
 Planning: Setting goals, deciding the best actions to achieve them.
 Organizing: Coordinating resources and tasks.
 Leading: Motivating and leading the team towards goals.
 Controlling: Monitoring and adjusting actions to stay on course.
2. Management is a science and as well as an art - Discuss.
o Explain management as a science with its systematic theories, principles,
and use of empirical data.
o Explain management as an art with its focus on skills, creativity, and
personal judgment.
 o Give examples to show how both science and art are intertwined in
management practices.
3. Discuss the contribution of F.W. Taylor in management.
o Discuss F.W. Taylor's role as the father of scientific management.
o Detail his contributions: Time studies, motion studies, principles of scientific
management (scientific selection, standardization of tools, etc.), and how these
improved labor productivity and efficiency in industrial work.
4. Analyze the trends and challenges in Modern Management.
o Discuss current trends: Globalization, technological advancements,
sustainability practices, remote work, etc.
o Challenges: Managing workforce diversity, ethical dilemmas, adapting to
fast-changing technology, maintaining competitive advantage.
5. The evolution of scientific management has a greater impact on economic
efficiency and labor productivity - Justify.
o Discuss the evolution of scientific management and its focus on task
specialization, standardization, and systematic analysis.
o Link it to economic efficiency: Reduction in waste, increased output, and
better utilization of resources.
o Impact on labor productivity: Streamlined work processes, better training,
incentives based on performance, etc.
6. XYZ Group of Industries has various strategic business units such as textiles,
cosmetics, and electronics. Write about the different forms of departmentation.
Which form of departmentation is suitable?
o Discuss the different forms of departmentation:
 Functional Departmentation (by functions like marketing,
production).
 Product Departmentation (by product lines like textiles, cosmetics,
etc.).
 Geographical Departmentation (by location/region).
 Customer-based Departmentation (by type of customer).
o Suggest the best form: For XYZ Group, Product Departmentation would
be suitable, as it allows each product line to focus on its unique requirements.
7. Discuss the characteristics of different types of business organizations.
o Explain types of organizations:
 Sole Proprietorship: Single ownership, simple to manage, limited
resources.
 Partnership: Two or more owners, shared profits and liabilities.
 Corporation: Separate legal entity, limited liability, larger-scale
operations.
o Characteristics of each with examples of when they might be effective.
8. Strategic management is playing a critical role in effective planning – Discuss.
o Define strategic management as the process of formulating, implementing,
and evaluating strategies to achieve organizational goals.
o Explain how it supports planning: Provides long-term direction, aligns
resources, and helps respond to changes in the business environment.
o Link strategic management to the effectiveness of planning, ensuring that
decisions are informed by both current and future conditions.
9. Discuss the various types of plans and state the merits.
o Types of plans:
 Strategic plans: Long-term, overarching goals.
  Tactical plans: Short-term steps that support strategic plans.
 Operational plans: Day-to-day management of resources.
 Contingency plans: Plans for unexpected events.
o Merits: Clear direction, efficient resource allocation, risk management, etc.
10. Explain the steps in the planning process.
o List and explain the steps:
 Set organizational goals and objectives.
 Identify resources and constraints.
 Formulate alternative plans.
 Evaluate alternatives and choose the best one.
 Develop detailed action plans.
 Implement, monitor, and adjust the plans.
11. Explain the various techniques of decision making.
o List decision-making techniques:
 Cost-benefit analysis: Weighing costs against benefits.
 Decision trees: Visual representation of possible outcomes.
 SWOT analysis: Evaluating strengths, weaknesses, opportunities, and
threats.
 Brainstorming: Generating creative solutions.
o Discuss each technique's applicability and examples.
12. Analyze the process of decision making in detail with relevant examples.
o Steps in decision making:
 Define the problem.
 Gather information.
 Develop alternatives.
 Evaluate alternatives and make the choice.
 Implement the decision and evaluate the results.
o Use an example: For example, in choosing a new supplier, how would you
apply these steps?
13. Discuss how decision making under different conditions are made.
o Conditions of decision-making:
 Certainty: Clear, reliable information for decision-making.
 Risk: Decisions made with incomplete information but known
probabilities.
 Uncertainty: Decisions made under unclear conditions where
outcomes are unknown.
o Discuss how each condition requires a different approach (e.g., using
intuition for uncertainty, relying on data under certainty).
14. Examine the essential elements of a clear organizational structure with
appropriate examples.
o Elements:
 Hierarchy: Clear reporting relationships.
 Roles and Responsibilities: Clearly defined jobs and tasks.
 Authority and Accountability: Delegation of authority, ensuring
responsibility.
o Provide examples of organizations with clear structures, like multinational
corporations, and how this clarity improves operations.
15. Elucidate the steps in selection process.
o Selection Process Steps:
 Job analysis and creating a job description.
  Sourcing candidates through various channels.
 Screening resumes and shortlisting candidates.
 Conducting interviews and tests.
 Reference checks and background verification.
 Final selection and offer.
16. Briefly explain the Hersey Blanchard Situational theory of leadership.
o Define the theory: It proposes that there is no single best style of leadership.
The style should vary based on the maturity level of the followers.
o Explain the leadership styles:
 Telling: High direction, low support (for low maturity).
 Selling: High direction, high support.
 Participating: Low direction, high support.
 Delegating: Low direction, low support.
17. Briefly explain the types of organizational structure with their merits &
demerits.
o Types of Organizational Structures:
 Functional Structure: Clear division of labor based on functions
(merit: expertise, demerit: lack of coordination).
 Divisional Structure: Based on products, services, or geography
(merit: focus on specific markets, demerit: duplication of resources).
 Matrix Structure: Combines functional and divisional (merit:
flexibility, demerit: confusion in authority).
o Merits & Demerits for each type.
18. Distinguish between delegation and decentralisation. Explain various
precautions to be taken while delegating a job.
o Difference:
 Delegation: Assigning responsibility while retaining overall control.
 Decentralization: Distribution of decision-making authority across
levels.
o Precautions: Ensure clarity in responsibility, provide adequate resources,
maintain accountability, and avoid over-delegation.
19. Explain the various methods of performance appraisal.
o Methods:
 Rating Scales: Numeric evaluation of performance.
 360-degree Feedback: Input from all levels within and outside the
organization.
 Critical Incident Method: Focus on significant performance
incidents.
 Management by Objectives (MBO): Based on goal achievement.
20. Compare and discuss Maslow’s and Herzberg’s theory of motivation.
o Maslow’s Hierarchy of Needs: Theories based on physiological, safety,
social, esteem, and self-actualization needs.
o Herzberg’s Two-Factor Theory: Distinguishes between hygiene factors
(prevent dissatisfaction) and motivators (encourage satisfaction).
o Comparison: Both emphasize human needs but differ in how they categorize
and prioritize them.

21. Goal setting, rewards, and recognition all have an impact on employee
motivation. Do you agree or disagree? Discuss.
 Start with a definition of motivation and its importance in an organizational context.
 Explain goal setting (SMART goals) and how setting clear, achievable goals can
motivate employees.
 Discuss the role of rewards (intrinsic and extrinsic) in reinforcing desired behavior
and improving performance.
 Explain the importance of recognition, both formal and informal, in boosting
morale.
 Discuss research or examples that support your stance (agree or disagree) and
conclude with a balanced view.

22. Elaborate the various sources of recruitment in detail.

 Internal Sources: Promotions, transfers, employee referrals.

 External Sources: Job portals, recruitment agencies, college placement cells, social
media, advertisements, job fairs.
 Advantages and disadvantages of each source.
 Why a combination of internal and external sources is often most effective.

23. Explain the barriers to effective communication.

 Physical Barriers: Distance, noise, environmental distractions.

 Psychological Barriers: Perceptions, emotions, biases.
 Language Barriers: Use of jargon, differences in language.
 Organizational Barriers: Hierarchical levels, lack of feedback.
 Cultural Barriers: Differences in cultural backgrounds.
 Measures to overcome these barriers.

24. Discuss Maslow’s hierarchy of needs theory and compare this theory with two-
factor theory with relevant examples.

 Explain Maslow’s Hierarchy: Five levels—physiological, safety, social, esteem, and

self-actualization needs.
 Discuss Herzberg’s Two-Factor Theory: Hygiene factors and motivators.
 Compare: Maslow’s focus on universal needs versus Herzberg’s distinction between
factors leading to satisfaction or dissatisfaction.
 Provide examples to illustrate both theories in practice.

25. Explain the term motivation. Explain any two motivational theories.

 Define motivation as the drive to perform tasks to achieve certain goals.

 Explain two motivational theories:
o Maslow’s Hierarchy of Needs: Emphasizes fulfilling needs in order.
o Herzberg’s Two-Factor Theory: Differentiates between factors that cause
job satisfaction and dissatisfaction.
 Provide examples for each theory.

26. Explain the control techniques with suitable examples.

 Types of control techniques:

o Budgetary Control: Comparing actual results to budgets.
 o Financial Control: Using financial ratios for performance analysis.
o Operational Control: Monitoring operational processes.
o Statistical Control: Using statistical methods like control charts.
 Examples: How companies use these techniques in practice.

27. Discuss how the introduction of IT has significantly affected management

control.

 IT’s impact on management control:

o Improved decision-making with real-time data analysis.
o Automated reporting and monitoring through software tools.
o Increased transparency and accountability.
 Examples of IT tools like ERP systems, performance dashboards, and data analytics.

28. What are communication barriers and suggest few measures to overcome the
barriers in communication?

 Communication barriers:
o Physical barriers: Geographical distance, noise.
o Psychological barriers: Stress, emotional filters.
o Cultural and language barriers.
 Measures to overcome:
o Clear and concise communication.
o Active listening and feedback.
o Use of technology (e.g., video calls, translation tools).
o Training in cross-cultural communication.

29. Examine the fundamental controls that are employed in organizations. What are
the obstacles that exist for effective control?

 Types of fundamental controls:

o Preventive controls (e.g., policies and procedures).
o Concurrent controls (e.g., monitoring ongoing activities).
o Feedback controls (e.g., performance reviews).
 Obstacles: Resistance to change, lack of resources, inadequate information,
organizational culture.
 Measures to overcome these obstacles.

30. Explain the use of computers in handling information to increase productivity.

 Role of computers:
o Data storage and retrieval: Easier access to large datasets.
o Automation of repetitive tasks: Reducing manual labor and errors.
o Communication: Instant messaging, email, and video conferencing to
improve collaboration.
o Software for task management and reporting: Enhances efficiency and
decision-making.

31. Explain the process of controlling with a flow diagram.

 Explain the controlling process:
o Establishing standards: Define clear performance criteria.
o Measuring performance: Collect data and evaluate performance.
o Comparing performance with standards: Identify deviations.
o Taking corrective actions: Implement actions to correct discrepancies.
 Flow diagram: Include these steps in a visual representation.

32. With a neat sketch, analyze how the global economic environment affects
business managers. Identify several factors of the global environment that affect
business managers and explain why each factor is important.

 Global economic factors:

o Globalization: Increased competition and market reach.
o Economic cycles: Influence on sales, profitability, and investments.
o Currency exchange rates: Impact on pricing and international trade.
o Political instability: Affects market confidence.
 Impact on business managers: Strategic decisions, risk management, and resource
allocation.

33. Discuss in detail the various types of training. Employees prefer off-the-job
training to on-the-job training. Why?

 Types of training:
o On-the-job training: Training while performing actual job tasks.
o Off-the-job training: Formal education or workshops outside the workplace.
o Mentoring and coaching.
o Job rotation.
 Preference for off-the-job training: Provides focused learning, less distraction, and
allows for the acquisition of new skills in a controlled environment.

34. Discuss the impact of Information Technology on management control.

 Information Technology’s impact:

o Automation of control systems: Reduces human error and time consumption.
o Improved data accuracy and analysis: Real-time data helps managers make
informed decisions.
o Easier tracking of performance through digital tools.
 Examples: Use of Enterprise Resource Planning (ERP) systems and business
intelligence software.

35. Discuss the different types of performance monitoring tools used to monitor and
measure organizational performance with essential illustrations.

 Types of monitoring tools:

o Key Performance Indicators (KPIs): Specific metrics to track organizational
success.
o Balanced Scorecard: Measures performance across financial, customer,
internal processes, and learning perspectives.
o Benchmarking: Comparing performance to industry standards.
 Illustrations: Examples of companies using these tools effectively.

36. Critically analyze the various theories of leadership.

 Different leadership theories:

o Trait Theory: Focus on leader’s personal characteristics.
o Behavioral Theory: Focus on the behavior of leaders.
o Contingency Theory: Leadership effectiveness depends on situational factors.
o Transformational and Transactional Leadership: Focus on vision and
motivation versus task and reward-based leadership.
 Critique each theory: Discuss strengths, weaknesses, and relevance to contemporary
leadership challenges.