CH 1: NATURE AND SIGNIFICANCE OF MANAGEMENT

1. How is management all pervasive? (3)

2. “Management provides judgment and vision”. Explain. (3)
3. Explain any four features of co-ordination. (4) (CBSE-2016)
4. A company manufacturing mobiles is facing the problem of decreasing sales in the market.
What decisions/steps, each level of management should take to give effect to this problem?
(6)
5. Without effective management the resources will remain as resources and cannot be
converted to productive utilities. Do you agree? Give reasons. (6)

OR

“Success of an organisation depends largely upon its management”. Justify. (6)

6. Aman, Ahmad, Ali are partners in a firm engaged in the distribution of dairy products in
Maharashtra state. Aman is a holder of senior secondary School certificate from Central
Board of Secondary Education with Business Studies as one of his elective subjects. Ahmad
had done his post graduation in history and Ali in dairy farming. One day there was a serious
discussion between Ahmad and Ali regarding the nature of management, Ahmad argued
that management was a profession whereas Ali argued against it saying that the legal and
medical professions are the only profession because they fulfil the conditions of profession.
Aman on the basis of his knowledge of business studies explained the nature of
management as a profession to Ahmad and Ali. Explain how Ahmad would have satisfied
both Ahmad and Ali. (6)
7. Why is co-ordination known as essence of management? (1)
8. Dhiraj is working as “Operations Manager” in Tifco Ltd. Name the managerial level at which
he is working. State any four functions he will perform as “Operations Manager” in this
company. (4)
9. Volvo Ltd. Target is to produce 10,000 shirts per month at a cost of Rs.100/- per shirt. The
production manager achieved this target at a cost of Rs.90/- per shirt. Do you think the
‘Production Manager’ is effective? Give one reason. (1)
10. To meet the objectives of the firm, the management of Bhavya Ltd. Offers employment to
physically challenged person. Identify the organizational objective it is trying to achieve. Give
reason. (1)
11. Sonali is the manger of a large company manufacturing garments for kids. She plans her
winter collection in the month of August itself. Then she ensures that there is adequate
workforce. She continuously monitors whether production is proceeding according to plans.
She asks the marketing department to prepare their promotional and advertising campaigns
also.
a) Identify and explain the concept of management explained.
b) What characteristic feature does the above para highlight? State. (6)
12. H. Tech Ltd. Is a company producing IT services. The company’s profit is enough for the
survival and growth. The management of a company believes that a satisfied employee
creates a satisfied customer, who in turn creates profit that leads to satisfied shareholder. So

Page | 1
 it pays competitive salaries and perks to all its employees. All the employees are happy
working in the organization because of personal growth and development.

The company has a strong sense of social responsibility. It has set up an Engineering College
in which one-third of the students are girls to whom the company gives 50% scholarship.

Is the management of H. Tech. Ltd. fulfilling its objectives? Justify. (6)

13. Govinda Ltd. is a highly reputed company. Different functions are performed by different
individuals in this company, who are bound together in a hierarchy of relationships. Every
individual in the hierarchy is responsible for successful completion of a particular task. Mr.
Gauranga is responsible for the welfare and survival of the organisation. He formulates
overall organisational goals and strategies for their achievement. Mr. Nityanada ensures that
quality of output is maintained, wastage of materials s minimized and safety standards are
maintained. Mr. Sanatan assigns necessary duties and responsibilities to the personal and
motivates them to achieve desired objectives.

At what levels of management are Mr. Gauranga, Mr. Nityanada and Mr. Sanatan working in
Govinda Ltd.? Justify (3)
14. The management of Vrinda Ltd. strongly believes that the members of an organisation
should work towards fulfilling the common organisational goals. These require team work
and integration of efforts of all individuals, departments and specialists. Thos is because all
the individuals and departments depend on each other for information and resources to
perform their respective activities. Mangers need to reconcile differences in approach,
timing, effort or interest. At the same time it should enable all its members to grow and
develop. Thus, there is a need to harmonize individual’s goals and organisational goals.
a) Identify the concept of management discussed above.
b) State any three feature of the concept identified in a).
c) Identify and explain the characteristics of management which is reflected form the
above para. (6)
15. Sanjana is the branch manager of ABC Handicrafts Private Ltd. the company’s objective is to
promote the sales of Indian handloom and handicraft products. It sells fabrics, furnishings,
readymade and household items are made out of traditional Indian fabrics. Sanjana decides
quantities, variety, colour and texture of all the above items and allocates resources for their
purchase form different suppliers. She appoints a team of designers and crafts people in the
company, who developed some prints for bed covers in bright colour of silk. Although they
looked very impressive, they were more expensive than they had planned to sell. Average
customer could not afford to buy it. Praising their a efforts Sanjana suggested that they
should keep the silk bed covers for occasions like diwali and Christmas and offer the cotton
bed covers on a regular basis to keep costs under control.

Identify the functions of management which Sanjana performs by quoting the lines in the
above para. (6)
16. The Activities involved in managing an enterprise are common to all organizations whether
economic, social or political. Which characteristics of management are highlighted by this
statement? (1)

Page | 2
17. Policy formation is the function of which level of management? (1)
18. In order to be successful an organization must change its goals according to the need of the
environment. Which characteristic of management in highlighted in the statement? (1)
19. To meet the objectives of the firm the management of Angora Ltd. Offer employment to
physically challenged persons. Identity the organizational objective it is trying to achieve. (1)
20. Management of any organization strives to attain different objectives Enumerate any two
such objectives? (1)
21. Who are considered as Operative managers? (1)
22. “Management is considered to be three-tier machinery”. Why? (1)
23. Name the process by which a manager synchronizes the activities of different departments.
(1)
24. How is entry to a profession restricted? (1)
25. State any two points which prove that management is multi-dimensional? (1)
26. An achievement of which organizational objectives results in “an increase in sales volume,
increase in number of employees, no of products, and increase in capital investment? (1)
27. Management is based on personalized application of knowledge it varies from person to
person” which nature of management is signified by it? (1)
28. The authority responsibility relationship that binds individuals as superiors and subordinates
in an organization, gives rise to what? (1)
29. If an organization derives more benefits even after using less resource it’s a result of what?
(1)
30. A company’s target production is 5000 units in a year, to achieve this target the manager has
to operate in double shifts due to power failure. The manager is able to meet the target but
at a higher production cost. Is the manager efficient or effective? (1)
31. “Managers in India do the same work as managers in USA or Japan or Germany” which
characteristic of management is highlighted by it? (1)
32. “A collection of diverse individuals with different needs but working towards fulfilling the
common organizational goals” this statement highlights which characteristic of
management? (1)
33. Discrepancies between actual and realized activities are taken care at which stage? (1)
34. ABC ltd. is facing a lot of problem these days. The company’s profit margin is declining day-
by-day. The production manager is blaming marketing management whereas marketing is
blaming production department for not maintaining the quality. Finance department is
blaming both. What quality of management do you think is lacking. Explain it briefly. (2)
35. Your father has retired as a purchase manager of a company. At what level of management
was he working? What function do you think he was performing at the level of
management? (1)
36. Rajat’s father was working as foremen in a textile factory at what level of management is he
working. Explain in brief his functions? (6)
37. “Management is the trinity of art, science and profession.” In the light of this statement
explain the nature of Management.
38. “Co-ordination is the process of achieving unity of action among interdependent activity
and department of an organization”. “Explain the nature of co-ordination in the light of this
statement.

Page | 3
39. “Lack of proper management results in wastage of time, money and efforts. “Do you agree
with this statement? Give reasons in support of your answer.
40. Explain the feature of management.
41. “A successful enterprise has to achieve its goals effectively and efficiently”. Explain.
42. Hina Sweets is a renowned name for quality sweets since 1935. Harsh the owner of Hina
Sweets was worried as the sales had declined during the last three months. When he
enquired from the Sales Manager, the Sales Manager reported that there were some
complaints about the quality of sweets. Therefore Harsh ordered for sample checking of
sweets. Identify the step taken by Harsh that is related to one of the functions of
management. (1)
43. Ginika, Tanish and Rohit were friends from college days and now they are doing different
kinds of business. They regularly meet and discuss their business ideas and exchange notes
on customer satisfaction, marketing efforts, product designing, selling techniques, social
concerns etc. In one of such meetings, Ginika drew the attention of Tanish and Rohit
towards the exploitation of consumers. She told that most of the sellers were exploiting the
consumers in various ways and were not paying attention towards the social, ethical and
ecological aspects of marketing, whereas she was not doing so. Tanish told that they were
under pressure to satisfy the consumers, but stated that the consumers would not buy or
not buy enough unless they were adequately convinced and motivated for the same. Rohit
stressed that a company cannot achieve its objectives without understanding the needs of
the customers. It was the duty of the businessmen to keep consumer satisfaction in mind
because business is run by the resources made available to them by the society. He further
stated that he himself was taking into consideration the needs of the customers. Identify the
various types of thinking that guided Ginika, Tanish and Rohit in the marketing efforts of
their business. Also, state one more feature of the various types of thinking identified that is
not given in the above para. (3)
44. Name the level of management that is responsible for the welfare and survival of the
organisation. (1)
45. Rishitosh Mukerjee has recently joined AMV Ltd, a company manufacturing refrigerators. He
found that his department was under-staffed and other departments were not cooperating
with his department for smooth functioning of the organisation. Therefore, he ensured that
his department has the required number of employees and its cooperation with other
departments is improved.
(A) Identify the level at which Rishitosh Mukerjee was working.
(B) Also, state three more functions required to be performed by Rishitosh Mukerjee at this
level.

Page | 4