Bussiness Studies Personal

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1.Explain the characteristics of management.

According to Harold Koontz & Heinz Weihrich, "Management & the process of designing &
maintaining environment in which individuals, working together in groups, efficiently accomplish
selected aims."

Characteristics of Management:
i) Management & goal oriented process:
Every organization is established to achieve certain goals. Management unifies the efforts of different
individuals in the organisation towards achieving the common goals an enterprise.

ii) Management is all pervasive (universal):


Management is a universal process; it is applied in all types of activities whether it may be business (or)
non-business activity.

iii) Management is multi-dimensional:


Management is a complex activity that has three main dimensions

a) Management of work:
Every organisation is established for doing some work that can be completed satisfactorily. So
management is regarded as management of work.
b) Management of people:
Each organisation is established for doing some work & work is conducted by people. It is through
management of people that work is performed in a better ways. So management is regarded a management
of people.
c) Management of Operations:
To achieve objectives of an organisation, many operations such as production, sale, purchase, finance,
accounting, research & development are to be conducted & these operations need to be conducted
efficiently & effectively. So management is considered as management of operations.

iv) Management is a continuous process:


Management is continuous process consisting of series of functions like planning, organizing, staffing,
directing & controlling. All the managers have to perform all these functions regularly again & again till
the organisation lasts.

v) Management is group activity:


Management is not the work of a single person, it is group effort. This is because all the activities of an
organisation are performed by group of persons which are directed towards achievement of objectives.

vi) Management is a dynamic function:


It is said that nothing is permanent in management. So management adjusts itself to the regularly changing
environment to get success & to sustain for longer period.

vii) Management is an intangible force:


Management process cannot be seen, but its presence can be felt in the form of employee’s satisfaction &
attainment (achievement) of production targets.

Conclusion: These are the various characteristics of management which helps both the individuals & the
organisation to achieve the goals. It also helps in adapting the new technologies & changes in the
environment.
2. Define Coordination. Explain the characteristics of coordination.
According to McFarland, "Co-ordination is the process whereby an executive develops an
orderly pattern of group efforts among his subordinates & secure unity of action in the pursuit of
common purpose."

Characteristics of Coordination:
i) Co-ordination integrates group efforts:
Co-ordination applies to group efforts and not to individual efforts.

ii) Co-ordination ensures unity of action:


Co-ordination is concerned with securing unity of efforts and united action. It acts as the binding force between
departments and ensures that all the actions are aimed at achieving the goals of organisation.

iii) Co-ordination is continuous process:


Co-ordination is a continuous ongoing process. It begins with planning & continues till controlling.

iv) Co-ordination is pervasive (universal):


Co-ordination is required at all the levels of management as there is interdependence among the various
activities performed by various departments.

v) Co-ordination is the responsibility of all managers:


Co-ordination is a function of every manager in the organisation. Top level managers need to coordinate with
their subordinates, middle level management coordinates with the top level and first line managers, operational
level management coordinates the activities of its workers to ensure that the work proceeds according to the
plan.

vi) Co-ordination is a deliberate function:


A manager has to co-ordinate the efforts of different people in a conscious and deliberate manner.

Conclusion: These are the various characteristics of coordination which helps both the individuals & the
organisation to achieve the goals. It is a continuous process which will be carried about from the beginning of
an organization up to the winding up of the organization. It is responsibility of all managers to co ordinate
various activities.

3.What is supervision? Explain the role played by supervisor.


Supervision refers to guiding the efforts of employees & other resources to accomplish the desired
objectives.
Importance of Supervision (or) Role played by Supervisor:
a) Supervisor maintains day to day contact & maintains friendly relation with workers. A good supervisor acts
as a guide, friend & philosopher to the worker.
b) Supervisor act as a link between management & workers. He conveys management ideas to workers &
problems of workers to management. This role played by supervisor helps to avoid misunderstandings &
conflicts between management & workers.
c) Supervisor plays key role in maintaining group unity among the workers placed under his control. He sorts
out internal differences & maintains harmony among workers.
d) Supervisor ensures performance of work according to the targets set. He takes responsibility for task
achievement & motivates his workers efficiently.
e) Supervisory leadership plays a key role in influencing the workers in the organization. A supervisor with
good leadership qualities can build up high morale among workers.
f) A good supervisor analyses the work performed & gives feedback to the workers. He suggests way & means
for developing skills.
g) A supervisor (superior) provides on the job training to the workers. A skilled & knowledgeable supervisor
can build efficient team at work.
Conclusion: Supervisor acts as a guide & instructor to an employee & plays important role in motivating the
workers.
4.Explain the stages in staffing process.

According to McFarland, “staffing is the process by which manager build on organisation through
the recruitment, selection and development of individual as capable employees”.

Staffing Process:

i) Step I - Estimating manpower requirement:


Manpower panning refers to the type of staff and the number of staff needed for the organisation. The
focus of the man power planning is to get the right number of qualified people at right time.

ii) Step II - Recruitment:


Recruitment may be defined as the process of searching for prospective employees and stimulating them
to apply for jobs in the organisation. The essential objective is to create pool of the prospective job
candidates.

iii) Step III - Selection:


Selection is the process of choosing from among the pool of the prospective job candidates developed at
the stage of recruitment.

iv) Step IV - Placement & orientation:


Placement refers to the employee occupying (or) post which the person has been selected. Orientation, thus
introduces the selected employee to other employees and familiarizing him with the rules and policies of
the organisation

v) Step V - Training & development:


Training is the act (or) process of communicating the knowledge and special skills to a trainee for the
purpose of increasing his knowledge and skills of doing a particular job accurately. Training is mainly job.
It is given to both new and old personnel throughout their stay in the organisation. Development - It refers
to the training of managers and executives by which the personnel acquire not only skills and competence
in their jobs.

vi) Step VI - Performance appraisal:


Performance appraisal refers to evaluating an employee’s current and past performance as against certain
predetermined standards. The employee is expected to know what the standards are and superior is to
provide the employee feedback on his (or) her performance appraisal process, therefore, will include
defining the job, appraising performance and providing feedback.

vii) Step VII - Promotion & career planning:


Promotion is an internal part of people’s career. They refer to being placed in position of increased
responsibility. They usually mean more pay, responsibilities and job satisfaction.

viii) Step VIII - Compensation:


Compensation refers to all forms of payment (or) rewards going to employees. It may be in the forms of
direct financial payments like wages, salaries, incentives, commissions and bonuses and indirect payments
like employer paid insurance and vacations.

Conclusion: These are the various steps involved in staffing process. Staffing is both the function of
management like planning, directing as well as distinct functional area of management like marketing
management.
5.What is decentralisation? Explain its importance.

According to Louis Allen, "Decentralisation refers to systematic effort to delegate to the lowest level
all authority except which can be exercised at central point’s".

Importance of Decentralisation:

i) Develops initiative among subordinates:


Decentralisation helps to promote self-reliance and confidence among the subordinates. This is because
when lower managerial levels are given freedom to take their own decision they learn to depend on their
own judgement.

ii) Develops managerial talent for future:


Formal training plays an important part in equipping subordinate with skills that help them rise in the
organisation but equally important is the experience gained by handling the assignments independently.

iii) Quick decision making:


By giving authority for decision making to lower levels where actions takes place decentralisation
facilitates quick decision making.

iv) Relief to top management:


Decentralisation relieves the top management from routine works and enables them to concentrate on
more important work.

v) Facilitates growth:
Decentralisation provides greater freedom to lower levels as well as departments. This develops a sense of
competition among them where everyone tries to do better than other. This results in higher productivity,
growth & diversification.

vi) Better control:


Decentralisation makes it possible to evaluate the performance at each level and the departments can be
individually held accountable for the results.

Conclusion: Thus, decentralisation of authority means distribution of authority to take decision to lower
levels of organisation. An organisation is centralised when decision making authority is retained by higher
management levels where as it is decentralised when such authority is delegated.

6.Explain the Differences (or) Comparison b/w Advertising & Personal Selling (or) Salesmanship:

Sl.no Advertising Personal Selling


a) It involves impersonal form & mass It involves direct personal & face to face
communication. communication
b) It has wider coverage of time. It covers only individual (or) small group of
people at a time
c) It is less flexible It is more flexible.
d) It is less costly & less time consuming. It is more costly & more time consuming.
e) Doubts cannot be clarified easily. Doubts can be clarified easily
f) It does not provide feedback immediately It provides immediate feedback
g) Advertising is one way means of Personal selling is two way means of
communication. communication.
h) Demonstration of products is not possible Demonstration of products is possible
I) It aims at creation of customers. It aims at selling the product (or) service.
j) It uses mass media like television & radio. It is done through sales representative.

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