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Principles of Management

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24 Questions

What can lead to confusion regarding fair agreements and tasks to be done?

Lack of coordination between departments

What ensures that all units of an organisation move towards the same objectives?

Unity of Direction

What happens when individual goals contradict organizational goals?

Subordination of Individual Interest occurs

What is the purpose of division of labor?

To increase productivity and efficiency

What is a result of lack of unity of command?

Confusion and contradictory instructions

What can prevent a sales person from offering a discount more than the allowed percentage?

Coordination between departments

What happens when an organization has multiple groups with the same objective?

Each group has one head and one plan

What is essential for an organization to achieve its objectives?

All of the above

Which principle of management emphasizes that subordinates report to only one boss?

Unity of Command

Which principle of management emphasizes the commitment of employees to the organization's goals?

Subordination of Individual Interest

What is the primary goal of the Unity of Direction principle?

To have a single plan and a single boss for each function

What is the primary benefit of the Division of Labor principle?

Increased efficiency and productivity

Which principle of management is most closely related to achieving organizational goals?

Subordination of Individual Interest

What is the primary goal of the Unity of Command principle?

To reduce confusion and increase accountability

What is the primary benefit of the Subordination of Individual Interest principle?

Increased commitment to organizational goals

What is the primary purpose of ensuring a manager's exemplary behaviour?

To promote subordination of individual interest to the general interest of the company

Which principle of management is most closely related to employee motivation?

Remuneration of Personnel

What is the main characteristic of a scalar chain in an organisation?

It is a formal line of authority from highest to lowest ranks

What is the primary goal of fair remuneration of employees?

To ensure a reasonable standard of living for employees

Why do large organisations tend to have more decentralisation than small organisations?

Because they have a more complex organisational structure

What is the main benefit of decentralisation in an organisation?

It allows for more subordinate involvement in decision-making

What is the primary purpose of unity of direction in an organisation?

To ensure that all employees work towards a common goal

What is the main advantage of division of labour in an organisation?

It allows for more efficient use of resources and skills

What is the primary goal of organisational goals?

To achieve a common objective or purpose

Study Notes

Principles of Management

  • Discipline involves formalised controls and unity of command, where subordinates report to only one boss.
  • Unity of Command means that subordinates report to only one boss, ensuring that there is no confusion regarding tasks to be done.
  • Unity of Direction means that all units of an organisation should be moving towards the same objectives through coordinated and focused efforts.

Contrasting Management Approaches

  • Formalised controls involve trickle-down decision making, whereas informal, peer pressure controls involve task-relevant ad hoc decision making.
  • Subordination of individual interest to common good involves employees being committed to the organisation, whereas informal controls involve the organisation being committed to the employees.
  • Remuneration of personnel involves a reasonable pay reward system, whereas informal controls involve performance-based reward systems.

Management Principles

  • Centralisation involves trickle-down decision making, whereas decentralisation involves task-relevant ad hoc decision making.
  • Scalar Chain involves a hierarchical, formalised communication channel, whereas informal controls involve less formalised, flatter communication structures.
  • Order involves an internal information system for control purposes, whereas informal controls involve internal information systems for coordination purposes.

Equity and Stability

  • Equity involves commitment obtained through kindness, whereas informal controls involve commitment obtained through a sense of ownership.
  • Stability of tenure involves training employees and encouraging them to remain with the organisation, whereas informal controls involve on-going employee training and development.

Initiative and Coordination

  • Initiative involves managers conceiving and implementing new ideas, whereas informal controls involve workers conceiving and implementing new ideas.
  • Coordination is essential to prevent confusion regarding tasks to be done, and to ensure that all units of an organisation are moving towards the same objectives.

This quiz covers the fundamental principles of management, including formalised controls, unity of command, and direction.

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