Principles of Management (12 Business Studies)
Practise chapter-wise MCQs for Class 12 Business Studies — Principles of Management. Every question comes with the correct answer and an explanation.
TL;DR: Practise chapter-wise MCQs for Class 12 Business Studies — Principles of Management. Every question comes with the correct answer and an explanation.
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Practise chapter-wise MCQs for Class 12 Business Studies — Principles of Management. Every question comes with the correct answer and an explanation.
Principles of Management MCQs with Answers & Explanations
Q1. When employees are encouraged to participate in decision-making related to their work, which principle of management is being followed?
- Authority and Responsibility
- Discipline
- Equity
- Initiative ✓ (correct)
Explanation: The principle of Initiative encourages employees to take the first step in planning and executing a plan, which often involves their participation in decision-making.
Q2. Taylor's principle of 'Cooperation between the principle and men' emphasizes:
- Eliminating conflict between management and workers ✓ (correct)
- Promoting teamwork and harmony
- Joint development of work methods
- Sharing profits with employees
Explanation: This principle advocates for a cooperative attitude between management and workers, working together to achieve common goals and minimizing conflict.
Q3. Which of Taylor's scientific management principles focuses on developing a science for each element of a man's work, thereby replacing the old rule-of-thumb method?
- Harmony, not discord
- Science, not the rule of thumb ✓ (correct)
- Development of each and every person to his greatest efficiency and prosperity
- Cooperation between the principle and men
Explanation: This principle, 'Science, not the rule of thumb', is about using scientific methods to determine the best way to perform a job, replacing guesswork and tradition.
Q4. According to Fayol, 'Authority' is the right to give orders and the power to exact obedience. 'Responsibility' is the consequence of the exercise of authority. This is best represented by which principle?
- Order
- Scalar Chain
- Authority and Responsibility ✓ (correct)
- Remuneration
Explanation: The principle of Authority and Responsibility emphasizes that there must be a balance between the authority granted to a manager and the responsibility they hold.
Q5. The principle of 'Stability of Tenure of Personnel' aims to reduce:
- Employee absenteeism
- Production costs
- Managerial conflicts
- Employee turnover ✓ (correct)
Explanation: This principle suggests that employees should have reasonable security of tenure to reduce the costs and time associated with frequent hiring and training.
Q6. Fayol's principle of 'Equity' advocates for:
- Fair and just treatment of all employees ✓ (correct)
- Equal opportunities for promotion
- Consistent application of rules for all
- Equal pay for all employees
Explanation: Equity implies that managers should be fair and just in their dealings with all subordinates, without any discrimination based on gender, religion, caste, etc.
Q7. The principle of 'Division of Work' in management aims to achieve:
- Greater employee morale
- Increased specialization and efficiency ✓ (correct)
- Reduced workload for managers
- Faster decision-making
Explanation: By dividing work into small, manageable tasks, employees can become specialized, leading to increased efficiency and better quality of output.
Q8. Which principle of management suggests that there should be 'one head and one plan' for a group of activities having the same objective?
- Discipline
- Unity of Command
- Unity of Direction ✓ (correct)
- Centralization
Explanation: Unity of Direction ensures that all members of an organization work towards the same goals by having a single plan for a group of activities.
Q9. The principle of 'Scalar Chain' in management refers to:
- The hierarchy of command within a department
- The lines of communication between different departments
- The flow of authority from bottom to top
- The chain of superiors from the highest to the lowest ✓ (correct)
Explanation: Scalar Chain represents the formal lines of authority running from the highest to the lowest rank in an organization.
Q10. Which principle of management, advocated by Henri Fayol, emphasizes that each employee should receive orders and be answerable to only one superior?
- Unity of Command ✓ (correct)
- Subordination of Individual Interest to General Interest
- Esprit de Corps
- Unity of Direction
Explanation: Unity of Command states that an employee should have only one boss to avoid confusion and conflicting instructions.
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