F-2,Block, Amity Campus

Sec-125, Nodia (UP)

India 201303

ASSIGNMENTS

PROGRAM:

SEMESTER-I

Subject Name : BUSINESS ORGANISATION AND MANAGEMENT

Study COUNTRY : SOMALIA
Permanent Enrollment Number (PEN) : BFIA01512010-2013019
Roll Number :
Student Name : Mohamed Abdullahi Khalaf

INSTRUCTIONS
a) Students are required to submit all three assignment sets.
ASSIGNMENT DETAILS MARKS
Assignment A Five Subjective Questions 10
Assignment B Three Subjective Questions + Case Study 10
Assignment C 45 Objective Questions 10
b) Total weightage given to these assignments is 30%. OR 30 Marks
c) All assignments are to be completed as typed in word/PDF.
d) All questions are required to be attempted.
e) All the three assignments are to be completed by due dates (specified from
time to time) and need to be submitted for evaluation by Amity University.
f) The evaluated assignment marks will be made available within six weeks.
Thereafter, these will be destroyed at the end of each semester.
g) The students have to attached a scan signature in the form.

Date : 20/11/2010 Signature

( √ ) Tick mark in front of the assignments submitted

Assignment ‘A’ √ Assignment ‘B’ √ Assignment ‘C’ √

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 ASSIGNMENT A

Q1.What is Management? Discuss its essential features.

Answer:

The term “Management” conveys different meanings depending upon the context in
which it is used.
According to Harold Koontz, “Management is the art of getting things done
through and with people in formally organized groups”.
Management may also be defined as the “Effective Utilization of Human and
Material Resources to achieve the Enterprise Objectives”
Management is a social process entailing responsibility for the effective and economical
planning and regulation of a given purpose or task. It is a very popular term. All
organizations - business, political, cultural or social are involved in management because it
is the management which helps and directs the various efforts towards a definite purpose.
It is an art of creating an environment in which people can perform and individuals can
co-operate towards attainment of group goals.
The following are the important features or characteristics of management:
1. Management is getting things done: A manager does not do any operating
work himself but gets it done through others. He must motivate the subordinates
for the accomplishment of the task assigned to them.
2. Management is an activity: Management is a process of organized activities. It is
concerned with the efficient use of resources like men, money and materials in the
organization.
3. Management is a group activity: Management cannot exist independent of the
group or organization it manages. It is a cardinal part of any group activity and
inspires workers to put forth their best efforts.
4. Management is a universal activity: Management is a universal phenomenon.
However, management principles are not universally applicable but are modified to
suit the given situation and the type of organization.
5. Management is purposeful: Management is a goal-oriented activity. It is
concerned with the accomplishment of goal through its various functions.
6. Management is an integrating process: Management integrates men, machines
and materials for performing various operations and accomplishing the stated
goals.
7. Management is intangible: Management is abstract and cannot be seen with the
eyes. It is evidenced by the quality of the organization and the results.
8. Management is a profession: Management is a profession because some of its
established principles are being applied in practice.
9. Management is interdisciplinary: This implies that, even though management
has been developed as a separate discipline, it draws knowledge, concepts and

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 discipline from other social sciences, and put it into practice for managing the
organizations.
10. Management is a science and an art: Management has developed certain
principles and laws which have wide applications. So it is treated as a science. It is
also an art, because it is concerned with the application of knowledge for the
solution of organizational problems.
11. Management is dynamic: Management is dynamic because it adapts itself to the
social changes and introduces innovation in methodology.
12. Management involves decision-making: Management process involves
decision-making at various levels for getting things done. It involves selecting the
most appropriate alternative.
13. Management applies economic principles: Management is the art of applying
the economic principles that underline the control of men and materials in the
organization.
14. Management is concerned with direction and control: Management is
concerned with the direction and control of the various activities. It deals
particularly with the active direction of the human effort.

Q2.What is planning? Explain briefly the different types of Plans giving suitable
examples.

Answer:

According to Theo Haimann, “Planning is the function that determines in advance

what should be done. It consists of selecting the enterprise objectives, policies,
programmes, procedures and other means of achieving these objectives”.
According to Koontz and O’Donnell, “Planning is deciding in advance what to do,
how to do it, when to do it and who is to do it”.
Therefore planning may be viewed as the process of deciding the objectives to be
achieved and selecting the ways and means of achieving the pre decided
objectives. It is the foundation area of management.
Planning requires administration to assess; where the company is presently set, and where
it would be in the upcoming. From there an appropriate course of action is determined
and implemented to attain the company’s goals and objectives. It refers to forecasting
future circumstances and requirements.
There are many types of plans that organizations can use to accomplish its targets. The
following table explains those various plans.

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 Nature of Plan Definition Nature Example
Objective Goal or target to be Basis of all plans Increase sales by 10%
achieved
Policy General statement Boundary within Employees are to be
or understanding to which decisions are promoted on the basis
guide thinking to be made of seniority
Strategy Action plan to face Relates the Combative advertising
environmental organization to its to face price cuts by
uncertainties environment competitors
Procedure Manner in which Sequence of steps Purchase procedure
activities are to be
performed
Rule State what should Rigid plan, no scope No smoking in the
and should not be for discretion factory
done in a situation
Programme Combination plan States activities and Installation of a
for goal achievement resources to be computer
undertaken
Schedule Time-table for Specifies priority of Complete installation
activities work and time for of computer within 3
each activity months w.e.f March
2009
Budget Statement of Quantitative and Produce 10,000
expected results and time bound plan of tonnes of sugar next
resources to be used action year
Project Cluster of Scheme for Construction of a
interrelated deployment of flyover
activities-a separate resources
unit
Plans commit individuals, departments, organizations, and the resources of each to
specific actions for the future.
There are four major types of plans that can help managers achieve their
organization's goals: strategic, tactical, operational, and contingency. Operational
plans lead to the achievement of tactical plans, which in turn lead to the attainment of
strategic plans. Managers develop a contingency plan in case their original plans fail.
1. Operational plans: The specific results expected from departments, work groups,
and individuals are the operational goals.
An operational plan is one that a manager uses to accomplish his or her job
responsibilities. Supervisors, team leaders, and facilitators develop operational plans
to support tactical plans.Operational plans can be a single-use plan, an ongoing plan,
a polcy, a procedure, or a rule.

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 2. Tactical plans: A tactical plan is concerned with what the lower level units within
each division must do, how they must do it, and who is in charge at each level.
Tactics are the means needed to activate a strategy and make it work.
3. Strategic plans: A strategic plan is an outline of steps designed with the goals of
the entire organization as a whole in mind, rather than with the goals of specific
divisions or departments. Strategic planning begins with an organization's mission.
Strategic plans look ahead over the next two, three, five, or even more years to move
the organization from where it currently is to where it wants to be.
4. Contingency plans: Intelligent and successful management depends upon a
constant pursuit of adaptation, flexibility, and mastery of changing conditions.
Strong management requires a “keeping all options open” approach at all times.
That is where contingency planning comes in.
Contingency planning involves identifying alternative courses of action that can be
implemented if and when the original plan proves inadequate because of changing
circumstances. Unexpected problems and events frequently occur. When they do,
managers may need to change their plans. Anticipating change during the planning
process is best in case things don't go as expected.

Q3.Explane in brief the essential features of a joint stock company

Answer:

A joint stock company is a type of business entity: it is a type of corporation or

partnership between two. Certificates of ownership (or stocks) are issued by the company
in return for each contribution, and the shareholders are free to transfer their ownership
interest at any time by selling their stockholding to others. Following are the essential
features of such companies:
• Legal formation: No single individual or a group of individuals can start a joint
stock company. It comes into existence when it registered after completion of all legal
formalities required.
• Artificial person: A joint stock company starts, grows, enters into market, and then
loses its position and disappears, just like a person, so its called an artificial person as it’s
birth, existence and death are regulated by law.
• Separate legal entity: A joint stock company has its own separate existence
independent of its investors. This means that a joint stock company can own property,
enter into contracts and conduct any lawful business in its “own” name.
• Common seal: A joint stock company has a “common seal”, which is used while
dealing with others or entering into contracts with outsiders. It can be used by any officer
in the organization working on behalf of the company. Any document, with the
company's seal, and signed by any official of the company, becomes binding on the
company.

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• Perpetual existence: A joint stock company continues to exist as long as it fulfils the
requirements of law. It is not affected by the death, lunacy, insolvency or retirement of
any of its investors.
• Limited liability: In a joint stock company, the liability of a member is limited to
the amount he has invested.
• Democratic management: Joint stock companies have democratic
management and control. Normally, the investors elect representatives from among
themselves known as ‘Directors’ to manage the affairs of the company.

Q4.What is an organization? Distinguish between functional and product

departmentation

Answer:

• Definition: William Scott defined organization, and said; “Organizations are

collectivities of people that have been established for the pursuit of
relatively specific objectives on a more or less continuous basis.”
According to Louis A Allen: “Organization is the process of identifying and
grouping of the work to be performed, defining and delegating responsibility and
authority and establishing relationship for the purpose of achieving organizational
goals.”
In the words of F.J Wright: “Organization is the arranging or combining of
resources to achieve an economic betterment with the resources available to
achieve the maximum result or profit with the best least possible resources.”
An organization is a social arrangement which pursues collective goals, controls its own
performance, and has a boundary separating it from its environment.
• Departmentation is usually done according to function, products or services,
territory, customer, process and equipment, time, or matrix design.
Functional Departmentation: is the grouping of activities by functions (the jobs to be
done). Activities that are alike or similar are placed together in one department and under
a single chain of command. For example, a manufacturing manager might organize a
plant by separating engineering, accounting, manufacturing personnel and supply
specialists into common departments. A hospital might have a research department,
patent care department, accounting department and so forth. Of course,
departmentalization by function can be used in all types of organizations. Only the
functions change to reflect the organization’s objectives and activities.
Functional departmentation is the most widely used type of departmentation because of
its simple logic. It is suitable for organizations dealing with a single product.
Product Departmentation: is grouping activities by product or service line. Thus placing
all activities related to the product or the service under one manager. Many companies
utilize product or service departmentation. LA Gear is an example of those companies.

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Its structure is based on its varied product lines which include women’s footwear,
children’s footwear and men’s footwear. Another example is banks, most of them have
separate departments for commercial loans, installment loans, savings accounts, and
checking accounts.

Q5. (a)Distinguish between delegation and decentralization

Answer:

A manager alone cannot perform all the tasks assigned to him. In order to meet the
targets, the manager should delegate authority. Delegation of Authority means division of
authority and powers downwards to the subordinate. It is about entrusting someone else
to do parts of your job. Delegation of authority can be defined as subdivision and sub-
allocation of powers to the subordinates in order to achieve effective results.
Decentralization is a systematic delegation of authority at all levels of management and in
all of the organization. In a decentralization concern, authority is retained by the top
management for taking major decisions and framing policies concerning the whole
concern. Rest of the authority may be delegated to the middle level and lower level of
management.
The degree of decentralization will depend upon the amount of authority delegated to the
lowest level.
The table below shows the difference between delegation and decentralizing:
Basis Delegation Decentralization
Responsibility Responsibility remains of the Responsibility is also delegated to
managers and cannot be subordinates.
delegated
Freedom of Freedom is not given to the Freedom to work can be maintained
Work subordinates as they have to by subordinates as they are free to
work as per the instructions take decision and to implement it.
of their superiors.
Nature It is a routine function It is an important decision of an
enterprise.
Grant of The authority is granted by It is a systematic act which takes place
Authority one individual to another. at all levels and at all functions in a
concern.
Degree Degree of delegation varies Decentralization is total by nature. It
from concern to concern and spreads throughout the organization
department to department. i.e. at all levels and all functions
Process Delegation is a process which It is an outcome which explains
explains superior relationship between top management
subordinates relationship and all other departments.

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Essentiality Delegation is essential of all Decentralization is a decisions
kinds of concerns function by nature.
Withdrawal Delegated authority can be It is considered as a general policy of
taken back. top management and is applicable to
all departments.
Freedom of Very little freedom to the Considerable freedom
Action subordinates

(b)Explain in brief the significance of staffing.

Staffing is the process of filling all positions in the organization with adequate and
qualified personnel. According to Koontz and O’Donnell, “The managerial function of
staffing involves manning the organizational structure through proper and effective
selection, appraisal and development of personnel to fill the roles designed into the
structure”. Staffing consists of manpower planning, recruitment, selection, training,
compensation, integration and maintenance of employees .Lawrence Appley remarked,
“…managers would be more skilled and more competent if they were carefully selected,
specifically trained, continually kept up –to- date in their field of activity, guided in their
development for the assumption of greater responsibility and adequately rewarded.

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 ASSIGNMENT B

Q1. Compare Maslow’s Need Hierarchy theory with that of Herzberg’s Two factor
theory.

Answer:

Motivation is the process of generating enthusiasm among subordinates to dedicate their

integrated efforts towards achieving the objectives of the business.

Effective direction requires proper motivation of workers. It modifies the behaviour of

the subordinates and inspires them to contribute the best of their worth in their work.

Without motivation, the employees become ordinary workers, and perform average work.

From the very beginning, when human organizations were established, people had tried
to find out the answer of what motivates people in the organization most.
For that reasons, Psychologists claimed that needs have a certain priority. As the more
basic needs are satisfied, an individual seeks to satisfy the higher needs. If his basic needs
are not met, efforts to satisfy the higher needs should be postponed. A.H. Maslow, a
famous social scientist, has given a framework that helps to explain the strength of certain
needs. According to him, there seems to be a hierarchy into which human needs are
arranged. The following table shows Maslow's hierarchy of needs:
Level Type of Need Examples
1 Physiological Thirst, sex, hunger
2 Safety Security, stability, protection
3 Love and Belongingness To escape loneliness, love and be loved, and gain a
sense of belonging
4 Esteem Self-respect, the respect others
5 Self-actualization To fulfill one's potentialities

Another scientist who tried to find an answer for above mentioned question is Frederick
Herzberg. After an intensive analysis of the experiences and, feelings of 200 engineers in
nine different companies, from this research, Herzberg suggested a two-step approach to
understanding employee motivation and satisfaction:
1. Hygiene Factors: Hygiene factors are based on the need to for a business to
avoid unpleasantness at work. If these factors are considered inadequate by
employees, then they can cause dissatisfaction with work. Hygiene factors include:
company policy and administration, technical supervision, interpersonal
relationship with supervisors, interpersonal relationship with peers, interpersonal
relationship with subordinates, salary, job security, personal life, working
conditions and status.

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 2. Motivator Factors: Motivator
factors are based on an individual's
need for personal growth. When
they exist, motivator factors actively
create job satisfaction. If they are
effective, then they can motivate an
individual to achieve above-average
performance and effort. Motivator
factors include: achievements,
recognition, advancement, work
itself, possibility of growth, and
responsibility. Most of these factors
are related with job contents.

There is some similarity between Maslow’s

and Herzberg's models. They both:
• Use a hierarchical scale. Where one stage must first be fully or largely completed
before advancing to the next stage.
• Are based on the argument that "we behave as we do because we are attempting to
fulfill internal needs."
• Specify the criteria as to what motivates people. However, this is controversial
because people from different cultures have different values and norms, therefore
have different criteria to those things which are more important.
• Herzberg's hygiene idea corresponds with Manslow's Physiological, Safety and
Belongingness needs i.e. they both have the same critieria (basic pay, work
conditions etc...)
• Also, Herzberg's motivators’ idea corresponds with Manslow's Esteem and Self-
Actualisation needs i.e. they both have the same criteria (recognition, growth,
achievement etc...).
• Both theories are influenced by environmental conditions, employee attitudes and
as a result, their motivation. These influence an employee’s performance.
There are also some differences that include:
• Maslow says that each stage of the 5 must be fully or largely completed before
advancing to the next stage..however, Herzberg suggested that there were only 2
stages (hygiene and motivators) instead of 5.
• Maslow said that fulfilling each stage is a motivator, however Herzberg said that
fulfilling the hygiene stage only results in an employee being in neutral state and
that satisfaction and motivation only comes from the 2nd stage (motivator).

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Q2.Critically examine Mc.Gregor’s Theory X and Theory y.

Answer:

Douglas McGregor proposed two theories by which to view employee motivation. He

avoided descriptive labels and simply called the theories Theory X and Theory Y.
Both of these theories begin with the premise that management's role is to assemble the
factors of production, including people, for the economic benefit of the firm. Beyond this
point, the two theories of management diverge.
Theory X assumes that the average person:
• Dislikes work and attempts to avoid it.
• Has no ambition, wants no responsibility, and would rather follow than lead.
• Is self-centered and therefore does not care about organizational goals.
• Resists change.
• Is gullible and not particularly intelligent.
Essentially, Theory X assumes that people work only for money and security.
Theory Y makes the following general assumptions:
• Work can be as natural as play and rest.
• People will be self-directed to meet their work objectives if they are committed to
them.
• People will be committed to their objectives if rewards are in place that addresses
higher needs such as self-fulfillment.
• Under these conditions, people will seek responsibility.
• Most people can handle responsibility because creativity and ingenuity are
common in the population.

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McGregor’s theory X relates to the classical approach to management theory, which says
that the “average human being has an inherent dislike of work and will avoid it if he can.”
People need, and indeed prefer to be directed and controlled and managers should use
strict codes of conduct and punishments to keep employee behaviour in line.
Theory Y relates to the human relations approach to management theory, the idea that
management’s task is to create an environment where employees can be innovative and
productive because they are at the very least satisfied in their work.
Subscribers to the Theory X approach believe in the ‘command and control’ principle, the
idea that a top-down approach to management is the organizational structure for a
company. On the other hand we have the Theory Y approach which believes the job of
management is to ‘facilitate and empower’ - workers should be given the best possible
environment to work in, and the best way to get them to do a good job is to give them a
good job to do.

Q3.Why is managing diversity significant. Explain.

Answer:

Fred Luthans has defined diversity as the presence of members of different ages, genders,
ethnic groups, and/or educational backgrounds in an organization.
In Workforce America! Managing Employee Diversity as a Vital Resource, diversity is
defined as “otherness or those human qualities that are different from our own and
outside the groups to which we belong, yet present in other individuals and groups.”.
The Chancellor's Committee on Diversity defines Diversity as: "The variety of
experiences and perspective which arise from differences in race, culture, religion, mental
or physical abilities, heritage, age, gender, sexual orientation, gender identity and other
characteristics."
Dimensions of diversity include, but are not limited to: age, ethnicity, ancestry, gender,
physical abilities/qualities, race, sexual orientation, educational background, geographic
location, income, marital status, military experience, religious beliefs, parental status, and
work experience.
It's important to understand how these dimensions affect performance, motivation,
success, and interactions with others. Better management of diversity reduces costs,
improves staffing, improves marketing, promotes creativity, facilitates problem solving
and increases flexibility. Management of diversity requires managing cultural diversity,
individual diversity and workforce diversity. Since the composition of the workforce has
been changing over the past few years, managing diversity has become a challenge to
organizations.
The reasons for diversity are as follows:
1. Changing demographical structure of the workforce: The modern workforce
includes women, minorities, older employees and highly educated people. The

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 increase in skills and education levels combined with the legal provision of equal
opportunity for all have led to an increase of diversity in workforce.
2. Government legislation: Legislation has made it binding on organizations to
provide equal opportunity for all employees, and this brought diversity in modern
organizations.
3. Enhances competitiveness of firms: the firms that adopt an affirmative
approach to recruiting people from diverse backgrounds have a talented and
capable workforce, and gain a reputation as fair employers are more likely to
attract employees.
4. Increasing globalization of firms: Managers and technical personnel who go to
a foreign country to put an organizational system in place will have to change their
leadership styles, communication patterns and other practices to suit the culture of
the foreign country. Those organizations which value diversity are in a better
position to work with people from different cultures, customs, and social norms
when they go global.

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 CASE STUDY

“I expect every manager in my department to act completely rational in every decision he

makes”, declared Ishwar Dayal, Director Marketing in Overseas Plastics Ltd. “Everyone
of us, irrespective of his position in the organisation has to be a professional rationalist
and I expect him not only to know what he is doing and why he is doing it, but also to be
right in his decisions. I know someone has said that a good manager needs to be right
only in more than half of his decisions. But that is not good enough for me. However,
one may be excused for an occasional mistake especially on matters beyond one’s control
but no one can be pardoned for acting irrationally”.
“I endorse your views, Sir”, said Indu Alluwalia, his Advertising Manager, “and I always
try to be rational and logical in my decisions but would you mind helping me to be sure of
this by explaining what rational decisions are”?
Read and analyse the above case and answer the following questions:
(A) Explain, how Mr. Ishwar Dayal might describe what is involved in making
rational decisions.
Answer:
Rational decisions are those decisions taken by a person after a cognitive process and
steps, where each step follows in a logical order from the one before. It is based on
thinking through and weighing up the alternatives to come up with the best potential
result.
A rational decision making presupposes that there is one best outcome. Because of this it
is sometimes called an optimizing decision making. The search for perfection is frequently
a factor in actually delaying making a decision.
Steps in a rational decision making model
• Define the situation/decision to be made
• Identify the important criteria for the process and the result
• Consider all possible solutions
• Calculate the consequences of these solutions versus the likelihood of
satisfying the criteria
• Choose the best option
(B) If Ms. Indu Alluwalia then declares that there is no way that she can be
completely rational, what would you suggest as a reply?
Answer:
It is desirable to be as rational as possible in our dealings and decisions. But we cannot be
completely rational. So, I suggest that Mr. Ishwar Dayal realizes this, and the fact that Ms
Indu Alluwali endorses his ideas, and tries to be rational and logical in her decisions, thus
tell her try be rational as possible.

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 ASSIGNMENT C

Multiple choice questions

Q-1- Which of the following is a middle level function?

a) Reviewing daily and weekly production or sales report. (√ √)

b) Selecting board members.
c) Supervising day-to-day operations.
d) Evaluating the all-round performance of various departments.

Q-2- The process of designing and maintaining an environment in which individuals

working together in groups, efficiently accomplish specific aims is termed as_______.

a) Administration.
b) Management. (√ √)
c) Organization.
d) Staffing.

Q-3- The analysis and measurement of actual operations against the established standards
developed during the planning process is called__________.

a) √)
Controlling. (√
b) Monitoring.
c) Leading.
d) Organizing.

Q-4- Which of the following theories ignored the concepts of leadership, motivation,
power, and informal relations?

a) Pre-Classical.
b) √)
Classical. (√
c) Behavioral.
d) Modern.

Q-5- __________ Managers deals with the actual operation of an organization’s units.

a) First-level.
b) Top-level.
c) √)
Middle-level. (√
d) Link-level.

Q-6- Which of the following skills is important at all levels of an organization?

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a) Conceptual.
b) Design.
c) Human. (√ √)
d) Technical.

Q-7- Under which system does a worker’s wage increases in proportion to the output
produced?

a) Time-and-motion study.
b) √)
Piece-rate incentive system. (√
c) Micromotion study.
d) Gantt chart.

Q-8- Decreasing the role of subordinates in decision-making is known as__________.

a) Decentralization.
b) Stabilization.
c) Centralization.
d) Organization.

Q-9- The two major managerial practices that are emerged from Taylor’s approach to
management are the piece-rate incentive system and __________________

a) Time and motion study

b) Work study
c) Fatigue study (√√)
d) Organization study

Q-10- Weber coined the term ________ to identify large organizations tat operated on a
rational basis .

a) Autocracy
b) Dictatorship
c) √)
Bureaucracy (√
d) Diplomacy

Q-11- A company has the following managers-Manager (Production), Manager (Finance),

Manager (Marketing).This is an example for departmentation by:

(a) √)
Functions (√
(b) Products
(c) Territory

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Q-12 -………………..consists of a set of activities aimed at attracting and selecting
individuals for positions in a way that will facilitate the achievement of organizational
goals

(a)Recruitment
(b) Selection
√)
(c) Staffing (√

Q-13 - ……………. is the process of identifying and attempting to attract candidates

who are capable of effectively filling job vacancies.

(a) Recruitment
√)
(b) Staffing (√
(c) Selection

Q-14 ………...involves choosing the candidates who best meet the qualifications and
have the greatest aptitude for the job.

(a) Staffing
(b) Recruitment
(c) √)
Selection (√

Q-15- A virtual organizational structure can be defined as:

a) A virtual structure of company functions which come together to serve a

specific purpose and then disappear. (√ √)
b) A temporary network of company functions which come together to serve a
specific purpose and then disappear.
c) A non-permanent form of organization which encourages the growth of regional
groupings, thus allowing a degree of autonomy.
d) An organizational form based on a functional corporate structure with a mainly '
domestic' focus and a small international division.

Q-16- There are many types of organizational forms. Which of the following is not a type
of organization form?

a) Function
b) √)
Geographical (√
c) Matrix
d) Subsidiary

Q-17- Which one of the following is not a type of single-out plan?

a) Programs.

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b) √)
Policies. (√
c) Budgets
d) Projects.

Q-18- Which one of the following is the first step in the planning process?

a) √)
Establishing objectives. (√
b) Analyzing opportunities.
c) Determining planning premises.
d) Identifying alternatives.

Q-19- Which of the following is not the limitations of planning?

a) Time consuming process.

b) Expensive.
c) √)
Flexible. (√
d) Lack of accurate information.

Q-20- When developing a contingency plan, manager should not try to_____________.

a) Increase interruption to the operations of the business. (√ √)

b) Speed up the restoration of services.
c) Reduce financial losses.
d) Resume critical operation within a specified time after a disaster.

Q-21- The open systems approach to planning is effective as it leads to____________ in

planning.

a) Rigidity.
b) Flexibility. (√√)
c) Inelasticity.
d) Invariability.

Q-22- The management function, that involves setting goals and deciding how best to
achieve them is known as___________.

a) Planning. (√√)
b) Organizing
c) Leading.
d) Controlling.

Q-23- Generally strategic plan` is an important aspect of the jobs of ________ managers.

a) Operation-level.

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b) Middle- Level.
c) Top-level. (√ √)
d) At all levels

Q-24-There is no universal definition of Knowledge Management. Nonetheless,

Knowledge Management can be described as the involvement of:

a) Ideas
b) Human mind (√√)
c) Time horizon
d) Process

Q-25- Adopting Knowledge Management can lead to sustainable competitive advantage.

Which of the following statement is not true:

a) We view Knowledge Management strategy as an exclusive part of the

organization (√√)
b) Our top priority is to treat people like assets rather than costs
c) We believe that Knowledge Management is contributing to stronger relationships
among partners/suppliers/customers and the organization
d) It creates strategic advantage by enabling an innovative strategy that would not
otherwise be possible

Q-26-The concept of "ba" refers to what?

a) The creation of knowledge (√ √)

b) Transformation of information
c) Conversion of data
d) Management of key human resources

Q-27-The main barrier to implementing Knowledge Management within an organization

is:

a) The willingness to initiate change.

b) Weak leadership and commitment. (√ √)
c) IT infrastructure.
d) The lack of clear process and procedures.

Q-28- The importance of assessing Knowledge Management as part of the overall

organizational performance measurement process is attributed to:

√)
a) the significance of intellectual capital/asset. (√
b) individual accountability.

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 c) changes in business strategy.
d) contemporary accounting reporting standards.

Q-29- The 'people portfolio' of an organization can describe its people (i.e. knowledge
owners) based on their level of expertise and potential for growth in the organization-
specific Knowledge Management skill/expert areas. Four types or states of 'knowledge
owners' can be identified, what are these?

√)
a) 'key players', 'rising stars', 'core competent' and 'redundancy' (√
b) 'key players'. 'rising stars', 'core competent' and 'deadwood'
c) 'core assets', 'rising stars', 'core competent' and 'deadwood'
d) 'core assets', 'rising stars', 'core competent' and 'redundancy'

Q-30-Which of the following is not a strategic advantage of successful Knowledge

Management?

a) Making possible execution of an important but common strategy throughout an

industry
b) Adding knowledge to the products and services they offer for sale
c) Increasing the investment in information technology therefore expanding its
√)
capacity to process data (√
d) Using knowledge and Knowledge Management to perform non-strategic processes
exceptionally well

Q-31-Which of the following is not the means by which an organization can use to
measure or value knowledge assets?

a) Further external and internal investment

b) Innovation and continuous learning
c) Improvement of current practices aiming for best practice
d) Factors that influence competitors' global strategies (√ √)

Q-32- The necessity of developing KMIS derives from:

a) the need of exploring data and information.

b) the influx of knowledge IT vendors and products.
√)
c) the need to improve the quality and efficiency of the organization. (√
d) the shortfall of computerized databases.

Q-33- In general, there are two distinctive approaches which can be adopted to
implement a knowledge management system. The first is the creation of a separate and
distinctive knowledge management unit within the organization. What is the second?

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 a) Building a knowledge management strategy as an integral part of the
business strategy √
b) Developing an inter-organizational partnership with all suppliers
c) Formulating a knowledge management plan that involves a major organizational
restructuring
d) Developing an integrative IT strategy to improve communications between key
knowledge workers

Q-34- More direction is required at _________ level.

a) Top
b) Middle
c) Lower (√√)
d) Directors.

Q-35- ___________ is the result of the business policies.

a) Formal organization. (√√)

b) Informal organization.
c) Line organization.
d) Staff organization.

Q-36- In case of line organization authorities are_____________.

a) Centralized √.
b) Decentralised.
c) Equally distributed.
d) None of the above.

Q-37- Supervisors are link between___________

a) Directors and managers.

b) √)
Workers and middle level managers. (√
c) Directors and workers.
d) Workers and workers.

Q-38- The supervisor has to ___________ under his control.

a) Plan the work.

b) Organize the work.
c) Control the work.
d) √)
All the above. (√

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Q-39- Controlling is the __________ function of the management.

a) First
b) √)
Last (√
c) Both (a) and (b)
d) Neither (a) nor (b).

Q-40 In business enterprises controlling is required __________

a) While establishing business.

b) In the beginning of the year.
c) At the end of the year.
d) Continuously √.

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