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1. By observing what managers actually do, Mintzberg isolated ten roles which he believed were common to all
managers. In which of the following roles, a manager receives information pertaining to changes, opportunities
and problems that the organization may face?
(a) Liaison
(b) Figurehead
(c) Recipient
(d) Disseminator
(e) Spokesperson.
2. By studying the various approaches to management analysis, one can understand the concept of management and
have a better understanding of managerial functions. Which of the following approaches is based on sociology and
social psychology?
(a) Empirical approach
(b) Group behavior approach
(c) Interpersonal behavior approach
(d) Sociotechnical approach
(e) Situational approach.
3. Which of the following is defined as the output-input ratio within a time period with due consideration for quality?
(a) Tasks
(b) Responsibilities
(c) System
(d) Productivity
(e) Resource availability.
4. Vishnu is working in one of the leading IT companies as a team leader. He helps his subordinates in programming
and also directs and motivates them in achieving the set goals. Which of the following skills does Vishnu possess?
(a) Technical and Conceptual skills
(b) Technical and Human skills
(c) Human and Design skills
(d) Conceptual and Design skills
(e) Technical and Design skills.
5. Who among the following is directly responsible for the performance of employees involved in operations and is
also responsible for output variables like number of units produced, labor costs, inventory levels, and quality
control?
(a) Supervisor
(b) Divisional head
(c) Departmental head
(d) Chief executive officer
(e) President.
6. The process of designing and maintaining an environment in which individuals, working together in groups,
effectively accomplish selected aims is termed as
(a) Administration
(b) Management
(c) Organizing
(d) Staffing
(e) Controlling.
7. Chris Argyris classified organizations on the basis of the employees’ set of values. In which of the following types
of organizations, employees are manipulative and pitted against each other and are not willing to take risks?
(a) Bureaucratic
(b) Formal
(c) Informal
(d) Model II
(e) Model I.
8. Which of the following is a term coined by the Gilbreths and refers to the seventeen basic hand motions they
identified during motion studies?
(a) Therbligs
(b) Telecommuting
(c) Semantics
(d) Soldiering
(e) Micromotion.
9. As per the systems approach to management, an organization that interacts with external forces is termed as a/an
(a) Closed system
(b) Model
(c) Independent entity
(d) Open system
(e) Contingency.
10. Which of the following Henri Fayol’s principles of management, implies that the right person is placed in the right
job and everything is kept in the right place to facilitate smooth coordination of activities?
(a) Order
(b) Initiative
(c) Centralization
(d) Unity of direction
(e) Discipline.
11. Which of the following approach to management includes the three schools viz., scientific management,
administrative theory and bureaucratic management?
(a) Quantitative approach
(b) Behavioral approach
(c) Classical approach
(d) Management information systems approach
(e) Systems approach.
12. Ace Computer systems (Ace), family owned business, is one of the leading software companies. Top managers of
Ace always hire their relatives regardless of their competence for various positions vacant in the Ace. Which of
the following concepts is discussed in the above situation?
(a) Bureaucracy
(b) Nepotism
(c) Silent monitor
(d) Whistle blowing
(e) Scalar chain.
13. Mr. Sourav Mishra, a manager at Karx Transportation Ltd., manages a team of 16 employees who belong to
different cadres. He always treats all his employees in the same manner irrespective of the cadre they belong.
Which of the following principles of Fayol did Mr. Sourav Mishra adopt?
(a) Discipline
(b) Initiative
(c) Espirit de corps
(d) Equity
(e) Unity of direction.
14. Which of the following is a special telephone line that enables employees to bypass the proper channel for
reporting their ethical dilemmas and problems?
(a) Ethics audit
(b) Ethics committee
(c) Ethics code
(d) Ethics team
(e) Ethics hotline.
15. There are various activities that organizations can get involved in, in order to be socially responsive. Which of the
following acts of social responsiveness involves conserving the environment by reprocessing materials like plastic,
paper etc. into useful products?
(a) Volunteerism
(b) Recycling
(c) Valuing diversity
(d) Fund raising
(e) Enhancing quality of work life.
16. Which of the following involves in the systematic assessment of the adherence of employees to the ethical policies
of the organization?
(a) Social audit
(b) Functional audit
(c) Ethics audit
(d) Code of ethics
(e) Issue intensity.
17. The ‘golden rule’, which is an ethical guideline for managers, means
(a) Constraints
(b) Resources
(c) Rewards
(d) Technologies
(e) Policies.
57. In which of the following decision making techniques, group members rank the various alternatives and decide on
the best alternative?
(a) Delphi method
(b) Interacting group
(c) Nominal group
(d) Brainstorming
(e) Decision tree.
58. A number of sophisticated techniques or tools which are useful in the decision-making process are available.
Which of the following decision-making tools enables a decision-maker to evaluate the available alternatives
based on price, fixed cost and variable cost per unit?
(a) Marginal analysis
(b) Financial analysis
(c) Break-even analysis
(d) Ratio analysis
(e) Game theory.
59. While evaluating alternatives in the decision-making process, which of the following refers to the extent to which
an alternative finds an effective solution to the problem under consideration?
(a) Feasibility
(b) Quality
(c) Costs
(d) Acceptability
(e) Ethics.
60. In which of the following approaches to decision making, a manager finds short-term solution to the problem than
making a decision that will facilitate the attainment of goals in the long term?
(a) Incremental model
(b) Satisficing
(c) Rational model
(d) Garbage-can model
(e) Bounded rationality.
61. The Synthetic Corporation is aware that significant problems are occurring within its production departments. It
realizes that competitors are successfully utilizing more modern machinery and processes to better satisfy their
customers. The Synthetic Corporation looks at alternatives it can implement to upgrade its processing machines in
order to resolve the problems it is facing. After evaluation of all alternatives the company selects and implements
the best solution. This is an example of an organization engaging in
(a) Decision-making
(b) Strategic planning
(c) Recruitment
(d) Environment scanning
(e) Benchmarking.
62. Fayol, and other pioneering management theorists who were influenced by Taylor, advocated a closely controlled,
authoritarian organization, characterized by an unrestricted downward flow of authority in the form of orders and
rules. Their theories of organizing gave rise to which of the following principles?
I. Unity of command.
II. Well-defined hierarchy of authority.
III. Unity of direction.
IV. Authority at par with responsibility.
(a) Both (I) and (II) above
(b) Both (II) and (IV) above
(c) (I), (II) and (III) above
(d) (I), (II) and (IV) above
(e) (II), (III) and (IV) above.
63. In the early 1930s, the famous Western Electric studies revealed that groups of people who shared an informal
relationship formed an important part of the total work situation. The studies concluded that the network of
personal and social relationships, not established by the formal organization, gave rise to informal organizations
within an enterprise. Which of the following are characteristics of an informal organization?
I. It is unofficial by nature.
II. Sources of control include rewards and penalties.
III. Source of leader power is delegated by the management.
IV. Norms serve as guidelines for behavior.
(a) Both (I) and (II) above
(b) Both (I) and (IV) above
(c) Both (II) and (III) above
(d) Both (II) and (IV) above
(e) Both (III) and (IV) above.
64. According to which of the following theories, organizations are cooperative systems where the authority that a
leader has over his subordinates is determined by the subordinates’ willingness to comply with it?
(a) Administrative theory
(b) Systems theory
(c) Contingency theory
(d) Acceptance theory
(e) Scientific management.
65. Managers perform various functions in an organization viz., planning, organizing, directing, staffing and
controlling. Managers involved in which of the following managerial functions, group the activities and resources
in a logical fashion?
(a) Planning
(b) Organizing
(c) Directing
(d) Staffing
(e) Controlling.
66. Departmentation by simple numbers is one of the traditional bases of departmentation. Which of the following
is/are not the reason(s) for the diminishing use of this type of departmentation?
I. It is diminishing because technology has become more sophisticated thereby demanding more specialized
employees.
II. It is diminishing because the groups which have been formed on bases of numbers are less efficient than
groups comprising of specialized personnel.
III. It is diminishing because it is useful only at the highest level of the organization structure.
(a) Only (I) above
(b) Only (III) above
(c) Both (I) and (II) above
(d) Both (II) and (III) above
(e) All (I), (II) and (III) above.
67. An organization structure that has many hierarchical levels can be described as one having a
I. A formal organization is more effective in the absence of informal relationships in the organization.
II. Informal relationships refer to the relationships that arise by virtue of gossip.
III. Grapevine is the most common form of informal organization.
(a) Only (I) above
(b) Only (III) above
(c) Both (I) and (II) above
(d) Both (II) and (III) above
(e) All (I), (II) and (III) above.
88. Which of the following statements are true with respect to functional structure?
I. The environment in which the organization operates is such that it encourages use of only functional
structure.
II. The external environment of the organization is certain.
III. There is a need for the company to share its resources.
(a) Only (I) above
(b) Only (II) above
(c) Only (III) above
(d) Both (I) and (II) above
(e) Both (II) and (III) above.
94. Ease in understanding the organizing function can be facilitated with the help of a well-written organization
manual. Which of the following is not an element of an organization manual?
(a) Statement of the organization’s philosophy
(b) Charts
(c) Programs
(d) Job analysis
(e) Outline of job descriptions.
95. Which of the following is/are strength(s) of the divisional structure?