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CBSE Questions for Class 12 Commerce Business Studies Organising Quiz 9 - MCQExams.com
CBSE
Class 12 Commerce Business Studies
Organising
Quiz 9
Each subordinate should report to one and only one superior is called _______.
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authority
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unity of command
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unity of direction
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order
The assignment of new or additional responsibilities to a subordinate is called _______.
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coordination
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specialization
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delegation
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span of Control
When managers are classified according to their level in the organization they are described as ___________.
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functional staff and line managers
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top managers middle managers and supervisors
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high level and low level managers
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general managers and administrative managers
An online wine retailer that sells and ships hundreds of wines to customers all over the world with a payroll of six employees, most likely has what kind of organizational structure?
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Bureaucratic
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Simple
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Functional
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Divisional
In an organization the following weakness were found
1.It is based on automatic system of management
2.Each manager was look after his own department
This type of organization has organization structure called __________.
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functional
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line
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sine and staff
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matrix
What type of organization assigns specialists from different functional departments to work on one or more projects led by a project manager?
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classical
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contemporary
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matrix
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evolutionary
The disadvantage of functional disorganization is ___________.
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unified control
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undivided loyalty
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stable
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high degree of specialisation
As the number of employees in an organization grows,structure tends to become more _______.
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specialized
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informal
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centralized
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a and b
A simple organizational structure is characterized by ________.
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high departmentalization
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wide spans of control
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decentralized authority
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high levels of formalization
A learning organization has developed its _______.
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educational department to keep employees trained
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capacity to adapt and change
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barriers to entry of its markets
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a sustainable competitive advantage that is easy to maintain
The other name for scalar organization is ___________.
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function organization
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live organization
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line and staff organization
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matrix organization
It is uncommon in a line organization structure have ___________.
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stability
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to be expensive
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to have fixed responsibiity
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to promote unity of commond
The strength of a _________ structure is based on results of managers, but it has a weakness because duplication can occur easily within the organization.
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simple
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functional
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divisional
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matrix
Amit qualified in engineering and really enjoyed the work assignment. The reorganization changed some of his work assignments to include working on a team with production workers and marketing specialists designing the newest products the company will offer. This could be described as a __________.
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alternative work assignment
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career degrading assignment
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centralized work assignment
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cross-functional team assignment
One of the five basic types of departmentalization presented included _________.
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structural
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linear
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definitive
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functional
Member work relationship, which is a common characteristic of all organization, can be achieved by _______.
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its people
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its goals
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its deliberate structure
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its purpose
Which basic model combination organizational structure is followed by all of the organizations?
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Structural or organic
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Mechanistic or structural
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Organic or mechanistic
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Rigid or linear
The line of authority that extends from the top of the organization to the lowest in a big manufacturing company is termed _______.
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line and authority structure
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power
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line and staff structure
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authority
Which one of the following forms of organisations is suitable for software development for a client?
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Line organisation
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Functional Organisation
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Line and Staff Organisation
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Project Management Organisation
Explanation
Project management organisation is not a separate type of organisation structure but is an organisation structure present within an organisation.It is mostly purpose related organisation structure.An organisation may have one or more project.As the project completed so do the need for project management organisation structure ends.
Under ____________ organisation, there is a clear demarcation between thinking and doing.
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line and staff
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functional
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matrix
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project management
Explanation
In order to avoid the defects of the line and functional types of organisation, too much concentration of control in the former and too much division of the same in the latter, the line and staff organisation was evolved.It seeks to strike a balance between the first two types.Line officers are the executives, and the staff officers are their advisers.Thus there is a clear demarcation between thinking and doing.
An efficient system of control encourages top management to go in for ___________ authority.
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centralisation
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decentralisation
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classification
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none of the above
Explanation
If the authority rests with senior management at the centre of a business it is called centralisation Benefits of centralisation.
There are a number of benefits of centralisation:
1) It removes the duplication of work and is an efficient system of control
2) Managers can focus on higher level work related to long-term planning and decision making.
3) Routine procedures are carried out at a more junior level using standardised processes. Managers therefore do not have to spend time on tasks such as a form-filling.
4) Systems across the organisation are now more consistent.This is more cost-effective and fair for all.This fits with the Commissions drive for lean production within its services i.e the elimination of waste.
"The multiplicity of vertical and horizontal relationships impair organizational efficiency" This statement is for ___________.
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Functional organisation
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Line organisation
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Matrix organisation
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None of the above
Explanation
A matrix structure pulls together employees who combine the relevant product and functional expertise in order for the business to meet its goals.The people selected come from different levels and departments within the business.This structure can be used in both hierarchical and flat organizations.This form is suited for project-driven companies such as construction.
Hence, option (C) is the correct answer.
Which one of the following is a step towards formation of semiautonomous units?
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Delegation
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Decentralisation
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Centralisation
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Growth
Explanation
If the authority rests with senior management at the centre of a business it is called centralisation, or when it is delegated further down the hierarchy,away from the centre it is called decentralisation. Decentralisation improves morale of personnel.Managers at different levels and semi-autonomous divisions are able to see by themselves the results of their own actions and ascertain their role and success. Delegation creates superior subordinate relationship while decentralisation makes semi autonomous units.
The fundamental organization structure is divided on the basis of _______.
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native of authority
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flow of authority
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size of enterprise
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both (a) and (b)
Organizational plans can be _______.
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stabilized
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controlled
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expendited
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all of the above
Which one of the following is a feature of delegation of authority?
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Division of work and delegation of authority
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The tendency to withhold a larger part of the formal authority at higher echelons of management hierarchy
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Combining functional departments with product organisation
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Al clear demarcation between thinking and doing.
Explanation
The process of assigning or transferring authority,decision making or a specific administrative function from one person to another is delegation.Delegation is the practice of turning over work related tasks and / or authority to employees or subordinates.Delegation of authority entails division of work load and sharing responsibility.
Which one of the following statements explains the term 'decentralisation'?
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The tendency to withhold larger part of formal authority at higher echelons of management hierarchy
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When a larger part of the authority is delegated down the levels of management so that decisions are made as near the source of information and action is possible.
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The concern for the people employed in an organisation
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None of the above
Explanation
If the authority rests with senior management at the centre of a business it is called centralisation, or when it is delegated further down the hierarchy, away from the centre it is called decentralisation. Decentralisation is the process of redistributing or dispersing functions, powers,people or things away from a central location or authority.
Small scale industry consists of which type of organisation?
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Functional organisation
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Line organisation
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Matrix organisation
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Project organisation
Explanation
Small Scale Industry consist of Line Organisation.It is the simplest of all types of organisations.It can be easily established and easily understood by the workers.Thus it is most suitable for small scale industry.
Vertical line of authority are cut horizontally across by ________________.
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product line division
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project line division
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product or project line division
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none of the above
Explanation
Matrix Organisation combines functional departmentation with product or project organisation.The functional departments like manufacturing ,marketing,accounting and personnel constitute the vertical chains of command while the project organisation or product divisions from the horizontal chains of command.The vertical lines of authority are cut horizontally across by project or product line divisions.
The formal right of the manager to take decisions give orders and expect the orders to be carried out is ______________.
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unity of command
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accountability
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authority
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responsibility
_____ organisation refers to the relationship between people based not on procedures but on personal attitudes prejudices and also the likes and dislikes of people.
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Informal
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Formal
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Normal
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Mutual
Explanation
Informal organisation refers to the relationship between people based not on procedures but on personal attitudes,prejudices and also the likes and dislikes of people.Informal organisation evolves over time and is a network of relationships that exist within an organisation.The relationships arise due to common interests or friendships.This informal structure may be different from that which is set out in procedures.
A traditional " top down" organisation is ____________ organisation.
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an absolutely formalised
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a largely decentralised
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a largely centralised
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an absolutely decentralised
Explanation
Matrix Organisation combines functional departmentation with product or project organisation.The functional departments like manufacturing ,marketing,accounting and personnel constitute the vertical chains of command while the project organisation or product divisions from the horizontal chains of command.The vertical lines of authority are cut horizontally across by project or product line divisions.
Which of the following is the oldest and simplest form of organisation?
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Line organisation
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Matrix organisation
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Functional organisation
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Line and staff organisation
Explanation
The line is the simplest of all types of organizations. It can be easily established and easily understood by the workers.
Hence, option (A) is the correct answer.
Henri Fayol defined _____________ as " the right to give orders and exact obedience".
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delegation
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authority
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accountability
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reporting
Explanation
Authority is an inherent right of management to give orders and expects those orders to be fulfilled Features of authority are :
1) Authority is the legal right of person or superior to command his subordinated.
2) Authority flows from the superiors to subordinates,in which orders and instructions are given to subordinates to complete the task.
3) It is only through authority, a manager exercises control.
4) In a way through exercising the control the superior is demanding accountability from subordinates.
5) Authority flows from top to bottom.
Delegation is a __________ and decentralization is a _________ produced by larger delegation of authority down the levels of organisation.
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situation, process
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distribution,process
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process, situation
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none of the above
Explanation
Delegation is a process while decentralisation is the situation produced by larger delegation of authority down the level of organisation.Delegation involves handing out responsibility to individuals in an organisation to make decisions rather than everyone having to be told what to do by top managers in a hierarchical way. This is ciupled with the decentralisation process whereby instead of all decisions being made at the centre (e.g.Head Office) of an organisation,they are made throughout the organisation.
Delegation is the process while is ____________ the situation produced by larger delegation of authority down the levels of organisation.
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centralisation
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accountability
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decentralisation
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responsibility
Explanation
The process of assigning or transferring authority,decision making or a specific administrative function from one person to another is delegation.Delegation is a process while decentralisation is the situation produced by larger delegation of authority down the levels of organisation.Delegation involves handling out responsibility to individuals in an organisation to make decisions rather than everyone having to be told what to do by top managers in a hierarchical way. This is coupled with the decentralisation, they are made throughout the organisation.
Line type of a structure is the _____________ pattern of organisation.
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modern
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oldest
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most expensive
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flexible
Which approach to the study of organizational behaviour emphasizes the formal structure, hierarchy of management, the technical requirements and the assumption of rational behaviour?
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The human relations approach
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The classical approach
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The system approach
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The contingency theory
"The right to take decisions by virtue of your formal position" can be termed as _____________.
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direction
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responsibility
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accountability
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authority
Explanation
Authority is an inherent right of management to give orders and expects those orders to be fulfilled.Authority flows from the superiors to subordinates, in which orders and instructions are given to subordinates to complete the task.
Organisational design requires a manager to _____________.
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organise groups within an organisation
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change the culture of an organisation
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change the logo of an organisation
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change or develop the structure of an organisation
Explanation
Organizational design in the way an organisation is to be structured and operated by its members. It is both a plan and a process.
The traditional view holds that managers should not directly supervise more than _________ subordinates.
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seven or eight
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nine or ten
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five or six
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eleven or twelve
Which of the following refers to a Scalar Chain?
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Thinking out and executing a plan
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Equity and equality of treatment while dealing with people
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Minimising employee turnover
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Superior-subordinate relations throughout the organisation.
Explanation
Line organization is the oldest form of organization. This is known by different names,i.e.military, vertical, scalar, departmental organization. The characteristic feature of this type is that line of authority flows vertically from the topmost executive to the lowest subordinate throughout the entire organizational structure.
Hence, option (D) is the correct answer.
As per scalar principal of delegation -
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The delegate should also be given a clear idea about the tasks assigned, what is expected of the recipient in his own job and how his obligation fits into the general plan.
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Whenever authority is delegated, responsibility steps in and is co-extensive with authority.
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It is expected that the recipient of authority shall make proper use of it and make all the decisions falling within the scope of his authority.
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Subordinates must know who delegates authority to them and to who matters beyond their own authority must be referred.
Which kind of organisation structure is recommended in the case,where the scale of business is small,number of subordinate and operative employees are not many and the organisation is in continuous process industry?
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Line organisation
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Line and staff organisation
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Matrix organisation
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Functional organisation
Explanation
The line organisation system can be successfully utilised. The characteristic feature of this type is that line of authority flows from the top most executive to the lowest subordinates throughout the entire organisational structure .The authority is greatest at the top and reduces through each successive level down the organisational scale.
merits :
1)
1) It is the simplest of all types of organisation.It can be easily established and easily understood by the workers.
2) It is economical and effective.
3) Because of direct authority -responsibility relationships,discipline can be maintained more effectively.
4) Since The authority and responsibility of every person is clearly defined.It is easier to fix up the responsibility if there is any lapse.
5) As the superiors enjoy full authority,quick decisions are taken by them.
6) Promotes unity of command.
7) Conforms to the scalar principle of organisation.
Of the functions of management,the purpose of ____________ is to assemble similar looking jobs so as to bring order in the organisation.
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directing
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auditing
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feedback
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organising
Explanation
Organising is the function of management which purposes to assemble similar looking so as to bring order in the organisation.
Main featured of organisation :
1. Sub process of management .
2.Deals with group efforts .
3.
Goal oriented.
4.
Based on the principle of division of work.
5.
Establishes authority responsibility relationship
Managerial Personnel
The persons who are in charge of the management of the affairs of a company are
(1) Termed as directors
(2) Known as board of trustee
(3) Collectively known as board of directors
Select correct answer from the options given below -
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(1) only
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(3) only
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(1) or (3)
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(1), (2) & (3)
Division of work among people and coordination of their efforts to achieve specific objectives are the fundamental aspects of ___________.
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forecasting
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organising
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motivation
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none of the above
Who viewed organization as comprising human relationships in group activity?
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The behavioral scientists
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The psychologists
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The sociologists
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(A) and (C)
Due to which function of management authority-responsibility relationships among the organizational members are established?
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Leadership
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Directing
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Controlling
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Organizing
Administration is concerned with _________.
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policy implementation
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policy making
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both (A) and (B)
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neither (A) nor (B)
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