Mcqs - Chapter 5 - Organising -
Business Studies
1. Name the process which co-ordinates human efforts, assembles resources and integrates both into a unified whole to be utilised for achieving specified objectives,
(a) Management
(b) Planning
(c) Organising
(d) Directing
2. Organising is a process by which the manager
(a) Establishes order out of chaos
(b) Removes conflict among people over work or responsibility sharing
(c) Creates an environment suitable for teamwork
(d) All of the
above
3. It is defined as the framework within which managerial and operating tasks are performed.
(a) Span of management
(b) Organisational
structure
(c) Informal organisation
(d) None of the above
4. It refers to the number of subordinates that can be effectively managed by a superior,
(a) Organisational structure
(b) Informal organisation
(c) Span of
management
(d) None of the above
5. As the span of management increases in an organisation, the number of levels of management in the organisation
(a) Increases
(b) Decreases
(c) Remains unaffected
(d) None of the above
6. Uranus Limited is a company dealing in metal products. The work is mainly divided into functions including production, purchase, marketing, accounts and personnel. Identify the type of organisational structure followed by the organisation.
(a) Functional
structure
(b) Relational structure
(c) Divisional structure
(d) None of the above
7. Identify the type of organisational structure which facilitates occupational specialisation,
(a) Functional
structure
(b) Horizontal structure
(c) Network structure
(d) Divisional structure
8. Identify the type of organisational structure which makes training of employees easier, as the focus is only on a limited range of skills.
(a) Network structure
(b) Divisional structure
(c) Functional
structure
(d) Matrix structure
9. This type of organisational structure is most suitable when the size of the organisation is large, has diversified activities and operations require a high degree of specialisation,
(a) Divisional structure
(b) Functional
structure
(c) Network structure
(d) Matrix structure
10. Under this type of organisational structure, manpower is grouped on the basis of different products manufactured.
(a) Divisional
structure
(b) Functional structure
(c) Network structure
(d) Matrix structure
11. Which of the following is not a feature of functional structure?
(a) It promotes functional specialisation.
(b) Managerial development is difficult.
(c) It is easy to
fix responsiblity for performance.
(d) It is an economical structure to maintain.
12. Which of the following is not a merit of functional structure?
(a) It promotes control and co-ordination within a department.
(b) It makes training of employees easier, as the focus is only on a limited range of skills.
(c) It ensures
that different products get due attention.
(d) It leads to occupational specialisation.
13. Rishabh has joined as a Creative Head in an entertainment company. He always ensures that the work has been divided into small and manageable activities and also the activities of similar nature are grouped together. Identify the related step in organising process being mentioned in the above lines.
(a) Identification and division of work
(b)
Departmentalisation
(c) Assignment of duties
(d) Establishing reporting relationships
14. Indigo Limited has a staff of 300 people which is grouped into different departments. The organisational structure depicts that 100 people work in Production department, 150 in Finance department, 20 in Technology department and 30 in Human Resource department. Identify the type of organisational structure being followed by the company.
(a) Functional
structure
(b) Divisional structure
(c) Informal structure
(d) None of the above
15. Which of the following is not a merit of divisional structure?
(a) It promotes product specialisation.
(b) It ensures
that different functions get due attention.
(c) It promotes flexibility and faster decision making.
(d) It facilitates expansion and growth as new divisions.
16. Which of the following is not a demerit of divisional structure?
(a) It is an expensive structure to maintain, since there may be a duplication of activities across products.
(b) All functions
related to a particular product are integrated in one department.
(c) Conflict may arise among different divisional heads due to different interests.
(d) Authority provided to the managers to supervise all activities related to a particular division may lead to undesirable consequences.
17. Identify the correct sequence of steps to be followed in an organising process.
(a) Departmentalisation, Establishing reporting relationships, Assignment of duties, Identification and division of work
(b) Identification
and division of work, Departmentalisation, Assignment of duties, Establishing
reporting relationships
(c) Identification and division of work, Assignment of duties, Departmentalisation, Establishing reporting relationships
(d) Identification and division of work, Establishing reporting relationships, Departmentalisation, Assignment of duties
18. Which of the following is not a demerit of functional structure?
(a) It places more emphasis on the objectives pursued by a functional head than on overall enterprise objectives.
(b) It may lead to conflict of interests among departments due to varied interests.
(c) It leads to
occupational specialisation.
(d) It may lead to difficulty in co-ordination among functionally differentiated departments.
19. Lakshay has been given the task of arranging for five-day conference for foreign delegates. In order to ensure smooth functioning of the event, he has made two people as co-ordinators to take care of activities related to registration and refreshment. Identify the function of management being carried out by Lakshay.
(a) Planning
(b) Staffing
(c) Organising
(d) Directing
20. Which of the following is not a feature of formal organisation?
(a) It specifies the relationships among various job positions.
(b) The standards
of behaviour of employees are evolved from group norms.
(c) It is deliberately designed by the top management.
(d) It places less emphasis on interpersonal relationships among the employees.
21. Which of the following is not a merit of formal organisation?
(a) It is easier to fix responsibility for mistakes.
(b) Scalar chain of command is followed.
(c) It leads to effective achievement of organisational goals.
(d) It leads to
faster spread of information and rapid feedback.
22. Which of the following is not a demerit of formal organisation?
(a) It may lead to procedural delays.
(b) It may lead to
spreading of rumours.
(c) It emphasises on following rigidly laid down policies.
(d) It places more importance on work rather than the relationships.
23. Which of the following is not a feature of informal organisation?
(a) It originates from within the formal organisation.
(b) The standards of behaviour evolve from group norms.
(c) Scalar chain of command is not followed.
(d) It is
deliberately created by the management.
24. Which of the following is not a merit of informal organisation?
(a) It leads to faster spread of information and speedy feedback.
(b) It helps to fulfill the social needs of the members.
(c) It does not
fulfill inadequacies in the formal organisation.
(d) All of the above
25. Which of the following is not a demerit of informal organisation?
(a) It leads to spreading of rumours.
(b) It gives more
importance to structure and work.
(c) It may restrict implementation of changes within the organisation.
(d) It puts psychological pressure on members to conform to group expectations, even if they are against the interest of organisation.
26. Which of the following is not an element of delegation?
(a) Responsibilty
(b) Authority
(c) Accountability
(d)
Decentralisation
27. It arises from the established scalar chain which links the various job positions and levels of an organisation.
(b) Authority
(d) All of the above
(b) Top to bottom
(d) None of the above
28. The authority flows from as we go higher up in the management hierarchy.
(a) Bottom to top
(b) Decreases
(c) In all directions
(d) None of the above
29. The scope of authority _________ as we go higher up in the management hierarchy.
(a) Increases
(b) Decreases
(c) Remains same
(d) None of the above
30. It is the obligation of a subordinate to properly perform the assigned duty.
(a) Responsibility
(b) Authority
(c) Accountability
(d) All of the above
31. The responsibility flows
(a) In all directions
(b) Downwards
(c) Upwards
(d) None of the above
32. Authority granted to an employee should be
(a) More than the responsibility entrusted to him
(b) Less than the responsibility entrusted to him
(c) Equal to the
responsibility entrusted to him
(d) All of the above
33. It helps the managers to ensure that their subordinate discharges his duties properly.
(a) Responsibility
(b) Authority
(c) Accountability
(d) All of the above
34. The accountability flows
(a) In all directions
(b) Downwards
(c) Upwards
(d) None of the above
35. Which of the following can be delegated?
(a) Responsibility
(b) Authority
(c) Accountability
(d) All of the above
36. Which of the following cannot be delegated?
(a) Responsibility
and accountability
(b) Authority and responsibility
(c) Accountability and responsibility
(d) All of the above
37. Authority arises from
(a) Responsibility
(b)Formal position
(c) Accountability
(d) All of the above
38. Responsibility is derived from
(a) Authority
(b)Formal position
(c) Accountability
(d) All of the above
39. Accountability is derived from
(a) Authority
(b) Formal position
(c) Responsibility
(d) All of the above
40. When decision-making authority is retained organisation is said to be by higher management levels, an
(a) Decentralised
(b) Centralised
(c) Fragmented
(d) None of the above