25 extra multiple-choice questions for Principles of Management (12th Standard Commerce, Samacheer Kalvi), beyond the ones printed in the textbook — each with the correct option highlighted and a clear, worked explanation. Free to read in English and Tamil.
Q1
Since which year have many specialised schools of management been offering master's degrees in business management and administration?
- A. 1947
- B. 1951Correct
- C. 1961
- D. 1971
Explanation. Under the feature 'Separate Discipline', the lesson notes that since 1951 many specialised schools of management offer master's degrees in business management and administration.
Q2
"To manage is to forecast, to plan, to organise, to command, to co-ordinate and to control." Who gave this definition?
- A. Peter F. Drucker
- B. Henry FayolCorrect
- C. F.W. Taylor
- D. Louis A. Allen
Explanation. This definition, listing forecasting, planning, organising, commanding, co-ordinating and controlling, is quoted in the lesson from Henry Fayol.
Q3
Peter F. Drucker stresses three jobs of management. Which of the following is NOT one of them?
- A. Managing a business
- B. Managing manager
- C. Managing workers and work
- D. Framing government policiesCorrect
Explanation. Drucker calls management a multipurpose organ with three jobs: managing a business, managing manager, and managing workers and work. Framing government policies is not among them.
Q4
"A professional manager is one who specialises in the work of planning, organising, leading and controlling the efforts of others..." This definition was given by
- A. Louis A. AllenCorrect
- B. Henry Fayol
- C. Peter F. Drucker
- D. Koontz O'Donnel
Explanation. The lesson quotes Louis A. Allen for this definition of a professional manager, who uses classified knowledge, a common vocabulary and principles and follows a code of ethics.
Q5
Why is management described as an inexact science?
- A. Its principles are tested only in a laboratory
- B. It has no principles at all and depends only on skill
- C. Its principles cannot be exactly proved or disproved, as they are flexible to a changing environmentCorrect
- D. It can be fully replaced by computers
Explanation. Unlike pure science tested in a lab, management principles tested in an organisation cannot be exactly proved or disproved because they bend with environment, policies and practical difficulties.
Q6
Find the odd one out among the 4 Ms of management.
- A. Men
- B. Money
- C. Materials
- D. MarketingCorrect
Explanation. The four Ms of management that a manager co-ordinates are men, machines, materials and money. Marketing is a functional area, not one of the four Ms.
Q7
According to the lesson, which phrase now influences market practices in place of 'buyer beware'?
- A. Seller bewareCorrect
- B. Producer first
- C. Consumer beware
- D. Market decides
Explanation. Under 'Code of Conduct', the lesson says 'buyer beware' no longer rules exchange relations; at present 'seller beware' influences market practices, reflecting consumer-oriented marketing.
Q8
Consider the following statements on management and administration:
1. Administration is concerned with policy formulation.
2. Management works at the top level of authority.
3. The key person in administration is the administrator.
4. The function of management is legislative and determinative.
Which of the statements are correct?
- A. 1 and 2 only
- B. 1 and 3 onlyCorrect
- C. 2 and 4 only
- D. 1, 3 and 4 only
Explanation. Administration formulates policy and its key person is the administrator. Management works at the middle and lower levels, and its function is executive and governing; legislative and determinative belongs to administration.
Q9
According to the differences table, the function of administration is
- A. Executive and Governing
- B. Executive and Decisive
- C. Legislative and DeterminativeCorrect
- D. Supervisory and Operative
Explanation. The table gives the function of administration as legislative and determinative, while the function of management is executive and governing.
Q10
In the lesson's example, the Board of Directors together with the CEO/MD may be called
- A. Management
- B. Operative staff
- C. Supervision
- D. AdministrationCorrect
Explanation. The lesson says the Board of Directors with the CEO/MD may be called Administration, while managers of production, marketing, finance and other units may be called Management.
Q11
What are the twin purposes of the management process?
- A. Maximum productivity or profitability, and maximum human welfare and satisfactionCorrect
- B. Maximum sales and minimum wages
- C. Policy formulation and policy implementation
- D. Planning and controlling only
Explanation. The lesson states two purposes of the management process: maximum productivity or profitability, and maximum human welfare and satisfaction.
Q12
Assertion (A): Management is regarded as a social process.
Reason (R): It is directly concerned with the management of human resources to secure cooperation and teamwork.
- A. Both A and R are true and R is the correct explanation of ACorrect
- B. Both A and R are true but R is not the correct explanation of A
- C. A is true but R is false
- D. A is false but R is true
Explanation. Management is a social process because it deals with human resources to win cooperation and teamwork; it is the art of getting things done through other people. So R explains A.
Q13
Management as a cyclical process represents the
- A. buying-selling-profit cycle
- B. input-output-feedback cycle
- C. planning-action-control-re-planning cycleCorrect
- D. selection-training-promotion cycle
Explanation. As a cyclical process, management represents the planning-action-control-re-planning cycle, an ongoing process to attain the planned goals.
Q14
In Taylor's scientific management, 'Rule of Thumb' means
- A. decisions based on scientific enquiry
- B. decisions fixed by government rules
- C. decisions taken by workers' unions
- D. decisions taken by managers as per their personal judgmentsCorrect
Explanation. Rule of Thumb means decisions taken by managers as per their personal judgments. Taylor wanted it replaced by methods developed through scientific analysis of work.
Q15
Which activity did Taylor say, even though small, can be scientifically planned to save time and human energy?
- A. Counting cash in a bank
- B. Weaving cloth on hand looms
- C. Packing tea in boxes
- D. Loading iron sheets into box carsCorrect
Explanation. According to Taylor, even a small production activity like loading iron sheets into box cars can be scientifically planned, saving both time and human energy.
Q16
Which principle of Taylor calls for a complete change in the attitude and outlook of workers and management towards each other?
- A. Science, not rule of thumb
- B. Division of work
- C. Mental revolutionCorrect
- D. Unity of command
Explanation. Mental revolution involves a complete change in the attitude of workers and management towards each other, so that both work with full cooperation and share the gains.
Q17
In many Japanese companies, workers on strike just wear a black badge and work even more than normal hours. This example illustrates Taylor's principle of
- A. Science, not rule of thumb
- B. Development of each and every person
- C. Harmony, not discordCorrect
- D. Stability of tenure
Explanation. The lesson uses the Japanese paternalistic style, with openness between workers and management, to illustrate 'Harmony, not discord', where both work in unison as one family.
Q18
Taylor's principle 'Cooperation, not individualism' is an extension of which other principle?
- A. Science, not rule of thumb
- B. Harmony, not discordCorrect
- C. Mental revolution
- D. Development of each and every person to his or her greatest efficiency
Explanation. The lesson says 'Cooperation, not individualism' extends 'Harmony, not discord', stressing mutual cooperation, confidence and goodwill between workers and management in place of internal competition.
Q19
Henry Fayol, the Father of Modern Management, gave how many major principles of management?
- A. 5
- B. 10
- C. 12
- D. 14Correct
Explanation. According to Henry Fayol, the Father of Modern Management, there are 14 major principles of management that every manager has to practise for the success of the organisation.
Q20
Match the following principles of Fayol with their meaning:
A. Unity of command - 1. Clear line of authority from top to bottom
B. Unity of direction - 2. Team spirit and morale
C. Scalar chain - 3. Orders from one and only one superior
D. Esprit de corps - 4. One plan of action under one manager for related activities
- A. A-3, B-4, C-1, D-2Correct
- B. A-4, B-3, C-1, D-2
- C. A-3, B-4, C-2, D-1
- D. A-1, B-4, C-3, D-2
Explanation. Unity of command means one superior; unity of direction means one plan under one manager; scalar chain is the line of authority from top to bottom; esprit de corps is team spirit.
Q21
The concentration of decision making authority at the top management is called
- A. Scalar chain
- B. Unity of direction
- C. CentralizationCorrect
- D. Order
Explanation. Under Fayol's principle of the degree of centralization, centralization implies the concentration of decision making authority at the top management; the amount depends on company size.
Q22
Under Fayol's principle of Order, material order ensures
- A. safety and efficiency in the workplaceCorrect
- B. fair and reasonable remuneration
- C. obedience and respect of authority
- D. new and better ideas from employees
Explanation. Fayol's principle of Order has two sides: social order ensures the fluid operation of a company through authoritative procedure, and material order ensures safety and efficiency in the workplace.
Q23
The span of management refers to
- A. the number of levels in an organisation
- B. the area of operation of the administration
- C. the period for which a manager holds office
- D. the number of subordinates who can be managed efficiently by a superiorCorrect
Explanation. Span of management is the number of subordinates who can be managed efficiently by a superior, that is, the group of subordinates who report to a manager directly.
Q24
Which of the following is NOT a drawback of a tall organisational structure with a narrow span of management?
- A. More managers have to be employed, so salaries are expensive
- B. Communication suffers with more levels in the hierarchy
- C. Lack of coordination and control, as operating staff are far from the top
- D. Expense on managers' remuneration is savedCorrect
Explanation. Saving on managers' remuneration is a benefit of a wider span, which reduces the number of managers. A narrow span needs more managers, slows communication and weakens coordination.
Q25
'Esprit de corps', one of Fayol's principles, refers to
- A. Team spiritCorrect
- B. Equity
- C. Initiative
- D. Discipline
Explanation. Esprit de corps or team spirit refers to managers developing morale in the workplace; it builds an atmosphere of mutual trust and understanding and helps finish tasks on time.