Target Exam

CUET

Subject

Business Studies

Chapter

Nature and significance of Management

Question:

Which of the following feature is related to the level of top-management?

A) Senior-most executives
B) Chairman, Production manager
C) Integrate diverse elements and coordinate the activities of different departments
D) Responsible for the welfare and survival of the organisation
E) Ensure that their department has the necessary personnel
F) Analyse the business environment

Choose the correct answer from the options given below.

Options:

ACDE

ACDF

ABCDE

ABCDF

Correct Answer:

ACDF

Explanation:

The correct answer is option 2- ACDF.

  • A) Senior-most executives: (Correct) Top management consists of the highest-ranking individuals like the CEO, CFO, and COO.

  • B) Chairman, Production manager: (Incorrect) While the "Chairman" belongs to the top level, a "Production Manager" is a functional head and belongs to Middle-level management.

  • C) Integrate diverse elements and coordinate activities: (Correct) One of the primary roles of top management is to oversee the organization as a whole and coordinate between various departments.

  • D) Responsible for the welfare and survival of the organisation: (Correct) They are accountable to the shareholders and the public for the long-term viability of the company.

  • E) Ensure their department has necessary personnel: (Incorrect) This is a core responsibility of Middle-level management (Departmental Heads).

  • F) Analyse the business environment: (Correct) Top management is responsible for strategic planning, which requires analyzing external factors (economic, legal, social) and their implications for the firm. 

NCERT: Top Management consists of the senior-most executives of the organisation by whatever name they are called. They are usually referred to as the chairman, the chief executive officer, chief operating officer, president and vice-president. Top management is a team consisting of managers from different functional levels, heading finance, marketing etc. For example chief finance officer, vice president (marketing). Their basic task is to integrate diverse elements and coordinate the activities of different departments according to the overall objectives of the organisation. These top level managers are responsible for the welfare and survival of the organisation. They analyse the business environment and its implications for the survival of the firm. They formulate overall organisational goals and strategies for their achievement. They are responsible for all the activities of the business and for its impact on society. The job of the top manager is complex and stressful, demanding long hours and commitment to the organisation."