Practicing Success

Target Exam

CUET

Subject

Business Studies

Chapter

Principles of Management

Question:

Based on following case study, answer question.

 "Oxlo enterprises" is a renowned name in textile manufacturing Industry. Over the past 2 years the company has scaled to new heights. The management has been grateful to the loyal team of managers and staff. Mr. Sharma, who is the operations head has been very clear about giving work to team mates based on their specialisation and skills. He has also given positional rights to people and often talks to subordinates to perform work and submit it on time. Talking about production department, where Ms. Neeta is departmental head. In her team, work is well distributed till the lower most levels. She makes sure that no gender bias is there and all people are treated equally.

"Oxlo enterprises" follows a system of official communication where each subordinate contacts his/her immediate superior only. One of the best working patterns that exists in the organisation is that everyone and everything can be found at the right place. The whole company works on the ideology of "United we stand" and the culture can be translated by their usage of "We" as a common phrase. As the size of company has tremendously expanded, now the management has hired two new Departmental heads to focus on productivity. One of them has been made "Planning Incharge" and the other one as "Production Incharge". Mr. Padam, who is the Production Incharge, has suggested, an innovative way to improve production of units by workers. He said those workers who produce more units than standard would be paid more money per unit produced.

Mr. Padam also suggested to use standards for performance of both men and machines, so that raw material, time, product, machinery methods on working conditions can perform as per benchmarks.

"Mr. Sharma, who is the operations head has been very clear about giving work to team mates based on their specialisation."

Identify, H. Fayol's principle that Mr. Sharma, has been using.

Options:

Authority and Responsibility

Order

Division of work

Equity

Correct Answer:

Division of work

Explanation:

The correct answer is option (3) : Division of work

Division of Work emphasizes specializing tasks and assigning them to employees based on their skills and experience. Here, Mr. Sharma clearly assigns work to teammates based on their specialization. This suggests he is dividing the overall operations tasks into smaller, specialized tasks for each team member, likely leading to increased efficiency and quality.

Division of Work- Work is divided into small tasks/ jobs. A trained specialist who is competent is required to perform each job. Thus, division of work leads to specialisation. According to Fayol, “The intent of division of work is to produce more and better work for the same effort. Specialisation is the most efficient way to use human effort.” In business work can be performed more efficiently if it is divided into specialised tasks; each performed by a specialist or trained employee. This results in efficient and effective output. Thus, in a company we have separate departments for finance, marketing, production and human resource development etc. All of them have specialised persons. Collectively they achieve production and sales targets of the company. Fayol applies this principle of division of work to all kinds of work – technical as well as managerial. You can observe this principle at work in any organisation like hospital or even a government office.