Practicing Success

Target Exam

CUET

Subject

Business Studies

Chapter

Principles of Management

Question:

Match the following LIST I with its related principle in LIST II

LIST I LIST II
A) Each group of activities having same objective
must have one head and one plan
I) ) Scalar Chain
B) Fair wages give them at least a
reasonable standard of living
II) Subordination of Individual Interest to General Interest
C) The interests of an organisation should take
priority over the interests of any one individual employee
III) Remuneration of Employees
D) The formal lines of authority from
highest to lowest ranks 
IV) Unity of Direction

 

Options:

A-I, B-III, C-IV, D-II

A-IV, B-III, C-II, D-I

A-IV, B-III, C-I, D-II

A-II, B-III, C-IV, D-I

Correct Answer:

A-IV, B-III, C-II, D-I

Explanation:

A) Each group of activities having same objective must have one head and one plan- Unity of Direction: All the units of an organisation should be moving towards the same objectives through coordinated and focussed efforts. Each group of activities having the same objective must have one head and one plan. This ensures unity of action and coordination.

B) Fair wages give them at least a reasonable standard of living- Remuneration of Employees: The overall pay and compensation should be fair to both employees and the organisation. The employees should be paid fair wages, which should give them at least a reasonable standard of living. At the same time it should be within the paying capacity of the company. In other words, remuneration should be just and equitable. This will ensure congenial atmosphere and good relations between workers and management. Consequently, the working of the company would be smooth.

C) The interests of an organisation should take priority over the interests of any one individual employee- Subordination of Individual Interest to General Interest: The interests of an organisation should take priority over the interests of any one individual employee according to Fayol. Every worker has some individual interest for working in a company. The company has got its own objectives.

D) The formal lines of authority from highest to lowest ranks- Scalar Chain: An organisation consists of superiors and subordinates. The formal lines of authority from highest to lowest ranks are known as scalar chain. According to Fayol, “Organisations should have a chain of authority and communication that runs from top to bottom and should be followed by managers and the subordinates.