Target Exam

CUET

Subject

Business Studies

Chapter

Principles of Management

Question:

Read the following passage carefully and answer the questions given below.

Ashima completed her MBA from Sriram college in Delhi. She wanted to expand her family business of bakery products chain named 'Anmol bakers'. She was very influenced by the Principles and Techniques of Scientific Management, and she wanted to apply them in her business expansion.

Her main objective was to reduce the costs with increased output. To begin with, she wanted to develop a standard method which would be followed throughout the organization. So, she investigated traditional methods through work study and unified the best practices. The standard method, i.e. the best way of doing the job was then developed, taking into consideration all parameters right from the availability of raw materials till the final delivery to the customers. Ashima also believed that the employees in the organization should be scientifically selected and that adequate training for the employees should also be given to increase their efficiency. For this, she set up a training unit named 'Perfectionists' in Sonipat where employees were given the required training to increase their efficiency and learn the best method. At the factory, the ingredients making up bakery products were strategically placed to reduce the time taken for excess movements. The standard time and other parameters were determined on the basis of work study and Ashima rewarded the employees for meeting the standard output. Now, 'Anmol Bakers' has standardized processes, raw materials, time, machinery, product and working conditions that ensure the food they deliver to their customers has the same high standard of excellence and level of quality in every chain or franchise.

"Anmol Bakers' has defined processes that ensure the food they deliver to their customers has the same level of quality in every chain or franchise". Which of the following technique of scientific management is stated here?

Options:

Standardisation of work

Simplification of work

Time study

Differential piece wage system

Correct Answer:

Standardisation of work

Explanation:

The correct answer is Option (1) → Standardisation of work

Standardisation of work is a technique of scientific management that aims at setting uniform standards for raw materials, machinery, processes, and working conditions so that consistency in quality and performance is achieved. In the passage, it is clearly stated that “Anmol Bakers has standardized processes, raw materials, time, machinery, product and working conditions that ensure the food they deliver to their customers has the same high standard of excellence and level of quality in every chain or franchise.” This directly reflects the principle of standardisation of work.

Why the other options are incorrect:

Option 2: Simplification of work. Simplification means eliminating unnecessary varieties, reducing complexity, and producing only the most essential and efficient products. Its main purpose is to reduce cost and effort by avoiding wastage. However, the passage does not talk about reducing product lines or removing unnecessary tasks; it is about maintaining the same quality across all franchises. Hence, this option is not correct.

Option 3: Time study. Time study refers to scientifically determining the standard time required to perform a task efficiently. It is used to fix performance standards and plan workloads. While the passage does mention that standard time was fixed based on work study, the specific line in question is about maintaining uniform quality of bakery products, which is not the purpose of time study. Therefore, this option is not correct.

Option 4: Differential piece wage system. The differential piece wage system is a wage payment technique where workers who achieve or exceed the standard output are paid higher wages, while those who fail to meet the standard are paid lower wages. This is designed to motivate employees to increase efficiency. The statement in the passage is not about wage payment or incentives; it is about standardisation of processes. Thus, this option is not correct.