Match List-I with List-II:
| List-I (Situation) | List-II (Concept of controlling) | ||
|---|---|---|---|
| (A) | A hotel manager watches the quality of food, on which the hotel’s success depends, more closely than the cost of newspapers. | (I) | Measurement of actual performance |
| (B) | A plant head is told about a rise in power cost only when it goes beyond the 3 per cent allowed in the plan. | (II) | Critical point control |
| (C) | A supervisor sets a worker’s output for the week against the output fixed for that week. | (III) | Management by exception |
| (D) | In a large factory, certain pieces of each batch are checked at random for quality. | (IV) | Comparing actual performance with standards |
Choose the correct answer from the options given below:
Answer & explanation
Correct answer: option 1
The correct answer is Option (1) → (A)-(II), (B)-(III), (C)-(IV), (D)-(I)
| List-I | List-II | Reason |
|---|---|---|
| (A) A hotel manager watches the quality of food, on which the hotel’s success depends, more closely than the cost of newspapers. | (II) Critical point control | Food quality is a key result area on which the hotel’s success depends. So it gets closer control. |
| (B) A plant head is told about a rise in power cost only when it goes beyond the 3 per cent allowed in the plan. | (III) Management by exception | Only significant deviations beyond the permissible limit are brought to the manager’s notice. |
| (C) A supervisor sets a worker’s output for the week against the output fixed for that week. | (IV) Comparing actual performance with standards | Actual output is set against the standard output for the week to reveal any deviation. |
| (D) In a large factory, certain pieces of each batch are checked at random for quality. | (I) Measurement of actual performance | Sample checking is a technique for measuring actual performance in large organisations. |
NCERT (2026-27 Edition): “Step 2: Measurement of Actual Performance … In small organisations, each piece produced may be checked to ensure that it conforms to quality specifications laid down for the product. However, this might not be possible in a large organisation. Thus, in large organisations, certain pieces are checked at random for quality. This is known as sample checking.” “Step 3: Comparing Actual Performance with Standards: This step involves comparison of actual performance with the standard. Such comparison will reveal the deviation between actual and desired results. Comparison becomes easier when standards are set in quantitative terms. For instance, performance of a worker in terms of units produced in a week can be easily measured against the standard output for the week.” “1. Critical Point Control: It is neither economical nor easy to keep a check on each and every activity in an organisation. Control should, therefore, focus on key result areas (KRAs) which are critical to the success of an organisation. These KRAs are set as the critical points. If anything goes wrong at the critical points, the entire organisation suffers. For instance, in a manufacturing organisation, an increase of 5 per cent in the labour cost may be more troublesome than a 15 per cent increase in postal charges.” “2. Management by Exception: Management by exception, which is often referred to as control by exception, is an important principle of management control based on the belief that an attempt to control everything results in controlling nothing. Thus, only significant deviations which go beyond the permissible limit should be brought to the notice of management. Thus, if the plans lay down 2 per cent increase in labour cost as an acceptable range of deviation in a manufacturing organisation, only increase in labour cost beyond 2 per cent should be brought to the notice of the management. …” |