Read the following passage and answer question.
Mr. Avinash has joined as a vice President of a manufacturing unit manufacturing garments. As a vice president, he was given the responsibility of increasing the production and efficiency of workers. He observed that managers relied on their personal judgement while attending to the problems they confronted. So he recommended work study which will result in saving time, effort and increasing efficiency. He also noticed that management was not honouring their commitment. He surveyed the market too. His study of the survey showed that demand can be increased through diversification.
He decided to diversify into footwear and handbags. He created divisions for garments, footwear and handbags and made the divisional managers responsible for performance. Each division is self contained with respect to various functions like production, purchases, finance, marketing etc. Now he decided to fill the various positions created with the right person. For this, he analysed the number and type of workers needed. He got his organisation registered at naukri.com.
Identify the designation level of Mr Avinash in the manufacturing unit.
Answer & explanation
Correct answer: option 1
The correct answer is Option (1) → Top Level
Option (1) Top Level — Correct. Avinash is a Vice President. The top management is usually called the chairman, chief executive officer, chief operating officer, president and vice-president. These managers set the overall goals and strategies for the organisation.
Option (2) Middle Level — Incorrect. Middle management means division heads, for example a production manager. They carry out the plans made by the top managers.
Option (3) Lower Level — Incorrect. Lower level means foremen and supervisors who directly oversee the workers. A vice president is much higher.
Option (4) Operational Level — Incorrect. Operational level is another name for the supervisory level, which is the lowest level. A vice president is not at this level.
Note: The case study is taken from the chapter ‘Principles of Management’, but this question is based on the chapter ‘Nature and significance of Management’. However, since it is a case-study based question, all the questions on this case study are tagged to the chapter the case study is taken from. NCERT (2026-27 Edition): “Top Management: They consist 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. …” |