Practicing Success

Target Exam

CUET

Subject

Business Studies

Chapter

Directing

Question:

Answer the questions on the basis of the information given below.

Tina is a Chief Operating Officer in a company. She is responsible for welfare and survival of her organisation, so she continuously make efforts for the upliftment of her organisation. She has started various types of rewards like bonus, co-partnership and job enrichment for those employees who achieve their targets efficiently. Due to this step, her subordinates act in a desired manner to achieve organisational goals. She also applies her ability to maintain good inter personal relations. She does not believe in the use of power unless it is absolutely essential so she give high degree of independence to her subordinates. After all these efforts of Tina her company is growing rapidly.

“She does not believe in the use of power unless it is absolutely essential”.

Identify the leadership style, indicated in the above statement.

Options:

Democratic

Participative

Autocratic

Laissez faire

Correct Answer:

Laissez faire

Explanation:

* Laissez faire or Free-rein leader- Such a leader does not believe in the use of power unless it is absolutely essential. The followers are given a high degree of independence to formulate their own objectives and ways to achieve them. The group members work on their own tasks resolving issues themselves. The manager is there only to support them and supply them the required information to complete the task assigned. At the same time, the subordinate assumes responsibility for the work to be performed.

* Democratic or Participative leader- A democratic leader will develop action plans and makes decisions in consultation with his subordinates. He will encourage them to participate in decision-making. This kind of leadership style is more common now-a-days, since leaders also recognise that people perform best if they have set their own objectives.

* Autocratic or Authoritarian leader- An autocratic leader gives orders and expects his subordinates to obey those orders. If a manager is following this style, then communication is only one-way with the subordinate only acting according to the command given by the manager.