Read the following text and answer the following question on the basis of the same.

Divisha is the branch manager of XYZ Handicrafts Pvt. Ltd of the only branch in Delhi. The company’s objective is to promote the sales of Indian handloom and handicraft products. It sells fabrics, furnishings, readymades and household items are made out of traditional Indian fabrics. Divisha decides quantities, variety, colour and texture of all the above items and then allocates resources for their purchase form different suppliers. She appoints a team of designers and crafts people in the company, who developed some prints for bed covers in bright colour on silk. Although the products looked very attractive and impressive, they were relatively expensive on the front of affordability for an average customer. Divisha suggested that they should keep the silk bed covers for special festive occasions and offer the cotton bed covers on a regular basis to keep costs under control. Further, the company asked Divisha to plan the Diwali collection in the month of June itself in the current year. For this purpose, she has to ensure that there is adequate workforce and continuously monitor whether production is proceeding according to plans. Her marketing department also has to be briefed in time to prepare their promotional and advertising campaigns.

'Divisha gives competitive salaries and perks to employees of the company.'

Which objective is fulfilled by Divisha?

Personnel objective

The correct answer is option 3- Personnel objective

Divisha is fulfilling personnel objective by giving employees competitive salary.

Personnel objectives: Organisations are made up of people who have different personalities, backgrounds, experiences and objectives. They all become part of the organisation to satisfy their diverse needs. These vary from financial needs such as competitive salaries and perks, social needs such as peer recognition and higher level needs such as personal growth and development. Management has to reconcile personal goals with organisational objectives for harmony in the organisation. 

OTHER OPTIONS

• Organisational Objectives: Management is responsible for setting and achieving objectives for the organisation. It has to achieve a variety of objectives in all areas considering the interest of all stakeholders including, shareholders, employees, customers and the government. The main objective of any organisation should be to utilise human and material resources to the maximum possible advantage, i.e., to fulfill the economic objectives of a business. These are survival, profit and growth.

• Social objectives: It involves the creation of benefit for society. As a part of society, every organisation whether it is business or non-business, has a social obligation to fulfill. This refers to consistently creating economic value for various constituents of society. This includes using environmental friendly methods of production, giving employment opportunities to the underpreviledged sections of society and providing basic amenities like schools and healthcare, etc., for community.

• Economic objective: The economic objective of a business refers to the goal of achieving financial stability and profitability. This objective is concerned with maximizing the efficient use of resources to generate income, reduce costs, and ensure a favorable return on investment.