One of the significance of Principles of Management is “Decisions must be based on facts, thoughtful and justifiable in terms of the intended purposes. They must be timely, realistic and subject to measurement and evaluation.” Identify the correct option which reflects the above statement:
Answer & explanation
Correct answer: option 3
The correct answer is Option (3) → Scientific decisions
Option (1) Providing managers with useful insights into reality — Incorrect. This significance is about the principles giving managers a better understanding of real situations, so that they can learn from past mistakes.
Option (2) Optimum utilisation of resources and effective administration — Incorrect. This significance is about using men, material and money in the best way and keeping personal bias out of administration.
Option (3) Scientific decisions — Correct. Principles help managers take decisions that rest on facts, can be justified by their purpose, and can be measured and checked later. Such decisions are free from bias.
Option (4) Meeting changing environment requirements — Incorrect. This significance is about principles being flexible enough to help managers adjust to changes in the environment.
NCERT (2026-27 Edition): “(iii) Scientific decisions: Decisions must be based on facts, thoughtful and justifiable in terms of the intended purposes. They must be timely, realistic and subject to measurement and evaluation. Management principles help in thoughtful decision-making. They emphasise logic rather than blind faith. Management decisions taken on the basis of principles are free from bias and prejudice. …” |