QA Stacks

Principles of management Question and Answers

Module 1

  1. According to Charles Babbage, which of the following factor plays a significant role in the success of an organization.





  1. Which of the following is not one of the four management approaches that grew out of the first  half of this century?

General approach

System approach

Organizational behavior approach

None of the above

  1. Which of the following phrases is most associated with scientific management?

Management relation

One best way

Supply and demand

Quality control

  1. According to Webers ideal bureaucracy,……… is when people are selected for jobs based on technical qualifications.

Career orientation



Formal selection

  1. Which of the following is not one of Fayos principles of management?

Unity of command



Division of work

  1. Which of the following approaches to management has also been labeled operations research or management science?





  1. Without question, the most important contribution to the developing field of organizational behavior came out of the………

Taylor studies

Fayol studies

Owen studies

Howthore studies

  1. The major contribution of the industrial revolution was the substitution of …………for human power.

Man power


Machine power

Critical thinking

  1. The quantitative approach involves applications of………


Optimization models

Information models

All the above

  1. One outcome of the hawthone studies could be described by which of the following statements?

Social norms or groups standards are the key determinants of individual work behavior

Money is more important that the group on individual productivity

Security is relatively unimportant

Behavior and employee sentiments are inversely related


Module 2

  1. As per--------- viewpoint, management is all about managing people tactfully and getting jobs done through the efforts of people.



4 P

7 M

  1. ------------- is an internal feeling that helps individuals is attaining their personal and professional goals in an efficient manner.





  1. The management process functions consist of----------.

Planning, organizing, staffing, and directing

Planning, organizing, leading and directing

Planning, organizing, leading and controlling

Planning, organizing, leading and staffing

  1. Effectiveness is synonymous with------------


Resourse control

Cost minimization

Goal attainment

  1. ---------- an on-going activity that changes with any changes brought about in any of the function of an organization.





  1. An automobile manufacturer that increased the total number of cars produced at the same cost, but with many defects, would be----------.

Increasing effectiveness

Increasing efficiency

Efficient and effective

Concerned with inputs

  1. ------------ is defined as a system of doing something in an organized manner.


Art as well as science

None of the above



  1. The main steps of the control function does not include establishing performance standards, measuring the actual performance



  1. Aligning social goals with corporate goals is called as CSR



  1. Which managerial style requires good two- way communication and often involves democratic discussion groups, which can offer useful suggestions and ideas


True Authoritative style

Democratic managerial style

Directive managerial style


Module 3

  1. Which one of the following is not considered to be the external factor that affects the business?

Human resourse




  1. Organizations coming together that are engaged in totally related lines of activities comes under which category.

Vertical merger

Horizontal merger

Conglomerate merger

Straight merger

  1. Which one of the following approaches assumes that organizations are integrated systems and exist in totality?

Morden approach

Contingency approach

System approach

Traditional approach

  1. Which one of the following refers to the number of subordinates that can be managed effectively and efficiently by supervisors or managers in an organization?

Span of control

Chain of command



  1. In organization which of the following can be termed as a system as it consists of five independent and interrelated components?


External factors



  1. Diversifying the operations of an organization is called as:

Corporate society responsibility

Corporate resoursing

Corporate restructing

None of the above

  1. In successful organizations,-------------

High efficiency and high effectiveness go hand in hand

High efficiency and high equity go hand in hand

High efficiency and low effectiveness go hand in hand

Low efficiency and high effectiveness go hand in hand

  1. In which of the following organization, the decision- making power are retained in the head office, and all other offices receive commands from the main office?





  1. The main steps of the control function does not include establishing performance standards



  1. Which one of the following involves rules and regulations for guiding the behavior of individuals?

True establishment of a representative professional association

Due regard for the priority of service over the desire for monetary reward

Ethical codes of conduct

None of the above


Module 4

  1. By comparing -------with standards manager can know whether the goals are achieved or not



Actual performance


  1. Making decision on the basis of experience, feeling and accumulated judgment is called------

Decision making

Structured programs

Intuitive decision making

None of the above

  1. What is another name for contingency planning?

Synergy planning

Ad hoc planning

Business level planning

Scenario planning

  1. What is a succession plan

Dismissing an employee for a more favourable employee

A formal process of planning to fill a role that will become vacant

A vote of no confidence in a board member

The formal process of acquiring a new staff member

  1. There is no discernible link between planning and performance. Who is this position held by?

Michael porter

Gary hamel

Milton friedman

Henry mintzberg

  1. What one of the following is not a key management skill in planning?

Conceptual skills

Analytical skills

It and computing skills

Communication skills

  1. What are characteristics of a programmed decision

Complex and risky

Uncertain and non- routine

Low risk and certain

Routine and non- complex

  1. What is the term for a sub-optimal but acceptable outcome of negotiations between parties?





  1. What is intuitive decision making based





  1. Of what is an investment decision an example?

Programmed decision

Routine decision

Management decision

Non- programmed decision


Module 5

  1. _________________ Enables employees  to  understand  their roles and responsibilities and perform accordingly





  1. ________________ is defined as a combination of physical, mental, and moral qualities of individuals reflected in their unique behavior, which separates them from others.





  1. ___________________________ personality believe in working in an environment where clear-cut rules and regulations are being followed.

Conventional personality

Social personality



  1. The directing function of management involves influencing individuals to achieve desired results



  1. The baby boomers involve people who were born between 

1965 to 1976

1946 to 1964

Born before 1946

1977 to 1997

  1. Which  theory tends to link the personality of employees in an organization with its values and culture

Theory of person job fit

Theory of personality job fit

Theory of person- organization fit

Theory of personality organization fit

  1. which of the following trait refers to the ability of a person to be more tolerant and easygoing. 

Openness to experience




  1. Which type of commitment indicates that employees wish to work in an organisation because they feel that it is better to stay in an organisation rather than leaving it

Affective commitment

Continuance commitment


All the above

  1. Which one of the following is not one of the six types of personality traits and their congruent jobs given by Holland 





  1. Openness to experience does not corresponds to the ability of a person to have vivid and clear imagination, intellectual curiosity to know and openness to re-examine the held values




Module 6

  1. Rearrange the six steps of motivation logically.

A Engages in goal-directed behavior.

B. Reassess needs deficiencies

C. Performs D. Identifies needs

E. Searches for ways to satisfy the needs

F. Receives either rewards or punishment





  1. What does "E", "R" and "G" stand for in the ERG theory

Export, risk and guarantee

Exponential, reliability and growth

Existence, relatedness and growth

None of the above

  1. Which of the following is a process theory?

Achievement motivation theory

Performance- satisfaction theory

ERG theory

Two factor theory

  1. Need for affection, belongingness, acceptance, and friendship is a

Social need

Safety need

Security need

Self esteem need

  1. Which of the following is not an important aspect of employee involvement?

Employee motivation

Employee empowerment

Team and teamwork


  1. Which of the following is a need that motivates human behavior as per the achievement motivation theory?




All of these

  1. Which of the following options is a factor which the equity theory is not clear about?

How does a person choose other for comparison?

Carefully explaining to the employees what their roles are

Making sure rewards dispersed are valued by the employees

None of the above

  1. Motivation refers to a process in which an organisation’s management identifies and fulfils the needs of employees to inspire them for achieving a set of pre-determined goals.



  1. First level and second level outcomes, expectancy, valence and instrum achievement motivation theory.



  1. Which one of the following is a feature of McGregor's Theory X?

Workers enjoy responsibility

Workers view physical and mental effort as a natural part of work

Workers like to show initiative

Workers like to be directed


Mid Term

  1. Which one of the following is not one of Drucker's five guiding principles of management?

To operate the organization’s status system.

Making people’s strength effective and their weaknesses irrelevant

Enhancing the ability of people to contribute

Integrating people in a common venture by thinking through, setting and exemplifying the organizational objectives, value and goals

  1. Amit the team manager is intending to increase the skills of his team members at the lower level. According to you which type of skills are to be enhanced so that it has an impact on the success of the team.

Technical skills

Decisional skills

Human skills

Conceptual skills

  1. Amit the team manager is intending to increase the skills of his team members at the lower level. According to you which type of skills are to be enhanced so that it has an impact on the success of the team.

Low paid, unskilled workers running machines began to replace high paid, skilled artisans.

Managers realized the importance of synergistic task.

Managers realized the importance of customer realization.

Skilled jobs are performed at homes rather than in factories.

  1. Ajay a project leader needs to make planning for his upcoming project. He seems to be confused in understanding what would be the last step in setting up an effective plan. Out of the given option which option would you suggest to Ajay.

Maintain flexibility in planning.

Develop long term action plans and goal commitments

Acculturate the employees

Track progress towards goal achievement

  1. Marketers often appeal to consumers' needs as defined by Maslow's hierarchy. A lock manufacturer shows how much protection its locks provide and a cleaning company developed several types of wipes to eliminate concerns about in factious germs. Both marketers are appealing to which need as defined by Maslow?




Physiological needs

  1. According to you which one of the following states that people will be motivated to the extent to which they believe that their efforts will lead to good performance, that good performance will be rewarded, and that they are offered attractive rewards.

Expectancy theory

Reinforcement theory

Equity theory

Goal- setting theory

  1. On the basis of research evidence, the two basic needs categories are

Higher- order and lower- other needs

Tangible and intangible needs

Physiological and psychological needs

Extrinsic and intrinsic needs

Realized and unrealized needs

  1. According to the expectancy theory, in order for people to be highly motivated, which one of the following is to be regarded the most.


Reinforcement usage


Referent power

  1. According to which of the following leadership model occurs when leaders make it clear how followers can achieve organizational goals, take care of problems that prevent followers from achieving goals, and then find more and varied rewards to motivate followers who achieve those goals these leaders are demonstrating.

The path- goal theory

Fiedler’s contingency theory

Blake and mouton’s leadership grid

The vroom- yetton- jago normative decision model

  1. Relatively stable characteristics such as abilities, psychological motives, or consistent patterns of behavior, form the basis for leadership.

Trait theory

Situational theory

Behavioral theory

Expectancy theory

  1. Which of the following statements about the two basic leader behaviors that are central to successful leadership is true?

The worst leadership style entails the use of both behaviors in equal amounts

Behaviors are referred to as initiating structure and consideration

Behaviors are dependent, meaning that leaders can only do only thing at a time

Most effective leaders select one behavior, adopt it, and maintain that style of leader ship for their entire careers.

  1. Planning is ultimately based upon

Choosing a goal and developing a method or strategy to achieve that goal

How a planner deals with bounded rationality

The relationship between organizational line and staff personnel

Whether the mission statement is internally or externally oriented

The personality type of the individual engaged in planning

  1. According to Weber, a bureaucracy _______________________________

Is an exercise of control by virtue of family connections

Should be based on the theory of behavioural reinforcement.

Allows political connections to determine an individual’s power based within organisations.

Relies on scheduled, periodic corrective actions to operate at its most efficient.

  1. One outcome of the Hawthorne studies could be described by which of the following statements?

Social norms or group standards are the key determinants of individual work behaviour

Money is more important than the group on individual productivity.

Behaviour and employee sentiments are inversely related.

Security is relatively unimportant

  1. Which of the following would not be associated with the quantitative approach to management?

Systematic motivation to individuals

Information models

Critical path scheduling

Linear programming


Module 7

  1. Research on leadership made it increasingly clear that predicting leadership success involved _________________.

Something more complex than isolating a few leader traits or preferable behaviors

Proper analysis of leader consideration for people and cocern for production

Hiring managers that could demonstrate and develop trust with workers

Was more complex than a few leader styles

  1. ________________ is not one of the characteristics of Leadership.

Sense of responsibility




  1. Process of directing and molding the thoughts, attitudes and behaviors is called as _________________

Training and development



All of the above

  1. What must a cost-leadership strategy accomplish to be successful?

It must increase the firm’s cost above that of its competitors while offering adequate value.

It must reduce the firm’s cost below that of its competitors while offering superior value

It must reduce the firm’s cost below that of its competitors while offering adequate value

Both A and B

  1. Contingency theories of leadership based upon

That there is no single style of leadership appropriate to all situations

That there is a single style of leadership appropriate to all managers

That there is a single style of leadership appropriate to all situations

None of the above

  1. Model of leadership based on which aspects of a leader’s decision is Vroom and Yetton’s contingency?

Decision acceptance

Decision quality

Both A and B

None of the above

  1. Which of the following is the function of leader

Delegating some part of authority to subordinates

Planning and organizing the tasks of organization

Guiding, teaching and inspiring the subordinates

All of the above

  1. Leaders who perform specific functions, such as marketing, finance, and operations in an organization. Functional-level leaders manage the work at the functional level

Business level

Corporate level

Functional- level leaders

Operational level

  1. Which  of the following are the traits of charismatic leaders

Possess exceptional leadership qualities and some divine power

Have inherent skills that can be altered or enhanced through education, training or development

Remain uninfluenced by situational factors and make use of only inherent skills and qualities for problem- solving

All of these

  1. Tranformational Leaders are




All of the above


Module 8

  1. An Idea generation process that encourages alternatives while withholding criticism is called as

Mutual understanding


Nomical group technique

All of the above

  1. According to the textbook, which of the following groups includes individuals who were born between the years 1946–1964?

The depression group

The world war ll

The baby boomers

Generation X

  1. Which one of the following is not the feature of group dynamics.

Outline the interaction model within the group

Estimates the pressure of other groups

Estimates the pressure exerted by leaders of the group

Facilitates decision- making process of the group

  1. The stage which relates to development of decision making abilities, interpersonal and technical competencies is known as





  1. Groups created by managerial decision in order to accomplish stated goals of the organization is called as

Formal group

Informal group



  1. Which of the following are stimulated by events and people external to themselves. They show their feelings, learn by talking, and work well in groups

Positive personalities



All of the above

  1. Which of the following are not the properties of a group





  1. Which one of the following has the same hierarchical level, but from different work areas or departments.

Cross functional team

Functional team

Self managed


  1. Team effectiveness is always measured on

Clear goals

Relevant skills

Mutual trust

All of the above

  1. Which one of the following is not a reason to form a group






Module 9

  1. Which one of the following describes the differences that exist between the needs, values, and interests of individuals or groups in an organization?




None of the above

  1. Which one of the following may not necessarily be an advantage of coordination?

Effective supervision

Unity of direction

Creative force

Summarization of all management functions

  1. Which one of the following is not one of the characteristics of Negotiation

Identifying the conflict of interest between two or more parties

Following no pre- determined set of rules and procedures to resolve the conflict

Trying to a disagree with the procedures and interest of the agreement

All of the above

  1. Which one of the following is the main component of communication?




All of the above

  1. Coordination becomes easy when individuals acknowledge that all factors in a situation are reciprocally related with each other is a principle of?

Principle of direct personal contact

Principle of early coordination

Principle of continuity

Principle of reciprocal relationship

  1. Which one of the following conflict indicates that there can be conflict between two functional groups at the same hierarchical level

Horizontal conflict

Vertical conflict

Intra group conflict

Inter group conflict

  1. Which stage of conflict exhibits characteristics, such as actions, reactions, remarks, and statements made by conflicting parties.

Behaviour stage

Outcome stage

Intensions stage

All of the above

  1. Which one of the following is not the outcome of Conflict

Leads to innovations

Draws attention to the areas where attention is requires

Provoke and energies the individual

Distorts the perceptions of individuals, thus, creates a barrier in the overall working of an organisation

  1. Which of the following is a type of communication that flows from lower level to upper level of organizational

Upward communication

Downward communication

Informal communication

Downward communication

  1. This type of communication involves the visual display of information, such as photos, formats, signs, codes, symbols, and designs

Written communication

Visual communication

Non- verbal communication

Verbal communication


Module 10

  1. Personal attributes does not include

Interpersonal and analytical skills, knowledge, and energy level

A strong professional reputation

An ability to have favourable relationships

A degree at which a manager controls tangible and intangible resources.

  1. Which of the following indicates the insufficiency of promotional opportunities. If an organization provides less growth opportunities to its employees, then they tend to indulge in politicking

Narrow opportunities

Lack of trust

Role ambiguity

Performance evaluation

  1. Which one of the following indicated the satisfaction gained by employees when they feel contended with processes and procedures involved in a job and the responsibilities and rewards offered to them

Reward distribution

Good relationship

Both A and B

Intrinsic job satisfaction

  1. Which of the following are the indicator of low morale

Employee unrest


High employee turnover

All of the above

  1. The poor or low morale of employees indicates


Good relationship with co- workers


Intrinsic job satisfaction

  1. Providing fair and equitable remuneration to reduce unrest amongst employees helps in

Improve the morale

Increase employee turnover

Rise in number of accidents

Increase grievances

  1. High Morale and High Productivity indicate

High productivity

Low productivity

Both A and B

None of the above

  1. Which of these situation seems in favour of top management; however, it is a volatile situation that exists for a very short span of time

High morale- low productivity

Low moral- high productivity

High moral- high productivity

Low moral- low productivity

  1. Which one of the following is a disadvantage of centralisation of authority

It speeds up decision making as few people are involved in it

It helps in clearly defining the job- related responsibilities to individuals

It facilitates clear decision making, as it is not required to discuss and depend on general consensus

It increases the dependency of employees on managers for every decision

  1. ________________advantages of decentralisation of authority

It increases the morale and self- confidence of emplooyees

It losses the top level control of the whole organization

It results inlack of coordination and leadership from the top level

It results in the inefficient integration of subunits within an organization


Module 11

  1. This concept of Control Management is based on the belief that if you try to control everything, you may end up controlling nothing

Critical point control

Key result areas

Management by exception

Management by exception

  1. Which of the following is not a process of controlling?

Analyzing deviations

Integrates employees efforts

Taking corrective measures

Setting performance standards

  1. Which of the following is a traditional technique of managerial control?

Personal observation

Breakeven analysis

Budgetary control

All of the above

  1. Write the full form of PERT

Performance evaluation report technique

Personal enquiry retrieving technique

Programme evaluation and review technique

None of the above

  1. Remedial actions taken to prevent deviation in the future is called

Measurement of actual performance

Taking corrective actions

Analyzing deviations

Setting performance standards

  1. Assembling of facilities and personnel for collecting, processing, information that is required by managers is called



Ratio analysis

Management information technique

  1. What will be the corrective action for defective material?

Change in quantity

Change in quality specifications of the material used

Change in price

None of these

  1. The relationship between planning and controlling is

Planning provides the basis for controlling activities.

The causes of deviation as identified by controlling are the basis of effective future planning.

Planning and controlling both are forward- looking and backward- looking

All of the above

  1. Om Prakash has set up a small business unit for the manufacturing of detergent. In order to market the detergent in the local residential areas, he has appointed a team of ten salesmen. Each salesman is expected to sell at least 200 units of the detergent within a week’s time. Identify the point of the importance of controlling being highlighted in the above case.

Controlling helps in judging accuracy of standards

It ensures efficient use of resources.

It helps in improving employee motivation.

It facilitates co- ordination in action.

  1. Which of the following is a technique used for measuring actual performance?

Random sampling

Personal observation

Performance reports

All of the above


Module 12

  1. Inspection, scrap, and repair are examples of ______________

Internal costs

External costs

Costs of dissatisfaction

Societal costs

  1. ______________ is about supplying customers with what they want when they want it.





  1. What does the concept of diversity in the workplace refer to?

Physical differences among employees

Social differences among employees

Historical differences among employees

Managerial differences among employees

  1. The mainstream approach to Diversity Management supports:

The business case

The justice approach

A radical approach to equal opportunities

Affirmative action

  1. The HR function can promote equality and inclusion by:

Employing people of different races

Collecting information about employees gender, race, religion, sexuality and ethnic group

Providing diversity training to all employees

Publishing the organisation’s demographic data

  1. What is the enlightened self-interest model of CSR?

That it is in an organizations own best interest to put itself first rather than its ethics

That it is in an organization’s best interest to consider what a shareholder would want

That it is an organization’s own best interest to act in an ethical way

That it is an organization’s own best interest to follow the legislation and abide by the law

  1. What is Ethics to do with

The wider community


Right and wrong


  1. "Quality is defined by the customer" is

An unrealistic definition of quality

A user based definition of quality

A manufacturing based definition of quality

A product based definition of quality

  1. Which of the following is not a target of Total Quality Management:

Customer satisfaction

Reducing manpower

Continuous cost reduction

Continuous operational improvement

  1. The focal point of all quality control should be:

Price focus

Cost focus

Customer focus

Manufacturing focus


End Term

  1. The Ohio State Leadership Studies revealed _____________ and initiating structure as two major dimensions of leadership behavior:





  1. Which one of the following is the regulatory process of establishing standards that will achieve organizational goals, comparing actual performance to those standards, and then, if necessary, taking corrective action to restore performance to those standards.


Goal- setting



  1. The basic control process of business begins with ____________________________

Either benchmarking or key stoning

The establish of clear standards of performance

The comparison of actual performance to expected performance

Determining what corrective action will be if actual performance does not equal  or exceed expected performance.

  1. The highest level of team autonomy is found in

Self- managing

Self- designing teams

Semi- autonomous work groups

Reciprocal work teams

  1. Team rewards that depend on the key to rewarding team behaviors and efforts

Team performance rather than individual performance

Individual performance

Someone taking the role of group leader

The use of group think

  1. The normative decision theory

States the situation determines what leadership style to use.

Assumes that certain inalienable characteristics determine the most effective leaders.

Helps managers determine how much employee participation should be used in decision making.

Assumes leader behavior can be fitted to sub ordinate characteristics.

  1. Most conflicts have their roots in uncertainty, and negotiation is a way of managing the

Resultant risk




  1. What one of these is not a recognized type of authority?



Line management


  1. What are group norms

Modes of behavior that are acceptable to and shared by group members.

Modes of behavior that are shared by some members of the group.

Modes of behavior that challenge group values and beliefs.

Modes of behavior that are different of those of the other group.

  1. What is the purpose of a 'quality circle'?

Bring together managers and workers to find improvements.

Bring together manager and workers to discuss output.

Bring together managers and workers and workers to review quality of work.

Bring together managers and workers to review targets

  1. Match The Following

A. TQM promotes

1. Small change

B. Kaizen is

2. Continuous improvement

C. Quality circle can solve problems related to

3. Employee participation

D. Quality circle benefit to

4. Employee

A-3, B-1, C-2, D-4

A-1, B-3, C-2, D-4

A-3,B-1, C-4, D-2

A-3, B-2, C-1, D-4

  1. In "Lean" terms, what is the best description of Waste?

Waste is a part of a process and always inevitable

Waste is something you put in the rubbish bin

Waste is the usage of any resource during the process, which is not recognized by the customer as adding value to the product or service they receive.

None of the above

  1. In "Lean" terms, what is the best description of Waste?

Identifying the causes of defects

Removing the causes of defects

Minimizing variability in manufacturing

All of the above

  1. What phase of 5S are we talking about when we regulate; how we color-code our tools, how we use the red tag system, or the approach we take to problem-solving when we have problems with 5S?


Set- in- order


  1.  To attain customer satisfaction, which of the following is mandatory in TQM?

Total employee involvement

Manager involvement

Founder involvement

Co- founder involvement