Business Studies

Principles of Management

Easy

After completing her Bachelor's in Fashion Designing from a well known college in London, Aahana opened a boutique in a posh market in Delhi. She divided the work into smaller units and each employee was well-trained to perform his/her work efficiently. The sales persons are allowed to close a deal with the buyers by giving a maximum of 5% discount. Whereas the decision to give any further discount rests with Aahana as the final authority.

In the earlier period of her business venture, employees were asked to put in extra hours of work. In return, she had promised to give them a special incentive within a year. Therefore, when the business was doing well, she honored her commitment by giving a bonus to her employees. She also instructed employees that communication from top to bottom should follow the official lines of command.

However, she tends to be more biased towards her female employees when it comes to resolving conflicts among employees.

"She tends to be biased towards female employees when it comes to resolving conflicts among employees." Which principle is being violated here?

Discipline

Order

Equity

Unity of Direction

✅ Correct Option: 3

Option 1 -> Discipline refers to obedience, respect for authority, and following organizational rules. Bias in conflict resolution doesn't directly violate this principle.

Option 2 -> Order means having the right resources in the right place and the right person in the right job. This principle is about organizational arrangement, not fair treatment.

Option 3 -> Equity requires managers to be fair, just, and impartial to all employees without discrimination. Showing bias towards female employees violates equal and fair treatment for all.

Option 4 -> Unity of Direction means activities with similar objectives should be under one manager with one plan. This relates to organizational structure, not impartial treatment.

Hence, Option 3: Equity -> When a manager shows bias towards female employees in conflict resolution, they are not treating all employees fairly and equally, which directly violates the principle of equity that demands justice and impartiality in dealing with all employees regardless of gender or other factors -> correct

Question 41

"The sales persons are allowed to give a maximum of 5% discount, whereas the decision to give an extra discount rests with Aahana".

Identify the Principle of Management highlighted here.

Question 42

"She instructed employees that communication from top to bottom should follow the official lines of command". Identify the Principle of Management here.

Question 43

"She divided the work in smaller units and each employee is well trained to perform his/her work efficiently".

Which Principle of Management is followed here?

Question 45

"When the business was doing well, she honored her commitment by giving a bonus to her employee". Identify the Principle of Management here.

"She tends to be biased towards female employees when it comes to resolving conflicts among employees." Which principle is being violated here?

Solution

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