INTERNALS IMPORTANT QUESTIONS (SHUFFLED)

DEFINE MANAGEMENT? LIST THE DIFFERENCE BETWEEN

MANAGEMENT & ADMINISTRATION.
Management is defined as ‘the art of getting things done through people
effectively & efficiently.
“Management is the process involving planning, organizing, staffing, directing
and controlling human efforts to achieve stated objectives in an organization.”
Administration Management
It is a top-level activity. It is a middle level activity.
It consists of owners who invest It is a group of managerial
capital in and receive profits from personnel who use their specialized
an enterprise. knowledge to fulfill the objectives of
an enterprise.
It is concerned about the It puts into action the policies and
determination of objectives and plans laid down by the
major policies of an organization. administration.

It is a determinative function. It is an executive function.

Factors affecting decision Mostly Factors affecting decision Mostly
external internal
It takes major decisions of an It takes decisions within the
enterprise as a whole. framework set by the
administration.
It is popular with government, It is used in business enterprises.
military, educational, and religious
organizations.
Its decisions are influenced by Its decisions are influenced by the
public opinion, government policies, values, opinions, and beliefs of the
social, and religious factors. managers.
Planning and organizing functions Motivating and controlling functions
are involved in it. are involved in it.
It needs administrative rather than It requires technical activities.
technical abilities.
DEFINE SELECTION? EXPLAIN THE CONCEPT OF SELECTION
PROCESS.
Selection: It is the process of choosing and appointing the right candidates for
various job positions in the organization.
In other words, it is the process of choosing from among the pool of the
prospective job candidates developed at the stage of recruitment.

THE SELECTION PROCEDURE INVOLVES

1. Inviting applications:
2. Receiving applications:
3. Scrutiny of applications:
4. Written tests:
5. Psychological tests:
6. Personal interview:
7. Reference check:
8. Medical examination:
9. Final selection:
1. Inviting applications:
The prospective candidates from within the organization or outside the
organization are called for applying for the post. Detailed job description and job
specification are provided in the advertisement for the job. It attracts a large
number of candidates from various areas.

2. Receiving applications:
Detailed applications are collected from the candidates who provide the
necessary information about personal and professional details of a person. These
applications facilitate analysis and comparison of the candidates.

3. Scrutiny of applications:
after receiving the applications the screening committee screens the
applications. Only the candidates who qualify the criteria of the screening
committee are called for the interview. Usually the candidates selected for
interview are four to six times than the number of posts. Interview letter is sent
to them or they are called telephonically. Incomplete applications get rejected;
applicants with un-matching job specifications are also rejected.

4. Written tests:
As the final list of candidates becomes ready after the scrutiny of applications,
the written test is conducted. This test is conducted for understanding the
technical knowledge, attitude and interest of the candidates. This process is
useful when the number of applicants is large.
Many times, a second chance is given to candidates to prove themselves by
conducting another written test.
5. Psychological tests:
These tests are conducted individually and they help for finding out the
indi-vidual quality and skill of a person. The types of psychological tests are
aptitude test, intelligence test, synthetic test and personality test

6. Personal interview:
Candidates proving themselves successful through tests are interviewed
per-sonally. The interviewers may be individual or a panel. It generally involves
officers from the top management.
The candidates are asked several questions about their experience on another
job, their family background, their interests, etc. They are supposed to describe
their expectations from the said job. Their strengths and weaknesses are
identified and noted by the interviewers which help them to take the final
decision of selection.

7. Reference check:
Generally, at least two references are asked for by the company from the
can-didate. Reference check is a type of crosscheck for the information provided
by the candidate through their application form and during the interviews.

8. Medical examination:
Physical strength and fitness of a candidate is must before they takes up the job.
In-spite of good performance in tests and interviews, candidates can be rejected
on the basis of their ill health.

9. Final selection:
At this step, the candidate is given the appointment letter to join the
organization on a particular date. The appointment letter specifies the post, title,
salary and terms of employment. Generally, initial appointment is on probation
and after specific time period it becomes permanent.

EXPLAIN BRIEFLY THE VARIOUS MANAGERIAL SKILLS.

Various skills are
1. Technical skills
2. Communication skill
3. Human relation skill
4. Conceptual skill
5. Conflict handling skills
Various managerial/management skills
 Technical skills (The ability to apply specialized knowledge or expertise)::
This are managers understanding of the nature of the job that people under
 him have to perform. Refers to the person’s knowledge and proficiency in any
type of process or technique.
 Human skills (The ability to work with, understand, and motivate other
people, both individually and in groups):: It is the ability to interact effectively
with people at all levels and the manager sufficient ability to (a) to recognize
the feelings and sentiments of others. (b)to judge the possible reactions to and
the outcomes of various courses of action he amy undertake (c) to examine his
own concepts and values which may enable to more useful attitudes and about
himself.
 Conceptual skills (The mental ability to analyze and diagnose complex
situations):It deals with the ability of manager to take a broad and farsighted
view of organization and its future, ability to think in abstract ability to
analyze the forces working in a particular situation.

EXPLAIN NEO CLASSICAL AND EARLY CLASSICAL APPROACHES.

EXPLAIN IN BRIEF THE IMPORTANCE OF PLANNING.
Importance of planning
1. Planning focus managers to think ahead.
2. it helps to avoid future uncertainties & risks in specific environment
3. Planning is primarily concerned with looking into future. It requires
forecasting the future.
4. Planning involves selection of suitable course of action. It means there are
several ways to achieving objectives.
5. Planning provides directions
6. Planning reduces overlapping and wasteful activities
7. Planning promotes innovative ideas
8. Planning facilitates decision making
9. Planning establishes standards for controlling
10. Having to formulate (forming) plans forces management to articulate clear
objectives.
11. It leads to development of performance standards.
12. Planning makes organization to be better prepared for sudden developments
or changes.
13. Planning is undertaken at all levels of the organization because managers at
all level are concerned with determination of future course of action.
EXPLAIN THE LEVELS OF MANAGEMENT.
1. Top level management
2. Middle level management
3. Low level management
Top management
 It of an organization consists board of directors, chairman and chief
executive officer. Top level management determines goals and objectives.
 It is the highest level in the managerial hierarchy and the ultimate source
of authority in the organization
 it formulates the plans ,policies, strategies & long term objectives of the
firm/company
 It performs overall planning, organizing, staffing, directing and controlling.
 It integrates organization with environment, balances the interest groups
and is responsible for overall results.
Middle management
 It consist of departmental heads, managers, divisional heads so on.
 It stands between top management and supervisory management level.
 They execute/carry out the plan which is formed by top level.
 Defining and discussing information and policies from top management to
lower management; and most importantly
 Inspiring and providing guidance to low-level managers towards better
performance
 Middle level management establishes programs for department and carries
out functions for achieving specific goals.
 The other functions of middle level management are training and
development of employees, integrating various parts of the department

Supervisory/ low level management

 It consists of factory supervisors, superintendents, foremen, sales
supervisors, accounts officers etc.
 Assigning of jobs and tasks to various workers.
 They guide and instruct workers for day to day activities.
 They are responsible for the quality as well as quantity of production.
 They are also entrusted with the responsibility of maintaining good
relation in the organization.
 They communicate workers problems, suggestions, and recommendatory
appeals etc to the higher level and higher level goals and objectives to the
workers.
They help to solve the grievances of the workers
EXPLAIN BRIEFLY THE STEPS IN PLANNING.
Steps in planning
The planning process is different from one plan to another and one organization
to another.
The steps generally involved in planning are as follows:
 Establishing goals/objectives
 Establishing planning premises
 Deciding the planning period
 Identification of alternatives
 Evaluation and selection of alternative
 Developing derivative/supportive plans
 Measuring and controlling the process

Establishing goals/objectives
Objectives are the goals which the management tries to achieve. The objectives
are the end products and all energies are diverted to achieve these goals. Goals
are a thread which binds the whole company. Planning starts with the
determination of objectives. The tie between planning and objectives helps
employees to understand their duties. Objectives are the guides of employees. It
is essential that objectives should be properly formulated and communicated to
all members of the organization.
 Objective specify the expected results and indicate the end points of what is to
be done, where the primary emphasis is to be placed and what is to be
accomplished by the various types of plans.
 Organizational objectives give direction to the major plans, which by
reflecting these objectives define the objective of every major department.
Major objectives, in turn, control the objectives of subordinate departments
and so on down the line. In other words, objectives from a hierarchy.
 The objectives of lesser departments will be more accurate if subdivision
managers understand the overall enterprise objectives and the derivative
goals. Managers should also have the opportunity to contribute their ideal to
setting their own goals and those of the organisation.

Establishing planning premises

 After determination of organisational objectives, the next step is
establishing planning premises that is the conditions under which
planning activities will be undertaken. Planning premises are planning
assumptions the expected environmental and internal conditions.
 Thus planning premises are external and internal. External premises
include total factors in task environment like political, social, technological,
competitors, plans and actions, government policies. Internal factors
include organisation’s policies, resources of various types, and the ability of
the organisation to withstand the environmental pressure. The plans are
formulated in the light of both external and internal factors.
  The nature of planning premises differs at different levels of planning. At
the top level, it is mostly externally focused. As one moves down the
organisational hierarchy the composition of planning premises changes
from external to internal. The major plans both old and new will materially
affect the future against which the managers at lower units must plan.

Deciding the planning period: Some of the planning premises are

controllable and others are non-controllable. Some examples of non-controllable
factors are strikes, wars, natural calamity, legislation etc., Because of the
presence of non-controllable factors; organizations have to revise plans
periodically in accordance with current development.
The controllable factors are availability of resources, skill of managers and labor
etc.,

Deciding the planning period:

Once the long term objectives and planning premises are decided, the next task
is to decide the period of the plan. Some plans are made for a year and in others
it will be decades. Companies generally base their period on a future that can
reasonably be anticipated.
The factors which influence the choice of a period are:
(a) Lead time in development and commercialization of a new product:
An aircraft building company planning to start a new project should have a
planning period of five to ten years where as a small manufacturer of spare parts
who can commercialize his idea in a year or so makes annual plans.
(b) Time required for recovering capital investment or the pay back
period:
The pay back period also influence the planning period.
For example, if a machine costs 50 lakhs and generates cash in flow of Rs. 10
lakhs a year, it has a pay back period of 5 years. Therefore the plans should also
be for at least five years.
(c) Length of commitment already made: The plan period should be long
enough to enable the fulfillment of already made commitments.
For example if a company has agreed to supply goods for five years, it needs to
plan for the same period to fulfill its commitments.

Identification of alternatives

 Various alternatives can be identified based on the organisational

objectives and planning premises. The concept of various alternatives
 suggests that a particular objective can be achieved through various
actions.
 For example, if an organisation has set its objectives to grow further, it can
be achieved in several ways like expanding in the same Field of business or
product line diversifying in other areas, joining hands with other
organisations, or taking over another organisation and so on. Within each
category, there may be several alternatives.
 The most common problem is not finding alternatives but reducing the
number of alternatives so that the most promising may be analysed. Even
with mathematical techniques and the computer, there is a limit to the
number of alternatives that can be thoroughly examined. The planner must
usually make a preliminary examination to discover the most fruitful
possibilities.

Evaluation and selection of alternative

The various alternative course of action should be analysed in the light of
premises and goals. There are various techniques available to evaluate
alternatives. The evaluation is to be done in the light of various factors.
Example, cash inflow and outflow, risks, limited resources, expected pay back
etc., the alternatives should give us the best chance of meeting our goals at the
lowest cost and highest profit.
This is the real point of decision-making. An analysis and evaluation of
alternative courses will disclose that two or more .ire advisable and beneficial.
The fit one is selected.

Developing derivative/supportive plans

After formulating the basic plan, various plan are derived so as to support the
main plan. In an organisation there can be various derivative plans like
planning for buying equipment, buying raw materials, recruiting and training
personal, developing new product etc. These derivative plans are formulated out
of the basic or main plan and almost invariably required to support the basic
plan.

Implementation & control of Plans:

The last step in planning process is the implementation part. The planning
should be put into action so that business objectives may be achieved. The
implementation will require establishment of policies, procedures, standards and
budgets. These tools will enable a better implementation of plan
 EXPLAIN THE DIFFERENT ROLES OF MANAGEMENT.
Roles of Manager or Management
1. Interpersonal role:FLL (figurehead, leader, liaison)
2. Information roles:MSD (monitor, spokeperson, disseminator)
3. Decisional roles:ENDR (entrepreneur, negotiator, disturbance handler,
Resource allocator)
1. Interpersonal role: This role is concerned with his interacting with people
both organizational members and outsiders. There are three types of
interpersonal roles:
Figure head role: In this role manager has to perform duties of
ceremonial nature such as attending social functions of employees, taking
an important customer to lunch and so on.
Leader role: Manager’s leader role involves leading the subordinates
motivating and encouraging them.
Liaison: In liaison role manager serves as a connecting link between his
organization and outsiders. Managers must cultivate contacts outside his
vertical chain to collect information useful for his organization.
2. Information roles: It involves communication. There are three types of
informational roles:
Monitor: In his monitoring role, manager continuously collects information
about all the factors which affects his activities. Such factors may be within
or outside organization.
Disseminator: In the disseminator role, manager possesses some of his
privileged information to his subordinates who otherwise not are in a
position to collect it.
Spokesperson: As a spokesperson manager represents his organization
while interacting with outsiders like customers, suppliers, financers,
government and other agencies of the society.
3. Decisional roles: Decisional role involves choosing most appropriate
alternative among all so that organizational objectives are achieved in an
efficient manner. In his decisional role manager perform four roles:
Entrepreneur: As an entrepreneur, a manager assumes certain risks in
terms of outcome of an action. A manager constantly looks out for new ideas
and seeks to improve his unit by adopting it to dynamic environment.
Disturbance handler: In this role manager works like a fire-fighter
manager contains forces and events which disturb normal functioning of his
organization. The forces and events may be employee complaints and
grievances, strikes, shortage of raw materials etc.
Negotiator: In his role of negotiator, manager negotiates with various
groups in the organization. Such groups are employees, shareholders and
other outside agencies.
EXPLAIN BRIEFLY THE TYPES OF PLAN.
There are 2 types of plans
1. Standing plan ([for repetitive activities]:: Mission, Objectives, Strategies,
Policies, Procedures
2. Single use plan [for non repetitive activities]:: Programmes and Projects,
Budgets.
Single use plans
 This are designed for specific end; Single-use plans are those plans that are
intended to be used only once. They include activities that would not be
repeated and often have an expiration.
 When that end is reached, the plan is dissolved or formulated again for next
end. Examples of such plans are project, budgets, quotas, targets etc. Single
use plans are generally derived from standing plans.
 Creating a monthly budget and developing a promotional advertisement for
the quarter to increase the sales of a certain product are examples of how
Frank would utilize single-use planning.

Programmes:
 A programme is a sequence of activities directed towards the achievement of
certain objectives. A programme is action based and result oriented. A
programme lays down the definite steps which will be taken to accomplish a
given task. It also lays down the time to be taken for completion of each step.
 Programmes are precise plans or definite steps in proper sequence which need
to be taken to discharge a given task.

A budget
 It is a statement of expected results expressed in quantitative terms i.e.
rupees, man hours, product units etc. Since it is a statement of expected
results, it is also used as an instrument of managerial control.
 It provides a standard by which actual operations can be measured and
variation could be controlled

Standing plans
Standing plans are plans that are intended to be used repeatedly in the
organisation.Mission or purpose, strategies, policies, procedures, rules are some
of the most common standing plans.
 It provides guidelines for further course of action and is used over a period of
time. Standing plans are designed for situations that recur often enough to
justify a standardize approach.
 For example a bank designs a standing plan to process a loan application.
  Using this standing plan the bank manager decides whether to approve or
not a loan application depending upon the details furnished by the applicant.
 Once formulated these plans are in operation for a long period unless there is
change in these plans.
Examples of such plans are organizational mission, long term objective,
strategies, policies, procedures and rules.
Mission or purpose
Mission or purpose, that indicates the basic task or purpose of an organization
for which it is created. For example, the mission of a University is to impart
higher education. The mission of garments factory is to produce and sell ready-
made garments and so.

Policies: A policy is a general guideline for decision making. It sets up

boundaries around decisions. Policies channelize the thinking of the organization
members so that it is consistent with the organizational objectives.
According to George R Terry “ Policy is a verbal, written or implied overall guide,
setting up boundaries that supply the general limits and directions in which
managerial action will take place”.
Procedure: A procedure provides a detailed set of instructions for performing a
sequence of actions involved in doing a certain piece of work. A procedure is a list
of systematic steps for handling activities that occur regularly.

Other plans are

Tactical plans: A tactical plan is concerned with what the lower level units
within each division must do, how they must do it, and who is in charge at each
level. Tactics are the means needed to activate a strategy and make it work.
Tactical plans are concerned with shorter time frames and narrower scopes than
are strategic plans. These plans usually span one year or less because they are
considered short‐term goals. Long‐term goals, on the other hand, can take
several years or more to accomplish. Normally, it is the middle manager's
responsibility to take the broad strategic plan and identify specific tactical
actions.
A strategic plan: It is an outline of steps designed with the goals of the entire
organization as a whole in mind, rather than with the goals of specific divisions
or departments. Strategic planning begins with an organization's mission.
Strategic plans look ahead over the next two, three, five, or even more years to
move the organization from where it currently is to where it wants to be.
Requiring multilevel involvement, these plans demand harmony among all levels
of management within the organization. Top‐level management develops the
directional objectives for the entire organization, while lower levels of
management develop compatible objectives and plans to achieve them. Top
management's strategic plan for the entire organization becomes the framework
and sets dimensions for the lower level planning.
Contingency plans: Intelligent and successful management depends upon a
constant pursuit of adaptation, flexibility, and mastery of changing conditions.
Strong management requires a “keeping all options open” approach at all times
— that's where contingency planning comes in. Contingency planning
involves identifying alternative courses of action that can be implemented if and
when the original plan proves inadequate because of changing circumstances.
Keep in mind that events beyond a manager's control may cause even the most
carefully prepared alternative future scenarios to go awry. Unexpected problems
and events frequently occur. When they do, managers may need to change their
plans. Anticipating change during the planning process is best in case things
don't go as expected. Management can then develop alternatives to the existing
plan and ready them for use when and if circumstances make these alternatives
appropriate
DEFINE STAFFING & RECRUITMENT? LIST THE IMPORTANCE OF
STAFFING
Recruitment: It is the process of searching for prospective employees and
stimulating them to apply for jobs in the organization.
Staffing may be defined as the process of hiring and developing the required
personnel to fill in the various positions in the organization. It involves
estimating the number and type of personnel required. It involves estimating the
number and type of personnel required, recruiting and developing them,
maintaining and improving their competence and performance.
Staffing is the process of identifying, assessing, placing, developing and
evaluating individuals at work.
Importance of staffing
Staffing helps in discovering and obtaining competent and personnel for
various jobs.
Helps to ensure optimum utilization of the human resources. By avoiding
over manning. It prevents under- utilization of personnel and high
labour costs. At the same time it avoids interruption of work by indicating
in advance, the shortages of personnel.
Improves job satisfaction and morale of employees through objective
assessment and fair reward for their contribution.
It helps to improve the quantity and quality of the output by putting the
right person on the right job.
It helps to improve job satisfaction of employees.
It facilitates higher productive performance by appointing right man for
right job.
 It reduces the cost of personnel by avoiding wastage of human resources.
It facilitates growth and diversification of business.
It provides continuous survival and growth of the business through
development of employees.

DEFINE PLANNING? BRIEFLY DISCUSS THE NATURE OF

PLANNING.
Planning is that function of the Management/manager in which he decides in
advance what he will do. It involves the selection of objectives, policies,
procedures and programs from among alternatives.“Planning is deciding in
advance what to do, how to do it, when to do it and who is to do it. It bridges the
gap from where we are and to where we want to go. It is in essence the exercise
of foresight”.
The nature/characteristics of planning may be understood in terms of it
being
 Planning is Continuous:
 Planning is Flexibility/dynamic
 Planning is Pervasive
 Planning is Futuristic
 Planning is Rational
 Planning is a Mental Exercise/ Planning as an intellectual process

Flexibility of Planning
Planning is a dynamic function in the sense that the changes and modifications are
continuously done in the planned course of action on account of changes in business
environment. By flexibility of a plan is meant its ability to change direction to adapt to
changing situations without undue cost. The plans must be flexible to adapt to
changes in technology, market, finance, personal and organizational factors. However
flexibility is possible only within limits, because it involves extra cost. Some times the
benefit of flexibility may not be worth the cost.
The plans must be flexible to adapt to changes in
 Technology,
 Market,
 Finance,
 Personnel and Organizational factors.
Pervasiveness of Planning
 Planning is an important function of every manager; he may be a managing
director of the organisation or a foreman in a factory.
 The time spent by the higher-level managers in the process of planning is
comparatively more than the time spent by the middle-level and lower-level
 managers. It is, therefore, clear that all the managers working in an enterprise
have to plan their activities.
 Planning is pervasive (ENVELOPE/CONTAINED) and it extends throughout the
organization. Planning is the fundamental management function and every
manager irrespective of 3 level, has a planning function to perform within his
particular area of activities.
 Top management is responsible for overall objectives and action of the
organization.
 Therefore it must plan what these objectives should be and how to achieve them.
Similarly a departmental head has to devise the objectives of his department
within the organizational objectives and also the methods to achieve them.
Planning: A Rational (Utility/usage) Approach
 Planning is a rational approach for defining where one stands, where one wants
to go in future and how to reach there.
 Rationalist denotes a manager chooses appropriate means for achieving the
stated objectives rational approach fills the gap between the current status and
future status.
 The desired and the current results are usually expressed in terms of objectives,
which can be achieved by an action or set of actions.
 The actions required resources and the rational approach emphasis an
appropriate use of resources.
Open System Approach
 An organization is an open system because it accepts inputs from the environment
and exports output to environment.
 Open system approach indicates that the gap between current and desired status
and the Action required to bridge this gap is influenced by a variety of
environmental economic, legal, political, technological, socio-cultural and
competitive factors.
 These factors are dynamic and change with time. Therefore managers have to take
into account the dynamic features of environment while using open system
approach.
Planning is a Mental Exercise::Planning is known as a mental exercise as it is
related to thinking before doing something. A planner has mainly to think about the
following questions:
(i) What to do? (ii) How to do it? (iii) When to do it? (iv) Who is to do it?
It is an intellectual process and involves creative thinking and imagination.
Wherever planning is done, all activities are orderly undertaken as per plans rather
than on the basis of guess work. Planning lays down a course of action to be followed
on the basis of facts and considered estimates, keeping in view the objectives, goals
and purpose of an enterprise.