Business Studies Support Material 1

Assignment Sheet (Case Studies)

Ch – 1 Nature and Significance of Management
1. Company X is facing a lot of problems these days. It manufactures white goods like washing machines,
microwave ovens, refrigerators and air conditioners. The company’s margins are under pressure and the profits
and market share are declining. The production department blames marketing for not meeting sales targets and
marketing blames production department for producing goods, which are not of good quality for meeting
customers’ expectations. The finance department blames both production and marketing for declining return on
investment and bad marketing.
(a) Which quality of management do you think the company is lacking? Explain briefly.
(b) What steps should the company management take to bring the company back on track?
2. A company wants to modify its existing product in the market due to decreasing sales. You can imagine any
product about which you are familiar.
What decisions/steps should each level of management take to give effect to this decision?
3. A firm plans in advance and has a sound organisation structure with efficient supervisory staff and control
system. On several occasion it finds that plans are not being adhered to. It leads to confusion and duplication of
work. Advise remedy.
4. Volvo Limited’s target is to produce 10,000 shirts per month at a cost of ₹ 100/- per shirt. The Production
Manager achieved this target at a cost of ₹ 90/- per shirt. Do you think Manager is effective? Give one reason.
5. Hero Limited’s target is to produce 10,000 shirts per month at a cost of ₹ 150 per shirt. The production
manager could achieve this target at a cost of ₹ 160 per shirt. Do you think the production manager is
effective? Give one reason in support of your answer.
6. Your grandfather has retired as the director of a manufacturing company. At which level of management was
he working? Different type of functions are performed at this level. State one function.
7. ‘Is Management concerned only with doing the right task, completing activities and achieving goals without
taking into consideration the cost benefit?’ Give reason in support of your answer.
8. Science is a systematised body of knowledge that explains certain general truths or the operation of general
laws’. Based on the statement identify and state the characteristics of management that establish it as a science.
9. ‘Adharshila Vidyalaya’ believes in holistic development of students and encourages team building through a
mix of curricular, co-curricular and sports activities. On its Founders’ Day a stage performance had to be put
up. A committee of ten prefects was constituted to plan different aspects of the function. They all decided to
use recycled paper for decoration. As there was a spirit of unity and harmony and all members supported each
other with mutual trust and belongingness, the programme was systematically planned and executed. Arvind,
one of the prefects, realised that unknowingly the group had applied one of the principles of management while
planning and executing the programme. He was so inspired by the success of the function, that he asked his
father to apply the same principle in his business. His father replied that he was already using this principle.
(a) State any three features of management highlighted in the above paragraph.
(b) Identify any two values which ‘Adharshila Vidyalaya’ communicated to the society.
10. Ashutosh Goenka was working in ‘Axe Ltd.’, a company manufacturing, air purifiers. He found that the profits
had started declining from the last six months. Profit has an implication on the survival of the firm, so he
analysed the business environment to find out the reasons for this decline.
(a) Identify the level of management at which Ashutosh Goenka was working.
(b) State three other functions being performed by Ashutosh Goenka.
11. Rishitosh Mukerjee has recently joined AMV Ltd., a company manufacturing refrigerators. He found that his
department was under-staffed and other departments were not cooperating with his department for smooth
functioning of the organisation. Therefore, he ensured that his department has the required number of
employees and its cooperation with other departments is improved.
(a) Identify the level at which Rishitosh Mukerjee was working.
(b) Also, state three more functions required to be performed by Rishitosh Mukerjee at this level.
12. Hema is one of the most successful managers of her company, ‘Kobe Ltd’. She uses her creativity and
initiative in handling challenging situations at work. The knowledge gained by her during her student days at a
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renowned management institute as well as through her observation and experience over the years is applied by
Hema in a skillful manner in the context of the realities of a given situation. She often reads books and other
literature in various fields of management to keep her knowledge updated.
(a) An aspect of the nature of management is being highlighted in the above description. Identify the aspect.
(b) Explain any three features of the aspect identified in part (a).
13. ‘Mega Ltd.’ was manufacturing water-heaters. In the first year of its operations, the revenue earned by the
company was just sufficient to meet its costs To increase the revenue, the company analysed the reasons of less
revenue. After analysis the company decided:
(i) To reduce the labour cost by shifting the manufacturing unit to a backward area where labour was available
at a very low rate.
(ii) To start manufacturing solar water-heaters and reduce the production of electric water- heaters slowly. This
will not only help in covering the risks, but also help in meeting other objectives too.
(a) Identify and explain the objectives of management discussed above.
(b) State any two values which the company wanted to communicate to the society.
14. XYZ Power Ltd. set up a factory for manufacturing solar lanterns in village as there was no reliable supply of
electricity in rural areas. The revenue earned company was sufficient to cover the costs and the risks. The
demand of lanterns was increasing day by day, so the company decided to increased production to generate
higher sales. For this, they decided to employ people from the nearby villages as very few job opportunities
were available in that area. The company also decided to open schools and creches for the children of its
employees.
(a) Identify and explain the objectives of management discussed above.
(b) Sate any two values which the company wanted to communicate to the society.
15. Aman, Ahmad and Ally are partners in a firm engaged in the distribution of dairy products in Maharashtra
state. Aman is a holder of Senior Secondary School Certificate from Central Board of Secondary Education
with Business Studies as one of his elective subjects. Ahmad had done his post graduation in History and Ally
in dairy farming. One day there was a serious discussion between Ahmad and Ally regarding the nature of
management, Ahn-tad argued that management was a profession. Whereas Ally argued against it saying that
the legal and medical professions are the only professions because they fulfill all the conditions of profession.
Aman on the basis of his knowledge of business studies explained the nature of management as a profession to
Ahmad and Ally. Explain, how Aman would have satisfied both Ahmad and Ally?

16. Kamal, Khan and Devid are partners in a firm engaged in the distribution of dairy products in Madhya Pradesh.
Kamal is a holder of Senior Secondary School Certificate from Central Board of Secondary Education with
Business Studies as one of his elective subjects. Khan had done his post-graduation in Hindi literature and
Devid in Dairy Farming. One day there was a serious discussion between Khan and Devid regarding the nature
of ‘Management as a Science’. Khan argued that Management was not a science whereas Devid was of the
opinion that Management was a science. Kamal intervened and corrected both Khan and Devid about the
nature of Management as a Science with the help of his knowledge of Business Studies.
Explain how Kamal would have been able to satisfy both Khan and Devid.
17. Narayana Computers Ltd. is a leading company in Computer Technology and IT services. The Chief Executive
Officer of the company attributes the success of the company to its managerial team spirit, which have helped
to handle rapid changes in technologies and to transform threats into opportunities. Like any other business
enterprise profits are important for survival and growth of Narayana Computers Ltd. The management of the
company believes that a satisfied employee creates a satisfied customer, who in turn creates profits that leads
to satisfied shareholders. The company has a strong sense of social responsibility. It has set up many
educational institutions in the field of management, engineering and computer education, in which half of the
students are girls.
On the basis of the given information about Narayana Computers Ltd. answer the following questions:
(a) Identify and explain the objectives of the company discussed in the above para. Also quote the lines for the
identified objectives.
(b) Identify any two values which the company is trying to communicate to the society.
18. A.K. Steels Ltd. has decided to contribute to Swacch Bharat Abhiyan by installation of 200 dustbins in Raipur
industrial area. Which objective of management is highlighted by this act of the company?
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19. Three teams of employees of Core Project Ltd. are working at different positions:
(a) Team X is responsible for survival and growth of organisation. Team X continuously keeps a watch over
the business environment with a view of coping with the changes in the business environment. Team X
immediately discusses the change to be brought about in company’s plan.
(b) Team Y explains the policies of superiors to the employees and ensures a touch of cooperation among all
the departments.
(c) Team Z is responsible for maintaining quality and safety standards and minimize the wastage.
Identify the levels of management of Core Project Ltd. at which different teams are designated, by quoting
relevant lines.
20. GenX Fashions is planning to launch casual wearline for college students in a year’s time to extend its product
line. At present the company has reduced the prices of its formal wear by 10% to retain its existing market
share.
Giving suitable reasons, identify the objectives of management which GenX Fashions is fulfilling by
undertaking such activities.
21. After every three months, Mr. Peter, sales manager, offers new trade p schemes to its distributors. He plans to
introduce new varieties of products keeping in n the needs of a customer and promotional schemes from his
competitors. This gives him added advantage over his competitors.
Identify which characteristics of management is reflected in above situation? Explain it briefly.
22. Mr. David, the managing director of H. Zinc Ltd. at times get involved in activities like procurement of raw
material, production and quality control of goods, employee discipline etc.
On the basis of above information, answer the following questions:
(a) Name the level of management which, Mr. David belongs to.
(b) Do you think David must be involved in such activities? Give reason.
(c) List two important functions, Mr. David must perform?
23. Glenmark management outlined its long term strategy and thoughts on medium term prospects. The
management expects its niche US pipeline to drive growth over the next few years while specialty initiatives
should come to forefront from 2019. Company focused on Respiratory, Dermatology and Oncology products
development globally, while tactically looking at other segments relevant to different markets. Glenmark
expects faster approvals and better quality launches to drive 15-20% revenue growth, despite potentially higher
business erosion due to increasing competition. Several interesting products are lined up for launch namely,
Zetia, Azelaic Acid and Epiduo.
On the basis of the given information about Glenmark Ltd. Answer the following questions
(a) Identify the main objectives of the company discussed in the above case. Also quote the lines for the
identified objective.
(b) Identify the function performed by the managers of Glenmark highlighted in the above case. Also quote the
lines for the identified function.
24. Giving suitable reason identify in following situations whether the manager is effective, efficient, both or
neither.
(a) Mr. Allen drafted a well documented and factual report on the financial performance of the company but he
could not present it in the board meeting as he could not complete it on time.
(b) Mr. Albert of Fast couriers assured to deliver an urgent consignment of its regular customer Mr. Alex on 5
April, 2016 and charged extra money from Mr. Alex. But the consignment was delivered on 7 April, 2016.
25. In Uflex Ltd., the purchase department purchaed 200 tonnes of flex sheet for production of flex hoardings
ignoring the requisition of 150 tonnes placed by production department. As a result, there was overproduction
of flex hoardings. The extra hoardings were not accepted by sales department, consequently extra hoardings
remained unsold.
On the basis of the given information about Uflex Ltd. answer the following questions:
(a) Identify the aspect of management which is lacking in the above situation?
(b) Explain the situations when need for this aspect of management arises.
26. Swiss tele-systems is a successful company manufacturing webcams accessories. Since last two months the
profits of the company are declining. The production department blames marketing department for not meeting
revenue target. The Marketing department blames production department for not manufacturing quality
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products. The finance department blames both production and marketing departments for declining
profitability of the company.
On the basis of the given information about Swiss tele-systems, answer the following questions:
(a) Identify the aspect of management which is lacking in above situation?
(b) State three features of the aspect of management identified in question (a)?
27. Texmaco Ltd. aims to manufacture and sell 1,500 locomotives in 2016. To achieve this target the production
department ensures timely production and sales department takes all possible steps to generate maximum
revenue. Due to combined efforts of all the departments, Texmaco Ltd. is able to achieve its sales target.
On the basis of the given information about Texmaco Ltd. answer the following questions:
(a) Which importance of management is highlighted in above situation? Explain any two other points of
significance of management.
(b) Which other aspect of management is necessary to ensure achievement of sales target by Texmaco Ltd?
28. Hazel has been working on the position of senior financial executive in Century Plywood Ltd. On the basis of
her performance and dedication, the managing director of the company decided to promote her to the position
of finance manager of the company.
On the basis of the given information, answer the following questions:
(a) Identify the level of management at which she will be working henceforth.
(b) State any three functions that Hazel will perform at this level.
29. For Proctor and Gamble (P&G) producers of vicks, purpose, values and principles are the foundation for
P&G’s unique culture. Throughout its history of over 170 years, business has grown and changed while these
elements have endured, and will continue to be passed down to generations of P&G people to come.
Company’s purpose unifies personnel in a common cause and growth strategy of improving more consumers’
lives in small but meaningful ways each day. It inspires P&G people to make a positive contribution every day.
P&G brands and P&G people are the foundation of P&G’s success. -
P&G people bring the values to life as company focus on improving, the lives of the world’s consumers. P&G
always try to do the right things with the aim of earning the gains coupled enhancement in goodwill and
customer satisfaction. -
On the basis of the given information about Proctor and Gamble Ltd. answer the following questions:
(a) Identify the main objectives of the company discussed in the above case. Also quote the lines for the
identified objective.
(b) Identify any two values which the company is trying to communicate to the society.
30. Identify the level of management in performing the following tasks with reasons:
(a) Introducing a new product line.
(b) Devising a suitable advertising campaign to sell a new product/service a company is launching.
(c) Conducting performance appraisal of supervisors.
(d) Deciding the capital structure of company.
(e) Recruitment of daily wages labourers.
31. Prime Minister of India, launched the Swaach Bharat Abhiyan and urged all the citizens and business
organisations to actively support it. Keeping this in mind, Armour Helmets Pvt. Ltd. decided to contribute by
installing 500 dustbins in and around major markets of the city.
Which objective of management is the company trying to fulfill by this act?
32. Kitchenking Enterprises, are producers of hand operated grinders. Now with a lot of women in the society
going out for jobs .there is a greater demand for a product which is more efficient and works at a great speed.
On realising this change, the company decided to enter into the market for producing electronically operated
mixers and grinders and food processors. Which level of management will take this decision?
33. The production manager at Smart Laptops Ltd., was assigned a target of producing 5000 laptops in a month.
He had 10 workers under him. Each of these workers was allotted the task of producing 500 laptops each.
During the course of the month, due to severe cold, two workers feel sick. The other workers refused to divide
their work amongst them and concentrated only on the production of their own individual targets of producing
500 laptops. Thus, at the end of the month the group target of 5000 laptops could not be met.
Which characteristic of management is being ignored in the above case?
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34. Management of Supremo Tanks Pvt. Ltd., has installed solar panels for generating electricity to run the machines
and equipments in their premises. Which objective of management is being fulfilled by this act?
35. “The activities involved in managing an enterprise are common to all organisations whether economic, social or
political.” Which characteristic of management is highlighted by this statement?
36. “In order to be successful an organisation must change its goals according to the need of the environment.”
Which characteristic of management in highlighted in the statement?
37. A company’s target production is 5000 units in a year, to achieve this target the manager has to operate in double
shifts due to power failure. The manager is able to meet the target but at a higher production cost.
Is the manager efficient or effective?
38. “A collection of diverse individuals with different needs but working towards fulfilling the common organisational
goals”. This statement highlights which characteristic of management?
39. Identify the functions of the management:
(a) Motivating employees and giving instructions to them to perform the tasks assigned to them.
(b) Recruitment and selection of the personnel.
(c) Finding out deficiencies in implementation of plans.
40. Top level Managers at Konoca Corp. decide to have a meeting with the key employees of the company. The
participants are from different departments across the company. The management decided to target an increase in
the sales of the company by 25% as compared to the previous year. Plans for the implementation of the same are
drawn out and ideas from all are discussed to get the things moving. However, certain situations change in the
external environment and pose a challenge for the company to attain their targets. But the organisation somehow
manages to fight through the adverse situations and manages to attain if e goals. Identify the various
features/characteristics of management highlighted in the situation detailed above?
41. Spectra Ltd. is a highly reputed company having many employees performing different functions at different levels.
A clear hierarchy exists between people and they are bound by it while performing their diverse tasks.
Ms. Ananya is responsible for deciding the overall goals and objectives of the organisation and ensures the welfare
and survival 01 the organisation.
Mr. Shetty ensures the upkeep arid maintenance of machinery and tools, takes care of the quality of output and
prevents any wastage of materials. He also makes sure that safety standards are maintained.
Ms. Rita assigns necessary duties and the responsibilities to the personnel. She motivates then to achieve targets.
Also decides about departmental targets.
At what levels of management are Ms. Ananya, Mr. Shetty and Ms. Rita working?
42. Management at Stella Ltd., took steps to modernise their plants, keeping in tune with the latest technological
developments in environment. To ensure that workers do not feel out of place with the new technology, proper
training facilities are arranged for them. They are thus able to pick up the required skills and are rather happy with
the new and improved machines. Workers are encouraged to share their feedback, suggestions, complaints and
grievances, if any. This motivates the employees to put in their best for goal achievement of the organisation. The
company is also able to supply good quality goods to the members of the society Identify and explain the
importance of management highlighted in the above case.
43. Intello corp. is in the field of providing security alarms for households. It has put in a number of years and has
reached a stage of achieving good profits and growth avenues. The company realises that employees are it’s most
important assets and thus has always provided them with competitive salary and good working conditions. It also
takes care of the society and has opened two hospitals where free treatment is provided to people from poor
families. Is the management of Intello corp. able to fulfill its objectives? Justify your answers.
44. Amit and Kavya, complete their school education together. After that Amit appears and qualifies MBBS entrance
examinations and joins a reputed Medical college to pursue a degree in medicine. After 4 years, he will get a degree
from Medical Council of India and start practicing as a doctor. Kavya had to take over her mother’s business as she
passes away in a tragic accident. She assumes the post of ‘Managing Director’ in the company. Kavya also joins
National Open School to complete her graduation along side.
On the basis of above para, identify and explain the main features of a profession. Also; share your views on
whether management is a profession or not.