CBSE Class 12 Business Studies Directing Worksheet Set B

MCQ Questions For Ncert Class 12 Business Studies Directing

Question. Out of the following which is not an example of Noise.
(a) Crossing of a vehicle
(b) Telephone lines going dead in between conversation
(c) Group of people talking nearby
(d) More number of organisational levels

Answer : D

Question. is an Internal Driving Force Experience.
(a) Communication
(b) Motive
(c) Trust
(d) Command

Answer : B

Question. Out of the following, who advocated need— Hierarchy theory in 1943.
(a) Peter F. Drucker
(b) Philip Kotler
(c) Abraham Harold Maslow
(d) Koontz O’ Donnell

Answer : C

Question. One of the following is not an element of Directing.
(a) Communication
(b) Motivation
(c) Leadership
(d) Division of work

Answer : D

Question. Identify a ‘Semantic Barrier’ out of the following—
(a) Rules and Regulation
(b) Technical Jargon
(c) Distrust
(d) Complex organisational structure

Answer : B

Question. Directing is function of menagement.
(a) 3rd
(b) 1st
(c) 4th
(d) 5th

Answer : C

Question. Understanding the forms of symbols or diagrams correctly is known as—
(a) Decoding
(b) Transmission
(c) Encoding
(d) feedback

Answer : A

Question. Bhawna is very bossy and does not listen to any suggestion given by her subordinates. Which type of leader is Bhawna.
(a) Democratic
(b) Autocratic
(c) Laiseez Faire
(d) None of the above

Answer : B

Question. Cheena wants to have her own house. Which type of need is it?
(a) Esteem
(b) Safety
(c) Physiological
(d) Social

Answer : C

Question. Directing action.
(a) Initiates
(b) Ends
(c) Supports
(d) None of the above

Answer : A

Question. Out of the following, identify non-financial incentive.
(a) Bouns
(b) Organisational Climate
(c) Profit sharing
(d) Perquisites

Answer : B

Question. A sense of ownership is provided in one of the following.
(a) Bonus
(b) Perquisities
(c) Co-partnership
(d) Profit-sharing

Answer : C

Fill In The Blanks :

Question. Directing flow from to _.

Answer : Top, bottom

Question. is the process that excites people to work for the attainment of desired objective.

Answer : Motivation

Question. ___ _____ __ refers of the need for affection, belongingness and friendship.

Answer : Social Needs

Question. _ Incentives are effective in case of managers.

Answer : Non-monetary

Question. _ communication is within an organisation but not officially sanctioned.

Answer : Informal

True/False :

Question. Process of communication is never complete without feedback. 

Answer : True

Question. A Supervisor does not facilitates control. 

Answer : False

Question. Esteem needs are needs for respect, outonomy, status, recognition and attention. 

Answer : True

Important Questions For Ncert class 12 Business Studies Directing

Very Short Answer Type Questions :

Question. Ankur is working as a production manager in an organization. His subordinate Saurabh discussed with hi a method o production which will reduce the cost of production. But due to some domestic problems and Ankur‟s mind being pre-occupied he is not in a position to understand the message. Saurabh got disappointed by this. Identify the factor which acts as a communication barrier.
Answer : Lack of attention (Psychological/Emotional Barriers to Communication)

Question. Blue Birds Ltd. Offers to its employees issue of shares at a price which is less than the market price.
(i) Name and explain the type of incentive offered to the employees.
(ii) Explain one more incentive of the same category.
Answer : (i) Co-partnership/Stock option.
(ii) Other incentives:
(a) Pay and allowance,
(b) Bonus.

Question. Rajat a Sales Manager, achieved his sales target one moth in advance. This achievement as displayed on the notice board and the CEO of the Company awarded a certificate for the best performance to him. Name the incentive provided to Rajat.
Answer : The incentive provided to Rajat is – „Recognition‟.

Question. Ayesha Ltd. Assured their employees that in spite of recession no worker will be retrenched from the job.
(i) Name and explain the type of incentive offered to the employees.
(ii) Explain one more incentive of the same category.
Answer : (i) Job security
(ii) Explain one more incentive of the same category.
Employee’s recognition.
Organizational climate.

Question. Prachi is working in an MNC. She has been given an option to buy the shares of the company at an amount less than the market price because of her performance as an incentive. Identify which incentive is being given to her.
Answer : Co-partnership/Stock option.

Question. Mr. John faced lot of problems regarding the policy on teaching. He directly consulted the principal about his problem ignoring the Headmistress who is immediate superior of Mr. John as he feels more free to communicate with principal.
(i) Name the pattern of communication followed by Mr. John.
(ii) State any other two patters.
Answer : (i) Mr. John is following inverted „V‟ pattern.
(ii) Other two pattern: Wheel pattern,
(b) Chain pattern.

Question. ABC Ltd. Is not able to achieve its objective on analyzing, they found that employees were not given their best, so he decided to announce an incentive plain, which offers various incentives to employee workers at different level for achieving their target.
(i) Which element of directing is used by manager?
(ii) Suggest incentive suitable for:
Employees operating at lower level.
Employees operating at higher level.
Answer : (i) Motivation is missing.
(ii) (a) Lower level: offer monetary incentives.
(b) Higher level: non-monetary incentive.

Question. In a company, Mr. Kshitij always explains management policies to workers and brings workers‟ problems to the notice of management. At what post does Mr. Kshitij work in this company?
Answer : Mr. Kshitij is supervisor in the company as he acts as a link between workers and management.

Question. Is directing required at planning stage? Name the element of directing function under which:
(i) the superiors oversee the activities of their subordinates.
(ii) the superiors assure the subordinates that their needs will be taken care of.
(iii) the superior attempts to influence the behavior of people at work towards the realization of specified goals.
(iv) the superior share information with the subordinates in order to reach common understanding.
Answer : No, directing is not required at planning stage since it is an executive function. It initiates action in the organization while other functions of management (planning, organizing, staffing and controlling) just prepare a setting for action.
Supervision
(i) Motivation
(ii) Leadership
(iii) Communication.

Short Answer Type Questions :

Question. Amit and Mikki are working in the same organization but in different departments. One day at lunch time Mikki informed Amit that due to computerization some people are going to be retrenched from the organization.
Name which type of communication is this. State any two limitations of this type of communication.
Answer : Informal Communication Limitations:
The grapevine/informal communication spreads rapidly and sometimes gets distorted. It is very difficult to detect the source of such communication.
It also leads to generate rumours. People‟s behavior is affected by rumours and informal discussion and sometimes may hamper work environment.

Question. Mr. Nath, a recently appointed production manager of Suntech Ltd. Has decided to produce jute bags instead of plastic bags as these are banned by the government. He set a target of producing 1000 jute bags a day. It was reported that the employees were not able to achieve the target. After analysis he found that employees were demotivated and not putting in their best for achieving the target. Mr. Nath‟s beaviour is good towards the employees. His attitude is always positive. So he announced various incentive schemes for the employees like;
Installing award or certificate for best performance.
Rewarding an employee for giving valuable suggestion.
Congratulating the employees for good performance.
Identify the functions of management highlighted in the above paragraph.
State the „incentive‟ under which the employees are motivated.
State any two values which the production manager wants to communicate to the society by his work and behavior.
Answer : Directing and Controlling
Employee recognition programme (non-monetary incentive) Vale:
Sensitivity of environment Good behavior towards employees.

Question. You are working at the middle level of management. Your superior, a top management personnel, sent a message for you which you received and well understood. Is the communication process complete? Give reason.
Answer : No, the communication process is not complete unless and until feedback is given to the superior. Feedback includes all those actions of the receiver indicating that he has received and understood the message of sender. So, I must respond to communication to improve its effectiveness, e. g., by giving a reply to letter, giving reactions to the message, etc.

Question. Rajiv is working as Personal Manager in a company. The specialty of the company is that financial position of all the employees is good. The employees working here are honest punctual and hardworking. The CEO of the company asked him to suggest a method of motivation. The CEO asked him to suggest a method which is happily accepted by all the employees.
Rajiv spoke to many employees in this connection. Some employees suggested give more importance to individual autonomy, another suggested good performance should be appreciated another group suggested to award, certificate, trophies to recognize the good performance. Mr. Rajiv mixed all and suggested a method of motivation to CEO. The CEO happily accepted that and it was immediately implemented. With in few days the company‟s growth rate appeared to have become fast.
Identify the functions of management indicate in the above paragraph.
Which motivation methods were suggested by different group of employees.
Which motivation method combine all the above stated and was suggested by personal manager.
Answer : Directing.
(i) Recognition
(ii) Autonomy
Organizational climate.
(i) Ethical behavior
(ii) Motivating employees
(iii) Taking Suggestions from employing.

Question. NOTICE
A meeting of all supervisors is scheduled on 20th August, 2016
This notice was placed on the notice board in the reception area of XYZ Ltd. But it did not mention clear specification regarding the time of meeting. Which barrier of communication is referred to here? Explain any two other forms of barriers to effective communication under the same category. (5 Marks)
Answer : Badly expressed message (Semantic barriers) – Use of wrong words, omission of needed words, inadequate vocabulary, etc.
Symbols with different meanings: A work may have several meanings. For example, consider these three sentences where the work „value‟ is used:
What is the value of this ring?
I value our friendship.
What is the value of learning compute skills?
Wrong perception by the receiver leads to communication problems.
Faulty translations: Sometimes, the communications originally drafted in one language (say, English) need to be translated to the language understandable to workers (say, Hindi). If the translator is not proficient with both the languages, communication becomes ineffective. .

Question. Prateek is working in a multinational company in Noida. He was running a temperature for the last many days. When his blood was tested, he was found to be positive for malaria. He was admitted in a hospital and a blood transfusion was advised by the doctors as his condition was very serious. One of his colleagues sent a text message to his superior, Mr. B. Chatterjee. Mr. B. Chatterjee immediately sent a text message to the employees of the organization requesting them to donate blood for Prateek. When the General Manager came t o know about it, he ordered for fumigation in the company premises and cleaning the surroundings.
From the above paragraph, quote lines that indicate formal and informal communication.
State any two features of informal communication.
Identify any two values that are being communicated to society in the above case.
Answer : (i) Informal communication: “One of his colleagues sent a text message to his superior, Mr. B. Chatterjee. Mr. B. Chatterjee immediately sent a text message to the employees of the organization requesting them to donate blood for Prateek.”
(ii) Formal communication: “When the general manager came to know about it, he ordered for fumigation in the company premises and cleaning surroundings.”
The features of informal communication are as follows:
The grapevine/informal communication spreads very fast and sometimes gets distorted. It is very difficult to detect the source of such communication.
The two values that are being communicated to the society are:
Humanity Cleanliness

Question. Roshan is the chief of „Khidmat‟ restaurant located in the city of Bangaluru. The place is known for its exquisite Mughlai cuisine especially mutton briyani and kababs. All the food is prepared under Roshan‟s purview. The various activities in the kitchen are initiated in accordance to his instructions. He is very clear and specific in issuing instructions to his subordinates in order to ensure smooth working of the department. He personally oversees the method followed by the chefs for preparation of each dish. He misses no opportunity to praise his subordinates for their good work. All his team members feel very happy and satisfied under his direction. He provides constant guidance to them in order to improve upon its taste and presentation and also encourages them to innovate and be more creative in their work.
In the above context:
Identify the various elements of directing mentioned in the above paragraph by quoting lines from the paragraph.
Describe briefly any two points to highlight the importance of directing as a function of management.
Answer : The various elements of directing mentioned in the above paragraph are as follows:
Communication: „He is very clear and specific in issuing instructions to his subordinates in order to ensure smooth working of the department.”
Supervision: “He personally oversees the method followed by the chefs for preparation of each dish.”
Leadership: “He provides constant guidance to them in order to improve upon its taste and presentation and also encourages them to innovate and be more creative in their work.”
Motivation: “He misses no opportunity to praise his subordinates for their good work.”
The importance of directing as a function of management is described below:
Initiates action: Directing helps to initiate action by people in the organization towards attainment of desired objectives. It is the first execution function of management.
Integrates employees’ efforts: Directing seeks to integrate the individual efforts of employees in the organization towards the realization of the organizational goals.
Helps to realize their potential: Directing provides effective guidance, motivation and leadership to the employees so as to enable them to realize their potential and capabilities. 

Question. Pramod was a supervisor at a „Annapurna Aata‟ factory. The factory was producing 200 quintals of Aata every day. His job was to make sure that the work goes on smoothly and there was no interruption in production. He was a good leader who would give orders only after consulting his subordinates and work out the policies with the acceptance of the group.
Identify and describe the leadership style being adopted by Pramod.
Answer : Democratic style of leadership.
A democratic leader favours decision making by the group. This improves the attitude of the employees towards their jobs and the organization thereby increasing their morale.
Using this style is of mutual benefit – it allows them (subordinates) to become part of the team and helps leaders (seniors) to make better decisions.

Question. Smita had been working as an assistant manager with „Johnson Enterprises‟ for the last ten years. She was very popular amongst her colleagues because of her commitment and dedication towards the work. When the manager senior to her retired, all her colleagues thought that now Smita would be promoted. But to everyone‟s surprise the vacant post was filled by an outsider, Mrs. Rita. Smita felt demoralized and her performance started declining. She would abstain herself often and could not meet her targets.
Mrs. Rita was a good leader, who would not only instruct her subordinates but would also guide and inspire them. She noticed Smita‟s hebaviour and felt that her performance could be improved. She started involving Smita in decision making-issues related to the organization and made her a part of high level joint-management committed. Smita was now punctual in office and her performance started improving.
Identify the function of management being performed by Rita.
Name the element of the above function of management which helped Rita to improve Smita;s behavior.
State any three features of the element identified in (ii) above.
Answer : Directing Motivation Features of motivation:
Motivation is an internal feeling: The urge, desires, aspirations or needs of people, which are internal, influence human behavior.
Motivation produces goal-directed behavior: For example, if the employee is interested in promotion, it helps to produce a behavior to improve performance. Motivation can be either positive or negative: Positive motivation provides positive rewards like increase in pay, promotion, recognition, etc. negative motivation uses negative means like punishment, stopping increments, threatening, etc.

Question. Rahim was working in an enterprise on daily wages basis. It was difficult for him to fulfill the basic needs of his family. His daughter fell ill. He had no money for his daughter‟s treatment. To meet the expenses of her treatment, he participated in a cycle race and won the prize money. The cycle company offered him a permanent pensionable job which he happily accepted.
(i) By quoting the lines from the above para identify the needs of Rahim that are satisfied by the offer of cycle company.
(ii) Also, explain two other needs of Rahim followed by above that are still to be satisfied.
Answer : Needs of Rahim that are satisfied by the offer of cycle company are Physiological and safety/security needs.
„The cycle company offered him a permanent pensionable job‟.
The other needs followed by the above stated needs that are still to be satisfied are:
Affiliation/Belongingness needs: These needs refer to the need for affection, sense of belonging, acceptance and friendship.
Esteem needs: These needs refer to the need for self-respect, autonomy status, recognition, etc.

Question. Y Ltd. Is a bank functioning in India. It is planning to diversify into insurance business. Lately, the government of India has allowed the private sector to gain entry in the insurance business. Previously, it was the prerogative of LIC and GIC to do insurance business. But now with liberalization of the economy and to make the field competitive other companies have been given licences to start insurance business under the regulation of „Insurance regulatory and development Authority‟. Y Ltd. Plans to recruit high quality employees and agents and exercise effective direction to capture a substantial part of life and non-life insurance business.
Identify how the company can supervise its employees and agents effectively.
What financial and non-financial incentives can the company use for employees and agents separately to motivate them?
How can the company ensure that higher order needs i.e., esteem and self actualization as specified by Maslow are met?
How can the company follow formal communication system?
How can informal communication help to supplement formal communication?
Answer : The company will appoint supervisors who will provide on the job training to the employees and agents. They will maintain group unity and ensure that the company gets enough insurance business.
To the employees, the company can give pay and allowances, bonus, retirement benefits, perquisites (e.g., car allowance),recognisation, promotion, job security etc. to motivate them for higher performance.
To the agents, the company can give the following incentives:
Profit sharing
Stock option (i.e., giving company‟s share at a price less than market price)
Productivity linked salary (i.e., higher salary for getting more insurance business)
Participation in decision – making.
By giving recognition, autonomy status, etc. and providing growth and self-fulfillment opportunities, the company ensures that higher order needs-esteem and self actualization needs are met.
The company can follow formal communication system by ensuring that all communication flows through official channels designed in the organization chart (i.e., through Scalar chain).
Information communication network (i.e., grapevine) can be used by the company to transmit information to know he reactions of the employees and agents to the company‟s decisions and policies. Grapevine channels can carry insurance market information rapidly.

Question. A behavior study was done on total of 100 employees of an organization. Group A (of 50 employees) were appreciated by the manager for their work and initiative for new idea. All these employees were given option of flexible working hours and were paid wages at a higher piece rate. On the other hand, Group B (of remaining 50 employees) was criticized for their poor performance. Their increments were stopped and they were paid wages at a lower piece rate.
(a) Identify and explain the feature of motivation highlighted in the above case.
(b) What type of leadership is followed by the manager? Justify your answer.
Answer : Motivation can be either positive or negative. Positive motivation provides positive rewards like increase in pay, promotion, recognition, etc. Negative motivation uses negative means like punishment, stopping increments, threatening, etc.
Autocratic leadership style. The leader‟s following is based on the assumption that reward or punishment both can be given depending upon the result.

Question. Huma is working in a company on a permanent basis. As per job agreement she had to work for 8 hours a day and was free to work overtime. Huma worked overtime, due to which she fell ill and had to take leave from her work. No one showed concern and enquired about her health. She realized that she was fulfilling only some of her needs while some other needs still remained to be fulfilled.
(i) By quoting the lines from the above para, identify the needs of Huma which she is able to fulfil.
(ii) Also explain two other needs of Huma followed by the above needs, which still remained to be satisfied.
Answer : „Huma is working in a company on a permanent basis‟.
According to above line Huma is able to fulfil her following needs:
(a) Physiological needs(b) Safety or Security needs
(ii) Needs of Huma which still remained to be satisfied are:
Affiliation Need: It refers to the need for affection, since to belongingness, acceptance and friendship.
Esteem Need: It refers to the need for self-respect, autonomy, status, recognition and attention

Click below to download practice worksheet for CBSE Class 12 Business Studies Directing Worksheet Set B