RBSE Solutions Class 12 Business Studies Chapter 2 Management Process or Functions Man

Get the most accurate RBSE Solutions for Class 12 Business Studies Chapter 2 Management Process or Functions Man here. Updated for the 2026-27 academic session, these solutions are based on the latest RBSE textbooks for Class 12 Business Studies. Our expert-created answers for Class 12 Business Studies are available for free download in PDF format.

Detailed Chapter 2 Management Process or Functions Man RBSE Solutions for Class 12 Business Studies

For Class 12 students, solving RBSE textbook questions is the most effective way to build a strong conceptual foundation. Our Class 12 Business Studies solutions follow a detailed, step-by-step approach to ensure you understand the logic behind every answer. Practicing these Chapter 2 Management Process or Functions Man solutions will improve your exam performance.

Class 12 Business Studies Chapter 2 Management Process or Functions Man RBSE Solutions PDF

 

Question 1. What do you mean by management process?
Answer: The management process involves several steps that begin with planning and end with controlling activities, all aimed at achieving the organization's goals. This process helps keep everything on track to reach desired outcomes efficiently.
In simple words: Management is a series of steps, starting with planning and ending with checking results, to reach company goals.

🎯 Exam Tip: When defining a process, always include its starting point, end point, and primary objective for a complete answer.

 

Question 4. What are the primary functions of management?
Answer: The main jobs of management include:
1. Planning: Deciding what to do and how to do it.
2. Organising: Arranging resources and tasks.
3. Directing: Guiding and motivating employees.
4. Controlling: Making sure things go according to plan.
5. Coordination: Ensuring all parts work together smoothly. These functions are vital for any organization's smooth operation.
In simple words: The main jobs of managers are planning, organizing, guiding, controlling, and making sure everyone works together.

🎯 Exam Tip: Remember these five primary functions as they form the foundation of all management activities and are frequently tested.

 

Question 5. State the meaning of interpersonal role.
Answer: An interpersonal role is when managers build and maintain good relationships with their team members, colleagues, and people outside the organization. This helps create a positive working environment and smooth interactions. It's about connecting with others effectively.
In simple words: An interpersonal role means managers keep good relationships with staff, other managers, and outside people.

🎯 Exam Tip: Emphasize "maintaining cordial relationships" with internal and external stakeholders when defining the interpersonal role.

 

Question 6. What is the important function of management according to Peter F. Drucker?
Answer: According to Peter F. Drucker, innovation is considered the most crucial and main function of management. He believed that constant new ideas and improvements are key for an organization to grow and stay competitive. Without innovation, businesses can fall behind.
In simple words: Peter F. Drucker thought that making new things and ideas (innovation) was the most important job for managers.

🎯 Exam Tip: When quoting a specific thinker, ensure you accurately state their main idea, especially regarding key concepts like "innovation" in management.

 

Question 7. What is the subject matter of Hintzberg's research work?
Answer: Hintzberg's research focused on studying the real-life activities of five top-level executives in an organization. He observed what these leaders actually did day-to-day to understand their roles better. This research helped define managerial roles in a new way.
In simple words: Hintzberg's study looked at what five main bosses in a company actually did every day.

🎯 Exam Tip: Always mention both the focus (actual activities) and the subjects (chief executives) when describing a research study's subject matter.

 

Question 9. What is liasioning role?
Answer: The liaison role involves a manager building and keeping a network of contacts and people who share information, both inside and outside the organization. This network is very important for making sure different departments work well together and for exchanging useful information with outside groups. It acts as a bridge for communication.
In simple words: A liaison role is when a manager builds connections to share information inside and outside the company for better teamwork.

🎯 Exam Tip: Highlight "network of contacts" and "exchange of information" as key components of the liaisoning role.

 

RBSE Class 12 Business Studies Chapter 2 Short Answer Type Questions

 

Question 1. Give two points of importance of management process.
Answer: The management process is important for two key reasons:
• Management is a social activity because it mostly relies on good relationships between people. It needs human interaction to succeed.
• This process of reaching goals can be used by anyone, from individuals to large or small businesses, and even non-business groups. So, it is a process that applies everywhere.
In simple words: Management is important because it relies on human relationships and can be used by any group, big or small, to achieve goals.

🎯 Exam Tip: When discussing the importance, focus on both the "social" aspect (people-centric) and the "universal" aspect (applies everywhere).

 

Question 2. What were the assumptions of Henry Hintzberg's research study?
Answer: Henry Mintzberg researched the top management of five big companies, studying how their executives worked. His research was based on these ideas:
• Managers in an organization hold top-level positions and have the power to make decisions. They are the ones who steer the ship.
• This authority and power help managers build friendly relationships with their colleagues and staff within the organization. Good relationships are built on respect for their position.
• The relationships managers build and their behavior help to show different sides of the managers in the organization. These interactions shape their overall role and impact.
In simple words: Mintzberg's study assumed managers are top leaders with power, use this power to build good relationships, and that these relationships show different sides of their management role.

🎯 Exam Tip: Clearly state each assumption and ensure it reflects Mintzberg's focus on actual managerial behavior and authority.

 

Question 4. Give the functions of supervisory level of management.
Answer: The functions of supervisory level management are:
1. They create daily operating plans that fit within the broader goals set by middle managers.
2. They assign tasks and help employees understand these plans.
3. They check how workers are performing and correct any mistakes.
4. They provide training to employees to improve their skills.
5. They guide the workers and help solve their problems. This level ensures daily operations run smoothly.
In simple words: Supervisory managers make daily plans, assign jobs, check work, train staff, and solve worker problems.

🎯 Exam Tip: Focus on the day-to-day operational aspects and direct interaction with workers when listing the functions of supervisory management.

 

Question 6. List out the secondary functions of management.
Answer: The secondary functions of management include:
1. Staffing
2. Innovation
3. Communication
4. Representation
In simple words: Other important jobs in management are hiring staff, creating new ideas, talking to people, and representing the company.

🎯 Exam Tip: Remember these are secondary functions, meaning they support the primary ones. Listing them clearly is key.

 

Question 7. What do you mean by negotiation?
Answer: Negotiation means to talk and reach an agreement with other people or groups, both inside and outside the organization, in a way that benefits the organization. A manager usually handles this, acting like a go-between to resolve disagreements or conflicts within different organizations. It's about finding a win-win solution.
In simple words: Negotiation is when a manager bargains with others, inside or outside the company, to reach a good deal or solve problems.

🎯 Exam Tip: The core idea of negotiation is reaching a mutually beneficial agreement, often involving conflict resolution, to benefit the organization.

 

Question 8. Who are the middle level executives of an organisation?
Answer: The middle-level executives in an organization usually include:
1. Regional managers
2. Departmental managers
3. Operations managers
4. Plant managers/superintendents
5. Factory heads
6. Area managers
These individuals are responsible for carrying out the plans and policies developed by top management.
In simple words: Middle-level executives are managers like regional, department, operations, plant, factory, and area managers.

🎯 Exam Tip: Be able to identify specific roles that typically fall under middle management, as they are crucial for linking top-level strategy with lower-level operations.

 

Question 9. Show the classification of managerial role with the help of a flowchart.
Answer: Managerial roles are divided into three main types:
A. Interpersonal roles:
• The figurehead role (acting as a symbolic leader)
• Leader's role (motivating and guiding staff)
• Liaison officer's role (connecting with outside groups)
B. Informational roles:
• Monitor's role (watching for information)
• Disseminator's role (sharing information)
• Spokesperson's role (speaking for the organization)
C. Decisional roles:
• Entrepreneur's role (starting new projects)
• Disturbance handler's role (solving problems)
• Resource allocator's role (deciding where resources go)
• Negotiator's role (bargaining with others)
These roles help managers manage their responsibilities effectively.
In simple words: Managers play roles like connecting with people, sharing information, and making decisions.

🎯 Exam Tip: Clearly categorize the managerial roles into interpersonal, informational, and decisional, and list key roles under each for a comprehensive answer.

 

Question 4. Why is there a need of different levels of managerial functions ? Explain the functions performed by the managers at different levels.
Answer: Different levels of management are needed because work, responsibilities, and power are divided among employees from the highest to the lowest levels. This creates a chain of command where superiors and subordinates are linked. It's not possible for the owners alone to manage all business activities and assign tasks to all employees.

Functions of Management Levels:
There are three main levels of management:
1. Top-level management
2. Middle-level management
3. Lower-level management

Functions of Top-Level Management:
1. They set the organization's overall goals and objectives.
2. They work to bring long-term stability to the company.
3. They build and maintain relationships with important external parties (stakeholders).
4. They handle legal matters related to the business.
5. They coordinate all department activities to achieve organizational goals.
6. They ensure high standards of efficiency and economy among employees.

Functions of Middle-Level Management:
1. They explain the organization's policies and plans.
2. They prepare and give instructions for carrying out plans and policies.
3. They train, develop, and motivate the first-line managers.
4. They take part in making first-line decisions.
5. They organize and provide training to supervisors.
6. They submit progress reports and other important data to top management.

Functions of Lower-Level Management:
1. They make daily plans and budgets.
2. They assign jobs and help employees understand plans, procedures, and systems.
3. They provide training to the employees.
This structure ensures that every part of the organization runs smoothly and efficiently.
In simple words: Different management levels are needed to divide work and power. Top managers set goals, middle managers carry out plans, and lower managers oversee daily tasks and workers.

🎯 Exam Tip: When explaining managerial levels, clearly distinguish the responsibilities of each level and provide at least three distinct functions for top, middle, and lower management.

 

RBSE Class 12 Business Studies Chapter 2 Objective Type Questions

 

Question 1. "Process is a systematic way of doing things." It is said by
(a) Sloner
(b) Nyles
(c) Goetz
(d) Henry Hintzberg
Answer: (a) Sloner
In simple words: The idea that a process is an organized way to do things was stated by Sloner.

🎯 Exam Tip: For quote-based questions, accurately recall the name of the person associated with the definition. Memory aids can be helpful.

 

Question 2. "Planning, organising, controlling." This process of management is given by:
(a) Henry Fayol
(b) Luther Gullick
(c) Bruck
(d) Ralf Davis
Answer: (d) Ralf Davis
In simple words: Ralf Davis is the one who described the management process as planning, organizing, and controlling.

🎯 Exam Tip: Different management theorists propose different sets of management functions. Knowing who defined which set is important for objective questions.

 

Question 3. Management functions are of:
(a) four types
(b) three types
(c) two types
(d) None of the options
Answer: (c) two types
In simple words: Management functions are mainly categorized into two kinds.

🎯 Exam Tip: Remember the primary and secondary classifications of management functions. This question refers to that broad categorization.

 

Question 5. "To perform the primary functions, sub-functions or subsidiary functions are done.” These are known as:
(a) secondary functions
(b) primary functions
(c) Both (a) and (b)
(d) None of the options
Answer: (a) secondary functions
In simple words: The extra jobs done to support the main management jobs are called secondary functions.

🎯 Exam Tip: Understand that sub-functions or subsidiary functions are terms used to describe secondary functions that support the main ones.

 

Question 6. Defining the problem is the second step in the process of:
(a) coordination
(b) planning
(c) decision-making
(d) staffing
Answer: (c) decision-making
In simple words: Figuring out the problem is the second part of making a decision.

🎯 Exam Tip: Recall the steps of the decision-making process in order. Problem definition usually follows problem identification or analysis.

 

Question 7. Innovation is the most important and a major function of management. Who said this?
(a) Peter F. Drucker
(b) Henry Fayol
(c) Henry Hintzberg
(d) All of the options
Answer: (a) Peter F. Drucker
In simple words: Peter F. Drucker stated that innovation is the most important job in management.

🎯 Exam Tip: Peter F. Drucker is well-known for emphasizing innovation as a key function of management, so associate this quote with him.

 

Question 9. Managerial roles are of types:
(a) four types
(b) three types
(c) two types
(d) None of the options
Answer: (b) three types
In simple words: There are three main kinds of roles that managers play.

🎯 Exam Tip: Remember Mintzberg's classification of managerial roles into three categories: interpersonal, informational, and decisional.

 

Question 10. Board of Directors/MD is the part of this type of management:
(a) lower level
(b) top level
(c) middle level
(d) None of the options
Answer: (b) top level
In simple words: The Board of Directors and Managing Director belong to the top level of management.

🎯 Exam Tip: Key strategic decision-makers like the Board of Directors or MD always occupy the top level of management.

 

RBSE Class 12 Business Studies Chapter 2 Very Short Answer Type Questions

 

Question 1. Enlist the primary functions of management.
Answer: The main functions of management are:
1. Planning
2. Organising
3. Directing
4. Controlling
5. Coordination
These functions are essential for achieving organizational goals effectively.
In simple words: The main jobs of management are planning, organizing, guiding, controlling, and making sure everyone works together.

🎯 Exam Tip: List these five functions clearly. They are the core pillars of any management process.

 

Question 3. Mention two functions of process of managment.
Answer: Two functions of the management process are:
1. Management is a continuous and dynamic activity, always moving and changing.
2. All management tasks are carried out by managers, making it a human-focused process. It relies heavily on people to get things done.
In simple words: Management is always ongoing and relies on people (managers) to do its jobs.

🎯 Exam Tip: Focus on adjectives like "continuous," "dynamic," and "human-centric" when describing the nature of the management process.

 

Question 4. Enlist the functions of management given by Henry Fayol.
Answer: Henry Fayol identified the following functions of management:
Planning, organising, commanding, coordination and controlling.
Fayol's framework is one of the earliest and most influential in management theory.
In simple words: Henry Fayol said managers plan, organize, command, coordinate, and control.

🎯 Exam Tip: Henry Fayol's functions are foundational; ensure you list all five as he originally stated them.

 

Question 5. Mention the types of management functions.
Answer: There are two main types of management functions:
1. Primary function
2. Secondary function
These categories help organize the various tasks managers perform.
In simple words: Management jobs are split into two types: main jobs and support jobs.

🎯 Exam Tip: Remember the two broad categories: primary functions (core activities) and secondary functions (support activities).

 

Question 6. Enlist the main elements of planning.
Answer: The main elements involved in planning are:
Objectives, policies, methods, techniques, rules, programme strategy, standard time, budget, etc.
These elements define what needs to be achieved and how, ensuring all details are considered. A good plan covers all these aspects.
In simple words: Planning involves setting goals, rules, methods, strategies, times, and budgets.

🎯 Exam Tip: Provide a comprehensive list of planning elements, covering both broad guidelines (policies) and specific details (methods, budget).

 

Question 8. "Management and decision-making are synonymous to each other.” This definition is given by :
Answer: Herbert Simon.
In simple words: Herbert Simon said that management and decision-making are essentially the same thing.

🎯 Exam Tip: Associate Herbert Simon with the idea that decision-making is central to management, often to the point of being interchangeable.

 

Question 9. Define innovation in the words of Peter F. Drucker.
Answer: In the words of Peter F. Drucker, innovation is seen as the most important and a major function of management. This means constantly finding new and better ways to do things is key for a company to succeed and grow. Innovation drives progress and keeps an organization relevant.
In simple words: Peter F. Drucker said that making new things and ideas is the most important part of management.

🎯 Exam Tip: When defining a concept using a specific author's words, make sure to name the author and capture the essence of their view accurately.

 

Question 10. Define communication.
Answer: Communication is the process of sharing views, ideas, facts, information, and feelings between two or more people. It is how messages are sent and understood, which is vital for teamwork and understanding. Clear communication helps avoid misunderstandings.
In simple words: Communication is when people share thoughts, ideas, facts, and feelings with each other.

🎯 Exam Tip: A good definition of communication includes both the "exchange" aspect and the types of content exchanged (views, ideas, facts, feelings).

 

Question 11. How much time does top management spend on planning?
Answer: Top management typically spends approximately 20% of their time on planning activities. This reflects their strategic role in setting the long-term direction for the organization. While it seems low, their planning involves high-level decisions affecting the entire company.
In simple words: Top managers spend about 20% of their time on planning.

🎯 Exam Tip: Remember that top management allocates a significant portion of their time to strategic functions like planning, even if it's not the majority of their day.

 

Question 12. Mention three types of managerial roles.
Answer: The three types of managerial roles are:
1. Interpersonal role (how managers interact with others)
2. Informational role (how managers process and share information)
3. Decisional role (how managers make choices and solve problems)
These categories cover the wide range of duties a manager performs.
In simple words: Managers play three kinds of roles: dealing with people, sharing information, and making decisions.

🎯 Exam Tip: Listing Mintzberg's three broad categories (interpersonal, informational, decisional) is crucial here, even without detailing each sub-role.

 

Question 14. Explain interpersonal roles.
Answer: Interpersonal roles are the duties where managers build and keep good relationships with their team, colleagues, and people outside the organization. They do this because of their official position and power. These connections help managers work smoothly with everyone.
In simple words: These roles are about a manager's relationships with other people, inside and outside the company.

🎯 Exam Tip: When explaining roles, always link the role to its core purpose, like building relationships for interpersonal roles.

 

Question 15. Who spends the maximum time in strategy making?
Answer: Top level management spends the most time making strategies. This is because they are responsible for the overall direction and long-term goals of the entire organization.
In simple words: The people at the very top of a company spend most of their time planning big strategies.

🎯 Exam Tip: Remember that strategy making is a core function of top management, setting the vision for the entire organization.

 

Question 16. Mention the types of managerial level.
Answer: There are three main types of managerial levels in an organization, which help in organizing work and authority. These levels ensure that tasks are delegated and controlled effectively throughout the company.
1. Top level management
2. Middle level management
3. Lower level management
In simple words: Managers work at three main levels: top, middle, and lower.

🎯 Exam Tip: Listing all three levels clearly is key. Briefly understanding each level's main focus helps in remembering them.

 

Question 17. Enlist any two functions of top level management.
Answer: Two key functions of top-level management are setting up the organizational structure and giving out authority. These functions are crucial for ensuring smooth operations and empowering different parts of the company.
1. To set up organizational framework.
2. To delegate and decentralize authority.
In simple words: Top managers create the company structure and decide who has power to do what.

🎯 Exam Tip: Focus on functions that involve overall direction, structure, and major decision-making for top management.

 

Question 18. Define top level management.
Answer: Top-level management refers to the highest group of executives in an organization. These individuals represent the owners and hold the ultimate authority, making all the important decisions that guide the company's direction. They are responsible for the overall performance and success of the organization.
In simple words: Top-level management means the leaders at the highest point of a company who make all the big decisions.

🎯 Exam Tip: A good definition includes who they are (highest executives), their authority (owners' representatives), and their key role (crucial decisions).

 

Question 19. Write any two functions of middle level management.
Answer: Two functions of middle-level management include interpreting and explaining organizational policies and plans, and preparing instructions for their implementation. They act as a link between top and lower management, ensuring plans are understood and carried out.
1. To interpret and explain policies and plans of the organization.
2. To prepare and issue instructions regarding implementation of plans and policies.
In simple words: Middle managers explain company rules and make plans for how to follow them.

🎯 Exam Tip: Middle management functions typically involve translating top-level plans into actionable steps for lower levels.

 

Question 20. Who acts as a midway between the top level management and lower level management?
Answer: Middle level management acts as a bridge between the top-level and lower-level management. They connect the strategic decisions made at the top with the operational execution at the bottom, ensuring smooth communication and implementation across the organization.
In simple words: Middle managers connect the top leaders with the frontline workers.

🎯 Exam Tip: Emphasize their role as a link or bridge in the organizational hierarchy.

 

Question 21. Lower level management is also known as?
Answer: Lower-level management is also known as first-line operational or supervisory level management. These managers are directly responsible for overseeing the daily work of employees and ensuring that tasks are completed efficiently.
In simple words: Lower-level management is also called first-line or supervisory management.

🎯 Exam Tip: Use all common alternative names for full credit, especially "first-line" and "supervisory".

 

Question 22. Write two advantages of coordination.
Answer: Two advantages of coordination are bringing harmony to individual efforts and ensuring unity in employee actions within the organization. Effective coordination helps avoid conflicts and ensures everyone works towards a common goal.
1. To bring harmony in the efforts of individuals.
2. To bring unity in the actions of employees in the organization.
In simple words: Coordination helps everyone work together smoothly and keeps their efforts united.

🎯 Exam Tip: The key concepts for coordination are 'harmony' and 'unity' of efforts.

 

Question 23. Innovation is an important function of management. This statement has been given by:
Answer: This statement, highlighting innovation as a crucial management function, was given by Earnest Dale. He recognized the importance of new ideas and methods for business growth and survival.
In simple words: Earnest Dale said that innovation is a very important part of management.

🎯 Exam Tip: For quote-based questions, accurately recall the name of the person associated with the statement.

 

Question 24. Define process according to Sloner.
Answer: According to Sloner, a process is a systematic way of doing things. This definition emphasizes that activities are carried out in an organized and step-by-step manner to achieve specific goals.
In simple words: Sloner said a process is an organized way to do things.

🎯 Exam Tip: When defining terms by specific authors, ensure the definition is exact or closely aligned with their original wording.

 

Question 25. Define planning according to Goetz.
Answer: According to Goetz, planning is a selection process where planning takes place by discovering alternative ways to complete any work. This means it involves choosing the best path from many possible options.
In simple words: Goetz said planning is like choosing the best way from many options to finish a job.

🎯 Exam Tip: Highlight "selection process" and "alternative ways" as key phrases in Goetz's definition of planning.

 

Question 26. Write two types of decisional roles.
Answer: Two types of decisional roles are the entrepreneur's role and the resource allocator's role. These roles involve making important choices that impact the organization's future and how its assets are used.
1. Entrepreneur's role
2. Resource Allocator's role.
In simple words: Two types of decision-making roles are being an entrepreneur and deciding how to share resources.

🎯 Exam Tip: Decisional roles involve decision-making, so focus on actions related to choices and resource distribution.

 

Question 27. Explain the leader role of manager.
Answer: The leader role of a manager involves activities needed for staffing and keeping productive human resources. In this role, the manager motivates, guides, and supports employees to achieve organizational goals.
In simple words: The leader role means a manager hires and keeps good workers, and helps them do well.

🎯 Exam Tip: Focus on the aspects of motivating, guiding, and developing employees as central to the leader's role.

 

Question 28. How much time does middle level management spend on controlling?
Answer: Middle-level management spends approximately 10% of their time on controlling activities. This involves checking if plans are being followed and taking corrective actions within their departments.
In simple words: Middle managers spend about 10% of their time checking if work is going as planned.

🎯 Exam Tip: Specific percentages for time allocation are direct recall points, so remember the number accurately.

 

Question 29. How much time do lower level managers spend on planning?
Answer: Lower-level managers spend about 5% of their time on planning. Their planning usually involves short-term, day-to-day operational details, rather than long-term strategic plans.
In simple words: Lower-level managers spend very little time (5%) on planning.

🎯 Exam Tip: Understand that planning decreases as you move down the management hierarchy; lower levels focus more on execution.

 

Question 30. Who spends the least time in planning process?
Answer: Lower-level management spends the least time in the planning process. Their main focus is on the daily operations and supervision of employees, with minimal involvement in long-term strategic planning.
In simple words: Lower-level managers spend the least amount of time planning.

🎯 Exam Tip: Always associate lower-level management with minimal planning, as their role is more operational.

 

Question 32. H. Hintzberg is a management thinker from which university?
Answer: H. Hintzberg is a management thinker from MacGill University. His work on managerial roles is widely recognized in the field of business studies.
In simple words: H. Hintzberg, a management thinker, is from MacGill University.

🎯 Exam Tip: Specific facts like university affiliations for prominent figures are important to remember for direct recall questions.

 

Question 33. What is transmission of messages, instructions, orders, suggestions and information at different levels of management known as?
Answer: The transmission of messages, instructions, orders, suggestions, and information at different levels of management is known as communication. Effective communication is vital for an organization's smooth functioning.
In simple words: Sending messages, orders, and information between different management levels is called communication.

🎯 Exam Tip: Define communication by listing its various forms of exchange within the organizational hierarchy.

 

Question 34. Who has given the concept of managerial roles approach?
Answer: The concept of managerial roles approach has been given by Henry Mintzberg and his colleagues. Their research identified specific roles managers play in an organization.
In simple words: Henry Mintzberg and his team created the idea of managerial roles.

🎯 Exam Tip: Remember Henry Mintzberg as the key figure associated with the managerial roles theory.

 

Question 35. Where do Lower level managers spend maximum time?
Answer: Lower-level managers spend the maximum time in leading, which accounts for 55% of their time. This is because they are directly involved in supervising and motivating the operative employees on a daily basis.
In simple words: Lower-level managers spend most of their time (55%) leading their teams.

🎯 Exam Tip: Understand that leading and directing is the primary focus for lower-level managers due to their direct interaction with workers.

 

Question 36. Which is at is the apex level of management?
Answer: Top-level management is at the apex, or highest, level of management. This level includes the most senior executives who make all strategic decisions for the organization.
In simple words: Top-level management is the highest level in a company.

🎯 Exam Tip: The terms "apex level" and "top level management" are interchangeable and refer to the highest authority.

 

Question 37. Monitors role comes in the category of which managerial role?
Answer: The monitor's role comes under the category of informational roles. In this role, the manager gathers and receives information about the organization and its environment.
In simple words: The monitor's role is part of informational roles.

🎯 Exam Tip: Relate "monitor" directly to "information" as managers are constantly scanning for data.

 

Question 39. CEO/Chairman/General manager comes in the category of which level of management?
Answer: CEO, Chairman, and General Manager fall into the category of top-level management. These roles are critical for setting the overall direction and strategic goals of the entire organization.
In simple words: CEOs, Chairmen, and General Managers are all part of top-level management.

🎯 Exam Tip: Recognize these titles as indicators of top-level leadership and decision-making authority.

 

Question 40. Operations manager/Regional manager comes in the category of which level of management?
Answer: Operations Manager and Regional Manager come under the category of middle-level management. They bridge the gap between top management's strategies and lower management's day-to-day execution, overseeing specific departments or regions.
In simple words: Operations managers and regional managers are middle-level managers.

🎯 Exam Tip: Identify these roles as those that implement strategic plans and supervise lower-level managers.

 

Question 41. Define supervision management in the words of R. C. Davis.
Answer: According to R. C. Davis, supervision management refers to managers who provide operational leadership and whose main function is to personally monitor and give instructions to the working employees. This highlights the direct oversight and guidance given to the workforce.
In simple words: R. C. Davis said that supervision management is when managers lead and directly guide employees doing the work.

🎯 Exam Tip: Key phrases for Davis's definition are "operational leadership" and "personally monitor and give instructions".

 

Question 42. Who are responsible for the implementation of the operational plans developed by middle managers?
Answer: The first-line managers are responsible for implementing the operational plans developed by middle managers. They ensure that these plans are carried out on a daily basis by the direct workforce.
In simple words: First-line managers are in charge of carrying out the plans made by middle managers.

🎯 Exam Tip: Understand that first-line managers are at the execution level, directly supervising the workforce.

 

Question 43. How many steps does controlling process have?
Answer: The controlling process typically has 5 steps. These steps include setting standards, measuring performance, comparing, analyzing deviations, and taking corrective actions, ensuring an organized approach to monitoring.
In simple words: The controlling process has 5 main steps.

🎯 Exam Tip: Remember the number "5" as the standard for the steps in the controlling process.

 

Question 44. Mention the management functions according to Koontz O' Donel.
Answer: According to Koontz O' Donel, the management functions include planning, organizing, staffing, directing, and controlling. These are considered the essential activities that managers perform to achieve organizational goals.
In simple words: Koontz O' Donel said management includes planning, organizing, staffing, directing, and controlling.

🎯 Exam Tip: Accurately listing all five functions (POSDC) is crucial when attributing them to Koontz O' Donel.

 

Question 46. Management process in a universal process. Explain.
Answer: The management process is considered universal because it applies to all types of organizations, whether they are big businesses, small businesses, or non-business organizations, all aimed at achieving goals. This means that the basic principles of planning, organizing, directing, and controlling are needed everywhere, regardless of the size or nature of the entity.
In simple words: Management is a universal process because it's used in all kinds of organizations, big or small, to reach their goals.

🎯 Exam Tip: The core idea of "universality" means management principles apply everywhere, not just in large companies.

 

Question 47. What is management function also known as?
Answer: A management function is also known as a management model. This term helps to describe the structured way managers carry out their various duties to ensure the organization runs effectively.
In simple words: A management function is also called a management model.

🎯 Exam Tip: Remembering "management model" as an alternative term for management function can be helpful.

 

Question 48. Write the two steps of process of controlling.
Answer: The first two steps in the controlling process are establishing performance standards and measuring actual performance. These initial steps are crucial for setting benchmarks and assessing how well tasks are being executed.
1. Establishing standards of performance for activities.
2. Measuring the actual performance.
In simple words: The first two steps of controlling are setting goals and then checking how well the work is actually being done.

🎯 Exam Tip: These initial steps form the foundation of any effective control system; without them, performance cannot be evaluated.

 

Question 49. Coordination is the essence of management. Who said this?
Answer: The statement "Coordination is the essence of management" was said by Weihrich and Koontz. They believed that coordination is not just one function but the thread that binds all management functions together.
In simple words: Weihrich and Koontz said that coordination is the most important part of management.

🎯 Exam Tip: Attributing quotes correctly requires remembering the specific authors associated with key management principles.

 

Question 50. Feedback and follow-up action is the final step of which process?
Answer: Feedback and follow-up action is the final step of the controlling process. This step involves reviewing the results, making necessary adjustments, and ensuring that future actions align with the set standards.
In simple words: Getting feedback and taking more action is the last step in the controlling process.

🎯 Exam Tip: Recognize that "controlling" is a cyclical process, with feedback and follow-up completing the loop.

RBSE Class 12 Business Studies Chapter 2 Short Answer Type Questions

 

Question 1. Define primary functions.
Answer: Primary functions of management form the basic foundation for achieving organizational goals. These functions are necessary for any organization to survive and grow. They involve planning, organizing, staffing, directing, and controlling, all working together to harmonize individual and group efforts.
It includes :
1. Planning
2. Organising
3. Directing
4. Controlling
5. Coordination.
In simple words: Primary functions are the main tasks managers do, like planning and organizing, to help the company reach its goals and grow.

🎯 Exam Tip: List all five primary functions (Planning, Organising, Directing, Controlling, Coordination) and clearly state their importance for survival and growth.

 

Question 2. Define planning in the words of Nyles.
Answer: According to Nyles, planning is a sensitive process of developing and selecting the best working plans to achieve objectives. Essentially, it involves carefully choosing the most suitable path from several alternatives to get work done effectively, adapting to changes in the environment.
In simple words: Nyles said planning is a careful process of choosing the best ways to reach goals.

🎯 Exam Tip: Focus on "sensitive process" and "selecting the best working plans" as key elements of Nyles' definition.

 

Question 3. Describe the main elements of planning.
Answer: The main elements of planning are objectives, policies, methods, techniques, rules, programs, strategies, standards, time, and budget. These components provide a clear roadmap for achieving goals, whether for a short or long period, and ensure all efforts are aligned.
In simple words: Planning includes things like goals, rules, ways of doing things, and budgets.

🎯 Exam Tip: Make sure to list a good range of elements, and mention that plans can be both long-term and short-term.

 

Question 4. Write the steps of controlling process.
Answer: The steps of the controlling process include:
1. Establishing standards of performance for activities.
2. Measuring the actual performance.
3. Comparing the actual performance with the set standards.
4. Developing alternative courses of actions/alternatives to the problem.
5. Evaluating and choosing the best course of action.
6. Feedback and follow-up action.
These steps ensure that any deviations from planned performance are identified and corrected efficiently.
In simple words: The controlling process involves setting standards, checking work, comparing it to standards, finding solutions, choosing the best solution, and getting feedback.

🎯 Exam Tip: Clearly list each step in logical order, ensuring the flow from setting standards to taking corrective action is evident.

 

Question 6. Define managerial role and its types.
Answer: A managerial role is the expected behavior or set of functions that a manager performs in an organization, according to both the organization and society. Managers play these roles to help achieve the organization's goals. There are three main types of managerial roles, each with specific duties.
Its types are as follows :
1. Interpersonal rules
2. Informational rules
3. Decisional rules
All managers build and keep information networks by creating strong connections with others. Through these networks, they collect and share various facts and knowledge, acting as a central point for information.
Types of informational roles are :
1. The monitors role
2. Dissemination role
3. Spokesperson's role
In simple words: A managerial role is how a manager is expected to act. The main types are interpersonal, informational, and decisional roles. Informational roles include monitoring, sharing information, and speaking for the company.

🎯 Exam Tip: Define managerial role, then list the three main types. For extra detail, briefly explain one type (like informational roles) and its sub-parts.

 

Question 8. Draw a flowchart of different levels of management.
Answer: Here is a flowchart showing the different levels of management and the types of roles at each level. This structure illustrates how authority and responsibilities are distributed throughout an organization.

Top level managementMiddle level managementLower Level management
Board of DirectorsRegional managerBranch office manager
CEO/CODDepartmental managerForeman
President/Vice-presidentOperations managerLine manager
Chairman/General managerPlant managerChief inspector
Admission officerFactory headsSelection supervisor
Area managerShift supervisors

In simple words: This table shows the different levels of managers in a company, from the highest leaders to those who work directly with employees.

🎯 Exam Tip: When drawing flowcharts or hierarchical structures, ensure clear categorization of roles under each management level.

 

Question 9. Explain coordination.
Answer: Coordination means bringing harmony to different efforts and ensuring unity in actions, which is essential for any organization. In an organization, employees have varied backgrounds and working styles, leading to potential conflicts. Coordination helps resolve these, making sure everyone works together toward common goals. It is not a separate function but is woven into every management activity.
In simple words: Coordination is making sure everyone in a company works together smoothly and towards the same goals, even if they have different ideas.

🎯 Exam Tip: Emphasize that coordination is the "essence of management" and is embedded within all other functions, not standalone.

 

Question 10. What are secondary functions? Mention their types.
Answer: Secondary functions are sub-functions or supporting functions performed to help achieve the primary management functions. These activities might change from one organization to another depending on their specific management styles and available resources. They act as supportive pillars for the main management tasks.
Their types include:
1. Decision-making
2. Staffing
3. Innovation
4. Communication
5. Representation
In simple words: Secondary functions are smaller tasks that help the main management jobs get done. Examples are making decisions, hiring staff, and communicating.

🎯 Exam Tip: Clearly define secondary functions as supportive roles and list their common types for a complete answer.

RBSE Class 12 Business Studies Chapter 2 Short Answer Type Questions (SA-II)

 

Question 1. Explain Primary functions. Mention their types and explain any two types.
Answer: Primary functions form the fundamental basis for achieving organizational goals and are essential for any organization's survival and growth. These functions ensure continuous and dynamic operations.
Types of primary functions are :
1. Planning
2. Organising
3. Directing
4. Controlling
5. Coordination.

Explanation of two types:
1. Planning: Planning involves deciding beforehand what needs to be done in the future. It includes selecting objectives, policies, procedures, and programs to reach the organization's goals.
2. Controlling: Controlling ensures that managerial functions are performed efficiently. It is the final function managers carry out to confirm that activities are proceeding according to the plans.
In simple words: Primary functions are the main jobs of management, like planning and controlling. Planning is deciding what to do, and controlling is checking if it's done right.

🎯 Exam Tip: Define primary functions, list all five types, and then elaborate on any two with clear, concise explanations.

 

Question 2. Explain interpersonal role and its types.
Answer: Interpersonal roles are those where managers build and maintain relationships with their subordinates, peers, and external contacts because of their formal authority and position. These roles are about how managers interact with people.
Its types are as follows :
(i) The Figurehead Role: Every manager acts as a symbolic head of the organization, performing social and ceremonial duties. For example, attending events or signing documents.
(ii) The Leader Role: This role involves activities needed for staffing and keeping productive human resources. Managers motivate and guide employees, ensuring they work effectively toward organizational goals.
In simple words: Interpersonal roles are about how managers interact with others. Examples are acting as a company representative (figurehead) and leading their team (leader role).

🎯 Exam Tip: Remember that interpersonal roles are about people-centric interactions, and the figurehead and leader roles are key examples.

 

Question 3. Define Top level management and mention its four functions.
Answer: Top-level management refers to the group of executives who form the highest management level. They represent the owners and have ultimate authority, making all crucial decisions for the organization. They bear responsibility for the entire organization's success or failure.
Its functions are as follows:
1. To bring long-term stability in the enterprise.
2. To coordinate the activities of all the departments to achieve organizational goals.
3. To act as trustee and to provide protection to organizational assets.
4. To build and maintain relations with the stakeholders.
In simple words: Top managers are the highest leaders who make big decisions. Their jobs include ensuring the company's long-term health and coordinating all departments.

🎯 Exam Tip: When defining top-level management, emphasize their ultimate authority and responsibility. For functions, focus on strategic and overarching organizational duties.

 

Question 4. Explain lower level of management and write its four functions.
Answer: Lower-level management refers to executives who directly oversee operative employees. They are concerned with guiding and controlling the daily work of their teams, ensuring tasks are completed efficiently. They include managers directly above workers.
Functions of lower-level management are:
1. To maintain good human relations in their units.
2. To coordinate between different operative units.
3. To evaluate the performance of workers.
4. To maintain loyalty and discipline in the entire organization.
In simple words: Lower-level managers directly supervise workers. Their jobs involve keeping good relations, coordinating work, checking performance, and keeping workers loyal.

🎯 Exam Tip: Focus on lower-level management's direct interaction with the workforce and their operational duties, such as supervision and maintaining discipline.

 

Question 5. Explain decision-making function of management and mention its steps.
Answer: Decision-making is the process of choosing the best option from all available alternatives to perform a task. It's an intellectual activity focused on selecting the most practical and feasible course of action. This function is vital for solving problems and guiding organizational activities.
Steps in decision-making:
1. Analyzing the problem.
2. Defining the problem.
3. Developing alternative courses of actions/alternative situations to the problem.
4. Evaluating and choosing the best course of action.
5. Feedback and follow-up action.
In simple words: Decision-making means choosing the best way to do something from many options. The steps include looking at the problem, finding solutions, picking the best one, and checking the results.

🎯 Exam Tip: Define decision-making clearly as a selection process. Ensure all five steps are listed in their correct sequence, from problem analysis to feedback.

 

Question 6. Explain communication. Why is it an important function of management?
Answer: Communication is the exchange of views, ideas, facts, information, and feelings between management and employees. It is the process of sending messages, instructions, and suggestions across different levels of the organization.
Communication is important because it helps workers and employees perform tasks efficiently and smoothly. It allows them to share their ideas and expectations, which is crucial for group work towards common objectives. Without clear communication, misunderstandings and chaos can occur, preventing a positive work environment.
In simple words: Communication is sharing ideas and information between managers and employees. It's important because it helps everyone work well together and avoids confusion.

🎯 Exam Tip: Define communication broadly. For its importance, highlight how it enables smooth workflow, prevents misunderstandings, and fosters a positive environment.

 

Question 7. How is organising an integral part of management?
Answer: Organizing is an integral part of management because it involves identifying work activities, dividing tasks, setting up job positions, forming departments, and assigning duties to achieve organizational goals. It is the process of creating a structure of relationships between human and physical resources within an organization. This structure acts as the backbone of the organization, ensuring everything is arranged effectively.
Organizing helps in:
1. Identifying the span of management.
2. Success and stability of an organization.
3. It is regarded as the backbone of any organization.
In simple words: Organizing is a key part of management because it sets up the work, jobs, and teams in a company. It helps the company stay strong and succeed.

🎯 Exam Tip: Emphasize that organizing creates the structure and allocates resources, which is fundamental for goal achievement and stability.

RBSE Class 12 Business Studies Chapter 2 Long Answer Type Questions

 

Question 1. 'Management is the process of getting the work done through others.' Explain this and enlist the important functions/primary functions of management.
Answer: The statement "Management is the process of getting the work done through others" is true. A manager in any organization is the person who performs all the planning, organizing, and other functions to achieve organizational goals. Managers make decisions and guide other employees to work effectively and efficiently, helping them use resources optimally. They act as a central figure, connecting top and lower levels of management. They ensure tasks are completed as expected. This definition highlights that a manager's role is not just to do the work, but to facilitate others in doing it.

Primary or main functions of management are:
(i) Planning: This involves deciding in advance what needs to be done. It includes choosing objectives, policies, procedures, and programs to reach organizational goals.
(ii) Organising: This is the process of creating a structure of relationships between people and resources in the organization. It is seen as the backbone of any organization.
(iii) Directing: Directing means inspiring people to take action and motivating a group of individuals. It helps make the best use of available resources to achieve organizational goals with maximum success.
(iv) Controlling: This function ensures efficient performance of managerial tasks. Controlling is the final step a manager takes to ensure results match the plans.
(v) Coordination: Coordination is considered the essence of management. It is needed to create harmony among individual efforts to achieve group goals. Each management function needs to be coordinated with other functions.
In simple words: Management is about guiding others to get work done. Its main jobs are planning (deciding what to do), organizing (setting things up), directing (leading people), controlling (checking work), and coordinating (making sure all parts work together).

🎯 Exam Tip: Start by explaining the core concept of management. Then, clearly list and briefly explain each of the five primary functions (POSDC) with a sentence or two for each, connecting them back to the idea of getting work done through others.

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