Business Studies

Importance of management

Q: A shop sells daily but accounts and stock are not organised. The importance of management will be seen in what?

In organising work and resources Management organises work and resources. In exams connect order and resources with importance of management.

Q: If an organisation sets goals and works according to them which benefit of management is shown?

Help in achieving goals Management helps an organisation work according to goals. In exams understand goal based work as importance of management.

Q: Due to management more output is produced from the same raw material. Which importance does this show?

Better use of resources More output from the same resources is a sign of efficiency. In exams connect more output from same input with efficiency.

Q: A company reduced its production plan when customer demand decreased. Which importance of management is shown?

Adapting to change The governing concept is that management helps an organisation deal with a changing business environment. Customer demand is an external condition, so a fall in demand requires managers to revise production rather than continue the old plan. Reducing planned output prevents excess inventory, unnecessary use of raw materials and avoidable costs. Therefore, option A is correct because it represents adaptation to change, one of the important benefits of management. Option B concerns employee pay and is unrelated to the situation. Options C and D describe harmful practices, not managerial benefits. The decision shows flexibility and timely adjustment based on market information.

Q: What benefit does management provide by explaining work to employees?

Efforts get proper direction Work clarity makes employees work in the right direction. In exams connect work clarity with direction.

Q: If management is good in an organisation what may improve among departments?

Coordination Good management creates harmony among departmental activities. In exams connect departments with coordination.

Q: In which situation does management help in cost control?

Avoiding unnecessary expenses Direct answer: Option A, avoiding unnecessary expenses. Cost control means keeping expenditure within a reasonable limit without harming required work or quality. Management prepares plans, checks actual spending, prevents waste, and removes expenses that are not needed. Option A is correct because stopping needless spending directly controls cost. Option B is wrong because unplanned spending increases financial pressure. Option C is wrong because wasting raw material raises cost instead of controlling it. Option D is wrong because repeating work uses extra time and resources. Cost control is not the same as stopping every expense; necessary spending on quality, safety, or production may still be required. Memory cue: planned spending and no waste support cost control.

Q: Providing medicines doctors and beds on time in a hospital is the result of what?

Good management Coordination of resources in a hospital happens through good management. In exams connect hospital examples with coordination.

Q: How does management increase productivity in an organisation?

By using time and resources properly Proper use gives more results with fewer means. In exams connect productivity with proper utilisation.

Q: If management gives respect to employees what result is possible?

Morale may increase Direct answer: Option A, morale may increase. Respect tells employees that management values their dignity, ideas, and contribution. This can create trust, satisfaction, motivation, and a stronger feeling of belonging; therefore morale may rise. Option A is correct, but the word “may” is important because respect alone does not guarantee every result. Option B is wrong because respectful treatment does not mean work will always stop. Option C is wrong because respect does not remove organisational goals. Option D is wrong because respect does not automatically reduce resources. Management should combine respect with fair treatment, communication, suitable pay, and good working conditions. Memory cue: respect builds morale and motivation, not disorder.

In Class 12 Business Studies, this topic explains why management is essential to the success of an organisation, as part of the chapter Nature and Significance of Management. Students learn how management helps achieve common goals, improves efficiency by using resources wisely, creates a dynamic organisation that can respond to change, supports the achievement of individual objectives, and contributes to the development of society. The topic also connects management with coordination, effectiveness and organised group effort.

Easy · Level 5 · 25 questions

Practice questions

01A shop sells daily but accounts and stock are not organised. The importance of management will be seen in what?

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Answer and explanation

Correct answer: A. In organising work and resources

Management organises work and resources. In exams connect order and resources with importance of management.

Importance of management

Practice questions

05What benefit does management provide by explaining work to employees?प्रबंधन कर्मचारियों को काम समझाकर कौन सा लाभ देता है?

06If management is good in an organisation what may improve among departments?यदि संस्था में प्रबंधन अच्छा है तो विभागों के बीच क्या बेहतर हो सकता है?

07In which situation does management help in cost control?किस स्थिति में प्रबंधन लागत नियंत्रण में मदद करता है?

08Providing medicines doctors and beds on time in a hospital is the result of what?एक अस्पताल में समय पर दवा डॉक्टर और बेड उपलब्ध कराना किसका परिणाम है?

09How does management increase productivity in an organisation?प्रबंधन संस्था में उत्पादकता कैसे बढ़ाता है?

10If management gives respect to employees what result is possible?यदि प्रबंधन कर्मचारियों को सम्मान देता है तो कौन सा परिणाम संभव है?

11By providing better goods to society management helps in what?प्रबंधन समाज को बेहतर वस्तुएं देकर किसमें मदद करता है?

12When management teaches employees to operate a new machine which importance is shown?जब प्रबंधन कर्मचारियों को नई मशीन चलाना सिखाता है तो कौन सा महत्व दिखता है?

13If an organisation improves service after listening to complaints which benefit is indicated?यदि संस्था शिकायतों को सुनकर सेवा सुधारती है तो किस लाभ का संकेत है?

14In which situation does management help an organisation in competition?किस स्थिति में प्रबंधन संस्था को प्रतिस्पर्धा में मदद करता है?

15How does management make decisions better in an organisation?प्रबंधन संस्था में निर्णयों को बेहतर कैसे बनाता है?

17How can management increase employment for society?प्रबंधन समाज के लिए रोजगार कैसे बढ़ा सकता है?

18How does management help an organisation in a crisis?प्रबंधन संस्था को संकट में कैसे मदद करता है?

19If management is absent in an organisation how may employee efforts become?एक संस्था में प्रबंधन का अभाव हो तो कर्मचारियों के प्रयास कैसे हो सकते हैं?

20Which example shows the social responsibility importance of management?किस उदाहरण में प्रबंधन का सामाजिक उत्तरदायित्व वाला महत्व दिखता है?

21Why does management increase teamwork in an organisation?प्रबंधन संस्था में टीम वर्क क्यों बढ़ाता है?

22If management makes material available on time what benefit occurs?यदि प्रबंधन समय पर सामग्री उपलब्ध कराता है तो क्या लाभ होता है?

23Due to what does innovation become possible through management?प्रबंधन से संस्था में नवाचार किस कारण संभव होता है?

24If work is not repeated unnecessarily in an organisation which benefit is shown?यदि संस्था में काम बार बार दोहराया नहीं जाता तो कौन सा लाभ दिखता है?

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Analytics choices

05What benefit does management provide by explaining work to employees?

06If management is good in an organisation what may improve among departments?

07In which situation does management help in cost control?

08Providing medicines doctors and beds on time in a hospital is the result of what?

09How does management increase productivity in an organisation?

10If management gives respect to employees what result is possible?

11By providing better goods to society management helps in what?

12When management teaches employees to operate a new machine which importance is shown?

13If an organisation improves service after listening to complaints which benefit is indicated?

14In which situation does management help an organisation in competition?

15How does management make decisions better in an organisation?

17How can management increase employment for society?

18How does management help an organisation in a crisis?

19If management is absent in an organisation how may employee efforts become?

20Which example shows the social responsibility importance of management?

21Why does management increase teamwork in an organisation?

22If management makes material available on time what benefit occurs?

23Due to what does innovation become possible through management?

24If work is not repeated unnecessarily in an organisation which benefit is shown?