Types of plans

Correct answer: B. Policy

A policy provides broad guidelines for decision-making and allows a manager to use judgement according to the situation. A rule clearly prescribes what must or must not be done, so it allows much less flexibility. A budget is a financial or quantitative plan, while a method specifies the way of performing a task. Exam tip: If a question highlights managerial discretion and flexibility, policy is usually the correct answer.

Correct answer: C. Rule

A rule is a plan that gives a clear direction about what must or must not be done. It leaves no discretion or alternative and must be followed. A method states the prescribed way of doing a task, whereas a rule sets a compulsory instruction or limit. Exam tip: Link phrases such as ‘no option’ and ‘must be followed’ with a rule.

Correct answer: D. Sequence of steps for completing the work

A procedure states the prescribed sequence of steps to be followed for completing a task. Therefore, the sequence of steps is the correct answer. A specific way of doing a task is a method, while a broad company goal is an objective. Exam tip: Words such as “sequence” or “step-by-step” usually indicate a procedure.

Correct answer: A. Technique of performing a task

A method specifies the particular technique or way of performing a task, such as the technique for operating a machine. In contrast, a procedure lays down the fixed sequence of steps to be followed. Therefore, option A is correct, while option B describes a procedure. Exam tip: remember method as the ‘technique of doing’ and procedure as the ‘sequence of steps’.

Correct answer: B. Budget

A budget is a plan stated in numerical terms. It can estimate expected income, expenditure and output or quantities for a future period, so the correct answer is budget.

Correct answer: D. Long-term objectives and the external environment

D is correct. A strategy is a broad plan for achieving an organisation’s long-term objectives, taking account of relevant conditions in its external environment.

Correct answer: B. A policy providing general guidance for decisions

B is correct. A policy sets a general guideline for decision-making; it guides choices without prescribing every step or a specific numerical amount.

Correct answer: C. Rule

A rule is a plan that clearly states whether an action must or must not be performed. Since throwing waste on the school campus is strictly prohibited, it is a rule. A method describes the sequence for doing a task, whereas a programme lists activities and their schedule. Exam tip: Words such as ‘prohibited’, ‘compulsory’, or ‘must not’ usually indicate a rule.

Correct answer: D. Procedure

D is correct. A procedure specifies the sequence of steps to follow for a task. Bill verification followed by approval is such a sequence.

Correct answer: A. Method

A method is the prescribed technique or way of performing a task. The fixed proportions and cooking technique state how the sweets are to be made, so this is a method. A budget concerns estimated income and expenditure, while a policy provides broad guidelines for decisions. Exam tip: If the question focuses on the way or technique of doing a task, choose method.

Correct answer: B. Budget

A budget is a plan that states expected income, expenditure, or resource use in numerical or monetary terms. Fixing a maximum of 80000 rupees for repair work is therefore a budget. An objective states what is to be achieved, whereas a budget sets the financial limit for an activity. Exam tip: If a plan mentions money, cost, income, or an expenditure limit, it is usually a budget.

Correct answer: C. Programme

C is correct. A programme is a single-use plan that brings together the activities and arrangements needed for a particular event. These plans cover several aspects of the competition.

Correct answer: D. Strategy

D is correct. Entering a foreign market is a broad objective, and coordinating changes to packaging, price, and distribution is part of a strategy for achieving it.

Correct answer: A. A rule requiring a daily safety check

A is correct. A rule is a standing plan, intended to guide action whenever the relevant situation occurs. A daily safety-check rule is therefore used repeatedly.

Correct answer: C. Permanent employee conduct rule

The correct answer is the permanent employee conduct rule. Single-use plans are prepared for one specific situation or event and are generally not repeated in exactly the same form after their purpose is completed. A special training camp, a machine installation programme and a one-time promotion campaign are each designed for a particular occasion. In contrast, a permanent conduct rule is a standing plan. It continues to guide employee behaviour and can be applied repeatedly whenever the relevant situation occurs. The word permanent is the decisive clue. Although a rule may be included in many organisational plans, this particular rule is not limited to one event or one use; therefore it is not a single-use plan.

Correct answer: B. Being clear, measurable, and time-bound

B is correct. A clear, measurable, time-bound objective states what is to be achieved and by when, making progress easier to assess.

Correct answer: D. Where a particular action has to be clearly prohibited for safety

A rule gives a clear and binding instruction about what must or must not be done in a particular situation. Therefore, clearly prohibiting an action for safety is the most suitable use of a rule. The option about prescribing a step-by-step method refers more closely to a procedure, not a rule. Exam tip: Link a direct “must do/must not do” instruction with a rule.

Correct answer: A. Procedure

The question describes a fixed sequence of actions—welcoming, registering, and seating a guest. A plan that specifies the ordered steps for performing an activity is called a procedure. A budget estimates income and expenditure, whereas a strategy is a broad plan for achieving objectives. Exam tip: words such as ‘order’, ‘steps’, or ‘sequence’ usually indicate a procedure.

Correct answer: B. Method

A method is a prescribed way or technique of performing a task. The tailor’s particular process of measuring and cutting cloth is therefore a method. A rule states what is permitted or prohibited, while a budget is a financial plan and a policy provides broad guidance for decisions. Exam tip: Words such as ‘way’, ‘technique’ and ‘how to perform a task’ usually indicate a method.

Correct answer: C. Budget

The correct answer is C, Budget. A budget expresses expected results in numerical terms, commonly as estimated income and expenditure for a specified period.

Correct answer: D. Programme

The correct answer is D, Programme. A programme brings related activities together and specifies how they will be carried out, including their sequence, timing, and responsibilities.

Correct answer: A. A strategy gives broad direction for achieving objectives, while a programme details related activities and their implementation.

The correct answer is A. A strategy provides the broad approach for achieving objectives; a programme translates plans into coordinated activities and explains how they will be carried out.

Correct answer: B. Objective

Adding 300 new members is a specific, measurable result with a deadline of next month, so it is an objective. A method states the steps for doing a task, a policy gives general guidance for decisions, and a rule is a compulsory instruction. Exam tip: A target expressed as a definite result or number is usually an objective.

Correct answer: D. Rule

A rule is a clear and strict instruction that must be followed, so it should not be violated. A procedure describes the sequence of steps for doing a task, whereas a rule states what must or must not be done. Exam tip: Words such as “strict instruction” and “should not be violated” point to a rule.

Correct answer: A. Objective

The correct answer is A, Objective. It states a measurable result the department aims to achieve—recording feedback scores after at least 95% of calls by a specified time.