Business Studies

Fayol’s principles of management

Q: In a factory a production worker receives different instructions from the production manager and quality manager and work stops. Which principle is directly violated?

Unity of command An employee should receive orders from one superior only. Exam tip: connect two bosses and different orders with unity of command.

Q: In a company the sales target is one but the advertising team and sales team are making separate strategies. Which principle should be applied?

Unity of direction There should be one plan and one head for one objective. Exam tip: connect same objective with different plans to unity of direction.

Q: If a manager gives an employee responsibility to achieve a target but does not give necessary decision authority which principle becomes weak?

Authority and responsibility Proper authority is necessary to fulfil responsibility. Exam tip: treat responsibility without authority as a violation.

Q: Employees come on time but the manager himself does not follow rules. What is most necessary to maintain discipline?

Rule compliance by both manager and employees Discipline is built by rule and agreement compliance from both sides. Exam tip: connect discipline with mutual obedience.

Q: An accounting employee is repeatedly shifted to marketing and production so efficiency does not develop. Which principle is affected?

Stability of personnel Frequent shifting reduces experience and efficiency. Exam tip: connect frequent shifting with stability of personnel.

Q: An employee makes the organisation purchase from a costly supplier to earn personal commission. Which principle is violated?

Subordination of individual interest to general interest Personal benefit should not be above organisational interest. Exam tip: treat personal commission as the individual interest clue.

Q: In a branch every small decision on local customer complaints must be taken from headquarters causing delayed service. Which principle needs balance?

Centralisation and decentralisation Keeping every decision at the top may cause delay so proper decentralisation is needed. Exam tip: connect local decision delay with decentralisation.

Q: The formal authority chain is long but in an emergency two officers at the same level communicate directly and solve the issue. What is this called?

Gang plank Gang plank is a shortcut in scalar chain for quick communication. Exam tip: remember emergency same level direct talk.

Q: In a warehouse materials are not at the right place and employees are not in the right roles. Which principle best explains both problems?

Order Order requires both material and people to be at the right place. Exam tip: connect right thing and right person with order.

Q: A manager enforces rules but treats employees harshly and with bias. Which principle is weak?

Equity Equity is based on justice and kindness. Exam tip: treat harsh and biased behaviour as equity violation.

In Class 12 Business Studies, this topic introduces Henri Fayol’s principles of management as practical guidelines for understanding how organisations are planned, coordinated and controlled. Students explore ideas such as division of work, authority and responsibility, discipline, unity of command, unity of direction, scalar chain, equity and esprit de corps. The topic also helps them connect these principles with everyday managerial decisions and organisational functioning within the broader chapter, Principles of Management.

Hard · Level 1 · 25 questions

Practice questions

01In a factory a production worker receives different instructions from the production manager and quality manager and work stops. Which principle is directly violated?

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Answer and explanation

Correct answer: A. Unity of command

An employee should receive orders from one superior only. Exam tip: connect two bosses and different orders with unity of command.

Fayol’s principles of management

Practice questions

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