GYAN BHARTI WORLD SCHOOL

SUB:- 12 TH
BUSINESS STUDIES ( ASSIGNMENT CH:-2)

1. Radhika opens a jewellry showroom in Jaipur after completing a course in jewellry

designing. She has employed eleven persons in her showroom. For greater productivity, she
divides the work into small tasks and each employee is trained to perform his/her
specialised job. The sales persons are allowed to close a deal with a buyer by giving a
maximum of 10% discount, whereas the decision to give any further discount rests with
Radhika as the final authority. In the earlier days of starting of the business, five of her
employees were asked to put in extra hours of work. In return she had promised to give
them a special incentive within a year. Therefore, after six months when the business was
doing well, she awarded a cash bonus to each of these employees to honour her
commitment. However, when it comes to settling the conflicts among her employees, she
tends to be more biased towards her female employees.
In context of the above case:
Identify and explain the various principles of management that are being applied by
Radhika by quoting lines from the paragraph.
Identify and explain the principle of management which is being violated by Radhika by
quoting lines from the paragraph.
State any one effect of the violation of the principle of management by Radhika as
identified in part(b) of the question.

2. Nikita and Salman completed their MBA and started working in a multinational company
at the same level. Both of them worked hard and were happy with their employer. Salman
had the habit of back-biting and wrong reporting about his colleagues to impress his boss.
All the employees in the organisation knew about it. At the time of performance appraisal,
the performance of Nikita was judged to be better than Salman. Even then their boss,
Mohammed Sharif, decided to promote Salman stating that being a female, Nikita would
not be able to handle the complications of a higher post.
Identify and explain the principle of management which was not followed by this,
multinational company.
Identify the values which are being ignored quoting the lines from the above paragraph.

3. Voltech India Ltd. is manufacturing LED bulbs to save electricity. However, it is running
under heavy losses. To revive from the losses, the management shifts the unit to a
backward area where labour is available at a low cost. The management also asks the
workers to work overtime without any additional payments and promises to increase the
wages of the workers after achieving its mission. Within a short period, the company starts
earning profits because both the management and workers honour their commitments.
State the principle of management described in the above paragraph.
Identify any two values that the company wants to communicate to the society. 
4. Rajveer works as a plant superintendent in a carpet making factory. In order to complete
the export orders on time, the production manager asks him to make the workers work
over time whereas the finance manager is strictly against this practice because it will
increase the cost of production. Moreover, Rajveer feels that since the company is
manufacturing handmade carpets as well as machine made carpets there is a lot of
overlapping of activities. Therefore, there should be two separate divisions for both of
them wherein each division should have its own in charge, plans and execution resources.
In context of the above case:
Identify and explain the principle of management which is being violated.
Also identify the principle of management that Rajveer feels should be implemented in the
factory.
Give any two differences between the principle of management as identified in part (a) and
part (b) respectively.

5. Neeraj is selected for the post of software developer in an IT Company. On the first day
of his joining Mehul, his project manager tells Neeraj that during the course of his work he
will come across many such opportunities which may tempt him to misuse his powers for
individual or family’s benefit at the cost of larger general interest of the company. In such
situations, he should rather exhibit exemplary behaviour as it will raise his stature in the
eyes of the company. Also, for interacting with anyone in the company on official matters,
he should adopt the formal chain of authority and communication.
In context of the above case:
Identify and explain the various principles of management that Mehul is advising Neeraj to
follow while doing his job.
List any two values that Mehul wants to communicate to Neeraj.

6. Davinder is a class twelfth commerce student in a reputed school in Punjab. Satinder is

his elder brother who is doing his Masters in Hospital Administration from Delhi after
completing his B.Sc course. During vacations when Satinder comes home, Davinder shows
him the business studies project that he is preparing on the topic ‘Principles of
Management’. Satinder tells him that these principles are also a part of MBA course
curriculum at the beginner’s level as they form the core of management in practice. But he
finds these principles different from those of pure science.
In context of the above case:
Outline the concept of principles of management.
Why does Satinder find the principles of management different from those of pure science?
Why do the principles of management form the core of management in practice? Explain by
giving any two points highlighting the importance of principles of management.

7. Gurpreet is running a retail mart in Varanasi to provide various types of products of daily
use under one roof to the buyers. The employee turnover in his business is very high and he
is perpetually on a look out for new staff. The fact of the matter is that he lacks managerial
skills and assigns work to his employees on adhoc basis without letting them settle down in
a specific work. This approach of his creates a sense of insecurity among the employees and
they tend to leave the job very quickly. However, he is a very god fearing person and offers
fair wages to his employees so they can afford a reasonable standard of living.
In context of the above case:
Identify and explain the principle of management which Gurpreet is unable to apply and is
perpetually on a look out for new staff.
“He is a very god fearing person and offers fair wages to his employees so they can afford a
reasonable standard of living.” Name and explain the relevant principle of management will
has been brought into effect by Gurpreet.

8. After finishing her BBA degree course, Tanya gets a job of Assistant Manager in a retail
company through the reference of her cousin Taruna who works in the same company as a
Senior Manager. Taruna decides to guide Tanya through her experience by making her
aware of the important facts about management in practice. She tells her that neither the
principles of management provide any readymade, straitjacket solutions to all managerial
problems nor they are not rigid prescriptions, which have to be followed absolutely.
In context of the above case :
Identify the two features of principles of management mentioned in the above paragraph
by quoting lines from the paragraph.
Why do the principles of management not provide readymade, straitjacket solutions to all
managerial problems?

9. Raj and Simran are both qualified eye surgeons and good friends. After obtaining a
certificate of practice, they decide to persue a career of their own choice. Raj starts an eye
care centre in the city whereas Simran joins a government hospital in a small village. They
meet after a long time in a party. Raj invites Simran to visit his eye care centre and she
accepts his invitation. She observes at his clinic that there is a fixed place for everything and
everyone and it is present there so that there is no hinderance in the activities pf the clinic.
Also, Raj always tends to replace T with ‘We’ in all his conversations with the staff
members. Later on Raj shares with her that he always deals with lazy staff sternly to send
the message that everyone is equal in his eyes.
In context of the above case:
Identify and explain the various principles of management that Raj is applying for the
successful management of his eye care centre.
List any two values that Simran wants to communicate to the society by taking up a job in a
village.

10. Hritik is desirous of setting up a small factory to manufacture different kinds of eco-
friendly packaging materials. He proposes to adopt a logical approach to his business rather
than hit and trial method as he knows that this can result in tremendous saving of human
energy as well as wastage of time and materials. He plans to adopt paternalistic style of
management in practice in order to avoid any kind of class-conflict that may emerge
between him and the workers. Moreover, he plans to seek the opinion of his workers
before taking any important decisions and also offers incentives to them for providing
valuable suggestions for the business.
In context of the above case:
Identify and explain the various principle of scientific management that Hritik plans to apply
in his business.
List any two values that he wants to communicate to the society by offering eco¬friendly
packaging material.

11. ‘Study Buddy Pvt. Ltd.’ is company dealing in stationery items. In order to establish
standards of excellence and quality in materials and in the performance of men and
machines, the company adheres to benchmarks during production. Moreover, its products
are available in limited varieties, sizes and dimensions thereby eliminating superfluous
diversity of products.
Identify the technique of scientific management which has been adopted by ‘Study Buddy
Pvt. Ltd.’

12. Anshul owns a small scale factory where utility items are prepared from waste material
like paper mache items, paper and cloth bags, decorative material etc. Over the past few
weeks, he was observing that the productivity of one of his very efficient worker, Ramdas, is
going down. So he decides to probe into the matter and confronts Ramdas one day. On
being asked, Ramdas shares with Anshul that he has deliberately slowed down in his work
as many of the less efficient workers often pull his leg saying that there is no need for him
to be more efficient when everybody is being paid at the same rate. Taking a lesson from
this insight, Anshul decides to implement an incentive bonus plan so as differentiate
between efficient and inefficient workers.
In context of the above case:
Name and explain the incentive bonus plan that Anshul may implement so as differentiate
between efficient and inefficient workers.
State any two values that Anshul wants to communicate to the society by setting up a
special type of business.

13. Swaraj is running an office furniture showroom. Most of his clients are businessmen and
they prefer to buy goods on credit. Keeping this in mind, he has given the power to the
sales manager, Mr. Bhardwaj, to offer a credit period of only 20 days, while negotiating a
deal with a buyer. On a specific day, Mr. Bhardwaj finds that if he can offer a credit period
of 30 days as an exception to a prospective buyer, he is likely to finalise a highly profitable
deal for the business. So Mr. Bhardwaj requests Swaraj to grant him additional authority for
offering a credit period of 30 days in the interest of the business. But Swaraj refuses to
extend his authority and as a result, the deal is not finalized.
In context of the above case:
Can Mr. Bhardwaj be held responsible for loss of the deal? Why or why not ? Give a suitable
reason in support of your answer.
Also, explain the related principle.

14. Hina and Harish are typists in a company having the same educational qualifications.
Hina gets Rs.3,000 per month and Harish gets Rs.4,000 per month as salaries for the same
working hours. Which principle of management is being violated in this case? Name and
explain the principle.