Learning Objectives:

• Define planning as the process of setting goals, objectives, and strategies to achieve desired outcomes efficiently and effectively.
• Understand the importance of planning in organizational management and decision-making.
• Familiarize with principles and methods of planning, including strategic planning, tactical planning, and operational planning.
• Learn about forecasting techniques, goal setting, SWOT analysis, and scenario planning as tools for effective planning.
• Understand the stages of the planning process, including goal identification, data collection and analysis, strategy formulation, implementation planning, and monitoring and evaluation.

Planning = thinking before doing.

1. Goal setting
2. Strategy setting
3. Forecasting for:
   • Human Resources
   • Capacity
   • Materials
   • Tools
   • Supplies
4. Coordination of activities
5. Investigating different courses of action.
6. Selection of optimum course of action as per available resources to maximize the profit.

• Long range (3 years and beyond) corporate and strategic plans: Done by top management
• Medium range (1-3 years) and departmental and functional plans: Done by middle management.
• Short term and operational (day to day) plans: Done by lower management.

Solved Example: 9007-01

The SWOT approach assesses an organization's:

A. Strengths, Weaknesses, Opportunities, Threats

B. Signs, Worries, Objectives, Techniques

C. Strengths, Weaknesses, Organization, Types

D. Speed, Wants, Order, Timing

Correct Answer: A

Solved Example: 9007-02

What is the first and most important function of management?

A. Planning

B. Controlling

C. Surveying

D. Scheduling

Correct Answer: A

Solved Example: 9007-03

Routing in production planning and control refers to the:

A. Balancing of load on machines

B. Authorization of work to be performed

C. Progress of work performed

D. Sequence of operations to be performed

Correct Answer: D

Solved Example: 9007-04

The correct sequence of operations in production planning and control is:

A. Routing-Scheduling-Dispatching-Follow up

B. Scheduling-Routing- Dispatching-Follow up

C. Dispatching-Routing-Scheduling- Follow up

D. Routing-Scheduling-Follow up-Dispatching

Correct Answer: A

Learning Objectives:

• Define organizing as the process of arranging resources, tasks, and activities to achieve organizational goals effectively.
• Understand the importance of organizing in optimizing efficiency, coordination, and productivity within an organization.
• Familiarize with principles and methods of organizing, including division of labor, delegation of authority, span of control, and unity of command.

Organizing = Arranging and structuring work to accomplish the organization’s goals. Organizing consists of:

• Deciding what tasks are to be done
• Deciding who will be responsible for them.
• Grouping the tasks.
• Reporting structure
• How, when and who will evaluate the progress and take subsequent decisions

• Task identification
• Formation of departments
• Resource allocation
• Delegation of authority
• Designing Organization Structure

Solved Example: 9014-01

____ is the tool for organizing the workplace in a clean, efficient and safe manner to enhance productivity and enable standardized working.

A. 5S

B. 3D

C. 6$\sigma$

D. None of these

Correct Answer: A

Learning Objectives:

1. Be able to discuss the motivational theories of Taylor, Maslow, McGregor and Herzberg.
2. Discuss motivational theorists relevance to businesses today.

1. Maslow’s Theory of Hierarchical Needs
1. Physiological: Air, Water, Food, Shelter, Sleep, Clothing, Reproduction
2. Safety: Personal Security, Employment, Resources, Health, Property
3. Love and Belonging: Friendship, Intimace, Family, Sense of Connection
4. Esteem: Respect, Self-Esteem, Status, Recognition, Strength, Freedom
5. Self-actualization: Desire to become the most that one can be.
2. Hertzberg’s Two-factor Theory
3. McClelland’s Theory of Needs
4. Vroom’s Theory of Expectancy
5. McGregor’s Theory X and Theory Y

Androidmarsexpress, CC BY-SA 4.0, via Wikimedia Commons

Solved Example: 9005-01

Given below are two statements, one labelled as Assertion (A) and the other labelled as Reason (R). Read the statements and choose the correct answer using the code given below.

Assertion (A): Training aids in encouraging and achieving self-development and self-confidence.

Reason (R): It helps a person handle stress, tension, frustration and conflict.

A. Both (A) and (R) are correct and (R) is the right explanation of (A).

B. Both (A) and (R) are correct but (R) is not the right explanation of (A).

C. Both (A) and (R) are incorrect.

D. (A) is correct but (R) is not correct.

Correct Answer: B

Solved Example: 9005-02

The motivational process and not the motivators as such is associated with:

A. Need hierarchy theory

B. Two factor theory

C. Berg theory

D. Expectancy theory

Correct Answer: A

Solved Example: 9005-03

The basis of theory Z is the reliance on:

A. External control of human behaviour

B. Self control and self direction

C. The belief that productivity is linked to trust, openness, subtlety and intimacy in the work environment.

D. Government regulatory frame work

Correct Answer: C

Learning Objectives:

1. Identify different organization structure and differentiate between them.
2. Appreciate the role and the type of organization.
3. Understand the key elements of organization design.

1. Organic Organization
2. Line Organization: The simplest organizational structure is the line organization. In this style, the activities performed by each organizational unit directly contribute to the creation and promotion of the company's products and services. The various scalar chain levels are connected directly vertically. This type of organization facilitates greater decision-making and is easy to understand because there is a clear hierarchy of authority. Because of how similar it was to earlier military groups, it was given the name military organization.
3. Line and staff Organization: Managers cannot pay close attention to every aspect of management in huge organizations that operate on a vast scale. The immediate tasks of production and sales keep them busy. As a result, some employees are assigned to conduct investigations and studies and to counsel supervisors. The staff offers knowledgeable advice and works to increase overall effectiveness, while the line up keeps order and stability. The staff executives relieve line executives of some of the more specialized work and provide them with advice on topics that have been brought to them, while the line executives retain supervisory authority and control over the work of their subordinates. The line executive has the final say on whether to accept and put the staff executive's suggestions into action.
4. Functional Organization: Because it was difficult to find all-around experts suitable to serve at the first line management level in the line organization, F. W. Taylor proposed functional organization. He explained the idea of work specialization to the foreman or supervisors. Each functional foreman oversees a single function and is an expert in that activity.
5. Divisional Organization
6. Project Organization: A project organization is a temporary structure created to accomplish a specific goal by assembling teams of experts from several organizational functional areas. The project team gives the allocated project all of its attention, resources, and output. The team members from various cross-functional areas may return to their original employment after the project is over, or they may be given a new project to work on. Research and development initiatives, product development, the building of a new factory, a housing development, a shopping center, a bridge, etc. are a few examples of projects.
7. Matrix Organization
8. Virtual Organization

Features of an Organizational structure

1. Centralization and Decentralization: Centralization is the degree to which decision making takes place at upper levels of the organization. Decentralization means lower level managers have more participation in deciding key strategic elements.
2. Span of Control: Number of employees that a manager can efficiently and effectively manage.
3. Work Specialization: Dividing work activities into separate job tasks.
4. Departmentalization: Grouping common work activities so that work gets done in a coordinated and integrated way.
• Functional departmentalization
• Geographical departmentalization
• Product departmentalization
• Process departmentalization
• Customer departmentalization
5. Chain of Command: The line of authority extending from upper organizational levels to lower levels, which clarifies who reports to whom.
6. Formalization: invloves clear and detail job descriptions, numerous organizational rules, and clearly defined procedures covering work processes.

Slade74, CC0, via Wikimedia Commons

Slade74, CC0, via Wikimedia Commons

Solved Example: 9006-01

Following are the events of an organizational culture:

a) Customer orientation and employee policies

b) Quality orientation, directing and motivating styles

c) Decision-making products and services and responsibilities to society

d) Reaction to competitors and gratitude towards nation

e) Role ambiguities, trade union and policies

Select the correct sequence for the above events:

A. a, b, d and e

B. a, c, d and e

C. b, c, d and e

D. a, b, c and d

Correct Answer: D

Solved Example: 9006-02

Which of the following types of authorities are found in most organizations?

A. Division Authority

B. Line Authority

C. Staff Authority

D. Functional Authority

Correct Answer: D

Solved Example: 9006-03

Which of the following is not correct with respect to matrix organisation?

A. It is a combination of functional and product organisation.

B. Functional departments are not permanent fixtures of a matrix organisation.

C. Product departments are created as the need for them arises.

D. Team members have functional home when they are not needed on a project.

Correct Answer: B

Solved Example: 9006-04

In which type of organisation the rules, duties and responsibilities are given in writing?

A. Formal organisation

B. Informal organisation

C. Strategic organisation

D. Both (B) and (C)

Correct Answer: A

Solved Example: 9006-05

Organization structure that shows a unique combination of strategy, structure and management process is known as:

A. Free-form organization

B. Virtual organization

C. Network organization

D. Horizontal organization

Correct Answer: C

Solved Example: 9006-07

F. W. Taylor introduced a system of organisation known as:

A. Line organisation

B. Functional organisation

C. Line and staff organisation

D. Line, staff and functional organisation

Correct Answer: B

Solved Example: 9006-08

Which of the following organisation is preferred in automobile industry?

A. Functional organisation

B. Line organisation

C. Staff organisation

D. Line and staff organizations

Correct Answer: D

Solved Example: 9006-09

Military organisation is known as:

A. Line organisation

B. Line and staff organisation

C. Functional organisation

D. All of the above

Correct Answer: A