FUNDAMENTALS OF MANAGEMENT

III year I semester

( Common to CSE, ECE, MECH, CIVIL, EEE, EIE)
OBJECTIVE QUESTIONS

Unit-1

1. Which of the following implies “the effective utilization of human and material
resources to achieve the enterprise objectives?
a) Management
b) Planning
c) Requirements
d) Control

2. Who said this “To manage is to forecast and plan, to command, to coordinate and
control”
a) ELF brech
b) WFG Glueck
c) Henri Fayol
d) Peters T

3. “Management is concerned with the systematic organization of economic resources and

its task is to make these resources productive” Who said this?
a) Koontz & Weihrich
b) Peter F. Drucker
c) Koontz & O’ Donnel
d) Henri Fayol

4. Management is a ----------process
a) Structural
b) Organisationl
c) Operational
d) Motivation

5. Which of the following are the components of external environment?

a) Customers
 b) Competitors
c) Suppliers
d) All of these
6. Who is regarded as the father of scientific management?
a.) F. W. Taylor
b.) Henry Fayol
c.) Mintzberg
d.) Adam Smith

7. Which one of the following are managerial roles?

a.) Decisional role
b.) Informational role
c.) Interpersonal role
d.) All of these

8. Which of the following refers to measurement of actual performance with plan and
taking remedial measures for improvement?
a.) Coordinating
b.) Controlling
c.) Directing
d.) Forecasting
9. Which approach says that technology alone cannot make organization successful?
a.) Systems approach
b.) Socio-technical approach
c.) Case study approach
d.) Numerical Approach

10. Intelligence-- Design---Choice is propounded by

a.) Herbert Simon
b.) Marshall
c.) George Robbins
 d.) Michael Smith

11. Group of people working together for achieving common objectives is

________________.
12. The skill that helps us to perform our job in a better way is _____________ skill.
13. When one change triggers related changes in the other components it is called
______________/
14. The father of modern management is ______________________
15. One of the modern approaches to management is ________________.
16. The principle of receiving orders from one boss is called _______________
17. The pattern of behavior which is defined for different position is called
___________________
18. Hawthorne experiments made significant contributions to the evolution of
_______________ approach
19. One of the challenges to modern management is ___________________________
20. When there is no interaction between the system and its external environment, it is
known as ___________ system.

UNIT- 2

1. Which one of the following is not an element of planning?

a) Objectives
b) Policies
c) Budgets
d) Analysis
2. Which one of the following ends with decision making?
a) Planning
b) Organizing
c) Implementing
d) Coordinating
3. Which of these is used in decision making?
 a) Past experiences
b) Intuition
c) Bounded Rationality
d) All of these
4. Decisions are made under the conditions of
a) Risk
b) Certainty
c) Both a and b
d) None of these
5. When the number of factors affecting the decision are more, it is
a) Simple decision
b) Complex decision
c) Both
d) None
6. The offensive and defensive moves made in light of competition are called
a) Strategies
b) Plans
c) Vision
d) Mission
7. Which of these constitute the internal environment of the organization?
a) People
b) Task
c) Technology
d) Structure
8. The evaluation of the various alternatives is done against criteria of ?
a) Suitability
b) Feasibility
c) Acceptability
d) All of them
9. PEST refers to ?
a) Political, Economic, Social and Technological
 b) Pressure, Equilibrium, Stress, Tactics
c) Both
d) None
10. Which of the following technique is used for creative ideas
a) Nominal group technique
b) Brainstorming
c) Both
d) None

11. When the plan is used only once for a unique purpose, it is called ____________.
12. When new ideas are applied for designing something, it is called _______________
13. In ________________, the goals are mutually set and evaluated by the superior and
subordinates.
14. _____________________ are the assumptions under which planning activities are
undertaken.
15. The strengths and weaknesses of the firm are the _______________ factors.
16. One of the approaches to problem-solving is _______________.
17. The ______________ statement tells us about the purpose of the organization.
18. The first stage of creative process is ____________________.
19. The budget prepared for the entire organization is called ________________________.
20. One of the techniques of group decision-making is _______________________.

UNIT-3

1. This function of management involves recruitment, selection, training and placement of

individuals in specific job roles:
a) Staffing
b) Directing
c) Organizing
d) Leadership
2. The first step in the human resource planning process is:
a) Assessing future demand
b) Assessing future supply
c) Preparing forecasts of future human resource needs
d) Preparing for job analysis
3. The activity that orients new employees to the organization, to fellow employees, to their
supervisors, and to the policies of the company is called:

a) Employee orientation

b) On-the-job training

c) Networking

d) Off-the-job training

4. An evaluation in which the performance level of employees is measured against established

standards in order to make decisions about promotions, compensation, additional training or
hiring is called:

a) Performance evaluation
b) Performance appraisal
c) Performance analysis
d) Orientation.

5.What refers to the logical sequence of operations to be performed in a given project or job?
a) Strategy
b) Programmes
c) Purpose
d) Policy

6. HRM aims to maximize employees as well as organizational

a) Effectiveness
b) Profit
c) Loss
d) None

7. To achieve organizational goals employees require

a) Control
b) Cooperation and commitment
c) Direction
d) Plan

8.Which of the following is not a human resource management technique?

a) Job sharing
b) Job simplification
c) Job profile
d) Flextime
 9. What refers to the process of planning undertaken by the top management to
achieve their organizational goals?
a) Strategy formulation
b) Corporate planning
c) Environmental scanning
d) Corporate planning

10. Strengths and opportunities help in understanding

a) Environmental factors
b) Organizational factors
c) Both
d) None

11. The authority and responsibility relationship in the organisation is called

_________________________.
12. Introducing the new employee to the organization is called _______________.
13. Assessing the demand for and supply of people in the organization is called
_______________.
14. The deliverables of job analysis are job description and _________________.
15. The cross functional relationships in the organization are depicted in _______________
organisation structure.
16. When change in any one of the components in the organization leads to related changes,
it is called _________________ effect.
17. Staff development strategy addresses the _____________ needs of the entire
workforce in the organization
18. Redundancy means ____________.
19. ______________ is the outcome of the sustained efforts of far-sighted, progressive,
and professional chief executives.
20. The process of evaluating the relative merit of the persons on a given job is called
____________________.

UNIT-4

1. Douglas Mc Gregor’s view that suggests that employees will self-direction and self control
when they are committed to the objectives of the work is called:

a)Theory A
b) Theory B
c) Theory X
d)Theory Y

2. Which step in Maslow’s Hierarchy of needs theory deals with achieving one’s potential?
a) Physiological
b) Esteem
c) Self actualization
d) Social needs

3. Which of the following would be classified by Herzberg as a hygiene factor?

a) Promotion
b) Company policy
c) Responsibility
d) Recognition

4. Who proposed that achievement, affiliation and power are three important needs that help
explain motivation?
a) Maslow
b) Mc Gregor
c) David McClelland
d) None of the above

5. Which type of motivation is associated with activities that are rewarding or satisfying in
themselves?
a) Intrinsic
b) Extrinsic
c) Trait motivation
d) Great man theory

6. Which of the following contains an aspect that would not fall into category of basic needs?
a) Rest
b) Security
c) Food and water
d) Society

7. According to Herzberg, _____ are elements associated with conditions surrounding the Job.
a) Hygiene factors
b) Motivators
c) Economical factors
d) Environmental factors

8. Guiding and supervising the efforts of subordinates towards the attainment of the organization
's goals describes the function of :
a) Planning
b) Organizing
c) Directing
d) Controlling

9. According to path goal theory, which of the following is not a leadership behavior?
a) Directive behavior
b) Supportive behavior
c) Participative behavior
d) None
10. The situation leadership theory of ____________ and _____________ is based on follower’s
readiness to perform
a) Abbot and Costello
b) Vroom and Yetton
c) Hersey and blachard
d) Tannenbaum and Schmidt

11. Referring to somebody else power to become powerful is ___________ .

12. Hygiene factors are otherwise known as ______________
13. The manager focuses on the task whereas the leader focuses on _____________.
14. Felt deprivation of something is called ___________________.
15. Benevolent autocrat uses __________________ motivation.
16. The process of influencing somebody else’ behavior is _________________.
17. _______________ motives are learned.
18. Engagement is _____________________ in nature
19. Need for recognition is an example of ____________________ need.
20. One of the styles of leadership is _________________________.

UNIT-5

1. The management control process starts with

a) Gross profit ratio
b) Establishment of control standards
c) Allocation of resources
d) Break-even analysis.
2. Control is important for
a) Policy verification
b) Adjustments in operations
c) Coordination in action
d) All of these
3. A company’s return on investment indicates its
a) Solvency
b) Stock turnover
c) Profitability
d) Debtor collection
4. Critical review of organization structure and administration is
a) Management Audit
b) MBO
c) Accountability
d) All
5. External environmental factors are
a) Strengths and weaknesses
 b) Opportunities and threats
c) Profitability ratio
d) None
6. Which of these is a type of budget
a) Capital expenditure budget
b) Capital gearing
c) Staffing
d) All
7. Long term solvency is indicated by
a) Current Ratio
b) Debt/Equity ratio
c) Net Profit Ratio
d) None
8. Which of these are dangers of budgeting
a) Hiding inefficiencies
b) Causing inflexibility
c) Both
d) None
9. Operational audit is otherwise known as
a) Internal audit
b) External audit
c) Both
d) None
10. One of the operations research techniques of controlling is
a) Linear programming
b) Queuing Theory
c) Network Analysis
d) All of these
11. Criteria of performance is called as ________________________
12. Break-even point refers to the point where the firm __________________________
13. One of the problems in budgetary control is ____________________
14. Liquidity ratios are used for knowing the ________________________ of the firm.
15. When control takes place before the work activity is done, it is called ____________
16. _______________________ is one of the way for promoting quality in the organization.
17. MBWA stands for _____________________
18. One of the control areas in the organization is __________________
19. Use of rules and regulations and authority for guiding performance is called
_______________ control
20. The managerial function of ____________________ is the measurement and correction
of organizational performance.