Management Class 12 Important Questions

Management is one of the most crucial chapters, and scoring well requires a thorough understanding of key concepts. To make your preparation easier, here are the Management Class 12 Important Questions.

1-Mark Questions (Very Short Answer Type)

Q1. What is management?
Ans. Management is the process of planning, organizing, staffing, directing, and controlling resources to achieve organizational goals efficiently and effectively.

Q2. Name the three levels of management.
Ans. The three levels of management are:

1. Top-level management
2. Middle-level management
3. Lower-level management

Q3. Define planning in management.
Ans. Planning is the process of setting objectives and determining the best course of action to achieve them.

Q4. What do you mean by coordination?
Ans. Coordination is the process of integrating and synchronizing the activities of different departments to achieve organizational goals.

Q5. Give one feature of management as an art.
Ans. Management as an art requires personal skills and creativity to handle different business situations effectively.

3/4-Mark Questions (Short Answer Type)

Q6. Explain any three characteristics of management.
Ans. Three key characteristics of management are:

1. Goal-oriented process: Management aims to achieve specific organizational objectives.
2. All-pervasive: Management is required in all types of organizations, whether business, government, or non-profit.
3. Dynamic function: Management adapts to changes in the business environment, such as technology and consumer preferences.

Q7. Differentiate between ‘effectiveness’ and ‘efficiency’ in management.
Ans.

Q8. Why is planning important in management? Give three points.
Ans. Planning is important in management because:

1. It provides direction by setting clear objectives.
2. It reduces uncertainty by preparing for future risks.
3. It improves decision-making by evaluating different alternatives.

Q9. Explain the concept of ‘authority, responsibility, and accountability’ in management.
Ans.

• Authority: The right to make decisions and give orders.
• Responsibility: The obligation to perform assigned tasks.
• Accountability: Being answerable for the outcomes of assigned tasks.

Q10. Mention any four features of coordination.
Ans. Features of coordination:

1. It integrates efforts across departments.
2. It ensures harmony in work processes.
3. It is a continuous process.
4. It is required at all management levels.

6-Mark Questions (Long Answer Type)

Q11. Explain the functions of management.
Ans. The functions of management include:

1. Planning: Deciding what to do and how to do it.
2. Organizing: Arranging resources and activities for implementation.
3. Staffing: Recruiting and training employees.
4. Directing: Leading and motivating employees.
5. Controlling: Monitoring performance and taking corrective actions.

Q12. Discuss the importance of management in an organization.
Ans. Management is essential for:

1. Achieving goals: Ensures that all activities are aligned with objectives.
2. Optimal resource utilization: Prevents wastage and increases efficiency.
3. Adapting to changes: Helps businesses survive in a dynamic environment.
4. Innovation and growth: Encourages creative problem-solving.
5. Improved employee motivation: Good management leads to job satisfaction.
6. Social responsibility: Ensures ethical and fair business practices.

Q13. Explain the principles of management as given by Henri Fayol.
Ans. Henri Fayol’s 14 principles of management include:

1. Division of Work: Specialization increases efficiency.
2. Authority and Responsibility: Managers should have the right to give orders.
3. Discipline: Employees must obey rules and policies.
4. Unity of Command: An employee should receive orders from one boss only.
5. Unity of Direction: All activities should have one objective.
6. Subordination of Individual Interest to General Interest: The Organization’s interest should prevail.
7. Remuneration: Fair compensation for work done.
8. Centralization and Decentralization: Balance between decision-making at top and lower levels.
9. Scalar Chain: A clear line of authority.
10. Order: Right person in the right place.
11. Equity: Fair treatment of employees.
12. Stability of Tenure: Job security for efficiency.
13. Initiative: Encouraging employees to take initiative.
14. Esprit de Corps: Team spirit among employees.

Q14. What are the different levels of management? Explain their functions.
Ans. The three levels of management are:

1. Top-Level Management: Includes CEO, Directors, and General Managers. Their functions are:
   • Setting organizational goals.
   • Making major policies.
   • Representing the company in external affairs.
2. Middle-Level Management: Includes Departmental and Branch Managers. Their functions are:
   • Implementing top management plans.
   • Coordinating between the top and lower levels.
   • Supervising departmental work.
3. Lower-Level Management: Includes Supervisors and Foremen. Their functions are:
   • Directing workers.
   • Maintaining discipline.
   • Ensuring work efficiency.

Nature & Significance of Management Class 12 Notes

Conclusion

Management is a vital subject in Business Studies and is essential to any organization’s success. This was all about Management Class 12 Important Questions. If you have any doubts, you can ask that in the comments section.