Directing NCERT Solutions | Business Studies (BST) Class 12 - Commerce PDF Download

Very Short Answer Type Questions

Q1: What is informal communication?
Ans: Informal communication refers to the communication that occurs naturally among employees outside the official channels. It arises from social interactions and personal relationships within the organization.

Q2: Which style of leadership does not believe in use of power unless it is absolutely essential?
Ans: Laissez-faire or Free-rein leadership style does not believe in the use of power unless it is absolutely essential.

Q3: Which element in the communication process involves converting the message into words, symbols, gestures, etc.?
Ans: Encoding involves converting the message into words, symbols, gestures, etc.

Q4: The workers always try to show their inability when any new work is given to them. They are always unwilling to take up any kind of work. Due to a sudden rise in demand, a firm wants to meet excess orders. The supervisor is finding it difficult to cope with the situation. State the element of directing that can help the supervisor in handling the problem.
Ans: Motivation is the element of directing that can help the supervisor in handling the problem. By motivating workers, the supervisor can encourage them to take on new tasks and meet the demand effectively.

Short Answer Type Questions

Q1: What are semantic barriers of communication?
Ans: While communicating a message, misrepresentation of communication causes misunderstanding on account of use of wrong words lack of vocabulary skills, faulty translations, different interpretations is known as semantic barriers. It is concerned with the problems which arises in the process of encoding and decoding of message into words or impressions. Main causes of semantic barriers are listed below: 
(i) Badly expressed message 
(ii) Symbols with different meanings 
(iii) Faulty translations 
(iv) Unclarified assumptions
(v) Technical jargon 
(vi) Body language and gesture decoding

Q2: Explain the process of motivation with the help of a diagram.
Ans: Motivation implies inducing and stimulating an individual to act in certain manner. The following diagram explains the process of motivation.

Q3: State the different networks of grapevine communications.
Ans: Grapevine communications may follow different types of network they are
(i) Single Strand Network Each person communicates to the other in sequence.

(ii) Gossip Network Each person communicates with all on non-selective basis.

(iii) Probability Network The Individual communicates randomly with other Individual

(iv) Cluster Network The individual communicates with only those people whom he trusts

Q4: Explain any three principles of Directing.
Ans: Three Principles of Directing 

1. Maximum Individual Contribution: This principle emphasises that directing techniques must help every employee to contribute to his maximum potential in order to achieve the organisational goals. It should help In bringing out unused or dormant potential of an employee to improve the efficiency of the organisation. e.g., suitable and appropriate Incentives should be given to encourage employees to improve their performance. 
2. Harmony of Objectives: Most of the lime It happens that the organisational objectives and Individual objectives move in opposite directions, The person In charge of a team of workers should guide and Instruct his team In such a manner that they realise the Importance 0f both the objectives 
3. Unity of Command: This principle insists that a person in the organisation should receive Instructions from one superior only. If Instructions are received from more than one, it creates confusion, conflict and disorder In the organisation Adherence to this principle ensures effective direction.

Q5: In an organisation, one of the departmental manager is inflexible and once he takes a decision, he does not like to be contradicted. As a result, employees always feel they are under stress and they take least initiative and fear to express their opinions and problems before the manager. What is the problem in the way authority is being used by the manager?
Ans: The manager should adopt more friendly approach towards the workers. The manager should encourage a system of two-way communication, provide an outlet to workers to share their feelings, suggestions and problems.

Q6: A reputed hostel, GyanPradan provides medical aid and free education to children of its employees. Which incentive is being highlighted here? State its category and name any two more incentives of the same category.
Ans: GyanPradhan has given perquisites and fringe benefits to the employees in the form of free education to children and medical aid.
Perquisites and fringe benefits are a type of Financial incentive. 
Some other financial incentives are:

• Bonus: Additional reward over and above the salary such as gifts, festival bonus, etc.
• Retirement Benefits: Offering retirement benefits to employees such as pensions, gratuity, provident fund, etc.
• Stock Option: Offering the employees shares of the company at a price lower than the market price
• Profit-Sharing: Sharing a portion of the profit with the employees (any two)

Long Answer Type Questions

Q1: Discuss Maslow’s Need Hierarchy theory of motivation. 
Ans: Maslow’s need Hierarchy Theory of Motivation Motivation IS a psychological term and the needs of an employee plays an important role In motivation. In order to study motivation various researchers developed theories on them. Among them Abraham Maslow’s need Hierarchy theory IS considered of worth. As per him, their exists a Hierarchy of five needs these are:

1. Basic Physiological Needs: These needs are most basic in the hierarchy and corresponds to primary needs. Food, clothing shelter are a few examples of this type of need Basic salary helps to fulfill these needs. 
2. Safety/Security Needs: When the basic needs satisfied, people start thinking of future. These needs provide security and protection from 
3. Affiliation/Belonging Need: These needs refer to human feeling of belongingness. We all as human beings look forward to being accepted In the society e.g.. friendship. 
4. Esteem Needs: These include factors such as self-respect, autonomous status, attention An individual wants a respect and recognition from others in this need 
5. Self-actualisation Needs: It is the highest level of need in the hierarchy It refers to the drive to become what one is capable of becoming The needs include growth selffulfillment and achievement of goals etc.

Q2: What are the common barriers to effective communication? Suggest measures to overcome them.
Ans: Common Barriers to Effective Communication Managers in all organisations face problems due to communication barriers These barriers may prevent a communication or filter part of it or carry Incorrect meaning due to which misunderstanding may be created. Therefore all managers should take some steps to overcome these barriers. There are broadly four groups of barriers 
(i) Semantic Barriers: Semantic barriers are concerned with problems and obstructions In the process of encoding and decoding of message Into words or -expressions Normally such barriers result on account of use of wrong words, faulty translations. different interpretations etc. These are discussed below 

• Badly Expressed Message: Sometimes the message is not communicated correctly by the manager because of inadequate vocabulary, usage of wrong words. omission of needed words etc. 
• Symbols with Different Meaning: A word may have several meanings Receiver has to perceive one such meaning for the word used by communicator. 
• Faulty Translations: Sometimes while translating If incorrect translation is done due to poor command over both the languages then meaning of the message changes This leads to cause different meanings to the communications. 
• Unclarified Assumptions: Sometimes communication may have certain assumptions which are subject to different interpretations the one should always clear the meaning of what he is instructing the worker to do, so that the worker has no doubts in his mind. 
• Technical Jargon: Sometimes specialists may use technical words in their communication by which the receiver IS not aware Therefore, they may not understand the complete conversation. 
• Body Language and Gesture Decoding: The body movement and body gestures plays an important role in conveying the message. If there is no match between what is said and what is expressed In body movements, communications may be wrongly perceived. 

(ii) Psychological Barriers: Emotional or psychological factors acts as barrier to communications e.g., a person who is warned cannot understand what is being told. Some of the psychological barriers are 

• Premature Evaluation: Sometimes people evaluate the meaning of message before the sender completes his message. Such premature evaluation may be due to preconceived notions. 
• Lack of Attention: If the mind is pre-occupied then the result is non-listening of message by receiver act as a major psychological barrier. 
• Lon by Transmission and Poor Retention: When message passes through various levels. successive transmission of message results in loss of information. It happens mostly with oral communication. Also people cannot retain the information for a long time if they are inattentive or not interested. 
• Distrust: If the communicator and communicate do not believe on each other. they can not understand each others message in its original sense as they are not giving importance to the information exchanged. 

(iii) Organisational Barriers: The factors related to organisation structure, authority relationships, rules and regulations may sometimes act as barriers to effective communication some of these barriers are:

• Organisational Policy: If the organisational policy is not supportive to free flow of communication, it may hamper effectiveness of communications. 
• Rules and Regulations: Rigid rules and cumbersome procedures may be a hurdle to communication similarly, communication through prescribed channel may result in delays. 
• Status: Status of superior may create psychological distance between him and his subordinates The people working at higher level may not allow his subordinates to express their feelings freely. 
• Complex Organisational Structure: In an organisation where there are number of managerial levels, communications gets delayed and distorted as number of filtering pomts are more 
• Organisational Facilities: For smooth clear and timely communication proper facilities are required like frequent meetings suggestion box. internet connection, Intercom facility. Lack or ineffectiveness of these facilities may create communication problems 

(iv) Personal Barriers: The personal factors of both sender and receiver may exert influence on effectiVe communication. Some of the personal barriers are 

• Fear of Challenge to Authority: If a supenor feels that a particular communication may effect his authority negatively then he/she may not speak it out clearly and openly. 
• Lack of Confidence of Superior on his Subordinate: If superiors do not have confidence on their subordinates, they may not seek their advice or opinions. 
• Unwillingness to Communicate: Sometime subord nator may not be prepared to communicate with their superiors if they think that it may adversely affect their interests. 
• Lack of Proper Incentives: If there is no reward for communication then employees may not be motivated to communication e.q., if there is no reward or appreciation for a good suggestion, the subordinate may not be willing to offer useful suggestions again Some measures which can be adopted by organisations to improve communications are: 

(i) Clarify the Ideas Before Communication: The entire message to be communicated should be studied in depth analysed and stated in such a manner that It is clearly conveyed to subordinates. The message should be encoded In simple language which is understandable. 
(ii) Communication According to the Needs of Receives: All managers should be aware of the understanding level of his/her subordinates. He should adjust his communication and select the words according to the education and understanding levels of subordinates. 
(iii) Consult Others Before Communicating: Before communicating anything. others who are linked with it In some way or the other should be taken Into confidence for developing a better pian. 
(iv) Be Aware of Languages, Tone and Content of Message: The language used for communication should be understandable to the listener. The tone of the appropriate and the matter should not be offending to anyone.
(v) Convey Things of Help and Value to Listener: It is always better to know the interests of the people with whom you are communicating. If the message relates directly or Indirectly to such interests and needs II certainly evokes response trom communicate. 
(vi) Ensure Proper Feedback: The receiver of communication may be encouraged to respond process may be Improved to communication. The communication by the feedback received to make it more responsive. 
(vii) Follow up Communication: There should be a regular follow up and review on the instructions given to subordinates Such follow up measures help in removing hurdles If any In implementing the instructions. (viii) Be a Good Listener Manager should be a good listener. Patient and attentive listening solves half of the problems. Managers should also give Indications of their Interest in listening to their subordinates.

Q3: Explain different financial and non-financial incentives used to motivate employees of a company?
Ans:  Financial Incentives Financial incentives refer to incentives which are in direct monetary form or measurable in monetary term and serve to motivate people for better performance. The financial incentives used in organisations are listed below
(i) Pay and Allowances For every employee, salary is the basic monetary incentive It Includes basic pay, DA and other allowances Salary system consists of regular increments In the pay every year and enhancement of allowances from time to time.
(ii) Productivity Linked Wage Incentives Several wage incentives aim at linking payment of wages to increase in productivity at Individual or group level.
(iii) Profit Sharing Profit sharing is meant to provide a share to employees In the profits of the organisation Trus serves to motivate the employees to improves their performance and contribute to Increase in profits.
(v) Co-Partnership/Stock Option Under these Incentives schemes, employees are offered company shares at a set price which is lower than market price The allotment of shares creates a peeling of ownership to the employees and makes them to contribute more for the growth of the organisation.
(vi) Retirement Benefits Several retirement benefits such as provident fund, pension and gratuity provide financial security to employees  after their retirement. This act as an Incentive when they are In serv-es in the organisation.

(vii) Perquisites In many companies perquisites and fringe benefits are offered such as car allowance, housing, medical aid, and education etc over and above the salary. These measures help to provide motivation to the employees/managers.

Non-financial Incentives Incentives which help in fulfilling our psychological emotional and social needs are known as non-financial incentives Some of the non-financial Incentives are:
(i) Status: Status means ranking or high positions In the organisation. Whatever power position prestige an employee enjoys in the organisation are indicated by his status Psychological, social and esteem needs of an Individual are satisfied by status given to their job.
(ii) Organisational Climate: This indicates the characteristics which describe an organisation and distinguish one from the other. Individual autonomy. reward orientation, consideration to employees, etc are some of the positive features of an organisation. If managers try and  include more of these In an organisation helps to develop better organisational climate.
(iii) Career Advancement Opportunity: Managers should provide opportunity to employees to improve their skills and be promo-eo to the higher level Jobs appropriate kill development programmes and sound promotion policy Will help employees 10 achieve promotions. Promotions have always worked as tonic and encourages employees to exhibit improved performance.
(iv) Job Enrichment: Job enrichment is concerned with designing jobs that include greater variety of work contentment require higher of knowledge and Skill, give workers more autonomy level and responsibility and provide opportunity for personal growth and a meaningful work experience.
(v) Employee Recognition Programmes: Recognition means acknowledgement With a show of appreciation. When such appreciation is given to the work performed by employees, they feelmotivated to perform/work at higher level. e g.,
(a) Congratulate the employee
(b) Displaying names of star performers
(c) Installing awards
(d) Distributing mementos
(vi) Job Security: Employees want their job to be secure. They want certain stab lily about future income and work so that they do not feet warned on these aspects and work with greater zeal There is only one problem with this Incentive i.e., when people feel that they are not likely to lose their jobs. they may become relaxed.
(vii) Employee Participation: It means Involving employees In decision making of the Issues related to them. In many companies, these programmes are In practice In the form of joint management committees. work committees canteen committees etc.
(viii) Employee Empowerment: Empowerment means giving more autonomy and powers to subordinates. Empowerment makes people feel that their Jobs are important. This feeling contributes positively to the use of skills and talents n the Job performance

Q4: In an organisation all the employees take things easy and are free to approach anyone for minor queries and problems. This has resulted in everyone taking to each other and thus resulting in inefficiency in the office. It has also resulted in loss of secrecy and confidential information being leaked out. What system do you think the manager should adopt to improve communication?
Ans: Excess of everything is bad. More use of Informal communication IS resulting in this problem. A proper chain of command should be established. Only the necessary information should be passed through chain of command The employees will not be allowed to communicate at all levels. This Will save time and more discipline.