Self-Evaluation Case Studies: HOTS/Evaluation Questions - Controlling Commerce Notes | EduRev

Crash Course of Business Studies(BST)- Class 12

Commerce : Self-Evaluation Case Studies: HOTS/Evaluation Questions - Controlling Commerce Notes | EduRev

The document Self-Evaluation Case Studies: HOTS/Evaluation Questions - Controlling Commerce Notes | EduRev is a part of the Commerce Course Crash Course of Business Studies(BST)- Class 12.
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CASELECT 1: You are the manager of Kushal Tradex Ltd. It is reported to you that postal expenses have increased by 10% over standard rates and cost of raw materials has increased by 2%.

Which of the two deviations will be more critical to you? (1 Mark)

HINT: Increase in cost of raw materials by 2% is more critical. (Critical Point Control)

CASELECT 2: Amba Pins Ltd. manufactures safety pins on a large scale. The company decides to improve the quality of its safety7 pins in order to cope up with the competitors. Over a period of time, it has been observed that 8-10% of the total production is defective due to use of old production techniques.

What corrective action should be taken by the management? (1 Mark)

HINT: Modify the existing process.

CASELECT 3: A firm producing glue bottles set a target of producing 10,000 glue bottles per day.

But even after a month of setting the target, it realizes that it is unable to achieve the target.

The production manager wants to know what corrective action can be taken in this situation.

What corrective action would you suggest in this situation? (1 Mark)

HINT: Corrective action may involve:

(i) Training of employees,

(ii) Reframing of plans when the plans are unrealistic.

CASELECT 4: A factory manager producing puzzles for kids conducts work study and decides that the standard output per worker should be sets at 10 puzzles per worker per day.

Do you think this standard satisfies the requirements of an ideal standard? (3 Marks)

HINT: Managers fix standards in the light of organisational goals. As they serve as the basis of control, they should be set carefully. Standards should satisfy these requirements: Simple, easy to understand, achievable, quantitative and flexible.

CASELECT 5: Priyank Dixit runs a chain of Punjabi Delicacy Restaurant in various parts of Mumbai. Through, feedback from the customer he analysed that there is a need for improving customer satisfaction in his Restaurant. So, he establishes the standard waiting time of customer for a table and the standard waiting time of customer for the order. Moreover, his quality assurance team studies the actual pattern of these activities in all the outlets and prepares the assessment report.

On the basis of the given information about Punjabi Delicacy Restaurant, answer the following questions:

(a) Identify the function of management being performed by Priyank Dixit.

(b) Explain briefly the two steps involved in this function, which are mentioned in the above case. (3 Marks)

HINT: Controlling Setting standards and measurement of actual performance.

CASELECT 6: Vikas is the marketing manager of Cleanmate Homesolutions Ltd., which manufactures vacuum cleaners. Under him four assistant managers are looking after the sales through direct marketing team. Vikas set a target sale of 500 vacuum cleaners per day for each assistant manager. If they are unable to achieve the target through their salesmen, the assistant managers also has to go for direct marketing.

On 1st December Vikas called his assistant managers for presenting the sales of November. The sales of managers were as follows:

1st manager - 18,000 units, 2nd manager - 16,000 units, 3rd Manager - 12,000 units, 4th manager - 15,000 units Vikas gave incentives to all his assistant managers who had achieved the targets. Vikas asked explanation from the assistant manager who was unable to achieve the target sale. He replied that he was unable to achieve the target due to the non-availability of vacuum cleaners from the warehouse. Vikas then contacted the production department to find out the reasons for the short supply and directed them to meet the demand of his team. He also instructed the warehouse in-charge to keep more buffer stock.

On the basis of the given information about Cleanmate Homesolutions Ltd., answer the following questions:

(a) Identify the function of management adopted by Vikas.

(b) State and explain the steps of the function identified above by quoting lines from the case. (5 Marks)

HINT: Controlling.

CASELECT 7: Kotak Bank, Parliament Street Branch, Delhi has decided to launch a special campaign for three months to provide life insurance to all the account holders under 'Prime Minister Jeevan Jyoti Yojna'. At the end of first quater, the bank had succeeded to obtain premium from 35% of their account holders as against the target of 40%. On investigation, the general manager found out that illiteracy among public and lack of awareness about social

security measures were two main causes of failure of special campaign.

On the basis of the given information about Kotak Bank, answer the following questions:

(a) Identify and state the function of management performed by the manager.

(b) State any two points of the importance of function of management identified in (a) above.

(c) Write any two values which the bank must promote to achieve its set target. (5 Marks)

HINT: Controlling.

CASELECT 8: As per the terms of employment each employee in Woodsvilla Furnishers Limited should manufacture 75 tables each day. A group of employees is manufacturing only 60 tables each day whereas all other groups are meeting the said target to have a proper check on the activities of the employees, the management installed CCTVs in the factory. There is no resentment from the employee union on this step taken by the management.

On the basis of the given information about Woodsvilla Furnishers Limited, answer the following questions:

(a) Name the element of one of the managerial functions involved in installing the CCTVs in the factory.

(b) State five points of importance of the element stated in (a). (6 Marks)

HINT: Corrective action.

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