Long Answer Questions | Business Studies (BST) Class 12 - Commerce PDF Download

Q1: Explain the nature of management principles.
Ans: Nature of management principles can be described as follows:
(i) Universal Applicability: The principles of management are applicable to all types of organizations irrespective of their size and nature.
(ii) General Guidelines: They are only guidelines for action and don’t provide direct or readymade solution for a managerial problem.
(iii) Formed by practice and experimentation: The principles of management have been developed through experimentation as well as experience and wisdom of managers.
(iv) Flexible: They are flexible i.e. they can be modified by the managers according to a given situation.
(v) Mainly behavioral: They are mainly behavioral in nature since they are devised to influence human behavior.
(vi) Cause and effect relationship: The principles of management establish relationship between cause and effect. They guide us as to what would be the effect if a particular principle were to be applied in a given situation.
(vii) Contingent: The use of principles of management is contingent or dependent upon the prevailing conditions.

Q2: Explain the importance of management principles.
Ans: The importance of management principles can be understood by considering the following points:
(i) Provide useful insight to manage: Principles of management help in increasing managerial efficiency by adding to their knowledge and ability to understand the various situations more objectively.
(ii) Optimum Utilization of Resources and effective administration: Management principles help in organizing various activities in such a way that results in elimination of unwanted activities and consequent wastage. Management principles help in managing organizations effectively. For example, Unity of Command helps to avoid confusion and conflicts Unity of Direction ensures unity of actions to facilitate coordination.
(iii) Scientific decisions: They help the mangers in taking the decisions based on the objective assessment of a situation. Thus decisions taken are logical and free from any bias and prejudice
(iv) Meeting changing environment requirements: Though the principles are only guidelines for action yet they can be modified according to the need of changing situations. Thus principles of management help in meeting changing requirements of the environment.
(v) Fulfilling social responsibilities: Principles of management have been devised in such a way that they help in fulfilling social responsibilities.
(vi) Management training, education and research: Principles of management are the fulcrum of management theory so that they are used as a basis for management training, education and research.

Q3: Taylor’s principles of scientific management and Fayol’s principles of management are mutually complementary.” Do you agree with this view? Give any four reasons in support of your answer.
Ans. Yes, Taylor’s principles of scientific management and Fayol’s principles of management are mutually complementary because of the following reasons: