Principles and Practice of Management — June/July 2023

Distinguish between unity of command and unity of direction as principles of management. (4 marks)

Answer

Unity of command means that each employee should receive instructions from one immediate superior. Unity of direction means that activities with the same objective should be coordinated under one plan and one responsible leader.

Identify four factors that constitute the economic environment of a firm. (4 marks)

Answer

• Inflation.
• Interest rates and availability of credit.
• Employment and household purchasing power.
• Economic growth and the business cycle.

Outline four techniques of job evaluation that may be used in an organization. (4 marks)

Answer

• Job ranking.
• Job classification or grading.
• Point-factor evaluation.
• Factor comparison.

Distinguish between vertical coordination and horizontal coordination. (4 marks)

Answer

Vertical coordination aligns work between different levels of authority, such as managers and supervisors. Horizontal coordination aligns work between departments or people at the same organisational level, such as kitchen and restaurant supervisors.

Identify four non-budgetary controls that may be used in an organization. (4 marks)

Answer

• Direct observation and supervision.
• Quality inspections.
• Internal audits.
• Performance reports and statistical analysis.

State four factors that make it difficult for managers to effectively motivate employees. (4 marks)

Answer

• Employees have different needs and priorities.
• Needs and expectations change over time.
• Limited resources constrain rewards and development.
• Perceived unfairness or low trust weakens the effect of incentives.

State four factors that may contribute to unethical behaviour among employees in an organization. (4 marks)

Answer

• Pressure to meet unrealistic targets.
• Weak controls and a low likelihood of detection.
• Unethical examples set by leaders or peers.
• Personal gain combined with unclear or unenforced ethical standards.

Outline four barrier to communication that are associated with supervisors in an organization. (4 marks)

Answer

• Using unclear language or excessive jargon.
• Poor listening or unwillingness to receive feedback.
• Withholding or filtering important information.
• Intimidating behaviour that makes staff afraid to speak.

Highlight four advantages of using narrow span of control in an organization. (4 marks)

Answer

• Closer supervision of each employee.
• More time for coaching and feedback.
• Easier monitoring of complex work.
• Faster identification of individual performance problems.

State four characteristics of a mission statement as a type of multi-use plans. (4 marks)

Answer

• States the organisation’s fundamental purpose.
• Identifies the main customers or needs served.
• Expresses guiding values or the nature of its activities.
• Is clear and enduring enough to guide repeated decisions.

Explain four fundamental responsibilities of a business towards the government. (8 marks)

Answer

• Pay applicable taxes and levies honestly and on time.
• Comply with laws, licensing conditions and lawful regulatory requirements.
• Provide accurate records and information required by public authorities.
• Cooperate with lawful inspections and avoid corruption or obstruction.

Outline four circumstances under which the project organization structure is appropriate. (4 marks)

Answer

• Work has a defined objective and completion date.
• Tasks require several specialist disciplines.
• A complex or unique assignment needs focused coordination.
• A major project needs a dedicated manager and clearly allocated resources.

The philosophy of Management By Objectives has certain weaknesses that hinder its effective implementation. Explain four such weaknesses. (8 marks)

Answer

• Setting and reviewing agreed objectives takes substantial time and administrative effort.
• Easily measured targets may receive attention while quality or teamwork is neglected.
• Rigid targets can become unsuitable when conditions change.
• Poor participation or weak management support turns the process into imposed targets and reduces commitment.

Explain four objectives that an organization may seek to achieve by designing an effective control system. (8 marks)

Answer

• Keep actual performance aligned with planned objectives.
• Detect significant deviations early enough for correction.
• Protect resources against waste, loss and misuse.
• Provide reliable feedback for improving methods and future plans.

Explain four criticisms that are labeled against Hertzberg’s two-factor theory of motivation. (4 marks)

Answer

• The original research method may encourage people to attribute satisfaction to themselves and dissatisfaction to external conditions.
• The division between hygiene factors and motivators is not always clear across workers and situations.
• Findings from a limited occupational sample may not generalise to every workforce.
• Job satisfaction and dissatisfaction do not by themselves establish actual productivity or motivation.

The need for transferring employees in an organization may arise due to certain reasons. Explain four such reasons. (8 marks)

Answer

• Balance staffing by moving employees to areas with greater workload.
• Match an employee’s skills more closely to a suitable role or location.
• Develop experience through exposure to another department.
• Accommodate reorganisation or a justified employee request while maintaining operations.

Explain three features of effective coordination. (6 marks)

Answer

• Integration: related activities contribute to common organisational objectives.
• Continuity: coordination occurs throughout planning and execution, not only after problems appear.
• Timely communication: departments exchange relevant information and adjust interdependent tasks promptly.

Explain three situations in which the autocratic style of leadership may be appropriate in an organization. (6 marks)

Answer

• An emergency needs a quick, clear decision to protect people or operations.
• Inexperienced staff require precise direction for unfamiliar work.
• A time-critical task must follow a defined safety or technical procedure with little scope for variation.

Explain four requirements that should be met for an effective budgetary control system. (8 marks)

Answer

• Realistic budgets based on reliable information and clear objectives.
• Defined responsibility centres and managers who understand their budgets.
• Timely, accurate records comparing actual results with budget.
• Analysis and corrective action for significant variances, with suitable review when conditions change.

Explain four factors that may influence the style of leadership adopted in an organization. (8 marks)

Answer

• Leader’s skills, personality and experience affect how authority is exercised.
• Employees’ competence and readiness influence the amount of direction needed.
• Task complexity, urgency and risk influence consultation and control.
• Organisational culture, structure and resources shape acceptable leadership practices.

Pilex Limited recruits most of its employees from colleges and universities. Explain four reasons that may account for this choice of recruitment. (8 marks)

Answer

• Access to candidates with relevant current technical knowledge.
• A pool of entry-level applicants available at predictable graduation periods.
• Opportunity to develop employees through graduate training for future roles.
• Campus recruitment allows efficient screening and collaboration with institutions.

The Ethical committee at Unix Limited has been accused of failure to undertake its functions as expected. Outline four arguments that may justify such accusation. (4 marks)

Answer

• It fails to communicate or review the ethical code.
• It ignores reported misconduct or investigates selectively.
• It does not provide ethics training or advice.
• It fails to recommend corrective action and monitor compliance.

Explain five ways in which the scientific management school of through has contributed to modern management. (8 marks)

Answer

• Work study: systematic analysis improves task methods and removes wasted effort.
• Standardisation: agreed tools, procedures and task standards support consistency.
• Scientific selection and training: employees are matched to jobs and taught effective methods.
• Planning: preparation and coordination of work become deliberate management responsibilities.
• Performance measurement and incentives: output standards and rewards link work results to management decisions.

The scan requests five ways and allocates 8 marks; both are retained. The intended term is “school of thought”. Modern use should also consider worker wellbeing and avoid treating people only as production units.

Outline for reasons that make organizing important in an enterprise. (8 marks)

Answer

• Defines jobs and responsibilities so necessary work is covered.
• Establishes authority and reporting relationships.
• Allocates people and resources to activities effectively.
• Coordinates related tasks and reduces duplication or gaps.

“For” is printed in the scan; it is interpreted as “four”.

With reference to Maslow’s Hierarchy of Needs theory, outline four ways in which a manager may satisfy the social needs of employees. (4 marks)

Answer

• Encourage supportive teamwork.
• Create opportunities for social interaction.
• Make new staff feel welcomed and included.
• Maintain respectful communication and constructive relationships.