Fundamentals of Management — Important Questions

Two employees at the same level to communicate directly in emergencies.

Step 1: Fayol's Scalar Chain is the formal line of authority from the highest to the lowest rank in an organisation. Step 2: Normally, all communication must follow this chain. Step 3: However, Fayol recognised that strictly following the chain in urgent situations can cause delays. Step 4: He suggested the 'Gang Plank' — a direct horizontal communication channel between employees at the same level when an emergency requires it. Step 5: This keeps the scalar chain intact for normal communication while allowing flexibility in emergencies.

Management is tangible and easily visible.

Step 1: Go through each option and check if it is a valid characteristic of management. Step 2: 'Universal' — True. Management is needed in every type of organisation. Step 3: 'Continuous process' — True. Management is ongoing as long as the organisation exists. Step 4: 'Goal directed' — True. All management activities are aimed at achieving organisational goals. Step 5: 'Tangible and easily visible' — FALSE. Management is INTANGIBLE. You cannot see management directly; you can only feel its presence through rules, outputs, and work climate. Therefore, Option C is the one that is NOT a charact

Motivate workers by paying higher rates to efficient workers and lower rates to less efficient ones.

Step 1: The Differential Piece Rate Plan is one of Taylor's key techniques. Step 2: Under this plan, two different wage rates are set — a higher rate for workers who meet or exceed the standard output, and a lower rate for those who fall below it. Step 3: For example, if standard output is 100 units and two rates are ₹1 and ₹0.75: a worker producing 120 units earns ₹120 (at ₹1/unit), while a worker producing 80 units earns only ₹60 (at ₹0.75/unit). Step 4: This creates a financial incentive for workers to improve their efficiency. Step 5: It is not about equal wages or reducing workers — it is

Speed Boss

Step 1: Functional Foremanship is Taylor's technique where a worker is supervised by several specialist foremen, each expert in a specific area. Step 2: There are 8 foremen divided under Planning and Production departments. Step 3: Under the Production Department, the Speed Boss is responsible for maintaining the planned speed of production and investigating causes of delay. Step 4: The Gang Boss arranges workers and materials; the Repair Boss maintains machines; and the Inspector checks quality of output. Step 5: The Route Clerk belongs to the Planning Department and determines the route of r