Business Management MCQ Questions and Solutions with Explanations | Management

Plans, policies and procedures are the functions of top level management. These managers are responsible for controlling and overseeing the entire organization. They develop goals, strategic plans, company policies, and make decisions on the direction of the business. In addition, top-level managers play a significant role in the mobilization of outside resources.

Strategic Plans are made to achieve the overall organizational goals. The purpose of strategic planning is to set your overall goals for your business and to develop a plan to achieve them. It involves stepping back from your day-to-day operations and asking where your business is headed and what its priorities should be.

A structure of relationship is called as organization. An organizational structure is a system that outlines how certain activities are directed in order to achieve the goals of an organization. These activities can include rules, roles, and responsibilities.

Passing of authority to make decisions to the lowest possible level in the organizational hierarchy is known as decentralization. Decentralization is the process by which the activities of an organization, particularly those regarding planning and decision making, are distributed or delegated away from a central, authoritative location or group.

The extent to which power and authority are retained at the top is called as centralization. Centralisation or centralization is the process by which the activities of an organization, particularly those regarding planning and decision-making, framing strategy and policies become concentrated within a particular geographical location group.

Responsibility lies in the hands of people in the upper echelons of the hierarchy is called Exploitative. An exploitative-authoritative management system means that responsibility lies with people in higher positions in the hierarchy.

The Hawthorne experiments were a series of studies conducted at the Hawthorne Works of the Western Electric Company in Cicero, Illinois, USA, during the late 1920s and early 1930s.

These experiments were aimed at understanding the impact of various working conditions on employee productivity and behavior.

The studies revealed the importance of social factors and employee attitudes in the workplace, leading to the development of the Human Relations Movement in management.

The findings emphasized the significance of employee motivation and group dynamics in achieving organizational efficiency.