MCQs on Principles of Management

Principles of Management are guidelines and frameworks that help managers to run their organisation efficiently and effectively. It helps them in the day-to-day functioning and while framing the organisation’s goals and objectives. It is the best tool for decision-making purposes, and it can also help distribute duties and responsibilities among the employees.

Below is a list of multiple-choice questions and answers on Principles of Management to help students understand the importance of this process in a company’s overall decision making.

  1. Which of the following is true about Principles of Management?
    1. The principles of management are in a continuous process of evolution
    2. The principles of management have evolved
    3. The principles of management have not evolved
    4. None of the above

    2. Answer: a

  2. Which of the following best describes the Principles of Management?
    1. They help managers take decisions while performing managerial functions
    2. They denote a cause and effect relationship
    3. They are guidelines for further action in management functions
    4. All of the above

    3. Answer: d

  3. The main reason why Principles of Management do not provide readymade solutions for all management problems is that ________.
    1. They act as general guidelines for business-related issues
    2. The real business issues are pretty complex
    3. The real business issues are very dynamic
    4. All of the above

    4. Answer: d

  4. One good thing about the Principles of Management is that it helps understand the relationship between human and material resources in achieving organisational goals. Which feature of the Principles of Management is described in the above statement?
    1. Behavioural
    2. Cause and effect relationships
    3. Use of resources and effective administration
    4. None of the above

    5. Answer: a

  5. The Principles of Management emphasise logical decision making and avoiding bias or prejudice at all costs. The above statement points out that knowledge of these principles help in _______.
    1. Scientific decision making
    2. Providing managers with a valuable information
    3. Meet the changing requirements of a business environment
    4. All of the above

    6. Answer: a

  6. Which Principle of Scientific Management says that employees must be rewarded when they make suggestions that lead to cost savings within the company?
    1. Cooperation not individualism
    2. Harmony not discord
    3. Science, not a rule of thumb
    4. All of the above

    7. Answer: a

  7. Which of the following is true about managers within an organisation?
    1. Management skills apply to managers at top levels in an organisation
    2. Management skills apply to managers at all levels in an organisation
    3. Management skills apply to managers at middle levels in an organisation
    4. Management skills apply to managers at executive levels in an organisation

    8. Answer: b

  8. Which of the following is the main reason for the existence of an organisation?
    1. The vision of an organisation
    2. The mission of an organisation
    3. The objectives of an organisation
    4. The Chief Executive Officer (CEO) of an organisation

    9. Answer: b

  9. Which of the following is a crucial aspect of strategic planning?
    1. It is a broad concept that consists of business and corporate strategy
    2. It is an overall concept that consists of strategy formulation and implementation
    3. It is a broad concept that consists of environmental and internal analysis
    4. It is a general concept that consists of business inputs and outputs

    10. Answer: b

  10. Within a workplace, a worker describes how his coworkers leave business documents on the reception desk and personal belongings within the conference room when their manager is absent. How would this affect the functioning of a company?
    1. The company would not be able to complete its tasks efficiently
    2. The company would not be able to complete its tasks effectively
    3. Both a and b are correct
    4. Both a and b are incorrect

    11. Answer: c

  11. Which of the following describes the principle of harmony, not discord?
    1. The management should properly investigate any task
    2. The management should engage in scientific enquiry
    3. The management should focus on observation and analysis
    4. The management should share the gains or profits of a company with their workers

    12. Answer: d

  12. Which of the following describes the main objective behind functional foremanship?
    1. To separate the top-level management of a company from its Chief Executive Officer (CEO)
    2. To separate the planning functions from the executive functions
    3. To provide zero free time to workers in a company
    4. To not divide or delegate the work within an organisation

    13. Answer: b

  13. Which of the following is the main motive behind carrying out a fatigue study?
    1. It helps to calculate the standard output for employees within a task
    2. It helps to calculate the expected time taken for employees to complete their tasks
    3. It helps to calculate the duration of rest intervals given to employees
    4. None of the above

    14. Answer: c

  14. Which of the following is the main objective of the Principle of Order?
    1. It focuses on providing orderly arrangements for the resources within an organisation
    2. It concentrates on building a framework for giving orders to the employees within an organisation
    3. It focuses on creating a framework for receiving orders from the top management within an organisation
    4. None of the above

    15. Answer: a

  15. Which of the following is the main objective of standardisation within a business?
    1. It helps to establish standards of excellence within a company
    2. It helps to reduce products to fixed sizes, features or types
    3. It helps to bring in more significant exchangeability of various parts
    4. All of the above

    16. Answer: d

  16. The principles of management serve as a general guideline for _______.
    1. Decision making
    2. Managerial actions
    3. Both a and b are correct
    4. Both a and b are incorrect

    17. Answer: c

  17. Henri Fayol is known as _________.
    1. The father of general management
    2. The father of shop floor management
    3. The father of scientific management
    4. All of the above

    18. Answer: a

  18. Which of the following is true for discipline according to Henri Fayol?
    1. Proper application of penalties
    2. Good superiors across all levels in an organisation
    3. Agreements between two parties that are always clear and fair
    4. All of the above

    19. Answer: d

  19. Which of the following is the main objective of the Unity in Direction principle?
    1. Coordination
    2. Unity in action
    3. Both a and b are correct
    4. Both a and b are incorrect

    20. Answer: c

  20. Which of the following is the correct meaning of concentration of decision-making authority?
    1. Span of management
    2. Centralisation
    3. Decentralisation
    4. None of the above

    21. Answer: b

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