"The directors of XYZ Ltd are of the opinion that all decisions and plans are to be framed by them, and therefore, no planning is required at lower levels of management'. Refute this statement.

True

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False

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Solution

The correct option is B
False

False. Planning is required at all levels as well as in all departments. It is not a function restricted to top level only. Thus, it can be said that planning is pervasive.

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Similar questions

Q. Mr. Ram director of ABC Ltd., does the entire planning for the organisation. He instructed lower and middle level managers to strictly follow his plan and does not allow them to deviate from the set plan. He does not involve subordinates in decision making. The lower managers only follow the instructions of their superiors.
(a) Name the limitation of planning referred above.
(b) State any other two limitations.
(c) Name the concept of management followed by Mn Ram.

Q. Directors of ABC Ltd. assigned the task of implementing the plans and policies framed by the board to all the departmental heads. Departmental heads appointed supervisors, superintendent, executives, etc so that work can be assigned to workers as per the plan supervisors kept a check on workers as per the plan.
(1) Identify the feature of management highlighted in above para
(2) Explain that feature

The top management of Phospher Ltd. is engaged in organisation planning but they do not involve middle and supervisory level of management. These two levels of management are neither allowed to deviate from their plans nor are they permitted to act on their own. They keep thinking along the same lines as others so that nothing new or innovative gets added to the process.

(i) Which limitation of planning is reflected in above case?

(ii) What is the meaning of this limitation in the context of the case study?

(iii) What remedial step will Phospher Ltd., take to overcome this limitation?

Santo Ltd. has to develop its organisational, plan for the current year and for this purpose they hire professional consultants from the United States. These consultants incurred a lot of money in a collection of facts, figures, surveys, etc., including the salaries of the consultants. This whole process of planning has already proved to be a very costly affair and the eventual total cost may exceed the gains expected from the plan. In addition, the top management did not involve a middle and supervisory level of management during the planning process. These two levels of management are neither allowed to deviate from their plans nor are they permitted to act on their own. They keep thinking along the same lines as others so that nothing new or innovative gets added to the process.

(i) Should Santo Ltd, continue with existing planning with consultants from the United States? Explain with reasons. Also explain, which limitation of planning is reflected in this case?

(ii) Which limitation of planning is reflected when top management does not involve a middle and supervisory level of management during the planning process the above case? What remedial steps can Santo Ltd., take to overcome this limitation?

Directors of Roma Ltd. wants to use debentures for expansion plans but the finance manager wants to use retained earnings for this purpose. You as a finance manager has to convince directors how retained earning s are better than debentures.

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"The directors of XYZ Ltd are of the opinion that all decisions and plans are to be framed by them, and therefore, no planning is required at lower levels of management'. Refute this statement.

The correct option is B False False. Planning is required at all levels as well as in all departments. It is not a function restricted to top level only. Thus, it can be said that planning is pervasive.

The correct option is B
False

False. Planning is required at all levels as well as in all departments. It is not a function restricted to top level only. Thus, it can be said that planning is pervasive.