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Standard XII
Business Studies
Principles of Scientific Management
The productio...
Question

The production of the new iPhone is split up into many different parts: design, hardware, software, manufacture, marketing, production, and assembly. This way, the company can hire specialised people for each task. Tim Cook is the overall authority over the employees. He is responsible for ensuring that his employees are motivated towards achieving the organisational goal. A hierarchical structure developed by Steve Jobs was modified by Tim Cook so that there is a systematic chain from top to bottom levels of workers at Apple. This hierarchy allows communication even across the departments in the company. There is just one person managing the entire organisation. The company has special recognition for employees, such as the Apple Genius, which offers $45,000/year. Also, they are provided with health benefits, financial and retirement benefits, family and parenting benefits, etc.

The company has an Apple Genius recognition for its employees. Identify the administrative principle of management in this case.

[0.80 marks]

A
Remuneration
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B
Centralisation
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C
Scalar chain
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D
Unity of command
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Solution

The correct option is A Remuneration
The employees are all given fair wages for their services. This is the principle of Remuneration of Employees.

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Q. The production of the new iPhone is split up into many different parts: design, hardware, software, manufacture, marketing, production, and assembly. This way, the company can hire specialised people for each task. Tim Cook is the overall authority over the employees. He is responsible for ensuring that his employees are motivated towards achieving the organisational goal. A hierarchical structure developed by Steve Jobs was modified by Tim Cook so that there is a systematic chain from top to bottom levels of workers at Apple. This hierarchy allows communication even across the departments in the company. There is just one person managing the entire organisation. The company has special recognition for employees, such as the Apple Genius, which offers $45,000/year. Also, they are provided with health benefits, financial and retirement benefits, family and parenting benefits, etc.

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