Case Studies Analysing, Evaluating & Creating Type Questions
1. D&D Ltd. is a large manufacturing unit. Recently, the company has conducted the 'time' and 'motion'
studies and concluded that on an average a worker could produce 120 units per day. However, it has been
noticed that average daily production of a worker is in the range of 80-90 units.
Which function of management is needed to ensure that the actual performance is in accordance with the
performance as per 'time' and 'motion' studies? State four features of this function of management. (5 marks)
Ans. Controlling
2. Rajeev and Sanjeev are managers in the same organisation having different units. While discussing about
the function of management, Rajeev says "Planning is looking ahead whereas controlling is looking
back." But Sanjeev says, "Planning is looking back whereas controlling is looking ahead." Both are giving
reasons in favour of their statements.
Explain the possible reasons given by both and justify who is correct. (5 marks)
Ans. Rajeev says, "Planning is looking ahead whereas controlling is looking back" because:
• Plans are prepared for future and are based on forecasts about future conditions. Therefore, planning is
looking ahead.
• On the contrary, controlling is like a post-mortem of past activities to find out deviations. In this sense,
controlling is looking back.
Sanjeev says, "Planning is looking back whereas controlling is looking ahead" because:
• Planning is also looking back because future planning is guided by past experiences.
• Controlling is looking ahead because the corrective action initiated by control function seeks to improve
future performance or to revise future plans.
Conclusion: Planning and controlling are both backward looking and forward looking functions. Hence, both
of them are partially correct.
-~Case Studies _ .,rrr
J
Analysing, Evaluating & Creating Type Questions
1. ~S. Ltd.' is a large company engaged • b
conducted th e 'T·une, and 'Motion' study mandassem ly of air- co n ditioners.
· Recen d y the company had
1nd th
air-conditioners in a day. The target volum fcothnc ed at on an average a worker can assemble ten
eo e company in da . bling
conditioners. The company is providing attractt· all a Y IS assem of 1,000 units of air-
ve owances to red lab
All the workers are happy. Even then the assembl O f . di . uce our turnover and absenteeism.
out the reason the company compared actual p r£Y atr-con f tioners per daY IS · 800 uruts
· o nly. ,...
.1.0
find
e
that some of the work ers were busy in gossiping. ormance O each worker and ob rved thr ugh C C T.V.
se o . . . .
(a) Identify the function of management discussed above.
(b) State those steps in the process of the function identified which are discussed in the above
paragraph. (CBSE 2015) (5 marks)
Ans. (a) Controlling
(b) Steps discussed in the above paragraph are:
(Explain the steps briefly)
(i) Setting performance standards
'The target volume of the company in a day is assembling of 1,000 units ofair-conditioners. '
(ii) Measurement of actual performance
' Even then the assembly ofair-conditioners per day is 800 units only. '
(iii) Comparing actual performance with the standards
: .. the company compared actual performance ofeach worker
(iv) Analysing deviations
'observed through CC T.V. that some of the workers were busy in gossiping.'
3. K&K Co. Ltd. is engaged in manufacturing machine components. The target production is 200 units
daily. The company had been successfully attaining this target until two months ago. Over the last few
months it has been observed that daily production varies between 150-170 units.
Identify the possible causes for the decline in production and the steps to be taken to achieve the desired
targets. . (CBSE 2008) (5 marks)
Ans. (State any five causes ofdeviation and their corrective action)
4. Babita Ltd. is engaged in manufacturing machine components. The target production is 250 units per
day per worker. The company had been successfully attaining this target until two months ago. Over the
last two months it has been observed that daily production varies between 200-210 units per worker.
(a) Name the function of management ~d identify the step in the process of this function which helped
in finding out that the actual production of a worker is less than the set target.
(b) To complete the process of the function identified in (a) and to ensure the performance as per set
targets, explain what further steps a manager has to take. (S marks)
Ans. (a) The management function is Controlling.
"Comparing actual performance with standards" is the step involved i th f . h" h
• h th al n e process o contro11 mg w 1c
helped in flndmg out t at e actu production of a worker is less th h
r 11 • an t e set target.
(b) A manager has to t ake the ro owmg two further steps to complete th f l.
· · c·11") 'T'_
(i) Analysing dev1at1ons L,
1aKing •
correcttve action e process O contro lmg·· .
Textile manufacturer Super textiles reported 43% fall in its profits in the fo (Explain)
5• which is beyond the acceptable range 25% decided by th urth quarter ended 31 March
2019
' d lower yield on account of demonetization The com e ~ompany. This was due to higher fuel
cost an . . · pany [Link] to implem t .
tr11ct111"ing contracts and its busmess processes to meet its tar . th en cost savmg measures
by res gets m e future
the function of management discussed above ·
(a) Name . •
identifr and explam the steps of the function of man di
(b) Also agement scussed above.
(CBSF. _<;;()p ')(\ 1 0\ Fe.-
Ans. (a) Controlling
(b) The steps of controlling discussed above are:
(i) Analysing deviations (ii) Taking Corrective Action (Explain)
6. Rudrakshi Ltd. is engaged in manufacturing high end luxury pens. The target production is 700 units
daily. The company had been successfully attaining this target until three months ago. Over the last few
month, it has been observed that daily productions varies between 600-650 units.
I. Identify the function of management, which has been highlighted in the above context.
II. Discuss the first four steps involved in the process of the function identified above.
Ans. (I) Controlling (CBSE SQP 2019) (5 marks)
(II) Following are the first four steps involved in the controlling process:
(a) Setting Performance Standards
(b) Measurement of Actual Performance
(c) Comparing Actual Performance with Standards
(d) Analysing Deviations
(Explain)
7. Isha Machines was a renowned name for quality sewing machines since 1960. Mr Suresh, the owner of
Isha Machines was worried as the production had declined during the last three months. He directed the
Production Manager to find out the reason. The Production Manager ordered the different supervisors to
prepare a performance report of the workers working under them.
Identify the step taken by the Production Manager that is related to one of the functions of
management. (CBSE 2017) (1 mark)
lns. Measurement of actual performance.