Business Studies Test - 33

190

Johnson & Johnson operates through 190 smaller companies, each focusing on a specific product or geographic area, as stated in the passage.

Short lines of communication with customers and employees

Decentralization allows McNeil to maintain short lines of communication, improving interaction with both customers and employees.

It enables companies to be more focused and responsive Decentralization allows for greater focus and responsiveness to local market demands and changes, as each affiliate can operate with more autonomy.

Panning is a time consuming process because it involves collection of information, it’s analysis and interpretation thereof. This entire process takes a lot of time specially where there are a number of alternatives available.

Rational decision making is a multi-step process for making choices between alternatives. The process of rational decision-making favors logic, objectivity, and analysis over subjectivity and insight. The word “rational” in this context does not mean sane or clear-headed as it does in the colloquial sense.

The rational model also assumes:

1. An individual has full and perfect information on which to base a choice.

2. Measurable criteria exist for which data can be collected and analyzed.

3. An individual has the cognitive ability, time, and resources to evaluate each alternative against the others.

B (Informal organisation) is created through social interactions between employees, not structured.

A (Formal organisation) is designed deliberately by the management to achieve specific objectives with clear authority and responsibility.

C (Departmentalisation) involves dividing work into groups based on similar functions or tasks.

D (Unity of command) means each employee must report to only one superior to avoid confusion in authority.

No Smoking in Factory comes under Rules.Rules are specific statements that inform what is to be done. They do not allow for any flexibility or discretion. It reflects a managerial coercion that a certain action must or must not be taken.

General rule is a rule that is applicable to a class of cases or circumstances. It can also be formal order or direction made by a court, as for governing the procedure of the court or a general norm mandating or guiding conduct or action in a given type of situation. 

School rules are usually associated with classroom management and school discipline.According to the students, relational rules are the most important in school. Students also value protecting and structuring rules as important because of the meaning giving to them.

Planning is ascertaining prior to what to do and how to do. It is one of the primary managerial duties. Before doing something, the manager must form an opinion on how to work on a specific job. Hence, planning is firmly correlated with discovery and creativity.

Policy refers to the general guidelines that brings uniformity in the decion making to accomplish predetermined goal. here, the policy is to bring only trained engineers.