Commerce Accountancy

Management and Organizational Behavior

2,437 Questions

Management and organizational behavior explore how individuals and groups interact within an organization. This hub covers motivation theories, leadership styles, and delegation. These topics are essential for commerce students and competitive exam aspirants.

Work motivation theoriesLeadership stylesDelegation of authorityOrganizational structure typesPerformance appraisal aimsGroup dynamics and social loafing

Management and Organizational Behavior Questions

Multiple choice

Which one of the following is not a function of a leader in an organization?

  1. Motivating employees

  2. Fixing the remuneration package for the employees

  3. Selecting the most effective communication channel

  4. All the above
Reveal answer Fill a bubble to check yourself
B Correct answer
Explanation

Leadership focuses on motivation, vision, and communication rather than administrative tasks like compensation packages. Remuneration and salary structuring are typically handled by HR specialists or management, not as a core leadership function.

Multiple choice

Consider the following statements:

  1. Decentralization has the same advantages as delegation.
  2. Decentralization leads to more flexibility in an organization.
  3. Decentralization leads to slower decision making in rapidly changing environment. Which of the statements given above are correct?

  1. 1,2 and 3

  2. Only 1 and 2

  3. Only 2 and 3

  4. Only 2 and 3

Reveal answer Fill a bubble to check yourself
B Correct answer
Explanation

Decentralization shares advantages with delegation like employee development and better local decision-making, while also increasing organizational flexibility through distributed authority. It actually speeds up decision-making in dynamic environments rather than slowing it, contradicting statement 3.

Multiple choice

Consider the following statements:

  1. Activities classified for line authority differ in each organization.
  2. For small organization, all positions may be line positions.
  3. Staff authority is based on expert power. Which of the statements given above are correct?

  1. 1,2 and 3

  2. Only 1 and 2

  3. Only 2 and 3

  4. Only 1 and 3

Reveal answer Fill a bubble to check yourself
A Correct answer
Explanation

Statement 1 is correct: line authority activities do vary across organizations based on their structure and functions. Statement 2 is correct: in small organizations, there may be no separate staff positions, so all positions can be line positions. Statement 3 is correct: staff authority derives from expert knowledge and advisory capacity rather than command authority. All three statements accurately describe organizational authority concepts.

Multiple choice

Which one of the following is not included in 'hygiene' factors in the Herzberg two-factor theory of motivation?

  1. Salary

  2. Working conditions

  3. Company's policy

  4. Responsibility
Reveal answer Fill a bubble to check yourself
D Correct answer
Explanation

Herzberg's two-factor theory distinguishes between hygiene factors (which prevent dissatisfaction) and motivators (which create satisfaction). Responsibility is a motivator, not a hygiene factor. Salary, working conditions, and company policy are classic hygiene factors - their absence causes dissatisfaction but their presence doesn't motivate. Responsibility, achievement, and growth are motivators that drive positive job satisfaction.

Multiple choice

Which of the following pairs is/are correctly matched?

 
Scholar
Viewpoint
1. F. Riggs
In developing countries, bureaucracy also performs political roles
2. Harold Laski
Bureaucracy is a threat to democratic government
3. S. Eisenstadt
Bureaucracy is the most rational form of organization

Select the correct answer using the code given below:

  1. 1 and 2

  2. Only 1

  3. Only 2

  4. 1 and 3

Reveal answer Fill a bubble to check yourself
A Correct answer
Explanation

F. Riggs correctly observed that in developing countries, bureaucracy performs political roles due to weak party systems and administrative dominance. Harold Laski correctly warned that bureaucracy could threaten democratic government if it becomes too powerful and unaccountable. However, S. Eisenstadt did NOT say bureaucracy is the most rational form of organization - that was Max Weber. Eisenstadt studied bureaucracies in historical and comparative contexts but didn't make this specific claim attributed to Weber. So only 1 and 2 are correctly matched.

Multiple choice

Which of the following pairs is/are correctly matched?

 
1. Cybernetic Theory
Norbert Weiner
2. Task-Technology approach to organizational design
Joan Woodward
3. Classical approach to organizational design
Frederick Taylor

Select the correct answer using the code given below:

  1. Only 1 and 2

  2. Only 2 and 3

  3. Only 1

  4. 1,2 and 3

Reveal answer Fill a bubble to check yourself
D Correct answer
Explanation

Norbert Wiener is correctly matched with Cybernetic Theory - he founded the field studying control and communication in systems. Joan Woodward is correctly matched with the Task-Technology approach - her research showed how production technology influences organizational structure. Frederick Taylor is correctly matched with the Classical approach - Scientific Management was a cornerstone of classical organizational theory. All three pairs are accurately matched.

Multiple choice

Contingency approach to leadership focuses on which of the following?

  1. Task requirements
  2. Peers' expectations
  3. Employees' expectations
  4. Organizational policies. Select the correct answer using the code given below

  1. Only 1,2 and 3

  2. Only 1,2 and 4

  3. Only 3 and 4

  4. 1,2,3 and 4
Reveal answer Fill a bubble to check yourself
D Correct answer
Explanation

The contingency approach to leadership is situational - it considers all contextual factors that influence leadership effectiveness. This includes task requirements (what needs to be done), peers' expectations (group dynamics), employees' expectations (followers' needs), AND organizational policies (structural constraints). All four elements shape appropriate leadership style.

Multiple choice

Consider the following statements:

  1. Motivation cannot be used as a tool to arrange job relationships in an organization.
  2. Individuals make conscious decisions about their behaviour in the organization.
  3. Motivation factors are related to the job content and the rewards of work performance. Which of the statements given above are correct?

  1. Only 1 and 2

  2. Only 2 and 3

  3. Only 1 and 3

  4. 1,2 and 3
Reveal answer Fill a bubble to check yourself
B Correct answer
Explanation

Statement 2 is correct: Individuals consciously choose their behavior based on motivation, needs, and expectations. Statement 3 is correct: Motivation factors (intrinsic and extrinsic rewards, recognition, achievement) are indeed related to job content and performance rewards. Statement 1 is incorrect: Motivation CAN and IS used to structure job relationships - job design, role allocation, and team composition all use motivation principles.

Multiple choice

Consider the following statements:

Organization development is different from

  1. management development, which is action oriented.

  2. operations research, which is not human value oriented.

Which of the statements given above is/are correct?

  1. Only 1

  2. Only 2

  3. Both 1 and 2

  4. Neither 1 nor 2
Reveal answer Fill a bubble to check yourself
B Correct answer
Explanation

Organization Development (OD) differs from management development (Statement 1) because OD is long-term, system-wide organizational change, while management development is short-term, individual skill enhancement - OD is MORE action-oriented. OD differs from operations research (Statement 2) because OD is fundamentally human-value oriented and focuses on human processes, while OR uses quantitative models. Only Statement 2 is correct.

Multiple choice

Which of the following are the outcomes of organizational development?

  1. Improvement in interpersonal skills of members
  2. More organic organization
  3. Resolution of conflict through interactive methods Select the correct answer using the code given below

  1. 1,2 and 3

  2. Only 1 and 2

  3. Only 2 and 3

  4. Only 1 and 3
Reveal answer Fill a bubble to check yourself
A Correct answer
Explanation

Organizational development aims to improve organizational effectiveness by focusing on human and social processes. All three outcomes are correct: OD enhances interpersonal skills among members (1), makes organizations more flexible and organic rather than rigid (2), and resolves conflicts through collaborative, interactive methods rather than authoritarian approaches (3).

Multiple choice

Consider the following statements:

  1. Model synthesis of organization is based on the fact that all organizations must deal with uncertainty.
  2. Sources of uncertainty are external as well as internal.
  3. If the sources of organizational uncertainty are internal, then the organization will try to reduce uncertainty by decentralizing. Which of the statements given above are correct?

  1. Only 1 and 2

  2. Only 2 and 3

  3. Only 1 and 3

  4. 1,2 and 3
Reveal answer Fill a bubble to check yourself
A Correct answer
Explanation

Statements 1 and 2 are correct: the Model synthesis of organization indeed recognizes that all organizations face uncertainty (1), and sources of this uncertainty can be both external (market changes, competition) and internal (technology, employee behavior) (2). Statement 3 is incorrect because when uncertainty sources are internal, organizations try to control them through centralization to gain better oversight, not decentralization.

Multiple choice

Consider the following statements:

Computer technology has made the concept of

  1. authority more relevant

  2. authority less relevant

  3. chain of command more relevant

  4. unity of command less relevant

Which of the statements given above is/are correct?

  1. 1 and 3

  2. Only 3

  3. 2 and 4

  4. 1 and 4
Reveal answer Fill a bubble to check yourself
C Correct answer
Explanation

Computer technology and information systems have made traditional authority structures less relevant (2) because information can flow directly without going through hierarchical channels. Similarly, unity of command (reporting to only one supervisor) has become less relevant (4) as matrix organizations and project-based work require employees to report to multiple leaders simultaneously. Authority and chain of command have not become more relevant in the digital age.

Multiple choice

Consider the following statements about managerial grid in the context of leadership theories:

  1. It portrays a three-dimensional view of leadership style.
  2. The grid shows dominating factors in a leader's thinking in regard to getting results.
  3. The grid does not show results produced.
  4. The grid offers a framework for conceptualizing leadership style. Which of the statements given above are correct?

  1. Only 1

  2. Only 2

  3. Both 1 and 2

  4. Neither 1 nor 2

Reveal answer Fill a bubble to check yourself
A Correct answer
Multiple choice

Consider the following statements:

  1. Control helps to monitor environment changes and their effects on the organization's progress.
  2. Delegation of authority in participative management does not change the nature of the control process. Which of the statements given above is/are correct?

  1. Only 1

  2. Only 2

  3. Both 1 and 2

  4. Neither 1 nor 2
Reveal answer Fill a bubble to check yourself
A Correct answer
Explanation

Statement 1 is correct - control systems monitor environmental changes and assess organizational impact. Statement 2 is incorrect - delegation in participative management DOES change the control process, making it more indirect, results-oriented, and dependent on subordinate self-control rather than direct supervision. Therefore 'Only 1' is the right answer as stated.

Multiple choice

Which one of the following is not a component of Max Weber's ideal bureaucracy?

  1. Job specialization

  2. Impersionality

  3. Career orientation

  4. Organization as a social system
Reveal answer Fill a bubble to check yourself
D Correct answer
Explanation

Weber's ideal bureaucracy includes job specialization, impersonality, career orientation with advancement based on merit, and hierarchy of authority. Treating the organization as a 'social system' is NOT part of Weber's model - his conception is rational-legal, emphasizing rules, procedures, and formal structure rather than social relationships or informal systems. This is the correct 'not a component' answer.