'Memo Builders' was constructing a five star hotel for a leading hotel chain. The hotel had to be given possession by next year but the construction of the hotel was running six months behind schedule. The Chief Executive Officer of 'Memo Builders' was concerned as Memo Builders was known for its quality and timely completion of projects. He asked Nitin, the senior of the Project Head for a thorough investigation. Nitin investigated and reported to the Chief Executive Officer that inspite of huge absenteeism of workers, additional workers were not called. Nitin also reported to the Chief Executive Officer that three of the ten machines being used by the workers were defective. Nitin ordered for repair of the machines and asked the Project Head to appoint additional workers with attractive wages to ensure that the deadline is met.
(a) Identify the function of management. Quoting the lines from the above para, explain the steps of the process of the function of management discussed.
(b) Also explain any two points of importance of the function of management identified in (a) above.
(a) Identify the function of management. Quoting the lines from the above para, explain the steps of the process of the function of management discussed.
(b) Also explain any two points of importance of the function of management identified in (a) above.
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Solution and Explanation
1. Setting Standards: - Implied standard: Project completion within original timeline - "The hotel had to be given possession by next year"
2. Measuring Performance: - "Construction...running six months behind schedule" - "Huge absenteeism of workers" - "Three of the ten machines...defective"
3. Comparing Results: - Actual (6 months behind) vs Expected (on schedule) - Resource gap analysis (workers, equipment)
4. Corrective Action: - "Ordered for repair of the machines" - "Appoint additional workers with attractive wages"
(b) Importance Points:
1. Goal Achievement: - Ensures projects meet quality/time standards - Protects company reputation ("known for timely completion")
2. Resource Optimization: - Identifies underutilized assets (machines) - Balances labor requirements (absenteeism vs hiring) The case demonstrates: - Concurrent control (during project execution) - Quantitative control (time metrics) - Multi-level control (CEO to Project Head)
Top Questions on Controlling
Inspired by the success of Chandrayaan-3, the Chief Scientist at ‘Space Rover’ a private research group, decided to send some innovative ideas regarding the mission to the Chief Scientist of Chandrayaan-3. The Chief Scientist at ‘Space Rover’ formed four groups for the same. As it was an intellectual activity of thinking rather than doing, these four groups started interacting with each other and friendships developed. On the basis of their interaction and friendship, some members from each group formed ‘Entertainment Through Reading’ group which showed conformity in terms of their interest. ‘Entertainment Through Reading’ group had no written rules, was unstable in form and scope and had no fixed lines of communication. The members of this group enhanced the morale of each other, enjoyed drinking coffee together, read books, served different issues of their work areas and provided support to each other. Ultimately this group developed some innovative ideas which were sent by ‘Space Rover’ to the Chief Scientist of Chandrayaan-3. Though this group was formed for recreation but it contributed towards fulfillment of organisational objectives.
(a) Identify the function of management. Quoting the lines from the above para, explain the steps of the process of the function of management discussed.
(b) Also explain any two points of importance of the function of management identified in (a).- Which of the following is not a protective function of Securities and Exchange Board of India?
- State any four points of importance of the controlling function of management.
- "Only a 5% increase in labor cost may be more troublesome than a 15% increase in postal charges."Identify the concept pointed out in the statement.
- Identify the correct sequence of Controlling process:
(A) Analysing deviations
(B) Measurement of actual performance
(C) Setting up standards
(D) Comparison of actual performance with standards
Questions Asked in CBSE CLASS XII exam
(a) Identify and explain the function of management discussed in the above para.
(b) Explain any four points of importance of the function identified in (a).- CBSE CLASS XII - 2025
- Organizing
Explain the following factors affecting the working capital requirements of a business:
(i) Credit allowed
(ii) Production cycle
(iii) Availability of raw material- CBSE CLASS XII - 2025
- Financial Management and Financial Market
Explain the following points of significance of principles of management:
(i) Providing managers with useful insights into reality
(ii) Meeting changing environment requirements
(iii) Scientific decisions- CBSE CLASS XII - 2025
- Principles of Management
- Explain the following functions of marketing:
(i) Gathering and Analysing Market Information
(ii) Marketing Planning- CBSE CLASS XII - 2025
- Marketing Management
- (a) Explain the following factors affecting the working capital requirements of a business :
(i) Inflation (ii) Business cycle
(iii) Nature of business
OR
(b) Explain the following factors affecting the dividend decision of a company :
(i) Access to capital market
(ii) Legal constraints
(iii) Taxation policy- CBSE CLASS XII - 2025
- Financial Management and Financial Market