Management Principle and Application Unit 4 Notes For 3rd Semester As per CBSE New syllabus - Guwahati University | The Treasure Notes

SHORT TYPE QUESTIONS & ANSWERS 1. What is staffing? Ans: Staffing is the process of employing and developing required people to fill various positio
Management Principle and Application Unit 4  Notes For  3rd Semester As per CBSE New syllabus - Guwahati University | The Treasure Notes



  • Staffing: Concept of staffing, staffing process
  • Motivation Concept, Importance, extrinsic and intrinsic motivation; Major Motivation theories - Maslow's Need-Hierarchy Theory, Hertzberg's Two factor Theory, Vroom's Expectation Theory.
  • Leadership: Concept, Importance, Major theories of Leadership (Liker's scale theory, Blake and Mouten's Managerial Grid theory, House's Path Goal theory, Fred Fielder's situational Leadership), Transactional leader ship. Transformational Leadership, Transforming Leadership.
  • Communication Concept, purpose, process; Oral and written communication; Formal and informal communication networks, Barriers to commu , Overcoming barriers to communication.

Management Principle and Application 

Unit 4


1. What is staffing?

Ans: Staffing is the process of employing and developing required people to fill various positions in the organisation.

2. Why is it said that recruitment is a positive step in the process of staffing?

Ans: It is a positive process as it attracts suitable applicants who apply

for available jobs.

3. Staffing in an organization is an estimation of man power requirement. Comment. 

Ans: Staffing is concerned with determining the number and types of staff required for the organisation.

4. Give the serial order of 'staffing' as a function of management.

Ans: Planning, organising, staffing, directing and controlling.

What is motivation?

Ans: Motivation is an inner state of mind of a person. According to Vance motivation implies any emotion or desire, which so conditions one's will that the individual be properly led into action. So motivation is a psychological phenomenon, which generates within an individual.

5. What is leadership?

Ans: Leadership is the ability of a manager to induce subordinates to work with confidence and zeal. Leadership is the influential relationship which one person (the leader) influences others (the led) in a given in whic situation to work toge leader desires. other on the related .

6. What is communication?

Ans: Communication is an exchange of facts, opinions, ideas or emotions between two or more people. According to Keith Davis, "Communication is the process of passing information and understanding from one person to another."

7.What is directing?

Ans: Directing involves communicating and providing leadership to the subordinates and motivating them to contribute to the best of their capability for the achievement of organizational objectives.

8. What is positive motivation?

Ans: Positive motivation makes the people induce to do their work in the best possible manner they can and improve their performance. It provides better facilities and rewards for better performance.

9. What is negative motivation? 

Ans: Negative motivation aims at controlling the negative efforts of the workers and seeks to create a sense of fear or an uncongenial and unhelpful environment for the worker where he has to suffer for lack of good performance.

10. What is extrinsic motivation?

Ans: This motivation is induced by external factors, which are primarily financial in nature. These incentives and rewards have been a subject of debate, whether they really motivate the employees or simply move them to the work.

11. What is intrinsic motivation?

Ans: This is concerned with the state of self-actualization, in which the satisfaction of accomplishing something worthwhile motivates the employees further. These are primarily non-financial rewards.

12. What is formal communication?

Ans: Formal communication is that which takes place through the formal channels of the organization structure deliberately and established by the management. It implies consciously along the lines of authority formally established in the enterprise. 

13. What is grapevine?

Ans: It is also called informal communication. This communication is built around the social relationship of members of the organization. Grapevine or informal communication does not follow lines of authority. It is implicit, spontaneous, multidimensional and varied.

14. What is Downward communication?

Ans: Downward communication means communication, which flows, from a superior to subordinates. It follows the line of authority from the top to bottom of the organizational hierarchy.

15. What is upward communication?

Ans: Upward communication implies the flow of information from the lower levels of the organization to the higher levels of authority. It passes from subordinate to superior, such as from worker to foreman, from foreman to manager, from manager to general manager.

16. What is Horizontal communication? Ans: The transmission of information and understanding between people on the same level of organizational hierarchy is called the horizontal communication. It is also called lateral or sideward or crosswise communication.

17. What is Diagonal communication?

Ans: The transfer of information between people who are neither in the same department nor on the same level of organization hierarchy is called diagonal communication. As for example - the Assistant Marketing Manager communicates with the accounts clerk directly.

18. What is Gestural communication?

Ans: Gestural communication is also called non-verbal communication. It includes everything that may be used to convey meaning form one person to another by movement of lips or wink of an eye or the wave of hands etc. Expression through body parts is called Gestural communication.

19. What is formal leader?

Ans: A formal leader is one who is normally appointed or elected to direct and control the activities of the subordinates. He is a person created by the formal structure, enjoys organizational authority and accountable to those who have elected him in a formal way.

20. What is informal leader?

ans: Informal leaders are not formally recognized. They derive authority from the people who are under their influence. The informal leaders have only one task to perform, i.e. to help their followers in achieving their individual and group objectives.


1.What is the concept of staffing? 

Ans: The managerial function of staffing involves manning the organization structure through proper and effective selection, appraisal and development of the personnel's to fill the roles assigned to the employers/workforce. According to Theo Haimann, "Staffing pertains to recruitment, selection, development and compensation of subordinates."

Concepts: Staffing is an important managerial function- Staffing function is the most important managerial act along with planning, organizing, directing and controlling. The operations of these four functions depend upon the manpower which is available through staffing function. Staffing is a pervasive activity- As staffing function is carried out by all mangers and in all types of concerns where business activities are carried out.

Staffing is a continuous activity: This is because staffing function continues throughout the life of an organization due to the transfers and promotions that take place.

The basis of staffing function is efficient management of personnel's Human resources can be efficiently managed by a system or proper procedure, that is, recruitment, selection, placement, training and development, providing remuneration, etc.Staffing helps in placing right men at the right job. It can be done effectively through proper recruitment procedures and then finally selecting the most suitable candidate as per the job requirements.Staffing is performed by all managers depending upon the nature of business, size of the company, qualifications and skills of managers, etc. In small companies, the top management generally performs this function. In medium and small scale enterprise, it is performed especially by the personnel department of that concern.

2. Explain the Importance of Staffing.

Ans: It is of utmost importance for the organisation that right kinds of people are employed. They should be given adequate training so that wastage is minimum. They must also be induced to show higher productivity and quality by offering them incentives.In fact, effective performance of the staff function is necessary to realize the following benefits.

(a) Efficient Performance of Other Functions: Staffing is the key to the efficient performance of other functions of management. If an organisation does not have competent personnel, it can't perform planning, organisation and control functions properly.

(b) Effective Use of Technology and Other Resources: It is the human factor that is instrumental in the effective utilisation of latest technology, capital, material, etc. the management can ensure right kinds of personnel by performing the staffing function.

(c) Optimum Utilisation of Human Resources: The wage bill of big concerns is quite high. They also spend money on recruitment, selection, training and development of employees. In order to get the optimum output from the personnel, the staffing function should be performed in an efficient manner.

(d) Development of Human Capital: The management is required to determine the manpower requirements well in advance. It has also to train and develop the existing personnel for career advancement. This will meet the requirements of the company in future.

(e) Motivation of Human Resources: The behaviour of individuals is shaped by many factors such as education level, needs, socio-cultural factors, etc. that is why, the human aspect of organisation has become very important. The workers can be motivated through financial and non financial incentives.

(f) Building Higher Morale: Right type of climate should be created for the workers to contribute to the achievement of the organisational objectives. By performing the staffing function effectively, management can show the significance it attaches to the personnel working in the enterprise. This will increase the morale of the employees.

3.What are the Important Steps Involved in Staffing Process? 

Ans: Some of the important steps involved in staffing process are as follows:

(a) Manpower Planning : Manpower planning can be regarded as the quantitative and qualitative measurement of labour force required in an enterprise. Therefore, in an overall sense, the planning process involves the synergy in creating and evaluating the manpower inventory and as well as in developing the required talents among the employees selected for promotion advancement 

(b) Recruitment : Recruitment is a process of searching for prospective employees and stimulating them to apply for jobs in the organization. It stands for finding the source from where potential employees will be selected.

(c) Selection: Selection is a process of eliminating those who appear unpromising. The purpose of this selection process is to determine whether a candidate is suitable for employment in the organization or not. Therefore, the main aim of the process of selection is selecting the right candidates to fill various positions in the organization. A well-planned selection procedure is of utmost importance. 

(d) Placement : Placement means putting the person on the job for which he is selected. It includes introducing the employee to his job.

(e) Training: After selection of an employee, the important part of the programmed is to provide training to the new employee. With the various technological changes, the need for training employees is being increased to keep the employees in touch with the various new developments.

(f) Development: A sound staffing policy provides for the introduction of a system of planned promotion in every organization. If employees are not at all having suitable opportunities for their development and promotion, they get frustrated which affect their work.

(g) Promotions: The process of promotion implies the up-gradation of an employee to a higher post involving increasing rank, prestige and responsibilities. Generally, the promotion is linked to increment in wages and incentives but it is not essential that it always relates to that part of an organization.

(h) Transfer: Transfer means the movement of an employee from one job to another without increment in pay, status or responsibilities. Therefore this process of staffing needs to evaluated on a timely basis.

(i)Appraisal : Appraisal of employees as to how efficiently the subordinate is performing a job and also to know his aptitudes and other qualities necessary for performing the job assigned to him.

(j) Determination of Remuneration : This is the last process which is very crucial as it involves in determining remuneration which is one of the most difficult functions of the personnel department because there are no definite or exact means to determine correct wages.

4.Discuss the different characteristics of motivation. 

Ans: Following are the main characteristics -

(a) Motivation is internal feeling: Motivation is the internal feeling of an individual. It points out the energizing force, within an individual that direct or influence him to behave in a particular way.

(b) Continuous process: Motivation is a continuous or never ending process. It is so because human needs, desires, wants or wishes are endless. All of them can never be satisfied simultaneously. Satisfaction of one need gives size to another need. Therefore motivation process goes on forever.

(c) Dynamic process: Motivation is a dynamic and complex process.It is so because it relates to human behavior, which is never static but dynamic. It keeps on changing continuously. 

(d) A psychological concept: The concept of motivation is mainly psychological. It relates to those forces operating within the individual employee, which compel him to act or not to act in certain ways.

(e) A way to direct and explain behavior: Motivation refers to the way which urges, drives, desires, inspirations or needs direct and explain the behavior of human beings. It is the psychological process that gives behavior purpose and direction.

(f) It is the willingness to exert effort: Motivation is the willingness of an individual to exert effort in the pursuit of organizational goals and to satisfy some individual needs.

(g) System-Oriented: Motivation is system oriented. It is the system that contains three main factors-

(a) factor operating within an individual i.e. his needs, aspirations, wants, wishes, values, etc. 

(b) factors operating within the organization such as organizational structure technology, physical facilities, work environment etc. 

(c) factors operating in the external environment such as customers, norms of society, culture etc. Motivation is the result of interaction among these factors

(h)Need satisfying process: Motivation is a need satisfying process. An unsatisfied need creates tension that stimulates drives within an individual. These drives generate search behavior to find particular goals that (if attained) will satisfy the need and reduce tension.

(i) Energizing force: Motivation is the process that energizes or encourages individuals to put in effort to achieve organizational goals and to satisfy their needs.

(j) Positive or negative: Motivation can be positive or negative. Positive motivation implies use of incentives such as increase in pay, reward, promotion, and so on for better work. Negative motivation, on the other hand, means punishment and penalties such as reprimands, threats of demotion, fear of loss of job etc.

(k) Whole individual is motivated: Every individual is an integrated whole in himself. Therefore, whole individual can and should be motivated. A part of the individual cannot be motivated. It is so because motivating is a psychological concept that is concerned with the whole individual.

(l) Frustrated individual cannot be motivated: A frustrated individual cannot be satisfied and motivated. In other words, an individual who is unable to satisfy his basic needs becomes frustrated. Such as individual cannot be motivated until his needs are satisfied.

(m) Motivation is different from morale: It is true that both motivation and morale relate to individual and group psychology. But, distinction is made between the two terms. Firstly, motivation is the reason what makes an individual to do work. It consists of forces and procedures that direct or influence an individual's behavior. On the other hand, morale is individual's on group's attitude and feelings about his work and work situation. It is a resultant state encompassing the willingness to cooperate. Secondly, motivation is an individualistic concept whereas morale is a group concept. Thirdly, motivation is the result of satisfaction of needs. desires, aspirations etc, whereas morale is the result of good motivation.

(n) Motivation and job satisfaction are not synonymous: Motivation is different form job satisfaction Job satisfaction is the positive emotional attitude of an individual towards his job resulting from his job performance and job situation. It is a psychological contentment, which an individual experience from the factors associated with the job. Motivation on the other hand, is the result of job satisfaction as well as individual's needs satisfaction.

5.Describe the importance of motivation?

Ans: Motivation is regarded as one of the most important functions of management. The importance of motivation is summarized in the following points.

(a) Inspires employees to work: Effective motivation system inspires employees to do work or to take action. It prepares them to do their work with full devotion. It creates willingness among the employees to perform their work with great enthusiasm, zeal and loyalty.

(b) High Performance: Highly motivated employees perform better and higher as compared to the employees with low level of motivation Motivation is the main spring of performance. Without motivation the other contributors to performance become rather irrelevant.

(c) Higher Productivity: Motivated employees can use their skills and organizational resources more efficiently and effectively. This ultimately results in higher productivity of all the resources of the organization

(d) Effectiveness of management functions: A proper motivation system is key to the effectiveness of all managerial functions. Effectiveness of all managerial functions will go for naught if employees cannot be motivated to fulfill their responsibilities Planning and organizing cannot be successful if the employees are not properly motivated.

(e) Helps achieve organization's objectives: Motivation is core of management. Through motivation, managers encourage employees to direct their energies for achieving organizational goals. Thus, motivation helps achieve organizational objectives.

(f) Human resource development: Motivation helps develop human resource in an organization. Through motivation, employees can be directed to enlarge their job skills. In order to maintain a continual reservoir .

6. Write the Difference Between Intrinsic and Extrinsic Motivation.

Ans: Intrinsic and extrinsic motivation are two types of motivation. These two types can be influenced by two other kinds of motivation, namely, positive and negative motivation.In all types of motivation, a person's desire, motive, and outcome are common denominators.As their names imply, intrinsic motivation and extrinsic motivation refer to the origin of the motivation. In intrinsic motivation, the motivation exists within a person while "extrinsic" refers to external or outside motivation. In a sense, both types apply the theory of incentive reward to reason.

These two types of motivation are applicable to many industries and all kinds of people. Intrinsic or extrinsic motivation can allow reagent, interest focus, direction, sustained actions, and an expected outcome from a person. Sometimes both intrinsic and extrinsic motivation can exist independently or in combination with each other in any human activity. They can also overlap depending on the circumstances.

Intrinsic motivation is voluntary motivation. It is often caused by the following factors: interest, enjoyment and pleasure, personal accomplishment and satisfaction, pride, internal reward, developed skills and competency, core beliefs, internal needs, and other internal rewards. This type of motivation has elements of autonomy, personal goals and eagerness.

In many situations, intrinsic motivation is much more favored because it is voluntary, no need for force, and builds more momentum in the individual. Also, people with intrinsic motivation are more cooperative, less competitive with other people, and they sustain their interest in the subject for a long period of time.Often, intrinsic motivation is formed when all of a person's basic needs are met. Since intrinsic motivation is individual-based, there is a variety of choices. In terms of rewards, intangible rewards come first while tangible rewards follow. In this situation, intangible rewards matter more than the tangible.Tangible rewards are seen as an additional incentive but not the main one.On the other hand, extrinsic motivation is the opposite of intrinsic motivation. As mentioned earlier, it is motivation that exists outside of a person. Many human situations are often caused by extrinsic motivation. These causes are usually in the form of external rewards, force, pressure,

acknowledgment and praise, conformity, social support, sense of worth, and other forms which are not self-based. Depending on the situation, external rewards can reinforce or undermine internal beliefs or rewards. Extrinsic motivation can cause some people to be more competitive or more aggressive among other people for the same reward. In addition, some rewards are non-sustainable or decreases in value over the passage of time.

In some situations, external rewards are the same and applicable to a group of people.Speaking of rewards, the tangible rewards hold a prominent role in extrinsic motivation. Over time, intangible rewards can later be realized. 

7. Explain in detail the Maslow's theory of motivation along with its assumptions. Also mention its merits and demerits? 

Ans: A.H. Maslow, a noted psychologist, propounded the need hierarchy theory of motivation. It is one of the best-known theories of human motivation. According to Maslow, within every human being there is a hierarchy of five needs, which are as follows -

(i) Physiological needs(ii) Safely needs (iii) Social needs(iv) Esteem needs (v) Self-actualization needs .

(i) Physiological needs: Physiological needs are concerned with the basic biological functions of the human body. These needs relate to the essentials for survival. These include the needs for food, water, clothing. shelter, rest, recreation etc. These need are inherent in the nature of a human body.

Physiological needs are the most powerful motivators as no human being can survive without them. These needs are at the lowest level in the hierarchy of needs.

(ii) Safety needs: Safety needs are concerned with protecting the person from physical and psychological harm as well as the assurance that physiological needs will continue to be met. These include the needs of job security, economic and social security, e.g. pension, insurance etc. Safety needs begin to rise when the physiological needs of a person are fairly met. 

(iii) Social or belonging or love needs: Social needs relate to the desire to have social interaction, friendship, affiliation belongingness with groups, acceptance, affection, support from others and so on. Such needs become motivators when physiological and safety needs have been fairly satisfied. 

(iv) Self-esteem or egoistic needs: Self-esteem needs, constitute the fourth level in the hierarchy of needs. These needs arise when physiological; safety and social needs have been fairly satisfied. According to Maslow these needs are of two types 

(i) Need of self respect or self-esteem and (ii) Needs for esteem from others or public esteem.

Self-respect means the respect in the eyes of oneself. Self-respect needs include the needs for self-confidence for competence, for independence and freedom, for achievement and personal strength. Esteem from other, means the respect or image in the eyes of others. The needs of esteem from others includes the needs for prestige, recognition, acceptance, attention status, reputation and appreciati from others.

(v) Self-actualization needs: The four needs described above, motivate people by their absence. But self-actualization needs are the needs and aspirations for growth. Such needs motivate people by their presence.

8.What are the various types of motivation? Mention briefly each of them.

Ans: Motivation may be classified in the following categories

(a) Positive and Negative motivation: Positive motivation is the process of afluencing others to do work or to behave in accordance with the desire of leader through the use of reward e.g. pay, fringe benefits, praise, ponsibility, participation in decision-making, social recognition and so Negative motivation is the process of controlling negative behavior/efforts of employees through fear and punishment. Thus, negative motivation is based on fear of force or threats. When employees fail to perform desired work or fail to behave in the desired manner, they are threatened or forced not to do so. Such threats or forces include wage cuts, retrenchment, demotion, transfer, reprimands and so on.

(b) Extrinsic and intrinsic motivation: Extrinsic or external motivation is one, which arises from external factors. It is related to job environment. It is the incentive or reward that a person receives after finishing his work. It includes higher wages, profit sharing, fringe benefits and so on.

Intrinsic or internal motivation is that which comes from the satisfaction that arises while performing a job. It is an internal reward i.e. satisfaction that comes while a person is performing his job. Thus, it is motivation that arises out of a job itself. It is an internal stimulus resulting from job content and not from job environment.

(c) Financial and non-financial motivations: Financial motivation is the pecuniary motivation and occurs from direct or indirect monetary benefits. Wages, fringe benefits etc. are the direct monetary benefits. Bonus, profit sharing plans, pension plans, and health insurance plans etc. are the indirect financial benefits.

Non-financial motivation is one, which is not associated with monetary rewards. In fact, non-financial motivation is psychic in nature. It comes from the satisfaction of higher level needs, i.e. social, esteem and self actualization needs. Work environment, praise, recognition, promotions, more authority and responsibility etc. are the non-financial motivators.

9. Describe different techniques of Motivation?

Ans: Managers use variety of techniques for motivating employees. Such techniques may be broadly classified under the following two heads

(1) Financial or monetary techniques.

(ii) Non-financial or non-monetary techniques.

(iii) Financial Techniques/Incentives: Financial techniques of motivation are those, which involve financial expenditure for an organization and increase money income of its employees. These include.

(a) pay, (b) dearness and other allowances, (e) bonus, (d) profit-sharing and (e) fringe benefits and so on.

Fringe benefits are the benefits over and above regular pay and variable payment related to performance. Fringe benefits is, thus, a wider term includes housing, transport, recreation facilities, gratuity and soon. Thus, financial techniques are the financial incentives that provide pecuniary or

monetary benefits or rewards to employees Monetary techniques are thus pecuniary benefits or rewards to the employees. These are tangible and visible incentives. These also play crucial role in satisfying the social and esteem needs of the employees. Money is recognized as a symbol of social status and source of power in the modern times. Thus, financial techniques beyond doubt serve most powerful role in motivating employees.

(ii) Non-financial Techniques/Incentives: Non-financial techniques of motivation are those, which are not associated with financial rewards. Such techniques are mainly psychic in nature. These are associated with the work and work environment. Such techniques contribute to the satisfaction of higher level needs such as social, esteem and self actualization needs. Some of the non-financial techniques of motivation are as follows

(a) Job enlargement: Job enlargement is one of the modern techniques of motivation. Job enlargement means enlarging or adding more and different but simple tasks to a specialized job. Thus, it increases the number and variety of tasks a worker should do. Consequently, employees are encouraged to learn new skills or take new responsibility. This technique is also called the horizontal job loading.

(b) Job enrichment: Job enrichment is another technique of motivation. It is a technique of vertical job loading. It is a technique' which focuses on job depth. Job enrichment refers to the basic changes in the content and level of authority and responsibility of a job so as to provide greater challenge to the employees. It is the process of adding several positive inducement and altercations in a job with a view to make the job more interesting, meaningful and challenging. Thus, it permits self-direction and self-control, which in turn, motivates employees.

10.Discuss the different nature of leadership.

Ans: Following characteristics which highlight the nature of leadership:

(a) Personal quality: Leadership is a personal quality of a person. It is a behavioral quality and ability to influence others towards accomplishing a goal. Barnard has very rightly stated that "Leadership is the quality of behavior of individuals where by they guide people or their activities."

(b) Leadership depends on doing: Leadership is a kind of personal quality. But effectiveness of leadership depends on its application or on performance. Peter Drucker has very aptly remarked "Leadership has little to do with leadership qualities and even less to do with 'Charisma.' It is mundane, unromantic and boring. It is work. Its' essence is performance."

(c) Followers: Leadership presupposes existence of followers. There cannot be leadership without followers. In the words of Koontz and O'Donnell, "The essence of leadership is followership. It is the willingness of people to follow that makes a person a leader." Thus effective leader makes his followers to act willingly to achieve the goal.

(d) Influencing and inspiring process: Leadership is a process of influencing and inspiring others to work towards objectives. Influencing means regulating and changing behavior, attitudes and feelings of others. The means of influencing others include reward, coercion, expertise, reference and tradition. Leaders can also influence with rational faith participation and persuasion.

(e) Continuous process: Leadership is a continuous process. A leader continuously makes efforts to influence behavior of his group members. He carries on this process by maintaining free flow of two-way communication with the entire group of his followers.

(f) Interpersonal relations: Leadership involves interpersona relationship between the leader...d his group members. A leader influence his group members and at the same time group members the leader. Thus, a leader does not dominate the will of the members but tries to relate the wills of many people to get them work as a team.

(R) Common goals: Leadership is the ability of influencing behavior of people to work willingly to achieve some common goal. Terry and Franklin state that "It is the activity of influencing people to strive willingly for mutual objectives." Thus, leadership involves community of interests between the leader and his followers.

(h)Shared functions: Leadership is a shared function. A good leader shares everything with his followers. He shares ideas, opinions, experience, credits, balances and so on with his followers. Pervasion function: Leading is the function that pervades all the levels and functions of management. Planning, organizing, motivating and controlling cannot be performed effectively without effective leadership.

(j) Dynamic art: Leadership is a dynamic art. No particular style of leadership is effective in all situations. The effectiveness of leadership depends heavily on the situational variables. Therefore, art of leadership is exercised and applied in accordance with the demands of the situations. 

(k) Power: Leadership is based on power. A person holding power over others is a leader. By virtue of power, a person is in a position to influence the behavior of his group members. A leader may derive power from (i) superior knowledge, information experiences or performance,(ii) formal authority (iii) charisma, and (iv) distinct personalitycharacteristics.(Leadership may be formal and informal.

(m) Managing and leadership are not one and the same. But it is not always possible to distinguish between them in practice.

(n) Leadership may be positive or negative.

11. Explain the importance of leadership.


Describe the various functions of leadership. 

Ans: Leadership is a dynamic and constructive force in any organization. It plays a crucial role in the success and survival of an organization. It is the crucial factor that helps individuals to identify their goals. Briefly the importance and functions of leadership are as follows 

(a) Determination of goal: A leader plays a crucial role in laying down goals and policies of his group or the institution. He acts as a guide in setting organizational goals and policies

(b) Guides and inspires or motivates: An effective leader guides and inspires or motivates his group members to work willingly for achieving the goals. He makes every effort to direct and channelise all energies of his followers to the goal-oriented behavior. He creates enthusiasm for higher performance among his followers. 

(c) Boosts morale: Morale refers to the attitude of employees towards organization and management and will offer voluntary co-operation to the organization. Morale is an internal feeling of a person. A good leader can arouse will to co-operate among the employees.

(d) Creates confidence and enthusiasm: A good leader creates confidence among his group members. He does so by providing guidance, help and support in their day-to-day work. He even provides psychological support and infuses the spirit of enthusiasm among them.

(e) Develops team spirits: A good leader constantly tries to develop team spirit among his group members/followers. He inculcates a sense of community of interests. He provides a satisfying work climate by harmonizing individual and group goals. Thus, a leader reconciles conflicting goals and creates team spirit among his followers.

(f) Creates vision and initiative: It has been rightly said, where there is no vision, people perish. Leader gives vision to their followers, which in turn, create initiative and enthusiasm among them. The followers use this vision and initiative to take up challenging tasks.

(g)Transforms potential into reality: Effective leadership can transform potential or dream into reality. Leaders can identify, develop, channelise and enrich the potentials existing in an organization and its people.

(h) Representation: A leader represents his group members. He is the connecting link between his group members and the tor He carries the views and problems of his group memb p management. Ders to the concerned .

12.Describe the essential qualities of leadership.

Ans: A general description of qualities of successful leader is given under the following sub-heads:

(a) Personality and stamina: It is rightly said that sound mind resides in sound body. Hence, a leader should have sound health and good stamina to work hard. He should be handsome with the charming personality Such a leader has a lasting impact on the minds of his followers.

(b) Intelligence: A leader should be intelligent. He should have average level of intelligence. He should be capable of thinking scientifically.

(c)Self-confidence: A leader should have self-confidence. He should be fully confident of his action and decisions.

(d) Vision and foresight: A leader is required to have sharp vision and foresight. He should be able to foresee the future trend of events This quality prepares him for future challenges.

(e) Ability to inspire: An effective leader is one who has ability to inspire. Hence, he should be capable of influencing people by his ideas, action and behavior.

(f) Ability to communicate: A leader should have ability to communicate effectively. He should be efficient in verbal, written, gestural communication skills. 

(g)Sincerity and honesty: A leader should be sincere and honest. His integrity should be above doubts. Sincerity and integrity makes a man truthful, high-minded and gives him aspirations and high ideas. (F.W.Taylor)

(h) Courage and will power: It has been rightly said that without courage there are no virtues. No faith, hope, aspiration etc. can be transformed into realities without courage and willpower. Hence, a leader should be courageous.

(i) Flexible and dynamic: A leader should have flexible and dynamic mindset. He should be capable of adopting ideas and views in accordance with the need of the changing situation.

(j) Emotional stability i.e. maturity: A leader should be capable of keeping his emotions under control. Emotional stability and cool temperament are necessary for a matured leader. Hence he should remain cool, patient and undisturbed by the happening of unusual and unanticipated events.

13. What do you mean by Transactional Leadership? Write its features. Also write its advantages and disadvantages.

Ans: Transactional leadership or transactional management is the part of one style of leadership that focuses on supervision, organization, or performance; it is an integral part of the Full Range Leadership Model. Transactional leadership is a style of leadership in which leaders promote compliance by followers through both rewards and punishments. Through a rewards and punishments system, transactional leaders are able to keep followers motivated for the short-term. Unlike transformational leaders, those using the transactional approach are not looking to change the future. they look to keep things the same. Leaders using transactional leadership as a model pay attention to followers' work in order to find faults and deviations.

This type of leadership is effective in crisis and emergency situations, as well as for projects that need to be carried out in a specific way. Transactional leadership styles are more concerned with maintaining the normal flow of operations. Transactional leaders use disciplinary power and an array of incentives to motivate employees to perform at their best. The term "transactional" refers to the fact that this type of leader essentially motivates subordinates by exchanging rewards for performance.

A transactional leader does not look ahead to strategically guiding an organization to a position of market leadership; instead, these managers are solely concerned with making sure everything flows smoothly today. A leadership style based on the setting of clear goals and objectives for followers and the use of rewards and punishments to encourage compliance. Transactional leaders are those who guide or motivate their followers towards established goals by clarifying role and task requirements. Advantages of Transactional leadership:

(i) Awards those who are motivated by self-interest to follow instructions. 

(ii)It gives an unambiguous structure for large organizations, systems requiring repetitive tasks and infinitely reproducible environments. 

(iii)Achieves short-term goals quickly.

(iv) Rewards and penalties are defined by workers.

 Disadvantages of Transactional leadership:

(i) Rewards the worker on a practical level only, such as money or perks

(ii) Creativity is limited since the goals and objectives are already set

(iii) It does not reward personal initiative.

14. What do you mean by Transforming Leadership? Explain the four elements of transformational leadership?

Ans: Transformational leadership is a theory of leadership where a leader works with teams to identify needed change, creating a vision to guide the change through inspiration, and executing the change in tandem with committed members of a group; it is an integral part of the Full Range Leadership Model. Transformational leadership is when leader behaviors influence followers and inspire them to perform beyond their perceived capabilities. Transformational leadership inspires people to achieve unexpected or remarkable results. It gives workers autonomy over specific jobs, as well as the authority to make decisions once they have been trained. This induces a positive change in the followers attitudes and the organization as a whole. Transformational leaders typically perform four distinct behaviors, also known as the four I's. These behaviors are inspirational motivation, idealized influence, intellectual stimulation, individualized consideration. The Four Elements of Transformational Leadership are:

(i) Inspirational Motivation: The foundation of transformational leadership is the promotion of consistent vision, mission, and a set of values to the members. Their vision is so compelling that they know what they want from every interaction. Transformational leaders guide followers by providing them with a sense of meaning and challenge. They work enthusiastically and optimistically to foster the spirit of teamwork and commitment.

(ii) Intellectual Stimulation: Such leaders encourage their followers to be innovative and creative. They encourage new ideas from their followers and never criticize them publicly for the mistakes committed by them. The leaders focus on the "what" in problems and do not focus on the blaming part of it. They have no hesitation in discarding an old practice set by them if it is found ineffective. 

(iii) Idealized Influence: They believe in the philosophy that a leader can influence followers only when he practices what he preaches. The leaders act as role models that followers seek to emulate Such leaders always win the trust and respect of their followers through their action. They typically place their followers needs over their own, sacrifice their personal gains for them, ad demonstrate high standards of ethical conduct The use of power by such leaders is aimed at influencing them to strive for the common goals of the organization.

(iv) Individualized Consideration: Leaders act as mentors to their followers and reward them for creativity and innovation. The followers are treated differently according to their talents and knowledge. They are empowered to make decisions and are always provided with the needed support to implement their decisions. The common examples of transformational leaders are Mahatma Gandhi and Obama.

15. Explain Likerl's four-system management approach in leadership. Which system of management is suggested best by Likert and why? Discuss.

Ans. Renses likert, developed the four system of management. He was the director of Michigan Institute of social Research USA. He classified leadership styles in four categories viz - 

(i) Exploitative Autocratic : In this style, there is no participation of workers because these leaders have no confidence and trust in subordinates. They seldom get ideas and options of subordinates. They seldom get ideas and opinions of subordinates in solving job problems, they motivate people through fear and punishment and engage in downward communication.

(ii) Benevolent autocratic : Its managers have great confidence and trust in subordinates. Managers sometime gets ideas and opinion of subordinates and in solving job problems, motivate people with rewards and permit some upward communication.

(iii) Participative autocratic : Such kind of autocrat has substantial but not complete confidence and trust in subordinates, still wish to keep control of decisions usually get ideas and opinions of subordinates, motivate people with reward and permit both upward and downward communicaiton.

(iv) Democratic leadership: This kind of leadership is referred to a democratic it involves the use of the principle of supportive relationship and group methods of supervision. Managers in this system have complete confidence and trust in subordinates in all matters. Subordinates feel free to discuss their job and problem with their superiors.

Best system According to Likert: According to Likert, best system of management style of leadership is system 4. He considered it as best as managers who have applied for it to their operations had greater success as leaders. However he remarked that differences in the kind of work and in skills and values of employees of a particular company will require different procedures and ways to apply appropriately the basic principles of system 4 management.

Also Read

Unit - 1 Introduction 

Unit - 2 Planing 

Unit - 3 Organising 

Unit - 4 Staffing and Leading 

Unit - 5 Controlling

16. Explain Fiedler's Contingency Theory of Leadership.

Ans: Fiedler's Contingency Theory of Leadership states that your effectiveness as a leader is determined by how well your leadership style matches the situation. Fiedler's Contingency Theory, just like all contingency theories, states that there is no one best way to lead your team. The best way to lead your team will instead be determined by the situation.

It is important to realize that in Fiedler's Contingency Theory your leadership style is fixed. You cannot change your style to suit the situation Instead, you must put leaders into situations that match their style. This puts the theory at odds with more modern contingency theories such as situational leadership.There are two important factors in Fiedler's Contingency Theory leadership style and situational favorableness.

(a) Leadership Style: The first step in using the model is to determine your natural leadership style. To do this, Fiedler developed a scale called the Least Preferred Coworker (LPC).To score yourself on this scale you have to describe the coworker with whom least prefer to work.What do you think about those people you least prefer working with? Well, according to the model, the more favorably you rated the person you least prefer to work with the more relationship oriented you are. The less favorably you rated the person you least like working with the more task-oriented you are. So, in a nutshell:High LPC-Relationship-oriented leader. Low LPC Task-oriented leader.Task-oriented leaders tend to be good at organizing teams and projects and getting things done. Relationship-oriented leaders tend to be good at building good relationships and managing conflict to get things done.

(b) Situational Favorableness : The next step is to understand the favorableness of the situation you face. This is determined by how much control over the situation you have as a leader (situational control). Determining situational favorableness is done by examining the followingthree factors:

(i) Leader-Member Relations : This factor measures how much your team trusts you. Greater trust increases the favorableness of the situation and less trust reduces it.

(ii) Task Structure: This factor measures the tasks that need to be performed. Are they clear and precise or vague? Vague tasks decreasethe favorableness of the situation and concrete and clear tasks increase it.

(iii) Position Power: This is determined by your authority, meaning the power you have to reward or punish your subordinates. As you might expect, having more power increases the situational favorableness.

Limitations of Fiedler's Contingency Model:

Fiedler's Contingency Model is, therefore, a somewhat limited model for effective leadership.

(i) Notably, it's not a useful guide for helping people become better leaders;

(ii) nor is it an efficient or necessarily flexible model for modern leadership in organisations, given the dynamic variety of situations which nowadays arise.

A further implication of Fiedler's theory is potentially to require the replacement of leaders whose styles do not match situations, which fr several viewpoints (legal, practical, ethical, etc.) would be simply unworkable in modern organisations Nevertheless, despite its limitations, Fiedler's theory was an import contribution to leadership thinking, especially in reinforcing the no generally accepted views that: (1) There is no single ideal way of behaving as a leader, and (10 Matching leadership behaviour (or style) to circumstances for situations)- or vice-versa - is significant in effective leadership

17. Explain the various nature and characteristics of communication.

Ans: The various nature and characteristics of communication are as follows:

(i) Information or Message: It is the subject matter of the communication. It may consist of facts, information, ideas, opinions, etc In the absence of message, communication can not take place.

(ii) It Involves Minimum Two Persons: There must be at least two persons or two groups of people at two different ends. One end is the sender end and the other end is the receiver end.

(iii) Continuous Process: This process continues till the end of the organisation. During life of the organisation, it always continues in one form or other. Sometimes may be in the form or order, instruction, etc. and at other point of time in form of feed back, report etc.

(iv) Two-Way Process: The sender of the message must get back the necessary feedback or reaction of the receiver of the message. Without the response of the receiver, the whole process is incomplete.

(v) Communication is a Circular Process: Its process starts with the sender of the message and travelling through various stages completes with a feedback to communication from the recipients to the sender.

(vi) Media: There are a large number ways for communication. Conventional and non-conventional means may be considered as medium of this system. E-mail or fax may be non-conventional media.

(vii) Horizontal and Vertical: Communication may be horizontal as well as vertical. When communication takes place between two different levels i.e. top to bottom to top in the form of order and instruction is horizontal and when it takes between same levels, it is vertical. 

(viii) Mutual Understanding and Good Relation: Communication otingicies builds up better understanding among all members of the organisation which also develop better relationship among them. 

(ix) It may be Formal and Informal: Formal communication follows the formal channels provided in the organisational structure where as in informal communication there is definite channel for it.

18.Enumerate the importance or purpose of communication in management. 

Ans: The importance of communication in management are :

(i)Smooth and Unrestricted Running of the Enterprise : The smooth and unrestricted running of the enterprises depends on an effective system of communication. In any organisation, big or small, may it be public or private sector, communication plays a major role.

(ii) Quick Decision and Implementation : Communication helps the administration in arriving at vital decisions. In its absence, it may not be possible for the top administrators to come in closer contact with each other and discuss the important problems pertaining to the organisation.

(iii) Proper planning and Co-ordination: Good communication are essential to co-ordination. They are necessary upward downward and sideways, through all the levels of authority and advice for the transmission, interpretation and adoption of policies.

(iv) Maximum Production at Minimum Cost: If proper communication is arranged is an industry, owner and workers have cordial atmosphere so production will be continuous and workers will do work haughtily so that different types of loss like goods and time are not possible and maximum production is possible at minimum cost.

(v) Quick Decision and its Enforcement: Effective communication is required for the quick decision taking in big business of large scale as thoughts will be quickly transmitted and problems will be solved.(ve Incentive to Democratic Feeling: Effective communication which subordinates during discussion provides incentive to employees to feel democratic & proud. 

(vi) Job satisfaction: The effective communication develops the feeling of mutual trust. Hence, the workers know what the management expects of them and what they are doing. 

(vii) Communication as an Aid to Controlling: The remedial action is possible, only when the actual performance of people and the deviations from the standards are communicated to management for controlling process.

19. What do you understand by process of communication?


What are the essential elements of communication process? 

Ans: The communication process starts when the sender or communication has a message to communicate to some other person known as receiver. It will be completed when the receiver gets information and sends feedback to the communicator. The essential elements of communication are described below :

(i) Sender or Communicator: The person who conveys the message. is known as communicator or sender. By initiating the message, the communicator attempts to achieve understanding and change in the behaviour of the receiver.

(ii) Message: It is the subject matter of any communication. It may involve any fact, opinion or information. It must exist in the mind of the communicator if communication process is to be initiated. The sender of information organises his idea into a series of symbols (words, signs, etc.) which, he feels, will communicate to the intended receiver or receivers. This is called encoding of message.

(iii) Communication Channel: The communicator has to choose the channel for sending the information. Communication channels are the media through which the message passes. It may be either formal or informal.

(iv) Receiver: The person who receives the message is called receiver. The communication process is incomplete without the existence of receiver of the message. It is the receiver who receives and tries to understand the message. This is called decoding of message. 

(v)Feedback: Communication is completed when the communicator receives feedback information from the receiver. The feedback may reveal that the receiver has understood the message. It may also contain information about the action taken by the receiver on the basis of message sent by the communicator. Thus, feedback is the backbone of effective communication.

20. very Discuss some of the important barriers to communication. 

Ans: Communication is the nerve system of an enterprise. It is essential for the management to maintain an efficient flow of communication in all directions. But in practice, all messages are not effectively transmitted or received. Several obstructions, blockades, hurdles, stoppages or bottlenecks, called barriers to communication, distort the message and make communication ineffective. Some of the important barriers to communication have discussed below:

(i) Physical Barriers: A communication is a two-way process, distance between the sender and the receiver of the message is an important barriers to communication. Noise and environmental factors also block communication.

(ii) Personal Barriers: Personal factors like different in judgement, social values, bias, attitude, etc. Widen the psychological distance between the communication and the communicatee. Credibility gap, i.e. inconsistency between what one says and what one does, also acts as a barrier to communication.

(iii) Semantic or Language Barriers : Difficulties in communication arise when the sender and the receiver of the message use words or symbols in different sense. The meaning intended by the sender may be quite different from the meaning followed by the sender may not at all be followed by the receiver.

(iv) Status Barriers (Superior-Subordinate Relationship): Status or position in the hierarchy of an organisation is one of the fundamental barriers that obstructs free flow of information. A superior may give only selected information to his subordinates so as to maintain status difference. Such selective communication is also known as filtering.

(v) Organisational Structure Barriers : Effective communication largely depends upon sound organisational structure. If the structure is complex involving several layers of management, the breakdown or distortion in communication will arise.

(vi) Barriers due to Inadequate Attention : Inadequate attention to the message makes communication less effective and the message is likely to be misunderstood. Inattention may arise because of over business of the communicatee or because of the message being contrary to his expectations and beliefs. The simple failure to read notices, minutes and reports is also a common feature.

(vii) Premature Evaluation : Some people have the tendency to form a judgement before listening to the entire message. This is known as premature evaluation. Premature evaluation distorts understanding and acts as a barrier to effective communication.

(viii) Emotion Attitude : Barriers may also arise due to emotional attitude because when emotions are strong, it is difficult to know the frame of mind of other persons or group. Emotional attitudes of both, the communicator as well as the communicatee, obstruct free flow of transmission and understanding of messages.

(ix) Resistance to Change: It is general tendency of human beings to stick to old and customary patterns of life. They may resist change to maintain status quo. This resistance to change creates an important obstacle to effective communication.


Also Read

Unit - 1 Introduction 

Unit - 2 Planing 

Unit - 3 Organising 

Unit - 4 Staffing and Leading 

Unit - 5 Controlling

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