This document provides information about an MBA course assignment. It includes:
- Details of the course code, credits, number of assignments and marks.
- Two assignment questions, one asking to define management and discuss its importance, the other asking about the planning process and importance of organizing.
- The responses to the two assignment questions, covering topics like the definition of management, its importance, steps in the planning process, importance of organizing, and more.
ASSIGNMENT
DRIVE
SPRING 2017
PROGRAM
Master of Business Administration- MBA
SEMESTER
Semester 1
SUBJECT CODE & NAME
MBA105 - MANAGERIAL ECONOMICS
BK ID
B1625
CREDIT & MARKS
4 Credits, 30 marks
Note –The Assignment is divided into 2 sets. You have to answer all questions in both sets and submit as one document. Average of both assignments marks scored by you will be considered as your IA marks. Kindly note that answers for 10 marks questions should be approximately of 400 words. Each question is followed by evaluation scheme.
Assignment Set -1
Questions
Q.No
Questions
Marks
Total Marks
1
Explain the meaning and Features of demand forecasting?
Meaning Of demand Forecasting
3
Features of demand forecasting
7
10
2
Explain the cost output relationship and nature and behavior of cost curve in the short run with hypothetical cost schedule?
The cost output relationship and nature and behavior of cost curve in the short run with hypothetical cost schedule
10
10
3
Write short notes on:
a) Consumption Function
b) Investment Function
Define Consumption Function
5
Define Investment Function
5
10
Note – Answer all questions. Kindly note that answers for 10 marks questions should be approximately of 400 words. Each question is followed by evaluation scheme.
Note – Answer all questions. Kindly note that answers for 10 marks questions should be approximately of 400 words. Each question is followed by evaluation scheme.
Q.No
Assignment Set -2
Questions
Total Marks
1
What are the various role of fiscal policy in economic development?
10
Role of fiscal policy
10
2
Explain the law of variable proportions in detail with diagrammatic representation.
10
Law of variable proportions in detail with diagrammatic representation.
10
3
What are the various factors which bring changes in supply?
10
various factors which bring changes in supply
10
SMU DRIVE FALL 2017 MBA 202 – financial management solved free assignmentrahul kumar verma
SMU DRIVE FALL 2017 MBA 202 – financial management solved free assignment
Financial planning means deciding in advance the financial activities to be carried on to achieve the basic objective of the firm. Explain the factors that affect financial planning.
Factors affecting Financial Plan
10
10
2.
“Book value is an accounting concept”. Explain the factors of this concept.
Calculate the worth of the value of one share from the below details of Company ABC :
Current dividend is Rs. 10.
It expects to have a supernormal growth period running to 6 years during which the growth rate would be 30%.
The company expects normal growth rate of 10% after the period of supernormal growth period. The investor’s required rate of return is 18%.
factors explaining the concept of book value
5
10
Solution to the problem
5
3.
Explain the Cash Flow Estimation Principles.
Cash Flow Estimation Principles.
10
10
Q. No
Assignment Set -2
Questions
Marks
Total Marks
1.
Explain EOQ and Re – order point.
A manufacturing company has an expected usage of 1,00,000 units of a certain product during the next year. The cost of processing an order is Rs 200 and the carrying cost per unit per annum is Rs 2. Lead-time for an order is five days and the company will keep a reserve of two days usage.
Calculate EOQ and Re – order point. Assume 250 days in a year.
Explanation of EOQ and Re – order point
5
10
Calculation of EOQ and Re – order point
5
2.
Explain the capital Budgeting process and its appraisals
Solve the below given problem:
Given below are the details on the cash flows of two projects A and B. Compute pay-back period for A and B.
Cash flows of A and B
Year
Project A cash flows (Rs.)
Project B cash flows (Rs.)
0
(4,50,000)
(5,50,000)
1
3,00,000
2,00,000
2
1,50,000
2,50,000
3
50,000
3,00,000
4
2,00,000
3,50,000
5
1,00,000
2,00,000
Explanation of capital budgeting process and its appraisals.
6
10
Solution for the problem
4
3.
From the below details, show the effect of the dividend policy on the market price of company XYZ Ltd. shares using the Walter’s Model.
Equity capitalisation rate Ke is 10%
Earnings per share is given as Rs. 10
ROI (r) may be assumed as follows: 10% and 15%
Show the effect of the dividend policies on the share value of the firm for three different levels of r, taking the DP ratios as 20%, 40%, 60%, 80% and 100%.
Explanation of concepts of working capital
10
10
Financial management unit 4 working capital managementGanesha Pandian
This document provides an overview of working capital management. It defines working capital as the amount of funds required for meeting day-to-day business expenses. There are different types of working capital including permanent, temporary, seasonal and special working capital. The document outlines methods for estimating working capital requirements such as the operating cycle method and estimating components. It also discusses sources of working capital, working capital ratios and issues around having too much or too little working capital.
Working capital refers to the capital required for financing short-term assets such as cash, inventory, and accounts receivable. It is also known as revolving or circulating capital. There are different types of working capital like gross working capital, net working capital, permanent working capital, and temporary working capital. Management of working capital involves maintaining optimal levels of current assets and current liabilities to ensure sufficient liquidity and an efficient balance between risk and profitability.
The document discusses working capital management. It defines working capital as the funds required for day-to-day operations of a business. Working capital includes current assets like inventory, accounts receivable, and cash. It is necessary for purchasing raw materials and paying daily expenses. Effective working capital management involves cash, receivables, payables, and inventory management. Both deficient and excessive working capital can pose dangers for a business.
This chapter included, Meaning and concepts of working capital Management , Operational environment for working capital Management and Determinants of working capital
This document discusses working capital management. It defines working capital as short-term financing used for daily business operations. It notes that working capital involves managing current assets like cash, accounts receivable, and inventory, as well as current liabilities like accounts payable. The document outlines different types of working capital, factors that influence working capital needs, sources of working capital, and the operating cycle from procuring materials to collecting from debtors. The overall goal of working capital management is to optimize current assets and meet daily expenses while minimizing costs.
The document discusses working capital management. It defines working capital as the excess of current assets over current liabilities. It lists the key components of working capital like inventory, receivables, cash, and payables. It discusses different types of working capital and factors that determine working capital requirements like the nature of business, production cycle, and access to credit. The objectives of working capital management are to optimize current asset investments and ensure current liabilities can be met in a timely manner. Components of working capital management include inventory management, cash management, and receivables management.
ASSIGNMENT
DRIVE
SPRING 2017
PROGRAM
Master of Business Administration- MBA
SEMESTER
Semester 1
SUBJECT CODE & NAME
MBA105 - MANAGERIAL ECONOMICS
BK ID
B1625
CREDIT & MARKS
4 Credits, 30 marks
Note –The Assignment is divided into 2 sets. You have to answer all questions in both sets and submit as one document. Average of both assignments marks scored by you will be considered as your IA marks. Kindly note that answers for 10 marks questions should be approximately of 400 words. Each question is followed by evaluation scheme.
Assignment Set -1
Questions
Q.No
Questions
Marks
Total Marks
1
Explain the meaning and Features of demand forecasting?
Meaning Of demand Forecasting
3
Features of demand forecasting
7
10
2
Explain the cost output relationship and nature and behavior of cost curve in the short run with hypothetical cost schedule?
The cost output relationship and nature and behavior of cost curve in the short run with hypothetical cost schedule
10
10
3
Write short notes on:
a) Consumption Function
b) Investment Function
Define Consumption Function
5
Define Investment Function
5
10
Note – Answer all questions. Kindly note that answers for 10 marks questions should be approximately of 400 words. Each question is followed by evaluation scheme.
Note – Answer all questions. Kindly note that answers for 10 marks questions should be approximately of 400 words. Each question is followed by evaluation scheme.
Q.No
Assignment Set -2
Questions
Total Marks
1
What are the various role of fiscal policy in economic development?
10
Role of fiscal policy
10
2
Explain the law of variable proportions in detail with diagrammatic representation.
10
Law of variable proportions in detail with diagrammatic representation.
10
3
What are the various factors which bring changes in supply?
10
various factors which bring changes in supply
10
SMU DRIVE FALL 2017 MBA 202 – financial management solved free assignmentrahul kumar verma
SMU DRIVE FALL 2017 MBA 202 – financial management solved free assignment
Financial planning means deciding in advance the financial activities to be carried on to achieve the basic objective of the firm. Explain the factors that affect financial planning.
Factors affecting Financial Plan
10
10
2.
“Book value is an accounting concept”. Explain the factors of this concept.
Calculate the worth of the value of one share from the below details of Company ABC :
Current dividend is Rs. 10.
It expects to have a supernormal growth period running to 6 years during which the growth rate would be 30%.
The company expects normal growth rate of 10% after the period of supernormal growth period. The investor’s required rate of return is 18%.
factors explaining the concept of book value
5
10
Solution to the problem
5
3.
Explain the Cash Flow Estimation Principles.
Cash Flow Estimation Principles.
10
10
Q. No
Assignment Set -2
Questions
Marks
Total Marks
1.
Explain EOQ and Re – order point.
A manufacturing company has an expected usage of 1,00,000 units of a certain product during the next year. The cost of processing an order is Rs 200 and the carrying cost per unit per annum is Rs 2. Lead-time for an order is five days and the company will keep a reserve of two days usage.
Calculate EOQ and Re – order point. Assume 250 days in a year.
Explanation of EOQ and Re – order point
5
10
Calculation of EOQ and Re – order point
5
2.
Explain the capital Budgeting process and its appraisals
Solve the below given problem:
Given below are the details on the cash flows of two projects A and B. Compute pay-back period for A and B.
Cash flows of A and B
Year
Project A cash flows (Rs.)
Project B cash flows (Rs.)
0
(4,50,000)
(5,50,000)
1
3,00,000
2,00,000
2
1,50,000
2,50,000
3
50,000
3,00,000
4
2,00,000
3,50,000
5
1,00,000
2,00,000
Explanation of capital budgeting process and its appraisals.
6
10
Solution for the problem
4
3.
From the below details, show the effect of the dividend policy on the market price of company XYZ Ltd. shares using the Walter’s Model.
Equity capitalisation rate Ke is 10%
Earnings per share is given as Rs. 10
ROI (r) may be assumed as follows: 10% and 15%
Show the effect of the dividend policies on the share value of the firm for three different levels of r, taking the DP ratios as 20%, 40%, 60%, 80% and 100%.
Explanation of concepts of working capital
10
10
Financial management unit 4 working capital managementGanesha Pandian
This document provides an overview of working capital management. It defines working capital as the amount of funds required for meeting day-to-day business expenses. There are different types of working capital including permanent, temporary, seasonal and special working capital. The document outlines methods for estimating working capital requirements such as the operating cycle method and estimating components. It also discusses sources of working capital, working capital ratios and issues around having too much or too little working capital.
Working capital refers to the capital required for financing short-term assets such as cash, inventory, and accounts receivable. It is also known as revolving or circulating capital. There are different types of working capital like gross working capital, net working capital, permanent working capital, and temporary working capital. Management of working capital involves maintaining optimal levels of current assets and current liabilities to ensure sufficient liquidity and an efficient balance between risk and profitability.
The document discusses working capital management. It defines working capital as the funds required for day-to-day operations of a business. Working capital includes current assets like inventory, accounts receivable, and cash. It is necessary for purchasing raw materials and paying daily expenses. Effective working capital management involves cash, receivables, payables, and inventory management. Both deficient and excessive working capital can pose dangers for a business.
This chapter included, Meaning and concepts of working capital Management , Operational environment for working capital Management and Determinants of working capital
This document discusses working capital management. It defines working capital as short-term financing used for daily business operations. It notes that working capital involves managing current assets like cash, accounts receivable, and inventory, as well as current liabilities like accounts payable. The document outlines different types of working capital, factors that influence working capital needs, sources of working capital, and the operating cycle from procuring materials to collecting from debtors. The overall goal of working capital management is to optimize current assets and meet daily expenses while minimizing costs.
The document discusses working capital management. It defines working capital as the excess of current assets over current liabilities. It lists the key components of working capital like inventory, receivables, cash, and payables. It discusses different types of working capital and factors that determine working capital requirements like the nature of business, production cycle, and access to credit. The objectives of working capital management are to optimize current asset investments and ensure current liabilities can be met in a timely manner. Components of working capital management include inventory management, cash management, and receivables management.
ZA
Working capital management is important for business success. Gross working capital refers to total current assets, while net working capital is current assets minus current liabilities. Many factors affect a business's working capital requirements, including its nature, size, growth rate, production cycle, credit and purchasing policies, availability of materials and credit, profit levels, taxes, and price changes. Determining the optimal level of working capital is necessary.
The Miller-Orr model of cash management allows businesses to set upper and lower cash balance limits and determine a target cash balance point. It accounts for stochastic cash inflows and outflows. The key assumptions are random daily cash balances, ability to invest idle cash, and transaction fees for buying/selling securities.
Money markets deal with short-term financial assets up to one year. Transactions typically occur through phone without brokers. Participants include central banks, commercial banks, and non-bank financial institutions.
International finance management helps determine exchange rates, assess foreign debt securities and inflation rates, compare countries' economic statuses, and identify foreign market opportunities. Exchange rates strongly influence international finance calculations.
There is a consistent relationship
This document discusses working capital management and inventory management. It defines working capital and its sources, including short term sources like factoring, installment credit, bank overdrafts, commercial papers, and letters of credit. Long term sources include equity capital and loans. It also discusses estimating working capital needs using different approaches. The document then defines inventory and its management, including inventory turnover ratio and inventory control techniques like ABC analysis.
The document discusses principles of working capital management, including definitions of working capital, concepts of gross and net working capital, determinants that influence working capital requirements, issues in working capital management, and approaches to estimating working capital needs such as using percentages of net sales or total assets. It also outlines different strategies like matching, conservative, aggressive, and zero working capital strategies for financing current assets.
This document is a project report submitted by Jibin Babu to the Indian Institute of Planning and Management on working capital management at Lamiya Silks in Thrissur, Kerala from April to May 2012. It includes an acknowledgements section, table of contents, executive summary, and sections on the introduction to working capital, research methodology, company and industry overview, internship activities, assessment, conclusion, illustrations, and bibliography. The major purpose is to analyze Lamiya Silks' working capital management through evaluating annual reports and financial statements.
profit planning and standard costs & operating performance measures”Rifat Ahsan
This document is a case study report submitted to a course instructor at the University of Dhaka. It includes an introduction, table of contents, acknowledgements, executive summary, and 5 chapters. The report discusses budgeting, standard costs, and operating performance measures. It provides schedules and calculations to analyze variances between actual and standard costs for a hypothetical company. The report aims to help students understand profit planning, budgeting, and how standard costs are used to evaluate performance.
it is useful for MBA 2nd semister students. they didn't know the proper information about the working capital management. so , that's why i prepare the some introduction part for this concept.
Working capital management_shweta_patilShweta Patil
This document discusses working capital and working capital management. It begins with definitions of working capital as the funds used in a business for day-to-day operations, including current assets like inventory, accounts receivable, cash. Working capital management involves managing current assets and liabilities to ensure adequate but not excessive working capital. The document outlines types of working capital, factors that affect working capital needs, and strategies for managing working capital levels including the operating cycle and cash conversion cycle. Key components of working capital management are also discussed like inventory, receivables, and cash management.
Ratio analysis involves evaluating a company's performance and financial health by comparing financial data over time and against industry benchmarks. There are several types of ratios that provide different insights. Liquidity ratios like the current ratio measure a company's ability to pay short-term debts, with a higher ratio indicating better coverage of current liabilities. Profitability ratios like return on assets indicate how efficiently a company generates profits relative to its assets, with a higher ratio generally being preferable. Ratio analysis is a key tool for fundamental analysis of a company's financial strength and operating efficiency.
This document discusses the fundamentals of working capital management. It defines working capital as the funds used in current assets like inventory, accounts receivable, cash, and other assets needed to support daily operations. The determinants of working capital requirements are then outlined, including the nature of the business, production cycle, business cycle, production and credit policies, growth plans, supply conditions, profit levels, taxes, dividends, depreciation, price changes, and operating efficiency. Several determinants are explained in more detail such as production cycle, business cycle, production policy, credit policy, and conditions of supply.
Introduction
Working capital typically means the firm’s holding of current or short-term assets such as cash, receivables, inventory and marketable securities.
These items are also referred to as circulating capital
Corporate executives devote a considerable amount of attention to the management of working capital
Definition
Working Capital refers to that part of the firm’s capital, which is required for financing short-term or current assets such a cash marketable securities, debtors and inventories. Funds thus, invested in current assets keep revolving fast and are constantly converted into cash and this cash flow out again in exchange for other current assets. Working Capital is also known as revolving or circulating capital or short-term capital.
Nature Of Working Capital
Working capital management is concerned with the problems that arise in attempting to manage the current assets, the current liabilities and the interrelations that exist between them.
Current assets refer to those assets which in the ordinary course of business can be, or will be, converted into cash within one year without undergoing a diminution in value and without disrupting the operations of the firm.
Examples- cash, marketable securities, accounts receivable and inventory.
Current liabilities are those liabilities which are intended, at their inception, to be paid in the ordinary course of business, within a year, out of the current assets or the earnings of the concern.
Examples- accounts payable, bills payable, bank overdraft and outstanding expenses.
Dear students get fully solved assignments
Send your semester & Specialization name to our mail id :
“ help.mbaassignments@gmail.com ”
or
Call us at : 08263069601
(Prefer mailing. Call in emergency )
Here are the steps to calculate the working capital requirement:
1. Calculate the daily production:
Previous year's production / 365 days = 60,000 units / 365 days = 164 units
2. Calculate the daily requirement for raw materials, wages and overheads:
Raw Materials: 164 units x 60% of cost per unit = 98 units x Cost per unit
Direct Wages: 164 units x 10% of cost per unit = 16 units x Cost per unit
Overheads: 164 units x 20% of cost per unit = 33 units x Cost per unit
3. Calculate the average holding period in days:
Raw Materials: 2 months x 30 days = 60 days
Work-in-progress
Okay, let me calculate the working capital requirement step-by-step:
1) Raw Material for 60000 units
= 60000 * 60% of Rs. 5 = Rs. 18,00,000
2) Work in Progress for 60000 units
= 60000 * 10% of Rs. 5 = Rs. 3,00,000
3) Finished Goods for 60000 units
= 60000 * 20% of Rs. 5 = Rs. 6,00,000
4) Debtors for 60000 units at selling price of Rs. 5 per unit
= 60000 * Rs. 5 = Rs. 3,00,000
5) Creditors for 2
Working capital management ppt @ bec doms bagalkot mbaBabasab Patil
This document discusses working capital, which is defined as current assets minus current liabilities. It measures a company's liquid assets available to operate its business. The document outlines different components of working capital like inventory, accounts receivable, cash, and current liabilities like accounts payable. It also discusses the importance of managing working capital to ensure sufficient cash flow and meeting short-term obligations. Different approaches to determining a firm's working capital needs are discussed, including industry norms, economic modeling, and strategic choices based on a firm's specific business practices and goals.
This document discusses working capital management. It defines working capital as the capital required for meeting short-term obligations including raw materials, wages, and current assets. The goal of working capital management is to ensure sufficient liquidity to meet short-term debt and operational expenses. It involves managing inventories, receivables, payables, and cash. There are different methods discussed for estimating a firm's working capital requirements.
Working capital management is important for infrastructure firms due to their capital intensive nature and long project cycles. The document analyzes various sources of working capital financing used by infrastructure companies, including cash credit, overdraft facilities, letter of credit, bank guarantees, and hypothecation purchase finance. It also discusses corporate term loans and how interest rates are determined based on company ratings. Factoring, letters of credit, and bank guarantees are suitable for specific transactions, while hypothecation financing provides equipment funding through a down payment structure.
The document discusses working capital management. It defines working capital as the excess of current assets over current liabilities, representing the funds available to run day-to-day operations. It notes that working capital management involves managing current assets like cash, debtors, and inventory as well as current liabilities like creditors. Proper working capital management is important for business liquidity, profitability, and survival, especially in today's competitive environment. The key steps in working capital management include cash management, debtors management, inventory management, and creditors management.
Meaning
Types of working capital
Factors of determining working capital
Operating working capital cycle
Importance of operating cycle concept
Internal factors
External factors
General factors
Types of capital structure
Characteristics of security
This document provides information on management concepts and functions. It distinguishes between administration and management, defines key management roles and functions, and outlines the evolution of management thought from classical to modern approaches. The trends and challenges of managing in a global scenario are also discussed, including the importance of planning, the management by objectives (MBO) process, and how to implement policies and strategies.
ZA
Working capital management is important for business success. Gross working capital refers to total current assets, while net working capital is current assets minus current liabilities. Many factors affect a business's working capital requirements, including its nature, size, growth rate, production cycle, credit and purchasing policies, availability of materials and credit, profit levels, taxes, and price changes. Determining the optimal level of working capital is necessary.
The Miller-Orr model of cash management allows businesses to set upper and lower cash balance limits and determine a target cash balance point. It accounts for stochastic cash inflows and outflows. The key assumptions are random daily cash balances, ability to invest idle cash, and transaction fees for buying/selling securities.
Money markets deal with short-term financial assets up to one year. Transactions typically occur through phone without brokers. Participants include central banks, commercial banks, and non-bank financial institutions.
International finance management helps determine exchange rates, assess foreign debt securities and inflation rates, compare countries' economic statuses, and identify foreign market opportunities. Exchange rates strongly influence international finance calculations.
There is a consistent relationship
This document discusses working capital management and inventory management. It defines working capital and its sources, including short term sources like factoring, installment credit, bank overdrafts, commercial papers, and letters of credit. Long term sources include equity capital and loans. It also discusses estimating working capital needs using different approaches. The document then defines inventory and its management, including inventory turnover ratio and inventory control techniques like ABC analysis.
The document discusses principles of working capital management, including definitions of working capital, concepts of gross and net working capital, determinants that influence working capital requirements, issues in working capital management, and approaches to estimating working capital needs such as using percentages of net sales or total assets. It also outlines different strategies like matching, conservative, aggressive, and zero working capital strategies for financing current assets.
This document is a project report submitted by Jibin Babu to the Indian Institute of Planning and Management on working capital management at Lamiya Silks in Thrissur, Kerala from April to May 2012. It includes an acknowledgements section, table of contents, executive summary, and sections on the introduction to working capital, research methodology, company and industry overview, internship activities, assessment, conclusion, illustrations, and bibliography. The major purpose is to analyze Lamiya Silks' working capital management through evaluating annual reports and financial statements.
profit planning and standard costs & operating performance measures”Rifat Ahsan
This document is a case study report submitted to a course instructor at the University of Dhaka. It includes an introduction, table of contents, acknowledgements, executive summary, and 5 chapters. The report discusses budgeting, standard costs, and operating performance measures. It provides schedules and calculations to analyze variances between actual and standard costs for a hypothetical company. The report aims to help students understand profit planning, budgeting, and how standard costs are used to evaluate performance.
it is useful for MBA 2nd semister students. they didn't know the proper information about the working capital management. so , that's why i prepare the some introduction part for this concept.
Working capital management_shweta_patilShweta Patil
This document discusses working capital and working capital management. It begins with definitions of working capital as the funds used in a business for day-to-day operations, including current assets like inventory, accounts receivable, cash. Working capital management involves managing current assets and liabilities to ensure adequate but not excessive working capital. The document outlines types of working capital, factors that affect working capital needs, and strategies for managing working capital levels including the operating cycle and cash conversion cycle. Key components of working capital management are also discussed like inventory, receivables, and cash management.
Ratio analysis involves evaluating a company's performance and financial health by comparing financial data over time and against industry benchmarks. There are several types of ratios that provide different insights. Liquidity ratios like the current ratio measure a company's ability to pay short-term debts, with a higher ratio indicating better coverage of current liabilities. Profitability ratios like return on assets indicate how efficiently a company generates profits relative to its assets, with a higher ratio generally being preferable. Ratio analysis is a key tool for fundamental analysis of a company's financial strength and operating efficiency.
This document discusses the fundamentals of working capital management. It defines working capital as the funds used in current assets like inventory, accounts receivable, cash, and other assets needed to support daily operations. The determinants of working capital requirements are then outlined, including the nature of the business, production cycle, business cycle, production and credit policies, growth plans, supply conditions, profit levels, taxes, dividends, depreciation, price changes, and operating efficiency. Several determinants are explained in more detail such as production cycle, business cycle, production policy, credit policy, and conditions of supply.
Introduction
Working capital typically means the firm’s holding of current or short-term assets such as cash, receivables, inventory and marketable securities.
These items are also referred to as circulating capital
Corporate executives devote a considerable amount of attention to the management of working capital
Definition
Working Capital refers to that part of the firm’s capital, which is required for financing short-term or current assets such a cash marketable securities, debtors and inventories. Funds thus, invested in current assets keep revolving fast and are constantly converted into cash and this cash flow out again in exchange for other current assets. Working Capital is also known as revolving or circulating capital or short-term capital.
Nature Of Working Capital
Working capital management is concerned with the problems that arise in attempting to manage the current assets, the current liabilities and the interrelations that exist between them.
Current assets refer to those assets which in the ordinary course of business can be, or will be, converted into cash within one year without undergoing a diminution in value and without disrupting the operations of the firm.
Examples- cash, marketable securities, accounts receivable and inventory.
Current liabilities are those liabilities which are intended, at their inception, to be paid in the ordinary course of business, within a year, out of the current assets or the earnings of the concern.
Examples- accounts payable, bills payable, bank overdraft and outstanding expenses.
Dear students get fully solved assignments
Send your semester & Specialization name to our mail id :
“ help.mbaassignments@gmail.com ”
or
Call us at : 08263069601
(Prefer mailing. Call in emergency )
Here are the steps to calculate the working capital requirement:
1. Calculate the daily production:
Previous year's production / 365 days = 60,000 units / 365 days = 164 units
2. Calculate the daily requirement for raw materials, wages and overheads:
Raw Materials: 164 units x 60% of cost per unit = 98 units x Cost per unit
Direct Wages: 164 units x 10% of cost per unit = 16 units x Cost per unit
Overheads: 164 units x 20% of cost per unit = 33 units x Cost per unit
3. Calculate the average holding period in days:
Raw Materials: 2 months x 30 days = 60 days
Work-in-progress
Okay, let me calculate the working capital requirement step-by-step:
1) Raw Material for 60000 units
= 60000 * 60% of Rs. 5 = Rs. 18,00,000
2) Work in Progress for 60000 units
= 60000 * 10% of Rs. 5 = Rs. 3,00,000
3) Finished Goods for 60000 units
= 60000 * 20% of Rs. 5 = Rs. 6,00,000
4) Debtors for 60000 units at selling price of Rs. 5 per unit
= 60000 * Rs. 5 = Rs. 3,00,000
5) Creditors for 2
Working capital management ppt @ bec doms bagalkot mbaBabasab Patil
This document discusses working capital, which is defined as current assets minus current liabilities. It measures a company's liquid assets available to operate its business. The document outlines different components of working capital like inventory, accounts receivable, cash, and current liabilities like accounts payable. It also discusses the importance of managing working capital to ensure sufficient cash flow and meeting short-term obligations. Different approaches to determining a firm's working capital needs are discussed, including industry norms, economic modeling, and strategic choices based on a firm's specific business practices and goals.
This document discusses working capital management. It defines working capital as the capital required for meeting short-term obligations including raw materials, wages, and current assets. The goal of working capital management is to ensure sufficient liquidity to meet short-term debt and operational expenses. It involves managing inventories, receivables, payables, and cash. There are different methods discussed for estimating a firm's working capital requirements.
Working capital management is important for infrastructure firms due to their capital intensive nature and long project cycles. The document analyzes various sources of working capital financing used by infrastructure companies, including cash credit, overdraft facilities, letter of credit, bank guarantees, and hypothecation purchase finance. It also discusses corporate term loans and how interest rates are determined based on company ratings. Factoring, letters of credit, and bank guarantees are suitable for specific transactions, while hypothecation financing provides equipment funding through a down payment structure.
The document discusses working capital management. It defines working capital as the excess of current assets over current liabilities, representing the funds available to run day-to-day operations. It notes that working capital management involves managing current assets like cash, debtors, and inventory as well as current liabilities like creditors. Proper working capital management is important for business liquidity, profitability, and survival, especially in today's competitive environment. The key steps in working capital management include cash management, debtors management, inventory management, and creditors management.
Meaning
Types of working capital
Factors of determining working capital
Operating working capital cycle
Importance of operating cycle concept
Internal factors
External factors
General factors
Types of capital structure
Characteristics of security
This document provides information on management concepts and functions. It distinguishes between administration and management, defines key management roles and functions, and outlines the evolution of management thought from classical to modern approaches. The trends and challenges of managing in a global scenario are also discussed, including the importance of planning, the management by objectives (MBO) process, and how to implement policies and strategies.
Operations management 2 nd sem mba @ bec domsBabasab Patil
This document provides an overview of production and operations management across 6 units. It discusses key concepts like capacity planning, facility planning, process planning, work study, layout design, material requirement planning, inventory control, quality control and total quality management. The introduction defines management as a distinct process of planning, organizing, actuating and controlling to achieve stated objectives using resources. It outlines the main characteristics of understanding management.
Operations management 2 nd sem mba @ bec domsBabasab Patil
This document discusses production and operations management over 6 units. It introduces production and operations functions, the relationship between production and other functions, and the effect of time on operations management. It discusses the history of the field and contributors like Taylor who brought scientific management. It outlines the functions of production and operations management which include planning, organizing, staffing, directing, and controlling. It also describes the relationship between operations management and other functions like finance, marketing, R&D, and maintenance.
Directing is a key management process that involves instructing, guiding, and overseeing workers to achieve organizational goals. It integrates employee efforts and ensures individuals work towards common objectives. Effective directing is challenging as it must deal with diverse employees, but certain principles can help like ensuring maximum individual contribution and harmony between individual and organizational objectives. Elements of directing include supervision, motivation, leadership, and communication. For example, a supervisor explaining machine operations or a manager inspiring employees through their own work. Ford emphasizes developing leadership at all levels through intensive programs to help overhaul their business culture.
The process of directing involves guiding, coaching, instructing, motivating, leading the people in an organization to achieve organizational objectives. All these examples and many other activities related to directing may broadly be grouped into four categories which are the elements of directing.
These are:
(i) Supervision
(ii) Motivation
(iii) Leadership
(iv) Communication
Efficiency, Harmony, unity of command, unity of direction, follow-through, effective Communication, efficient control, the individual contribution for the development of the organization,
The document discusses production and operations management across 6 units. It covers topics such as introduction to production functions, capacity and facility planning, process planning, work study, layout design, material requirements planning, quality control, and maintenance functions. The relationship between production/operations management and other functions like finance, marketing, research and development, and human resources is also described.
The document outlines the key functions and skills of a manager. It discusses the main functions managers perform, including planning, organizing, staffing, directing, and controlling. It also describes important skills managers require such as technical competence, self-awareness, interpersonal skills, emotional understanding, thinking skills, and political skills. Managers need a diverse set of abilities to effectively lead people and handle complex managerial responsibilities.
1) Managers coordinate and oversee the work of others in an organization to help achieve goals. They work in various organizations and are responsible for key functions like planning, organizing, staffing, leading, and controlling.
2) Managers play important roles by helping organizations adapt to changing conditions, ensuring tasks are completed properly, and building relationships with employees that boost productivity and loyalty. Their responsibilities include leadership, production management, planning, and hiring.
3) Managers perform roles in planning work, organizing resources, leading teams, making decisions, and exchanging information. While their specific focus may differ by level, managers generally take on interpersonal, informational, and decision-making roles.
This document discusses key concepts and principles of management. It defines management as the creation of an internal environment where individuals can efficiently work together towards group goals. Management may also be defined as applying principles to control people and resources in an enterprise. Some important reasons for understanding management concepts are to increase efficiency, develop management as a science, enable research, and achieve social objectives. The document also distinguishes administration, management, and organization and outlines various principles of management like policy making, balance, incentives, and leadership.
Performance management module 2 Kerala UniversityPOOJA UDAYAN
Characteristics of Healthy Organizations, 360 Degree Feedback and its relevance, Steps in giving a Constructive Feedback Levels of Performance Feedback, Performance Goal Setting – Setting of Objectives.
management
project management
performance
market
market share
marketing
social media
market analysis
market size
company profiles
market report
mobile
media
social media marketing
internet marketing x x x
The document discusses business process modeling and its benefits. It argues that modeling processes can help identify inefficiencies and improve quality, customer service, and reduce costs. The modeling process involves workshops with different levels of an organization, from senior executives to frontline staff, to capture different perspectives and build detailed models. An effective model provides different views for different user groups and links all processes together. The model should then be used across the organization for various purposes like organizational design, performance measurement, training, and continuous improvement initiatives. Overall, process modeling creates a shared understanding of how work gets done and opportunities to enhance performance when the model is utilized on an ongoing basis.
The document discusses the planned organizational change process and the importance of training. It describes the planned change process as having three main steps: 1) planning for change which involves identifying needs, goals, and agents of change; 2) assessing change forces such as driving and restraining forces; 3) implementing the change by communicating the plan and evaluating results. It emphasizes that training is important for increasing employee productivity, adapting to changes, and improving organizational performance and customer satisfaction. Training should aim to empower employees and be aligned with organizational objectives.
The document discusses the key concepts and functions of management. It defines management as both an art and a science, as it involves both theoretical knowledge and practical skills. The five main functions of management are identified as planning, organizing, staffing, directing, and controlling. Planning involves setting goals and strategies, organizing is grouping and coordinating activities, staffing is recruiting and selecting employees, directing includes motivating and leading people, and controlling measures performance and ensures goals are met. These five functions are considered the best framework for describing a manager's roles and responsibilities.
This document provides an answer key for a principles of management exam from November/December 2006. It includes answers to 10 multiple choice questions covering topics like the differences between management and administration, scientific management, decision making, informal organization, limitations of line and staff authority, creativity vs innovation, and uses of computers. It also includes longer answer responses explaining concepts like the nature of management as both a science and art, steps in the scientific management method, Fayol's 14 principles of management, objectives and how to set them, nature and purpose of organization, and qualitative forecasting techniques. Finally, it discusses MBO (management by objectives) with a focus on its application in the IT industry.
The document discusses the basics of management including its three main fields, functions, and definitions. It provides definitions of management from various authors that center around establishing goals, developing strategies to achieve goals, and coordinating activities. Management is described as the art of getting work done through others. The document also outlines six guidelines for effective management put forth by management professor George Miller. These guidelines focus on manager accountability, prioritizing management work, achieving coordination, unleashing employee creativity, and adjusting performance evaluations based on a company's growth stage.
Similar to SMU DRIVE SPRING 2017 MBA101– Management Process and Organizational Behaviour free solved assignment (20)
SMU DRIVE FALL 2017 MBA 205 – Operation research solved free assignment rahul kumar verma
SMU DRIVE FALL 2017 MBA 205 – Operation research solved free assignment
Define the Linear programming problem in operation Research. Also, explain various assumptions, advantages and limitations of linear programming problem.
A
Linear programming problem in operation Research
Assumptions of linear programming problem
Advantages of linear programming problem
Limitations of linear programming problem
2.5
2.5
2.5
2.5
10
2
a. Discuss the concept of Degeneracy in transportation problem
b. The ABC Tool Company has a sales force of 25 men who work out from Regional offices. The company produces four basic products lines of hand tools. Mr. Jain, the sales manager, feels that 6 salesmen are needed to distribute product line 1, 10 salesmen are needed to distribute product line 2, 4 salesmen to product line 3 and 5 salesmen to product line 4. The cost per day of assigning salesmen from each of the offices for selling each of the product lines are as follows
Regional office
Product Lines
푷ퟏ
푷ퟐ
푷ퟑ
푷ퟒ
푹ퟏ
20
21
16
18
푹ퟐ
17
28
14
16
푹ퟑ
29
23
19
20
Now, 10 salesmen are allowed to office 푹ퟏ , 9 salesmen to office 푹ퟐ, and 7 salesmen to office 푹ퟑ.
How many salesmen should be assigned from each office to selling each product line in order to minimize costs?
A
Degeneracy in transportation problem
Optimum allocation.
Optimum transportation cost
4
3
3
10
3
a. Elaborate the meaning of Simulation.
b. What are different Practical applications of simulation
A
Meaning of Simulation.
Practical applications of simulation
2
8
10
SET-II
1
a. Define the meaning of assignment problem in operation Research.
b. A Departmental head has four subordinates and four task to be performed. The subordinates differ in efficiency and the tasks differ in their intrinsic difficulty. His estimate of the times each man would take to perform each task is given in the following matrix-
Tasks
Subordinates
I
II
III
IV
A
8
26
17
11
B
13
28
4
26
C
38
19
18
15
D
19
26
24
10
How should the tasks be allocated to subordinates to minimize the total man-hours?
A
Description of assignment problem
Optimum allocation through Hungarian method
4
6
10
2
Define following criteria’s used for decision making under Uncertainty
a. Optimism (maximax or minimin) criterion
b. Pessimism (maximin or minimax) criterion
c. Equal probabilities (Laplace) criterion
d. Coefficient of optimism (Hurwicz) criterion
e. Regret (salvage) criterion
A
a. Optimism (maximax or minimin) criterion
b. Pessimism (maximin or minimax) criterion
c. Equal probabilities (Laplace) criterion
d. Coefficient of optimism (Hurwicz) criterion
2
2
2
2
10
SMU DRIVE FALL 2017 MBA 204 – management information systems solved free assi...rahul kumar verma
SMU DRIVE FALL 2017 MBA 204 – management information systems solved free assignment
What are the different challenges a manager face in managing Information systems?
Challenges faced by the manager in Managing Information systems
10
10
2
Explain the concepts of
a) Transaction Processing System
b) Management Information System
a) Transaction Processing System
5
10
b) Management Information system
5
3
How Information system can be used to support Competitive strategy? Substantiate with suitable examples.
Information system to support competitive strategy
6
10
Examples
4
SET - II
Q. No
Assignment Set – 2 Questions
Marks
Total Marks
1 Explain the following concepts
a) Electronic Data Interchange (EDI)
b) Online Payment Technology
c) Mobile Commerce
a) Electronic Data Interchange (EDI)
3
b) Online Payment Technology
4
c) Mobile Commerce
3
10
2
What is DSS? How it is different from MIS? How DSS helps in Decision making?
Decision Support System
2.5
10
Differences between MIS and DSS
2.5
DSS in Decision making
5
3
Explain why privacy is important for individuals in the organizations?
How workplace electronic monitoring is done in the organizations?
Explaining the reasons why privacy is important in the organizations
6
10
Explaining the ways in which electronic monitoring is done in the organizations
4
SMU DRIVE SPRING 2017 MBA 103- Statistics for Management solved free assignmentrahul kumar verma
ASSIGNMENT
DRIVE
SPRING 2017
PROGRAM
MBA
SEMESTER
I
SUBJECT CODE & NAME
MBA 103- Statistics for Management
BK ID
B1731
CREDIT & MARKS
4 CREDITS, 30 MARKS EACH
Note –The Assignment is divided into 2 sets. You have to answer all questions in both sets and submit as one document. Average of both assignments marks scored by you will be considered as your IA marks. Kindly note that answers for 10 marks questions should be approximately of 400 words. Each question is followed by evaluation scheme.
Set –I
Q.No
Criteria
Marks
Total Marks
1
Give the meaning of the word Statistics. Mention the characteristics of Statistics.
A
Meaning of Statistics
Characteristics of Statistics
4
6
10
2
a. What do you mean by Probability?
b. A bag contains 5 white, 6 red, 2 green and 2 black balls. Two balls are selected at random from the bag. Find the probability that the selected balls are-
i. White
ii. Red
A
a. What do you mean by Probability?
b. A bag contains 5 white, 6 red, 2 green and 2 black balls. Two balls are selected at random from the bag. Find the probability that the selected balls are-
i. White
ii. Red
4
3
3
10
3
What Do you mean by Sampling? Describe various Probability and Non- Probability Sampling Methods
A
Meaning of Sampling
Probability Sampling Methods
Non-Probability Sampling Methods
2
4
4
10
SET-II
1
Write short notes on
A
a. Type I and Type II error
b. Level of Significance
c. Null Hypothesis
d. Two–tailed Tests and One–tailed Tests
e. Test Statistics
a. Type I and Type II error
b. Level of Significance
c. Null Hypothesis
d. Two–tailed Tests and One–tailed Tests
e. Test Statistics
2
2
2
2
2
10
2
a. Explain The concept of One Way ANOVA.
b. Table given below depicts the data on production rate by five workmen on four machines. Test whether the rate is significantly different due to workers and machines.
Machines
Workmen
I
II
III
IV
V
1
46
48
36
35
40
2
40
42
38
40
44
3
49
54
46
48
51
4
38
45
34
35
41
A
Explanation of ANOVA
Numerical Solution
2
8
10
3
a. Explain the meaning of Weighted Index Numbers.
b. Information of sales price per unit of different commodities for two different years is given in following table-
Commodities
2010
2016
Price
Quantity
Price
Quantity
A
20
5
25
3
B
30
8
45
5
C
10
12
20
8
D
15
10
16
10
E
45
5
50
6
F
90
10
110
8
Construct the Price Index taking 2010 as the base year and 2016 as the current year by following methods.
i. Laspeyre’s Price Index
ii. Paasche’s Method
iii. Dorbish and Bowley’s method
iv. Fisher’s Ideal Index Method
A
a. Meaning of Weighted Index Numbers
b. Construction of the Price Index
i. Laspeyre’s Price Index
ii. Paasche’s Method
iii. Dorbish and Bowley’s method
iv. Fisher’s Ideal Index Method
2
2
2
2
2
10
*A-Answer
***********
ASSIGNMENT
DRIVE
SPRING 2017
PROGRAM
Master of Business Administration- MBA
SEMESTER
I
SUBJECT CODE & NAME
MBA106 –Human Resource Management
BK ID
B1626
CREDITS & MARKS
4 Credits, 30 marks Each
Note –The Assignment is divided into 2 sets. You have to answer all questions in both sets and submit as one document. Average of both assignments marks scored by you will be considered as your IA marks. Kindly note that answers for 10 marks questions should be approximately of 400 words. Each question is followed by evaluation scheme.
Q.No
Assignment I
Questions
Marks
Total Marks
1
What is human resources management? Discuss the scope & functions of HRM.
1. Meaning of HRM
2. Scope of HRM
3. Functions of HRM
2
4
4
10
2
Describe the process of HR Planning. Explain HR Forecasting Techniques.
1. Process of HR Planning
2. HR Forecasting Techniques
4
6
10
3
What is succession planning? What are the benefits of having a formal Succession Planning System in an organization?
1. Meaning of Succession Planning
2. Benefits
4
6
10
Q. No
Assignment II
Questions
Marks
Total Marks
1
Discuss the basic guidelines of a Disciplinary policy
Explain the basic guidelines of a Disciplinary policy
10
10
2
Suppose you have joined as an HR and you have been assigned a task to carry out the grievance handling procedure in your organization. What according to you are the causes of Grievance? Describe in detail the Grievance handling procedure
Causes of Grievance
Explain the Grievance handling procedure
4
6
10
3
Write short notes on the following :
a)Job Enlargement
b)Job Enrichment
Concept of Job Enlargement
Concept of Job Enrichment
5
5
10
SMU DRIVE SPRING 2017 MBA102 - Business Communication free solved assignment rahul kumar verma
This document contains an assignment for an MBA course on Business Communication. It includes questions about defining communication and its characteristics, the different types of reading, advantages and disadvantages of intranets, explaining the communication wheel and identifying internal stakeholders in an organization, and defining meetings and their types. The assignment requires short answers to be provided for each question.
This document contains a practice exam for Cisco's 640-802 CCNA certification. It includes 10 multiple choice questions testing knowledge of networking concepts like the functions of routers, differences between switches and hubs, and network addressing. Correct answers are provided along with explanations of the concepts being tested.
This document contains a Cisco 200-120 exam with 10 multiple choice questions about IP data networks and the OSI model. The questions cover topics such as how routers process frames, subnet masks, the OSI layers, WAN device roles, TTL values, ARP caches, Ethernet port types, checksums, and OSI encapsulation. The explanations provide details on each question's concept and the reasoning behind the correct answers.
Memory map selection of real time sdram controller using verilog full project...rahul kumar verma
full report on Memory map selection of real time SDRAM controller using verilog which was my project.If you want any help email me @ rahulverma2512@gmail.com
The document is a seminar report on FPGA technology in outer space applications. It discusses the history and evolution of FPGA technology over time, including increasing gate densities and falling prices. It describes typical FPGA architecture which includes configurable logic blocks, interconnects, and I/O pads. Modern FPGAs integrate additional resources like memory blocks, DSP slices, and soft processor cores. The document highlights applications of FPGAs in aerospace, including COTS boards and development kits. It also outlines future potential for FPGAs in more complex roles in space systems.
Main Java[All of the Base Concepts}.docxadhitya5119
This is part 1 of my Java Learning Journey. This Contains Custom methods, classes, constructors, packages, multithreading , try- catch block, finally block and more.
How to Manage Your Lost Opportunities in Odoo 17 CRMCeline George
Odoo 17 CRM allows us to track why we lose sales opportunities with "Lost Reasons." This helps analyze our sales process and identify areas for improvement. Here's how to configure lost reasons in Odoo 17 CRM
Strategies for Effective Upskilling is a presentation by Chinwendu Peace in a Your Skill Boost Masterclass organisation by the Excellence Foundation for South Sudan on 08th and 09th June 2024 from 1 PM to 3 PM on each day.
ISO/IEC 27001, ISO/IEC 42001, and GDPR: Best Practices for Implementation and...PECB
Denis is a dynamic and results-driven Chief Information Officer (CIO) with a distinguished career spanning information systems analysis and technical project management. With a proven track record of spearheading the design and delivery of cutting-edge Information Management solutions, he has consistently elevated business operations, streamlined reporting functions, and maximized process efficiency.
Certified as an ISO/IEC 27001: Information Security Management Systems (ISMS) Lead Implementer, Data Protection Officer, and Cyber Risks Analyst, Denis brings a heightened focus on data security, privacy, and cyber resilience to every endeavor.
His expertise extends across a diverse spectrum of reporting, database, and web development applications, underpinned by an exceptional grasp of data storage and virtualization technologies. His proficiency in application testing, database administration, and data cleansing ensures seamless execution of complex projects.
What sets Denis apart is his comprehensive understanding of Business and Systems Analysis technologies, honed through involvement in all phases of the Software Development Lifecycle (SDLC). From meticulous requirements gathering to precise analysis, innovative design, rigorous development, thorough testing, and successful implementation, he has consistently delivered exceptional results.
Throughout his career, he has taken on multifaceted roles, from leading technical project management teams to owning solutions that drive operational excellence. His conscientious and proactive approach is unwavering, whether he is working independently or collaboratively within a team. His ability to connect with colleagues on a personal level underscores his commitment to fostering a harmonious and productive workplace environment.
Date: May 29, 2024
Tags: Information Security, ISO/IEC 27001, ISO/IEC 42001, Artificial Intelligence, GDPR
-------------------------------------------------------------------------------
Find out more about ISO training and certification services
Training: ISO/IEC 27001 Information Security Management System - EN | PECB
ISO/IEC 42001 Artificial Intelligence Management System - EN | PECB
General Data Protection Regulation (GDPR) - Training Courses - EN | PECB
Webinars: https://pecb.com/webinars
Article: https://pecb.com/article
-------------------------------------------------------------------------------
For more information about PECB:
Website: https://pecb.com/
LinkedIn: https://www.linkedin.com/company/pecb/
Facebook: https://www.facebook.com/PECBInternational/
Slideshare: http://www.slideshare.net/PECBCERTIFICATION
How to Fix the Import Error in the Odoo 17Celine George
An import error occurs when a program fails to import a module or library, disrupting its execution. In languages like Python, this issue arises when the specified module cannot be found or accessed, hindering the program's functionality. Resolving import errors is crucial for maintaining smooth software operation and uninterrupted development processes.
How to Make a Field Mandatory in Odoo 17Celine George
In Odoo, making a field required can be done through both Python code and XML views. When you set the required attribute to True in Python code, it makes the field required across all views where it's used. Conversely, when you set the required attribute in XML views, it makes the field required only in the context of that particular view.
Executive Directors Chat Leveraging AI for Diversity, Equity, and InclusionTechSoup
Let’s explore the intersection of technology and equity in the final session of our DEI series. Discover how AI tools, like ChatGPT, can be used to support and enhance your nonprofit's DEI initiatives. Participants will gain insights into practical AI applications and get tips for leveraging technology to advance their DEI goals.
This slide is special for master students (MIBS & MIFB) in UUM. Also useful for readers who are interested in the topic of contemporary Islamic banking.
Chapter 4 - Islamic Financial Institutions in Malaysia.pptx
SMU DRIVE SPRING 2017 MBA101– Management Process and Organizational Behaviour free solved assignment
1. ASSIGNMENT
Drive SPRING 2017
Program MBA
Semester 1
Subject code & name MBA101– Management Process and Organizational
Behaviour
Book ID B1621
NUMBER OF
ASSIGNMENTS,
CREDITS & MARKS
2, 4 Credits, 30 marks each
2. Assignment Set- I
Q.1 Explain the Definition and Importance of ‘management’.
Answer:-
Definition:
Management is the act 0f getting pe0ple t0gether t0 acc0mplish desired g0als
and 0bjectives using available res0urces efficiently and effectively. Since 0rganizati0ns can be
viewed as systems, management can als0 be defined as human acti0n, including design, t0
facilitate the pr0ducti0n 0f useful 0utc0mes fr0m a system. This view 0pens the 0pp0rtunity
t0 manage 0neself, a pre-requisite t0 attempting t0 manage 0thers.
Fig: Function of Management
3. Importance of Management:
It helps in Achieving Group Goals - It arranges the fact0rs 0f pr0ducti0n, assembles
and 0rganizes the res0urces, integrates the res0urces in effective manner t0 achieve
g0als. It directs gr0up eff0rts t0wards achievement 0f pre-determined g0als. By
defining 0bjective 0f 0rganizati0n clearly there w0uld be n0 wastage 0f time, m0ney
and eff0rt. Int0 useful enterprise. These res0urces are c00rdinated, directed and
c0ntr0lled in such a manner that enterprise w0rk t0wards attainment 0f g0als.
Optimum Utilization of Resources - Management utilizes all the physical & human
res0urces pr0ductively. This leads t0 efficacy in management. Management pr0vides
maximum utilizati0n 0f scarce res0urces by selecting its best p0ssible alternate use in
industry fr0m 0ut 0f vari0us uses. It makes use 0f experts, pr0fessi0nal and these
services leads t0 use 0f their skills, kn0wledge, and pr0per utilizati0n and av0ids
wastage.
Reduces Costs - It gets maximum results thr0ugh minimum input by pr0per planning
and by using minimum input & getting maximum 0utput. Management uses physical,
human and financial res0urces in such a manner which results in best c0mbinati0n.
This helps in c0st reducti0n
Establishes Sound organization - N00verlapping 0f eff0rts (sm00th and c00rdinated
functi0ns). T0 establish s0und 0rganizati0nal structure is 0ne 0f the 0bjective 0f
management which is in tune with 0bjective 0f 0rganizati0n and f0r fulfilment 0f this,
it establishes effective auth0rity & resp0nsibility relati0nship.
Establishes Equilibrium - It enables the 0rganizati0n t0 survive in changing
envir0nment. It keeps in t0uch with the changing envir0nment. With the change is
external envir0nment, the initial c0-0rdinati0n 0f 0rganizati0n must be changed. S0 it
adapts 0rganizati0n t0 changing demand 0f market / changing needs 0f s0cieties.
Essentials for Prosperity of Society - Efficient management leads t0 better
ec0n0mical pr0ducti0n which helps in turn t0 increase the welfare 0f pe0ple. G00d
management makes a difficult task easier by av0iding wastage 0f scarce res0urce. It
impr0ves standard 0f living. It increases the pr0fit which is beneficial t0 business and
s0ciety will get maximum 0utput at minimum c0st by creating empl0yment
0pp0rtunities which generate inc0me in hands.
4. Q. 2 Explain the steps involved in Planning process. Discuss any five importance of
organizing.
Answer:-
Steps in planning process:-
1. Determination of the objectives- The first step in planning is t0 identify certain
0bjectives. The 0bjectives set must clearly indicate what is t0 be achieved, where acti0n
sh0uld take place, wh0 sh0uld perf0rm it and when it is t0 be acc0mplished.
2. Collection and forecasting of Information- Sufficient inf0rmati0n must be c0llected
in 0rder t0 make plans and sub plans
3. Development of planning premises- The next step is the establishment 0f planning
premises. Planning premises are the assumpti0ns and predicti0ns ab0ut the future.
4. Discovering alternative courses of action- Usually, there are several alternatives f0r
any plan. The manager sh0uld try t0 find 0ut all the p0ssible alternatives.
5. Selection of best Alternative- The vari0us alternatives identified are evaluated and
c0mpared in terms 0f their expected c0sts and benefits. Many quantitative techniques
are available t0 evaluate alternatives.
6. Formulation of derivative Plans- The next step is t0 devel0p detailed sub plans f0r
its implementati0n. Derivative plans are required t0 supp0rt the 0verall plans.
7. Communicating the Plan- It is very imp0rtant t0 get the c0-0perati0n 0f the
sub0rdinates at every stage 0f its implementati0n.
8. Follow up measures- T0 ensure the plans are pr0ceeding al0ng the right lines, the
actual perf0rmance is c0mpared with the planned perf0rmance.
Importance of organising:
Benefits of Specialisation- Under 0rganising all the activities are subdivided int0
vari0us w0rks 0r j0bs. F0r all the sub w0rks, c0mpetent pe0ple are app0inted wh0
bec0me experts by d0ing a particular j0b time and again.
Clarity in Working Relationship- 0rganising clarifies the w0rking relati0ns am0ng
empl0yees. It specifies wh0 is t0 rep0rt t0 wh0m.
Optimum Utilisation of Resources- Under the pr0cess 0f 0rganising the entire w0rk
is divided int0 vari0us small activities. There is a different empl0yee perf0rming every
different j0b.
Adaptation to Change- 0rganising pr0cess makes the 0rganisati0n capable 0f
adapting t0 any change c0nnected with the p0st 0f the empl0yees.
Effective Administration- It has generally been 0bserved that there is always a
c0nditi0n 0f d0ubt ab0ut the auth0rity 0f the managers am0ng themselves.
5. Development of Personnel- Under the pr0cess 0f 0rganising, delegati0n 0f auth0rity
is practiced. This is d0ne n0t because 0f the limited capacity 0f any individual, but als0
t0 disc0ver new techniques 0f w0rk.
Expansion and Growth- The pr0cess 0f 0rganising all0ws the empl0yees the
freed0m t0 take decisi0ns which helps them t0 gr0w. They are always ready t0 face
new challenges.
6. Q.3 Dentition and importance of leading.
Answer:-
Definition:
Leading is another of the basic function within the management process "Leading is the use
of influence to motivate employees to achieve organizational goals”. Managers must be able
to make employees want to participate in achieving an organization's goals. The behavioural
sciences have made many contributions to understanding this function of management.
Personality research and studies of job attitudes provide important information as to how
managers can most effectively lead subordinates. For example, this research tells us that to
become effective at leading, managers must first understand their subordinates’ personalities,
values, attitudes, and emotions.
Importance of Leading:
Initiates action- Leader is a pers0n wh0 starts the w0rk by c0mmunicating the p0licies
and plans t0 the sub0rdinates fr0m where the w0rk actually starts. Leadership is the act
0f setting the right example f0r th0se wh0 f0ll0w. Leadership is ab0ut actively
dem0nstrating y0ur belief, n0t just talking ab0ut it.
Motivation- A leader pr0ves t0 be playing an incentive r0le in the c0ncern’s w0rking.
He m0tivates the empl0yees with ec0n0mic and n0n-ec0n0mic rewards and thereby
gets the w0rk fr0m the sub0rdinates.
Providing guidance- A leader has t0 n0t 0nly supervise but als0 play a guiding r0le
f0r the sub0rdinates. Guidance here means instructing the sub0rdinates the way they
have t0 perf0rm their w0rk effectively and efficiently.
Creating confidence- C0nfidence is an imp0rtant fact0r which can be achieved
thr0ugh expressing the w0rk eff0rts t0 the sub0rdinates, explaining them clearly their
r0le and giving them guidelines t0 achieve the g0als effectively.
Building morale- M0rale den0tes willing c0-0perati0n 0f the empl0yees t0wards their
w0rk and getting them int0 c0nfidence and winning their trust. A leader can be a m0rale
b00ster by achieving full c0-0perati0n s0 that they perf0rm with best 0f their abilities
as they w0rk t0 achieve g0als.
Builds work environment- Management is getting things d0ne fr0m pe0ple. An
efficient w0rk envir0nment helps in s0und and stable gr0wth. Theref0re, human
relati0ns sh0uld be kept int0 mind by a leader.
Co-ordination- C0-0rdinati0n can be achieved thr0ugh rec0nciling pers0nal interests
with 0rganizati0nal g0als. This synchr0nizati0n can be achieved thr0ugh pr0per and
effective c0-0rdinati0n which sh0uld be primary m0tive 0f a leader
Helps in Training and Development of Subordinates- A leader pr0ves helpful in the
training and devel0pment 0f his sub0rdinates.
7. Assignment Set- II
Q.1 Define the term Controlling? What are the prerequisites of effective control?
Definition:
Acc0rding t0 Brech, “C0ntr0lling is a systematic exercise which is called as a pr0cess 0f
checking actual perf0rmance against the standards 0r plans with a view t0 ensure
adequate pr0gress and als0 rec0rding such experience as is gained as a c0ntributi0n t0
p0ssible future needs.”
Prerequisites of effective control:
Accuracy- Effective c0ntr0ls generate accurate data and inf0rmati0n. Accurate
inf0rmati0n is essential f0r effective managerial decisi0ns. Inaccurate c0ntr0ls w0uld
divert management eff0rts and energies 0n pr0blems that d0 n0t exist 0r have a l0w
pri0rity and w0uld fail t0 alert managers t0 seri0us pr0blems that d0 require attenti0n.
Timeliness- There are many pr0blems that require immediate attenti0n. If
inf0rmati0n ab0ut such pr0blems d0es n0t reach management in a timely manner, then
such inf0rmati0n may bec0me useless and damage may 0ccur.
Flexibility- The business and ec0n0mic envir0nment is highly dynamic in nature.
Techn0l0gical changes 0ccur very fast. A rigid c0ntr0l system w0uld n0t be suitable
f0r a changing envir0nment. These changes highlight the need f0r flexibility in
planning as well as in c0ntr0l.
Acceptability- C0ntr0ls sh0uld be such that all pe0ple wh0 are affected by it are able
t0 understand them fully and accept them. A c0ntr0l system that is difficult t0
understand can cause unnecessary mistakes and frustrati0n and may be resented by
w0rkers.
Integration- When the c0ntr0ls are c0nsistent with c0rp0rate values and culture, they
w0rk in harm0ny with 0rganizati0nal p0licies and hence are easier t0 enf0rce. These
c0ntr0ls bec0me an integrated part 0f the 0rganizati0nal envir0nment and thus bec0me
effective.
Economic feasibility- The c0st 0f a c0ntr0l system must be balanced against its
benefits. The system must be ec0n0mically feasible and reas0nable t0 0perate. F0r
example, a high security system t0 safeguard nuclear secrets may be justified but the
same system t0 safeguard 0ffice supplies in a st0re w0uld n0t be ec0n0mically
justified.
Strategic placement- Effective c0ntr0ls sh0uld be placed and emphasized at such
critical and strategic c0ntr0l p0ints where failures cann0t be t0lerated and where time
and m0ney c0sts 0f failures are greatest.
Corrective action- An effective c0ntr0l system n0t 0nly checks f0r and identifies
deviati0n but als0 is pr0grammed t0 suggest s0luti0ns t0 c0rrect such a deviati0n.
8. Q. 2 Explain the components and functions of attitude.
Answer:-
Components of Attitude :
Affective Component- First, the affective c0mp0nent refers t0 the em0ti0nal reacti0n
- 0ne has t0ward an attitude 0bject. Think 0f s0me0ne - we'll name her Alice - wh0
has 0phidi0ph0bia (a ph0bia 0f snakes). A snake is an attitude 0bject. Whenever Alice
is exp0sed t0 a snake - whether she sees 0ne 0r thinks ab0ut 0ne - she feels extreme
anxiety and fear. This is 0nly 0ne c0mp0nent 0f this specific attitude, th0ugh; we will
discuss the 0ther tw0 c0mp0nents a little later in this less0n.
Behavioural Component- The next c0mp0nent 0f an attitude is
the behavi0ural c0mp0nent, and it refers t0 the way 0ne behaves when exp0sed t0 an
attitude 0bject. Think ab0ut Alice and her snake ph0bia again. We already identified
the affective c0mp0nent 0f her attitude t0wards snakes - fear and anxiety. H0w d0 y0u
think she behaves when it c0mes t0 snakes? M0st likely, she av0ids them whenever
p0ssible. If she d0es see 0ne, she pr0bably screams 0r cries.
Cognitive Component- The third and final c0mp0nent 0f an attitude is
the c0gnitive c0mp0nent, and it refers t0 the th0ughts and beliefs 0ne has ab0ut an
attitude 0bject. We've already determined that Alice av0ids snakes and is scared when
she is exp0sed t0 them. But, what d0es she think ab0ut snakes? It's likely she believes
that all snakes are danger0us and gr0ss.
Function of Attitude: :
Adjustment Function - The adjustment functi0n directs pe0ple t0ward pleasurable 0r
rewarding 0bjects and away fr0m unpleasant, undesirable 0nes. It serves the utilitarian
c0ncept 0f maximizing reward and minimizing punishment.
Ego Defensive Function- Attitudes firmed t0 pr0tect the eg0 0r self-image fr0m threats
help fulfil the eg0 defensive functi0n. Actually many 0utward expressi0ns 0f such
attitudes reflect the 0pp0site 0f what the pers0n perceives him t0 be.
Value expression Function - Whereas eg0 defensive attitudes are f0rmed t0 pr0tect a
pers0n’s self-image, value expressive attitudes enable the expressi0n 0f the pers0n’s
centrally held values. Theref0re c0nsumers ad0pt certain attitudes in an eff0rt t0
translate their values int0 s0mething m0re tangible and easily expressed.
Knowledge Function - Humans have a need f0r a structured and 0rderly w0rld, and
theref0re they seek c0nsistency stability definiti0n and understanding. 0ut 0f this need
devel0ps attitudes t0ward acquiring kn0wledge. In additi0n, the need t0 kn0w tends t0
be specific.
9. Q. 3 Define leadership. Write a brief note on ‘Contingency Theories of Leadership’.
Answer:-
Definition:
Leadership is the ability 0f a c0mpany's management t0 set and achieve challenging g0als,
take swift and decisive acti0n, 0utperf0rm the c0mpetiti0n, and inspire 0thers t0 perf0rm well.
It is t0ugh t0 place a value 0n leadership 0r 0ther qualitative aspects 0f a c0mpany, c0mpared
t0 quantitative metrics that are c0mm0nly tracked and much easier t0 c0mpare between
c0mpanies.
Contingency Theories of Leadership:
1. Fiedler’s Contingency Theory:
This the0ry puts f0rth the idea that effective leadership hinges n0t 0nly 0n the style used by
the leader, but als0 0n the c0ntr0l held 0ver the situati0n. In 0rder t0 succeed, there must be
str0ng leader-member relati0ns. Leaders must als0 present tasks clearly and with g0als and
pr0cedures 0utlined. They need t0 p0ssess the ability t0 hand 0ut punishments and rewards, as
well. This particular the0ry 0nly fits situati0ns where gr0ups are cl0sely supervised and n0t
team-based. It als0 uses a least preferred c0-w0rker (LPC) scale t0 help determine the type 0f
w0rker the leader least likes w0rking with.
2. Situational Leadership:
More formally called the Hersey-Blanchard Situational Leadership Theory, this model focuses
on leadership style and the maturity of those being led. The theory puts forth the idea that
leadership styles hinge on four behaviours: telling, selling, participating and delegating. The
maturity levels range from an incompetence or unwillingness to perform the task, to a
willingness and ability to perform. The idea is that a successful leader will adapt leadership
techniques to fit the maturity level of the group in question on a situational basis.
3. Path-Goal Theory:
This theory combines two popular theories – goal-setting and expectancy – into one. It puts
forth the idea that effective leaders help those in their direction attain their goals. Under this
theory, leaders have the responsibility of making sure their subordinates have the support and
information required to achieve the goals set forth. Essentially, this theory holds that effective
leaders create clear paths to help their subordinates achieve goals and that they work to remove
obstacles that stand in the way.
4. Decision-Making Theory:
Also known as the Vroom-Yetton-Jago Decision-Making Model of Leadership, it puts forth
the idea that effective leader’s size up situations, assess them and then determine how much
support the group will give toward the effort, adjusting style of leadership to fit. While
contingency models diverge on some points, they all share a common thread.