NCERT Solutions Class 12 Business Studies Chapter 7 Directing

NCERT Solutions for Class 12 Business Studies Chapter 7 Directing Objective Type Questions

Question. Which one of the following is not an element of direction?

1. Motivation
2. Communication
3. Delegation
4. Supervision

Answer: (c) Delegation

Question. The motivation theory which classifies needs in hierarchical order is developed by

1. Fred Luthans
2. Scott
3. Abraham Maslow
4. Peter F. Drucker

Answer: (c) Abraham Maslow

Question. Which of the following is a financial incentive?

1. Promotion
2. Stock Incentive
3. Job Security
4. Employee Participation

Answer: (b) Stock Incentive

Question. Which of the following is not an element of communication process?

1. Decoding
2. Communication
3. Channel
4. Receiver

Answer: (a) Decoding

Question. Grapevine is

1. Formal communication
2. Barrier to communication
3. Lateral communication
4. Informal communication

Answer: (d) Informal communication

Question. Status comes under the following type of barriers

1. Semantic barrier
2. Organisational barrier
3. Non Semantic barrier
4. Psychological barrier

Answer: (b) Organisational barrier

Question. The software company promoted by Narayana Murthy is

1. Wipro
2. Infosys
3. Satyam
4. HCL

Answer: (b) Infosys

Question. The highest level need in the need Hierarchy of

Abraham Maslow:

1. Safety need
2. Belongingness need
3. Self actualisation need
4. Prestige need

Answer: (c) Self actualisation need

Question. The process of converting the message into communication symbols is known as-

1. Media
2. Encoding
3. Feedback
4. Decoding

Answer: (b) Encoding

Question. The communication network in which all subordinates under a supervisor communicate through supervisor only is:

1. Single chain
2. Inverted V
3. Wheel
4. Free flow

Answer: (c) Wheel

NCERT Solutions for Class 12 Business Studies Chapter 7 Directing Short Answer Type Questions

Question. Distinguish between leaders and managers.
Answer: Following table shows distinction between a manager and a leader:

Basis of Distinction	Manager	Leader
(i) Existence	Managers exist only as a part of formal organisation.	Leaders exist as a part of formal as well as informal organisation.
(ii) Focus	Focus of managers is on achieving the organisational goals.	Focus of leaders is on achieving the expectations and aspirations of their followers.
(iii) Authority	Managers enjoy formal authority.	Leaders enjoy acceptance authority. Followers willingly grant them right to lead them.

 

Question. Define Motivation.
Answer: Motivation may be defined as the process of stimulating people to work enthusiastically for the attainment of organisational goals. It involves arousing needs and desires in people to initiate and direct their behaviour in a particular manner. Motivation is a psychological  phenomenon which arouses the feeling of needs and wants of individuals. It causes a behavioural pattern which is goal oriented.

Question. What is informal communication?
Answer: Informal communication is often verbal or gestural and hence lacks the maintenance of proves. This type of communication is the result of social interaction and satisfies social needs. Such informal paths are referred to as ‘grapevine’.

Question. What are semantic barriers of communication?
Answer: Communication problems arising due to use of faulty translation form part of semantic barriers. Semantic barriers are concerned with problems and obstructions in the process of encoding and decoding of message into words or impressions. Normally, such barriers result on account of use of wrong words, faulty translation, different interpretations, etc.

Question. Who is a supervisor?
Answer: Supervision means monitoring the progress of routine work of subordinates and guiding them. A supervisor performs following functions that are vital to any organisation:

1. He maintains day-to-day contact and friendly relations with the workers.
2. He acts as a connecting link between the workers and management by conveying its policies and ideas to the workers and workers' problems to the management.
3. He ensures that the workers perform efficiently as per the predefined targets to achieve overall goals of the organisation.
4. Supervisors build high morale among workers through good leadership.

Question. What are the elements of directing?
Answer: The four main elements of directing are leadership, communication, supervision and motivation. Supervision refers to instructing, guiding, monitoring and observing the work of the subordinates. Motivation refers to stimulating, inspiring and inducing the employees to perform to their best capacity. Leadership is the process of influencing the behaviour of people at work towards the achievement of specified goal. Communication refers to transmission or exchange of ideas, views, messages, information or instructions between two or more people.

Question. Explain the process of motivation?
Answer: The steps in motivation process are:

1. Awareness of Needs: The process begins with awareness of need. Need creates anxiety or tension in the person.
2. Stimulus for action: To remove tension, a person takes some action.
3. Fulfilment of need: In case person is successful in satisfying need, he feels motivated, otherwise result is unsatisfactory.
4. Discovery of new need: If one need is satisfied, a new need arises and the process is repeated again.

Question. Explain different networks of grapevine communications?
Answer: Generally Informal communication is termed as grapevine.

Informal communication grows in all directions as it is the communication between individuals and groups, which are not officially recognised. This type of communication is the result of social interaction and satisfies social needs. Such informal paths are referred to as ‘grapevine’. Different networks of grapevine communications are:

1. Single Strand: In single strand network, each person communicates to the other in sequence.
2. Gossip: In gossip network, each person communicates with all on nonselective basis.
3. Cluster: In cluster, the individual communicates with only those people whom he trusts of these four types of networks.
4. Probability: In probability network, the individual communicates randomly with other individual.

NCERT Solutions for Class 12 Business Studies Chapter 7 Directing Long Answer Type Questions 

Question. Explain the principles of Directing?
Answer:

1. Maximum individual contribution: It emphasises that directing techniques must help every individual in the organization to contribute to his maximum potential.
2. Harmony of objectives: Individual objectives of employees and the organizational objectives as understood are conflicting to each other. Direction helps in bringing harmony.
3. Unity of Command: This principle suggests that a person in the organisation should receive instructions from one superior only.
4. Appropriateness of direction technique: Appropriate motivational and leadership technique should be used while directing the people based on subordinate needs.
5. Managerial Communication: Directing should convey clear instructions to create total understanding to subordinates.
6. Use of Informal communication: This type of communication is the result of social interaction and satisfies social needs.
7. Follow through: Giving of an order is not sufficient. Managers should follow it up by reviewing continuously whether orders are being implemented.

Question. Explain the qualities of a good leader? Do the qualities alone ensure leadership success?
Answer: Leadership may be defined as the art of influencing the people so that they will strive willingly towards the realisation of common goals. In other words, leadership refers to the equality of the behaviour of the individuals whereby they guide people and their activities in organised efforts.

The qualities of a good leader are:

1. A good leader should have knowledge and competence so that he can easily instruct his subordinates.
2. A leader should possess high level of integrity and honesty to be a role model to others regarding the ethics and value.
3. A leader should be an effective motivator. He should understand the needs of people and motivate them through satisfying their needs.

Question. Discuss Maslow’s Need Hierarchy theory of motivation.
Answer:

1. Motivation may be defined as the process of stimulating people to work enthusiastically for the attainment of organisational goals. It involves arousing needs and desires in people to initiate and direct their behaviour in a particular manner. Motivation is a psychological phenomenon which arouses the feeling of needs and wants of individuals. It causes a behavioural pattern which is goal oriented.
2. Abraham Maslow, a psychologist, propounded the 'Malow's Need Hierarchy Theory', which was based on human needs.
3. As per Maslow, there is a hierarchy of five needs which governs human motivation:
4. Physiological needs: These needs are basic for human survival and include need for food, water, air, shelter, sleep, thirst, etc.
5. Security or Safety needs: These are the needs for physical safety as well as psychological security and include safety of person and property, security of job and need for a predictable, secure and safe environment.
6. Social/ Belonging needs: These are needs for belongingness, friendship, love, affection, attention and social acceptance.
7. Esteem or ego needs: These needs are needs for self esteem and need for other esteem. Self-esteem needs include needs for self-respect, self- confidence, competence, autonomy and knowledge.
8. Self-actualisation needs: This is the need ‘to be what one is capable of becoming’ and includes need for optimal development of potential abilities, knowledge and skills, need to be creative and achieve self-fulfillment.

Question. What are the common barriers to effective communication? Suggest measures to overcome them.
Answer: There are four major barriers to Effective communication:

1. Semantic Barriers: These are basically language related Barriers.
2. Psychological or Emotional Barriers: These are the outcome of the mental condition of the parties involved in the process of communication.
3. Organisational Barriers: Organisational structure greatly affects the capability of the employees with reference to communication process.
4. Personal Barriers: These are directly connected with the sender and the receiver.

These are further subdivided as:

Barriers to Effective Communication:

1. Semantic Barriers
2. Badly Expressed Message
3. Symbols or words with different meanings
4. Faulty Translation
5. Unclarified Assumption
6. Technical Jargon
7. Body Language and gesture decoding

Psychological and emotional barriers:

1. Premature Evaluation
2. Lack of Attention
3. Loss by transmission and poor retention
4. Distrust

Organisational Barriers:

1. Organisational Policies
2. Rules and Regulations
3. Status
4. Complexity in organisational Structure
5. Organisational Facilities

Personal Barriers:

Barriers Related to superiors like:

1. Fear of Challenge of authority,
2. Lack of confidence in subordinates

Barriers Related to subordinates:

1. Non willingness to communicate,
2. Lack of proper Incentive.

Question. Explain different financial and non-financial incentives used to motivate employees of a company?
Answer: Financial Incentives:

1. Pay and allowances: It includes basic pay, dearness allowance and other allowances.
2. Productivity linked wage incentives: Wage incentive plans aims at linking payment of wages to increase in productivity at individual or group level.
3. Bonus: Bonus is an incentive offered over and above the wages/ salary to the employees.
4. Profit sharing: provide a share to employees in the profits of the organisation.
5. Stock options: The employees are given stock at lower rate than market price.

Non Financial Incentives:

1. Job enrichment: is concerned with designing jobs that include greater variety of work content, require higher level of knowledge and skill; give workers more autonomy and responsibility.
2. Career advancement: Appropriate skill development programmes, and sound promotion policy will help employees to achieve promotions. Promotion works as a tonic.
3. Job security: Employees want certain stability about future income and work so that they do not feel worried on these aspects and work with greater zeal.

NCERT Solutions for Class 12 Business Studies Chapter 7 Directing Application type Questions

Question. The workers always try to show their inability when any new work is given to them. They are always unwilling to take up any kind of work. Due to sudden rise in demand a firm wants to meet excess orders. The supervisor is finding it difficult to cope up with the situation. Suggest ways for the supervisor to handle the problem.
Answer: Supervisor is required to provide motivation to all the employees. This will encourage them to perform better and attain the objectives. . Motivation may be defined as the process of stimulating people to work enthusiastically for the attainment of organisational goals. It involves arousing needs and desires in people to initiate and direct their behaviour in a particular manner

Question. Workers of a factory often seek guidance of Production Managers. The production manager finds himself overburdened. Advise the way to relieve production manager.
Answer:To solve this problem, a supervisor should be appointed. He acts as a link between manager and workers. Through supervisor manager communicates the policies and workers communicate their grievances.

Question. In an organisation employees always feel they are under stress. They take least initiative and fear to express their problems before the manager. What do you think is wrong with the manager?
Answer: There is a communication barrier in the organisation. There is no free flow of communication in the organisation that creates stress among the employees. Also the organisation does not entertain initiatives from employees and so they do not feel motivated.

Question. In an organisation all the employees take things easy and are free to approach anyone for minor queries and problems. This has resulted in everyone taking to each other and thus resulting in inefficiency in the office. It has also resulted in loss of secrecy and confidential information being leaked out. What system do you think the manager should adopt to improve communication.
Answer: Manager should move towards formal communication. It is based upon indirect written documents and is the result of authorities granted and duty assigned by the organization. Messages are clear and authentic and in writing, there is no cause for rumour or misunderstanding.

NCERT Solutions for Class 12 Business Studies Chapter 7 Directing Case Study

Y limited is a bank functioning in India. It is planning to diversify into insurance business. Lately, the government of India has allowed the private sector to gain entry in the insurance business. Previously, it was the prerogative of LIC and GIC to do insurance business. But now with liberalisation of the economy and to make the field competitive other companies have been given licenses to start insurance business under the regulation of ‘Insurance Regulatory and Development Authority’. Y limited plans to recruit high quality employees and agents and exercise effective direction to capture a substantial part of life and non life insurance business.

Question. Identify how the company can supervise its employees and agents effectively. What benefits will the company derive from effective supervision?
Answer: Effective supervision can be achieved by employing a supervisor. He acts as a link between manager and workers. Through supervisor manager communicates the policies and workers communicate their grievances. Supervision facilitates maintenance of discipline by monitoring and guiding the subordinates. Close and strict watch on performance and timely guidance of the employees induces the trait of discipline. Special attention to work, solution of almost every problem at the first instance, builds a pressure on the minds of employees for maintaining discipline. A supervisor motivates the employees towards better work performance.

Question. What financial and non-financial incentives can the company use for employees and agents separately to motivate them. What benefits will the company get from them?
Answer: Financial benefits:

1. Bonus: Bonus is given to employees when they perform better than a particular level. This is a financial incentive because it is given in money.
2. Stock options: The employees are given stock at lower rate than market price.
3. Non financial:
4. Appreciating: It is types of non-financial incentives as it does not involve any monetary payment to employees. It involves recognising the employees as a valuable resource to organisation and makes them feel that the organisation cares for them.
5. Job enrichment: Job enrichment is a kind of non-financial incentive. Job enrichment motivates employees because it helps them learn new and difficult things, which will ultimately help them to grow in the organisation.

Question. How can the company ensure that higher order needs i.e., esteem and self-actualisation as specified by Abraham Maslow are met?
Answer: For satisfying higher order needs, motivation shall be provided. Jon enrichment and appreciation are the non financial incentives given to motivate the employees.

Question. Identify the qualities of leadership in this line of business that the company managers must possess to motivate employees and agents.
Answer: Leadership may be defined as the art of influencing the people so that they will strive willingly towards the realisation of common goals. In other words, leadership refers to the equality of the behaviour of the individuals whereby they guide people and their activities in organised efforts.

The qualities of a good leader are:

1. A good leader should have knowledge and competence so that he can easily instruct his subordinates.
2. A leader should possess high level of integrity and honesty to be a role model to others regarding the ethics and value.
3. A leader should be an effective motivator. He should understand the needs of people and motivate them through satisfying their needs.

Question. Give a model of formal communication system that the company can follow. Identify the barriers in this model. How can they be removed?
Answer: The company can follow a free flow communication model. Barriers of communication are:

Organisational barriers

1. Semantic barriers
2. Psychological barriers
3. Personal barriers

Barriers can be removed by taking following steps:

1. The message sent shall be according to the capability of sender.
2. The words used shall be clear.
3. Message should not be too long to loose its importance.
4. Priority of sending message shall be set.
5. Sender shall be patient to listen.
6. Empathy shall be followed.

Question. How can informal communication help to supplement formal communication model given by you in answer to question 5?
Answer: Informal communication help to supplement formal communication. Through informal communication the information tends to flow faster. The employees develop interpersonal and social relations that is required by an employee.

NCERT Solutions for Class 12 Business Studies Chapter 7 Directing Objective Type Questions

Question. Which of the following statement is true with respect to directing
(a) Directing is first initiated at top level and flows to the bottom through organisational hierarchy.
(b) Directing is a continuous activity
(c) Directing is a key managerial function
(d) All of the above 
Answer: D

Question. Which of the following quality of a leader states that he should have the capacity to clearly explain his ideas and make the people to understand his ideas. 
(a) Knowledge
(b) Motivation skills
(c) Initiative
(d) Communication skills
Answer: D

Question. Which of the following statement is false with respect to leader
(a) Leader provides training to his subordinates
(b) A leader maintains personal relations and helps followers in fulfilling their needs
(c) Leader plays a key role in introducing required changes in the organisation.
(d) None of these 
Answer: D

Question. Which of the following is the element of directing :
(a) Supervision
(b) Motivation
(c) Leadership
(d) All of the above 
Answer: D

Question. _______________ is an inner state that energises, activates or moves and directs behaviour towards goals.
(a) Motivation
(b) Motive
(c) Motivators
(d) All of the above 
Answer: B

Question. _________________is the process of converting encoded symbols of the sender.
(a) Encoding
(b) Decoding
(c) Media
(d) All of the above
Answer: B

Question. ______________-communication takes place between one division and another.
(a) Horizontal
(b) Vertical
(c) Informal
(d) None of these
Answer: A

Question. ‘Lack of attention’ is a which type of communication barrier.
(a) Semantic barrier
(b) Psychological barrier
(c) Organisational barrier
(d) Personal barrier 
Answer: B

Question. ‘Lack of proper incentives’ is a type of _____________ barrier.
(a) Semantic
(b) Psychological
(c) Organisational
(d) Personal 
Answer: D

Question. Which of the following Maslow's need refers to affection, sense of belongingness, acceptance and friendship.
(a) Esteem Needs
(b) Self Actualisation Needs
(c) Affiliation/Belonging Needs
(d) Safety/Security Needs 
Answer: C

Question. Which of the following Maslow's need includes factors such as self-respect, autonomy status, recognition and attention.
(a) Esteem Needs
(b Self Actualisation Needs
(c) Affiliation/Belonging Needs
(d) Safety/Security Needs 
Answer: A

Question. Which of the following is a financial incentives :
(a) Productivity linked wage incentive
(b) Organisational climate
(c) Status
(d) Job enrichment 
Answer: A

NCERT Solutions for Class 12 Business Studies Chapter 7 Directing One Word Answer Type Questions

Question. Name the process of exchange of information between two or more persons to reach common understanding.
Answer: Communication.

Question. Ravi, the Marketing Manager of Weaver Garments Ltd., does not allow the salesmen working under him to freely express their frank opinion and feelings regarding work related matters. Identify the organisational barrier to communication that has been created by Ravi. 
OR
Amar, the marketing manager of Narmada Garments Ltd., allows the salesmen working under him to freely express their frank opinion and feelings regarding work related matters before him. Identify the organisational barrier to communication that has been overcome because of Amar’s behaviour.
Answer: Status.

Question. ‘A good leader does not wait for opportunities but creates them.’ Which quality of a good leader is highlighted by this statement?
Answer: Initiative.

Question. Name the process of stimulating and inspiring people at work to accomplish desired objectives.
Answer: Motivation.

Question. Sara worked in a call center. Her team manager did not wish to be contradicted and gave rewards depending on the result. State the style of leadership being followed by Sara’s team manager
Answer: Autocratic or Authoritarian leader.

Question. In an organization, employees always feel that they are under enormous unnecessary stress, as the manager does not provide any information about future plans but simply instructs them what to do. He also does not listen to any of the suggestions given by the subordinates. Identify the type of leadership style followed by the manager in the above situation.
Answer: Autocratic style of leadership.

Question. Rajat, a sales manager achieved his sales target one month in advance. This achievement was displayed on the notice board and the CEO of the company awarded a certificate for the best performance to him. Name the incentive provided to Rajat? 
Answer: Recognition.

Question. Mr. Umang, production manager of creative concepts, discusses with his staff about the new export order. All the staff members unanimously agree that they all will work together to do overtime to complete the order and meet the deadline. State the ‘Leadership Style’ being followed by Umang. 
Answer: Democratic style of Leadership.

NCERT Solutions for Class 12 Business Studies Chapter 7 Directing Short Answer Type Questions

Question. Malaysian budget airline group Sky Europe announced discounted fares, starting as low as ₹ 1,099 for domestic destinations operated by its Indian Joint Venture carrier and ₹ 2,099 for international flights operated by other group airlines under a limited period offer.
(i) Identify the medium of communication which can be used by the firm to inform a large number of people about the new fares.
(ii) Also, state any two merits of the communication tool, apart from the one discussed above.
Answer:
(i) Advertising.
(ii) Merits of advertising :
(a) Advertising enhances customer satisfaction and confidence, as they feel more comfortable and assured about the product quality and hence feel more satisfied.
(b) With the developments in art, computer designs, and graphics, advertising has developed into one of the most forceful and expressive medium of communication.
(c) Advertising is a very economical mode of communication if a large number of people are to be reached.

Question. State any three points of importance of directing function of management.
OR
Explain any three points that highlight the importance of directing function of management.
Answer: Importance of directing :
(i) Directing helps to initiate action in the organization towards attainment of desired objectives.
(ii) Directing integrates employees’ efforts in the organization in such a way that e very individual effort contributes to the organisational performance.
(iii) Directing guides employees to fully realize their potential and capabilities by motivating and effective leadership.
(iv) Directing facilitates introduction of needed changes in the organisation.
(v) Effective directing helps to bring stability in the organization.

Question. Explain briefly any three measures to overcome the communication barriers.
Answer: Measures to overcome communication barriers :
(i) Clarify the ideas before communicating.
(ii) Communicate according to the needs of the receiver.
(iii) Consult others before communicating.
(iv) Be aware of the language, tone and content of the message.
(v) Convey things of help and value to listeners.
(vi) Ensure proper feedback.
(vii) Communicate for present as well as future.
(viii) Follow up communications.
(ix) Be a good listener.

Question. Pramod was a supervisor at ‘Annapurna Aata Factory’. The factory was producing 200 quintal of aata every day. His job was to make sure that the work goes on smoothly and there was no interruption in production. He was a good leader who would give orders only after consulting his subordinates and work out the policies with the acceptance of the group. Identify and describe the leadership style being adopted by Pramod. 
Answer: Democratic Leadership or Participative Leadership : Under this style of leadership, the leader consults subordinates in the decision-making process and encourages them to give suggestions in the setting of goals and in the implementation of decisions.
(i) This style of leadership wins greater confidence, co-operation, loyalty and initiatives of the group.
(ii) It is suitable when juniors are competent enough to participate in discussion and handle assigned task on their own.
(iii) Though subordinates participates in decision making process the final decision lies with the leader. 

Question. Sandhya is a successful manager at Manisons Enterprises. She has a team of twelve people working under her. She encourages them to set their own objectives and take decisions. She respects their opinions and supports them, so that they can perform their duties and accomplish organisational objectives. To manage and exercise effective control, she uses forces within the group. As an intelligent manager, at times, she also makes use of positive aspects of informal communication. This way, she is able to unify diverse interests and ensure that targets are met.
(i) There are many theories and styles of influencing people’s behaviour. Identify the style used by Sandhya which is based on the use of authority.
(ii) State two positive aspects of the communication discussed above, which Sandhya is using as an intelligent manager.
Answer:
(i) Democratic style.
(ii) Two positive aspects of communication which Sandhya is using as an intelligent manager are :
(a) It carries information rapidly and therefore may be useful to the manager at times.
(b) It is used by the manager to transmit information so as to know the reaction of his/ her subordinates.

Question. Explain briefly any three semantic barriers to communication. 
Answer: Semantic barriers to communication :
(i) Badly expressed message.
(ii) Symbols with different meanings.
(iii) Faulty translations.
(iv) Unclarified assumptions.
(v) Technical jargon.
(vi) Body language and gesture decoding.

Question. Explain briefly any three organisational barriers to communication. 
Answer: Organisational barriers :
(i) Organisational policy.
(ii) Rules and regulations.
(iii) Status.
(iv) Complexity in organisational structure.
(v) Organisational facilities.

Question. Explain briefly any three personal barriers to communication. 
Answer: Personal barriers to effective communication are :
(i) Fear of challenge to authority.
(ii) Lack of confidence of superior on his subordinates.
(iii) Unwillingness to communicate.
(iv) Lack of proper incentives.

Question. Explain any three assumptions of Maslow’s Need Hierarchy Theory.
Answer: Assumptions of Maslow’s Need Hierarchy Theory :
(i) People are motivated by the unfulfilled needs and once a particular need is satisfied, it ceases to be a motivating factor. (ii) People’s behaviour is based on their needs. Satisfaction of such needs influence their behaviour.
(iii) People’s needs are in a hierarchical order, starting from basic needs to the other higher level needs.

Question. Avdhesh is the Managing Director of Delta Ltd. The company had established a good name for itself and had been doing well. It was known for timely completion of orders. The Production Manager, Ms. Priyanka was efficiently handling the processing of orders and had a team of ten motivated employees working under her. Everything was going on well. Unfortunately, Priyanka met with an accident. Avdhesh knew that in the absence of Priyanka, the company may not be able to meet the deadlines. He also knew that not meeting the deadlines may lead to customer dissatisfaction with the risk of loss of business and goodwill. So, he had a meeting with his employees in which accurate and speedy processing of orders was planned. Everybody agreed to work as a team because the behaviour of Avdhesh was positive towards the employees of the organisation.
Everyone put in extra time and efforts and the targets were met on time. Not only this, Avdhesh visited Priyanka and advised her to take adequate rest. Identify the leadership style of Avdhesh and draw a diagram depicting the style. 
Answer: Democratic Leadership Style 

Question. Mr. Shubhendu Bose is the owner of ‘Bikmac Enterprises’ carrying on the business of manufacturing various kinds of biscuits. There was a lot of discontentment in the organisation and the targets were not being met. He asked his son, Naval, who had recently completed his MBA, to find out the reason. Naval found that all decision making of the enterprise was in the hands of his father. His father didn’t believe in his employees. As a result, both the employer and the employees were not able to understand each other’s messages in the same sense. Thus, the employees were not happy and targets were not met.
(i) Identify any two communication barriers because of which Bikmac Enterprises was not able to achieve its target.
(ii) State one more barrier each of the types identified in
(i) above. 
OR
Mr. Fernandes is the owner of Unibie Enterprises, carrying on the business of manufacturing electrical appliances. There is a lot of discontentment in the organisation and targets are not being met. He asked his son, Michel, who has recently completed his MBA, to find out the reason. Michel found that all decision making of the enterprise were in the hands of his father. Moreover, his father did not have confidence in the competencies of the employees. Thus, the employees were not happy.
(i) Identify any two communication barriers because of which ‘Unibie Enterprises’ was not able to achieve its target.
(ii) State one more barrier each of the types identified in part
(i) above.
Answer:
(i) (a) Lack of confidence of superior in his subordinates : If superiors do not have confidence in the competency of their subordinates, they may not seek their advice or opinions.
(b) Organisational policy : If the organisational policy, explicit or implicit, is not supportive to the free flow of communication, it may hamper effectiveness of the communication. For example, in an organisation with highly centralised pattern, people may not be encouraged to have free communication.
(ii) (a) Rules and Regulations : Rigid rules and cumbersome procedures may become a hurdle to the communication. Similarly, communication through prescribed channels may result in delays.
(b) Premature evaluation i.e., evaluating the meaning of the message before the completion of the message may lead to prejudices against communication.

Question. Neha was a regional sales manager in ‘Good Look Garments Ltd.’ for ten years. On the retirement of the marketing manager, Neha applied for the same post as she was extremely 111ambitious and had dedicated all her energies to obtain the post of marketing manager. However, the top management of the company decided to fill this post by selecting a better person from outside the company. Because of this, Neha was heart-broken and her performance declined. When the new marketing manager joined, one of her major problems was how to motivate and inspire Neha to her former level of performance ? Suggest any three non-financial incentives that the new marketing manager may use to motivate Neha. 
OR
Sultan was a Regional Manager in ‘Homely Products Ltd.’ for the last eight years. On the retirement of the Marketing Manager, Sultan applied for the same post because he was extremely ambitious and had dedicated all his energies to obtain the post of Marketing Manager. However, the top management decided to fill the position by selecting a better person from outside the company. Because of this Sultan was heart-broken and his performance declined. When the new Marketing Manager joined, one of his major problems was how to motivate and inspire Sultan to his former level of performance. Suggest any three non-financial benefits that the new marketing manager may use to motivate Sultan.
Answer: The Non-Financial Incentives that the new marketing manager may use to motivate Neha/Sultan are :
(i) Job enrichment which is concerned with designing jobs that include a greater variety of work content, which require higher level of knowledge and skill, and which give more autonomy and opportunity for personal growth.
(ii) Employee recognition which means acknowledgement with a show of appreciation.
(iii) Employee participation which means involving employees in decision making of issues related to them.
(iv) Employee empowerment which means giving more autonomy and powers to subordinates.
(v) Job security refers to providing stability to the employees about future income and work so that they do not feel worried on these aspects and work with a greater zeal.

Question. Neeraj, a sales representative of ‘Omida Ltd.,’ has changed seven jobs in the last one year. He is a hard working person but is not able to finalise deals with his customers due to inadequate vocabulary and omission of needed words. Sometimes he uses wrong words because of which intended meaning is not conveyed. All this created a misunderstanding between him and his clients.
(i) Identify the communication barrier discussed above.
(ii) State the category of this communication barrier.
(iii) Explain any other communication barrier of the same category.
Answer: (i) Badly expressed message.
(ii) Semantic Barrier which arises from problems and obstructions in the process of encoding and decoding of the message into words or impressions.
(iii) Other barriers in the same category are :
(a) Symbols with different meanings
(b) Faulty translations
(c) Unclarified assumptions
(d) Technical jargons
(e) Body language and gesture decoding.

Question. What is meant by ‘Non-financial incentives’? List any two Non-financial Incentives.
Answer: Non-financial Incentives are those incentives which cannot be measured in terms of money. The two non-financial incentives are :
(i) Job Security;
(ii) Status;
(iii) Job enrichment; and
(iv) Career advancement opportunities.