CBSE 2025, Set 1

Question

P. Madhav is the production manager of 'Trendy Style Pvt. Ltd.', a firm manufacturing office furniture. His objective is to increase production by 20% in the next one year. But the Sales Manager, R. Shetty does not approve of the increase in production, till changes are brought about in the quality of wood, locks, handles etc. to incorporate latest trends. This kind of conflict brings to light an important concept of management that can help to link the activities of various departments.
(i) Identify and explain the concept discussed above.
(ii) State any two points of importance of the concept identified in (i) above.

Edvaya · Accepted Answer

The correct answer is Subjective. **(i) Concept Identified:** Coordination.
**Explanation:** Coordination is the process of integrating and synchronizing the efforts of different departments (like Production and Sales) and individuals to ensure unity of action towards achieving organizational goals. It acts as a binding force to resolve departmental conflicts.

**(ii) Importance of Coordination (any two):**
1. **Functional Differentiation:** In a large organization, different departments (like sales, production, finance) have their own objectives, which can lead to conflicts. Coordination links their activities and aligns them to the main organizational goal.
2. **Growth in Size:** As organizations grow, the number of employees increases. Coordination helps integrate the individual goals and efforts of these diverse employees toward the common goal.
3. **Specialization:** Modern organizations employ various specialists who often think their way is best. Coordination helps reconcile the differences in approach among these specialists.

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Business Studies > Principles And Functions Of Management > Nature And Significance Of Management

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