Business Studies class 12 chapter 7 questions and answers Directing

Class 12 business studies chapter 7 ncert solutions: Directing class 12 questions and answers

Textbook	Ncert
Class	Class 12
Subject	Business Studies
Chapter	Chapter 7
Chapter Name	Directing class 12 ncert solutions
Category	Ncert Solutions
Medium	English

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Very Short Answer Type:

Question 1: What is informal communication?

Answer 1: Informal communication refers to the spontaneous, casual, and unofficial exchange of information between individuals within an organization or social setting. Unlike formal communication, which follows structured channels and official protocols, informal communication occurs naturally through everyday interactions such as conversations, emails, text messages, and social gatherings.

It helps in building relationships, fostering teamwork, and creating a relaxed work environment. This type of communication is often quicker and more flexible, allowing employees or group members to share ideas, feedback, and concerns freely. However, it may also lead to misunderstandings or the spread of rumors if not managed properly.

Question 2: Which style of leadership does not believe in use of power unless it is absolutely essential?

Answer 2: Laissez-faire or Free-rein leader does not believe in the use of power unless it is absolutely essential.The employees have a high degree of independence in formulating their own objectives and achieving them. They work on their own task in groups and resolve the issues. The manager only supports them and gives the information required to complete the task.

Question 3: Which element in the communication process involves converting the message into words, symbols, gestures etc.?

Answer 3: The element encoding in the communication process is used in converting messages to words, gestures and symbols. It is the process in which messages are converted into symbols that are to be made into symbols used for communication. It involves developing words, pictures and gestures that form the message.

Question 4: 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. State the element of directing that can help the supervisor in handling the problem.

Answer 4: In the given situation what is required is providing motivation to the employees. The supervisor must motivate the employees and encourage them to perform to the best of their capabilities. For that he has to identify the needs and requirements of the workers. In other words, the cause for the unwillingness to work must be identified and worked upon. For motivation various financial incentives such as bonus and profit sharing or non-financial incentives such as work enrichment and position can be initiated.

Short Answer Type:

Question 1: What are semantic barriers of communication?

Answer 1: Semantic barriers of communication refer to misunderstandings that arise due to differences in the interpretation of words, symbols, or language. These barriers occur when a message is misrepresented due to the use of incorrect words, a lack of vocabulary skills, faulty translations, or different interpretations of the same message. Semantic barriers are primarily related to issues in encoding and decoding the message into words or impressions, leading to confusion or miscommunication.

Main causes of semantic barriers:
(i) Poorly expressed messages
(ii) Words or symbols with multiple meanings
(iii) Incorrect or faulty translations
(iv) Unclear assumptions
(v) Use of technical jargon that is difficult to understand
(vi) Misinterpretation of body language and gestures

Question 2: Explain the process of motivation with the help of a diagram.

Answer 2: Motivation as a process implies encouraging and influencing the employees to perform to the best of their capabilities and knowledge.

The steps of motivation process are as follows:

• (i) Unsatisfied Need: It starts with the need of an individual which is not satisfied.
• (ii) Tension/Frustration: Dissatisfaction of need or wants creates tension or frustuation.
• (iii) Drive: This tension creates drive and an individual starts looking for alternatives to satisfy the need.
• (iv) Behaviour: Then he starts behaving as per chosen option.
• (v) Satisfaction: After opting the chosen behaviour, his need got satisfied.
• (vi) Reduction of Tension: The fulfillment of need results in relieving of tension.

Question 3: State the different networks of grapevine communications.

Answer 3: Grapevine communication or informal communication refers to the communication that arises out of social interaction among employees and spreads without following the formal communication path. The following are the types of grapevine communication network.

i. Single Strand Network: In this network, the information spreads from one person to other in a sequence. That is, one person communicates to another person who turn communicates to some other person.

ii. Gossip Network: In gossip network, one person shares the information with many other people.

iii. Probability Network: Under a probability network, an individual shares the information randomly with other people. That is, the person is indifferent about who he shares the information with. 

iv. Cluster Network: In this network, information is first shared between two people who trust each other. One of them then passes the information to some other person who in turn shares it with another and so the information spreads. 

Question 4: Explain any three principles of Directing.

Answer 4: Directing process is a critical function of management. These are certain principles that help in the directing process:

1. As per the principle of maximum individual contribution, the managers should use techniques of directing in such a way that makes the worker perform their best. These techniques should motivate an employee to work to achieve the goals of the organisation. It can be in the form of incentives or motivational sessions that help employees in contributing more to the organisation.

2. As per the principle of unity of command, the employees should receive instructions from only one superior. If multiple superiors are directing the worker, it creates confusion and causes delays in the work.

3. The principle of managerial communication states that managers should communicate clearly and in a way that workers can understand, and in a similar way, workers should also communicate with superiors without any hesitation. Two-way communication must take place between the managers and workers.

Question 5: In an organisation, one of the departmental manager is inflexible and once he takes a decision, he does not like to be contradicted. As a result, employees always feel they are under stress and they take least initiative and fear to express their opinions and problems before the manager. What is the problem in the way authority is being used by the manager?

Answer 5: In this situation, it can be seen that there is an obstruction in the free flow of communication. In an ideal situation, the manager should involve his subordinates in the decision-making process and also encourage the workers to provide suggestions and feedback. This will be beneficial for the organisation.

Question 6: A reputed hostel, Gyan Pradan provides medical aid and free education to children of its employees. Which incentive is being highlighted here? State its category and name any two more incentives of the same category.

Answer 6: Gyan Pradan has given perquisites and fringe benefits to the employees in the form of free education to children and medical aid. Perquisites and fringe benefits are a type of Financial incentive.

Some other financial incentives are: (any two)

• (i) Bonus: It refers to the additional reward given over and above the salary such as gifts, festival bonus, etc.
• (ii) Retirement Benefits: Offering retirement benefits to employees such as pensions, gratuity, provident fund, etc.
• (iii) Stock Option: Offering the employees shares of the company at a price lower than the market price.
• (iv) Profit-Sharing: Incentives where a portion of the profit is shared with the employees.

Long Answer Type:

Question 1: Discuss Maslow’s Need Hierarchy theory of motivation.

Answer 1: Maslow’s need Hierarchy Theory of Motivation Motivation is a psychological term and the needs of an employee plays an important role in motivation. In order to study motivation various researchers developed theories on them. Among them Abraham Maslow’s need Hierarchy theory is considered of worth. As per him, their exists a Hierarchy of five needs these are:

(i) Basic Physiological Needs These needs are most basic in the hierarchy and corresponds to primary needs. Food, clothing shelter are a few examples of this type of need. Basic salary helps to fulfill these needs.

(ii) Safety/Security Needs When the basic needs satisfied, people start thinking of future. These needs provide security and protection from physical and emotional harm in coming future e.g., job security, pension plans etc.

(iii) Affiliation/Belonging Need These needs refer to human feeling of belongingness. We all as human beings look forward to being accepted in the society e.g., friendship.

(iv) Esteem Needs These include factors such as self-respect, autonomous status, attention. An individual wants a respect and recognition from others in this need.

(v) Self-actualisation Needs It is the highest level of need in the hierarchy. It refers to the drive to become what one is capable of becoming. The needs include growth self-fulfillment and achievement of goals etc.

Question 2: What are the common barriers to effective communication? Suggest measures to overcome them.

Answer 2: Barriers in Communication: Sometimes the information that reaches the receiver is not in the manner that the sender had intended. That is, at times there arises misunderstanding or misinterpretation of the information as it is passed from the sender to the receiver. This creates barriers in the effective flow of communication. Barriers to communication can be classified as follows.

1. Semantic Barriers: Semantic barriers of communication relate to the use or understanding of language. Sometimes it happens that certain words, sentences or phrases remain ambiguous or difficult to understand. Thereby, they are likely to get misinterpreted. Such barriers in communication that arise out of ambiguity or difficulty in understanding of words and sentences are known as semantic barriers. For example, sometimes while giving out instructions the senior or specialist uses technical vocabulary that might be difficult to understand for the subordinates. Similarly, at times two or more words have the same pronunciation (such as access and excess), that results in confusion regarding the correct interpretation of the word.
2. Psychological Barriers: Sometimes psychological factor such as frustration, anger, fright may also obstruct effective communication. For example, out of frustration over a certain matter, an individual’s mind may be preoccupied and he may not be able to attentively grasp the information given to him. Similarly, due to preconceived notions regarding a conversation, an individual might derive conclusions even before the information is completed.
3. Personal Barriers: Sometimes personal factors related to the sender or the receiver act as a hurdle in communication. For example, often in formal organisations, superiors do not share such information that they fear will harm their authority. Similarly, due to lack of trust on their subordinates, they may not be willing to pay attention to the information provided by them. In a similar manner, subordinates may lack the incentive to communicate freely with the superiors. Thus, in such cases effective communication is hindered due to personal factors pertaining to the sender and the receiver.
4. Organisational Barriers: In formal organisational structures, barriers to communication arise due to such factors as authority, rules, regulations, relationships, etc. For example, if an organisation follows long vertical chains of communication, it might result in delay in the flow of information. Similarly, a highly centralised organisational structure obstructs free communication.

Measures to overcome Barriers in Communication

The following are some of the measures that can be adopted to overcome various barriers of communication.

• (i) The communication should take place as per the understanding level and capabilities of the receiver. That is, it must be ensured that the receiver is clearly able to understand the information.
• (ii) The language, tone and content of the information should be appropriately chosen. It should be easily understandable and should not harm anybody’s sentiments.
• (iii) For the communication to be effective proper feedbacks must be taken from the receiver. That is, he must be encouraged to respond during the conversation.
• (iv) It must be ensured that the information is complete in all respect and nothing is left ambiguous.
• (v) The core idea of the communication must be clear between the sender and the receiver. That is, it must be conveyed properly what the communication is about.
• (vi) The sender of the information should also be a patient listener. He should be open to communication from the other end as well.

Question 3: Explain different financial and non-financial incentives used to motivate employees of a company?

Answer 3: Financial Incentives: Financial incentives are direct monetary incentives given to employees in order to motivate or reward them for better performance. Some of the financial incentives used in organizations are as follows.

1. Salary and Allowances: The basic form of financial incentive in any organization is salary and allowances given to employees. Employees are motivated when their salaries are raised on a regular basis and they are given allowances.
2. Performance-Based Incentives: Organizations frequently offer monetary rewards for high performance. This motivates employees to improve their efficiency and performance.
3. Bonus: A bonus is an additional reward given in addition to the basic salary. It can take the form of money, gifts, paid vacations, and so on. Some organizations, for example, offer bonuses during festival seasons, such as the Diwali bonus.
4. Stock Option: Under this incentive scheme, the employee is offered company shares at a lower price than the market price. This instills a sense of ownership and belonging in the employee and encourages him to contribute to the organization’s goals.
5. Profit Sharing: In this case, the organization shares a portion of its profits with its employees. This encourages employees to actively contribute to the organization’s growth.
6. Retirements Benefits: Many organizations provide retirement benefits to their employees, such as pensions, gratuities, provident funds, and so on. Employees will feel more secure and stable as a result of this.
7. Fringe Benefits: In addition to the basic salary, an organization may provide its employees with additional benefits such as housing allowance, medical allowance, and so on.
   

Non Financial Incentives: Non-financial incentives are incentives which are given to provide psychological and emotional satisfaction rather than monetary satisfaction.

The following are some examples of non-monetary incentives used in organizations.

• Position: A rise in status in terms of power, authority, and responsibility provides employees with a psychological boost. A promotion, for example, may meet an individual’s esteem and self-actualization needs.
• Organizational Characteristics: Certain characteristics, such as employee freedom, performance recognition, incentives, and rewards, play an important role in influencing employee behavior. For example, if employees receive appropriate recognition for their efforts, it motivates them to work more efficiently.
• Work Enrichment: A challenging job with more responsibility and requiring more knowledge and skill often piques an employee’s interest. It offers opportunities for personal development to employees. As a result, it serves as a good source of motivation for him.
• Career Opportunities: When an organization provides its employees with appropriate growth and career opportunities, they strive to perform better and thus climb the professional ladder. 
• Job Security: An employee should feel secure in his or her association with the organization. Their efficiency is hampered by the constant fear of losing their job. However, complete security can lead to a loss of interest in one’s job.
• Involvement: When an organization allows employees to participate in policy and decision-making matters, it instills a sense of belonging in them and motivates them to work toward the organization’s goals.

Question 4: 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 4: In the given situation, informal communication is being followed. But now, the problem is occurred is the excessive use of it. What is required now is a proper chain of communication and a restriction on the communication of employees. For that, the organisation should adopt formal communication. It refers to the communication which takes place through official channels in an organisation.

This communication can be oral or written, as it is recorded and filed in the office. Such communication usually delays the process as it passes through many levels managed but does not create rumours or cause miscommunication. By adopting it, a proper chain of command can be established and the necessary information will be passed through it. Hence, it will save time and more discipline would be followed as the employees would not be able to communicate at all levels.