Study the following case/situation and express your opinion : MAHA State Board HSC Syllabus : OCM (Case Study)

 Organisation of Commerce & Management 

Study the following case/situation and express your opinion : 

MAHA State Board HSC Syllabus : 

OCM (Case Study) 

Study the following case/situation and express your opinion.

Maharashtra State Board Balbharti Textbook 12th HSC Syllabus Organisation of Commerce & Management Chapter wise Case Study Explanation with Answer 

 

Chapter 1: Principles of Management

 

Q.1 Mr. Harshad is an entrepreneur and engaged in production of eco-friendly utensils. Both male and female workers are working in his factory. All male employees are directly working on machines whereas female employees are working in Packaging Department. Mr. Sharath is working as Finance Manager while Mrs. Naina is working as HR Manager who is responsible for recruiting employees in the factory. On this basis:

i) Identify any one principle of management in above case.

ii) What is the designation of Mrs. Naina in this organization.

iii) Who is responsible for overall planning of the organisation?

 

Solution:  Video Solution 

i) One principle of management that can be identified in this case is the Principle of Division of Work. The male employees are directly working on machines, while the female employees are assigned to the Packaging Department. This division of work ensures that each employee is specialized in their respective tasks, leading to increased efficiency and productivity.

ii) Based on the given information, Mrs. Naina is working as the HR Manager in this organization. Her role is to handle the recruitment of employees in the factory, indicating her responsibility for managing human resources.

iii) The overall planning of the organization is typically the responsibility of the entrepreneur or owner, in this case, Mr. Harshad. As the entrepreneur, he is responsible for setting the direction and goals of the organization, making strategic decisions, and planning the overall operations of the business.

Q.2 In 'Fine Diamonds Ltd.' 200 employees are working in three shifts. In the first shift 60 employees, in the second shift 60 employees, and in the third shift 80 employees are working without sufficient breaks except for lunch break and shift change break. No employee is able to complete the work in designated time due to inappropriate time management which results in delay for next shift employees.

i) Identify which scientific principle needs to be followed by the company.

ii) Suggest two scientific techniques which can be used for smooth flow of work in 'Fine Diamonds Ltd. '

iii) Why the work is not being completed in time?

 

Solution: Video Solution

i) In the above case, Principle of scientific management called Science, Not ii) Rule of Thumb needs to be followed.

ii) Work-study based on the technique of fatigue study and Scientific task setting can be used for smooth flow of work in 'Fine Diamonds Ltd.

 

iii) Reasons for non-completion of work in time are :

(a) Long working hours without sufficient breaks reduces the efficiency of labour.
(b) Inappropriate time management (planning) done by the departmental head (Functional Manager) result into delay for next shift employees.
(c) Standard required time and standard output are not defined by the manager or management of "Fine Diamonds Ltd."

Chapter 2: Functions of Management

Q.1 Mr. Ram, an emerging entrepreneur has designed a structure of his business organization by taking into consideration the required resources such as land, money, machinery, workforce, etc, for his new business. He appointed Mr.Shyam as a manager. Mr.Ram has assigned responsibilities such as recruitment, selection, training, and development and to determine the remuneration of the employees' to Mr.Shyam. Mr. Ram has also appointed Mr.Shubham to supervise the work done by the employees according to the standards given to the employees.

Mr.Shubham has to also suggest the remedies to the employees wherever necessary.

In this context, find out the management functions performed by

i. Mr. Ram

ii. Mr.Shyam

iii. Mr.Shubham

 

Solution:  Video Solution 

i) Mr. Ram performs the function of planning and organizing. He is an emerging entrepreneur and plans the business structure and organizes different resources.

ii) Mr. Shyam is performing the function of staffing as his main duty is to recruit, select, train, and develop the employees and to decide their remuneration accordingly.

iii) Mr. Subham is performing the function of controlling. He compares the actual performance of employees with the standard performance given. He discovers the causes of deviations and suggests remedies to overcome deviations.

Q.2 In XYZ Company, Mr. Lele gives instructions to the employees working under him, provides guidance, and motivates them for their best performance. On the other hand, Mr.Sayyad takes effort to harmonize the work done by the employees of different departments while achieving organizational goals. Mr.Desai is looking after the arrangement of the required resources for the business organization. Mention the name of an employee engaged in the following functions:

i. Organization

ii. Direction

iii. Coordination

 

Solution: Video Solution 

i) Mr. Desai is engaged in the organization function as he is looking after the arrangement of required resources for the business organization.

ii) Mr. Lele is engaged in the function of directing as he gives instructions to the employees working under him, provides guidance, and motivates them for their best performance.

iii) Mr. Sayyed is engaged in the function of coordination as he makes an effort to harmonise the work done by the employees of different departments.

Chapter 3: Entrepreneurship Development

Q.1 Mr. Soham is a young MBA degree holder, Mr. Navin is a B.Com graduate. Mr. Soham is willing to start a dairy farm at his village. Mr. Navin is willing to work as a cashier in a Private Company.

i) Find out the dream of Soham and Navin.

ii) State anyone feature of Entrepreneur.

iii) To become a successful entrepreneur, which qualities Mr. Soham should have?

Solution: 

i) The dream of Soham is to become an entrepreneur and the dream of Navin is to take up a job in a private company and get a fixed income as salary.

ii) An entrepreneur is a person who is willing to take risk in order to earn money and start a business.

iii) To become a successful entrepreneur Mr. Soham should have qualities like innovator, creator, reactive, and risk bearer.

Chapter 4: Business Services

 

Q.1 Ms.Harshali has started a new business two years ago. Her customers are located in different parts of the country and hence they are directly depositing bill amounts in her business account. At the same time, she used to pay various payments from this account only.

i) Identify the Type of account maintained by Ms. Harshali.

ii) Suggest anyone modern way of money transfer to Ms.Harshali.

iii) What kind of facility does she get on her bank account?

Solution: 

i) The type of account maintained by Ms. Harshali is the current account.

 

ii) NEFT stands for National Electronic Fund Transfer. Under this system, funds are transferred electronically from one branch to another branch or one bank to another bank in the country. The client has to give details of the NEFT code of branch and account number of a beneficiary to whom the money is to be transferred.

iii)  

1. An overdraft facility is available for the current account.
2. For the current account, banks provide a statement of account every month.

 

Q.2 Mr. Jagan is a salaried person. He wants to take policy for his two children which assures them protection as well as completes their financial needs once they become major by age.

i) Suggest him a policy which can satisfy the requirements of his children.

ii) Who are beneficiaries of policy?

iii) In the above case which principle is involved?

Solution: 

i) Mr. Jagan, a salaried person should take "Child Insurance Policy" to satisfy the financial requirements of his children.

 

ii) In a child insurance policy, children of the insured person are the beneficiaries.

 

iii) In the above case, the principle of insurable interest is involved.

 

Q.3 Mr. Sharan is a successful manufacturer. He is having production units at various locations. He is having multiple production units, he has a large stock of raw material and finished goods. He is worried about safeguarding goods from any unwanted financial loss. He also requires transferring raw material and finished goods from one unit to another but does not have any facility for that. He also requires funds for expansion.

i) Name the service which will help him to safeguard goods from any damage?.

ii) Which service will help him to remove the difficulty of the place?

iii) From which service sector will he get financial support?

Solution: 

i) Warehousing is the service that helps Mr. Sharan to safeguard his goods from any damage.

 

ii) Transport service will help Mr. Sharan to remove the difficulty of the place.

iii) Mr. Sharan will get financial support from the Banking sector.

 

Q.4 Mr. Amit is a businessman. He has his own factories in Pune and Nashik. He lives in Pune with his wife and 2 daughters aged 5 and 8 years.

i) Can Mr. Amit take a life insurance policy for his wife and 2 children?

ii) Can Mr. Amit take a marine insurance policy for his factories?

iii) Which type of insurance should Mr. Amit take for protecting his factories from loss due to fire?

Solution: 

i) Mr. Amit can take whole life policy or term insurance policy for his wife and child insurance policy or money back policy for his daughters.

 

ii) Mr. Amit cannot take marine. insurance policy for his factories.

 

iii) Mr. Amit can take Floating Fire Insurance Policy for protecting his factories at Pune and Nashik.

 

 

Chapter 5: Emerging Modes of Business

 

Q.1 Abhay purchases some gift articles online from www.flipkart.com. At the same time, Sheetal purchased a gift from e-bay.com.

i. Which website is related to C2C?

ii. Which website is related to B2C?

iii. What first step does Abhay need to follow?

Solution: 

i) eBay.com website is related to Consumer to Consumer (C2C).

 

ii) www.flipkart.com website is related to Business to Consumer (B2C).

 

iii)Before online shopping. Abhay has to register with the www.flipkart.com by filling up a registration form. Registration is the first step in online transactions. Abhay needs to login a particular website to buy particular gift articles.

Q.2 Satvik purchases a watch from Titan shop and his friend Shambhavi purchases a watch from online shopping sites.

i. Which shopping is from a traditional business?

ii. Which shopping is from e-business?

iii. Which business involved high risk?

Solution: 

The purchase of a watch by Satvik from Titan shop is an example of traditional business.

 

The purchase of a watch by Shambhavi from an online shopping site is an example of e-business.

 

e-business i.e. purchase of a watch from online shopping sites involves high risk as there is no direct contact between Shambhavi and the e-business owners.

 

Q.3 Mr. Ved made his payment by cheque at the same time Mr. Shlok made his payment by fund transfer.

i. Whose payment is faster?

ii. Whose payment is related to traditional business?

iii. Whose payment is related to e-business?

Solution:

The payment made by Mr. Shlok by fund transfer is faster than the payment made by Mr. Ved through cheque.

 

The payment made by Mr. Ved by cheque is related to traditional business.

 

The payment made by Mr. Shlok by fund transfer is related to e-business.

Chapter 6: Social Responsibilities of Business

Q.1 Yashwant Co. Ltd. is providing facilities for their female staff like a daycare center for kids and work from home facility. Even management takes their suggestions while taking the decisions though they are members of trade union

i) By doing this they are following social responsibilities towards which interest groups?

ii) What values are they presenting?

iii) What kind of responsibilities employer follows in the above case?

Solution:

By treating the staff with dignity and respect the company follows the social responsibilities towards the employees.

 

Yashwant Co. Ltd. is presenting social values by showing co-operation to their female staff.

Management takes the employee's suggestions while taking decisions even though they are members of a trade union. By doing this, management recognizes the right of employees to join Trade Unions. The company also does not restrict employees from forming Trade Union. Thus they follow social responsibility towards employees.

 

Q.2 Organization manufacturing paint has been enjoying a prominent market position for many years. It has been dumping its untreated poisonous waste on the riverbank: which has created many health problems for the nearby villages.

i) Which responsibility is neglected by the manufacturing organizations?

ii) What kind of pollution they are doing?

iii) What precautionary measures do they need to take?

Solution:

Responsibility towards the protection of the environment is neglected by manufacturing industries.

They are creating water pollution by dumping its untreated poisonous waste on the river bank.

Proper waste management techniques should be adopted by the organization under which waste should be reduced, effort should be made to reuse the waste. Waste that cannot be reduced or reused should be recycled.

Q.3 A vehicle manufacturing company has adopted the following practices.

A) Only those components will be used by the company which is environment friendly.

B) There will be a discharge of harmful wastes only after their proper treatment.

C) The pollution level of every vehicle will be maintained as per international standards.

i) By doing this, the business organization follows social responsibility towards which interest group?

ii) What kind of pollution do they want to avoid?

iii) What kind of message do they want to convey?

Solution:

The business organization follows social responsibility towards society for the protection of the environment.

 

They want to avoid air pollution.

 

They want to convey the message that businesses should be committed to protecting the environment and should not create an imbalance in nature.

Chapter 7: Consumer Protection

Q.1 Mr. Ashok visited a shop to buy a pair of shoes for RS. 700. The salesman forced him to buy a pair of bigger size shoes of the ordinary company by claiming this size would be suitable for him. After reaching home, he discovered that shoes are still too big for him. He complained about the shoes to the shopkeeper. It was denied by the shopkeeper to replace the shoes despite the availability of stock.

In the above case,

i) Which right has been violated?

ii) Comment on the right which has been violated.

iii) Where can Mr. Ashok file his complaint?

Solution: 

In the above case, the Right to Choose has been violated.

In India, the choices are available to consumers to select goods and different services like telecommunications, travel and tourism, banking, electronics, consumer goods, etc.

According to the right to choose, a consumer should be given full liberty to select an article as per his requirements, liking, and purchasing capacity. The seller cannot force or compel the customer to buy specific products or services In this manner monopoly is avoided and prevented.

According to the Right to be Heard, Mr. Ashok can lodge a complaint to the consumer forum. Mr. Ashok can also file an online complaint through the portal or mobile applications to the trader as well as to the appropriate consumer commission or forum.

Q.2 Mrs. Meera a resident of Nagpur District bought a washing machine worth Rs. 50,000 without cash memo with a warranty period of 2 years. After 1.5 years she noticed some defect and asked the company to repair or replace it. The company did not accept her complaint despite the defective product.

In the above case,

i) Suggest suitable redressal machinery to protect her right.

ii) If she is not satisfied with the decision given by redressal machinery, where

should she appeal?

iii) What was the negligence of Mrs. Meera while buying the washing machine?

Solution:  

According to Right to Redressal, Mrs. Meera should file a complaint about the fair settlement of the claim. This right enables Mrs. Meera to demand repair or replacement or compensation for defective products i.e., in the above case washing machine supplied. Three-tier quasi-judicial consumer dispute redressal machinery is established for the settlement of the claim. Mrs. Meera can file a complaint in the District Commission established in her district as the value of machinery does not exceed 1 crore.

If Mrs. Meera is not satisfied that the order or judgment was given by the District Commission, then she can appeal against such order to the State Commission within 45 days from the date of such order, in such form and manner as may be prescribed.

Mrs. Meera did not collect or ask for a cash memo and guarantee/warranty card for a period of 2 years as soon as she purchased the washing machine worth 50,000.

Chapter 8: Marketing

Q.1 Mr. X purchases goods from the nearest shop. Mr. Y purchases mobiles from Tokyo. Mr. Z of Nandurbar purchases electronic goods from Delhi.

i) From which type of market does Mr.X purchase?

ii) Name the type of market from where Mr.Y deals?

iii) State the type of market from where Mr.Z purchases goods?

Solution: 

Mr. X purchases goods from the local market.

Mr. Y purchase mobiles from Tokyo (a foreign market) and hence he deals in the International market.

Mr. Z of Nandurbar purchases electronic goods from Delhi, i.e. from the National market.

Q.2 Mr. X deals in import and export business so he needs different foreign currencies. For the expansion of his business, he borrows money from the bank. He invests his funds in the equity shares.

i) Name the market from where does Mr.X borrow money?

ii) Name the market where does Mr. X invests his funds?

iii) Which type of currency is required for the international market?

Solution: 

Mr. X borrows money from the capital market.

Mr. X invests his funds in the regulated market.

The different foreign currency is required by Mr. X for the international market.