Karnataka II PUC Business Studies (KSEAB) flashcards

32 cards. Read the term and the definition here. The deck at the top of this page is optional.

Effectiveness

Completing a task on time and producing the intended result, that is, doing the right task. It is measured by the extent to which organisational goals are achieved.

Coordination

The deliberate and continuous integration of the efforts of all individuals and departments so that organisational goals are achieved. It is not a separate function but the essence of management.

Middle-level management

The level between top and supervisory management that translates top-level plans into departmental objectives, assigns duties to supervisors and ensures the department has the right personnel and resources.

Gang plank

Fayol's device that allows two employees at the same level of the scalar chain to communicate directly in an emergency, avoiding delays caused by following the chain of command.

Unity of command

A Fayol principle stating that each subordinate should receive orders from and be accountable to only one superior, preventing confusion, conflicting instructions and shifting of responsibility.

Differential piece wage system

Taylor's technique in which workers completing the standard output are paid a higher piece rate, while those below the standard get a lower rate, rewarding efficiency and penalising inefficiency.

Business environment

The sum of all individuals, institutions and other forces outside a business that can affect its performance, including economic, social, technological, political and legal dimensions.

Liberalisation

The removal of unnecessary restrictions and licensing on private business, such as abolition of industrial licensing and reduction of public-sector reservation, adopted in India from the 1991 New Economic Policy.

Technological environment

The forces relating to scientific improvements and innovations that provide new products, processes and machinery, and which can make existing production methods or products obsolete.

Planning premises

The assumptions about the future environment, such as forecasts of demand, costs or government policy, on which plans are built; they may be internal or external.

Procedure

A standing plan that spells out the chronological sequence of routine steps to be followed in carrying out a policy, indicating who does what and in which order.

Strategy

A comprehensive plan of action for achieving organisational objectives, involving the choice of means and advance allocation of resources for long-term success in a competitive environment.

Delegation

The transfer of authority by a superior to a subordinate to complete a specific task, along with responsibility for it, so that work is shared and decisions are taken closer to the action.

Accountability

The obligation of a subordinate to answer to the superior for the result of the assigned task. Unlike authority, it cannot be delegated and always flows upward.

Decentralisation

The systematic distribution of decision-making authority to all levels of an organisation, ranging from the centralisation extreme of top-level control to the decentralisation extreme of maximum delegation.

Recruitment

The process of searching for prospective candidates and stimulating them to apply for jobs in the organisation, drawing on internal sources such as promotions or external sources such as advertisements.

Orientation

The induction part of staffing in which a newly appointed employee is introduced to other employees and familiarised with the rules, policies, work procedures and culture of the organisation.

Vestibule training

An off-the-job training method in which a duplicate or simulated work setup is created in a classroom so that trainees learn on the same type of equipment before entering the real workplace.

Supervision

The element of directing in which a supervisor oversees the work of subordinates, instructs them, guides them, corrects errors and maintains contact with the operational workforce.

Grapevine

The informal, unofficial channel of communication that spreads information rapidly among employees through friendship networks; it is not controlled by management and may distort facts.

Laissez-faire leadership

A leadership style in which the leader gives complete freedom to subordinates to set their own goals and take decisions, intervening only when consulted or when support is requested.

Critical point control

A control principle under which managers concentrate on key result areas where a small deviation would seriously damage performance, instead of trying to control every minor activity.

Management by exception

A control principle in which managers investigate only those deviations that significantly exceed the permissible range, leaving minor deviations to be handled by subordinates.

Corrective action

The final step of the control process in which the causes of significant deviations are analysed and remedial steps, such as revising standards or changing plans, are taken.

Trading on equity

The practice of using a higher proportion of debt than equity in the capital structure to increase shareholders' earnings per share when return on investment exceeds the cost of debt.

Working capital

The capital required to finance short-term assets such as inventories, receivables and cash; it equals current assets minus current liabilities and depends on the length of the operating cycle.

Primary market

The segment of the capital market where companies issue new securities to investors for the first time, whether through an initial public offer, a rights issue or private placement.

Dematerialisation

The process by which physical share certificates are converted into electronic form and held in a depository account, enabling paperless transfer and reducing the risk of loss or forgery.

Marketing mix

The set of four controllable variables, namely product, price, place and promotion, that a firm combines and adjusts to satisfy target customers and achieve its marketing objectives.

Brand mark

The part of a brand that can be recognised visually but cannot be spoken, such as a symbol, design, lettering or colour combination, for example the logo of a company.

Right to seek redressal

The consumer right to obtain compensation or relief against defective goods or deficient services through the appropriate District, State or National Consumer Commission.

District Commission jurisdiction

The consumer court that hears complaints valued up to 50 lakh rupees under the Consumer Protection Act 2019 as revised by the 2021 jurisdiction rules; appeals go to the State Commission.