Principles of Management and Organisational Behaviour
This domain tests classical and behavioural management theory, organisation structure, motivation, group dynamics and leadership - and your ability to apply them to concrete managerial situations.
Core rules and concepts
- Fayol's 14 principles include division of work, authority with responsibility, unity of command (one boss), unity of direction (one plan per objective), scalar chain and esprit de corps.
- Mintzberg's ten roles fall into interpersonal (figurehead, leader, liaison), informational (monitor, disseminator, spokesperson) and decisional (entrepreneur, disturbance handler, resource allocator, negotiator).
- Span of control determines tall versus flat structures; wider spans cut managerial cost but raise supervisory load.
- Maslow's hierarchy runs physiological → safety → social → esteem → self-actualisation; Herzberg separates hygiene factors (pay, policy, conditions) from motivators (achievement, recognition, growth). Vroom: force = valence × instrumentality × expectancy.
- Tuckman's stages: forming, storming, norming, performing, adjourning.
Worked example. A plant has 64 operators and a uniform span of 8. First-line supervisors = 64/8 = 8; next level = 8/8 = 1; total managers = 9. If the span narrows to 4: 16 + 4 + 1 = 21 managers. The narrower span improves supervision but adds 12 managerial posts, so the trade-off is cost and slower vertical communication.
Traps. Do not confuse unity of command with unity of direction. Hygiene factors prevent dissatisfaction but do not motivate. Maslow's hierarchy is not a validated universal law. Fiedler uses the LPC score, not personality alone.