2802/313
PRINCIPLES AND PRACTICE OF MANAGEMENT
July 2023
Time: 3 Hours
THE KENYA NATIONAL EXAMINATIONS COUNCIL
DIPLOMA IN CATERING AND ACCOMMODATION MANAGEMENT
DIPLOMA IN FOOD AND BEVERAGE MANAGEMENT
DIPLOMA IN BAKING TECHNOLOGY
MODULE III
PRINCIPLES AND PRACTICE OF MANAGEMENT
INSTRUCTIONS TO CANDIDATES
- This paper consists of TWO sections, A and B.
- Answer ALL questions in section A and any THREE questions from section B in the answer booklet provided.
- Candidates should answer the questions in English.
This paper consists of 3 printed pages
Candidates should check the question paper to ascertain that all the pages are printed as indicated and that no questions are missing.
© 2023 The Kenya National Examinations Council
SECTION A (40 marks)
Answer ALL the questions in this section.
1. Distinguish between unity of command and unity of direction in principles of management. (4 marks)
Answer:
- Unity of command ensures that an employee receives orders from one superior, while unity of direction ensures that all activities aimed at the same objective are under the direction of one manager.
2. Identify four factors that constitute the economic environment of a firm. (4 marks)
Answer:
- Inflation rates
- Employment levels
- Interest rates
- Government fiscal policy
3. Outline two techniques of job evaluation that may be used in an organization. (4 marks)
Answer:
- Ranking method
- Point factor method
4. Distinguish between vertical coordination and horizontal coordination. (4 marks)
Answer:
- Vertical coordination refers to the alignment of activities between different levels of hierarchy in an organization, whereas horizontal coordination involves coordination across departments at the same hierarchical level.
5. Identify three non-budgetary controls that may be used in an organization. (3 marks)
Answer:
- Standard operating procedures
- Performance appraisals
- Quality control
6. State four factors that make it difficult for managers to effectively motivate employees. (4 marks)
Answer:
- Personal problems of employees
- Lack of clear incentives
- Unclear organizational goals
- Poor working conditions
7. State four factors that may contribute to unethical employee behavior. (4 marks)
Answer:
- Lack of clear policies
- Peer pressure
- Financial difficulties
- Weak enforcement of regulations
8. Outline four factors to be considered when designing an organizational structure. (4 marks)
Answer:
- Size of the organization
- Nature of tasks
- Organizational culture
- Goals and objectives
9. State four characteristics of an objective as a type of written plan. (4 marks)
Answer:
- Specific
- Measurable
- Achievable
- Time-bound
SECTION B (60 marks)
Answer any THREE questions from this section.
10. (a) Explain four fundamental responsibilities of a business to the government. (8 marks)
Answer:
- Paying taxes
- Compliance with laws and regulations
- Creation of employment
- Participation in community development
(b) Outline four circumstances under which the project organization structure is appropriate. (8 marks)
Answer:
- When the project has a clear timeline
- When cross-functional collaboration is required
- When the project is complex and requires specialized skills
- When project accountability is needed
(c) The philosophy of Management by Objectives has certain weaknesses that hinder its effective implementation. Explain four such weaknesses. (8 marks)
Answer:
- Time-consuming to implement
- Difficulties in setting clear objectives
- Limited to measurable tasks
- Potential for miscommunication between managers and employees
11. (a) Explain four objectives that an organization may seek to achieve by designing an effective control system. (8 marks)
Answer:
- Ensuring resource efficiency
- Monitoring performance
- Preventing fraud and errors
- Aligning operations with organizational goals
(b) Explain four criticisms that are labeled against Herzberg’s two-factor theory of motivation. (8 marks)
Answer:
- Over-simplification of factors
- Assumes all employees are motivated by the same things
- Ignores the role of situational factors
- Limited to specific industries
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2802/303
2802/313
PRINCIPLES AND PRACTICE OF MANAGEMENT
July 2023
Time: 3 Hours
THE KENYA NATIONAL EXAMINATIONS COUNCIL
DIPLOMA IN CATERING AND ACCOMMODATION MANAGEMENT
DIPLOMA IN FOOD AND BEVERAGE MANAGEMENT
DIPLOMA IN BAKING TECHNOLOGY
MODULE III
PRINCIPLES AND PRACTICE OF MANAGEMENT
INSTRUCTIONS TO CANDIDATES
- This paper consists of TWO sections, A and B.
- Answer ALL questions in section A and any THREE questions from section B in the answer booklet provided.
- Candidates should answer the questions in English.
This paper consists of 3 printed pages
Candidates should check the question paper to ascertain that all the pages are printed as indicated and that no questions are missing.
© 2023 The Kenya National Examinations Council
SECTION A (40 marks)
Answer ALL the questions in this section.
1. Distinguish between unity of command and unity of direction in principles of management. (4 marks)
Answer:
- Unity of command ensures that an employee receives orders from one superior, while unity of direction ensures that all activities aimed at the same objective are under the direction of one manager.
2. Identify four factors that constitute the economic environment of a firm. (4 marks)
Answer:
- Inflation rates
- Employment levels
- Interest rates
- Government fiscal policy
3. Outline two techniques of job evaluation that may be used in an organization. (4 marks)
Answer:
- Ranking method
- Point factor method
4. Distinguish between vertical coordination and horizontal coordination. (4 marks)
Answer:
- Vertical coordination refers to the alignment of activities between different levels of hierarchy in an organization, whereas horizontal coordination involves coordination across departments at the same hierarchical level.
5. Identify three non-budgetary controls that may be used in an organization. (3 marks)
Answer:
- Standard operating procedures
- Performance appraisals
- Quality control
6. State four factors that make it difficult for managers to effectively motivate employees. (4 marks)
Answer:
- Personal problems of employees
- Lack of clear incentives
- Unclear organizational goals
- Poor working conditions
7. State four factors that may contribute to unethical employee behavior. (4 marks)
Answer:
- Lack of clear policies
- Peer pressure
- Financial difficulties
- Weak enforcement of regulations
8. Outline four factors to be considered when designing an organizational structure. (4 marks)
Answer:
- Size of the organization
- Nature of tasks
- Organizational culture
- Goals and objectives
9. State four characteristics of an objective as a type of written plan. (4 marks)
Answer:
- Specific
- Measurable
- Achievable
- Time-bound
SECTION B (60 marks)
Answer any THREE questions from this section.
10. (a) Explain four fundamental responsibilities of a business to the government. (8 marks)
Answer:
- Paying taxes
- Compliance with laws and regulations
- Creation of employment
- Participation in community development
(b) Outline four circumstances under which the project organization structure is appropriate. (8 marks)
Answer:
- When the project has a clear timeline
- When cross-functional collaboration is required
- When the project is complex and requires specialized skills
- When project accountability is needed
(c) The philosophy of Management by Objectives has certain weaknesses that hinder its effective implementation. Explain four such weaknesses. (8 marks)
Answer:
- Time-consuming to implement
- Difficulties in setting clear objectives
- Limited to measurable tasks
- Potential for miscommunication between managers and employees
11. (a) Explain four objectives that an organization may seek to achieve by designing an effective control system. (8 marks)
Answer:
- Ensuring resource efficiency
- Monitoring performance
- Preventing fraud and errors
- Aligning operations with organizational goals
(b) Explain four criticisms that are labeled against Herzberg’s two-factor theory of motivation. (8 marks)
Answer:
- Over-simplification of factors
- Assumes all employees are motivated by the same things
- Ignores the role of situational factors
- Limited to specific industries
12. (a) Explain three forms of effective coordination. (6 marks)
Answer:
- Direct supervision
- Standardization of processes
- Mutual adjustment
(b) Highlight three situations where the style of leadership may be inappropriate. (6 marks)
Answer:
- In emergencies that require rapid decisions
- When subordinates lack the knowledge to participate in decision-making
- In organizations with a highly centralized structure
(c) Outline four measures that may be taken to improve an organization’s effectiveness. (8 marks)
Answer:
- Streamlining communication channels
- Investing in employee development
- Enhancing operational efficiency
- Promoting a culture of innovation
13. (a) Outline five indicators that an employee is not satisfied with his or her work. (10 marks)
Answer:
- Increased absenteeism
- Decline in productivity
- Complaints and grievances
- Lack of engagement
- High turnover rates
(b) Explain five reasons why a manager may fail to control organizational performance. (10 marks)
Answer:
- Lack of clear objectives
- Insufficient resources
- Poor communication
- Resistance from employees
- Inadequate performance measures
14. (a) Explain three ways in which a manager may adopt the classical management school of thought. (6 marks)
Answer:
- Emphasizing efficiency and productivity
- Division of labor and specialization
- Strict hierarchical structure
(b) Outline four reasons that make organizing important in an enterprise. (8 marks)
Answer:
- Clarifies roles and responsibilities
- Ensures efficient resource allocation
- Enhances coordination of activities
- Facilitates growth and adaptation to change
(c) With reference to Maslow’s Hierarchy of Needs theory, outline four ways in which a manager may satisfy the social needs of employees. (6 marks)
Answer:
- Fostering teamwork and collaboration
- Encouraging social activities
- Creating a supportive work environment
- Providing recognition and appreciation for contributions