CBSE Class 12 Business Studies sample paper 2023-24: question 34
From the official CBSE sample question paper for 2023-24, section D, question 34, for 6 marks. Try it first; the hints and our step-by-step solution are below.
Q34 · 6 marks · Case-basedCompetency-basedOrganising
Diligent developers, a website design company in Bangalore is a startup initiative of Mr. Maniraj which aims at achieving a profit margin of 10% in its first year. Mr. Maniraj appointed Mr. Advait as the Digital marketing Head, Mr. Kiyansh as the head of Backend department and Mr. Nirved headed the Graphics Designing Department. Since each head was specialised in specific skills, it resulted in increased efficiency and better coordination.
However, problems arose when Mr. Advait started considering group objectives superior to organisational objectives and stopped exchanging information with Mr. Kiyansh and Mr. Nirved. The company had to bear the brunt of lack of coordination and was unable to achieve its objectives.
- a)2 marks
Identify and state the organisational structure adopted by the company.
- b)4 marks
State two benefits and two limitations of the identified structure highlighted in the above case.
Source: official sample paper from cbseacademic.nic.in (PDF). See it in the full Sample paper 2023-24.
Hints
Open one hint at a time and try again before the next.
Hint 1
Departments are headed by function specialists: which structure?
Hint 2
Find the benefit and the problem described in the case.
Step-by-step solution
Each step shows the marks it earns, as an examiner would award them. Checked by an independent re-solve from the question paper.
- 2 marks
a) Functional structure: an organisational design that groups similar or related jobs together (digital marketing, backend, graphics designing).
- 1 mark
b) Benefit: occupational specialisation: Emphasis on specific functions makes employees specialists and raises efficiency.
- 1 mark
Benefit: control and coordination within a department: Similar tasks within a department make control and coordination easier.
- 1 mark
Limitation: functional empires: Departmental objectives may be put above organisational objectives, as Mr Advait did.
- 1 mark
Limitation: problems in coordination across departments: Information must be exchanged across functionally separate departments, which broke down here.
Answer: a) Functional structure. b) Benefits: specialisation, control and coordination within a department. Limitations: functional empires, poor coordination across departments.
Where the marks are
- a) Identification (1) + statement (1)
- b) Two benefits and two limitations: 1 mark each
Revise the chapter
- Chapter: Organising (notes, formulas, where marks are lost and every past question)
- Topic: Functional and Divisional Structure
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