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CMA Foundation · Fundamentals of Business Economics and Management · Introduction to Management

A newly appointed manager at Kaveri Textiles first sets the quarterly production target of 12,000 metres and decides the steps needed to reach it. Which management function is the manager performing?

The manager is performing planning. Planning means fixing objectives, such as the 12,000 metre target, and deciding in advance the actions needed to achieve them. Organizing, staffing and controlling follow once the plan exists, so they do not describe this step.

  1. APlanningCorrect
  2. BOrganizing
  3. CControlling
  4. DStaffing

Explanation

Setting objectives and deciding in advance the course of action to achieve them is planning. Organizing comes later, when resources and tasks are arranged. Controlling compares actual results with targets after work starts.

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