Management

UPSC Management 2021 — Paper I

All 8 questions from UPSC Civil Services Mains Management 2021 Paper I (400 marks total). Every stem reproduced in full, with directive-word analysis, marks, word limits, and answer-approach pointers.

8Questions
400Total marks
2021Year
Paper IPaper

Topics covered

Globalization, personality, strategic HRM, organizational structure, variable pay (1)Group decision making, power tactics, manpower forecasting (1)CSR, money and motivation, domestic vs international HRM (1)Creative thinking, culture and Hofstede, Dunlop's industrial relations model (1)Marketing communication, inventory costing, swaps, flexible budgeting, market segmentation (1)Variance analysis, venture capital valuation, pricing strategies (1)Break-even analysis, financial position analysis, online vs traditional marketing (1)Income summary and balance sheet, working capital, unethical marketing practices (1)

A

Q1
50M Compulsory critically evaluate Globalization, personality, strategic HRM, organizational structure, variable pay

(a) 'Globalization' seems to be at 'cross-roads' as increasingly large number of countries embrace 'neo-nationalism' based on the doctrine of 'self-reliance'. Briefly explaining the concept of globalization, critically evaluate the impact of growing 'neo-nationalism' on Indian firms and suggest strategic measures for effective management. 10 marks (b) What is personality ? How do the big five personality traits predict work behaviour ? 10 marks (c) What is strategic human resource management ? Explain how HR practices get aligned with corporate strategies. 10 marks (d) Why do organizations differ in their structure and design ? What is the difference between a mechanistic structure and an organic structure ? 10 marks (e) What are the variable pay-for-performance plans ? What are the criteria for the success of these plans ? 10 marks

हिंदी में पढ़ें

(a) 'आत्मनिर्भरता' के सिद्धांत पर आधारित 'नवराष्ट्रवाद' को अपनाने वाले देशों की तेजी से बढ़ती संख्या से 'भूमंडलीकरण' 'दोराहे' पर खड़ा प्रतीत होता है । भूमंडलीकरण की संकल्पना को संक्षेप में समझाते हुए भारतीय प्रतिष्ठानों पर 'नवराष्ट्रवाद' के बढ़ते प्रभाव का आलोचनात्मक ढंग से मूल्यांकन कीजिए तथा प्रभावी प्रबंधन के लिए रणनीतिक उपायों का सुझाव दीजिए । 10 (b) व्यक्तित्व क्या है ? व्यक्तित्व के पांच बड़े लक्षण, कार्य व्यवहार का किस प्रकार से पूर्वानुमान लगाते हैं ? 10 (c) रणनीतिक मानव संसाधन प्रबंधन क्या है ? समझाइये कि मानव संसाधन (एच.आर) के आचरण, कंपनी की रणनीतियों के साथ कैसे संरेखित होते हैं । 10 (d) संगठन अपनी संरचना और प्रारूप में क्यों भिन्न होते हैं ? यांत्रिक संरचना और कार्बनिक संरचना में क्या अंतर है ? 10 (e) निष्पादन आधारित चर वेतन योजनाएं क्या हैं ? इन योजनाओं की सफलता के लिए कौन-कौन से मानदंड हैं ? 10

Answer approach & key points

Framework: Big Five Personality Traits (OCEAN). (a) critically evaluate: positives > negatives/limits > conditions/safeguards > conclusion | (b) explain: definition/context > points in order > small example > short close | (c) explain: definition/context > points in order > small example > short close | (d) compare: paired headings or table > key differences > significance > conclusion | (e) explain: definition/context > points in order > small example > short close Full marks: Applies named frameworks with concrete examples, shows critical analysis, provides strategic recommendations, demonstrates real-world application

  • Globalisation defined and neo-nationalism or self-reliance explained
  • Balanced impact on Indian firms: gains and costs
  • Strategic measures for effective management
  • Personality defined as stable pattern of traits
  • All five traits named correctly
  • Link of each trait to job behaviour
  • Strategic HRM defined as linking HR to business strategy
  • Vertical and horizontal fit explained
  • Examples of HR practices under different strategies
  • Contingency factors: strategy, size, technology, environment
  • Features of a mechanistic structure
  • Features of an organic structure
  • Main plans: piece-rate, bonus, profit sharing, gain sharing, ESOP
  • Criteria: measurable, controllable performance, clear pay-performance link, fairness
  • Fit with strategy and communication
Q2
50M compare Group decision making, power tactics, manpower forecasting

(a) Compare the process and effectiveness of : (i) Interacting (ii) Brainstorming (iii) Nominal (iv) Electronic meeting, as group decision making techniques. 20 marks (b) Enumerate the nine most identified power tactics. Discuss their relative effectiveness. 15 marks (c) Describe the major considerations in forecasting manpower requirements. What are the supply sources of the forecasted manpower ? 15 marks

हिंदी में पढ़ें

(a) सामूहिक निर्णय लेने की तकनीकों के रूप में : (i) बातचीत (ii) विचारावेश (iii) सांकेतिक (iv) इलेक्ट्रॉनिक बैठक, की प्रक्रिया और प्रभावशीलता की तुलना कीजिए । 20 (b) नौ सर्वाधिक मान्य सत्ता की युक्तियों की गणना कीजिए । उनकी सापेक्ष प्रभावशीलता की विवेचना कीजिए । 15 (c) श्रमशक्ति की आवश्यकताओं के पूर्वानुमान के प्रमुख विचारों का वर्णन कीजिए । पूर्वानुमानित श्रमशक्ति की आपूर्ति के कौन-कौन से स्रोत हैं ? 15

Answer approach & key points

Framework: Group Decision Making Techniques (Interacting, Brainstorming, Nominal, Electronic). (a) compare: paired headings or table > key differences > significance > conclusion | (b) enumerate: list the items in order > one line each > no commentary | (c) describe: define > structure or process in order > labelled diagram > significance Full marks: Comprehensive comparison with clear structure, specific examples, and balanced analysis across all parts.

  • Process of each of the four techniques
  • Effectiveness comparison on quality, speed, conflict and commitment
  • Strengths and limits of each
  • All nine tactics named and explained
  • Rational persuasion and similar tactics as most effective
  • Pressure as least effective, with situational factors
  • Considerations: strategy, workload, attrition, skill mix, budget
  • Internal supply sources
  • External supply sources
Q3
50M critically evaluate CSR, money and motivation, domestic vs international HRM

(a) Briefly explain the concept of Corporate Social Responsibility (CSR) with industry illustrations. Critically evaluate major initiatives developed by multilateral agencies to measure CSR activities. 20 marks (b) "If money does not make you happy, you are not spending it right." Give your views on the statement in context of money being a tool for motivation. 15 marks (c) Briefly explain the distinguishing features between domestic and International Human Resource Management (IHRM). Critically evaluate pros and cons of employing Host Country Nationals (HCNs), Parent Country Nationals (PCNs) and Third Country Nationals (TCNs). 15 marks

हिंदी में पढ़ें

(a) उद्योग-धंधों के उदाहरणों के साथ नैगमिक सामाजिक दायित्व (सी एस आर) की अवधारणा को संक्षेप में समझाइये । सी एस आर गतिविधियों को मापने के लिए बहुपक्षीय अभिकरणों द्वारा विकसित प्रमुख पहलों का आलोचनात्मक ढंग से मूल्यांकन कीजिए । 20 (b) "यदि रुपया-पैसा आपको खुशी नहीं देता है तो आप उसको उचित ढंग से खर्च नहीं कर रहे हैं ।" रुपया-पैसा अभिप्रेरणा का एक साधन है, इस संदर्भ के साथ इस कथन पर अपने विचार व्यक्त कीजिए । 15 (c) देशीय एवं अंतर्राष्ट्रीय मानव संसाधन प्रबंध (आई एच आर एम) में अंतर करने वाली विशेषताओं को संक्षेप में समझाइये । मेजबान देश के नागरिकों (एच सी एनएस) मूल देश के नागरिकों (पी सी एनएस) और किसी तीसरे देश के नागरिकों (टी सी एनएस) को रोजगार देने से होने वाले भले और बुरे परिणामों का आलोचनात्मक ढंग से मूल्यांकन कीजिए । 15

Answer approach & key points

Framework: Stakeholder Theory / CSR Frameworks (e.g., Carroll's Pyramid). (a) critically evaluate: positives > negatives/limits > conditions/safeguards > conclusion | (b) comment: context > arguments both sides > judgment > close | (c) critically evaluate: positives > negatives/limits > conditions/safeguards > conclusion Full marks: Comprehensive coverage of all parts with specific examples, critical analysis, and clear structure.

  • CSR concept with Companies Act 2013 Section 135 provisions
  • Industry illustrations such as Tata, Infosys Foundation, ITC
  • Evaluation of UN Global Compact, GRI, ISO 26000 and similar frameworks
  • Explanation of the statement and its basis
  • Motivation theories on money: Maslow, Herzberg, expectancy
  • A reasoned personal view
  • Features of IHRM: more activities, wider perspective, risk, external influences
  • Pros and cons of HCNs and PCNs
  • Pros and cons of TCNs
Q4
50M evaluate Creative thinking, culture and Hofstede, Dunlop's industrial relations model

(a) List the various types of conceptual blocks that come in the way of thinking creatively. What is the process of innovation that firms should follow ? 15 marks (b) Explain the concept of culture. Evaluate Hofstede's cross-cultural classifications and its implications in managing under culturally diverse situations. 20 marks (c) Explain Dunlop's system approach model of industrial relations. How did Bomers extend this model for international industrial relations ? 15 marks

हिंदी में पढ़ें

(a) रचनात्मक सोच के मार्ग में आने विभिन्न प्रकार के वैचारिक अवरोधों को सूचीबद्ध कीजिए । नवाचार की प्रक्रिया क्या है जिसका प्रतिष्ठानों को पालन करना चाहिए ? 15 (b) संस्कृति की अवधारणा को समझाइये । सांस्कृतिक विविधता वाली परिस्थितियों में प्रबंध करने पर हॉफस्टेड की क्रॉस सांस्कृतिक वर्गीकरणों एवं उसके निहितार्थों का मूल्यांकन कीजिए । 20 (c) औद्योगिक संबंधों पर डनलप के प्रणाली दृष्टिकोण मॉडल को समझाइये । बोमर्स ने किस प्रकार इस मॉडल का अंतर्राष्ट्रीय औद्योगिक संबंधों के लिए विस्तार किया ? 15

Answer approach & key points

Framework: Hofstede's Cultural Dimensions; Dunlop's System Approach. (a) explain: definition/context > points in order > small example > short close | (b) evaluate: criteria > evidence > balanced judgment | (c) explain: definition/context > points in order > small example > short close Full marks: Comprehensive coverage of all parts with specific examples and critical evaluation.

  • Types of conceptual blocks: constancy, commitment, compression, complacency
  • Idea generation and screening stages
  • Development, testing, commercialisation and diffusion stages
  • Culture defined as shared values and norms
  • Hofstede's dimensions: power distance, individualism, masculinity, uncertainty avoidance, long-term orientation, indulgence
  • Implications for management style, motivation and HR in different cultures
  • Dunlop's actors, context, ideology and web of rules
  • Procedural and substantive rules as output
  • Bomers' international extension with international actors, contexts and rules

B

Q5
50M Compulsory elucidate Marketing communication, inventory costing, swaps, flexible budgeting, market segmentation

(a) Elucidate the basic process of marketing communication. What makes international marketing communication process much more complex compared to domestic one ? Justify your answer with suitable examples. 10 marks (b) Critically evaluate the pros and cons of the various methods adopted to determine the cost of inventories. 10 marks (c) What is a swap ? What are the common types of swaps ? How are these investments induced ? 10 marks (d) "If sales forecast is subject to error, then there is no purpose of budgeting." Do you agree ? How can a flexible budget be used to control costs ? 10 marks (e) Explain the concept of market segmentation. Prepare a comprehensive market research plan to identify and target markets for newly developed herbal preparations to alleviate post-COVID 19 adverse effects in international markets. 10 marks

हिंदी में पढ़ें

(a) विपणन सम्प्रेषण की बुनियादी प्रक्रिया को स्पष्ट कीजिए। अन्तर्राष्ट्रीय विपणन सम्प्रेषण को देशीय विपणन सम्प्रेषण की तुलना में बहुत अधिक जटिल क्या बनाता है ? उपयुक्त उदाहरणों द्वारा अपने उत्तर का औचित्य साबित कीजिए। 10 (b) मालों (इन्वेंट्रीज) की लागत निर्धारित करने के विभिन्न विधियों के लाभों और हानियों का आलोचनात्मक ढंग से मूल्यांकन कीजिए। 10 (c) विनिमय क्या है ? विनिमय के सामान्यतः कितने प्रकार होते हैं ? ये निवेश किस प्रकार से प्रेरित किये जाते हैं ? 10 (d) "यदि विक्रय पूर्वानुमान त्रुटि के अधीन है तो बजटिंग का कोई उद्देश्य नहीं है।" क्या आप सहमत हैं ? नम्य (फ्लेक्सिबिल) बजट का उपयोग लागतों को नियंत्रित करने में कैसे हो सकता है ? 10 (e) बाजार विभाजीकरण की संकल्पना को समझाइये। अन्तर्राष्ट्रीय बाजारों में पोस्ट कोविड-19 के प्रतिकूल प्रभावों को कम करने के लिये नवविकसित हर्बल मिश्रण के बाजार को पहचानने और लक्ष्य करने के लिये एक व्यापक विपणन अनुसंधान योजना बनाइये। 10

Answer approach & key points

Framework: Marketing Communication Process (S-M-C-R), Inventory Valuation Methods (FIFO/LIFO/Weighted Average), Derivative Instruments (Swaps), Flexible Budgeting, Market Segmentation (STP). (a) explain: definition/context > points in order > small example > short close | (b) critically evaluate: positives > negatives/limits > conditions/safeguards > conclusion | (c) explain: definition/context > points in order > small example > short close | (d) comment: context > arguments both sides > judgment > close | (e) explain: definition/context > points in order > small example > short close Full marks: Applies named frameworks with real examples, critical judgment, and specific regulatory references

  • Process: sender, encoding, medium, decoding, receiver, noise, feedback
  • Reasons for complexity: language, culture, media, regulation, feedback
  • Suitable examples
  • FIFO and weighted average with pros and cons
  • LIFO and specific identification with pros and cons
  • Effect on profit, tax and balance sheet
  • Swap defined as exchange of cash flows
  • Types: interest rate, currency, commodity, equity, credit default
  • Inducements: comparative advantage, hedging, market access, speculation
  • Purposes of budgeting remain despite forecast error
  • Flexible budget as budget restated for actual activity level
  • Cost control through comparison at the same level of output
  • Segmentation concept and bases
  • Research plan: secondary then primary research with methods
  • Segment choice, positioning and testing
Q6
50M explain Variance analysis, venture capital valuation, pricing strategies

(a) What is Variance Analysis ? What are the possible reasons for different Cost Variances ? 15 marks (b) Explain in brief the (i) Conventional; (ii) The First Chicago; and (iii) The Revenue Multiplier Valuation approaches for financial analysis of Venture Capital Investments. 15 marks (c) (i) "Cost determines price is a myth". Do you agree with the statement ? Justify your answer with suitable examples. 10 marks (ii) Explaining the various types of pricing strategies, suggest a suitable pricing strategy for a newly developed luxury cosmetic targeted at premium customer segment. 10 marks

हिंदी में पढ़ें

(a) विचरण विश्लेषण क्या है ? विभिन्न लागत विचरणों के संभावित कारण क्या-क्या हैं ? 15 (b) जोखिम पूँजी निवेश के वित्तीय विश्लेषण के लिये; (i) पारम्परिक; (ii) द फर्स्ट शिकागो; एवं (iii) राजस्व गुणक मूल्यांकन दृष्टिकोणों को संक्षेप में समझाइये। 15 (c) (i) "लागत कीमत को निर्धारित करता है, यह एक मिथक है" । क्या आप इस कथन से सहमत हैं ? उपयुक्त उदाहरणों से अपने उत्तर का औचित्य साबित कीजिए । 10 (ii) विभिन्न प्रकार की कीमत रणनीतियों को समझाते हुए अधिमूल्य (प्रीमियम) ग्राहक खंड को लक्षित करने के लिए एक नवविकसित विलासिता सौंदर्य प्रसाधन हेतु उपयुक्त कीमत रणनीति का सुझाव दीजिए । 10

Answer approach & key points

Framework: Variance Analysis, Venture Capital Valuation Models, Pricing Strategies. (a) explain: definition/context > points in order > small example > short close | (b) explain: definition/context > points in order > small example > short close | (c(i)) justify: claim > 3-4 reasons > evidence > conclusion | (c(ii)) suggest: the problem in one line > implementable measures > who acts > conclusion Full marks: Precise definitions, clear distinction between VC models, strong justification with examples, and a well-reasoned pricing strategy.

  • Variance analysis defined with favourable and adverse variances
  • Material, labour and overhead variances named
  • Causes for each variance and controllability
  • Conventional method: exit value, target return, required ownership
  • First Chicago method: three scenarios with probabilities
  • Revenue multiplier method and when it is used
  • Cost as price floor but value, demand and competition decide price
  • Suitable examples
  • A reasoned stand
  • Main pricing strategies by basis: cost, competition, value
  • Choice of prestige or skimming pricing for the luxury cosmetic
  • Support by packaging, distribution and positioning
Q7
50M calculate Break-even analysis, financial position analysis, online vs traditional marketing

(a) During the current financial year, XYZ Ltd. generated a profit of ₹5,00,000/- on a sale of ₹1,05,00,000/-. The variable expenses were ₹55,00,000/-. Compute the following : (i) Fixed expenses of the company. (ii) Break-even sales for the current financial year. (iii) Break-even sales if variable costs increase by 20%. (iv) Break-even sales required to maintain the profit as at present, if the selling price has to be reduced by 10%. 20 marks (b) How would you analyse the financial position of a company from the point of view of (i) An Investor; (ii) A Creditor; (iii) An Employee of the firm; and (iv) A Supplier of the firm ? 20 marks (c) Critically evaluate the impact of online marketing on traditional marketing channel. In view of the fierce competition by online retailers in emerging post-pandemic situation, evolve a strategy for traditional retailers for survival and growth. 10 marks

हिंदी में पढ़ें

(a) चालू वित्तीय वर्ष के दौरान, XYZ लिमिटेड ने ₹1,05,00,000/- की बिक्री पर ₹5,00,000/- का लाभ कमाया । परिवर्तनशील खर्चे ₹55,00,000/- थे । निम्नलिखित की गणना कीजिए : (i) कंपनी के स्थायी खर्चे । (ii) चालू वित्तीय वर्ष के लिये सम-विच्छेद बिक्रय । (iii) सम-विच्छेद बिक्रय यदि परिवर्तनशील लागतों में 20% की वृद्धि हो । (iv) लाभ को वर्तमान स्तर पर बनाए रखने के लिये सम-विच्छेद बिक्रय, यदि बिक्रय मूल्य 10% कम किया जाना है । 20 (b) (i) एक निवेशक; (ii) एक लेनदार; (iii) प्रतिष्ठान का एक कर्मचारी; एवं (iv) प्रतिष्ठान का एक पूर्तिकार के दृष्टिकोण से आप कंपनी की वित्तीय स्थिति का विश्लेषण कैसे करेंगे ? 20 (c) पारंपरिक विपणन सरनी (चैनल) पर ऑनलाइन विपणन के प्रभाव का आलोचनात्मक मूल्यांकन कीजिए । वैश्विक महामारी के बाद उभरती परिस्थिति में ऑनलाइन खुदरा विक्रेताओं द्वारा दी जा रही प्रखर प्रतिस्पर्धा के नजरिये से पारंपरिक खुदरा विक्रेताओं के अस्तित्व और विकास के लिये रणनीति विकसित कीजिए । 10

Answer approach & key points

Framework: CVP Analysis (Cost-Volume-Profit). (a) calculate: given > formula > substitution > result with units > interpretation | (b) analyse: intro > causes > effects > stakeholders/linkages > way forward | (c) critically evaluate: positives > negatives/limits > conditions/safeguards > conclusion Full marks: Accurate CVP calculations; distinct stakeholder analysis with specific ratios; actionable, context-aware retail strategy.

  • Contribution of ₹50,00,000 and fixed expenses of ₹45,00,000
  • Break-even sales of ₹94,50,000 (P/V ratio 47.62%) and ₹1,21,15,385 after the 20% cost rise
  • Required sales of about ₹1,19,62,025 after a 10% price cut, with working shown
  • Investor: profitability, return and growth ratios
  • Creditor: liquidity and solvency
  • Employee and supplier: stability, wage-paying ability and payment capacity
  • Impact: choice, price comparison, convenience, margin squeeze on traditional retailers
  • Surviving strengths of traditional channels
  • Omnichannel strategy for traditional retailers
Q8
50M evaluate Income summary and balance sheet, working capital, unethical marketing practices

(a) How is the income summary of the last accounting period connected with the balance sheet of the future accounting periods ? Explain, preferably using the balance sheet and income summary equations. 15 marks (b) Highlight the major factors that need to be considered for a proper assessment of the quantum of working capital required by a firm. 15 marks (c) Marketers often adopt means and ways, both fair and unfair, to establish their supremacy in the marketplace. Identify key unethical practices adopted by the marketers and evaluate the existing policy frameworks for its efficacy. Also suggest suitable policy measures to curb such practices effectively. 20 marks

हिंदी में पढ़ें

(a) पिछले लेखांकन अवधि का आय सारांश, भविष्य की लेखांकन अवधियों के तुलन पत्र से किस प्रकार संबंधित है ? अधिमानतः तुलन पत्र एवं आय सारांश के समीकरणों का उपयोग करते हुए समझाइये । 15 (b) उन प्रमुख घटकों पर विशेष बल दीजिए जिन्हें एक प्रतिष्ठान द्वारा आवश्यक कार्यशील पूँजी राशि के उचित मूल्यांकन हेतु विचार करने की आवश्यकता है । 15 (c) बाजार में अपना प्रभुत्व स्थापित करने हेतु विपणक उचित एवं अनुचित दोनों तौर-तरीके अक्सर अपनाते हैं । विपणकों द्वारा अपनायी गयी मुख्य अनैतिक व्यवहारों को पहचानिये तथा इसकी प्रभावोत्पादकता के लिए विद्यमान नीतिगत ढाँचे का मूल्यांकन कीजिए । साथ ही, इस प्रकार के व्यवहारों को प्रभावी ढंग से नियंत्रित करने हेतु उपयुक्त नीतिगत उपायों का सुझाव दीजिए । 20

Answer approach & key points

Framework: Accounting Equation (Assets = Liabilities + Capital) and Working Capital Determinants. (a) explain: definition/context > points in order > small example > short close | (b) highlight: name the salient points > one line of substance each > close | (c) evaluate: criteria > evidence > balanced judgment Full marks: Rigorous application of accounting equations; comprehensive list of working capital factors with context; critical evaluation of legal frameworks with specific statutory references.

  • State the balance sheet equation (A = L + C)
  • State the income summary equation (closing capital = opening capital + profit − drawings/dividends)
  • Show that closed profit moves to capital/retained earnings and carries into the next opening balance sheet
  • Nature of business and scale of operations
  • Credit terms (receivables and payables) and operating cycle length
  • Seasonality and production policy
  • Name specific unethical practices (misleading ads, hidden charges, dark patterns, collusion)
  • Evaluate existing laws such as the Consumer Protection Act, 2019 and the Competition Act, 2002 for efficacy
  • Suggest measures linked to the problems identified

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