Management by exception is best defined as
A) controlling actions of subordinates through acceptance by them of management techniques.
B) investigating unfavourable variances.
C) devoting management time to follow up only on significant variances.
D) controlling costs so that non-zero variances are quite exceptional.

Question

Quizplus · Accepted Answer

Management by exception is a management technique where managers only focus on significant variances or exceptions that require their attention. They do not spend time on reviewing routine reports or actions of subordinates unless there is a significant deviation from expected results. This approach allows managers to focus on important issues, improve decision-making, and save time. Options A, B, and D are not correct definitions of management by exception.

Management by Exception Is Best Defined as