1.4b managing people Flashcards
1
Q
what is a business structure known as & what does this word mean?
A
a hierarchy
↳ the levels of authority within an organization
2
Q
how can business structure be drawn?
A
as an organisational chart
3
Q
what is an organisational chart?
A
it explains the professional relationships, responsibilities and authority between employees
4
Q
what is authority?
A
the powers in terms of decision-making that a worker has
5
Q
the higher up the hierarchy/the organisational chain…
A
the more authority that a worker has
6
Q
4 benefits of an organisational structure:
A
clear chain of command
↳ understand where decisions are made and how they are communicated
clear span of control
↳ know who report to who
clarify job role
↳ responsibilities
clarify functional area
↳ HR, marketing, finance
7
Q
what makes up a hierarchy?
A
the different layers which are based on skills and experience
8
Q
what is each layer in a hierarchy given?
A
a dedicated responsibility
9
Q
what must businesses determine about their structure?
A
the best structure for them to achieve their objectives
10
Q
what is the chain of command?
A
the formal line of authority that flows down from the top management to lower-level employees (how instructions and communications flow from the top to the bottom of a business)
11
Q
key features of a chain of command
A
-defines who reports to whom
-defines who is responsible for making decisions
-establishes a clear communication channel
-helps to maintain accountability within the organization
12
Q
what is the span of control?
A
refers to the number of employees that a manager or supervisor can effectively manage / is directly responsible for
13
Q
a narrower span of control means…
A
that there are more layers of management
14
Q
A wider span of control means…
A
there are fewer layers of management
15
Q
what is a centralised system?
A
decision-making is concentrated at the top of the organisation, senior management makes most of the decisions
16
Q
what is a decentralised system?
A
decision-making authority is distributed throughout the organization, with lower-level employees having more decision-making power
17
Q
benefits of a centralised structure:
A
-appropriate for situations where managers have the knowledge and workers are low skilled
-suited to authoritarian leadership styles
-suitable in times of crisis
18
Q
featured & benefits of a decentralised structure:
A
-appropriate where business is spread over a wide geographic area and local trends/needs are important
-effective at reducing workload of senior managers
-allows for flexible working conditions
19
Q
what are the roles in a business organism?
A
-directors
-managers
-supervisors
-team leaders
20
Q
directors
A
-employed to run the business
-the managing director may have ultimate authority but there will be a group of directors (board of directors) who will take responsibility for various functions of the business
21
Q
managers
A
-take responsibility for managing and cotrolling an aspect of the business
-make the day-to-day decisions
-may be responsible for a department
-report to the directors
22
Q
supervisors
A
-monitor and regulate work of other employees
-they may have delegated responsibility from a manager
23
Q
team leaders
A
members of a team who take a leadership role to guide the work of the team and ensure employees are motivated and work effectively together
24
Q
3 categories of staff
A
-professionals
-operatives
-general staff
25
professionals
-high levels of qualifications and experience
-posts involve a level of decision-making and responsibility
26
examples of professionals
doctors, architects
27
operatives
-skilled workers who are involved in the production of a product or the delivery of a service
-carry out the instructions of managers and supervisors
28
general staff
-roles carried out by workers with non-specific skills
-require limited experience, skill or training
29
examples of general staff
receptionists, labourers
30
what is delegation?
the process of passing down authority through the organisation, staff are given the responsibility to carry out tasks
31
why is delegation used ?
-can be used to lighten the workload of key personnel
-leads to job enrichment for lower level staff
32
where may delegation be unsuitable?
in situations where junior employees don't have the skills or in a crisis situation
33
overview of a tall organisational structure
-multiple levels of management
-more centralised decision making process
-long chain of command
-common in large organisations with complex operation
-narrow span of control
34
benefits of a tall organisational structure
clear hierarchy of authority
↳ defined roles and responsibilities
promotes specialisation and expertise within each department or function
more opportunities for promotion
↳ more motivation → productivity
narrow spans of control
↳ better supervision
long chain of command
↳ more people to spot mistakes or bad decisions
↳ clear accountability to senior managers
35
drawbacks of a tall organisational structure
longer lines of communication
↳ communication is more complex, distortion of information
slower decision making
↳ information must pass through multiple layers of management
more layers of management
↳ higher costs
36
overview of a flat organisational structure
-fewer levels of management
-more decentralised decision-making process
-short chain of command
-common in small organisations or start-ups
-wider span of control
37
benefits of a flat organisational structure
quick decision making
↳ fewer layers & shorter chains of command
↳ employees have more autonomy to make decisions & adopt faster to market changes
improved employee collaboration and communication
↳ innovation/creativity
more financially efficient as less managers
more motivation
38
drawbacks of a flat organisational structure
lots of delegation may lead to over burdened employees
↳ less motivation, retention
↳ may require employees to take on multiple roles and responsibility
less promotion opportunities due to less layers
lack of well defined roles
↳ confused responsibility, leads to conflict
39
overview of a matrix organisation structure
-specialist teams are created to run a project inside the business
-team members may come from different disciplines (HR, finance, marketing, sales)
-the team will disband when the project is complete
40
benefits of matrix organisational structure
organisations are flexible
↳ adapt quickly to project/business conditions → allocate resources accordingly
efficiency
↳ expertise & skills can be shared across projects
collaboration
↳ projects have a holistic view as all functional areas are involved
41
drawbacks of matrix organisational structure:
confusion over roles and responsibilities
especially when multiple managers are involved
power struggles between functional area and project
requires a high degree of communication and coordination, which can be challenging
42
define motivation:
the willingness to work and achieve a given target or goal
43
define employee engagement
the contribution an employee makes towards their work
44
the scientific management school assumes that…
employees driven by financial incentives
45
the human relations school assumes that…
employees driven by the need to meet social needs
46
advantages of a motivated workforce:
-better productivity
-better quality
-lower levels of absenteeism
-lower levels of staff turnover
-lower training and recruitment costs
47
define employee turnover
the number of employees leaving the business
48
what did taylor believe that employees were motivated by?
wages → he thought productivity could be improved by setting output and efficiency targets related to pay
49
how are tasks distributed when following frederick taylor’s theory?
-workers are trained to perform small tasks which they become efficient at
-given basic training
50
incentives: taylor’s theory
financial rewards
51
advantages of taylor’s approach:
standardised procedures for everyone
→ reduce errors and inconsistencies
specialisation of labour → greater efficiency and productivity
52
disadvantages of taylor’s approach:
overemphasis on efficiency → reduces worker satisfaction and creativity
limited applicability → this approach may not work for roles that require high levels of creativity, problem-solving, or interpersonal skills
53
what did mayo believe was important?
-social factors
-employee needs
54
how businesses use mayo’s approach:
-team-building activities to build relationships
-providing feedback and recognition to employees
-creating a positive work environment by promoting open communication and providing support to employees
55
advantages of mayo’s approach
improved job satisfaction
increased productivity due to teamwork
better communication → workers value open and honest communication
stronger teams → sense of community and team spirit
56
disadvantages of mayo’s approach
time-consuming → building positive relationships requires time and effort
potential for conflict → attempts to build stronger relationships can also lead to conflicts and disagreements
57
what is mayo’s theory based on?
employees have social needs and these must be fulfilled through their work
58
what did maslow propose that relates to motivation?
the hierarchy of needs
59
what does maslow believe that workers are motivated by?
-people are driven to achieve personal needs
-businesses can motivate workers by giving them the opportunity to satisfy these needs at work
60
layers of maslows hierarchy:
5th: physiological needs
4th: safety & security
3rd: love and belonging
2nd: self-esteem
1st: self-actualisation
61
advantages of maslow’s approach:
higher employee satisfaction by meeting the needs of employees → increased productivity and lower turnover rates
motivating employees by offering incentives that align with their specific needs and desires → motivation up
62
what does herzbergs theory suggest?
(+ define motivators)
there are two types of factors that affect employee motivation and job satisfaction:
hygiene factors and motivators
motivators - factors that directly motivate people to work harder
63
what are hygiene factors?
factors that can de-motivate if not present but that don’t actually motivate employees to work harder
64
examples of hygiene factors:
-pay
-working conditions
65
examples of motivators:
-good manager relationship
-recognition
-feedback and support
66
how is pay a hygiene factor?
if an employee is not paid a fair wage for their work, they may become dissatisfied and demotivated
67
how are working conditions a hygiene factor?
if the workplace is dirty, unsafe, or uncomfortable, employees may become dissatisfied and demotivated
68
how can recognition lead to satisfaction?
when employees are recognised and rewarded for their hard work, they are motivated to continue performing well
69
what are the financial methods of motivation?
-commission
-piecework
-PRP
-profit sharing
-bonus schemes
70
what is commission?
a bonus paid based on achieving a sales target
71
advantages of comission
(appropriate for sales jobs)
-incentive to increase sales revenue for the business
72
disadvantages of comission
-focus taken away from other areas of the job such as customer service
73
what is piecework?
payment based on output
74
advantages of piecework:
(appropriate for production jobs)
-incentive to increase output (units)
75
disadvantages of piecework:
-employees may rush and forgo quality
-repetitive for workers and can be de-motivating
76
what is PRP (performance related pay)?
paid to employees who meet performance based targets
77
advantages of PRP:
-links pay to measurable targets specific to the nature of the job
-encourages review of employee performance (motivating)
78
what is profit sharing?
distributing a percentage of the businesses net profit across the workforce
79
advantages of profit sharing:
–creates a direct link between pay and performance
–creates a sense of team spirit (removes barrier between managers and workers if all employees are involved)
-may improve employee’s loyalty to company
80
disadvantages of profit sharing:
depends on the profitability of che business
81
what are bonus schemes?
a bonus is given to staff as a reward for achieving specific goals
82
advantages of bonus schemes:
motivates staff to work harder and achieve better results
83
maslow & financial methods of motivation
-financial reward will satisfy the basic needs and may boost self-esteem
-it will not satisfy the higher order needs
84
herzberg & financial methods of motivation
financial incentives are a hygiene factor and if satisfactory will only prevent dissatisfaction
85
taylor & mayo
financial methods of motivation
taylor: the rational man is driven by financial reward
mayo: financial incentives are irrelevant if an employee's social needs are not met
86
what are the non financial techniques to improve employee performance?
-delegation
-consultation
-empowerment
-team working
-flexible working
-job enrichment
-job rotation
-job enlargement
87
what is delegation?
passing down responsibility for specific tasks within a business from management to subordinates
88
what is consultation?
managers and leaders listen to the views of employees when making decisions
89
what is empowerment?
giving people greater control over their working lives (plan their own work)
90
advantages of delegation, consultation and empowerment:
employees feel involved → higher motivation & productivity
91
disadvantages of delegation, consultation and empowerment:
-may slow down decision-making and consistency across the business
-some employees may not have the skills/experience to make important decisions/contribute their own ideas
92
what is team working?
working in teams
93
advantages of team working:
-meets employees' social needs
-helps employees develop a connection to the organisation through their colleagues
94
disadvantages of team working:
individual performance is harder to identify in a team situation. ineffective workers may not be identified
95
what is flexible working?
workers having a a degree of choice relating to how and when they work
96
advantages of flexible working:
-employees can fit their work around their personal life (healthy work life balance)
-can help the business cut back on employment costs (office expenses)
97
disadvantages of flexible working
-difficult to keep control of employees and ensure they are being productive.
-difficult to build a team spirit if employees are not together all the time
98
what is job rotation?
movement of employees through a range of jobs in order to increase interest and motivation
99
what is job enrichment?
attempts to give employees greater responsibility by increasing the range and complexity of tasks that they have to do
100
what is job enlargement?
the addition of extra, similar, tasks to a job
101
advantages of job rotation, enrichment and enlargement:
-increase interest and motivation (rot)
-motivates by giving employees the opportunity to use their abilities (enr)
-the employee will experience less repetition and monotony (enl)
102
disadvantages of job rotation, enrichment and enlargement:
-may reduce productivity as workers are initially unfamiliar with a new task (rot)
-could lead to reduced quality, lower productivity and dissatisfaction if employees aren’t trained (enr)
-sometimes viewed by employees as a requirement to carry out more work for the same amount of pay (enl)
103
aspects that affect the choice of motivational method:
-costs
-skills of the workforce
104
what is the role of a manager?
managing the the day-to-day organisation of the business, its resources and its staffing
105
what is the role of a leader?
having a vision, sharing that vision with others and providing direction (motivation)
106
leader & manager
(vision vs execution)
-leadership focuses on creating a vision, setting direction, and inspiring others to follow
-management focuses on executing plans, organising resources and ensuring tasks are completed on time
107
leader & manager
(influence vs control)
-leadership focuses on influencing others to achieve a common goal by inspiring and motivating
-management focuses on controlling resources and processes to ensure that objectives are met
108
leader & manager
(long-term vs short-term)
-leadership focuses on the long-term vision and strategy
-management focuses on short-term goals and targets
109
leader & manager
(creativity vs efficiency)
-leadership encourages creativity and innovation
-management focuses more on efficiency and productivity
110
define leadership styles
(+ examples)
different approaches to leading a business
(autocratic, democratic, paternalistic, lasseiz faire)
111
what is autocratic leadership?
-the leader has complete control over decision-making, with little to no input from others
-little delegation
112
when is autocratic leadership suitable?
-where there is a need for quick decision-making, such as during a crisis
-with a low skilled workforce
113
advantages of autocratic leadership:
-focused on getting the task done
-speeds up decision-making process
-suitable for implementing a clear vision held by the leader
114
disadvantages of autocratic leadership:
-can lead to low levels of motivation if employees do not feel respected or valued
-no opportunity to collect opinions of the workforce that might be valuable
-employees might not feel as though they have a stake in the business → less belonging & lack of employee retention
115
what is democratic leadership?
leader involves their team in the decision-making process
116
when does democratic leadership work best?
more appropriate when the business needs to encourage creativity, innovation, and employee engagement
117
advantages of democratic leadership:
-develops a team spirit
-employees may be more motivated as they have more autonomy
-allows a manager to collect ideas and opinions from the whole workforce
118
disadvantages of democratic leadership:
-decision-making can take a long time when done by committee
119
what is laissez-faire leadership?
the leader takes a hands off approach and allows their team to manage their own work
120
when is laissez-faire leadership suitable?
-staff are very experienced and require minimal supervision
-where the leader wants to build a culture of independence and self-motivation
121
advantages of laissez-fairs leadership:
-allows employees autonomy to make their own decisions → motivation
-can lead to higher levels of creativity and motivation among workers
122
disadvantages of laissez-fairs leadership:
-lack of control over the workforce - (deadlines and targets might be missed)
-tasks may not be coordinated very well
123
what is paternalistic leadership?
leaders make decisions based on what they believe is best for employees, rather than giving them autonomy to make their own choices
124
when is paternalistic leadership suitable?
-where the staff are inexperienced
-where staff require more guidance and support from their leader
-where the leader needs to build a strong sense of loyalty from their employees
125
advantages of paternalistic leadership:
attention given to employee welfare
→ employees feel like they belong
-employees feel as though they are being looked after → trust employers
-decisions are more likely to be accepted
126
disadvantages of paternalistic leadership:
-employees given no powers to make decisions → low levels of motivation
-employees have no stake in the business → less belonging & synergy
