8 Management Activities

Question 1

Whats the management activity of planning

Answer 1

Where the manager
-sets goals for the business to achieve in the future
-comes up with business strategies to achieve those objectives

Question 2

Steps involved in plannins

Answer 2

1. SWOT Analysis
2. Set Objectives
3. Devise Strategies
4. Implement Plan

Question 3

What does SWOT stand for

Answer 3

Strengths
Weaknesses
Opportunities
Threats

Question 4

What does the manager use the info from a SWOT anaylsis for

Answer 4

He uses it to set realistic goals for the business and to come up with successful strategies to help it achieve those goals

Question 5

Define Strengths (SWOT)

Answer 5

Something that the business owns or does well that gives it a competitive advantage.
E.g Excellent staff/Upto date machinery

Question 6

Define Weaknesses (SWOT)

Answer 6

Something the business does badly or is lacking that puts it at a competitive disadvantage
E.g Not enough money/out of date machinery

Question 7

Define Opportunities (SWOT)

Answer 7

Something in the outside world that the business can avail of to make money or benefit from
E.g New countries join the EU->Chance to sell more

Question 8

Define Threats (SWOT)

Answer 8

Something in the outside world that can prevent the business from succeeding
E.g Competition from new countries joining the EU

Question 9

What are objectives

Answer 9

Objectives are the goals that the business wants to achieve

Question 10

What does setting objectives include

Answer 10

Using the results of the SWOT analysis to help the business set its objectives

Question 11

What are strategies

Answer 11

Strategies are the plans of action that set out the steps the business must take to achieve its objectives

Question 12

What are the three basic strategies any business can use to be successful

Answer 12

1.Low Cost Leadership Strategy
2.Differentiation Strategy
3.Niche Strategy

Question 13

Whats Low Cost Leadership Strategy

Answer 13

Keep costs and prices low
Shein, Lidl

Question 14

Whats differentiation strategy

Answer 14

Stand apart from the competition not focused on cost.
Apple Gucci

Question 15

Whats niche strategy

Answer 15

Identify a market with specific needs
Bridal Shoes, Vegan food

Question 16

Whats Implementing the plan

Answer 16

Putting the plan into action. The manager must break the plan down into manageable jobs and give each person in the business a job to do. Must communicate plan to all employees.
Aer Lingus implemented its plan by asking employees to volunteer for redundancy

Question 17

Different types of planning

Answer 17

1.Mission
2.Strategic Plan
3.Tactical Plan
4.Contingency Plan

Question 18

Whats Contingency Planning

Answer 18

Planning for unforeseen circumstances or emergency. Sometimes called “Plan B” Aim of contingency plan is to limit damage and prevent disruptions to the business

Question 19

Whats Tactical Planning

Answer 19

Short term Plan for the business written by middle management. should usually be achieved within one year

Question 20

A plan should be….

Answer 20

Specific, Measurable, Attainable and agreed, Realistic, Timed

Question 21

What does SMART stand for in planning

Answer 21

Smart
Measurable
Attainable and agreed
Realistic
Timed

Question 22

Whats a strategic plan

Answer 22

Long term plan of action for business. written by senior management yo be achieved within five years

Question 23

Whats a mission statement

Answer 23

Overall fundamental objective of the business. Written document setting out
(a)What the business does now
(b)What the business plans to do
(c)The business’s values and beliefs

Question 24

Advantages of planning

Answer 24

1.Guides business to success
2.Helps avoid future problems
3.Makes the business stronger
4.Helps secure capital
5.Motivate employees and managers

Question 25

What is organising

Answer 25

The structuring of the business is called organising

Question 26

Whats an organisation structure

Answer 26

The manager will split the business up into different departments and make someone responsible for each department in order to achieve its objectives

Question 27

What are the four main organisation structures

Answer 27

1.Functional 2.Product 3.Geographic 4.Matrix

Question 28

Whats functional organisation structure

Answer 28

Splitting the business up into different jobs or functions. Person in charge of each functional department is responsible for ensuring that the departments objectives are achhievedd

Question 29

3 Advantages of Functional organisation structure

Answer 29

1.Specialisation 2.Accountability-Managers responsible 3.Clarity-Clear who reports to who

Question 30

4 Disadvantages of Functional Organisation Structure

Answer 30

1.Isolation-little/no contact w other departments 2.Lack Of Co-Ordination-Hard to get all departments working together 3.Lack of Teamwork 4.Slow communication

Question 31

Whats product organisation structure

Answer 31

Involves splitting business up into departments based on products

Question 32

4 Advantages of product organisation structure

Answer 32

1.Focus on customers- Each department specialises resulting in best possible product 2.Internal Competition-Deps competing with eachother 3.Lower costs-Bigger incentive for each dep to keep cost low 4.Expert knowledge

Question 33

Disadvantages of product organusation structure

Answer 33

1.Duplication May end up with duplicate departments 2.Internal Product Competition-May steal customers from other company products resulting in no increase in sales

Question 34

Advantages of stock control

Answer 34

1.Lowers Insurance Premium 2.Lowers amnt of stock which makes it easier to spot theft 3.Will always have right amount of stock 4.Right amount of stock eliminates losses due to deterioration obsolance and high storage costs

Question 35

What is quality control

Answer 35

Involves making sure the quality of a business’s products meets very high standards. Aims to ensure that the products meet + surpass the expectations of customers

Question 36

Ways a business can control its quality

Answer 36

Physical Inspection Quality Circles-Group of employees meet to discuss quality problems in business ISO 9000 Awards-Business can apply. Internationally accepted award given to business that consistently probe good quality

Question 37

Advantages of Quality Control

Answer 37

1. Ensures business products are consistently of highest standard resulting in increased sales 2.Lowers costs as the business doesnt waste money repairing or replacing faulty products 3.If a business receives a qualitt award