Business unit 2.1, 2.2, 2.3, 2.4 Flashcards

1
Q

what is motivation?

A

the reason why employees want to work hard and work effectively for the business​

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2
Q

what are the benefits of a well motivated workforce​? (5)

A
  • high output per worker = increasing efficiency, decreasing average costs, increasing profits
  • willingness to accept change
  • more willing to communicate effectively with managers
  • decreased labour turnover leading to lower recruitment and selection costs
  • lower absenteeism
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2
Q

why do people work? (4)

A
  • for money
  • security = knowing that your job and pay are safe
  • social need = feeling included, making new friends
  • esteem needs = feeling important and needed
  • job satisfaction
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3
Q

what are esteem needs?

A

praised for your work and rewards

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3
Q

what are the 5 stages of motivation from maslows hiechry of needs?

A
  • self actualisation
  • esteem needs
  • social needs
  • safety/security needs
  • psychological needs
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3
Q

what is self actualisation?

A

being promoted and given more responsibility

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4
Q

what are the two sets of needs according to Herzberg?

A

1 - basic needs –> hygene factors
2 - motivators

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4
Q

what are the basic needs? (4)

A
  • good working conditions
  • good relationship with employees
  • salary wage
  • job security
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4
Q

what are social needs?

A

staff social events, team bonding, having colleagues that support you

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5
Q

what are safety security needs? (2)

A
  • having job security
  • haveing a safe working environment
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6
Q

what did F.W Taylor do?

A

he conducted experiments on how productivity can be increased​

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6
Q

what did F.W Taylor believe?

A

he believed workers were quite simply, motivated by money

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6
Q

what are psychological needs?

A

being given a wage/salary do you can pay for personal things

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7
Q

what are the motivators? (3)

A
  • recognition
  • achievement
  • promotion
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8
Q

what did Herzberg beleive?

A

fulfilling the hygiene factors does not lead to motivation but if they are not fulfilled this could lead to demotivation ​

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9
Q

when are wages paid?

A

wages are paid every week

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10
Q

what are the two ways that wages can be paid?

A
  • time rate
  • piece rate
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11
Q

when are time rate paid?

A

paid by the hour

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11
Q

what are the benefits for time rate? (2)

A
  • easy to calculate by the company
  • employee knows exactly how much money they’re supposed to have
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12
Q

what are the disadvantages for time rate?

A

good and bad workers get paid the same –> demotivation of good workers

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13
Q

what is the piece rate?

A

when workers are paid depending on the quantity of products made (more make, more paid)

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14
Q

what is an advantage for piece rate?

A

encourages workers to work faster and produce more

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15
Q

what is a disadvantage for piece rate?

A

workers may focus on being fast, which may lead to impacting the quality of the products

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16
Q

what are salaries and when are they paid?

A

an amount of money paid per year and are paid monthly

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17
Q

what are the advantages of salaries? (2)

A
  • only has to be distrusted once a month –> less time consuming for HR and finance dep.
  • improves cashflow –> employer has the money in their account longer than wages
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18
Q

what is a bonus?

A

a lump of sum paid to workers when they have worked well or reached a certain target

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18
Q

what are the disadvantages of salaries? (2)

A
  • workers may prefer to be paid weekly
  • no payment for extra time –> demotivating employees
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19
Q

what are the advantages of a bonus? (2)

A
  • motivating for employees to try and achieve bonus
  • workers like being recognised for their achievements
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20
Q

what are the disadvantages of a bonus?

A
  • resentment may occur if some employees get bonuses and others don’t
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21
Q

what are the financial methods of motivation? (7)

A
  • wages
  • piece rate
  • time rate
  • salary
  • bonus
  • commission
  • profit sharing
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22
Q

what are the advantages of a commission?

A
  • motivates the worker to sell more products –> increasing sales for buisness
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22
Q

what are commissions?

A

a payment relating to the number of sales made (more sales, more money)

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23
Q

what are the disadvantages of a commission? (2)

A
  • employees can be annoying nd presure customers into buying products, and the business can lose customer loyalty and get a bad image
  • if there is a recession, sales will be low
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24
Q

what is profit sharing?

A

where a proportion of the companys profits is put into the employees salary in addition

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25
Q

what are the advantages of profit sharing?

A

motivates employees to work hard so they can receive a share of the profit

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26
Q

what are the disadvantages of profit sharing? (2)

A
  • if a buisness makes a loss or low profits, employees will be disappointed
  • conflict between higher paid and lower paid staff because profit share is calculated based on a percentage of your salary
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27
Q

what do non financial rewards focus on?

A

increasing job satisfaction

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28
Q

what are the non financial methods of motivation? (6)

A
  • fringe benefits
  • team work
  • job rotation
  • training
  • job enrichment
  • opportunities for promotion
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29
Q

what is job rotation?

A

involves workers swapping around and doing each specific task for a limited time then changing again

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30
Q

what are fringe benefits?

A

are perks that employees give to their employees and non financial rewards

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31
Q

what are examples of fringe benefits? (3)

A
  • free lunch
  • company car
  • gym membership
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32
Q

what are the disadvantages of job rotation?

A
  • expensive to train all the staff for different tasks
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32
Q

what are the advantages of job rotation? (2)

A
  • more options for workers so they don’t get bored
  • if people are absent, its easier to find a new person to do the job as they are all skilled
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33
Q

what is job enrichment?

A

looking at jobs and adding tasks that need skill and responsibility

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34
Q

what are the advantages of job enrichment?

A

giving workers more responsibility makes them feel more appreciated and important which leads to motivation

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34
Q

what are the disadvantages of job enrichment?

A

workers will be unhappy as more tasks are given to them with no extra pay

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35
Q

what is team work?

A

teamwork involves using groups of workers to complete tasks and responsibilities

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36
Q

what are the advantages of team work?

A

working as a team gives you a sense of belonging which increases motivation

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37
Q

what are the disadvantages of team work?

A

employees may clash and have arguments which distracts them from working

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38
Q

what is training?

A

training is the process of improving a workers skills

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39
Q

what are the disadvantages of training?

A

training is expensive

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39
Q

what are the advantages of training? (2)

A
  • if a worker learns new skills, they will gain a sense of achievement leading to motivation
  • employees can take on new responsibilities which is job enrichment leading to increased motivation
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40
Q

what is promotion?

A

an employee getting moved up to a higher position in the business

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41
Q

what are the advantages of promotion?

A

will lead employees to feel recognized for being given more responsibility this leads to increased motivation

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42
Q

what are the disadvantages of promotion?

A

conflict may occur as one is promoted and the other is not

43
Q

what are the functions of a manager?

A
  1. planning
  2. organising
  3. coordinating
  4. commanding
  5. controlling
44
Q

what is planning (the functions of a manager)?

A

setting targets, this motivates managers as they have a clear goal.

45
Q

what is organising (the functions of a manager)?

A

managers must organise employees and resources

45
Q

what is commanding (the functions of a manager)?

A

managers have to make sure all employees are keeping to targets and deadlines and will give instructions to employees too

46
Q

what is coordinating (the functions of a manager)?

A

all departments and employees working effectively together to complete a task

47
Q

what is controlling (the functions of a manager)?

A

managers must evaluate the work of all employees and groups to make sure they are on target. managers may have to take action if employees are not reaching targets. ​

48
Q

what is delegation?

A

giving a subordinate the authority to perform a particular task

49
Q

what are the advantages of delegation? (2)

A
  • less stress for managers as they are giving some of their tasks to subordinates, so they can focus on other things
  • subordinates feel empowered that they have been given more responsibilities (they feel trusted) leads to motivation
50
Q

what are the disadvantages of delegation? (2)

A
  • subordinates may feel demotivated as they are having more tasks but no extra pay
  • the subordinates may not be skilled enough to complete the task –> impacts the quality of the product
51
Q

what is democratic leadership?

A

allows other employees to be involved in the decision making process

52
Q

what are the advantages of democratic leadership? (2)

A
  • employees feel their ideas are being listened to –> increases motivation
  • employees may have great ideas to offer –> increases customer service or product quality
52
Q

what are the disadvantages of democratic leadership?

A
  • decision making is slower because there are more people involved –> decreases efficiency
53
Q

what is a laisser faire leadership?

A

when leaders made the objective of the business known to employees but then employees are left to make their own decisions and organise their work

54
Q

what are the advantages of laissez faire leadership? (2)

A
  • encourages employees to show creativity –> can lead to better products
  • makes employees feel important as they feel they can be trusted with independent work –> increases motivation
55
Q

what are the disadvantages of laissez faire leadership? (2)

A
  • if employees are not experienced, they might not successfully achieve the task well and are unsure on what they are doing
  • may cause employees to be less efficient as there is no strict supervision
55
Q

what is autocratic leadership?

A
56
Q

what are the advantages of autocratic leadership? (2)

A
57
Q

what is an organisational structure?

A

the levels of management and division responsibilities within an organization

58
Q

what are the disadvantages of autocratic leadership? (2)

A
59
Q

what is a hierarchy?

A

the levels of management in any organisation from highest to lowest

60
Q

what is a tall structure?

A

has many levels of hierarchy

61
Q

what is the chain of command?

A

when instructions are passed down from senior management to lower levels

61
Q

what is a flat structure?

A

has few levels of hierarchy

61
Q

what is the role of a director in an organisational structure? (give an example)

A

they lead a department e.g. marketing department

62
Q

what is the span of control?

A

the number of subordinates working under a manager

63
Q

what is the role of a manager in an organisational structure?

A

work in a department and can give orders to supervisors

64
Q

what is the role of a supervisor in an organisational structure?

A

supervisors supervise all other subordinates

65
Q

what is an advantage of a tall structure? (2)

A
  • lots of opportunities for promotion
    –> increased motivation
  • supervisors normally have a small span of control so they can get to know their subordinates and monitor them efficiently –> increasing subordinates productivity
66
Q

what is an disadvantage of a tall structure? (2)

A
  • lots of layers and a long chain of command communication and decision making will be very slow as there are many layers to pass through
  • expensive as there are more managers and supervisors –> higher salary costs
67
Q

what is an advantage of a flat structure? (2)

A
  • few layers of hierarchy between the bottom and the top communication and decision-making will be fast
  • lots of delegation means that staff are given greater responsibility which will increase motivation
68
Q

what is a disadvantage of a flat structure? (2)

A
  • wide span of control means managers have too many staff and may lose touch with them this could have a decrease in productivity
  • less chance of promotion –> decreased motivation
69
Q

what are the types of communication and who are they communicating with? (2)

A
  • internal between members of the same organisation
  • external is to customers, suppliers or people in other organisations
70
Q

what are the four features of effective communication? (give more info for 1 and 4)

A
  • a transmitter or sender who sends a message
  • a medium of communication (email)
  • a receiver of the information
  • feedback - where the receiver confirms the message has been received and responds to it
71
Q

what are the three communication methods and their examples?

A
  • verbal communication = meetings, team meetings, video conferences)
  • written communication (letters, emails, noticeboards, reports)
  • visual communication (PowerPoint displays, videos, charts and diagrams)
72
Q

what is an advantage of verbal communication? (2)

A
  • team meetings are an efficient way of communicating with a large number of people
  • feedback can be given immediately
73
Q

what is a disadvantage of verbal communication?

A

people may not listen during a meeting or not understand, so people will have to have a permanent record of the meeting in writing

74
Q

what is an advantage of written communication? (2)

A
  • there is hard evidence of communication so communication is clear and will reduce disagreements
  • messages can be forwarded to people and can be passed on quicker
75
Q

what is a disadvantage of written communication? (2)

A
  • many emails may be information overload and receivers may start to ignore them
  • some emails may be too long and difficult to understand for some of them
76
Q

what is an advantage of visual communication?

A
  • can be used to make a written message clearer by adding a graph or a chart
  • may attract receivers’ attention more than written communication
77
Q

what is a disadvantage of visual communication?

A
  • some people may find the charts difficult to understand so the message might be misunderstood
  • some may not pay attention to videos
78
Q

what are some of the barriers to communication and why?

A
  • problems with the sender –> sender speaks too quickly, message is too long and complicated, language is too difficult
  • problems with the medium –> message down a long chain of command so the message might be distorted, wring channels have been used
  • problems with the receiver –> might not be listening, the receiver might not like sender so they will not be willing to listen
  • problems with feedback –> the receiver doesn’t give feedback, feedback takes too long due to long chain of command
79
Q

what is the recruitment process?

A

vacancy arises –> complete a job analysis –> create a job description –> create a job specification –> job advertised in appropriate media –> review application forms or cvsand short list –> carry out interviews and select the right candidate

80
Q

what is a job analysis?

A

identifies and records the responsibilities and tasks relating to a job

81
Q

what is a job description?

A

outlines the responsibilities and duties to be carried out by someone employed to do a specific job.

82
Q

what are the functions of a job description? (2)

A
  • it is given to applicants so they know exactly what the job does so they don’t have to waste time applying if they don’t like it
  • once someone has been employed it helps the business see if they do their job well
83
Q

what is internal recruitment?

A

when a vacancy if filled by someone who is an existing employee in the buisness

84
Q

what is an advantage of internal recruitment? (3)

A
  • it is cheaper than external as there is no need to carry out external recruitment
  • it can be motivating for existing employees as there is potential for promotion
  • the business is aware of the existing worker’s abilities before they hire them
85
Q

what is an disadvantage of internal recruitment? (2)

A
  • no new ideas or experience coming into the business
  • there might be rivalry if one worker gets the promotion and the other doesn’t –> leads to demotivation
86
Q

what is external recruitment?

A

when a vacancy is filled by someone who is not an existing employee and will be new to the buisness

87
Q

what is an advantage of external recruitment?

A

new ideas and experiences come into the business

88
Q

what is an disadvantage of external recruitment?

A

its more expensive than internal as they need to advertise externally

89
Q

how are jobs advertised? (6)

A
  1. local and national newspapers
  2. recruitment agencies
  3. online recruitment sites
  4. linkedin
  5. government job centre
  6. the business centre
90
Q

how do you choose the most suitable candidate for the business? (3)

A
  1. work experience
  2. qualifications and education
  3. whether internal or external recruitment is better for the business
91
Q

how long will part time employees work for in a business?

A

between 1 and 30-35 hours per week

91
Q

how long will full time employees work for in a business?

A

35 hours or more per week

92
Q

what are hiring part time employees advantages? (2)

A
  • can ask employees to work at busier times
  • can ask workers to only work during peak hours –> reduces unnecessary wage costs
93
Q

what are hiring part time employees disadvantages? (2)

A
  • takes longer to recruit two part time employees rather than one fulltime worker
  • they can be less committed to the business (more likely to leave the business)
94
Q

what are hiring full time employees advantages? (2)

A
  • takes less time to recruit one full time employee than 2 part time employees
  • full time employees can be more committed to the business, increasing quality of customer service/products produced ​
94
Q

what are hiring full time employees disadvantages?

A

employees need to be paid even if its busy times or not, leading to higher costs

95
Q

what is training?

A

when an employee is new to a job explainign the business activities, introducing them toother workers, and the working environment and health and safety instructions

96
Q

what are the four main ways why training is important?

A
  • improves the efficiency of the employees –> leads to lower unit costs and high output
  • to introduce a new process or new equipment
  • improves the quality of the product
  • reduces the chances of workplace accidents
97
Q

what is on the job training?

A

a person being trained by watching a more experienced worker doing the job (suitable for unskilled workers)

98
Q

what are the advantages of on the job training? (2)

A
  • cheaper than off the job training
  • it is training tailored to the specific needs of the business
99
Q

what are the disadvantages of on the job training? (2)

A
  • the trainer may not be as productive as normal as they are trying to coach the trainee –> decrease in productivity
  • the trainer may have bad habits and pass it on to the trainee
100
Q

what are advantages of off the job training? (2)

A
  • trained by experts, gains more skills, leads to high productivity and better quality
  • the employee could attend the course in the evening so they can still go to work - no decrease in output
101
Q

what is off the job training?

A

being trained away from the workforce in training centres or colleges

101
Q

what are disadvantages of off the job training? (2)

A
  • costs of courses can be high
  • if the employee gains additional qualifications from the course, they could easily work for another firm as they are more employable
102
Q

what are the three reasons why reducing the workforce is often necessary

A
  1. introducing new machinery –> less employees are needed
  2. falling demand for goods and services
  3. relocating the factory abroad
103
Q

what is dismissal?

A

when employment is ended against the will of the employee for not fulfilling duties of the contract

104
Q

what is redundancy?

A

when an employee is no longer needed so they lose their job

105
Q

how do you decide who should be made redundant? (3)

A
  • ask employees first, some might want to leave
  • look at how long people have bee working in the business
  • employment history
106
Q

what is unfair dismissal?

A

when a buisness ends a workers contract for no reason

107
Q

what is the impact of dismissal on the employee? (2)

A
  • buisness can be taken to court and get a bad name
  • employer will have to keep verbal and written earnings to they arent accused of unfair dissmissal
108
Q

what is the impact of dismissal on the employer?

A
  • the employee can take the employer to a court
109
Q

what are discrimination laws?

A

getting fired because of someones, race, colour, gender. sexuality or disability

109
Q

how can businesses follow the law of health and safety at work? (3)

A
  • providing safety equipment
  • training staff on machinery
  • have hygenic facilities
110
Q

what is legal minimum wage?

A

employers must pay employees the legal minimum wage of that country

110
Q

what are the impacts of health and safety at work on the employee? (2)

A
  • higher costs for paying equipment
  • reduces accident rate, so less workers taking sick leave
110
Q

what are theBENEFITS of health and safety at work on the employer? (2)

A
  • workers feel safer and motivated
111
Q

what are the impacts of legal minimum wage on the employee? (2)

A
  • increasing buisness costs
  • employees are more motivated as they are getting more money
112
Q

what are the impacts of health and safety at work on the employer?

A

higher wage = better standard living

113
Q

what are the 5 employment legislations that a business must follow?

A
  1. provide all employees with a contract of employment
  2. unfair dismissal
  3. discrimination laws
  4. healthy and safety at work
  5. legal minimum wage