Chapter 10: Change Flashcards
Explain the difference between ‘controller’ and ‘facilitator’.
The controller manager is:
-an autocratic leader
-doesn’t ask for employees opinions and tells them what to do.
-Tries to catch employees making mistakes and punish these ‘bad’ employees.
-Uses Theory X approach and motivates through threats and fear.
The facilitator manager is:
-like a ‘coach’ who trains and develops the staff to make their own decisions.
-Managers help them to correct mistakes and solve problems by working together and providing advice/training.
-Uses Theory Y approach
-Rewards good employees as a way of motivating underperforming employees.
What is employee empowerment?
Employee empowerment means placing power such as decision making and responsibility in the hands of the workers.
What are the advantages of employee empowerment?
1.Improved motivation: Employees feel valued and work harder.
2.More responsive: Employees have the authority to make changes to improve the business as the need arises. Don’t need to ask manager for permission.
3.Trained for Promotion: Employees develop decision making skills and the greater responsibility prepares them for promotion.
4. Efficient Use of Time: Managers can focus time on more important tasks.
What are the disadvantages of employee empowerment?
- Errors Made: If training is not provided errors could be costly.
- Increased Stress: Some employees may be unhappy with increased responsibility.
- Lack of Supervision: Employees may take unnecessary risks that could damage the business when without supervision.
- Conflict: Conflict may arise between the manager and the employee over loss of control for the manager.
What is employee participation? Explain three examples
Participation means employees have more of a say in how the business is run.
1. Works Council: Group of employees elected by their peers who have a say in running of business. Required if a business has more than a 1000 employees.
2. Worker’s Directors: An employee sits on the board of Directors and has a seat at the highest level of decision making.
3. Share Options: Employees buy shares become part owners and can vote on how to run the business at AGM.
What are the benefits of employee participation?
- Increased Motivation due to being listened to and valued.
- Employees can provide creative input and become Intrapreneurs.
- More communication leads to better industrial relations.
What are the four stages in forming teams?
- Forming: Meet for the first time, Be very polite, weigh each other up.
- Storming: As they get to know each other conflict occurs. Strong personalities emerge. Team members vie for position.
- Norming: Agree to a leader, people find their place / role, reach a consensus and start to work together. Set ‘Norms’ which are standards of behavior.
- Performing: Cooperate. Work as a team to get the job done.
What are the advantages of teams for the business / the employee?
- Teams make better decisions: Brainstorming. Each member brings different point of view, different skills and different ideas.
- Teamwork increases employee motivation: Employees happier when working in a team. Less staff turnover.
- Teams ‘develop’ employees: Learn from other team members.
- Protection and recognition: Praise from teammates and ‘hide behind the team’
- Better quality product / service: Team members don’t want to let each other down and therefore do a better job.
- Improves Coordination: Mixing employees from different departments helps people understand and appreciate the different roles in the business.
What is TQM?
TQM (Total Quality Management) is a business management strategy that aims to make 100% perfect products 100% of the time so customers are 100% satisfied. Every person in the business is responsible for the product so everyone has to do their job perfectly. Perfection includes zero defects, zero waste and standard that satisfies customers.
What are the four principles of TQM?
- Focus on Customer: Customer is the most important so ‘perfection’ is whatever the customer wants. Market research important. E.g. Resolve Complaints.
- Employee Empowerment: ‘Perfect’ products requires excellent employees. In TQM employees are empowered to make their own decisions to improve quality.
- Teamwork: Work together with suppliers who must supply ‘perfect’ raw materials. E.g. Apple only buy high quality raw materials
- Continuous improvement: 100% perfection isn’t realistic but constantly striving to reach it and do better is called continuous improvement. E.g. Every new iphone is better than the last.
What are the benefits of TQM?
- Increased Sales: Better quality leads to higher sales and profits.
- Lower Costs: No faulty goods, no repairs, no waste no refunds to unhappy customers. Lower costs means higher profits.
- Improved Motivation: Empower employees, Place them in teams. Satisfy esteem needs and social needs.
- Meet legal obligations under Sale of Goods and Supply of Services Act.
Explain the seven roles of technology in change.
- Marketing-Managers use internet and social media to advertise throughout the world. Can sell their products online. E-commerce.
- Decision making-Research information online
- CAD/CAM/CIM- Computer Aided Design-designs product e.g. solidworks. Computer Aided Manufacturing-controls machine that makes product. E.g. Computer’s 3D printer. Computer Integrated Manufacturing-Controls the entire design and production process.
- Redundancies: ICT can replace humans in certain roles.
- Employee Motivation and Retention - Employees can work from home with hours to suit them.
- Make employees job easier. E.g. leap card on bus
- New careers in programming and web design.
Explain the impact of ICT on costs.
Increased costs in the short term
Decreased costs in the long term
What are the business opportunities resulting from ICT?
- Design: Technology allows products to be designed tested and manufactured cheaper and quicker.
- International Trade: E-commerce.
- Direct Marketing: Business uses databases to store customers information and can target potential customers.
- New Products: New technology leads to new products.
Why do people resist change?
- Fear of losing their jobs-resist introduction of computers if they fear job losses. E.g. Taxi drivers are against autonomous cars.
- Fear of losing power/influence-E.g. Gardaí resisted introduction of garda reserve as they did not want unqualified people doing their job.
- Fear of failure-fear they will not be able to cope with the change rather than face up to it they resist.
- Laziness-Employees don’t want the hassle involved.
