Corporate Planning and Implementation (AL)

Question 1

Corporate plan

Answer 1

A plan containing details of a business’s central objectives and strategies to achieve them

Question 2

Benefits and limitations of corporate planning

Answer 2

Benefit
-Clear sense of focus and purpose
-Objectives can be compared to actual performance

Limitations
-Business could be inflexible
-Rapid and unexpected changes may disrupt plans

Question 3

Corporate culture

Answer 3

The values, attitudes and beliefs of the people working in an organisation that affect the way they interact with stakeholders

Question 4

Types of corporate culture

Answer 4

• Power culture- concentrates on power among few people (autocratic, swift decisions)
  -Role culture- each member of staff has clearly defined job and title (bureaucratic and operate within rules)
  -Task culture- culture based on corporation and teamwork (groups to solve problems)
  -Person culture- individuals are given freedom to express themselves and make own decisions (creative but some conflict of goals)
  -Entrepreneurial culture- concentrates on intrapreneurship
  (failure not criticised, success is rewarded)

Question 5

Optimal ways to change culture

Answer 5

-Obtain commitment of managers
-Establish new objectives and mission statements
-Encourage employee participation in discussion
-Train employees in new culture

Question 6

Transformational leadership

Answer 6

Leader that works with teams to identify need of change and creates vision to inspire people to accept change and implement it

Question 7

Importance of transformational leadership

Answer 7

-Increases chance of success since it is supported by employees
-Increases flexibility
-Focus is on leading change not autocratic
-Improves motivation and performance

Question 8

Change management

Answer 8

Planning, implementing, controlling and reviewing the movement of an organisation from its current state to a new one

Question 9

Project champions\

Answer 9

a person drives a project forward by explaining the benefits of change and assisting an supporting the team putting change in practice

Question 10

Reasons for resistance to change

Answer 10

-Fear of the unknown
-Fear of failure
-Lack of trust
-Inertia

Question 11

Contingency plan

Answer 11

Plan for preparing an organisation’s resources fro unlikely events

Question 12

Benefits and limitations of contingency plan

Answer 12

Benefits
-Reassures concerns for safety
-Minimises negative impact on customer and suppliers
-PR response would be speedy and appropriate

Limitations
-Costly and time consuming
-Needs to be updated constantly
-Employee training is required if high labour turnover