External influences on an organisation Flashcards
What is PEST(EL) analysis?
an approach to analysing an organisation’s environment
what does PEST(EL) stand for?
Political influences and events Economic influences Social influences Technological influences Ecological/environmental influences Legal influences
What is a political system?
- set of institutions, political organisations and interest groups
- the relationship between them; and
- the rules of and norms that govern their functions
3 levels of political systems that organisations have to take account of:
- Global
- National
- Local
Sources of legal authority
Global - UN resolutions, European Parliament
National - Senior courts, National govts. through acts of parliament
Regional - regional/federal govt., local councils
what is the employment rights act?
an employer has to provide an employee with a written statement of certain particulars of their employment within two months of commencement of employment
what must ‘employment rights act’ statement include? LIST 5
- pay rates and interval
- job title
- hours of work
- place of work
- length of notice
- details of disciplinary and grievance procedures
- date of commencement of employment
- any change must be notified by written stat. by 1 month
Two main principles of equal opportunities:
- employment should only discriminate according to ability, experience and potential
- all employment decisions should be based solely on a person’s ability to do the entire job in Q
what are equal opportunities aimed at?
preventing discrimination in all aspects of employment
three types of discrimination
direct discrimination - employer treats employee less favourable due to gender, race etc..
indirect discrimination - when working condition/rule disadvantages one group of people more than others
victimisation - employer treats employee less favourable because they’ve made a complaint about discrimination
Positive discrimination
The practise of giving preference to protected groups such as ethnic minorities, older works or women.
what is dismissal?
termination of employment with/without notice by employer
wrongful dismissal is…
dismissal without notice
unfair dismissal is…
employer used inappropriate criteria when making decision to dismiss employee
constructive dismissal
employee resigns because the conduct of the employer
3 reasons when dismissal is fair:
- employee’s capability or qualifications for job
- employee’s conduct
- statutory duty or restriction prohibited employment being continued
what is redundancy?
dismissal
when can redundancy be justified?
- cessation of business
- cessation of business in employee’s location
- cessation of type of work for what they were employed for
data protection
concerned with protecting individuals against misuse of info.
3 main principles of data protection
process info. about individuals fairly and lawfully (organisation shows how and when they got data)
personal data should be accurate and kept up to date
personal data shouldn’t be transferred to a country without adequate level of protection
right for individuals under data protection regulations
-right to be informed
-right of access
-right of rectification
-right to be forgotten
-right to restrict processing
right to data portability
-right to object
-rights in relation to automated decision making
3 duties employer has with health and safety
- provide safe working environment
- prevent risks to health
- inform staff of potential health hazards
3 duties employee has with health and safety
- take care of their own health and safety
- don’t put others at risk
- report injuries suffered as a result of performing their job
what is the trade descriptions act?
legislation that prohibits the use of misleading info. to sell products
3 points that the ‘trade descriptions act’ relates to
- quantity or size of product
- method of manufacture, production, processing etc..
- place/date of manufacture, production, processing etc..
what does the consumer protection act deal with?
- product liability (liability for damage arising from defective products)
- consumer safety (regulation of safety of consumer products)
- misleading price info. (crime to give misleading prices)
what is a simple contract
not required to be in any particular form
what is a contract?
legally enforceable agreement between 2+ parties
features of a simple contract
- agreement
- consideration
- intention to create legal relations
- capacity and legality
what is the ‘Sale of Goods Act (1979)’?
protects consumers when purchasing goods from other individuals/businesses
kep principles built into the ‘Sale of Goods Act (1979)?
- seller must have legal title to, or own, the item they’re selling
- goods sold must be of satisfactory quality and fit purpose
- when buyer buys based off of description of item, goods have to correspond description
Goods and services Act (1982)
extends to provision of services not just goods
what does the Goods and services act (1982) require services to be?
- carried out with skill and care
- completed within reasonable length of time
- completed at a reasonable price
The Companies Act 2006
primary source of company law in the UK, includes general provision for all companies and more specific provisions for private/public companies
what does the companies act 2006 require financial statements to be?
give true and fair view of position and performance of company
- follow all accounting standards
- contain sufficient quan. of info. to satisfy expectations of users
- follow generally accepted practise
- not contain any material misstatement
