previous exam q topics

Question 1

decentralization

Answer 1

the process a business takes where it moves form a tall organized structure, to a flat organized structure where decision making is dispersed from the center of management(owners) to less senior staff.

Question 2

leadership styles

Answer 2

autocratic
democratic
paternalistic
laissez fair

Question 3

how would democratic leadership decentralize a business

Answer 3

a democratic leadership style emphasizes delegation of tasks and responsibility, meaning employees feel more responsibility to perform better, this may include improved communication and confidence in taking on leadership, this link to a decentralized structure, because it means the responsibility is being taken away form the owners, and put onto employees lower down, the junior managers, meaning the chain of command gets shorter, as workers will no longer need to communicate to the owners, they will communicate to the junior managers. In a democratic style the manager will consult with the junior managers, to make sure decision making is achieved easily.

Question 4

autocratic leadership and decentralization

Answer 4

autocratic leadership would be an ineffective method of decentralization. this is because this leadership style consists of central decision making, the manager is the only one who makes decisions and these are bases of a ‘hunch’ or intuition. decentralization may not work in a business with autocratic leadership because most of the time this style is used on an unskilled or inexperienced workforce, this means there is no employee that can make the same intuitive decisions like the manager, therefore delegation for delocalization is not effective

Question 5

labor productivity would it be welcome by employees?

Answer 5

-more work for the same pay- may feel used or under appreciated
-as a result trade off of quality and lack of motivation
lack of motivation leads to less productivity, meaning it is counterproductive for what the business is trying to achieve.
however it depends on the culture of the business and if show they do not overlook employees though recognition such as rewards like employee of the month.
more bonuses and rewards are given
- I there are more sales, there is more sales revenue and profit, meaning bonuses can be given, motivation, want reward so work harder, feel valued and noticed, they are being rewarded financially, meaning not only is the business benefiting from increased labor, the employees too are benefiting
however not all employees are motivated by financial rewards, some want recognition or promotion, if this is not seen or provided then they may still feel demotivated.