Sac 1 Part B Flashcards
Define Autocratic Management
A management style where the leader dictates policies and procedures of the business and everything within it, without any meaningful participation from employees. It is one way communication
Advantages of Autocratic Management
- Manager retains all the control
- Time is used very efficiently as there is no discussion or consultation.
Disadvantages of Autocratic Management
- No employee input so ideas or opportunities to benefit the organisation may be missed out on
- Lack of trust from Employees
Example of an Autocratic Management used in a business
Bill Gates, He had a vision when he established the company Microsoft and he then used all the resources available to make that vision a reality.
Define Persuasive Management
A management style where the manager tries to convince its employees that their decision is the right way to go. Authority and control are retained by the manager and it is one way communication
Advantages of Persuasive Management
- Managers can gain some trust and support from employees due to reasoning behind the decision making
- Very quick, effective and clear decision making
Disadvantages of Persuasive Management
- Communication is one way, so ideas and opportunities may be missed from employees to enhance decision making.
Example of Persuasive Management used in a Business
- Gina Rinehart, Chairman of Hancock prospering
Define Consultative Management
A management style where the manager recognises the importance of good relationships with employees and discusses with staff about issues before making a final decision themselves.
Advantages of Consultative Management
- Asking for suggestions, broadens the pool of ideas, so decisions can be enhanced.
- Seeking employee input boosts staff morale
Disadvantages of Consultative Management
- Time taken to consult can slow down the decision making process
- Some employee suggestions could be ignored, which could cause resentment
Example of Consultative Management in a Business
Richard Branson with Virgin
Define Participative Management
This is a style where the manager shares the decision making responsibility with the employees, communication is in both directions and employees are given a share of responsibility.
Advantages of Participative Management
- Recognises the skills and abilities of employees and empowers them to make decisions
- Team work with decision making should lead to the most effective and suitable decision
Disadvantages of Participative Management
- It can be very time consuming, discussing everyones ideas
- May cause conflict if decisions are disregarded
Example of Participative Management in a business
- In research work with pharmaceutical companies
- Google founders, Sergey Brin and Larry Page
Definition of Laissez Faire
Is a form of management in which employees are given total responsibility for decision making and operations within the business. The manager may set goals and hold accountability, but it is the employees who run the business
Advantages of Laissez Faire
- Very trusting and empowering for employees being given so much responsibility
- Can be very creative, given so many individuals ideas
Disadvantages of Laissez Faire
- Can potentially lead to loss of control, or conflict between employees.
Communication
Is the transfer of information from sender to reciever
Ways communication is applied in a business
- Emails
- Verbal
- To Customers-Marketing
- Body Language
Delegation
Is the transfer of authority and responsibility from a manager to an employee to carry and specific activities. The manager remains accountable for the work.
Example of Delegation
McDonalds manager assigns employee to work in the McCafe for 2 hours.
Planning
Involves the prior thinking of how to achieve a business objective with the best possible outcome.
Leading
Involves guiding the business to achieve its objectives. leadership involves, establishing a clear vision, sharing that vision with others, and coordinating and balancing conflicts of stakeholders.
Decision Making
A course of action purposely chosen from a set of alternatives to achieve business objectives.
Interpersonal
The skills used by a person to interact with others properly. In a business the term generally refers to an employees ability to get along with others while getting the job done.
Corporate Culture
Is the shared values, ideas, expectations and beliefs of the individuals in a business.
Official Culture
The values and beliefs the business is trying to convey to the public. Usually observed in, mission statements, logos and slogans
Real Corporate Culture
The actual values and beliefs present in the company, observable from dress, behaviour, the way employees and managers relate to each other.
Strategies for developing corporate culture
- Leading by example
- Bringing in customer service training
- Establishing social gatherings, or team bonding events
