Test 1 Flashcards
What is delayering?
This involves removing levels of management within the organisation in order to flatten the structure.
Advantages of delayering?
- Can save the cost of employing a whole level of management, which will make it more competitive and increase its chances of survival.
- The business is more responsive to change and communication is better.
- Decision making process is quicker.
What are operational decisions?
These are the day-to-day routine decisions that are most often made by lower level managers and supervisors.
They are made in response to problems that arise weekly or daily (e.g deciding on how to cover for staff absence).
Role of a manager
COMPDCC C - Command O - Organise M - Motivate P - Plan D - Delegate C - Co-ordinate C - Control
Describe what Commanding means in terms of the roles of a manager
Leading and directing the workforce.
Describe what Organising means in terms of the roles of a manager
Making sure the resources the business need are in the right place at the right time.
Describe what Motivating means in terms of the roles of a manager
Making sure that the workforce is satisfied and engaged with their jobs and building good team working as well as inducing a positive environment in the workplace
Describe what Planning means in terms of the roles of a manager
Looking ahead and making decisions on what is needed in the future.
Describe what Delegating means in terms of the roles of a manager
Assigning the authority to
carry out tasks to appropriate subordinates
whilst maintaining overall responsibility.
Describe what Co-ordinating means in terms of the roles of a manager
Making sure everyone is pulling together to try to achieve the same objectives.
Describe what Controlling means in terms of the roles of a manager
Checking that work is being done as instructed and that the business is moving forward.
What is vertical integration?
Occurs when 2 businesses operating at different
stages of production join together (eg a
manufacturer and a supplier or a manufacturer and
a retailer)
Why use vertical integration?
- Eliminate the middleman and his profit
- Benefit from economies of scale
- Control where products are sold
- Control source and cost of supplies
What are the two types of vertical integration?
Backward Vertical Integration:
Occurs when a business merges with or takes over a
business at an earlier stage in production eg a
manufacturer and a supplier.
Forward Vertical Integration:
Occurs when a business merges with or takes over a
business at a later stage in production eg a manufacturer and a retailer
What are the external factors?
PESTEC P - Political E - Economical S - Social T - Technological E - Environmental C - Competitors
How is technology used in HR?
Can be used in:
Recruitment and selection - Preparing job adverts, using recruitment websites, collecting application forms, drawing up a short leet, preparing for the interview and the interview itself, candidate testing.
Staff training - Training events can be hosted online, or e-learning on the business computer network.
Staff record keeping - databases storing basic information about employees.
What is Maslow’s hierarchical of needs?
The needs at the bottom of the pyramid were basic needs (Physiological Needs like food, drink, clothing, shelter and warmth)
Next would come Safety Needs eg having Job security.
Next would come Social/Emotional Needs eg a feeling of being part of a team at work, being trusted and accepted.
Next would come Esteem Needs met by being given rewards like promotion or perks.
Finally, at the top of the pyramid are Self-Actualisation Needs where the person would reach their fullest potential via promotion and possibly ownership of the business.
Advantages of using a retailer as a channel of distribution
Provide a source of market research
Often located close to the customer
Provide an after-sales service
Retailer may offer credit facilities
Retailer may already have an established customer base
Retailer incurs cost of store, sales staff and retail premises
Selling to a retailer is more direct than through a wholesaler (higher percentage profit for the manufacturer)
Disadvantages of using a retailer as a channel of distribution
May not have specialist product knowledge
Product is more expensive to buy for the customer
