The Nature of Management

Question 1

Efficient Management

Answer 1

they will make decisions that minimise expenses, waste and the costs of operating the business

Question 2

Features of Effective Managers

Answer 2

is good at planning, considering how short-term objectives fit with long-term goals

makes decisions to organise raw materials, staff and inputs in the most efficient and productive combination

motivates staff using the most appropriate style of leadership

controls the business and takes corrective action if it deviates from the business plan

manages information to make good decisions

has a range of skills and knows how to use them at the right time

communicates clearly

Question 3

Interpersonal Skills

Answer 3

the ability to communicate or interact well with other people

Question 4

Communication Skills

Answer 4

the ability to convey or share ideas and feelings effectively, includes listening, speaking and observing

Question 5

Strategic Thinking

Answer 5

the ability to view the business as a whole, and recognise how decisions in one function will affect others

Question 6

Vision

Answer 6

having a clear idea about where the business is headed

Question 7

Problem-Solving

Answer 7

being able to find solutions to difficult or complex issues

Question 8

Decision-Making

Answer 8

having the confidence to take action and guide the business towards its goals

Question 9

Flexibility

Answer 9

the willingness to change or compromise

Question 10

Adaptability to Change

Answer 10

being proactive by anticipating changes in the business environment and making adjustments

Question 11

Reconciling the Conflicting Interests of Shareholders

Answer 11

developing solutions to conflicts of interest

Question 12

Achieving Profits

Answer 12

in order to maximise profits (the key role of the business), management must implement strategies that maximise revenue and minimise costs

Question 13

Achieving Market Share

Answer 13

a manager may decide to sacrifice profit in the short term to quickly gain market share from competitors

Question 14

Achieving Growth

Answer 14

can be achieved by increasing the size of the business or by diversifying its operations

Question 15

Achieving Share Price

Answer 15

a business can sustain its share price by being well managed, earning consistent profits, keeping debt levels under control and providing worthwhile returns to shareholders

Question 16

Achieving Social Goals

Answer 16

can include improving the quality of working life for employees, supporting cultural diversity and promoting human rights

Question 17

Achieving Environmental Goals

Answer 17

reducing carbon footprint by introducing recycling and lowering waste