THEME 1:SECTION 4 (managing people)

Question 1

Explain the difference between redundancy and dismissal

Answer 1

• Dismissal = If the contract is breached the employee can be fired
• Redundancy = Skills or the job role is no longer required

Question 2

What are the three types of training?

Answer 2

• Induction= introducing the new employee to the business, key policies, procedures, health and safety
• One-the-job= more suitable for practical work, providing a safe workplace, training by other employees
• Off-the-job= appropriate for general information, learning a new skill outside of work, like how to drive a forklift

Question 3

Define Chain of Command

Answer 3

The path of communication and authority up and down the hierarchy

Question 4

Define span of control

Answer 4

The number of employees for whom a manager is responsible or in control of

Question 5

Explain the difference between a centralised and decentralised business structure

Answer 5

• Centalised= business decisions are made at the top of the business or in a head office (by senior managers) and distributed down the chain of command
  Decentralised= decisions to be made by managers and subordinates further down the chain.

Question 6

What are the 4 theories of motivation called?

Answer 6

• Taylors scientific management
• Maslows Hierarchy of needs
• Mayos Human relations theory
• Herzberg’s two-factor theory

Question 7

What is Taylor’s scientific management theory and how does Mayo’s HR theory contradict it?

Answer 7

• Taylor believed money = motivation, he wanted to find the most efficient way to work and make every employee work that way. He broke down work into small repetitive tasks and paid workers based on output
• Mayo, after experimenting, decided social and human factors motivate employees more. That feeling apart of a team motivates

Question 8

What is Maslow’s theory and how is it similar to Herzberg’s?

Answer 8

Maslow’s theory was that every employee had a hierarchy of 5 needs that needed to be met and you would need to work your way up

• Basic, safety and social needs ( Hygiene factors)
• Self-esteem and self-actualisation (motivation factors)

Question 9

One type of financial or non-financial motivation that links to each theory

Answer 9

• Piece work and Taylors theory (financial)
• Consultation and Mayos theory (non-financial)
• Delegation and Herzberg’s theory (non-financial)
• Job enlargement and Maslows (non-financial)

Question 10

Define Autocratic leadership

Answer 10

Managers or leaders make all decisions. Identify objectives and exactly how they will be achieved. Useful with unskilled workers where there is no room for error, can be demotivating.

Question 11

Define Paternalistic Leadership

Answer 11

Managers actually consult employees before decision making. Focuses more on employee wellbeing and involvement to keep motivated best used when wanting employees to grow but still little room for error can demotivate.

Question 12

Define Democratic Leadership

Answer 12

Managers give employees greater involvement in decision making. Can be motivating and often used when employees are already skilled but can slow down decision making

Question 13

Define Laissez-faire leadership

Answer 13

Managers have no input in decision making, subordinates get full delegation. Used for highly skilled workers. Can be risky and lead to poorly defined roles in the firm.

Question 14

Define the term flexible workforce

Answer 14

Flexible workforce = the variety of different ways employees can work (being multi-skilled) and the types of contracts they can be offered

Question 15

What are the financial methods of motivation a business can use?

Answer 15

• Piecework = paid per unit produces
• commission = paid for completing tasks
• Performance-related pay = paid more for meeting business or personal targets
• Bonus = paid extra on top of their salary
• Profit-sharing = set profit targets and share a portion of the profits if targets are met

Question 16

What are the non-financial methods of motivation a business can use?

Answer 16

• Job Enlargement = giving a bigger range of work to do
• Job enrichment = giving more challenging work to do and training to do it
• Job rotation = moving between different roles or tasks to avoid repetition
• Empowerment = control over their work and a larger role in decision making
• Consultation= showing employees that their decisions are important and valued
• Delegation = more responsibility in decision making
• Team working
• Flexible working

Question 17

What is a flexible workforce and why is it important?

Answer 17

A flexible workforce is one that grows in number to meet needs at any given time, it allows businesses to function efficiently even if the absence is high or in order to meet targets

Question 18

Define organisational structure

Answer 18

An organizational structure is a system that outlines how certain activities are directed in order to achieve the goals of an organization

Question 19

What was Taylor’s theory on motivation and how is it used today?

Answer 19

• that employees are motivated to be productive by money. Believed that management should exercise close control over employees, to ensure that they were getting their money’s worth.
• Used In autocratic approaches to leadership
• When financial motivation is used

Question 20

What was Mayos theory on motivation and how is it used today?

Answer 20

• that employees aren’t motivated by pay and environmental factors. Instead, positive (human) relational factors play a bigger role in productivity.
• consultation, teamwork, democratic leadership

Question 21

What was Maslow’s theory on motivation and how is it used today?

Answer 21

• The hierarchy of needs is used to study how humans intrinsically partake in behavioural motivation. Maslow used the terms “physiological”, “safety”, “belonging and love”, “social needs” or “esteem”, and “self-actualization”
• delegation, consultation etc

Question 22

What was Herzberg theory on motivation and how is it used today?

Answer 22

• the factors that give employees the motivation to work often have to do with giving them a greater sense of purpose and significance in their current position. Motivation and Hygiene factors

Question 23

What is the distinction between management and leadership?

Answer 23

• Management consists of controlling a group to accomplish a goal.
• Leadership refers to an individual’s ability to influence, motivate, and enable others to contribute toward organizational success.