Unit 2 Flashcards
Explain the role of a manager
Set objectives
Organize
Motivate
Communicate
Measure performance
Develop subordinates
Identify the types of leadership styles?
Autocratic
Democratic
Laissez faire
Explain the characteristics of the different leadership styles
Autocratic leader - makes decisions without consulting others, poor relationship with workforce, usually works with unskilled employees requiring a lot of supervision.
Democratic leader - manager makes final decisions but includes others’ ideas in the process, softer form of autocratic, positive motivator, good relationship with workforce, delegate responsibilities, good communicator.
Laissez faire leader - allows team members to have complete freedom, rarely interfere, weak form of leadership, only appropriate for a small, highly motivated team of able workers.
Identify the diagram that illustrates the range of leadership behaviour
Tannenbaum and schmidt continuum
Blake Mouton
Explain the Tannenbaum and Schmidt continuum
Tell (autocratic)
Sell
Suggest (democratic)
Consult (democratic)
Join
Delegate (laissez faire)
Explain the Blake Mouton grid
y axis = concern for people
x axis = concern for task
Country club = 1.9
Impoverished = 1.1
Middle of the road = 5.5
Task management = 9.1
Team management = 9.9
What factors influence the method of leadership style being adopted
The individual - want to feel in control or comfortable with discussing decisions, depends on leaders personality and skills.
Nature of the industry - some industries require a high degree of creativity.
Business culture - business may have traditions of doing things in a certain way, change might be controversial.
Explain what is meant by scientific decision making?
Making a decision based on data
Explain what is meant by opportunity cost
The cost of the next best alternative; its whats given up, one or the other
Explain what is meant by making a decision based off intuition?
Making a decision based on a gut feeling rather than on data or analysis
Explain the function of a decision tree?
A diagram portraying multiple options that can be chosen where outcomes are uncertain. An estimate of the risk, reward and value of each option is included.
Identify a drawback of using a decision tree?
All estimated figures
Identify in which situations the leadership styles would be beneficial
Autocratic: when quick decisions are required
Democratic: complexed decisions requiring specific skills
Laissez Faire: encourage production of highly creative workforce
Identify the advantages and disadvantages of a democratic leader
+ Increased variety of ideas could improve quality
- Decision are slow and conflict could occur regarding what the ‘best’ decision is.
Identify the advantages and disadvantages of an autocratic leader
+ Decisions and direction of business is consistent
- Subordinates are highly dependant on leader, morale could suffer
Identify the advantages and disadvantages of a Laissez faire leader
+ Brings quality work out of creative groups
- Lack of direction/focus
Identify what information needs to be labeled on a decision tree?
Cost (of each option)
Outcomes
Probabilities
Identify and explain what factors influence decision making
Mission/objectives: decision will be guided by set objectives.
Ethics: morally correct decisions
External environment: interest rates/economy
Competition: some decisions made to respond to competitors actions
Resource constraint: is the business physically able to do it
Identify and explain what factors influence decision making
Mission/objectives: decision will be guided by set objectives.
Ethics: morally correct decisions
External environment: interest rates/economy
Explain the term ‘stakeholder’ and provide examples
People or organisations who have an interest in a business e.g. customers, employees, suppliers, local community, managers
How is stakeholder mapping visually portrayed?
Mendelow mix is a grid which identifies how much interest and power a stakeholder has over a business.
What does Mendelow’s stakeholder map consider (the factors on the axes)
Stakeholder power and interest over the business
Describe Mendelow’s stakeholder map
Keep satisfied - high power low interest
Manage closely - high power high interest
Keep informed - low power high interest
Monitor - low power low interest
Identify what stakeholder would be classed as ‘manage closely’ in terms of a stakeholder analysis
Shareholder - high power high interest
Identify what stakeholder would be classed as ‘keep satisfied’ in terms of a stakeholder analysis
Local media
Identify what stakeholder would be classed as ‘keep informed’ in terms of a stakeholder analysis
Customers, employees, suppliers
What business decisions could cause conflict amongst stakeholders?
Relocate overseas
Introduce new technology
Expansion
Increase price
Cut costs
Enter new market
Describe the term ‘pressure group’
A group of people who’s aim is to influence the decisions a business make
