UNIT 2 Flashcards
what are the 4 types of leadership styles
autocratic, democratic, paternalistic and laissez faire
5 roles of manager
- setting objectives
- analysing
- leading
- makes decisions
- reviews
role of a leader
creating an effective working environment
laissez faire
the manager is very relaxed, to the point where employees do the work on their own and have extreme amounts of freedom. “let it be”
autocratic
this leadership style has ultimate authority and power, the leader rends to make choices based on their own decision
democratic
a leader who asks for input and considers feedback from their employees before making a decision. This style is usually credited with higher employment engagement
paternalistic
treats employees like family
1 pro 1 con of autocratic leadership style
- quick decisions and defined structure
- degrading trust and morale of employees
1 pro 1 con of democratic leadership style
- creates employee satisfaction
- reduction of efficiency
1 pro 1 con of laissez faire leadership style
- boosts employee morale
- conflict may increase as well as employees may need direction
1 pro 1 con of paternalistic leadership style
- high loyalty because of employees acknowledgment
- demotivation, “ favourites “ leads to pressure etc
whats the difference between a stakeholder and a shareholder
a stakeholder has an interest in the company, sometimes we can have ‘internal stakeholders’ meaning they are members of the business. shareholders have a financial chunk of a business eg a share
how can a stakeholder affect a business ( the process )
bad publicity
less sales
less wages
angry employees
rised prices
annoyed consumers
business buys less from suppliers
2 examples of shareholder conflict
customers dont want inc price, shareholders want inc revenue
3 advantages of shareholders
- shareholders provide capital to the business by purchasing shares
- shareholders help spread the financial risk of the business. Since shareholders are only liable for the value of their shares
- shareholders, particularly those with significant stakes or expertise, may offer valuable advice and strategic insights to improve the business’s decision-making process.*
advantages of stakeholders
better publicity as stakeholders could help promote product etc, for example employee loving their job could boost brand awareness
THE TANNENBAUM SCHMIDT
TELLS
identifies problems and makes decisions
THE TANNENBAUM SCHMIDT
SELLS
leader still makes decisions but discusses it with employees, attempting to persuade them
THE TANNENBAUM SCHMIDT
CONSULTS
leader identifies problem, listens to employees before making decisions
THE TANNENBAUM SCHMIDT
JOINS
manager defines the problem and passes it to the group to make the decision, manager is involved but minimally
high power and high interest
stakeholder mapping
key subjects
high power low interest
stakeholder mapping
keep satisfied
low power low interest
stakeholder mapping
minimal effort
high interest low power
stakeholder mapping
keep informed
define delegate
putting the issue onto somebody else to deal with
define a 0 hour contract
you only work when your employers ask you to
define fringe benefits
a reward a company gives you that isnt financial, whether thats free private health etc
whats a 0 hour contract
you work however much your employee needs, not guaranteed set shifts
what are fringe benefits
benefits the workplace gives you that is not financial, things such as private healthcare etc
what 4 factors affect a managers decision
- prices: ca and pricing strategy
- expansions: looking for growth
- employment: skills
- outsourced: external companies to handle tasks that aren’t essential to the business.
what 4 things influences objectives
- long or short term
- ethics
- external environment
- financial constraints
how to resolve a conflict
- identify focus
- review evidence
- assess impacts
- agree on next steps
whats the difference between a manager and a leader
the manager focusses on setting objectives and planning, whilst the leader creates a suitable working environment
whats an opportunity cost
what you give up when you choose one option over another eg; what else the investment could be used for
