unit 2 - managers leadership & decisions

Question 1

Leadership

Answer 1

Includes functions of ruling, guiding and inspiring other people within an organisation in pursuit of agreed objectives

Question 2

Management

Answer 2

Planning, organising, directing and controlling all or part of a business enterprise

Question 3

Autocratic Leadership

Answer 3

Downward communication, minimal delegation, close supervision of employees

Question 4

Democratic Leadership

Answer 4

Leader delegates and encourages decentralisation, leader and subordinate discuss issues, employees participate, leader acts upon employee advice, subordinates have more control over their work life

Question 5

Laissez-Faire Leadership

Answer 5

Leader has minimal input into the operation of the business and employees are empowered to take up the majority of decisions

Question 6

Tannenbaum And Schmidts Continuum

Answer 6

Demonstrates the level of freedom that managers choose to give their team and the style of management (tell, sell, suggest, consult, join, delegate, abdicate)

Question 7

Delegation

Answer 7

Passing of authority down the organisational structure

Question 8

Decentralisation

Answer 8

Passing authority from the centre of the organisation to those working elsewhere in the business

Question 9

Factors Which Influence Management Styles

Answer 9

Skill of the workforce, manager experiences

Question 10

Strategy

Answer 10

Long-term, involve commitment of resources, difficult to reverse, taken on by more senior managers

Question 11

Tactics

Answer 11

Short-term, less resources involved, easier to reverse, junior management usually take it on

Question 12

Scientific Decision Making

Answer 12

Based on data and uses a logical, rational approach to decision making

Question 13

Benefits Of Scientific Decision Making

Answer 13

Less risk and uncertainty, removal of bias, provides clarity, justifiable

Question 14

Drawbacks Of Scientific Decision Making

Answer 14

Time consuming, risk of unreliable data, lack of creativity, overlooks human factors, not suitable for small businesses

Question 15

Factors Influencing Scientific Decision Making

Answer 15

Managers experience, available data, risk acceptance

Question 16

Decision Trees

Answer 16

Allows a business to compare the outcomes of two or more options, examines the probability of each outcome (do nothing is always an option)

Question 17

Intuition Decision Making

Answer 17

Managers use their instinct in order to make a decision

Question 18

Benefits Of Intuition Decision Making

Answer 18

Good if they have experience, quick decision making, cheaper

Question 19

Drawbacks Of Intuition Decision Making

Answer 19

Mistakes can be made if there is a lack of experience, decisions can be made for illogical reason, cannot back up with data

Question 20

Factors Influencing Intuition Decision Making

Answer 20

lack of data, manager experience, businesses willing to accept risk

Question 21

Factors Influencing Decision Making

Answer 21

level of risk, reward for managers, opportunity costs, business mission, pestle factors, resources

Question 22

PESTLE

Answer 22

political, economic, social, technological, legal, ethical and environment

Question 23

Internal Stakeholders

Answer 23

shareholders, employees

Question 24

External Stakeholders

Answer 24

consumers, suppliers, local community, government, competitors

Question 25

Stakeholder Map

Answer 25

displays the power and interest of different stakeholder groups (high p high i - key players, high p low i - keep satisfied, low p high i - keep informed, low p low i - minimal effort)

Question 26

Factors Influencing Relationships With Stakeholders

Answer 26

internal - objectives, size and ownership, leadership style external - market conditions, stakeholder power, gov policies