Unit 2 (People in business)

Question 1

Theory of the economic man

Answer 1

Workers are motivated just by money alone.

Question 2

Hygiene Factors

Answer 2

Factors that must be present in the workplace to prevent job dissatisfaction.

Question 3

Motivator factors

Answer 3

Factors that influence a person to increase their efforts.

Question 4

Organisation Chart

Answer 4

Levels of management and division of responsibility.

Question 5

Organisational structure:

Answer 5

The formal, internal, framework, of a business that shows how it is managed and organised.

Question 6

Hierarchy

Answer 6

Number of levels in an organisational structure

Question 7

Chain of command

Answer 7

The route through which authority is passed down through an organisation.

Question 8

Delegation

Answer 8

Passing authorities down through the organisational hierarchy to a subordinate

Question 9

Span of control

Answer 9

The number of subordinates reporting to each supervisor/ manager

Question 10

Centralised

Answer 10

Where all the important decision-making power is held at the head office or at the centre

Question 11

Decentralised

Answer 11

Where decision-making powers are passed down the organisation to lower levels.

Question 12

A manager

Answer 12

Is an individual who is in charge of a certain group of tasks, or a certain area or department of a business

Question 13

Delegation

Answer 13

Is the assignment of authority and responsibility to another person to carry out specific activities.

Question 14

What are the main three leadership styles?

Answer 14

1) Autocratic
2) Democratic
3) Laissez- faire

Question 15

Autocratic Leadership

Answer 15

A leadership style where the leader makes all the decisions

Question 16

Democratic leadership

Answer 16

A leadership style where workers take part in the decision making.

Question 17

Laissez-faire

Answer 17

A leadership style where most of the decisions are left to the workers

Question 18

Trade union

Answer 18

An organisation that is formed and financed by workers for the purpose of protecting the interests of its members and improving their pay and working conditions.

Question 19

Recruitment

Answer 19

The process of filling a vacant post within a business, this can either be internal or external.

Question 20

Internal recruitment

Answer 20

Filling a vacant post with someone employed in the business

Question 21

External recruitment

Answer 21

Filling a vacant post with someone who is not already employed in the business.

Question 22

Job description

Answer 22

A written document that provides all the details about what a job involves.

Question 23

Person specification:

Answer 23

A list of all the qualifications, skills, experience and personal qualities looked for in a successful applicant

Question 24

What are the reasons for reducing the size of the workspace

Answer 24

Resignation, retirement, redundancy, dismissal

Question 25

Resignation

Answer 25

Termination of employment by the employee - e.g found a job elsewhere

Question 26

Retirement

Answer 26

Worker is reaching an old age beyond which they do not need to work.

Question 27

Redundancy

Answer 27

Termination by the employer because the job is no longer needed.

Question 28

Dismissal

Answer 28

Termination by the employer because the worker has broken company rules or is not performing work to the required standard

Question 29

Contract

Answer 29

Legally binding agreement between the employer and the employee.

Question 30

Unfair dismissal

Answer 30

An act of employment termination made without a good reason.

Question 31

Discrimmination

Answer 31

Being treated unfairly by an employer based on your race, sex, religion, age etc.

Question 32

Health and safety

Answer 32

This law helps to protect workers from injury or physical discomfort.

Question 33

Legal minimum wage

Answer 33

This law has been introduced in many countries to prevent employers from exploiting workers.

Question 34

Internal communication

Answer 34

Where employees communicate with each other (colleagues,managers,subordiantes) within the business

Question 35

External communication

Answer 35

Communicating with people or organisations outside of the business.

Question 36

Communication media

Answer 36

The methods used to communicate a message (e.g telephone,email,meeting)

Question 37

What are the 4 communication methods?

Answer 37

Oral
Written
Visual
Electronic

Question 38

What are barriers to effective communication?

Answer 38

• Problems with the communication channel
• Problems between sending and receiver
• Problems with physical environment.

Question 39

job rotation

Answer 39

involves employees swapping around and doing tasks for only a limited amount of time

Question 40

job satisfaction

Answer 40

the enjoyment derived from feeling that you have done a good job

Question 41

job enrichment

Answer 41

involves looking at jobs and adding tasks that require more skill and responsibility

Question 42

time rate

Answer 42

the amount paid to an employee for one hour of work

Question 43

piece rate

Answer 43

an amount paid for each unit of output