Management Practice 2

What we cover Module 1: The individual’s role within the business Module 2: Management functions and activities Module 3: Basic legislation Module 4: Business Ethics Module 5: Record Keeping Module 6: Change management Future Managers Management Practice – Level 2

Module 1: The individual’s role within the business

Module 2: Management functions and activities

Module 3: Basic legislation

Module 4: Business Ethics

Module 5: Record Keeping

Module 6: Change management

Module 1: The individual’s role within the business Future Managers Management Practice – Level 2

Outcomes After completing this module, you will be able to: Discuss the rights of an employee within the workplace Identify and explain the structure, culture procedures and concepts within an organisation Discuss how business functions range. Business functions include aspects such as customers, deadlines, markets, quality, profit and environment Future Managers Management Practice – Level 2

After completing this module, you will be able to:

Discuss the rights of an employee within the workplace

Identify and explain the structure, culture procedures and concepts within an organisation

Discuss how business functions range. Business functions include aspects such as customers, deadlines, markets, quality, profit and environment

The Constitution of South Africa Future Managers Management Practice – Level 2

In groups, discuss the South African Constitution Act No.108 of 1996 and comment on the following: What was the overall objective of the Act? Activity 1.1 Management Practice – Level 2 Future Managers

In groups, discuss the South African Constitution Act No.108 of 1996 and comment on the following:

What was the overall objective of the Act?

The Constitution of South Africa In the workplace: Everybody has a right to fair labour practices Every worker has the right to form and join a trade union, to participate in the activities of a trade union and to strike Every employer has the right to form and join an employer’s organisation and to participate in the activities of an employers’ organisation Every trade union and employers’ organisation has the right to determine its own activities, to organise, to bargain collectively and to form and join a federation Every trade union, employers’ organisation and employer has the right to engage in collective bargaining Future Managers Management Practice – Level 2

In the workplace:

Everybody has a right to fair labour practices

Every worker has the right to form and join a trade union, to participate in the activities of a trade union and to strike

Every employer has the right to form and join an employer’s organisation and to participate in the activities of an employers’ organisation

Every trade union and employers’ organisation has the right to determine its own activities, to organise, to bargain collectively and to form and join a federation

Every trade union, employers’ organisation and employer has the right to engage in collective bargaining

Either visit a business or do research and then list the current labour legislation in South Africa Activity 1.2 Management Practice – Level 2 Future Managers

Either visit a business or do research and then list the current labour legislation in South Africa

There are six main Acts relating to employment. Can you name them? Employment Equity Act Basic Conditions of Employment Act Labour Relations Act Occupational Health and Safety Act Skills Development Act Compensation for Occupational Illnesses and Diseases Act Unemployment Insurance Act 1.1 Current Labour Legislation Management Practice – Level 2 Future Managers

There are six main Acts relating to employment. Can you name them?

Employment Equity Act

Basic Conditions of Employment Act

Labour Relations Act

Occupational Health and Safety Act

Skills Development Act

Compensation for Occupational Illnesses and Diseases Act

Unemployment Insurance Act

Labour Legislation Management Practice – Level 2 Future Managers

Promote equal opportunity and fair treatment through the elimination of unfair discrimination Implementing affirmative action measures to redress disadvantages in employment experienced by designated groups Employment Equity Act Management Practice – Level 2 Future Managers

Promote equal opportunity and fair treatment through the elimination of unfair discrimination

Implementing affirmative action measures to redress disadvantages in employment experienced by designated groups

To ensure that working conditions of unorganised and vulnerable workers meet minimum standards To remove rigidities and inefficiencies from the regulation of minimum conditions of employment and to promote flexibility Basic Conditions of Employment Act Management Practice – Level 2 Future Managers

To ensure that working conditions of unorganised and vulnerable workers meet minimum standards

To remove rigidities and inefficiencies from the regulation of minimum conditions of employment and to promote flexibility

Purpose: Advance economic development, social justice, labour peace and a democratisation of the workplace Objectives: Realise and regulate the rights of workers and employers Formation of workplace forums Made up of workers and junior management Promote the interest of all workers Labour Relations Act Management Practice – Level 2 Future Managers

Purpose: Advance economic development, social justice, labour peace and a democratisation of the workplace

Objectives: Realise and regulate the rights of workers and employers

Formation of workplace forums

Made up of workers and junior management

Promote the interest of all workers

No party can agree to work in unsafe conditions Duties of employees include: To take reasonable care for the health and safety of himself or other persons who may be affected by his acts or omissions Perform any duty that is required to comply with the Act Carry out any lawful order given to him and obey the health and safety laws Occupational Health and Safety Act Management Practice – Level 2 Future Managers

No party can agree to work in unsafe conditions

Duties of employees include:

To take reasonable care for the health and safety of himself or other persons who may be affected by his acts or omissions

Perform any duty that is required to comply with the Act

Carry out any lawful order given to him and obey the health and safety laws

The purpose of this Act is to: Develop the skills of the South African workplace Increase the levels of investment in education and training in the labour market and improve the return on investment Use the workplace as an active learning environment, to provide employees the opportunities to acquire new skills, and to provide opportunities fore new entrants to the labour market to gain work experience Skills Development Act Management Practice – Level 2 Future Managers

The purpose of this Act is to:

Develop the skills of the South African workplace

Increase the levels of investment in education and training in the labour market and improve the return on investment

Use the workplace as an active learning environment, to provide employees the opportunities to acquire new skills, and to provide opportunities fore new entrants to the labour market to gain work experience

Employ persons who find it difficult to be employed Encourage workers to participate in leadership and other training programmes Improve the employment prospects of persons previously disadvantaged by unfair discrimination Ensure the quality of education and training in and for the workplace Skills Development Act Management Practice – Level 2 Future Managers

Employ persons who find it difficult to be employed

Encourage workers to participate in leadership and other training programmes

Improve the employment prospects of persons previously disadvantaged by unfair discrimination

Ensure the quality of education and training in and for the workplace

Assist work-seekers to find work, retrenched workers to re-enter the labour market and employers to find qualified employees Provide and regulate employment services Skills Development Act Management Practice – Level 2 Future Managers

Assist work-seekers to find work, retrenched workers to re-enter the labour market and employers to find qualified employees

Provide and regulate employment services

Allows for compensation to be paid to an employee, who as a result of his activities in the work situation, is partially or totally disabled, or contracts an occupational disease Compensation for Occupational Injuries and Diseases Management Practice – Level 2 Future Managers

Allows for compensation to be paid to an employee, who as a result of his activities in the work situation, is partially or totally disabled, or contracts an occupational disease

Provides for the payment of benefits to contributors towards the Unemployment Insurance Fund who become unemployed. Unemployment Insurance Act Management Practice – Level 2 Future Managers Did you know: The band UB40 got its name from the form for claiming unemployment benefit in the United Kingdom

Provides for the payment of benefits to contributors towards the Unemployment Insurance Fund who become unemployed.

Can you guess what the six international rights of employees are? The right to work The right to freedom of association The right to collective bargaining The right to strike The right to protection The right to training 1.2 Rights of employees Management Practice – Level 2 Future Managers

Can you guess what the six international rights of employees are?

The right to work

The right to freedom of association

The right to collective bargaining

The right to strike

The right to protection

The right to training

Divide into groups and make a list, according to your knowledge, of the rights of the South African employee You may refer to the international rights of employees but keep your focus on the South African situation Activity 1.3 Management Practice – Level 2 Future Managers

Divide into groups and make a list, according to your knowledge, of the rights of the South African employee

You may refer to the international rights of employees but keep your focus on the South African situation

South African employees have the following nine rights: Right to work Right to fair remuneration and conditions of service Right of access to training and retraining Right to organise and belong to a trade union Right to negotiate and bargain collectively Rights of South African Employees Management Practice – Level 2 Future Managers

South African employees have the following nine rights:

Right to work

Right to fair remuneration and conditions of service

Right of access to training and retraining

Right to organise and belong to a trade union

Right to negotiate and bargain collectively

Right to protection of safety and health Right to security against unemployment and the payment of amounts to dependants of deceased contributors Right to security in the event of injury on duty Right to job security and protection against unfair labour practices Rights of South African Employees Management Practice – Level 2 Future Managers Can you match each right with an Act? ? ?

Right to protection of safety and health

Right to security against unemployment and the payment of amounts to dependants of deceased contributors

Right to security in the event of injury on duty

Right to job security and protection against unfair labour practices

2. Identify and explain the structure, culture, procedures and concepts within an organisation Management Practice – Level 2 Future Managers

Explain the terms: organisational structures, culture, procedures and concepts Explain organisational terminology . Procedures and concepts include organisational policy with regard to: conditions of employment, disciplinary, grievance and employee representation Illustrate the structure of an organisation in an organogram. Organisational structures include overall, departmental, work group and human resource structures Discuss and reflect upon the individual’s role within an organisation Explain the purpose of understanding an individual’s role in an organisation List and explain the management functions and give an indication of who in a structured environment is responsible for each function Outcomes Management Practice – Level 2 Future Managers

Explain the terms: organisational structures, culture, procedures and concepts

Explain organisational terminology . Procedures and concepts include organisational policy with regard to: conditions of employment, disciplinary, grievance and employee representation

Illustrate the structure of an organisation in an organogram. Organisational structures include overall, departmental, work group and human resource structures

Discuss and reflect upon the individual’s role within an organisation

Explain the purpose of understanding an individual’s role in an organisation

List and explain the management functions and give an indication of who in a structured environment is responsible for each function

Organisational Concepts Organisation is the result of the grouping of processes for its goals be reached as efficiently as possible Organising is the process of creating an organisation’s structure so that members of the organisation can work together effectively to achieve the organisational objectives 2.1 Explain the terms organisational structure, culture, procedures and other related concepts Management Practice – Level 2 Future Managers

Organisational Concepts

Organisation is the result of the grouping of processes for its goals be reached as efficiently as possible

Organising is the process of creating an organisation’s structure so that members of the organisation can work together effectively to achieve the organisational objectives

Organisational Structures The organisational structure is the way that jobs are formally divided, grouped and co-ordinated. The purpose of an organisational structure is to establish a productive enterprise 2.1 Explain the terms organisational structure, culture, procedures and other related concepts Management Practice – Level 2 Future Managers

Organisational Structures

The organisational structure is the way that jobs are formally divided, grouped and co-ordinated.

The purpose of an organisational structure is to establish a productive enterprise

Line structure Line and staff structure Functional structure Product or project structure Matrix structure Types of Organisational Structure Management Practice – Level 2 Future Managers Try to guess what each structure would look like

Line structure

Line and staff structure

Functional structure

Product or project structure

Matrix structure

Organisational Culture The culture of an enterprise is the way things get done Refers directly to the internal environment of the enterprise Reflects the norms and values of the formal structure of the enterprise, as well as the history of the enterprise, the types of people who work for the enterprise, the work processes and the way of communication 2.1 Explain the terms organisational structure, culture, procedures and other related concepts Management Practice – Level 2 Future Managers

Organisational Culture

The culture of an enterprise is the way things get done

Refers directly to the internal environment of the enterprise

Reflects the norms and values of the formal structure of the enterprise, as well as the history of the enterprise, the types of people who work for the enterprise, the work processes and the way of communication

Divide into groups and then discuss the classroom culture. Make a positive proposal to your facilitator or lecturer on how they can improve or better the culture. Activity 1.4 Management Practice – Level 2 Future Managers

Divide into groups and then discuss the classroom culture. Make a positive proposal to your facilitator or lecturer on how they can improve or better the culture.

Organisational Procedures Refers to the series of related steps or tasks expressed in chronological order to achieve a specific purpose Organisational Organogram The formal structure of the organisation, indicating each members position in the organisation as well as his/her responsibility 2.1 Explain the terms organisational structure, culture, procedures and other related concepts Management Practice – Level 2 Future Managers

Organisational Procedures

Refers to the series of related steps or tasks expressed in chronological order to achieve a specific purpose

Organisational Organogram

The formal structure of the organisation, indicating each members position in the organisation as well as his/her responsibility

Visit a nearby organisation or business of your choice and ask management for a copy of their organisation or business organogram. Bring the examples to the classroom and then in your groups, study the different organograms and determine what type of organisation structure it is. Activity 1.5 Research on organograms Management Practice – Level 2 Future Managers

Visit a nearby organisation or business of your choice and ask management for a copy of their organisation or business organogram. Bring the examples to the classroom and then in your groups, study the different organograms and determine what type of organisation structure it is.

Organisations must formulate short- and long-term goals and strategies if they are to achieve their objectives. After the planning is done, the organisation can draw up formal policies. Organisational Policy and Procedures Management Practice – Level 2 Future Managers

Organisations must formulate short- and long-term goals and strategies if they are to achieve their objectives.

After the planning is done, the organisation can draw up formal policies.

Policies Procedures Conditions of employment Discipline Grievances Employee Representation 2.2 Organisational Terminology Procedures and concepts including organisational policy with regard to conditions of employment, discipline, grievance and employee representation Management Practice – Level 2 Future Managers

Policies

Procedures

Conditions of employment

Discipline

Grievances

Employee Representation

Broad guidelines of an enterprise Guides managers and workers in making decisions Ensure that decisions are consistent with the organisation’s goals Guided by the laws of the country Reflect the values of workers and management What is a policy? Management Practice – Level 2 Future Managers

Broad guidelines of an enterprise

Guides managers and workers in making decisions

Ensure that decisions are consistent with the organisation’s goals

Guided by the laws of the country

Reflect the values of workers and management

Groups must send one member to any nearby business or even the little café on the corner and ask the manager or owner to give them a copy of one of their own policies. Bring the policy to the group and write down the “guidelines” or “rules” of the policy. Activity Management Practice – Level 2 Future Managers

Groups must send one member to any nearby business or even the little café on the corner and ask the manager or owner to give them a copy of one of their own policies. Bring the policy to the group and write down the “guidelines” or “rules” of the policy.

The process we follow to achieve our goal Policies include: Disciplinary action Grievances Employee representation What is a procedure? Management Practice – Level 2 Future Managers

The process we follow to achieve our goal

Policies include:

Disciplinary action

Grievances

Employee representation

Nature or kind of payment and the value of such payment Hours of work, including the minimum and maximum hours per week Annual leave Sick leave Contributions to a pension fund or medical aid Intervals of payment Overtime Restrictions on the employee Conditions of employment Management Practice – Level 2 Future Managers What Act does this relate to?

Nature or kind of payment and the value of such payment

Hours of work, including the minimum and maximum hours per week

Annual leave

Sick leave

Contributions to a pension fund or medical aid

Intervals of payment

Overtime

Restrictions on the employee

Individual task Have a discussion with your parents about their conditions of employment. Make a list of conditions linked to their contract or the permanent position held by them in the organisation Group task In your groups, compare the conditions of employment and write down the differences as well as a “new or unique” condition of employment. Differences List new or unique conditions of employment Activity 1.7 Management Practice – Level 2 Future Managers

Individual task

Have a discussion with your parents about their conditions of employment. Make a list of conditions linked to their contract or the permanent position held by them in the organisation

Group task

In your groups, compare the conditions of employment and write down the differences as well as a “new or unique” condition of employment.

Differences

List new or unique conditions of employment

According to your knowledge or experience, what is discipline and who do you think a disciplinary hearing is? Activity 1.8 Management Practice – Level 2 Future Managers

According to your knowledge or experience, what is discipline and who do you think a disciplinary hearing is?

All organisations have rules that need to be obeyed Discipline can be defined as action or behaviour on the part of the authority in an organisation aimed at restraining all employees from behaviour that threatens to disrupt the functioning of the organisation Discipline Management Practice – Level 2 Future Managers

All organisations have rules that need to be obeyed

Discipline can be defined as action or behaviour on the part of the authority in an organisation aimed at restraining all employees from behaviour that threatens to disrupt the functioning of the organisation

Bring a disciplinary procedure or document of any organisation to the classroom for discussion. Compare the different procedures and write down the differences, if any Activity 1.9 Management Practice – Level 2 Future Managers

Bring a disciplinary procedure or document of any organisation to the classroom for discussion. Compare the different procedures and write down the differences, if any

To provide procedures where performance or conduct is unsatisfactory To give a fair hearing To establish facts To clearly define the alleged transgression and ascertain guilt To ensure fair and just treatment Disciplinary hearing Management Practice – Level 2 Future Managers

To provide procedures where performance or conduct is unsatisfactory

To give a fair hearing

To establish facts

To clearly define the alleged transgression and ascertain guilt

To ensure fair and just treatment

Disciplinary Procedure Management Practice – Level 2 Future Managers Written warning First offence Verbal warning and counselling Hearing and final written warning Hearing and dismissal Arbitration, appeal or review 2 nd Offence 2 nd serious or 3 rd offence 1 st or 2 nd very serious; 3 rd or 4 th serious offence Appeal

Not held on the basis of allegation only Allegation is followed by an investigation Once this is done, decision is made whether to hold a hearing Employee receives timeous notice Notification in understandable writing Clearly states allegation, why this is a breach of discipline and the rights of the employee Employee may ask for further information Employee may request postponement Employee entitled to representation Disciplinary hearing Management Practice – Level 2 Future Managers

Not held on the basis of allegation only

Allegation is followed by an investigation

Once this is done, decision is made whether to hold a hearing

Employee receives timeous notice

Notification in understandable writing

Clearly states allegation, why this is a breach of discipline and the rights of the employee

Employee may ask for further information

Employee may request postponement

Employee entitled to representation

In your own words, what is a grievance? Activity 1.10 Management Practice – Level 2 Future Managers

In your own words, what is a grievance?

Formal complaint By the employee Concerning possible violation of the labour contract What is a grievance? Management Practice – Level 2 Future Managers

Formal complaint

By the employee

Concerning possible violation of the labour contract

If an employee experiences any form of injustice, he or she may lodge a complaint with his or her immediate head, with the idea that the situation or differences will be settled as quickly as possible Grievance Policy Management Practice – Level 2 Future Managers

If an employee experiences any form of injustice, he or she may lodge a complaint with his or her immediate head, with the idea that the situation or differences will be settled as quickly as possible

Bring a copy of a grievance policy of any organisation to the classroom to compare the policies and to look out for any differences. Activity 1.11 Management Practice – Level 2 Future Managers

Bring a copy of a grievance policy of any organisation to the classroom to compare the policies and to look out for any differences.

Start to talk Get your subordinate’s point of view Explain your point of view Resolve disagreements Work out action plans Grievance handling Management Practice – Level 2 Future Managers

Start to talk

Get your subordinate’s point of view

Explain your point of view

Resolve disagreements

Work out action plans

What do you think the golden rules to be followed are? Be sympathetic Understand perceptions Ensure privacy Listen without interruption Analyse the situation and identify the real problem Don’t take grievances personally If you are not serious, refer to another stage Don’t answer if you don’t know Don’t make promises you can’t keep Summarise and confirm in writing to employee and retain a copy on file Golden rules Management Practice – Level 2 Future Managers

What do you think the golden rules to be followed are?

Be sympathetic

Understand perceptions

Ensure privacy

Listen without interruption

Analyse the situation and identify the real problem

Don’t take grievances personally

If you are not serious, refer to another stage

Don’t answer if you don’t know

Don’t make promises you can’t keep

Summarise and confirm in writing to employee and retain a copy on file

Step 1 The employee discusses the grievance with the shop steward The steward screens complaints and persuades employees to drop insignificant ones Steward investigates the grievance and fills out a grievance form The written grievance is delivered to the supervisor and a meeting is held Grievance procedure Management Practice – Level 2 Future Managers

Step 1

The employee discusses the grievance with the shop steward

The steward screens complaints and persuades employees to drop insignificant ones

Steward investigates the grievance and fills out a grievance form

The written grievance is delivered to the supervisor and a meeting is held

Step 2 The employee is represented and union and management officials are involved If employee and unions are not satisfied with decisions reached, they may appeal Step 3 Employee is represented by a union grievance committee Management hears case and issues decision If employee and union are still unhappy, the may appeal for arbitration Grievance procedure Management Practice – Level 2 Future Managers

Step 2

The employee is represented and union and management officials are involved

If employee and unions are not satisfied with decisions reached, they may appeal

Step 3

Employee is represented by a union grievance committee

Management hears case and issues decision

If employee and union are still unhappy, the may appeal for arbitration

Step 4 The parties agree to submit the dispute to a neutral third party for arbitration Arbiter listens to both sides and renders a decision The arbiter’s decision is binding and must be accepted by both sides. It cannot be appealed further Grievance procedure Management Practice – Level 2 Future Managers

Step 4

The parties agree to submit the dispute to a neutral third party for arbitration

Arbiter listens to both sides and renders a decision

The arbiter’s decision is binding and must be accepted by both sides. It cannot be appealed further

Workplace Forum A workplace forum is where workers are represented through their members elected to serve in the forum. It is important to know that workplace forums are worker-driven and not trade union-driven Employee representation Management Practice – Level 2 Future Managers

Workplace Forum

A workplace forum is where workers are represented through their members elected to serve in the forum. It is important to know that workplace forums are worker-driven and not trade union-driven

In your own words, what is your understanding of what a workplace forum is and what will be its basic functions or role it has to fulfil? Activity 1.12 Management Practice – Level 2 Future Managers

In your own words, what is your understanding of what a workplace forum is and what will be its basic functions or role it has to fulfil?

Members of a workplace forum must meet regularly with all the workers in the workplace It must also meet regularly with the employer The employer must present a report on its financial and employment situation, its performance since the last report and its expected performance in the short- and long-term Must consult with the forum on any matters arising from the report that may affect workers Employer must provide the workplace forum with facilities so that it can perform its functions Forum members are entitled to a reasonable time off during working hours with pay to perform their functions Forums aim to promote participative management and improved relations Workplace forum procedure Management Practice – Level 2 Future Managers

Members of a workplace forum must meet regularly with all the workers in the workplace

It must also meet regularly with the employer

The employer must present a report on its financial and employment situation, its performance since the last report and its expected performance in the short- and long-term

Must consult with the forum on any matters arising from the report that may affect workers

Employer must provide the workplace forum with facilities so that it can perform its functions

Forum members are entitled to a reasonable time off during working hours with pay to perform their functions

Forums aim to promote participative management and improved relations

2.3 The organisational structure is illustrated in the form of an organogram Management Practice – Level 2 Future Managers Human Resources Manager Human Resource Provisioning Human resource planning, recruitment, selection, placement and induction Human Resource Maintenance Compensation and remuneration, transfers and promotions, employee services, health and safety, labour relations Human Resource Development Training and development, performance evaluation

Marketing Department Management Practice – Level 2 Future Managers Marketing Manager Advertising manager Marketing research manager General sales manager Sales promotion manager Customer relations manager

Overall Organisational Structure Management Practice – Level 2 Future Managers Managing Director General management Production Financial Administrative Human Resources Public relations Marketing Purchasing Quality management Research and development

Can you name some of the roles expected from an employee? Use their knowledge and skills to do the appointed tasks Learn new aspects of the job Solve problems Work productively Work as a member of a group Plan and organise own work and work of subordinates To accept and carry out instructions Accept the organisation’s values, norms and goals Interact with other employees on a social level Be loyal to the organisation Self-development outside working hours 2.4 The role of the individual in the organisation Management Practice – Level 2 Future Managers

Can you name some of the roles expected from an employee?

Use their knowledge and skills to do the appointed tasks

Learn new aspects of the job

Solve problems

Work productively

Work as a member of a group

Plan and organise own work and work of subordinates

To accept and carry out instructions

Accept the organisation’s values, norms and goals

Interact with other employees on a social level

Be loyal to the organisation

Self-development outside working hours

In your groups, brainstorm on what will happen if an individual or employee doesn’t understand his role in the organisation Activity 1.13 Management Practice – Level 2 Future Managers

In your groups, brainstorm on what will happen if an individual or employee doesn’t understand his role in the organisation

Inability to perform the task Low productivity Making mistakes – wastage Organisational goals not achieved Absenteeism Confusion and uncertainty Individual is uncomfortable and unhappy Negative influence on relationships within the organisation Consequences of not understanding your role Management Practice – Level 2 Future Managers

Inability to perform the task

Low productivity

Making mistakes – wastage

Organisational goals not achieved

Absenteeism

Confusion and uncertainty

Individual is uncomfortable and unhappy

Negative influence on relationships within the organisation

Primary Functions Planning Organising Leading Controlling 2.5 Management Functions are listed and explained Management Practice – Level 2 Future Managers

Primary Functions

Planning

Organising

Leading

Controlling

Decision making Communication Motivation Co-ordination Delegation Disciplining Secondary Functions Management Practice – Level 2 Future Managers

Decision making

Communication

Motivation

Co-ordination

Delegation

Disciplining

After completing this outcome, you will be able to: Explain the manner in which as business functions Explain the difference between the internal and external environment of a business 3. Discuss the range of business function such as customers, deadlines, markets, quality, profit and environment Management Practice – Level 2 Future Managers

After completing this outcome, you will be able to:

Explain the manner in which as business functions

Explain the difference between the internal and external environment of a business

Can you explain the ways a business functions with respect to each of the following? Customers Deadlines Markets Quality Profit Environment 3.1 Business functioning Management Practice – Level 2 Future Managers

Can you explain the ways a business functions with respect to each of the following?

Customers

Deadlines

Markets

Quality

Profit

Environment

Q: What is a management environment? A: The management or business environment is defined as all those factors or variables, both inside and outside the organisation, that may influence the continued and successful existence of the organisation 3.2 Explain the difference between the internal and external business environment Management Practice – Level 2 Future Managers

Q: What is a management environment?

A: The management or business environment is defined as all those factors or variables, both inside and outside the organisation, that may influence the continued and successful existence of the organisation

Divide into groups and then decide on what the internal environment consists of Activity 1.14 Research Management Practice – Level 2 Future Managers

Divide into groups and then decide on what the internal environment consists of

Consists of the organisation itself Management plans, organises, leads and controls Management controls the variables which are: The mission and goals of the organisation Organisational strategies Various management functions Resources of the organisation Organisational culture The internal or micro environment Management Practice – Level 2 Future Managers

Consists of the organisation itself

Management plans, organises, leads and controls

Management controls the variables which are:

The mission and goals of the organisation

Organisational strategies

Various management functions

Resources of the organisation

Organisational culture

Now that you know what the internal environment is, discuss in your groups what the external environment is Activity 1.15 Research Management Practice – Level 2 Future Managers

Now that you know what the internal environment is, discuss in your groups what the external environment is

Brainstorm possible external environment factors that influence the organisation Activity 1.16 Management Practice – Level 2 Future Managers

Brainstorm possible external environment factors that influence the organisation

Q: What factors make up the external environment? A: The External Environment Management Practice – Level 2 Future Managers Market Environment Macro Environment Consumers Political environment Suppliers Economic environment Competitors Technological environment Intermediaries Social environment Public / media Legal environment Opportunities and threats National environment Investors International environment Labour Unions Ecological environment

Q: What factors make up the external environment?

A:

Divide into groups and then list the external environmental factors. Analyse the influence of each factor on the organisation and respond how the organisation can absorb these influences or factors to it’s advantage. Activity 1.17 Management Practice – Level 2 Future Managers

Divide into groups and then list the external environmental factors. Analyse the influence of each factor on the organisation and respond how the organisation can absorb these influences or factors to it’s advantage.

Can you: Discuss the rights of an employee within the workplace? Can you remember the labour legislation? Can you recall the rights of employees? Recap Management Practice – Level 2 Future Managers

Can you:

Discuss the rights of an employee within the workplace?

Can you remember the labour legislation?

Can you recall the rights of employees?

Identify and explain the structure, culture, procedures and concepts within an organisation? Can you explain the terminology? Can you discuss conditions of employment, disciplinary policy, grievance policy and employee representation? Can you describe and draw an organogram? Can you describe an individual’s role in the organisation and say what the consequences are if the role is not well defined? Can you explain management functions in an organisation? Recap Management Practice – Level 2 Future Managers

Identify and explain the structure, culture, procedures and concepts within an organisation?

Can you explain the terminology?

Can you discuss conditions of employment, disciplinary policy, grievance policy and employee representation?

Can you describe and draw an organogram?

Can you describe an individual’s role in the organisation and say what the consequences are if the role is not well defined?

Can you explain management functions in an organisation?

Do you know the difference between the internal and external environment of the business? Can you explain the internal environment? Can you name the factors in the market and the macro environment If you can. Congratulations, you are ready to move onto the next module Recap Management Practice – Level 2 Future Managers

Do you know the difference between the internal and external environment of the business?

Can you explain the internal environment?

Can you name the factors in the market and the macro environment

If you can. Congratulations, you are ready to move onto the next module