Unit 3 outcome 2b revision pp


Published on

Published in: Education, Business
1 Like
  • Be the first to comment

No Downloads
Total views
On SlideShare
From Embeds
Number of Embeds
Embeds 0
No embeds

No notes for slide

Unit 3 outcome 2b revision pp

  1. 1.   Unit  3   Business  Management     Outcome  2  Part  B   Revision   2014   SAC  DATE   Monday  April  28th  
  2. 2.       This  assessment  task  addresses  the  following  key  knowledge  as  outlined   in  Unit  3:  Area  of  Study  2:  (Study  design)       key  management  roles:   •  planning:  long,  medium  and  short-­‐term   •  organising:  resource  and  task  alloca:on  techniques   •  leading:  importance  of  leadership  quali:es,  including  interpersonal,  informaJonal  and  decision-­‐ making   •  controlling:  financial  and  non-­‐financial  processes  and  control  systems     •  different  styles  of  management,  including  autocra:c,  persuasive,  consulta:ve,  par:cipa:ve  and   laissez-­‐faire,  and  their  appropriate  applica:on  to  various  management  situa:ons   •  key  management  skills  as  appropriate  to  the  process  of  effec:ve  management   •  the  rela:onship  between  management  styles  and  skills.  
  3. 3. The key skills that this assessment task addresses include the ability to:   • accurately use relevant management terms • analyse business information and data • Analyse major aspects of the internal environment of large- scale organisations • apply knowledge and concepts to practical and/or simulated situations
  4. 4. POLC   The  key  management  roles  are:  
  5. 5. POLC  -­‐  Planning   •  Planning  is  the  process  of  defining  objecJves  and  determining   methods  or  strategies  which  will  be  used  to  achieve  those   objecJves.     •  This  is  the  primary  management  role.  It  provides  the  key  to   both  the  short-­‐term  and  long-­‐term  success  of  an  organisa:on.  
  6. 6. Levels  of  planning  —  strategic,  tacJcal  and  operaJonal     •  Strategic  (long-­‐term)  planning  is  planning  for  the  following  three  to  five   years.  This  level  of  planning  will  assist  in  determining  where  in  the   market  the  organisa:on  wants  to  be,  and  what  the  organisa:on  wants  to   achieve  in  rela:on  to  its  compe:tors.  It  is  conducted  by  senior   management.   •  TacJcal  (medium-­‐term)  planning  is  flexible,  adaptable  planning,  usually   over  one  to  two  years.  It  assists  in  implemen:ng  the  strategic  plan  and   allows  the  organisa:on  to  respond  quickly  to  changes.  The  emphasis  is  on   how  the  objec:ves  will  be  achieved  through  the  alloca:on  of   resources.  It  is  generally  conducted  by  middle  management.   •  OperaJonal  (short-­‐term)  planning  provides  specific  details  of  the  way   the  organisa:on  will  operate  in  the  short  term.  Management  controls  the   day-­‐to-­‐day  opera:ons  that  contribute  to  achieving  short-­‐term  ac:ons   and  objec:ves.  Examples  of  opera:onal  plans  are  daily  and  weekly   produc:on  schedules.  Conducted  by  frontline/supervisory  team.  
  7. 7. Planning  process   •  Step  1.  Define  the  objec,ve.      What  is  it  the  LSo  wants  to  achieve?  May  be  redefining  or  modifying  exis:ng  objec:ves  or  seTng   new  ones.   •  Step  2.  Analyse  the  environment.      Managers  aUempt  to  work  out  exactly  where  the  organisa:on  currently  stands.  A  common   analysis  technique  is  known  as  a  SWOT  analysis  (an  acronym  for   strengths,  weaknesses,  opportuni:es  and  threats).  This  iden:fies  and  analyses  the  organisa:on's   internal  strengths  and  weaknesses,  and  also  opportuni:es  in,  and  threats  from,  its  external   environment     •  Step  3.  Develop  alterna,ve  strategies.      In  response  to  the  ques:on  ‘How  will  the  organisa:on  get  there?’,  managers  develop  several   strategies  and  then  agree  to  put  one  into  ac:on.   •  Step  4.  Implement  an  alterna,ve.      The  strategy  which  has  been  agreed  upon  needs  to  be  put  into  place.   •  Step  5.  Monitor  and  seek  feedback  on  the  implemented  strategy.      Management  must  set  targets  and  check  whether  they  are  met.  If  objec:ves  are  not  met,  then   the  planning  process  would  need  to  be  repeated.  Any  plan  formed  should  be  a  living  document,   regularly  reviewed  and  revised  if  necessary.  
  8. 8. SWOT  ANALYSIS  
  9. 9. POLC  -­‐  Organising   •  Organising  is  the  process  management  goes  through  when  it   aUempts  to  arrange  resources  (such  as  staff)  to  match  up  with   tasks,  in  order  to  achieve  the  objec:ves  of  a  large  organisa:on.  
  10. 10. The  organisa:on  process   •  Determining  the  work  ac1vi1es.  The  work  ac:vi:es  required  to  achieve  management   objec:ves  must  be  determined.  Work  ac:vi:es  are  then  usually  broken  down  into  smaller   steps.   •  Classifying  and  grouping  ac1vi1es.  Once  the  work  ac:vi:es  of  a  business  have  been  broken   down  into  smaller  steps,  similar  ac:vi:es  can  be  grouped  together.  This  improves  efficiency   by  enabling  the  most  appropriate  alloca:on  of  resources.  It  is  common  prac:ce,  for   example,  to  group  ac:vi:es  into  departments  or  sec:ons,  and  to  allocate  employees  and   supervisors  to  each  sec:on  or  department.   •  Assigning  work  and  delega1ng  authority.  The  next  step  in  the  organisa:on  process  is  to   determine  who  is  to  carry  out  the  work  and  who  has  the  responsibility  to  ensure  the  work  is   done.  Delega:on  also  involves  ensuring  the  person  who  has  been  given  responsibility  does   carry  out  the  processes.  Effec:ve  delega:on  can  increase  produc:vity  and  efficiency,  and   increases  job  sa:sfac:on  for  the  employee.  
  11. 11. Leading   •  Is  the  moJvaJon  of  employees.   •  Its  also  providing  direcJon  to  ensure  work  is  completed  on   :me.   •  Ensuring  organisaJonal  objecJves  are  met.   Examples   •  Management  must  ensure  tasks  are  delegated  to  staff  that  are   competent  to  complete  them.   •  Includes  training  staff  and  providing  direc:on  to  drive  business   success.   •  Recognising  good  performance,  correc:ng  poor  performance   and  ensuring  enthusiasm  in  the  workplace  is  high.  
  12. 12. Leadership  Quali:es  –  Interpersonal,  Informa:onal,  Decision  Making   •  Interpersonal  –  A  manager  is  seen  as  the  figurehead  of  the  organisa:on.  They   set  the  example  and  their  behaviour  reflects  the  organisa:on  as  a  whole.  A   successful  leader  is  one  that  moJvates  their  staff  to  constantly  improve  their   performance.   •  Informa:onal  –  Managers  need  to  monitor  and  collect  all  informa:on  the   organisa:on  receives  to  ensure  they  have  up  to  date  knowledge  about  the   industry  in  which  they  operate  and  have  knowledge  of  the  economic   condi:ons  that  may  affect  the  organisa:on.   •  Decision  Making  –  They  must  show  leadership  by  making  decisions  that   improve  the  businesses  performance  and  brings  about  change.  
  13. 13. Controlling   •  Controlling  sees  management  measuring  the  performance  of  the  LSO.     •  This  could  be  in  financial  terms,  resource  alloca:on  and  efficient  use  of   resources,  business  processes  and  procedures  or  human  resources.   •  Management  develop  standard  processes,  procedures  and  outcomes  for   workers  to  follow  to  ensure  consistent  results  across  the  LSO.   Examples   •  Interim  progress  reports,  inspec:ons,  tes:ng,  audi:ng,  examining  financial   reports  or  direct  observa:on.  
  14. 14. Controlling   Controlling  process   There  are  three  steps  in  the  control  process:   •  Establish  the  standards  the  business  hopes  to  achieve.   •  Monitor  and  evaluate  business  performance.   •  Make  changes  when  necessary  to  ensure  objec:ves  are  achieved.  
  15. 15. EXAM/SAC  HINT   •  Management  Roles  can  only  be  POLC.   •  DO  NOT  CONFUSE  them  with  management  skills  or   management  funcJons.  
  16. 16. SKILL: Apply knowledge and concepts to practical and/or simulated situations LETS PRACTICE: KOKO BLACK PTY LTD  
  17. 17. •  The  first  Koko  Black  salon  opened  in  2003  employing  over  230  people.     •  The  vast  majority  of  Koko  Black's  finished  product  range  is  designed  and  handmade  in   Melbourne.     •  Product  range  includes  fine  chocolates,  ice  cream,  desserts,  pastries,  drinks,  and  extensive   ranges  of  seasonal  speciali:es.     •  Wherever  possible  Koko  Black's  products  are  handmade  using  local  ingredients.     •  Technology  is  u:lised  where  necessary  but  the  intensive  nature  of  the  product  means  focus   is  on  handmade  design  and  quality.   •  Koko  Black  is  a  niche  manufacturing  business,  producing  its  own  product  from  raw   ingredients  and  selling  via  their  own  retail  outlets,  online  site  and  direct  to  corporate   clients.  
  18. 18. Koko  Black  would  like  to  expand  their  business  into  Asia   •  This  expansion  will  require  a  new  General  Manager  to  focus  on  the  roles   of  planning  and  organising.  Define  each  of  these  roles  and  analyse  how   these  roles  will  assist  Koko  Black  to  achieve  its  objec:ve  of  expansion.  
  19. 19. •  Planning  –  define   •  5  step  planning  process  will  need  to  be  discussed  (include  the  following)   •  Strategic  planning  will  be  required.   •  SWOT  analysis  needs  to  be  undertaken  to  help  determine  whether  Koko   Black  should  proceed  with  expansion  plans.   •  Planning  decisions  need  to  be  made  (&  alterna:ves  evaluated)  eg  :me   frame  for  seTng  up  new  stores,  loca:on,  how  expansion  will  be  financed.   •  Other  levels  of  management  would  be  required  in  the  tac:cal  planning  &   opera:onal  planning  ensuring  these  more  detailed  levels  of  planning  result   in  strategies  that  will  achieve  specific  objec:ve  of  expansion.  
  20. 20. •  Organising  –  define   •  Organisa:onal  process   •  Management  will  need  to  organise  the  structure  of  the  Asian   branches  and  how  they  will  operate.     •  Determine  what  will  be  needed.   •  Establish  staff  in  produc:ve  working  environments  eg  seTng   up  new  stores.   •  Assign  responsibili:es  to  staff.   •  Delegate  authority.   •  Communicate  among  different  levels  and  departments.   •  Accumula:on  of  shopfiTngs,  equipment  and  stock.  
  21. 21. Management  Styles  
  22. 22. Management  Styles   •  Autocra:c   •  Persuasive     •  Consulta:ve       •  Par:cipa:ve   •  Laissez-­‐faire  
  23. 23. Management  Style   Selec:on  of  management  style?????     Depends  on  a  number  of  factors:  (situa:onal  variables)     •  The  managers  personality.   •  Managers  skills.   •  The  skill  level  of  employees.   •  Nature  of  workforce  eg  hospital,  farm,  factory,  design  studio.   •  Time  that  is  available.   •  Any  changes  to  the  internal,  opera:ng  or  macro  environments.  
  24. 24. Autocra:c  Management  style   Features   •  Managers  make  all  the  decisions  quickly   •  No  consulta:on  with  employees   •  Management  gives  direc:ons  to  employees  and  does  not  allow   feedback   •  One  way  or  top  down  communica:on   •  Ojen  found  in  businesses  that  have  a  very  hierarchical   structure  as  power  is  centralised.   •  Informa:on  is  given  on  need  to  know  basis.  
  25. 25. Autocra:c  :  Advantages   •  Efficient  use  of  :me  (fast)  as  there  is  no  discussion  and   instruc:ons  are  clear  &  concise.   •  Clearly  defined  procedures  &  policies   •  Provides  more  stability  &  consistency  as  decisions  are  only   made  by  management.   •  Works  well  in  emergency/crisis/  urgent  situa:ons  where  quick   response  is  necessary.   •  Provides  clear  direc:ons  and  confidence  to  inexperienced   employees.  
  26. 26. Autocra:c:  Disadvantages   •  Poor  rela:ons  between  management  and  the  employees.   •  Employees  can  feel  threatened  and  anxious.   •  No  employee  input  and  employee’s  ideas  are  not  sort  by   management,  which  could  benefit  the  LSO.   •  Employees  are  not  able  to  develop  skills  &  competencies  to   enable  them   •  Employees  may  resent  being  ordered  around     •  Morale  may  suffer  because  employees  do  not  feel  valued  or   trusted.  (Consequence  decreased  produc:vity)  
  27. 27. Persuasive  Management  Style   Features   •  Managers  make  all  the  decisions  but  take  the  :me  to  explain  the  reason   behind  the  decision.  (Sell)   •  No  consulta:on  with  workers.   •  One-­‐way  or  top  down  communica:on.   •  Control  is  centralised.  
  28. 28. Persuasive:  strengths   •  Employees  are  likely  to  respond  more  posi:vely  to  having  a  decision  explained  to   them.   •  Suitable  to  use  in  circumstances  that  need  quick  decisions  made.   •  Provides  clear  direc:ons  and  confidence  to  inexperienced  employees.   •  Enthusias:c  approach  can  excite  and  mo:vate  employees.   •  Suits  situa:ons  where  the  decision  to  be  made  is  at  a  high  level  and  does  not   require  discussion  –  eg  if  a  branch  of  a  business  is  to  be  shut  down  workers  will  be   informed  and  reasons  explained  but  will  not  be  involved  in  the  decision.   •  Managers  gain  some  trust/support.   •  Workers  more  likely  to  accept  nega:ve  situa:ons.  
  29. 29. Persuasive:  weaknesses   •  Employees  can  feel  lej  out  as  their  opinions  are  not  sought.   •  Morale  may  suffer  because  employees  do  not  feel  valued  or  trusted.   •  Employees  do  not  contribute  ideas  that  could  benefit  the  organisa:on.   •  Employee  talents  &  ideas  not  u:lised.   •  Employee  frustra:on  may  occur  if  they  do  not  agree  with  management   decision  and  cannot  comment.   •  Manager  with  poor  communica:on  skills  may  not  do  jus:ce  in   explaining  good  decision.  
  30. 30. ConsultaJve  management  style   Features   •   Manager  recognises  the  importance  of  good  personal  rela:onships  among   employees  and  consults  with  staff  on  certain  issues  before  making  a  decision.     •  Two-­‐way  communica:on  process,  with  employees  sharing  their  ideas  with  a   manager  who  is  willing  to  listen.     •  This  type  of  manager  believes  that  mo:va:ng  employees  will  help  achieve   performance  objec:ves.     •  Also  believe  in  enhancing  personal  rela:onships  by  offering  job  security,   providing  social  ac:vi:es  and  offering  fringe  benefits.     •  Seeks  opinions  of  employees,  holds  informa:on-­‐sharing  mee:ngs  and   recognises  good  performance.     •  Employee-­‐centred  management  style.     •  This  management  style  is  most  effec:ve  when  a  new  opera:ng  procedure  is  to   be  introduced  or  some  organisa:onal  change  implemented.  Provides  an   opportunity  for  employees  to  have  some  input  at  the  :me  of  decision  making.  
  31. 31. ConsultaJve  -­‐  Strengths   •  Asking  for  sugges:ons  from  employees  allows  for  a  greater   variety  of  ideas,  and  should  improve  the  quality  of   management  decisions.   •  Employees  begin  to  have  some  ownership  in  the  way  in  which   the  organisa:on  is  run,  so  they  take  more  of  an  interest  in  it.   This  is  reflected  in  their  levels  of  mo:va:on  and  commitment,   which  increase  substan:ally.   •  When  decisions  are  discussed  and  fine-­‐tuned  before   implementa:on,  tasks  are  completed  more  efficiently  and  with   beUer  results.  
  32. 32. ConsultaJve  -­‐  Disadvantages   •  The  :me  taken  to  consult  all  the  relevant  employees  can  slow   the  en:re  process.   •  Some  issues  to  be  decided  are  simply  not  suitable  for  a   widespread  consulta:on  process.  If  the  process  is  not   consistent  with  each  decision  made,  staff  can  become   uncertain  and  confused  about  their  role.   •  When  a  number  of  ideas  are  shared,  some  are  bound  to  be   ignored  or  overlooked  in  the  final  decision.  This  may  cause   conflict  or  resentment.  
  33. 33. ParJcipaJve  management  style   Features:   •  A  where  the  manager  not  only  consults  with  employees  but  also  gives  them  some   responsibility  in  the  management  of  the  process.     •  Manager  shares  the  decision-­‐making  authority  with  employees.  The  degree  of  sharing  can   range  from  the  manager  outlining  a  solu:on,  with  the  possibility  of  changes  being   suggested,  to  allowing  the  team  to  ini:ate,  implement  and  monitor  its  own  solu:ons.   •  Par:cipa:ve  managers  recognise  the  strengths  and  abili:es  of  employees  and  ac:vely   involve  them  in  all  the  stages  of  the  decision-­‐making  process.  This  style  is  frequently   prac:sed  in  those  organisa:ons  that  have  flaUer  management  structures  and  work  teams,   and  especially  where  there  are  diverse  groups  to  be  coordinated.  The  contribu:on  of  the   employee  is  valued;  in  turn,  employees  have  a  commitment  to  the  organisa:on's  objec:ves   via  their  own  input.   •  This  par:cipa:ve  management  style  is  most  effec:ve  when  an  organisa:on  is  opera:ng  in   an  environment  undergoing  rapid  change.  Individual  employees  accept  responsibility  for,   and  can  implement,  changes.  This  makes  the  organisa:on  more  responsive  to  change.   Ac:vi:es  such  as  brainstorming  generate  a  range  of  opinions  and  ideas,  and  these  may  lead   to  beUer  decisions  being  made.   •  Two  way  communica:on.   •  Power  is  decentralised.  
  34. 34. Par:cipa:ve  -­‐  Advantages   •  Communica:on  is  a  two-­‐way  process.   •  Employer/employee  rela:ons  are  posi:ve  and  there  is  reduced  likelihood   of  industrial  disputes.  Employees  are  more  likely  to  accept  management   decisions.   •  Mo:va:on  and  job  sa:sfac:on  are  op:mal  because  employees  feel  they   have  played  an  ac:ve  role  in  alloca:ng  tasks  and  implemen:ng  ac:ons  to   meet  objec:ves.   •  Employees  have  a  greater  opportunity  to  acquire  more  skills.   •  There  are  opportuni:es  for  employees  to  put  forward  ideas.  This  power-­‐ sharing  approach  encourages  the  development  of  work  teams,  and   employees  display  high  levels  of  commitment.   •  There  is  a  high  level  of  trust,  ojen  resul:ng  in  improved  employee   performance  
  35. 35. Par:cipa:ve  -­‐  Disadvantages   •  Reaching  decisions  and  introducing  tasks  can  be  :me  consuming  when   differing  views  have  to  be  considered.  The  quality  of  decisions  may  also   suffer  because  compromises  are  made  rather  than  decisive,  clear   direc:ons  given.   •  The  role  of  management,  and  the  control  of  the  manager,  may  be   weakened  and  undermined,  with  employees  given  too  much  power  in   some  cases.   •  Internal  conflict  can  arise  with  so  many  views  and  opinions  being  shared.   More  involvement  may  bring  about  disagreement.   •  The  importance  of  the  organisa:onal  structure  may  be  minimised,  leading   to  an  informal  system  that  could  result  in  a  complete  collapse  in   management.   •  Not  all  employees  may  want  to  contribute.  
  36. 36. Laissez-­‐faire  management  style   Features   •  Where  employees  are  responsible  for  workplace  opera:ons.  Management   has  no  central  role  and  power.     •  Management  has  no  role  in  the  day-­‐to-­‐day  running  of  the  organisa:on.   Management  will  set  the  objec:ves,  but  the  employees  take  full   responsibility  to  implement  the  means  of  achieving  them.  In  so  doing,   employees  are  responsible  for  their  decisions  and  accountable  for  the   results.     •  Decentralised  organisa:onal  structure,  with  employees  opera:ng   individually  or  in  small  groups  to  complete  projects.   •  Most  effec:ve  for  crea:ve  work  or  research,  with  employees  who  are   highly  talented  or  qualified  in  the  tasks  to  be  performed  and  where   minimal  supervision  and  direc:on  is  required.  
  37. 37. Laissez-­‐faire  -­‐  Advantages   •  Employees  feel  a  sense  of  ownership,  which  can  promote   outstanding  results.   •  There  is  con:nual  encouragement  for  crea:vity,  which  is   conducive  to  a  dynamic  working  environment.   •  In  a  flat  structure,  communica:on  is  completely  open  and   ideas  are  both  discussed  and  shared.  
  38. 38. Laissez-­‐faire  -­‐  Disadvantages   •  There  is  a  complete  loss  of  control  by  management.  No  control   or  direc:on  means  there  is  poten:al  for  misuse  of  the   organisa:on's  resources,  including  :me  and  money,  because   these  have  been  placed  in  the  hands  of  the  employees.   •  This  style  can  breed  personal  conflicts,  whereby  individuals  do   not  cooperate  or  wish  to  implement  only  their  own  ideas.  In   these  cases,  management  is  not  there  to  direct  or  nego:ate.   •  The  focus  on  mee:ng  organisa:onal  objec:ves  can  be  easily   eroded.  Management  may  find  themselves  with  a  failed   organisa:on  and  nothing  to  manage.  
  39. 39. Management  Skills   •  Communica:on  skills  involve  the  ability  to  create  and  exchange  informa:on  between  people  to  ensure   that  the  required  response  is  produced.     •  Delega1on—the  process  of  passing  authority  down  the  hierarchy  to  perform  tasks  or  make  decisions.   Responsibility  remains  with  the  person  delega:ng.   •  Decision-­‐making  and  problem-­‐solving—the  systema:c  approach  (mul:-­‐step  approach)  to  finding  and   implemen:ng  a  course  of  ac:on  to  overcome  a  problem  or  correct  an  unsa:sfactory  situa:on.   •  Nego1a1on—the  process  by  which  one  party  seeks  to  obtain  something  wanted  from  another  party,   ending  either  in  a  resolu:on  or  a  compromise.   •  Team  leadership—the  ability  to  func:on  as  a  coach  or  mentor  to  team  members,  encouraging  team   members  to  contribute,  and  build  a  cohesive  and  trus:ng  team.   •  Time  management—the  process  of  planning  and  exercising  conscious  control  over  the  amount  of  :me   spent  on  a  par:cular  task,  in  order  to  increase  effec:veness  or  efficiency.   •  Stress  management—the  skill  required  by  a  manager  to  reduce  their  level  of  stress  or  anxiety    and  that   of  their  subordinates.   •  Analy1cal  skills—the  ability  to  examine  the  elements  of  something  or  study  the  nature  of  a  given   situa:on  or  set  of  circumstances.     •  Technical  skills—the  ability  of  a  manager  to  perform  par:cular  tasks,  such  as  accoun:ng  skills,  skills  in   the  use  of  computer  technology,  and  skills  in  human  resources  prac:ces  and  law.   •  Emo1onal  intelligence—a  set  of  competencies  that  allow  managers  to  perceive,  understand  and   regulate  emo:ons  in  themselves  and  others.  
  40. 40. Problem  solving   Problem  solving  means  finding  and  then  implemen:ng  a  course  of  ac:on  to  correct  an   unworkable  situa:on.     There  are  six  steps  in  a  typical  problem-­‐solving  process.   •  1.  The  first  step  is  to  clearly  idenJfy  what  the  problem  is  and  what  has  caused  it.  The   problem  might  be  an  industrial  dispute  or  a  need  to  develop  a  more  socially  responsible   organisa:on.     •  2.  Gather  relevant  informaJon.    All  of  the  facts  and  informa:on  that  are  relevant  to  the   problem  must  be  gathered.  Some  methods  to  use  might  be  simply  talking  to  people  or   comple:ng  ques:onnaires  or  surveys.   •  3.  Develop  alternaJve  soluJons.  Management  will  need  to  develop  alterna:ve  solu:ons  so   that  the  problem  can  be  solved  with  an  open  mind.  A  list  of  possible  solu:ons  should  be   made,  including  the  seemingly  ridiculous  ones.     •  4.  Analyse  the  alternaJves.  Ajer  analysing  each  of  the  alterna:ves  for  their  advantages  and   disadvantages,  the  best  op:on  should  be  chosen.     •  5.  Choose  one  alternaJve  and  implement  it.  The  solu:on  to  the  problem  will  then  be   implemented  and  subsequently  evaluated.     •  6.  Evaluate  the  soluJon.  If  the  solu:on  does  not  work,  the  process  would  have  to  start  again.  
  41. 41. Management  styles:  When  would  you  use???     Management  Style   When  you  would  use:  example   Autocra:c  style?   Instant  dismissal   Persuasive  style?   Change  in  procedure  due  to  a  change  in  legisla:on.   Consulta:ve  style?   Change  in  procedure  or  policy   Par:cipa:ve  style?   Enterprise  bargaining   Laissez-­‐Faire  style?   Research  
  42. 42. The  rela:onship  between  management  styles  and  skills   •  Manager  develops  their  own  management  style  based  on   experience,  knowledge  &  personality.   •  The  specific  skills  that  relate  to  different  management  styles   Management  styles   Skills  needed   Authoritarian/Persuasive   Communica:on,  Decision  making   Consulta:ve/Par:cipa:ve   Communica:on,  nego:a:on,  problem  solving   Laissez-­‐Faire   Delega:on,  Communica:on,  People  skills  
  43. 43. PAST  VCAA  exam  ques:ons     Ques:on  2B    2013      ZX  Bank  is  a  large  retail  bank  that  operates  in  all  states  in  Australia.    In  response  to  a  recent  market  survey  of  its  customers,  it  is  considering  opening  its  branches  on   Saturdays  and  Sundays.    Currently,  the  bank’s  employees  feel  that  their  expecta1ons  regarding  condi1ons  of  employment  and   work-­‐life  balance  are  being  met.    The  employees  have  been  asked  about  the  proposed  change  in  opening  hours  and  70  per  cent  said  that   they  would  prefer  not  to  work  on  weekends  but,  if  they  had  to,  they  would  expect  higher  pay  rates  on   those  days.    The  Human  Resource  Manager  has  responded,  saying  that  an  increase  in  pay  rates  might  make  opening   on  weekends  unprofitable.  The  bank  execu1ves  are  hoping  to  reach  an  agreement  with  the  employees   that  keeps  pay  rates  at  current  levels.    Both  sides  believe  that  it  is  important  to  discuss  this  issue  further.   To  resolve  the  issue  regarding  the  proposed  change  in  opening  hours  and  the  employees’  expectaJons     of  higher  pay  rates  on  weekends,  the  bank  execuJves  will  need  to  apply  a  range  of  management  skills.    Describe  two  management  skills  and  jusJfy  their  use  in  this  situaJon.  (4  marks)    
  44. 44. PAST  VCAA  exam  ques:ons     QuesJon  3  (2013)   Alice  Smith  has  read  the  biographies  of  many  great  business  leaders.  She  would  like  to  follow  in     the  footsteps  of  these  successful  leaders.  Alice  has  just  taken  over  as  the  CEO  of  The  Traveller’s     Helpmate,  a  business  that  publishes  print  and  online  travel  guides.  Her  observa1on  is  that  her  staff  are     professional,  highly  educated  and  independent.  In  private  conversa1ons,  some  staff  have  said  that  they  felt     underappreciated  by  the  previous  CEO  as  posi1ve  feedback  was  rarely  provided.     a.  Define  the  following  leadership  qualiJes  that  Alice  will  need  in  order  to  be  an  effecJve  leader.      (3  marks)    •  interpersonal    •  informaJonal    •  decision-­‐making  
  45. 45. 2013  QuesJon  3A  –  Examiners  report    Few  students  were  able  to  define  all  three  leadership  quali1es.  While  most  students  appeared  to  have  a  general  idea   of  what  leadership  quali1es  were,  they  were  unable  to  explain  all  three  to  a  sa1sfactory  standard.      The  interpersonal  leadership  quality  involves  liaising  or  dealing  with  people.  The  informa1onal  leadership  quality      involves  gathering  and  communica1ng  or  sharing  data  and  knowledge,  and  the  decision-­‐making  leadership  quality      involves  making  choices  in  order  to  solve  problems  or  take  up  opportuni1es.     The  following  is  an  example  of  a  high-­‐scoring  response.     •  Interpersonal  –  Interpersonal  refers  to  having  people  and  social  skills  such  as  communicaJon,  emoJonal   intelligence  (the  ability  to  recognise  and  understand  feelings)  and  so  on  in  order  to  operate  effecJvely  in  a  social   secng.     •  InformaJonal  –  InformaJonal  refers  to  obtaining  the  required  knowledge  and  being  effecJve  in  the   communicaJon  of  this  knowledge.  For  example,  being  able  to  communicate  an  appropriate  answer  to  an   employee  if  they  have  a  quesJon.     •  Decision-­‐Making  –  Decision-­‐Making  is  the  ability  to  idenJfy  and  evaluate  possible  available  opJons  in  response   to  a  situaJon,  and  choose  the  course  of  acJon  that  is  the  most  appropriate  and  effecJve.  
  46. 46. PAST  VCAA  exam  ques:ons     Ques:on  2B    2012  exam    By  nature,  Ms  Glass  is  a  consulta:ve  manager.      Iden:fy  two  characteris:cs  of  this  management  style,  and  explain  one  advantage  and  one   disadvantage  of  using  this  style.    (4  marks)   Ques:on  2C  2012  exam    Ms  Glass  has  iden:fied  that  she  will  have  to  use  the  management  roles  of  organising,  leading  and      controlling.      Define  each  role  and  explain  how  the  use  of  these  roles  will  contribute  to  the  success  of  her  new      na:onal  parcel  delivery  service.  (6  marks)    
  47. 47. PAST  VCAA  exam  ques:ons     Ques:on  2B  &  2F,  2011  exam    Freda  Campbell  is  seTng  up  a  new  business  in  Melbourne  that  will  manufacture   and  sell  furniture.   b.    Many  large-­‐scale  organisa:ons  use  a  mul:stage  planning  process  in  order  to   achieve  their  objec:ves.      Explain  each  of  the  steps  in  this  process.  (5  marks)   f.    Describe  and  jus:fy  two  management  skills,  other  than  communica:on,  that  Freda   could  use  while  establishing  her  business.  (4  marks)    
  48. 48. PAST  VCAA  exam  ques:ons     Ques:on  2,  2010  exam    Wonderful  Toys  Company  manufactures  wooden  blocks  that  were  found  to  contain   small  amounts  of  lead  paint  that  can  be  poisonous  to  children.  The  company  recalled   all  of  this  product.    What  management  style  could  Wonderful  Toys  use  in  this  crisis?  Explain  why  you  have   chosen  this  management  style.  Refer  to  two  features  of  this  style  in  your  explana:on.    (5  marks)