2. Finance
0If the business is short of cash flow
IMPACT: They won’t be able to pay their bills
CONSEQUENCE: They could go into
administration
3. Finance
0If the price of the stock they are buying
in increases
IMPACT: Their costs will increase
CONSEQUENCE: The business may have to
raise their prices which may put off
customers.
4. Decision Making
0Managers may make unpopular
decisions
IMPACT: The staff become demotivated
CONSEQUENCE: The staff produce a poorer
standard of work. This may put off
customers.
5. Decision Making
0If a managers is a poor decision maker
IMPACT: The staff workload may increase
CONSEQUENCE: The staff become
demotivated and may leave the business.
6. Employees
0If the staff are under-trained
IMPACT: They may not produce the standard
of quality the business is expecting.
CONSEQUENCE: Customers may go
elsewhere to find better quality.
7. Employees
0If you have staff who have gained a
high level of skill
IMPACT: Staff will require/Demand a higher
pay.
CONSEQUENCE: This leads to higher costs
which means the business has less to spend
on raw materials.
8. Technology
0If the current technology the business
has is outdated.
IMPACT: Other businesses may be able to do
the job better because they have invested in
newer technology.
CONSEQUENCE: The business may lose
market share.
9. Technology
0The business has invested in a new
production line.
IMPACT: The staff may need to be retrained.
CONSEQUENCE: The business may need to
spend more money on the top of the original
investment to train staff.
