Unit 1 outcome 2.1 - Internal factors Flashcards Preview

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Flashcards in Unit 1 outcome 2.1 - Internal factors Deck (35)
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1
Q

the internal factors of a business consist of the resources available within the business to achieve its goals, which include…?

A
  • employees
  • managers
  • finance
  • technology
  • corporate culture
2
Q

3 impacts of poorly qualified employees:

A
  • mistakes/breakages in production
  • low output/productivity
  • increased costs of production
3
Q

Name 4 advantages of having motivated employees:

A
  • increased productivity and quality, leading to lower costs per item produced and a reduction in wastage
  • low staff turnover, which will reduce training costs
  • employer’s reputation increases, which will attract the best employees
  • reduced absenteeism as employees are satisfied at work, which means fewer delays or less overtime to make up for lack of workers
4
Q

What will staff be motivated by within many different aspects of their jobs?

A
  • targets and the prospects of an increase in salary or a promotion
  • completing a difficult project or problem solving
  • team work and having a sense of identity within the business
5
Q

When may industrial action occur?

A

when the employees and employers fail to agree over pay or the terms and conditions of employment

6
Q

What are the different types of industrial action that could occur?

A
work to rule
overtime ban
sit-in
strike action
go slow
7
Q

What is work to rule?

A

employees only carry out the work that is stated in their contract of employment

8
Q

What is overtime ban?

A

employees only work the hours required by their contract

9
Q

What is sit-in?

A

occupying the business premises but not undertaking any duties

10
Q

what is strike action?

A

labour is withdrawn and the business will be unable to continue with production or meet customer needs

11
Q

what is go slow?

A

reducing the normal speed of work

12
Q

What are some of the impacts of industrial impact?`

A
  • production will stop so there will be fewer products to sell
  • sales are lost, resulting in a loss of revenue
  • the reputation of the business is damaged, which means that customers are less likely to buy from it
  • the relationship between employers and employees become strained, which could increase absenteeism, punctuality and staff turnover
13
Q

What is the impact of managers?

A

when employees are motivated and perform well, a great deal of this can be attributed to positive relationships with managers/supervisors

14
Q

name 4 points that successful managers carry out:

A
  • communicate effectively with staff
  • give appropriate guidance and encouragement
  • arrange necessary training and development
  • encourage employee participation in decision making
15
Q

What are the 5 functions of management and their definitions?
(POCCCDM)

A
  • Plans: looks ahead and sets aims and strategies
  • organises: makes arrangements for all the resources of the organisation to be in the right place at the right time and in the right quantities; collecting, storing and processing information
  • commands: tells subordinates what their duties are; being the leader, decision making setting vision and supporting staff
  • co-ordinates: makes sure everyone is working towards the same aims and that the activities of individual workers fit in with the work of the other parts of the organisation
  • controls: measures, evaluates and compares results against plans, and supervises and check work done; ensuring the plan is on target and in budget, monitoring the quality of work
16
Q

What are the other 2 functions of management which have been added in recent years?

A
  • Delegates: makes subordinates responsible for tasks and gives them the authority to carry them out
  • motivates: encourages others to carry out their tasks effectively often by introducing team-work, empowerment, worker participation in decision-making and other non-financial methods
17
Q

What is a SWOT analysis?

A

a process where an organisation will gather together all the information is can about its internal factors and its external factors and its often used in strategic planning and in marketing

18
Q

what are the two headings which are listed under internal factors?

A
  • strengths

- weaknesses

19
Q

What are the factors included within internal factors?

A

entrepreneurial skills, quality of management team, number and skill of personnel, market share, product range, financial performance, level of assets, effectiveness of marketing mix, effectiveness of distribution network, effectiveness of production processes

20
Q

What will strengths be used for in an organisation?

A

to gain a competitive edge

21
Q

What are the 3 types of decisions?

A
  • strategic
  • tactical
  • operational
22
Q

What are strategic decisions?

A
  • long-term decisions that a business makes about its general aims and targets
  • takes a long time to implement fully and do not consider in detail how they will be achieved
  • very difficult and expensive to reverse
  • carry the most risk and are made by senior managers
23
Q

What are tactical decisions?

A
  • medium-term decisions that are based on strategic decisions
  • contain the details of how a strategic decision will be achieved
  • can be reversed but this time consuming and expensive
  • carry less risk than strategic decisions and are made by middle managers
24
Q

what are operational decisions?

A
  • short-term, day-to-day decisions
  • deal with practical problems
  • can be reversed easily and with little or no cost
  • carry the least risk and are made by lower-level managers or supervisors
25
Q

What is the definition of authoritarian/autocratic

A

when a manager controls all of the decisions based on his/her own ideas and judgements with no or little input from others

26
Q

What are some advantages of an authoritarian/autocratic ?

A
  • decisions can be made quickly
  • manager maintains overall control
  • change is implemented quickly
27
Q

what are some disadvantages of an authoritarian/autocratic ?

A
  • lack of two-way communication is demotivating
  • employees cannot use their initiative
  • increase in staff turnover and absenteeism
  • creates a “them and us” culture
28
Q

What is the definition of a Democratic?

A

when a manager will consult with lower-level managers and/or employees when making decisions or will delegate the authority to make decisions

29
Q

What are some advantages of a democratic?

A
  • employees feel empowered, which is motivating
  • better quality decisions are made as there is input from more than one person
  • increase in creativity
  • lower staff turnover and absenteeism
30
Q

what are some disadvantages of a democratic?

A
  • can take longer to reach a decision
  • management control is reduced
  • risk that employees will not have adequate knowledge or expertise to make effective decisions
31
Q

What are the benefits of a SWOT analysis?

A
  • forces consideration of issues; no rash decisions are made
  • decisions are made using quality/quantity of the information
  • time taken to devise alternative solutions
  • enhances innovation and responsiveness
32
Q

What are the costs of a SWOT analysis?

A
  • can be time consuming to gather information
  • choosing from a variety of different solutions can be difficult
  • gathering alternative solutions
  • lack of creativity
33
Q

what is the definition of Laissez-faire?

A

when managers have a ‘hands off’ approach and allow employees to make decisions, although the manager will provide the resources needed to make the decisions

34
Q

What are some advantages of Laissez-faire?

A
  • if employees are highly skilled and capable of working on their own this style of leadership can be motivational
  • employees will feel empowered knowing that they can consult with managers for advice when making decisions
35
Q

What are some disadvantages of Laissez-faire?

A
  • employees may lack the knowledge and experience to make good-quality decisions
  • employees may be unable to meet deadlines and solve problems without guidance and direction from their manager
  • risk that deadlines will be missed as staff have more freedom