MNO2602
Assignment 5 Semester 2 2024
Unique Number:
Due Date: October 2024
QUESTION 1
1.1 Social Environment of a Globalising Organisation (2 marks)
The social environment of a globalising organisation refers to the impact that the
organisation has on the social dynamics and relationships within its context, both locally and
globally. This includes how the organisation interacts with various stakeholders, such as
employees, customers, communities, and governments, in different cultures and countries.
Globalising organisations must navigate diverse social norms, expectations, and practices,
which can affect how they operate, market their products, and engage with employees. For
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USE to be sensitive to cultural differences and social issues such as labour
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QUESTION 1
1.1 Social Environment of a Globalising Organisation (2 marks)
The social environment of a globalising organisation refers to the impact that the
organisation has on the social dynamics and relationships within its context, both
locally and globally. This includes how the organisation interacts with various
stakeholders, such as employees, customers, communities, and governments, in
different cultures and countries. Globalising organisations must navigate diverse
social norms, expectations, and practices, which can affect how they operate, market
their products, and engage with employees. For instance, they need to be sensitive to
cultural differences and social issues such as labour rights, gender equality, and
corporate social responsibility.
1.2 Difference Between Prevention, Appraisal, and Failure (PAF) Costs (3 marks)
• Prevention costs: These are the costs associated with activities designed to
prevent defects and quality issues before they occur. Examples include quality
training, process improvement, and preventive maintenance.
• Appraisal costs: These costs are incurred to detect defects or quality issues
during the production process. They include activities such as inspection,
testing, and audits to ensure products meet quality standards.
• Failure costs: These are the costs incurred when defects or quality issues
occur, and they are divided into internal and external failure costs. Internal
failure costs arise from defects found before the product reaches the customer,
such as scrap and rework costs, while external failure costs arise when defects
are found after the product has been delivered to the customer, such as
warranty claims and returns.
1.3 Forms of Power Shared by Leadership (5 marks)
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