Summary IGCSE business notes: section 2 people in business
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Module
IGCSE business
Institution
Book
Cambridge IGCSE and O Level Business Studies Study and Revision Guide 3rd edition
The following document summarised all section 2: people in Business comprising 4 subunits: motivating employees, organization and management, recruitment, selection and training employees, and internal and external communication. These notes are merely useful for IGCSE business students to help the...
levels of managementand division of
responsibilities within an
organisation;can be represented
by an organisational chart.
↳soI
Marketing
Director
Finance
Director I ·inters (or
-
Marketing Finance Production Personal
Managers Supervisors Team Leaders Manager
Sales Accounts Production
Teams Assistants Team Members
Advantages of an organisation chart
All employees are aware ofw hich communication channel is used to reach them with messages
which they
Every individual knows their position in the business in
can who they've
identify
accountable to who theyhave
and
authority over
shows the links and relationship between differentdepartments
Gives everyone a sense of belonging
Chain of command and span control
of
span control:the
of number subordinates
of
working directly
under a
manager
Chain command
of is the structure in an organisation which allows instructions to be passed
down from senior management to lower levels management
of
Advantages of shortchains of command
Communication is
quicker and more accurate
Top managers are less remote from lower employees, so
employees will be more motivated
control will be wider, which to control therefore
spans of means managers have more
people
itwill them to delegate
encourage responsibility.
, Organisation&Management
Management
Staffmanagers:specialists who information assistance to line
provide support, and managers.
Line managers:have direct
responsibilityfor people below them in the hierarchy an
of
organisation
Five roles manager
primary of
Planning:involves setting aims or targets, w ill
it give the departmentand it's
employees
clear and direction.
a sense
purpose
of
2
Organising:Allocating responsibilities to employees, possiblydelegating
3
Coordinating: m eans
"bringing together"managers should ensure thateach
departmentis
coordinating with one another to achieve the organization's aims which will involve effective communication
between departments, managers and decision making.
4
Commanding:managers need to guide, lead and
supervise their employees in the tasks they do
as well as
making sure they're achieving targets.
5
Controlling:managers must
try to measure and evaluate the work of their employees. If
some
employees tail to achieve their target, the manager mustf ind out
why ithas occurred and
what he can do to fix
it.
Delegations
subordinate the to
giving a
authority perform particular tasks
Advantages delegation
of for the manager:
1. Managers cannotd o all the themselves
work by
2. Can measure the success of their staffmore
easily
Advantages of
delegation for the subordinate
1. becomes which
The work more interesting and
rewarding increased job satisfaction
2.
Employees feel more importantand feel trusted which increases loyalty to firm.
3. Can acta s a method of
training and
opportunities for promotions
, Organisation&Management
Leadership
differentapproaches to dealing with people and
making decisions when in a
position of
authority.
The three main
leadership styles are:
Autocratic leadership
2 Democratic leadership
3 Laissez-faire leadership
Autocratic leadership
where the managers expects to be in charge t he
of business, theydo all the decision-making,
not
involving employees at all.
The advantage of this could be quickdecision making however there's no
opportunityfor
employee input into
key decisions
Democratic leadership
where managers involve employees in the decision-making and communication is two-way
from
top to bottom.
Laissez-faire leadership
It's trench "leave to do"this the broad
a
phrase meaning style makes objectives t he
of business
known to
employees and leaves them to do their own
decision-making and organize tasks
Trade unions
who have joined together to their protected
a
group employees
of ensure interests are
Effects employees
of
Strength in numbers when negotiating with employers
Improved conditions of
employmente.g. better pay, holidays, hours work.
of
Improved environment where people worke.g. health and safety
Financial supportifa member thinks he/she has been treated unfairly.
However the disadvantages are:
wages are
likely to be higher
may be asked to take industrial action even
they
if don'tagree with the union
, Recruitment
The role H.R.
of
department
Recruitmentand selection:
attracting and selecting the bestcandidates for job posts
Wages and salaries:setwages that attractand retain employees as well as
motivate them
Industrial relations: there mustb e effective communication between managementand
workforce to discussing ideas
solve complaints as
training programmes:give employees training to increase their
productivity
Health and safety:laws health and conditions
on
safety
Redundancy and dismissal:the managers should dismiss
any unsatisfactory misbehaving
employees they're
it no longer needed by
any business
job analysis, description and specification
from thatthe business employ
Recruitmenti s the
process identifying needs to someone
to
up the
pointwhere applications have arrived atthe business.
When job analysis has to be job analysis identities
a
vacancy arises, a
prepared, a
and the
records tasks and responsibilities relating to the job.
Job Analysis
. M
iii.e
Job specification
·
Qualifications
·
Experience
·Reporting to ·Skills
Working conditions .
Responsibilities
·Job duties ·Emotional
·
Machines characteristics
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