Business 0450 · IGCSE
Motivating employees
28 practice questions on Motivating employees, with worked solutions and instant marking.
Singh Foods (SF) produces a variety of pickles and preserves, including jams. Even though the economy is in recession, the business has grown rapidly. The Human Resources manager thinks employees have contributed to SF’s success by accepting new working methods. She motivates the 200 full-time employees using both profit sharing and non-financial techniques. Only a small number of employees leave each year. Most communication takes place via a weekly printed newsletter. She is unsure whether this is still the most effective way to keep in touch with employees.
Feb/March 2016
Ruby operates as a sole trader. She makes handmade, individually designed greetings cards through job production. Her customers place great importance on high quality cards. Ruby has 3 part-time employees who receive an hourly wage rate. She is thinking about switching from an hourly wage rate to a piece rate system, where employees are paid according to the number of products they produce. Ruby believes this could improve the motivation of her workforce. During festivals and celebrations she gets a greater number of orders.
Feb/March 2018
Identify and explain two ways a business plan could help Peter as he expands his business.
Feb/March 2019
SCT is a small firm that makes handmade tables. SCT employs 50 trained workers. The Operations Manager adopts an autocratic leadership style when decisions are taken. Some of SCT’s employees are demotivated, and the business has a high labour turnover rate. SCT plans to move to a new factory in the same country.
Feb/March 2021
Viktor is setting up a photography business. He will operate as a sole trader. Quality control will matter. Viktor intends to use sampling for his market research. There are legal controls that may influence his marketing strategy. Viktor will hire 5 photographers. He knows that there are many methods of motivating employees.
Feb/March 2023
GCN manufactures many types of clothing, such as shirts and trousers, for both men and women. Its small factory has 75 skilled employees. The Operations manager believes staff like working there because very few resign each year. He stated: ‘Who needs to offer financial bonuses when I can use Herzberg’s theory to motivate employees?’ He wants to raise efficiency in the factory because he believes that is the most effective route to improving GCN’s low profit level. He is uncertain whether new technology should be added to the production process.
May/June 2016
Steppa is a private-sector shoe manufacturer. It employs 200 workers, and all of them are paid a high hourly wage rate. The Human Resources Director said: ‘We use a democratic leadership style. Employees are an important stakeholder group. Happy workers are good for business. Revenue increased by 10% last year.’ The director cannot understand why so many workers leave the business each year. She is considering other non-financial ways of motivating employees.
May/June 2017
Identify two motivational theories and explain how TT could use them to help raise worker motivation.
May/June 2017
Ben runs a small gardening business that he set up 15 years ago. Ben thinks that giving a high-quality service is vital to his success. Ben’s business has several stakeholder groups, including 2 full-time and 4 part-time workers who have all worked for him for several years. Each worker is expected to carry out whatever task Ben tells them to do. All workers are paid an hourly wage. They also get a bonus if customers recommend the business to other people. Ben is always considering other ways to raise his workers’ motivation.
May/June 2018
Identify and explain how two stakeholder groups of WA are likely to be affected by the drop in profit in 2018.
May/June 2019
Alex set up APB as a sole trader enterprise 4 years ago. APB supplies printing services to local firms, including leaflets and brochures. Alex believes that a strong location matters to every business. All of APB’s workers are given on-the-job training. Alex adopts a democratic leadership style and uses job rotation to keep employees motivated. Because demand has risen, Alex intends to purchase another printing machine. This will cost $1800. Alex must choose a suitable source of finance.
May/June 2021
MBH is a public-sector business organisation. It runs 5 hospitals and employs 5600 workers, of whom 440 are doctors. When it recruits skilled employees, it relies on external recruitment. The Human Resources Director applies ideas from Herzberg’s theory to raise employee motivation. He is concerned about communication barriers inside MBH. The business has a tall organisational structure and a long chain of command. Most communication within MBH happens through email and phone calls.
May/June 2022
Explain two leadership styles that the Managing Director of BB may adopt.
May/June 2022
Explain two leadership styles that Zane and Zaara could adopt when they manage ET’s employees.
May/June 2023
Explain two benefits that a well-motivated workforce can bring to RF.
May/June 2024
HYT is a travel company that sells holidays. One of its aims is growth. Last year HYT carried out a takeover of one of its rivals. This growth was financed using external sources of finance. HYT now has 460 shops and 4000 employees. The Human Resources Director is aware that there are both advantages and disadvantages for a business in employing full-time staff. HYT’s managers apply Herzberg’s motivational theory to help keep employees motivated. Effective internal communication matters to HYT.
May/June 2025
Explain one effect of each problem below on TSE when it moves into a fresh market in another country. Cultural differences: Lack of knowledge:
May/June 2025
Explain two ways the information in the government report shown in Appendix 3 could influence Jemi’s restaurant.
May/June 2025
Toddles is a children’s nursery. It operates in the tertiary sector and offers childcare for children aged 2-5 years. It is a sole trader business. The business employs 4 full-time workers, all of whom are fully trained and highly motivated. Each employee cares for 3 children. Last year, Toddles made a loss. ‘I don’t understand it, we have fantastic employees and a good location’ said the owner. ‘I need to find ways to make the business profitable.’
Oct/Nov 2015
Rafael’s son wants to learn more about motivating employees. Rafael is planning to hire a new worker to assist with repairing motorbikes.
Oct/Nov 2015
P & P needs to operate efficiently. Identify and explain four methods P & P could use to motivate production workers.
Oct/Nov 2016
Identify and explain two leadership styles that Stella could adopt.
Oct/Nov 2017
GCF is a public limited company. It offers a variety of computer services to businesses, including website design and app creation. The Human Resources Director applies ideas from Maslow’s Hierarchy of Needs to help ensure that GCF’s 250 employees stay well motivated. An extract of the methods used appears in Table 4.1. GCF intends to grow by acquiring one of its competitors. This will cost $50m. To pay for the takeover, GCF is thinking about issuing new shares.
Oct/Nov 2021
Explain four ways SSM could improve the motivation of its production workers.
Oct/Nov 2021
Explain two possible reasons DD may choose to keep inventory at a low level.
Oct/Nov 2022
TFN is a travel company that sells holidays. It operates 37 shops and employs 1000 people. In the previous year, TFN’s profit rose to $46 million$. The Managing Director recognises that strong customer service has helped to keep customers loyal. He said: ‘TFN’s managers apply ideas from Herzberg’s two-factor theory to motivate employees. Every employee receives off-the-job training and every manager has a broad span of control.’
Oct/Nov 2023
NPZ runs a pizza restaurant and employs 35 part-time staff. Trent, the owner, wants to look at different ways of improving motivation because he believes that having employees with high motivation is important. He is examining NPZ’s financial statements, and an extract is given in Table 2.1. Trent is also thinking about ways to raise NPZ’s profit.
Oct/Nov 2023
Explain two advantages and two disadvantages of BB being a public limited company.
Oct/Nov 2024