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.
(a)[2]
What does the term ‘financial bonus’ mean?
(b)[2]
Identify two motivational theories other than Herzberg’s.
(c)[4]
Identify and explain two ways that GCN could apply Herzberg’s theory to motivate its workers.
(d)[6]
Identify and explain two possible problems for GCN arising from the introduction of new technology.
(e)[6]
Do you think improving efficiency is the best approach for GCN to increase its profit? Justify your answer.
Worked solution & mark scheme
This 20-mark question has a full step-by-step worked solution and mark scheme. One marking point: “Additional pay for performance that reaches, or exceeds, target above basic salary.” …