Organisation and management

Identify and explain four management functions that Dilip should carry out.

Feb/March 2016

Identify and explain two characteristics David needs in order to become a successful entrepreneur.

May/June 2015

AUC operates as a bank. Its organisational structure is tall, with many layers and a lengthy chain of command. Most of its customers are small businesses from the tertiary sector. In the previous year AUC recorded a loss of $60m. The new Managing Director has to lift employee motivation as well as cut costs. 20% of its 19 000 employees will be made redundant. She said: ‘Keeping customer loyalty is important. We will need to tell our customers that 500 of our 2000 retail bank branches are going to close.’

May/June 2018

See Appendix 1.

May/June 2018

FGH is a private limited company with a tall hierarchical organisational structure. It is a book retailer that intends to acquire one of its competitors for $800m. If the takeover goes ahead, FGH would operate 6 500 bookshops in 20 countries. The Managing Director of FGH said: ‘We expect total costs to fall by $300m each year after the takeover. We will end all off-the-job training for employees.’ The Managing Director believes that FGH would gain from becoming a public limited company, although some of the other directors are unsure whether this is a good idea.

May/June 2019

Identify and explain two ways SA might use lean production in its factory.

May/June 2019

Explain one advantage and one disadvantage of Yasin adopting a democratic leadership style.

May/June 2022

PCY offers insurance services to businesses like farms and factories. Ethical behaviour matters greatly to PCY. The business operates 4 offices and employs 500 people. Managers adopt different leadership styles. The Managing Director is intending to reorganise and manage PCY in a different way. He stated: ‘I want communication barriers inside the business to be reduced. Delegation will be promoted. The span of control may change.’

May/June 2023

Explain one responsibility carried out by each of the following in RR: • Directors • Managers • Supervisors • Production employees

May/June 2023

ADN operates as a food retailer. It owns 5 shops and employs 300 full-time workers. Every one of ADN’s employees is given off-the-job training. ADN uses a tall hierarchical structure. Its managers have a narrow span of control and all apply an autocratic leadership style. ADN’s directors are intending to grow the business and are unsure whether internal growth or external growth is the more suitable option for a business.

May/June 2024

RBG is an oil company with operations in 6 countries. It employs 2000 workers, including 60 managers. A number of its managers adopt a laissez-faire leadership style. All internal communication at RBG is carried out using information technology (IT) based methods. The Managing Director understands that RBG’s business activities can produce external costs and external benefits. She states: ‘Pressure groups often try to influence business decisions.’

May/June 2024

MTO is a bank that offers loans and other financial services to 1 million customers. It operates 70 branches and employs 2800 people. Many members of staff work part-time. The business has a tall organisational structure and its managers have a narrow span of control. Effective internal communication matters. One of MTO’s objectives is growth, and the Human Resource Director has been told to recruit a new manager. Details about applicant A are given in Table 4.1.

May/June 2024

Explain two disadvantages to EP of operating a tall organisational structure.

May/June 2024

QF Group produces a variety of electrical goods, including computers and televisions. Since every QF manager has a broad span of control, delegation is important. QF Group’s main aim is growth. The Finance Director has been studying the accounting figures in Table 2. She is satisfied with the business’s performance.

Oct/Nov 2015

GDC is a transport delivery firm in country Z. It works in a competitive market. GDC employs 5000 workers and has 1000 delivery vehicles. GDC’s organisational structure contains many layers of hierarchy with a long chain of command. The managers adopt an autocratic leadership style. Last year, GDC delivered 2 billion parcels for businesses. The Managing Director said: ‘Having a good reputation matters. We have also gained from economies of scale’. GDC plans to expand its operations into another country, but it cannot decide the best way to do this.

Oct/Nov 2017

VIS offers a range of insurance services, including cover for cars and electrical products. Last year, retained profit fell. The Managing Director blames higher taxation and also believes that some markets have become more competitive. Customer complaints have also risen. The Managing Director intends to alter the business organisational structure by removing both the regional directors and the regional managers. She said: ‘Shorter chains of command may help. I know some employees may need training.’ She is unsure which suitable communication method to use to tell employees about the changes to the organisational structure.

Oct/Nov 2017

Identify and explain one benefit and one drawback of Peter assigning tasks to the new Operations manager.

Oct/Nov 2018

VXH makes a variety of soft drinks from fruit by using batch production. Specialisation is used in its factory. Over the last two years, the business has expanded rapidly. VXH has raised the number of production workers from 40 to 80. This has made the span of control for each manager larger. It has been hard for VXH to keep workers motivated. The Human Resources Manager must decide whether job rotation or financial bonuses is the better way to improve employee motivation.

Oct/Nov 2019

Identify and explain how MF’s four departments below are likely to be influenced by the launch of its new product. Marketing: Human Resources (HR): Operations: Finance:

Oct/Nov 2019

SRB is a bank that lends to business customers. SRB plans to make 100 managers’ jobs redundant across its 80 branches. This would eliminate one level of hierarchy. This forms part of its plan to cut $1m in costs over the next 2 years. The Managing Director stated: ‘SRB is discussing this plan with the trade union. SRB will rely more on delegation. The bank must react to tougher competition from online banks. SRB could either increase advertising or create new products and services.’

Oct/Nov 2020

Kane founded LFP 8 years ago. LFP produces high quality furniture. LFP imports 40% of its materials, including wood. Kane understands that business activity is affected by many external factors, such as employment levels and import quotas. Because demand is rising, LFP needs to hire 5 extra production workers. Kane is busy drafting a job advertisement. Well-motivated employees are important to LFP. Kane is deciding between raising wages and introducing profit sharing. Kane also believes that a clear organisational structure is beneficial for a business.

Oct/Nov 2020

Explain four duties performed by AD’s Operations Director.

Oct/Nov 2020

Explain four management functions performed by Kaari.

Oct/Nov 2021

DBG is a construction company. It constructs hospitals, roads and schools. DBG employs 2000 workers. The managers adopt a democratic leadership style. They understand that effective internal communication is important. DBG is planning to alter its organisational structure. As a result, some employees will be made redundant. The Managing Director must decide how changes in government spending could influence business activity.

Oct/Nov 2022

MRN operates as a food retailer. It has 490 shops and 70 000 employees. MRN has announced plans to shut 80 of its shops. The Human Resources Director stated: ‘20% of management jobs will be cut. We want to promote delegation.’ MRN will still comply with legal controls over employment. MRN’s directors understand that businesses need to react to increased competition.

Oct/Nov 2023

RSL makes paint by means of flow production. In the previous year, it produced 10 million litres of paint. RSL employs 6 managers and 80 workers in its factory. The managers adopt different leadership styles. For internal communication, RSL uses email and telephone calls. The Operations Manager wants to find out why some manufacturing firms are moving their operations to other countries.

Oct/Nov 2024

Explain two management functions for CC’s new manager.

Oct/Nov 2024

SBL is a fast-food restaurant that sells 900 chicken burgers per week and has 14 employees. The owner, Vicki, trains her staff but does not yet use delegation. She is drawing up a break-even chart to help work out SBL’s margin of safety. Fig. 3.1 shows a break-even chart that is only partly completed. Vicki also wants to understand how an economic recession could affect her business.

Oct/Nov 2025

Explain two advantages that ES gains from having a short chain of command.

Oct/Nov 2025