CH4: General Management

Question 2

What are the four primary management tasks?

Answer 2

Planning, Organising, Leading, and Controlling.

Question 3

Why is planning considered the first task of management?

Answer 3

It sets goals and strategies, aligning the organisation’s activities for efficient goal achievement.

Question 4

What are the three levels of planning and who is responsible for each?

Answer 4

Strategic – Top management
Functional – Middle management
Operational – Lower/middle management

Question 5

What are Porter’s three generic strategies?

Answer 5

Cost leadership
Differentiation
Focus strategy

Question 6

What is a turnaround strategy?

Answer 6

A strategic plan to reverse declining performance as soon as possible.

Question 7

What is the purpose of functional strategies?

Answer 7

To align departmental plans with business and corporate-level strategies and maintain competitive advantage.

Question 8

What are the seven steps of the planning process?

Answer 8

Awareness of opportunities
Define mission and vision
Develop planning premises
Identify alternative plans
Evaluate alternatives
Select plan
Convert plan to budget

Question 9

Why is budgeting important in the planning process?

Answer 9

It converts objectives into financial terms, allowing resource allocation and performance tracking.

Question 10

What is the goal of the organising function?

Answer 10

To structure tasks, resources, and people to implement plans efficiently and achieve objectives.

Question 11

What is multi-skilling, and why is it important?

Answer 11

Teaching staff to perform multiple tasks; it improves efficiency, reduces dependency, and supports leaner structures.

Question 12

What is the systems approach in organising?

Answer 12

Viewing the organisation as interconnected units that work together toward shared goals.

Question 13

How does organising link to the planning function?

Answer 13

It provides the structure and resource allocation necessary to implement the plan.

Question 14

What does ‘unity of command’ mean?

Answer 14

Each employee should report to only one supervisor to avoid confusion and conflicting instructions.

Question 15

What is ‘span of control’?

Answer 15

The number of subordinates that can be effectively supervised by a manager.

Question 16

Define ‘division of labour.’

Answer 16

Breaking down work into specialised tasks to increase focus, efficiency, and expertise.

Question 17

What is the role of coordination in an organisation?

Answer 17

To integrate tasks and ensure departments and teams are aligned with organisational goals.

Question 18

What is the difference between responsibility and authority?

Answer 18

Responsibility: Obligation to perform tasks.

Authority: Right to make decisions and command resources.

They must be balanced and clearly defined.

Question 19

What is departmentalisation?

Answer 19

Grouping related activities into units based on focus:

Functional (internal)

Product, customer, or geographic (external)

Question 20

Why is organising critical to management?

Answer 20

It provides structure, assigns accountability, facilitates coordination, and enables efficient execution of plans.

Question 21

What is leadership in a business context?

Answer 21

The process by which a person influences others to achieve organisational goals willingly and enthusiastically.

Question 22

What are the 5 types of power a leader can hold?

Answer 22

Legitimate – from formal position

Reward – ability to offer incentives

Coercive – power to punish

Referent – based on charisma/respect

Expert – from skills/knowledge

Question 23

Why is referent power considered personal power?

Answer 23

Because it’s based on admiration and trust, not formal authority.

Question 24

How can a leader manage themselves effectively?

Answer 24

Through:

Effective communication

Ethical behaviour

Initiative and time management

Objective focus and lifelong learning.

Question 25

Why is continuous learning essential for leaders?

Answer 25

It helps them adapt to change, improve performance, and guide teams effectively in a dynamic environment.

Question 26

What’s the key difference between leadership and management?

Answer 26

Management: Plans and controls resources to ensure predictable results. Leadership: Inspires and motivates people toward a shared vision and change.

Question 27

Can someone be a manager without being a leader?

Answer 27

Yes, but they may struggle to motivate teams or drive innovation. The best managers are also effective leaders.

Question 28

What is the purpose of the control function in management?

Answer 28

To ensure all organisational activities are carried out as planned, goals are achieved, and deviations are corrected.

Question 29

Name the 3 types of control and their focus points.

Answer 29

Pre-control – Inputs (e.g. raw materials) Concurrent control – Processes (e.g. manufacturing) Post-control – Outputs (e.g. product quality)

Question 30

What are the four steps in the control process?

Answer 30

Set performance standards Measure performance Evaluate performance Take corrective action

Question 31

Why is benchmarking used in controlling?

Answer 31

To compare organisational performance with industry best practices and identify improvement areas.

Question 32

What are the three types of managerial decisions?

Answer 32

Routine (low risk) Adaptive (medium risk, improvement-focused) Innovative (high risk, creative solutions)

Question 33

What is the first step in the rational decision-making process?

Answer 33

Define and diagnose the problem.

Question 34

Why is follow-up important in decision-making?

Answer 34

It ensures the decision was effective and allows for adjustments if needed.

Question 35

What does the shift to digital management involve?

Answer 35

Adopting digital tools for all business functions Hiring leaders with digital expertise Upskilling employees for the digital era

Question 36

Why is digital leadership important today?

Answer 36

To guide organisations through digital transformation and build a workforce capable of operating in the digital economy.

Question 37

What are the four primary management tasks?

Answer 37

Planning, Organising, Leading, and Controlling (POLC).

Question 38

Why are the primary management tasks considered interdependent?

Answer 38

Because they influence and support one another—planning guides actions, organising allocates resources, leading motivates execution, and controlling ensures alignment.

Question 39

How do supportive tasks like decision-making and environmental analysis relate to core management functions?

Answer 39

They enhance the effectiveness of the core functions by enabling informed planning, adaptable structures, proactive leadership, and accurate performance evaluation.

Question 40

What is the ultimate goal of integrating management functions?

Answer 40

To transform resources into competitive goods and services efficiently and effectively in a changing environment.