E2 Flashcards
(169 cards)
1
Q
The ‘digital revolution’ (sometimes known as Web 3.0) is a response to
the changing expectations of customers, very often driven by advances
in technology.
Required: Identify which THREE of the following are technological advances driving change in this way. • Increased demand for fast service provision • Data analytics and the cloud • Reduction in hardware cost • Global Internet access • Increased numbers of connected devices
A
Option 1 Increased demand for fast service provision
Option 2 Data analytics and the cloud - X
Option 3 Reduction in hardware cost
Option 4 Global Internet access - X
Option 5 Increased numbers of connected devices - X
2
Q
Which TWO of the following are key factors involved when establishing ‘cost architecture’ within the ‘cost model’ of residual value?
- Process efficiency
- Pricing policy
- Collection policy
- Activity levels
A
- Process efficiency - X
- Pricing policy
- Collection policy
- Activity levels - X
3
Q
Which of the following is not a stakeholder that will share a business’s residual value?
(Note: residual value here is the surplus between revenue and costs).
- The government
- Shareholders
- The firm itself
- The employees
A
- The government
- Shareholders
- The firm itself
- The employees - X
4
Q
Define the below and describe what situation they refer to:
- Hornets Nest
- Lions Pride
- Shark Tank
- Wolf Pack
A
These describe the different combinations of Orchestration and Complexity within the spectrum of ecosystem archetypes.
- Hornets Nest = Where high complexity and loose orchestration promotes fragmented competition
- Lions Pride = Where high complexity and tight orchestration motivate a winner-take-all mentality
- Shark Tank = Where low complexity and loose orchestration creates a turbulent environment
- Wolf Pack = Low complexity and tight orchestration promotes collaboration
5
Q
Stakeholder Analysis - Mendelow’s Matrix
- Explain the traditional approach to managing stakeholders
A
- Low Interest and Low Power - Minimal Effort
- Low Interest and High Power - Keep Satisfied
- High Interest and Low Power - Keep Informed
- High Interest and High Power - Key Players
6
Q
What does Contextualised Interaction mean?
A
Contextualised interaction means that customers expect a product or
service that is tailored to their own specific needs. The video streaming
service Netflix helps meets this demand by making recommendations on
programmes that are likely to be of interest to the viewer based on
historic patterns.
7
Q
Anji is considering buying a new laptop. She is doing some Internet
research, and has found a site called ‘techchoice.com’, which contains
descriptions of various laptops together with their technical specifications
and expert reviews. Anji has been asked to enter details about where
she lives, and why she wishes to buy a laptop. As a result, Anji has
identified the make and model of laptop she thinks she wishes to
purchase, because it precisely meets her needs and is available in her
area. The webpage has a link to another site, which provides
independent user reviews of that model. There are also links to the
relevant pages on the websites of the three retailers in Anji’s country
currently offering the lowest prices for that model.
According to the World Economic Forum/Accenture analysis, there are a
number of factors that drive customer demands in the digital era.
Required:
Examine the above statement and select which TWO of the following
‘drivers of customer demands in the digital era’ are being described.
• Contextualised interaction
• Self-service
• Peer review
• Seamless experience
• Transparency.
A
Option 1 Contextualised interaction - X Option 2 Self-service Option 3 Peer review Option 4 Seamless experience - X Option 5 Transparency
8
Q
An insurance company is regulated by the Financial Conduct Authority, it
has many rules that must be obeyed if penalties are to follow.
How should this stakeholder be dealt with within Mendelow’s matrix?
A Keep informed
B Obeyed as a key player
C Keep satisfied
D With minimal effort
A
C
Although the rules must be obeyed Mendelow defined a regulator as
having low levels of interest (unless provoked) and high levels of power
and should therefore be kept satisfied
9
Q
Alternative approaches to business models chapter
Under normal circumstances, should a business focus its value effort on Power, Urgency, Legitimacy or a combination of all 3?
A
A split between Power, Urgency and Legitimacy - in the middle of a Venn Diagram. However, there are circumstances where an urgent situation arises and may take precedent.
10
Q
In relation to value propositions, which of the following statements are
true?
(1) Value propositions for principal stakeholders should remain
unchanged for long periods to ensure trust is gained.
(2) A good value proposition doesn’t have to meet the needs of a
stakeholder as long as it is measurable.
A (1) only
B (2) only
C Both are true
D Neither are true
A
D
We live in a VUCA environment with change part of our almost daily
lives and whilst consistency is important the focus might have to change
regularly. Meeting the needs of a stakeholder is paramount, making
something measurable is a “nice to have”.
11
Q
Define ‘The Internet of Me’
A
Users are being placed at the centre of digital
experiences through apps and services being
personalised
12
Q
Define ‘Outcome Economy’
A
Customers want outcomes rather than just products
13
Q
Define ‘Platform (r)evolution’
A
Global platforms are becoming easier to establish and
cheaper to run, e.g. via the cloud
14
Q
Define ‘The Intelligent Enterprise’
A
Using data in a smart way enables organisations to
become more innovative and achieve higher degrees
of operating efficiency
15
Q
Define ‘Workforce Reimagined’
A
Whilst greater use is made of smart machines, the role
of human beings is not being removed altogether; they
are simply being used in a different way
16
Q
Explain the Digital Business Model - ‘Build’
A
Might be the best route
- When an opportunity is related to the company’s core business
- If the company can hire the necessary talent
E.g. General Electric launched GE Digital in 2015 to bring together all
its digital capabilities into one organization
17
Q
Explain the Digital Business Model - ‘Buy’
A
Usually the most appropriate
- When it is strategically important to ‘own’ a market
- Hiring the right talent is not possible
- The new opportunity bears little relation to the firm’s current
business model
E.g. UPS recently acquired Coyote Logistics, a highly innovative,
technology driven, non-asset based truckload freight brokerage
18
Q
Explain the Digital Business Model - ‘Partner’
A
When there is no strategic need to own.
E.g. Novartis and Google have partnered to develop a smart contact
lens for diabetics that monitors blood sugar levels
19
Q
Explain the Digital Business Model - ‘Invest’
A
Investing in interesting start-ups is often a valid option
- Allowing an established company to connect with the right skills
and capabilities.
- It will also avoid hindering entrepreneurial forces with a setup
focused on internal governance and reporting
E.g. Intel Capital was set up as a dedicated investment arm to make
investment decisions on the IoT
20
Q
Explain the Digital Business Model - ‘Incubate/accelerate’
A
A closer relationship to the funding company,
- Enables internal capabilities, infrastructure and resources to be
deployed to help the start-up
- Incubators and accelerators need to precisely outline both
internal benefits and incentives for start-ups and entrepreneurs,
and a clear strategy and vision.
E.g. Metro Accelerator helps start-ups through dedicated
programmes, mentoring, assistance with funding, etc
21
Q
Explain the Digital Operating Model - ‘Customer-Centric’
A
- Focuses on making customers’ lives easier
- Emphasizes front-office processes
E.g. Argos
22
Q
Explain the Digital Operating Model - ‘Extra-Frugal’
A
-Focus on providing high quality service at low cost
- Emphasizes ‘less is more’ culture and a standardized
organizational structure
E.g. Tyre manufacturer Michelin
23
Q
Explain the Digital Operating Model - ‘Data-Powered’
A
- Focus on prowess in analytics and software intelligence.
- Emphasizes an ‘agile’ culture focused on innovation through
empirical experimentation
E.g. Google and Netflix
24
Q
Explain the Digital Operating Model - ‘Skynet’
A
’ Focus on making intensive use of machines to increase
productivity and flexibility in production
‘ Emphasizes an ‘engineer-led’ culture dedicated to automation
E.g. Amazon, Rio Tinto
25
Explain the Digital Operating Model - 'Open and Liquid'
- Focus on creating an ecosystem that can enrich the
customer proposition
- Emphasizes a sharing culture with a constant flow of dialog to
the outside world.
E.g. Facebook, PayPal
26
What does 'Journey Management' mean?
The leadership team needs to be at the forefront of the cultural change
27
Define 'Disruptive Technology'
Instances where technology is used to fundamentally change and 'disrupt' the existing business model in an industry.
28
Outline, in the correct order, the 7-step process to build a 'digital workforce' as laid out in the Digital Transformation of Industries (DTI) project by the World Economic Forum.`
1. Attracting and retaining talent in the digital age
2. Becoming an employer of choice
3. Creating a workforce with digital skills
4. Bringing leadership into the digital age
5. Fostering a digital culture in the enterprise
6. Create environments where humans and robots can work successfully together
7. Integrate your on-demand workforce
29
When building a Digital Workforce, how would you - Attract and retain talent in the digital age?
- Foster a culture of transparency rather than resisting it
- Take note of what their staff are saying about their organisation via social
platforms such as Glassdoor, LinkedIn, and Twitter
- Introduce a referral programme
30
When building a Digital Workforce, how would you - Become and employer of choice?
- Formulate a long term working strategy for staff that maps out their possible career route i.e. Analyst, Senior Analyst, Manager
- Work with staff to formulate company values together
- Empower the workforce – and give them incentives to perform
- Build workspaces that attract digital talent
- Create policies that support collaboration and knowledge-sharing tools /
platforms such as Facebook@work, Yammer or Sprinklr
31
When building a Digital Workforce, how would you - Create a workforce with digital skills?
- Collaborate with educational establishments
- Training
- Mine your own organisation for hidden talent
- Bring new skills into the organisation
32
When building a Digital Workforce, how would you - Bring leadership into the digital age?
General recommendations
- Leaders need to adapt
- Flatter organisational structures
- Develop a culture that is more risk-tolerant and accepts failure
- Use more long-term goals
33
When building a Digital Workforce, how would you - Foster a digital culture in the enterprise?
What factors distinguish a digital culture from others?
- Having a strong mission statement and a clear sense of purpose
- Lean business structures, with small, cross-functional teams
- A diverse workforce with good digital skills.
34
Define the culture of a business.
Definitions of culture
- The shared set of beliefs, values and mind-sets that guide a
group’s behaviours.
- “The way we do things around here”
35
Outline the 5 common functions of management as identified by Fayol:
- Control
- Forecasting and planning
- Organising
- Co-ordinating
- Commanding
36
Outline Porters 5 Forces that may be used when analysing a company:
- Competitive Rivalry
- Threat of New Entrants
- Threat from Substitutes
- Power of Buyers
- Power of Suppliers
37
What are the generic strategies that Porter proposed to deal with the 5 Forces?
- Cost Leadership - Low Cost and Broad Target
- Cost + Focus - Low Cost and Narrow Target
- Differentiation - High Cost and Broad Target
- Differentiation + Focus - High Cost and Narrow Target
38
To be able to analyse the nature of management relationships, outline and explain the management concept - Power
The capacity to exert influence to make someone act according to their own preferences.
39
Individuals within the workplace have different relationships with each other. To be able to analyse the nature of management relationships, outline and explain the management concept - Authority
The right to exercise power.
40
Individuals within the workplace have different relationships with each other. To be able to analyse the nature of management relationships, outline and explain the management concept - Responsibility
The obligation of an individual to perform certain duties, tasks or make certain decisions.
41
Explain the management concept - Accountability
The need for individuals to explain and justify any failures to fulfil their responsibilities to their superiors in the hierarchy.
42
Individuals within the workplace have different relationships with each other. To be able to analyse the nature of management relationships, outline and explain the management concept - Empowerment
Employees are given autonomy and responsibility to undertake tasks without being directed at each step.
43
Individuals within the workplace have different relationships with each other. To be able to analyse the nature of management relationships, outline and explain the management concept - Delegation
A manager assigns part of their authority to a subordinate to fulfil their duties.
44
Individuals within the workplace have different relationships with each other. To be able to analyse the nature of management relationships, outline the 6 management concepts (do not explain):
- Power
- Authority
- Responsibility
- Accountability
- Empowerment
- Delegation
45
Outline the classical theory of management - Scientific Management (Taylorism - John F Taylor) is and explain the 4 principles
There is one best approach and employees are only focused on money
- Break down assignments into subtasks
- Delegate responsibilities and train workers
- Monitor performance
- Allocate work between managers and employees
46
Outline the classical theory of management - Bureaucratic management (Webber)
- Control should be strict and based on a hierarchy
- Formal and standardised
- Specialisation in duties
47
In classical theory, what are the positive and negative connotations of bureaucracy?
Positive
- Consistent level of work
- Equal treatment of all employees
- Very good control of output
Negatives
- Slow response to change
- Lack of speedy communication
- Little involvement of staff in decision making
- Rules stifle initiative and innovation
48
What are the criticisms of classical theory?
Classical theory makes it all too straightforward ignoring things like Human Relations, assuming money alone motivates, disregard for employee views on best practice etc
49
In the Human Relations theory on management, what is Maslows Hierarchy of Needs?
- Self-Actualisation
- --------- Ego/Esteem
- ------Social/Belonging
- ---------- Safety/Security
- ------ Basic/Physiological
50
In the Human Relations theory on management, what is and are Herzbergs Hygeine and Motivation Factors?
Hygiene factors must be met before Motivators have any effect.
- Hygeine: Elements that avoid dissatisfaction i.e. Company policy, Rate of Pay, Job Security, Teamwork
- Motivation: Elements that provide satisfaction i.e. Achievement, Personal Growth, Responsibility
51
In the Systems Theory on management - what is the Trist and Bamforth theory?
Technology when implemented must not inhibit the social interaction in the workplace.
Organisations must understand that people are still vital for their roles and cannot be overtaken by technology.
52
In the Contigency Theory on management - what is the Burns and Stalker theory?
There is no, one, right way to manage employees - is solely situational.
They distinguished between two different types of organisations (these are the ends of the spectrum):
- Mechanistic: focuses on productivity.
- Organic: focuses on people.
53
What is the difference between management and leadership?
Management is getting things done through the efforts of other, leadership is the process of influencing others to work willingly towards goals, to the best of their capabilities.
54
According to French and Raven, what are the 5 types of leader and how do they influence others?
- Charismatic – influence from personality
- Traditional – influence from social prejudice
- Situational – being in the right place and the right time
- Appointed – influence from the position held
- Functional – influence by doing things well
55
What are the 3 main styles of leadership and what do they mean?
According to Lewin, what are the outcomes of each?
- Autocratic (Authoritarian) - Do this now
- Democratic - Lets work together to solve this
- Free Rein (Lewin - Laissez faire) - You go and sort this out
- Autocratic (Authoritarian) - least productive and very frustrating.
- Democratic - most productive and satisfying.
- Free Rein (Lewin - Laissez faire) - medium productivity but not very satisfying.
56
What is McGregors theory?
What are the X and Y Theory's and which of the 3 main leadership styles compliment them?
That a leader will chose their style based on the great they are leading
- X Theory - people dislike work and need to be coerced. Autocratic is the best approach.
- Y Theory - managers assume that employees like work and are self motivated to achieve. Democratic is the best approach.
57
What is the Blake and Mouton Managerial Grid?
Looks at people-focused vs task-focused styles of leadership.
9
| 1.9 9.9
P |
E |
O |
P | 5.5
L |
E |
|
1.1 9.1
1 – – – – – – – – – – – – – – – – – – – 9
TASK
9. 9 - Team Style
9. 1 - Task Orientated
1. 9 - Country Club
5. 5 - Middle Road
1. 1 - Impoverished
58
What is the Contingency Theory for leadership styles? And what was Adairs contribution?
There is no one best approach to leadership - a good leader will change their style to suit the situation.
Adair suggested an 'Action-centered leadership' which added Individual needs to the original Blake and Mouton grid of Task and Group needs.
59
Describe the 2 distinct leadership styles identified by Fielder and discuss the 3 factors on influence.
2 styles of leadership:
- Psychologically distant managers (PDMs)
- Psychologically close managers (PCMs)
3 factors of influence:
- Leader/member relations
- Task structure
- Leader position power (the degree of formal authority given to the position)
60
Describe the 2 distinct leadership styles identified by Fielder and discuss the 3 factors on influence.
2 styles of leadership:
- Psychologically distant managers (PDMs)
- Psychologically close managers (PCMs)
3 factors of influence:
- Leader/member relations
- Task structure
- Leader position power (the degree of formal authority given to the position)
61
What is Benis's theory on Leadership?
Two types of leader:
- Transactional Leader - work is simply a term of trade. They fulfil their JD, they get paid. They tend to be more passive.
- Transformational Leader - goes above and beyond. Inspires, motivate and innovate. They tend to be more proactive.
62
With the impact that new technology has on traditional markets, what are the 4 traditional areas of change?
1 - Customer expectations
2 - New business models
3 - Market disruption
4 - New products
63
With the impact that new technology has on traditional markets, what are the 3 new environments?
1 - Connected and Open
2 - Simple and Intelligent
3 - Fast and Scalable
64
Define 'Business Ecosystem'
An ecosystem is a complex web of interdependent enterprises and relationships aimed to create and allocate business value.
65
What are the key characteristics of ecosystems that are shared with traditional markets? Break them down into 2 categories.
Participants:
- Role
- Reach
- Capability
Interactions:
- Rules
- Connections
- Course
66
What are the 2 key characteristics of a business ecosystem that distinguishes it from traditional markets and what do they mean?
Mutuality
- Ecosystems only exist because participants can deliver more value acting together for the mutual benefit. This results in higher levels of coordination, shared ideals, shared standards and shared goals, than in traditional markets.
Orchestration
- The coordination, management and arrangement of complex environments, their participants and interactions. May be formal or informal. There may or may not be an actual orchestrator.
67
Define Value Creation and Value Capture.
Value creation
- Bringing something of value into existence.
Value Capture
- The act or process of appropriating or allocating value.
68
In relation to Value Creation and Value Capture, what are the differences between traditional markets and business ecosystems?
Traditional markets
- Value creation is incremental. Value capture is additive, sequential and based on exchanges
Ecosystems
- Value creation is collaborative. Value capture reflects a networked, dynamic, everyone-to-everyone process of exchange
69
What makes regulating ecosystems so challenging?
- Ecosystems evolve
- Innovators find 'back doors'
- Speed of change
- Innovators cross lines of jurisdiction
70
What are 5 things that customers want in the digital age?
- Contextualised interactions
- Seamless experience across channels
- Anywhere, anytime
- Peer reviews/advocacy
- Transparency
- Self service
- Great service
71
What are the 4 methods of keeping ahead of customer needs?
1. Design thinking
2. Experimental pilots
3. Brand Atomisation
4. Prototyping
72
Within value creation, what are some characteristics of value?
- Short and long term
- Financial and/or non-financial
- Tangible and/or intangible
- Is about people
- Create shared value
- Not limited to the past
73
In value creation, what are the 5 key elements that must connect and align to create value at an appropriate cost?
1. Resources
2. Partners
3. Processes
4. Activities
5. Outputs
74
When capturing residual value, what is the cost model and what are the 4 key factors?
Cost architecture is established when defining value and involves 4 key factors:
1. Efficiency of the processes.
2. Levels of activity.
3. Resources consumed during activities.
4. Price paid for resources
75
When capturing residual value, what is the revenue model?
Prices should reflect the customer segments that the firm addresses, the market conditions in which it trades and any regulatory control in.
76
When capturing residual value, what does 'Sharing Residual Value' mean and what are some examples?
Shared value = shareholder value + value delivered to other stakeholders.
Examples:
- Government (taxes)
- Shareholders (dividends)
- Incentives for executives (bonus')
- Firm (retained funds for reinvestment)
77
What are the 6 aspects of management control? Give a brief explanation of each.
- Discipline: To achieve a change in the behaviour of employees
- Grievance: To provide a mechanism for employees to raise problems or concerns
- Staff Appraisal: To provide staff with feedback on their performance
- Fairness: To ensure the organisation acts in a fair and non-discriminatory manner
- Health and Safety: To provide and maintain a safe and risk-free work place
- Diversity and Equality: To have policies and procedures in place to ensure legal compliance
78
Outline what an organisation must do to adhere to Health & Safety guidelines. How many employees is the minimum for this to take effect?
The H&S at Work Act applies to all organisations employing 5 or more people, organisations must:
- Prepare and regularly revise a written statement of their H&S policy
- Ensure policy is implemented
- Bring this policy to the notice of employees
- Providing training, information and supervision
79
What is the aim of a disciplinary and what is the process?
The aim of discipline is to improve rather than punish
The Process:
Informal Talk > Oral Warning > Written Warning (up to 2) > Suspension > Demotion or transfer
80
When do grievances occur and typically for what reasons?
A griveance occurs when an empolyee feels they are being wrongly treated by colleagues or supervisors. Reasons include:
- Unfairly appraised
- Overlooked for promotion
- Discriminated against
- Being bullied
81
What is the Grievance procedure?
1. Discuss grievance with a colleague, HR or union rep
2. Grievance taken to immediate boss
3. Escalated upwards, HR informed
4. Colleague, HR or union rep permitted to be involved
5. Time limits set to resolve
6. Right to appeal to an Industrial Tribunal
82
What is an Industrial Tribunal and what are the three courses of action to resolve an issue without a Tribunal?
Industrial tribunals are independent, judicial bodies that are set up to hear employment issues. The three courses of action to avoid a tribunal are:
- Arbitration: Independent arbitrator listens to the issue and makes a decion.
- Mediation: Third party listens to the issue to reach a mutual resolution
- Conciliation: Used to build a positive relationship between the parties.
83
In what circumstances is dismissal normally fair?
- Employee conduct
- Employees capability or qualifications
- Role redundancy
- Statutory duty or restriction prohibited the employment being continued
- some other substantial reason
84
What are the grounds for redundancy?
- Cessation of business
- Cessation of business in the place where the employee was employed
- Cessation of the type of work for which he or she was employed
85
What is a Psychological contract and what are the 3 types?
The relationship between what the employees believed was expected vs what they expect in return. The 3 types:
1. Coercive - employees feel forces to contribute and view rewards as inadequate
2. Calculative - employee acts voluntarily and works in exchange for an identifiable set of rewards
3. Cooperative - employees contribute more than would normally be expected from them. They actively seek to contribute further to the achievement of company goals
86
Outline fairness in the workplace
Equal opportunities
- No discrimination
- Proactive action
- Disadvantaged groups
Diversity
- Maximising potential
- Relevant to all
Equity
- Expectations
- Commitment
87
What is culture, and what are 5 influences?
Defined as 'the way we do things around here'
1. Size
2. Technology
3. Diversity
4. Age
5. History
6. Ownership
88
What are Scheins 3 levels of culture?
1. Artefacts and creations = Can be seen, heard and observed
2. Espoused values = Identified from stories
3. Basic assumptions = Deeps embedded beliefs
89
What are the 5 types of power? Give a brief explanation.
```
Reward = Staff undertake tasks from people they could receive a reward from.
Referent = Where staff undertake tasks for their manager because they have respect for them
Coercive = Where threats are used by managers to get compliance from staff
Expert = Staff are influences because it is accepted the manager has knowledge for an area.
Legitimate = Staff listen to a manager because of their position in the hierarchy.
```
90
Which of the following statements are correct? Select all that apply.
A Authority can never be delegated
B The scope of responsibility must correspond to the scope of authority given
C Accountability is the ability to exercise influence
D Responsibility is the right to exercise power
E Responsibility can never be delegated
F Authority is the right to exercise power
B, E and F
- When delegating, authority must always be delegated but responsibility can never be delegated.
- Accountability is being called to account for one’s actions and results.
- The ability to exercise influence is power.
- Responsibility is the obligation of an individual to perform certain duties, tasks or take certain decisions
91
With reference to Burns and Stalker’s theory, match the following features to whether they relate to a mechanistic or an organic organisation.
A High degree of task specialisation
B Most suitable under stable conditions
C Employees recruited from a variety of sources
D Emphasis on loyalty and obedience
E Emphasis on task achievement
F More responsive to change
A High degree of task specialisation – mechanistic
B Most suitable under stable conditions – mechanistic
C Employees recruited from a variety of sources – organic
D Emphasis on loyalty and obedience – mechanistic
E Emphasis on task achievement – organic
F More responsive to change – organic
92
What is the 4 step process for a performance appraisal?
1. Target
2. Actual
3. Review
4. Action
93
Outline the 8 benefits that staff performance reviews give to organisations:
1. Fair process for rewards
2. Identifies candidates for promotion
3. Helps assess the competence of staff
4. Identifies training needs
5. Improves communication
6. A basis for HR planning
7. Provides clear targets
8. Monitors recruitment and induction process
94
Outline the 6 benefits that staff performance reviews give to employees:
1. Feedback about performance
2. Basis for remuneration
3. Opportunity to discuss future prospects
4. Identifies training and development needs
5. Identifies work of merit done in period
6. Provides formal opportunity for discussion
95
What are the 4 different types of performance appraisal?
1. Ranking: Employee is formally ranked based on pre-agree targets/previous performance.
2. Unstructured: Evaluators use an essay/short answer to grade employees.
3. Self-rating: Employees rate themselves on certain agreed criteria.
4. 360 approach: Manager will appraise employee, employee will then appraise the manager is they want.
96
What are intrinsic and extrinsic rewards?
Intrinsic = Rewards include feeling of satisfaction, being allowed to make higher level decisions etc.
Extrinsic = Separate to the job itself i.e. Pay, working conditions etc.
97
What are the 6 different types of incentive schemes?
1. Performance related pay (PRP)
2. Piecework (reward related to the pace of work or amount of effort)
3. Points system (range of rewards is available based on a point system derived from the sale of improvement made)
4. Commission
5. Bonus schemes
6. Profit sharing
98
When target setting, what are the 5 different types of target?
1. Volume of work produced
2. Knowledge of work
3. Quality of work
4. Management skills
5. Personal skills
99
When measuring performance, what is Druckers Management by Objectives (MBO)?•
```
Company targets and employee targets should be balanced - targets include:
• Profitability
• Innovation
• Market standing
• Productivity
• Financial and physical resources
• Managerial performance and development
• Worker performance and attitude
• Public responsibility
```
100
What is the Kaplan and Norton Balanced Scorecard?
Vision and Strategy
• Financial perspective - 'To succeed financially how should we appear to our shareholders?'
• Customer perspective - 'To achieve our vision how should we appear to our customer?'
• Learning and growth - 'To achieve our vision, how will we sustain our ability to change and improve?'
• Internal business process - 'To satisfy our shareholders and customers what business processes must we excel at?'
101
What are 4 benefits of mentoring when enhancing performance and what distinguishes it from coaching?
4 benefits:
- Improved motivation
- Development of skills
- Less staff turnover
- Faster career progression
Coaching, unlike mentoring, focuses on achieving specific objectives, usually within a defined time period.
102
What are the 4 types of groups?
1. Self-directed and autonomous groups (encouraged to manage own work/working practices)
2. Reference groups (one an individual does not belong to currently but wants to)
3. Formal groups (membership is normally formal, org typically split into depts and divs)
4. Informal groups (membership is voluntary/informal, members are dependent/influence/contribute to each other)
103
What are 4 advantages and 4 disadvantages of working in a team?
```
Advantaged
• Increase productivity
• Synergy
• Improve problem-solving
• Increased motivation
```
Disadvantages
• Conformity
• The Abilene paradox (team can end up with an outcome that no-one actually wanted)
• Risk(y) shift
• Groupthink (members reach consensus without critical evaluation to avoid conflict)
104
What is Tuckman's model of team development?
Forming > Storming > Norming > Performing > Dorming/Adjourning
105
What did Belbin outline as the 9 key roles for any team (not necessary for 9 people to be on a team, just 9 roles filled) and what is a short intro to the role they fill?
1. Coordinator - Leader, clarifies goals and delegates well.
2. Shaper - Challenges, promotes activity.
3. Plant - Creative, solves problems
4. Monitor evaluator - Strategic, sees all options/makes judgement.
5. Resource investigator - Outgoing and enthusiastic, explores and develops contacts.
6. Implementer - turns ideas into actions.
7. Team worker/Company worker - listens, averts team friction
8. Completer-finisher - delivers on time
9. Specialist (may be required)
106
Vaill claims that high-performance teams have the following 5 characteristics:
1. Clear purpose and objectives
2. Commitment to purpose
3. Teamwork
4. Clear and strong leadership
5. Creativity with innovation and new ideas
107
What 5 key aspects did Peters and Waterman identify in successful teams?
1. Small numbers
2. Limited duration
3. Voluntary membership
4. Informal and unstructured communication
5. Action-oriented
108
What are the three dimensions of distributed leadership?
* Shared purpose
* Social support (emotional and psychological strength to one another)
* Voice (team members voice)
109
What are the 6 most likely cause of conflict?
1. History
2. Different priorities and ideologies
3. Limited resources
4. Misunderstandings
5. Change
6. Beliefs
110
What is conflict and what are 4 symptoms of it?
Conflict is any personal divergence of interests between groups and individuals
```
Symptoms
• Hostility
• Lack of co-operation
• Frustration
• Time wasting
```
111
What are the 5 main ways to manage inter-group conflict?
1. Confrontation
2. Third party consultants
3. Member rotation
4. Superordinate goals (where two or more groups need to work to complete the goal)
5. Training
112
Which THREE of the following statements about distributed leadership are true?
• Distributed leadership is facilitated by the team members having a shared purpose, social support and a voice.
• Distributed leadership is also known as transformational leadership.
• Distributed leadership tends to be more vertical in nature while more traditional leadership tends to be more horizontal.
• Distributed leadership has been found to improve motivation and team performance.
• Distributed leadership involves the power base for a team being shared between a number of team members.
* Distributed leadership is facilitated by the team members having a shared purpose, social support and a voice.
* Distributed leadership has been found to improve motivation and team performance.
* Distributed leadership involves the power base for a team being shared between a number of team members.
113
What are 4 barriers to good communication?
1. Unclear message/mixed messages
2. Using jargon/emotive words
3. Omitting information/too much information
4. Wrong channel
114
Describe the Communication Process diagram and 4 different examples of noise?
---------------------------- Noise ---------------------------->
Sender > Encode > Channel > Receiver > Decode
< -------------------------Feedback-------------------------------
Different types of noise and how they may affect how a message is received:
1. Environmental/Physical (i.e. loud music or chatter)
2. Physiological (i.e. Blind/Deaf)
3. Semantic (i.e. Jargon)
4. Psychological (i.e. Anger/Sadness)
115
What point are key to have an effective meeting and what three members are required to oversee one?
1. Correct attendees
2. Suitable time and location
3. Agenda
4. Clear purpose
5. Discussion
6. Summarise results
7. Publish minutes
The three members required are: Facilitator, Chairperson, Secretary
116
What are Cialdini's six principles of Influence?
1. Reciprocity
2. Commitment (and Consistency)
3. Social Proof (i.e. Peer Pressure)
4. Liking
5. Authority
6. Scarcity (i.e. FOMO)
117
What makes Persuasion different to Influence?
Persuasion is a stronger form of influence. Influence can be direct/indirect/intention/unintentional - persuasion is always direct and intentional.
118
What are the 4 steps of a negotiation?
Preparation > Opening > Bargaining > Closing
119
What are the 2 types of conflict and what are they?
Horizontal - Between groups and departments at the same level
Vertical - Between individuals and groups at different levels in the hierarchy
120
What is the Thomas-Kilmann Conflict Mode Instruments (TKI) and whats its aim??
The aim is to depersonalise conflict in hope of a resolution
High
A ^
S | |
E | |
R | Competing | Collaborating
T | |
I | |
V | -------------------- Compromising ---------------------------
E | |
N | |
E | Avoiding | Accomodating
S | |
S | |
----------------------------------------------------------------------->
Low Co-operativeness High
121
What does Boyd suggest are the 5 skills required by transformational leaders?
1. Anticipatory Skills
2. Visioning Skills
3. Value-congruence Skills
4. Empowerment Skills
5. Self-understanding Skills
122
In order to deliver value to increasingly demanding customers, organisations must understand their different customer segments so that they can offer the most appropriate goods and services to each.
Which THREE of the following attributes are the most important when developing customer segments?
- Segments should be mutually exclusive.
- Segments should be measurable.
- Segments should be small.
- Segments should be easy to understand.
- Segments should be based on geography.
Segments should be mutually exclusive. ✓✓✓✓✓
Segments should be measurable. ✓✓✓✓✓
Segments should be small.
Segments should be easy to understand. ✓✓✓✓✓
Segments should be based on geography.
123
Which ONE of the following cultural features is not as suitable in the digital age?
A diverse workforce
Large specialist teams
Lean business structures
Small, cross functional teams
A diverse workforce
Large specialist teams ✓✓✓✓✓
Lean business structures
Small, cross functional teams
124
Using the key words, what is the definition of a project?
A project is a UNIQUE undertaking to achieve a SPECIFIC OBJECTIVE. It has a defined BEGINNING AND END. It has RESOURCES allocated to it. Once complete, it should become integrated into BAU.
125
What are the 3 main constraints for a project (also referred to as the Project Traingle)? What are 4 additional constraints?
3 main project constraints:
- Time
- Quality
- Cost
4 additional project constrains:
- Legal
- Ethical
- Environmental
- Political
126
What does Gido and Clements Project Lifecycle look like?
. | | |
** | | |
**** | | |
,***** | | %/ /% |
.******, | | .( ,( |
,*** | | . # |
,*** | | , %
E ,*** | | ( (
F ,*** | | *#
F ,*** Need | Solution *| Implementation | Completion
O ,*** | # | |
R ,*** | . | | .
T ,*** | .# | | *
,*** | .#, | | #
,*** | ,#, | | ,,
,*** ,%, | | | #
,*** %# | | | * ,.
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,************************************************************************************************************************>
TIME
127
What are PMI's 5 project management process areas?
Initiating ------> Planning
^ \
/ \>
Controlling < - - - - - > Executing
\
> Closing
128
What are the 5 areas looked into when a project is being assessed?
- Technical: Can it be done?
- Operational/social: Does it fit with current operations?
- Environmental: How does it affect the environment?
- Economic: Is it worth it?
- Time/Risk: Is there enough time, any risks uncontrollable etc?
129
Within project management, what are the outcomes when a feasibility study has been completed?
The two outcomes are accept or reject the project.
After a project is accepted, roles and plans
130
Explain the 4 outcomes from a risk assessment.
High
^
| |
I | Transfer | Avoid
M | |
P | - - - - - - - - - - - - - | - - - - - - - - - - - - - - - -
A | |
C | Accept | Reduce
T | |
| |
- - - - - - - - - - - - - - - - - - - - - - - - - - - - - - >
Low Likelihood High
131
What is a PID and what does it include?
A Project Initiation Document is a reference doc produced at the outset of a project for two reasons:
- For authorisation
- To act as a base documment
It should contain the following
- Purpose statement
- Scope statemebt
- Deliverables
- Cost and time estimates
- Objectives
- Stakeholders
- Chain of command
132
In a project, what are the problems if change is not managed and what are the steps in a good change process?
Problems if change is not managed
- Wasted time
- Project may not deliver expected benefits
- End users unhappy with deliverables
- Increased cost
- Causes confusion
The change process
- Method for prioritising changes requested
- Authorisation for changes
- Agreement on a change budget
- Recording of changes
- Communication of changes
132
In a project, what are the problems if change is not managed and what are the steps in a good change process?
Problems if change is not managed
- Wasted time
- Project may not deliver expected benefits
- End users unhappy with deliverables
- Increased cost
- Causes confusion
The change process
- Method for prioritising changes requested
- Authorisation for changes
- Agreement on a change budget
- Recording of changes
- Communication of changes
133
What does configuration management include?
- Version control, ownership and responsibility for documentation
- Authorisation and tracking procedures for any changes required to documentation
- Monitoring and control procedure to ensure only authorised documents and records are held
- Access control over project records.
134
Within project management, what is the importance of control?
- Prevention of deviations.
- Correction of deviations.
- Prevention of any future deviations, by revising plans, target, measures etc.
- Implementation of recommendations from monitoring, reviewing and evaluating the project
135
Within project management, what is Performance and conformance management?
Performance management is required throughout the project in order to assess the progress of each aspect of the project.
Conformance management focuses solely on quality control through inspection, testing and assurance.
136
What are the types of reports and meetings expected during a project?
Reports
- Exception report (only exceptions to the plan are reported)
- Progress report
Meetings
- Team meetings
- Project progress review meetings
- Project problem solving meetings
- Meetings with external parties
137
At the end of a project, what activities should happen and why?
Activities
- Project is delivered to users
- End of project meeting
- Formal sigh off of project
- Final report issued
- Project team disbanded
The main reasons this happens is to discuss what deliverables were met, full review of the project, documentation has been captured etc
3-6 months after completion, a PCE (post completion audit) will be done to review the success of the project as a whole as well as to receive the user's feedback on it.
138
```
According to Gido and Clements, during which phase of the project lifecycle would ideas be submitted and evaluated?
A Identification of a need
B Development of a proposed solution
C Implementation
D Completion
```
A Identification of a need
B Development of a proposed solution ✓✓✓✓✓
C Implementation
D Completion
139
Configuration management is designed to:
A track deviation from proposed deliverables
B track deviation from schedule
C track product changes and versions
D track co-ordination between different project teams
A track deviation from proposed deliverables
B track deviation from schedule
C track product changes and versions ✓✓✓✓✓
D track co-ordination between different project teams
140
What are the stages in a work breakdown structure?
Work Breakdown Structures (Break down project into manageable parts)
↓
Work Packages (Specifies work to be done)
↓
Statements of Work (Who is responsible)
↓
Project Breakdown Structures (Products required)
↓
Cost Breakdown Structures (Costing all of the above - forms the budget)
141
What does a project quality plan generally include?
- Risk assessment
- Project overview, requirements and organisation
- Monitoring and reporting procedures
- Key development stages and processes
- Key standards
- Testing strategy
- Procurement policy
- Configuration management
142
What is a Critical Path Analysis network diagram, what are the paths and circles.
Critical Path (must be done in time or project will be late). The activity line looks like ------|-|------>
Float/Slack (activities that need to be done but wont necessarily delay the project). The activity line looks like ---------->
Above the Activity Lines are the Activity sequence (A > B > C etc). Below the Activity Lines are is the duration expected for that section.
All lines MUST be straight, never bent/curved.
In between the activity lines are the nodes (circles). The notes are split into three sections:
- Left Half - Note identifier i.e. where in the CPA does it fall, 1 (1st), 2 (2nd)
- Top Right Half - EET (Earliest Event Time)
- Bottom Right Half - LET (Latest Event Time)
n. b. the EET/LET are cumulative numbers.
n. b. the first and last node must have the same EET/LET
143
What are the limitations and benefits of CPA
Limitations
- Time consuming for large projects
- Overly complex for short projects
- Difficult to use for less routine projects
Benefits
- Helps identify all activities required
- Identifies dependent activities and those that can run in parallel
- Identifies the activities on the critical path/activities with float (or slack)
- Highlights the minimum completion time for the project
144
What are the 4 ways that software can assist in project management?
- Planning
- Reporting
- Estimating
- Monitoring
145
What is a project management methodology?
A set of guidelines which defines methods and processes to be followed which should help the project be delivered successfully. It can be seen as a systematic and disciplined approach to project management.
146
What is PRINCE2?
Prince2 (PRojects IN Controlled Environments, version 2) is a process based approach to projects that has a number of control features:
- Clear structure of authority and responsibility
- Production of key products
- Project Initiation Document (PID)
- Budgets
- Project Plan
- Progress Reports
- Clear defined procedures
147
What are the 6 PRINCE2 process areas?
- Starting a project
- Initiation
- Managing stage boundaries
- Controlling a stage
- Managing product delivery
- Project closure
148
What is the PRINCE2 organisation structure?
Senior User Executive Senior Supplier (< All 3 = Project committee)
^
|
Project Assurance Team < - - - Project Manager < - - - Project Support
^ ^
/ \
Stage Team Leader Stage Team Leader
Project Assurance Team
- Business assurance co-ordinator
- User assurance co-ordinator
- Specialist assurance co-ordinator
149
What is the Project Management Body of Knowledge (PMBOK)?
1. Integration
2. Scope
3. Time
4. Cost
5. Quality
6. Human Resources
7. Communications
8. Risk
9. Procurement
150
In Project Management, what is the Project Evaluation and Review Technique (Pert) formula and what does it do?
(O+4M+P)/6
```
O = optimistic time
M = Probable time
P = Pessimistic time
```
The formula helps deal with risk and uncertainty when planning for time
151
What are the 3 methods of dealing with risk and uncertainty when planning for time?
1. PERT
2. Scenario Planning
3. Buffering
152
What are the limitations and benefits of Gantt charts?
Limitations
- Not as clear with dependable sections of the project i.e. doesnt show D is dependable on B & C, could assume its when resource is free
Benefits
- Easier visualisation of relationships
- Drawn to scale and uses real time
- Can show actual durations
- Helps in resource allocation
153
What is a 'Control Gate'?
A formal milestone that gives the project sponsor/board the opportunity to review the overall project progress and then decide whether to continue or terminate the project.
154
```
Which of the following are project management knowledge areas as defined by the Project Management Institute? Select all that apply.
A Communications
B Legal
C Leadership
D Procurement
E Integration
F Scope
```
```
A Communications ✓✓✓✓✓
B Legal
C Leadership
D Procurement ✓✓✓✓✓
E Integration ✓✓✓✓✓
F Scope ✓✓✓✓✓
```
155
Which TWO of the following statements regarding the PRINCE2 structure are correct?
A In the PRINCE2 organisation chart, the project manager reports to the project sponsor.
B The project committee is made up of senior user, senior supplier and project support.
C The PRINCE2 structure includes organisation, plans, controls, products, quality, risk management and control of change management.
D Initiation documents, budgets and progress reports are part of the PRINCE2 products.
E The project assurance team is made up of business assurance co-ordinator, customer assurance co-ordinator and supplier assurance co-ordinator.
A In the PRINCE2 organisation chart, the project manager reports to the project sponsor.
B The project committee is made up of senior user, senior supplier and project support.
C The PRINCE2 structure includes organisation, plans, controls, products, quality, risk management and control of change management. ✓✓✓✓✓
D Initiation documents, budgets and progress reports are part of the PRINCE2 products. ✓✓✓✓✓
E The project assurance team is made up of business assurance co-ordinator, customer assurance co-ordinator and supplier assurance co-ordinator.
156
In a project, what is the stakeholder hierarchy and which direction are 6 key elements?
```
Project Sponsor
↓
Project Owner
↓
Project customer/user
↓
Project manager
↓
Project team
```
From Top to Bottom ↓
- Project brief
- Funds
- Terms of reference
From Bottom to Top ↑
- Project proposals
- Schedules
- Status reports
157
What are the 4 main stakeholder roles and what are some of their responsibilities?
1. Project Sponsor
- Initiates the project and makes all major decisions
- Appoints the project manager and provides resources for the project
2. Project Owner
- The person for whom the project is being carried out
- Interested in the end result being achieved
3. Project customer/user
- The person or group whose needs the project should satisfy
4.
- Will carry our the work on the project under the leadership of the project manager
158
What are the characteristics of a good project manager?
Not Preparing The Projects Financial Plan Could Cause Disastrous Losses:
```
N egotiation
P lanning and control
T echnical awareness
P eople skills
F inancial awareness
P roblem solving
C ommunication
D elegation
C hange management
L eadership
```
159
Establishing an effective project management structure is crucial for its success, what is it called and what does it look like?
The Matrix Structure
Senior Management
- - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - -
↓ ↓ ↓ ↓
Production Sales Finance R&D
| | | |
PM A - - - - - - - - - -| - - - - - - - - - - - - - - - - - | - - - - - - - - - - - - -| - - - - - - - - - - - - - - | - - - -
| | | |
PM B - - - - - - - - - -| - - - - - - - - - - - - - - - - - | - - - - - - - - - - - - -| - - - - - - - - - - - - - - | - - - -
| | | |
PM C - - - - - - - - - -| - - - - - - - - - - - - - - - - - | - - - - - - - - - - - - -| - - - - - - - - - - - - - - | - - - -
| | | |
160
When is the Matrix Structure most suitable for Project Managing?
- The business tends to operate in a project environment
- Ongoing projects have a diff start and end date (staff can work on numerous)
- The projects are complex and expensive
- The projects are customer facing
161
```
The person responsible for approving the project plan is which of the following?
A Project manager
B Project owner
C Project sponsor
D Project user
```
C
The role of the project sponsor is to make all the yes/no decisions for the
project, including approving the project plan. Note: in larger scale
projects, there may be a project board. In addition the project sponsor
also supplies the funds for the project.
162
Which three of the following statements are true regarding the matrix structure?
A Requires centralised decision making
B Employees have dual reporting to managers
C The structure seeks to add flexibility and coordination
D Reduces the time spent in meetings
E Clear lines of responsibility
F Replaces formal control with direct contact
B, C and F
A drawback of the matrix structure is that there can be an increase in
time spent in meetings. In addition the lines of responsibility can be
confusing as members of staff have two reporting lines. The matrix
structure requires decentralised decision making
163
Which three of the following statements regarding the project manager are true?
A They must be effective communicators
B They must have all the technical skills required in the project
C They may have to negotiate on a variety of issues
D They must adopt the democratic style of leadership
E They are responsible for the project budget
F They must have change-management skills
A, C and F
Project managers do not require all the technical skills to run a project as
long as someone in the project team has the required skills.
In terms of the leadership style they adopt, the democratic style has
been shown to be effective. However the manager will have to make all
the decisions regarding the project and they may not be able to allow
team members to contribute to that decision making. They must adopt
the most suitable leadership style depending on the situation.
The responsibility for the project budget rests with the project sponsor.
164
A key role of any project manager is to build and lead the project team. When putting together a project team, Belbin’s model of team roles can be used. Which of the following statements relating to Belbin’s model of team roles is true? Select all that apply.
A The team worker is concerned about the relationships within the
team.
B A successful team requires at least eight members.
C The plant promotes activity in others.
D All of Belbin’s roles should be filled for an effective team.
E The implementer is practical and efficient.
F The completer/finisher is thoughtful and thought provoking.
A, D and E
According to Belbin, all of the team roles should be covered, but
members can hold more than one role, therefore a team does not need
to have exactly eight members.
The plant is the creative, ideas person in the team. The shaper promotes
activity.
The completer/finisher is the person who chases the progress of the
project, ensuring all documentation is complete and deadlines are met.
165
Which THREE of the following would be seen as disadvantages of the matrix structure?
Employees may be confused by reporting to two bosses.
Increased duplication of effort throughout the organisation.
Managers will spend a great deal of time in meetings.
Difficult for one specialist to appraise the performance of team members from other disciplines.
Difficulty in setting up multi-discipline teams.
Employees may be confused by reporting to two bosses. ✓✓✓✓✓✓✓✓
Increased duplication of effort throughout the organisation.
Managers will spend a great deal of time in meetings. ✓✓✓✓✓✓✓✓
Difficult for one specialist to appraise the performance of team members from other disciplines. ✓✓✓✓✓✓✓✓
Difficulty in setting up multi-discipline teams.
166
Assessing costs and benefits against plan, examining team roles and relationships, and assessing risk management practices, are all parts of which of the following?
Feasibility study
Progress review
Post-completion audit
Project initiation
Feasibility study
Progress review
Post-completion audit ✓✓✓✓✓✓✓✓
Project initiation
167
Employees are ______ stakeholders, while finance providers are _______ stakeholders.
- internal, connected
- external, internal
- connected, outsider
- internal, supplier
- internal, connected ✓✓✓✓✓✓✓✓
- external, internal
- connected, outsider
- internal, supplier
168
There are three common myths about digital transformation. Which of the statements does NOT describe one of the myths?
- Becoming a digital business is an administrative exercise that focusses on achieving operational efficiencies.
- Organisations who maintain a physical presence can never become fully digital.
- Organisations that are not digital already have missed their chance.
- Digital transformation can be successfully achieved just by creating a digital business unit headed up by a Chief Digital Officer.
- Becoming a digital business is an administrative exercise that focusses on achieving operational efficiencies.
- Organisations who maintain a physical presence can never become fully digital. ✓✓✓✓✓✓✓✓
- Organisations that are not digital already have missed their chance.
- Digital transformation can be successfully achieved just by creating a digital business unit headed up by a Chief Digital Officer.
