SECTION II- INTERNAL ORGANZATION ENVIRONMENT Flashcards
(29 cards)
What are the FUNCTIONAL AREAS OF BUSINESS
Production- this function is concerned with the making of goods and its activities include
purchasing raw materials, making the product and maintaining product quality.
Marketing-this function is intended to not just sell firms products but to make the public aware
of them and includes conducting sales and product advertising.
Finance-this is concerned with the proper management of the firms capital including keeping
proper accounts, payment of wages and salaries and investing funds wisely.
Human Resource-this involves dealing with all matters concerning the welfare of all employees
such as working conditions, training and insurance.
Research and Development- this department is created to gather data that a business could use
to boost sales and create new products to make and sell.
Social-this function is designed to improve the firm’s image through the organization of events
such as seminars and sports days
What is a manager
The persons that
are hired to be in charge
What is management
Management is the art of directing human activities towards the aims , goals and objectives of
the business.
What are the functions of management
Planning- deciding the aims of each department, strategies to achieve them and who within the
offices should do what work.
Control-checking or monitoring each persons work to ensure it is being properly done.
Directing-giving workers orders or telling them what to do.
Motivating- giving employees the encouragement to do their best.
Organizing-ensuring the resources of the department are in place.
Delegating – passing down to subordinate responsibilities.
Co- ordinating- bringing together in harmony the many activities being done within the office
Who do managers have a responsibility for
Owners/shareholders-make sure the firm is profitable and is cost effective.
Customers-prices are affordable. Goods are of a proper quality and service is efficient.
Employees-work environment is safe, conditions of work are appropriate and remuneration is
appropriate.
Society/Environment-smoke and noise is reduced and the operations of the firms do not
negatively affect the residents around the area of the firm.
Government- the firm pays its taxes on time and it operates within the law.
What is leadership
The act of leading a group of people or an organization.
What is Autocratic/Authoritarian style
the leader makes and takes decisions without
consultation.
What is Employee Centered/laisse faire style
such a person allows subordinates to does they please and to
make their own decisions.
What is Democratic style
allows the leader to listen to the views of workers and together arrive at
a decision.
What is Bureaucratic style
the leader is guided by an only follows the organizational rules.
What is Charismatic style
this leader uses his/her charm and personality to get subordinates to follow.
What are qualities/traits of a leader
Honesty
Integrity
Dedication
Patience
Commitment
Knowledgeable
Tact
What is organization
The way in which a firm is run.
What is the two types of organization
Formal
Informal
What is formal organization
this is the official manner in which all work and relationships within the business are
done. It consists of rules and regulations by which all employees must abide.
What is informal organization
this is the unofficial way of doing things within a firm. It is based on friendship
employees develop working together overtime.
What is organization structure
describes the framework within the firm in which working relationships are arranged.
What are the 4 main types of structures
Line- in his structure, working relationships floe from the top to the bottom of the organization
based on authority with the highest position at the top and lowest beneath.
b. staff- this is a variation of the line structure to which are added specialist employees that are
given rank but no authority over others below the organization.
c. functional- this structure shows organization based on the types of functional areas of work performed
within the firm.
d. Committee- this is a temporary structure within the organization created to perform a particular
activity which when completed would result in the break up of it.
What is span of control
The number of subordinates under the authority of a manager.
What is chain of command
The lines authority follows[indicated by vertical lines].
What is conflict
A clash of forces
What is the causes of conflict
Low pay
Poor working conditions
Jealousy and envy
Bias
Personality clash
What are the effects of conflict
Loss of motivation
Workers may leave the organization
Productivity level will fall
Business cost will rise
What are ways employees deal with conflict
Report the matter to someone in authority
Leave the organization
Join a trade union to represent themselves on the issue.
