Unit 2 - People in business

Question 1

Motivation

Answer 1

is the reason why employees want to work hard and work e ectively for the business

Question 2

Wage

Answer 2

is a payment for work, usually paid weekly

Question 3

Time rate

Answer 3

is the amount paid to an employee for one
hour of work

Question 4

Piece rate

Answer 4

is an amount paid for each unit of output

Question 5

Salary

Answer 5

payment for work, usually paid monthly.

Question 6

Bonus

Answer 6

is an additional amount of payment above basic
pay as a reward for good work

Question 7

Commission

Answer 7

is payment relating to the number of sales made

Question 8

Profi t sharing

Answer 8

is a system whereby a proportion of the
company’s pro ts are paid out to employees

Question 9

Job satisfaction

Answer 9

is the enjoyment derived from feeling that you have done a good job

Question 10

Job rotation

Answer 10

involves workers swapping around and
doing each speci c task for only a limited time and
then changing around again

Question 11

Job enrichment

Answer 11

involves looking at jobs and adding tasks that require more and/or responsibility

Question 12

Team-working

Answer 12

involves using groups of workers and allocating speci c tasks and responsibilities to them

Question 13

Training

Answer 13

is the process of improving a worker’s skills

Question 14

Promotion

Answer 14

is the advancement of an employee in an organisation, for example, to a higher job/managerial
level

Question 15

Organisational structure

Answer 15

refers to the levels of
management and division of responsibilities within an
organisation

Question 16

Organisational chart

Answer 16

refers to a diagram that outlines
the internal management structure

Question 17

Hierarchy

Answer 17

refers to the levels of management in any
organisation, from the highest to the lowest.

Question 18

A level of hierarchy

Answer 18

refers to managers/supervisors/other employees who are given a similar level of responsibility in an organisation

Question 19

Chain of command

Answer 19

is the structure in an organisation which allows instructions to be passed down from senior management to lower levels of management

Question 20

The span of control

Answer 20

is the number of subordinates working directly under a manger

Question 21

Directors

Answer 21

are senior managers who lead a particular department or a division of a business

Question 22

Line managers

Answer 22

have direct responsibility for people below them in the hierarchy of an organisation

Question 23

Supervisors

Answer 23

are junior managers who have direct control over the employees below them in the organisational structure

Question 24

Sta managers

Answer 24

are specialists who provide support, information and assistance to line managers.

Question 25

Delegation

Answer 25

means giving a subordinate the authority to perform particular tasks

Question 26

Leadership styles

Answer 26

are the di erent approaches to dealing with people and making decisions when in apposition of authority - autocratic, democratic and laissez-faire

Question 27

Autocratic leadership

Answer 27

is where the manager expects to be in charge of the business and to have their orders followed

Question 28

Democratic leadership

Answer 28

gets other employees involved in the decision-making process

Question 29

Laissez-faire

Answer 29

leadership makes the broad objectives of the business known to employees, but then they are left to make their own decisions and organise their own work

Question 30

Recruitment

Answer 30

process from identifying that the business needs to employ someone up to the point at which applications have arrived at the business

Question 31

Job analysis

Answer 31

identi es and records the responsibilities and tasks relating to a job

Question 32

Job description

Answer 32

outlines the responsibilities and duties to be carried out by someone employed to do a speci c job

Question 33

Job speci cation

Answer 33

is a document which outlines the requirements, quali cations, expertise, physical characteristics, etc., for a speci ed job

Question 34

Internal recruitment

Answer 34

is when a vacancy is lled by someone who is an existing employee of the business

Question 35

External recruitment

Answer 35

is when a vacancy is lled by someone who is not an existing employee and will be new to the business

Question 36

induction training

Answer 36

is an introduction given to a new employee, explaining the business’s activities, customs and procedures and introducing them to their fellow workers

Question 37

On-the-job training

Answer 37

occurs by watching a more experienced worker doing the job

Question 38

O ff-the-job training

Answer 38

involves being trained away from the workplace, usually by specialist trainers.

Question 39

Workforce planning

Answer 39

is establishing the workforce needed by the business for the foreseeable future in terms of the number and skills of employees required

Question 40

Dismissal

Answer 40

is when employment is ended against the will of the employee, usually for not working according to the employment contract

Question 41

Redundancy

Answer 41

is when the employee is no longer needed and so loses their job. It is not due to any aspect of their work being unsatisfactory

Question 42

A contract of employment

Answer 42

is a legal agreement between an employer and an employee, listing the rights and responsibilities of workers

Question 43

Communication

Answer 43

is the transferring of a message from the sender to the receiver, who understands the message

Question 44

A message

Answer 44

is the information or instructions being passed by the sender to the receiver

Question 45

Internal communication

Answer 45

is communication between members of the same organisation

Question 46

External communication

Answer 46

is communication between the organisation and other organisations or individuals

Question 47

The transmitter or sender of the message

Answer 47

is the person starting o the process by sending the message

Question 48

The medium of communication

Answer 48

is the method used to send a message, for example, a letter is a method of written communication and a meeting is a method of verbal communication

Question 49

One-way communication

Answer 49

involves a message which
does not call for or require a response

Question 50

Two-way communication

Answer 50

is when the receiver gives a
response to the message and there is a discussion
about it

Question 51

Formal communication

Answer 51

is when messages are sent
through established channels using professional
language

Question 52

Informal communication

Answer 52

is when information is sent
and received casually using everyday language

Question 53

Communication barriers

Answer 53

are factors that stop e ective
communication of messages