Essay Type Questions The ONLY SOURCE TO BE USED: Management Principles A Contemporary Edition For Africa SMIT CRONJE BREVIS VRBA

Nr:  Question:Mark:Discuss the three main environments that make up the management environment.Your discussion should include:All the variables that make up each environment.9.20The level of control that the manager has over each environment.The influences that these environments had on South African managers in thepast 5 years.10.  Explain the main reasons why people generally resist change  10Explain the main features of each of the five stages in group and team development.11.Also indicate what the main role of the team or group leader would be during each20stage.12.  Discuss five of the characteristics of good corporate governance that were identified10by the King II report.Discuss the importance of the organising function in the management process. Refer13.to the necessity of organising to make the other management functions work10effectively.Discuss the challenges for management in each of the following features of the ‘neworganisation’:a.  Operating in a global economyb.  Virtual organisations14.15c.  Flatter and leaner organisational structuresd.  Flexibilitye.  Workforce diversityIllustrate how the management functions vary between the different  levels ofmanagement in terms of the responsibilities, competencies and roles of managers onthese levels. Use the following format for your illustration:Top  Middle  LowPlanning15.15OrganisingLeading

Controlling

Student

Number:

Summative Assessment

1

Management Principles

(Modules 1,

2

and

3

)

Assignment no. MAN

6

1S-123-1

SECTION A

/

5

0

SECTION B

/10

0

SECTION C

/50

TOTAL

/200

1

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6

Student Number:

SUMMATIVE ASSESSMENT 1 (MODULES 1, 2 & 3): MANAGEMENT PRINCIPLES

SECTION A: SHORT QUESTIONS

Question 1:

Select from


column A

the correct answer to match


column B

.

Match the management functions in column A with the descriptions in column B:

A Statement: B Nr: Your Answers:

a) Organising.

1.1

Determines an organisation’s vision, mission and

1.1

goals.

b) Controlling 1.2 Monitoring progress and taking corrective steps to

reach the mis sion and goals. 1.2

c)

Planning. 1.3 Motivating and directing employees. 1.3

d)

Leading

1.

4

Grouping together activities and allocating

1.4

resources .

Total question 1 /4

Question 2:

Select from

column A

the correct answer to match

column B

.

Match the management levels in column A with the descriptions in column B:

A Statement: B Nr: Your Answers:

a)Top managers 2.1 Implementing policies, plans and strategies. 2.1

b) Middle management 2.2 Spend the greatest portion of their time on leading. 2.2

c) First line managers or

2.3

Develop longer-term goals and strategies to reach

2.3

supervisors

them.

Total question 2 /3

Question 3:

Select from

column A

the correct answer to match

column B

.

Match the managerial roles in column A with the descriptions in colum n B:

A Statement: B Nr: Your Answers:

a) Interpersonal 3.1 Acts as spok esperson for the department 3.1

b) Decision making 3.2 Acts as negotiator about goals, standards of

performance

and resources. 3.2

c) Information 3.3 Act as figurehead and leader. 3.3

Total question 3 /3

2

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Student Number:

Question 4:

Read each statement carefully then state


true or false

in the space provided.

Nr: Statement or question:

Your Answers

A manager is considered competent if he or she has all the relevant knowledge

4.1

that is required to do the job of a manager.

4.2

Ecological forces influenced the evolution of management theories.

4.3

Frederick Taylor conducted the Hawthorn studies in the late 1

8

00’s.

4.4

Henri Fayol formulated 14 principles for effective management

The Hawthorne effect refers to the negative effects poor light has on workers’

4.5

performance

Six Sigma is a business improvement methodology that focuses on understanding

4.6

and managing workers’ requirements.

The individual organisation has limited control over the components of the macro

4.

7

environment but can have a strong influence on some of the variables.

Environmental scanning is necessary to determine whether factors in the

4.8

environment constitute a threat to the organisation’s mission, vision and goals.

When an organisation has to decide whether to centralise or decentralise

4.

9

authority, the skills of the lower-level managers have to be considered.

Tactical planning involves aligning the organisation’s internal environment with the

4.10

threats and opportunities caused by the external environment.

Total question 4 /10

Question 5:

Choose the


CORRECT

answer by selecting


a or b.

Your

Nr: Statement or question:

Answers

‘Ethnocentrism’ refers to the belief that …

5.1

a) One’s own group and culture must be placed first in decision making.

b) One’s own group and culture is inherently superior to other cultures and groups.

Job opportunities is an environmental …

5.2

a) output or

b) Input.

The social environment is part of the …

5.3

a) Micro environment

b) Macro env ironment

The changes in the environment impacts on management functions and eventually on the

5.4

a) performance or

b) culture of the organisation.

In the controlling function managers monitor

5.5

a) remuneration

b) progress.

Total question 5 /5

3

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Student Number:

Question 6:

Choose the appropriate


word or concept

for the following statements. Select only

one word from the list below for each statement and write down the corresponding letter


(a/b/c


etc.)

in the answer column.

a. Liquidity

b. Decision-making conditions

c. Activity

d. Decision-making tools

e. Characteristics of useful information

f. Service

g. Leverage

h. Failure analysis, call centres.

i. Profitability

j. Administration

Your

Nr: Statement or question:

Answers:

6.1 An organisation’s ability to meet its short -term obligations.

6.2 It looks at the source of the organisation’s capital.

6.3 The organisational function that is supported by office systems and pers onnel records.

6.4 It measures how well an organisation is using its resources.

6.5 It measures how well an organisation is managed.

6.6 Certainty, uncertainty, risk.

Total question 6 /6

Question 7:

Listed below are the forces of change that drive the need for organisations to

change.

Each one of these forces consists of certain components. Choose the appropriate


word


or concept

for the following set of components. Write down the corresponding letter


(a/b/c etc.)

in the answer column.

Force of change:

a. Economic and market forces

b. Technological forces

c. International forces

d. Social forces

Nr: Components

Your Answers:

7.1 Nepad, Common wealth of Nations, EU.

7.2 Business ethics, demographic trends.

7.3 Trade union activities, free trade globally, more countries join mark et.

7.4 New products, new and faster produc tion, internet.

Total question 7 /4

4
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Student Number:

Question 8:

Choose the

CORRECT

answer by selecting

a or b.

Nr: Statement or question:

Nr: Your Answers

8.1

One of the reasons why organising is necessary is …

8.1

a) departmentalisation or b) goal formulation

8.2

The narrowing-down of activities to simple, repetitive routines.

8.2

a) job design or b) job specialisation

__________

change.

8.3

People naturally

8.3

a) embrace or b) resist

Managers can respond to change either through reactive change or

8.4

8.4

a) planned change or b) forced change

Control systems is an element of the

________

area of organisational change.

8.5

a) structure or

8.5

b) technology

__________
area of organisational change.

8.6

Bureaucracy falls within the

8.6

a) structure or b) people

One of the reasons that people resist change is

8.7

8.7

a) Micro environment or b) Macro environment

One of the elements of the strategy area of organisational change is

_______

8.8

8.8

a) corporate combinations or b) decision mak ing

In organisational culture analysis (OCA), the condition that determines the

sharing of power is ___________.

8.9

8.9

a) commitment or b) collaboration

The perception that a group of people has certain collective characteristics is

known as

____________.

8.10

8.10

a) stereotyping or b) generalisation

Total question 8

/10

Question 9:

Fill in the


missing

words from the paragraph below:


Accountability…

Nr: Statement or question:

Nr: Your Answers:

9.1 has its roots in the

____a____

management theories, a)

9.2 in the division of

____b____

into parts, and explicit job specification. b)

9.3 and in explicit job

____c_____.

c)

9.4 Consistent with Taylor’s

d)

____d____

management,

9.5 employees are deemed

_____e_____

for the work under their control. e)

Total question 9 /5

TOTAL: SECTION A /50

5
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SUMMATIVE ASSESSMENT 1 (MODULES 1, 2 & 3): MANAGEMENT PRINCIPLES

SECTION B : ESSAY QUESTIONS

Nr: Question:

Mark:

Discuss the three main environments that make up the management environment.

Your discussion should include:

All the variables that make up each environment.

9.

20

The level of control that the manager has over each environment.

The influences that these environments had on South African managers in the

past 5 years.

10. Explain the main reasons why people generally resist change 10

Explain the main features of each of the five stages in group and team development.

11.

Also indicate what the main role of the team or group leader would be during each

20

stage.

12. Discuss five of the characteristics of good corporate governance that were identified

10

by the King II report.

Discuss the importance of the organising function in the management process. Refer

13.

to the necessity of organising to make the other management functions work

10

effectively.

Discuss the challenges for management in each of the following features of the ‘new

organisation’:

a. Operating in a global economy

b. Virtual organisations

14.

15

c. Flatter and leaner organisational structures

d. Flexibility

e. Workforce diversity

Illustrate how the management functions vary between the different levels of

management in terms of the responsibilities, competencies and roles of managers on

these levels. Use the following format for your illustration:

Top Middle Low

Planning

15.

15

Organising

Leading

Controlling

TOTAL:SECTION B

100

6
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SUMMATIVE ASSESSMENT 1 (MODULES 1, 2 & 3): MANAGEMENT PRINCIPLES

SECTION C : CASE STUDIES

C

1

ASE

STUDY

ABC company initially supplied businesses with exceptional quality textiles. Later on they started to supply

businesses with professional quality uniforms and also sports gear. They provide their customers with quality

products and services on time and on budget to enhance the image and performance of their customers ’

companies.

As the company grew, so did its workforce. From two people in a garage, their wholesale division has grown

from servicing a small localised mark et in Cape Town, to one that today meets the requirements of clients in

many other locations throughout South Africa.

The current organisational structure is designed around the different products. Although each manager knows

all the other products quite well, they each are responsible for one type of product only: Tim is in charge of the

industrial uniform section, Sally overlooks the sportswear section and Heather runs the textile division. All

three of them are competent with their section, but Tim for instance would have liked to be more involved in

the other sections as well.

To serve its widening markets the business needs flexible and well-trained staff that c an recognise the needs

of their customers. The employees work in a wide range of roles in both store and non-store functions, such

as:

Customer Assistants on the shop floor either directly assisting customers or preparing orders for delivery

to customers who have ordered online.

Department Managers leading a team of Customer Assistants

Warehouse employees who help catalogue and store clothing and textiles.

Office-based staff working in a range of functions at Head Offic e, including finance, purchasing, personnel

or marketing.

Logistic s staff who plan and carry out the distribution of products to stores.

Andy works in Sally’s department (sportswear) and manages a small team of customer assis tants who must

prepare online orders for delivery. He expects them to liaise with the customers before setting up the order, to

ensure maximum client satisfaction. As the team members are still new, they lack the necessary experience

and are not willing to take on the responsibility of liaising with the customers themselves. Currently this all

comes down to Andy, who then does not have sufficient time for his managerial duties. He intends seeking

advice in this regard.

Due to the business’s great success and customer demand, management have been thinking about

establishing an outlet in Durban. They have the opportunity to buy an existing warehouse in Durban for R 1,5

million. The other option is to rather invest an amount of R

800 000 in a new product range.

ABC must make a decision: should they buy the existing clothing retailer or is it better to invest an amount of R

800 000 in a new product range.

They did some investigation into the probability of success and failure of each option, and possible results .

With this information at hand, they decided to use a decision tree to help them with this big decision. The

estimated outcomes and probabilities are as follows:

They have two options:

A: Buy an existing business for R 1.5 m. B: Invest in new product range R 800 000.

Successful option A will give 20% gain, failed option A will give 10% loss. There is a 40% chance of success

and a 60% chance of failure for option A.

Successful option B will give 10% gain, 5% loss. There is a 50% chance of success and a 50% chance of

failure for option B.

7
Copyright © Business Management Training College (Pty) Ltd

QUESTIONS: CASE STUDY 1

Nr: Question:

Mark:

a. Draw up a

decision tree

to determine expected values for each option. Use the

5

results to decide which option to choose.

b. Identify the mission of ABC and translate it into at least 3 measurable, long-term goals.

4

c. Draw up a table or diagram to illustrate ABC business as a

system

that operates in a

16.

specific environment, by identifying:

inputs from the environment,

processing of inputs and

5

outputs to the environment.

a. What type organisational structure does ABC have currently?

1

b. What are the disadvantages of this structure for this spec ific organisation?

2

17.

c. The organisation has a vision of expanding the business and opening more branches

in different areas. Suggest a new structure for the organisation, that would fit in better

3

with their strategy. Motivate your choice.

18. Use the leadership cycle model to suggest the most effective leadership style for Andy. 10

Total case study 1 30

C

2

ASE

STUDY

Sportswear

Joe and Jane are customers of ABC’s. They own a sportswear retail s hop. Their shop is in an area that has

changed over the last five years form a once vibrant bus iness and retail hub with three large shopping centres

to a business environment focusing nowadays mainly on vehicle maintenance and support services.

The rental cost in the area is very competitive in comparison to other new shopping centres in the vicinity.

Various new and exciting shopping centres in the neighbouring suburbs have opened their doors. The

business was exceptionally successful, but has experienced an average annual drop in sales of 10% during

the past four years.

Joe is convinced that the decline in turnover can be attributed to the drop in customer traffic in the shopping

centre. Competitors are opening new stores in other suburbs. There are currently two similar stores who are

extremely price competitive and provide a variety of goods at lower prices.

Joe has lowered the prices of their popular products since the beginning of last year. Although sales

increased by 15% during the previous year, profit dropped by 5%. During December, two shop owners in the

area were gunned down.

QUESTIONS: CASE STUDY 2

Mark:

Nr: Question:

i. What external factors are influencing the succ ess and survival of the sportswear shop

in the s hopping centre?

19.

6

ii. What factors should they have considered in their strategic planning?

4

Total case study 2 10

8
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C

3

ASE

STUDY

(From Business Management—a value chain approach by Gideon Nieman and Alf Bennet)

When Esk om had started the shutdown of the Highveld power station in 1958, one of the small towns in the

Free State became a ghost town.

The shutdown caused the number of residents to shrink from 2000 to about 463.

Esk om stated that the power station could no longer c ontinue to operate because of the rising labour and

maintenance costs.

QUESTIONS: CASE STUDY 3

Nr: Question:

Mark:

a. Explain what changing environmental conditions could have caused the shutdown of

the power station.

5

b. Explain from the viewpoint of a retailer, how environmental conditions caused the town

to be closed.

20.

3

c. How do you think the changes in the environment affected the operations of a

2

vegetable farmer?

Total case study 3 10

TOTAL:SECTION C

50

TOTAL OF ASSIGNMENT : 200

9
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