Please enable JavaScript.
Coggle requires JavaScript to display documents.
Unit 2: People in business, Unit 1: Business Activity - Coggle Diagram
Unit 2: People in business
motivations
well motivated workers - job satisfaction ^ - productivity ^ - increase output - profits ^
unhappy workers. - don't work effectively - low output - low profits
why are well motivated employees important?
higher productivity
improved quality
lower labour turnover
lower absenteeism
industrial actions are less likely
3 ways to increase worker motivation
providing safe comfortable working environments. If worker is working in bad environments, this can take a toll on their mental and physical health which could make them less motivated
rewarding workers when they do excellent work. If bonuses are offered to workers who do good work then it gives workers something to strive towards.
long breaks and good working conditions, working 8 hours a day with no breaks then they will become tired, stressed and take toll on mental health. Grow a hatred to their job and become demotivated
Financial Motivators
wages
time based wages
piece rate
salaries
commission
profit sharing
bonus
performance related pay
share ownership
fringe benefits
employee discounts
company car
pensions
Taylors Scientific Management
assumes all workers are motivated by money
workers paid 'piece rate'
paid more = work more effectively
Maslows Hierarch of needs
self actualisation
esteem needs
social needs
safety needs
physiological needs
Herzberg's 2 factor theory
humans have 2 sets of needs: hygiene and motivators
hygiene factors
job status
job security
working conditions
company policies and administration
relationships at work
motivators
achievement
recognition
personal growth
advacement/promotion
the work itself
organisation and management
organisational chart
employees arranged in a hierarchy based on their role, responsibilities and relationship with other employees
advantages
employees are aware of their position - gives sense of belonging
shows all relationships and communication channels
flat structure
benefits
quicker communication
management more in touch with the people below them
Span of control wider
more delegation, workers feel more trusted and may get to make more decisions
problems
fewer management positions, less chance of promotion
difficult for manager to monitor performance
tall structure
benefits
more managers, easier to monitor employee performance
more chance of promoting, motivating
problems
communication takes longer
more managerial positions, higher salary costs - business can cut this by delayering a management
directors
appointed by shareholders
Hold AGM to review progress
set vision, strategy and structure of business
work closely with managers and shareholders to ensure business is achieving its objectives
Managers
in charge of the employees and the business
assign tasks and roles
monitor progress
relay messages between directors and employees, work closely with supervisors
supervisors
normally in charge of a small group of people responsible for a task
less responsibility than managers
work closely with employees and supervisors
other employees
have a duty to complete their set roles and tasks to right standard
may give feedback to managers and supervisors
roles of management
Planning
set aims and objectives of business
give business sense of direction and purpose
plan for resources needed
organising
organise people and resources
make organisational chart
coordinating
making sure different departments in company work together
controlling
measure and evaluate work done by everyone in company
find employees not doing work and discipline
find ways to maximise efficiency
Unit 1: Business Activity
Unit 1.1 - Needs vs. Wants
Want - a desirable service of product, that is not essential for living
Need - a service or product essential for living