BBDM1043 Principles of Management

Topic 1: Managing and Performing

1. Describe the FOUR (4) challenges that faced by business organizations today.
(12 marks)
Answer:

Every organization needs to establish several goals(确立几个目标) and objectives in order

to continue competing( 竞 争 ) and existing(sedia ada) in the industry. Management
activities can assist(membantu) organizations to achieve these goals and objectives.
However, management is a challenge that requires the knowledge and skills to adapt to new
circumstances(keadaan). Currently, there are four challenges that are faced by business
organizations which are globalization, technical changes, knowledge management, and
collaboration across boundaries (kerjasama merentas sempadan).

Globalization
All enterprises nowadays are global that consist(terdiri) of offices and production facilities
in many countries all over the world. If a company wishes to expand its business, it will
need to involve itself in international markets. An example of how to achieve business
growth is that a small company can export their goods and domestic( 国 内 的 ) firms will
assemble(集合) their products in other countries.

There is very intense competition (激烈的竞争) in the international market. So in the face
of intense competition( 激 烈 的 比 赛 ), it resulted in companies being under pressure to
improve their products. The management of these companies will need to find the best way
to manage their respective(各自) firms in order to compete(竞争) and survive in the global
market.
Examples of the world’s most admired (dikagumi) companies according to Fortune
Magazine are McDonald’s, Coca-Cola, Pepsi, and Volkswagen.

Technological change

Technological change occurs due to the impact of the internet. The internet drives down(压
低) costs and speeds up globalization. It brings a lot of benefits to businesses and improves
the efficiency during the decision-making process. Technological progress is a key driver of
improvements in incomes and standard of living. Therefore, companies are required to
speed up their digital technology adoption(数字技术采用).

Knowledge management
Knowledge management involves the capturing and sharing of information among
individuals in an organization. It’s about discovering 发现, encrypting 加密, spreading, and
fully utilizing 充分利用 a company’s most valuable resources (such as people’s knowledge,
talents, experience, and connections. It also includes practices for identifying and utilizing
利用 a company’s knowledge assets 资产, such as employees with knowledge which could
give ideas and have problem-solving skills. Managers cannot simply list 简 单 地 列 出 or
quantify(mengukur) the performance of a knowledgeable employee because employees with
 education are most encouraged 鼓励 whenever the task is enjoyable, not just because the
manager has hung a candy 挂了一颗糖 in front of them.

Collaboration across organizational boundaries(Kerjasama merentas sempadan

organisasi)
Collaboration across organizational boundaries is the joining of forces to achieve goals that
independently 独立地 cannot be reached. To be productive and efficient 多产和高效, the
company needs productive communications 有 成 效 的 交 流 such as having information
exchange throughout different departments, sections, or other subgroups. Moreover,
consumers can be one of the partners too by giving feedback for improvement and it is vital
重要 for firms to recognize(mengenali) this.

2. Explain FIVE (5) successful fundamentals drivers of performance 成功的基本绩效驱

动力. Support your answer with appropriate examples.
(15 marks)
Answer:

To survive and win over time in any industry, companies have to gain 获 得 and
sustain （ mengekalkan ） advantages over their competitors 竞 争 对 手 . Therefore,
managers must deliver performance in order to succeed. There are five successful
fundamentals drivers of performance which are innovation 创新, quality, service, speed,
cost competitiveness 成本竞争力, and sustainability(kelestarian).

Innovation
Innovation is the introduction of new goods and services. Innovation is the practical
implementation(pelaksanaan praktikal) of ideas that result in the introduction of new
goods or services or improvements in existing goods 现有商品 or services. Company must
adapt to consumer needs that are constantly changing 不 断 变 化 and facing new
competitors that are entering the market. Organizations will also need to learn new
techniques when interacting with consumers 与 消 费 者 互 动 。 . For example, Tealive
innovated boba milk tea ice cream with boba to attract more boba or milk tea fans’
attention.

Quality
In general, quality is the excellence of a company’s product (goods or services). Quality
also refers to how good something is compared to other similar things. Consumers are
actively looking for high-quality products and services. Physical attraction 身体吸引力 ,
lack of flaws 没有瑕疵, dependability(kebolehpercayaan), and long-term reliability 长期
可 靠 性 are all factors that need to be considered 经 过 考 虑 的 . As an example, Ikea
understands what people are demanding 要求严格 in today; affordable prices 负担得起的
价格, long-term durability 长期耐用, design, purpose 目的, and quality in one package.
They discovered 发 现 a method to do it and demonstrated 证 明 their ability 能 力 to
comprehend 理 解 the needs of their multinational customers 跨 国 客 户 a one of the
world’s most well-known companies 知 名 企 业 . Ikea tends 倾 向 于 to keep the same
 elements, although the room sets vary 各不相同 from each store to accommodate 容纳
local customer needs. For instance, a traditional Japanese floor covering, will be featured
精选 in Japan. Ikea have completely changed the way we shop by inventing 发明 a brand
new family-friendly idea.

Service
Service means giving customers what they want or need, when they want it. Service can
also be defined 定义的 as the speed and dependability（kebolehpercayaan） with which
an organization delivers what customers want. So, service is focused on continually
meeting the needs of customers to establish 建 立 mutually beneficial long-term
relationships. As an illustration, Apple has a brilliant team of skilled service providers.
Apple only hires the finest of the best in their field(terbaik daripada yang terbaik),
ensuring that when they need to troubleshoot(menyelesaikan masalah) a product, their
employees will truly understand what they’re talking about. Apple’s
attentiveness(perhatian) to customers and in-depth knowledge(pengetahuan yang
mendalam) result in a truly exceptional(sungguh luar biasa) customer experience.

Speed
Speed refers to fast and timely execution(perlaksanaan), response, and delivery. It is the
turnaround time between customers ordering a product or service and the point at which
they receive it. If a company delivers the goods or services on time, the customer will
more likely be satisfied(berpuas hati) with their experience. For example, Google
improves its search product at a rapid rate. Speed is also a strategic imperative 战略要务
for the auto industry.

Cost competitiveness 成本竞争力

Cost competitiveness means keeping costs low enough so that the company can realize 意
识 到 profits and price its products (goods or services) at levels that are attractive to
consumers. Cost is an important factor for companies which compete 竞 争 directly on
rates(pada kadar). The companies must keep the costs low to achieve profits and be able to
offer prices that are attractive to consumers. This is because consumers nowadays can
easily compare prices of the products on the Internet. The lower a company’s production
costs, the lower it can have its customer-facing prices. For example, Walmart introduced a
computerized system to keep costs down by scheduling store employees 安排商店员工
more efficiently.

3. Differentiate between top-level, middle-level and bottom-level management.

(10 marks)
Answer:
The term ‘levels of management’ refers to a line of distinction 区别 between various 各种
各样的 managerial positions in an organization. Levels of management determine a chain-
of-command( 指 挥 链 ), which is the amount 权 威 of authority and status enjoyed by
managerial positions. Levels of management can be classified 分 类 into three broad
categories, namely the top-level management, middle-line management, and bottom-line
management.
Top-level management
The top level management of an organization comprises a comparatively 包含 small group
of people. Top level management is responsible for the overall management of an
organization. These people are called executives 行政人员. They establish 建立 operating
policies 政 策 and guide the organization's interaction with its environment. Top level
management functions to provide an overall direction for an organization and develop
relevant goals and strategies for its operation. Time is chiefly spent 主要花费 on planning
and leading 领 导 . Communication is carried out with key stakeholders(pihak
berkepentingan), such as stockholders 股 东 , unions and governmental agencies(kesatuan
sekerja dan agensi kerajaan). Sometimes, top level management is responsible for the use of
multicultural and strategic action 多元文化和战略行动 competencies 能力 in leading the
organization towards its goals. Typical job titles held(diadakan) by top level managers are
Chief Executive Officer (CEO), President, Vice President and so forth. 副总裁等。

Middle-level management
The term 'middle management' can refer to more than one level of management in an
organization. Middle level managers direct the activities of lower level managers and
sometimes those of operating employees as well. The principal responsibilities 职 责 of
middle level managers are to direct activities which implement(melaksanakan) their
organization policies 政 策 and balance organizational demands 平 衡 组 织 的 要 求 on
managers with the capacities of their employer. 他们雇主的能力
Middle level management is also responsible for setting objectives that are consistent 是一
致 的 with top level management goals, and translating those goals into specific
goals(matlamat tertentu) and plans for the implementation(pelaksanaan) of lower level
managers or first-line managers. Besides that, they are also responsible for coordinating
activities(aktiviti penyelarasan) for first-line managers and establishing(penubuhan) target
dates for products or services to be delivered, apart from coordinating(menyelaras) with
others for resources.
Middle level managers rely 依 靠 on communication skills, teamwork, planning
capabilities(keupayaan merancang) and certain competencies 某 些 能 力 to achieve goals.
Their roles are considered 经过考虑的 most important as they connect the top and lower
level managements. Job titles usually designated to middle level managers are Production
Manager, Marketing Manager, Finance Manager, Personnel Manager 人 事 经 理 , Senior
Executive Officer and so forth.

Bottom-line management
The lowest level of management where individuals are responsible for the work of others is
termed 称为 'first-line management' or 'bottom-line management'. First-line managers direct
non-management employees, but do not supervise 监督 other managers. They are directly
responsible for the production of goods or services, and spend little time with top level
managers in large organizations. First-level managers are often called 'supervisors'监事.
Technical expertise(Pakar teknikal) is important for lower level managers. They rely on
planning and administration(management), self-management, teamwork and
communication competencies 沟通能力 to get work done. They concentrate(menumpukan
perhatian) on making short-term plans or operational plans. Examples of first-line managers
are the foreman 领班 or production supervisor of a manufacturing plant (kilang pembuatan),
 the technical supervisor of a research department, the clerical supervisor(penyelia
perkeranian) of a large office and so forth.

4. Explain the THREE (3) types of management skills in an organization.

(10 marks)
Answer:
A manager must have three basic managerial skills to manage the resources of an
organization. These three skills are essentially(pada asasnya), but its importance mainly
depends on the manager’s rank in an organization. The three types of management skills are
as follows:

Technical skills

Technical skill is an ability 能 力 to utilize job-specific knowledge(menggunakan

pengetahuan khusus pekerjaan) of tools, techniques, and procedures which are specific to a
particular field to perform a task(bidang tertentu untuk melaksanakan tugas). This skill is
the most important for lower level management. Managers initially acquire 最初获得 this
skill through formal education, and then develop it further through training and job
experience. Common examples of technical skills include marketing, accounting, and
manufacturing.( pembuatan)

Interpersonal and communication skills 人际关系和沟通技巧

Interpersonal and communication skills are sometimes known as human skills or people
skills. It can be defined 定义的 as an ability 能力 to work effectively with one’s own work
group as well as others in an organization. The most important people skills are the ability
to lead, motivate 激励, and communicate effectively. However, although they are important
for managers at all management levels, they are primarily(terutamanya) needed by middle-
line managers. People skills emerge(muncul) in the workplace as trust, enthusiasm and
genuine involvement 热情和真正的参与 in interpersonal relationships 人际关系.
A manager with good people skills has a high degree of self-awareness(kesedaran diri). He
or she is capable(berkemampuan) of understanding or empathizing 感同身受 with other’s
feelings. Some managers are naturals and great at human skills. Others, on the other hand,
have to improve their people skills through classes or experience.

Conceptual and decision making skills(Kemahiran konsep dan membuat keputusan)

Conceptual skill(Kemahiran konsep) is an ability to analyze 分析能力 and diagnose(诊断) a

situation to determine its causes and effects. This skill is also defined 定义的 as an ability to
process information from both internal and external environments 内部和外部环境 of an
organization and determine their related implications 它们的相关含义.

An example of conceptual skill 概念技能 is the analytical skill 分析能力. Analytical skill
enables a manager to break problems into smaller parts in order to understand the relations
among parts, and to recognize the implications 认识到影响 of any one problem to another.
This skill also allows the manager to identify(mengenalpasti) an organization’s strengths,
weaknesses, opportunities and threats 机遇与威胁, and empowers 授权 him or her to lead
the organization towards its goal.
Topic 2: Historical Foundations of Management

1. Explain the concept of bureaucracy organization 官 僚 组 织 . Provide any THREE (3)

advantages and
TWO (2) disadvantages of this approach.
(15 marks)

Answer:

The concept of bureaucracy organization was introduced by Max Weber that proposes 建议
that all business tasks must be divided equally among the employees in an organization. This
means that employees will have a clear specification 明确规范 of tasks allocated 分配的 to
them alongside(bersama) with its authority and responsibilities(tanggungjawab). In a
bureaucracy organization, the structure of the organization in which the position of
personnel(kakitangan) plays an important role in determine the authority within the
organization. The management level of the organization will hold the most authority within
the organization and will impose rules(mengenakan peraturan) and procedures that all
employees must follow to ensure that the organization can function well.

Advantages

 Promotes efficient performance of operations and lessen errors made(

mengurangkan kesilapan yang dilakukan)
An advantage of a bureaucracy organization is that promotes efficient performance of
routine operations 常 规 操 作 and lessen the errors made by employees. In a
bureaucracy organization, standard rules and procedure and uniformly
applied(digunakan secara seragam) to all employees. This would mean that employees
would work accordingly to the rules and procedure set by the high management in the
same manner(cara) and hence enhances(mempertingkatkan) their skills on the job at
hand. Due to standard procedures and the employees who are familiar with their work,
therefore unintended consequences 意想不到的后果 are unlikely to occur and even
human errors that occur can be fix easily since the source can be easily traced(dikesan).
For example, in a construction company(syarikat pembinaan), the higher management
would place strict 严 格 的 procedure for employees that are at the working site to
follow to reduce injuries. If there is an injury, the organization can easily determine
whether the procedure requires 需要 improvement or the employees are not following
protocols 协议.

 Eliminates subjective judgement 消 除 主 观 判 断 by employees and the

management
Another advantage of a bureaucracy organization is it eliminates subjective judgement
by employees and management. This would mean that subjective judgement from both
employees and management can be filtered out through a bureaucracy system in which
only decisions that matters(perkara) to the organization will be made. This puts aside
personal opinions and feelings and focuses on the facts on hand. For example, the top
management level of an organization is able to make decisions while eliminating
subjective judgement from top to bottom of the hierarchy chart as the power of the
organization is centralized(berpusat) and hence be able to make decision that truly
matters to the organization.

 Emphasizes on position(Menekankan pada kedudukan)

The third advantage of a bureaucracy organization is it emphasizes on position rather
 than the person. In a bureaucracy organization, position in the workplace defines the
authority and responsibility a personal is designated(ditetapkan). Hence under a
bureaucracy system, the centralized chain of command allows it to be more efficient in
its flow of information 信 息 流 . A structure which segregates(mengasingkan) the
employees based on their position will allow more efficient work as the line of
communication is better established(ditubuhkan). For example, to get approval for an
advertising campaign(kempen pengiklanan), the employee will know that in order to
get their campaign to be approved, they would have to inform the marketing
department of the organization in which the marketing managers will then inform and
get the approval from the higher-level management and hence reduces
confusion(mengurangkan kekeliruan) within the organization.

Disadvantages

× Limits flexibility 限制灵活性

A disadvantage of a bureaucracy organization is that it limits organizational flexibility
which causes a slow decision-making process. Since a bureaucracy organization have a
centralized decision-making process (membuat keputusan berpusat), this would
translate to slower responses to changes such as changes in social, market and industry
trends. It may be challenging for employees who work under strict rules and protocols
to be flexible to these changes since they are already used to the usual work flow. This
would cause a slower decision-making process when it comes to changes as
communication from the bottom to the top of the hierarchy takes time 等级制度需要
时 间 . For example, when the newest trend of boba occurs in the market, a milk tea
company that practices a bureaucracy organization might not be quick and flexible
enough to respond to the market trend as gathering opinions from bottom to top of the
hierarchy takes up a lot of time and the decision-making process may be slow which
causes the company to lose out on gaining profit.

× Prioritize rules(Utamakan peraturan)

Another disadvantage of a bureaucracy organization is that it prioritizes rules.
Executive leadership 行政领导 in a bureaucratic organization often 经常 prioritizes
adhering 坚持 to rules and regulations(Peraturan dan undang-undang) over producing
results. Instead of modifying procedures 修 改 程 序 or being lenient 宽 容 , it’s often
more important to follow procedures than to fulfil responsibilities(menunaikan
tanggungjawab). Simply put rather than delivering results straight away, following the
procedures and rules set might be more important for the organization. For example, a
graphic designer working on an advertising job for his client would want to modify and
implement(mengubah suai dan melaksanakan) the client requested changes to the job
after a discussion, however the supervisor might not allow it as company procedure
would require the client to approve the latest version of the digital version first before
any changes can be implemented(dilaksanakan).

2. Discuss administrative management(pengurusan pentadbiran). Explain TWO (2)

advantages and TWO (2)
disadvantages of this approach.
(15 marks)

Answer:

Administrative management focuses on the five management functions which are planning,
organizing, commanding, coordinating(menyelaras) and controlling as well as the 14
principles of management. An administrative management would attempt(percubaan) to find a
rational way 理 性 的 方 式 to design the organization as a whole unit in which formalized
administration(pentadbiran rasmi), a clear division of labor and delegation of power(pewakilan
kuasa) and authority within the organization is implemented(dilaksanakan). Administrative
management theories came from Henry Fayol, James D. Mooney and Luther H. Gulick.

Advantages

 Higher productivity 更高的生产力

An advantage of administrative management is that it has higher productivity. Since
the resources are allocated 分 配 的 to fit the situation of the organization, the
organization can utilize and coordinate(menggunakan dan menyelaras) these resources
accordingly to reach maximum output. The theory of administrative management
matches the members of teams with their task per their capabilities(kemampuan),
hence leading to faster results with higher productivity, For example, the production
department of a company is required to produce 10 thousand units of product X for
their clients(pelanggan) and hence by allocating their human resources and financial
resource from finance department accordingly to the project at hand, the organization
can achieve maximum output while increasing their productivity.

 Facilitates in acquiring goals 帮助达成目标

Another advantage of an administrative management is that it facilitates in acquiring
goals 取 得 目 标 . This efficient strategy 有 效 策 略 of management assist in
accomplishing（mencapai） the primary goals 主要目标 of company. Every policy is
framed 陷害 after a critical analysis of business projects 商业项目的批判性分析 that
leads to better actions and easy achievement of desired targets 期 望 的 目 标 . This
would mean that all goals are designed to reach a specific target for the organization by
better allocation of resources 资源分配. For example, for project A and B to be carried
out simultaneously 同 时 , the organization would allocate their resources at hand
according to the job requirement(keperluan pekerjaan) of both projects and hence is
able to reach their primary financial goals for their organization.

Disadvantages

× Heavily management orientated 以管理为导向

A disadvantage of administrative management is that it is heavily management
oriented. Since the theory of administrative management is a strategic management-
oriented theory 战略管理导向 , hence it does not give any attention to the issues of
workers. This is harmful 有害 to the work environment in the long run as ignoring the
human behaviour of employees will have adverse effects(kesan buruk) over the
performance of company. For example, when the welfare(kebajikan) of the employees
such as work protection, and insurance policies is not taken care of, the employees will
feel less motivated to work 积 极 工 作 for the company which might affect the
productivity of the organization.

× Neglect informal groups in an organization 忽视组织中的非正式群体

Another disadvantage of administrative management is that it deals with formal
structure of an organization which tends 倾向于 to neglects the informal groups of an
organization. Another major limitation with administrative management theory is that
it completely ignores the informal structure of organization. It does not give any
 attention to non-formal groups and organizations. This management theory only deals
with formal structure of an organization. Neglecting the informal group will have
adverse effects(kesan buruk) on performance of organization. For example, a small
group of employees were formed out of having the same interest in a particular topic in
an organization, however whatever affairs 事务 this informal group gets into would not
be under the control of the organization under an administrative management which
may cause an issue if fights, arguments 争论 or disagreements occurs within or with
other informal groups.

3. Explain the concept of human relations 人际关系. Provide TWO (2) contributions and
TWO (2)
limitations of this concept.
(10 marks)

Answer:

Human relations is the study that aims to understand the psychological and social processes
that human undergoes 人类经历 while interacting with others in a work situation which has
the ability 能力 to influence performances. The Hawthorne effect states that employees tend to
perform and react differently when researchers observe them 研究人员观察他们. This theory
puts huge emphasis(penekanan yang besar) on employee welfare (kebajikan), their motivation
and internal communication 动机和内部沟通 between manager and employees.

Contributions

 Influence performance( Mempengaruhi prestasi)

A contribution of human relation studies is the study in which psychological and social
process which is able to influence performance. Human relation studies focuses on
how productivity and employee behaviour are influenced by informal work group in
which cohesion 凝聚, status and group norms 群体规范 will be able to determine their
output level. This would mean that an employee’s social need have
precedence(keutamaan) over economic needs which allows the company to place more
emphasis(penekanan) on employee’s welfare(kebajikan) and satisfaction(kepuasan)
whereas relationship and communication between manager and employees is important
in this study. For example, an organization is able to know their employees’ welfare
through human relation studies and hence able to put more effort into shaping and
forming relationship between employees with employees and employees with
managers within the organization.

 Formed the Hierarchy of Human Needs 形成了人类的需求层次

Another contribution of human relation studies is the Hierarchy of Human Needs. This
theory was introduced by Abraham Maslow and is categorized under the Content
Perspectives Approach 内容视角法 to determine the factors that is able to motivate
people. This theory is explained in a hierarchy form 层级形式 in which it starts from
the bottom level of needs which is physiological needs 生理需要 and moving upwards
to safety and security, love and belonging(kepunyaan), self-esteem 自 尊 and on the
final level self-actualization 自我实现. Each level of human needs can explain by two
examples which are general examples and organizational examples. For example, in
terms of an individual’s physiology needs, general examples include foods, clothing
and water, while for organizational examples, it includes base salary, job insurance and
total off days
.
Limitations

× Ignores employee’s rational side and contribution 理 性 的 一 面 和 贡 献 of the

organization to the productivity
A limitation on human relations studies is that it ignores the workers’ rational side and
the formal organization’s contribution to productivity. Since this study focuses and put
emphasis 重 点 on the employee’s welfare rather than the organization itself,
contribution made by the organization in boost 促进 employees’ productivity might not
be taken into account through this study. For example, the company provides extra
incentives in the form of cash for employees since they were able to achieve the sales
target for the month. This would be overshadowed(dibayangi) in human relations
studies as it does not directly relate to an employee’s welfare or its direct connection
between manager and employee.

× Overturned simple beliefs( Kepercayaan mudah terbalik) that happy workers will
be more productive
Another limitation on human relation studies is that the research overturned simple
beliefs that happy workers are more productive 富有成效的. Since this theory is based
on the how an employee behavior influenced its productivity in the workplace, belief
such as a happy worker is the best kind of worker will be drowned(lemas). For
example, an employee working for an organization might not have the best employee
welfare however the employee is happy and satisfy(memuaskan) with their work which
translates to better performance and increase productivity. However, under the human
relation studies this would be classified(分类) under the non-productive category since
the employee welfare isn’t fully taken care of whereas the employee’s overall
satisfaction towards their job is overshadowed.

4. Explain contingency approach 应急方法. Provide TWO (2) contributions and TWO (2)
limitations of this approach.
(10 marks)
Answer:

Contingency approach is the approach that emphasizes(menekankan) that the situational

contingencies influence the strength, structures, and processes in an organization which
results in higher achieving performance by an organization. In simpler words, it is the
situational approach that states that decisions made by managers will be affected by the
contingencies 突发事件 that arise from various environmental 各种环境 factors of a given
situation.

Contributions

 Identify major contingencies 识别重大突发事件

A contribution of contingency approach is that it is able to identify major

contingencies in which it provides a realistic view 现实的看法 of the management
and organization. Since managers are able to identify these major contingencies that
arise from environmental factors, this would mean that managers are able to react to
the situation accordingly and not based on stereotypes 关于刻板印象. For example,
 when a problem arises within the organization, the manager is able to identify the
major contingency of the organization and plan the organization way to react 反应 to
the situation accordingly rather than following the stereotyped method of approaching
problems 处理问题 that regards the environmental factors which influence it.

 Argues against universal principles of management 反对普遍的管理原则

Another contribution of the contingency approach is it argues against universal

principles of management. This would lead to a more innovative and creative
management style instead of have an all fit one management style which is adopted
by most companies based on the principles of management. Through the contingency
theory, managers can be innovative in their ways to leading the company rather than
follow the stereotypical methods stated under the principles of management which
allows them to respond to situation betters. For example, in an advertising company
where none of the principle of management can be fitted exactly to the situation of
the company influenced by environmental factors, the manager can choose the
contingency approach and be innovative and creative with handling the employees
which could lead to better performance of the company.

Limitations
× Not all important contingencies can be identified
A limitation of the contingency approach is that although major contingencies can be
identified, not all important contingencies have been identified. Since no one can look
into the future and predict future situation 100% accurately, some occurring situation
might not be suited to the contingency approach. Contingency approach lack of
theoretical base will mean that executives are expected to know all the alternative
courses of action before taking action in a situation that is not always feasible. For
example, when a manager faces a situation that is not identified under the
contingency theory, without a course of action, the contingency approach might
backfire.

× Not applicable to managerial issues

Another limitation of the contingency approach is that the theories may not be
applicable to managerial issues. Since situations can be influenced by many factors. It
is difficult to analyze all these factors including managerial issues. Issues that arises
might not always be applicable under the contingency approach. For example, when a
company faces managerial issues such as being understaffed, the contingency
approach does not give maximum effect to the problem as the logical approach is to
hire more staff.
 Topic 3: Planning and Strategic Management
1. Define strategic planning. Outline the SIX (6) steps in the strategic management process.
(15 marks)
Answer:

Strategic planning – which is also known as long-term planning, is a set of procedures for
making decisions about the organization’s long-term goals and strategies. It invades setting
long-term goals and objectives for an organization as well as selecting suitable actions to
allocate organizational resources in order to achieve these goals. Strategic planning will
directly influence tactical planning and operational planning. For example, the chief executive
officer of a company in Malaysia plans to produce a Perodua Viva in the next 10 years. Based
on this strategic goal, managers and their subordinates must make suitable plans for their own
departments.

There are 6 steps in the strategic management process which are:

1. Establishment of mission, vision, and goals
2. Analysis of external opportunities and threats
3. Analysis of internal strengths and weaknesses
4. SWOT analysis and strategy formulation
5. Strategy implementation
6. Strategic control

Step 1: Establishment of mission, vision, and goals

The first step in strategic planning is establishing a mission, a vision, and goals for the
organization. The chief executive officer (CEO) of the organization, with the input and
approval of the board of directors (BOD), will establishes the mission, vision, and major
strategic goals. The mission is a clear and concise expression of the basic purpose of the
organization. In other words, mission is an organization’s basic purpose and scope of
operations. It describes what the organization does, for whom it does it, its basic good or
service, and its values. Unlike the strategic vision, the mission describes the organization as
it currently operates. The strategic vision points to the future – it provides a perspective on
where the organization is headed and what it can become. In other words, the strategic vision
refers to the long-term decision and strategic intent of a company. Strategic goals evolve
from the mission and vision of the organization.

Step 2: Analysis of external opportunities and threats

The mission and vision drive the second component of the strategic management process:
analysis of the external environment. The environmental analysis provides a map of the
stakeholders and the way they influence the organization. The analysis begins with an
examination of the industry. There are important activities in an environmental analysis that
includes industry and market analysis, competitor analysis, social analysis, and etc.
Organizational stakeholders are also examined. Stakeholders are groups and individuals
who affect and are affected by the achievement of the organization’s mission, goals, and
strategies. They include buyers, suppliers, competitors, government and regulatory agencies,
unions and employee groups, the financial community, owners and shareholders, and trade
associations.

Step 3: Analysis of internal strengths and weaknesses

As managers conduct an external analysis, they will also asses the strengths and weaknesses
of major functional areas inside their organization. Internal analysis gives strategic decision
makers an inventory of the organization’s existing functions, skills, and resources as well as
its overall performance level.

Strategic planning has been strongly influenced in recent years by a focus on internal
resources. Resources are inputs to production that can be accumulated over time to enhance
performance of a firm. It can take in the form of intangible assets like company’s reputation,
culture, technical knowledge, and patents, and also in the form of tangible assets like real
estate, production facilities and raw materials. When resources are valuable, rare, inimitable,
and organized, they can be viewed as the company’s core capability. Therefore, core
capability refers to a unique skill and/or knowledge an organization possesses that gives it
an edge over competitors.

To assess and improve performance, some companies use benchmarking, which refers to
the process of assessing how well one company’s basic functions and skills compare with
those of another company or a set of companies. The goal of benchmarking is to understand
the “best practices” of other firms thoroughly and to undertake actions to achieve both better
performance and lower costs.

Step 4: SWOT Analysis and Strategy formation

Once managers have analyzed the external environment and internal resources of the
organization, they will have the information they need to assess the organization’s strengths,
weaknesses, opportunities, and threats. This kind of assessment is known as the SWOT
analysis, which is a comparison of strengths, weaknesses, opportunities, and threats that
helps executives to formulate strategy.

Corporate strategy is the set of businesses, markets, or industries in which an organization

competes and the distribution of resources among those entities. There are four types of
corporate strategy that can be set by the top-line management which are concentration,
vertical integration, concentric diversification, and conglomerate diversification. After the
top management team and board make the corporate strategic decisions, executive must
determine how they will compete in each business area. Business strategy defines the
major actions by which a business competes in a particular industry or market. There are two
types of business strategy that can be done by the middle-line management which are low-
cost strategy and differentiation strategy. The final step in strategy formation is to establish
the major functional strategies. Functional strategy are strategies implemented by each
functional area of the organization to support the organization’s business strategy. The
typical functional areas include promotion, human resources, marketing, research &
development (R&D), finance, and distribution.

Step 5: Strategy implementation

Strategic managers also must ensure that the new strategies are implemented effectively and
efficiently as formulating a good strategy is simply not enough. Strategy implementation
involves four related steps:

The first step is to define strategic tasks. It helps employees to understand how they
contribute to the organization, including redefining relationships among the parts of the
organization. The next step is to assess organization capabilities by evaluating the
organization’s ability to implement the strategic tasks. Managers can interview employees
and identify specific issues and summarized them for the top management. The third step is
to develop an implementation agenda. The outcome of this process is to be communicated
in terms of value.
2. Differentiate the THREE (3) levels of planning. Support your answer with appropriate
examples.
(10 marks)
Answer:

Top-level planning (Strategic planning)

Top level planning (Strategic planning) is a set of procedures for making decisions about the
company’s long term goals and strategies (more than 3 years and above). Top level planning
is done by the top management, for example the board of directors or governing body. It
contains long-term goals and policies or organizations, focusing on corporate outcomes
rather than departmental goals. Example: the board of directors plans to open a branch in the
UK.
Middle-level planning (Tactical planning)
Second level planning/middle level planning (Tactical planning) is a set of procedures for
translating broad strategic goals and plans into specific goals and plans that are relevant to a
distinct portion of the company, such as a functional area like marketing or human resources.
It is done by middle level managers or departmental heads. It deals with development of
resources to the best advantage. It is concerned mainly, not exclusively, with long-range
planning, but its nature is such that the time spans are usually shorter than those of strategic
planning (normally 1-2 years). Example: middle-level managers identify a location in
Sheffield, uk for opening a branch, having a promotion while opening the new branch.
Third-level planning (Operational planning)
Third level planning/bottom level planning (operational planning) is the process of
identifying the specific procedures and processes required at a lower level of organization.
An operational plan outlines the activities and targets which the organization will carry out in
order to work towards achieving the aims and objectives set out in the strategic plan. It
provides the framework for an organization’s day-to-day operations. An operational plan
covers a one-year period. Example: the supervisors carry out the promotion task, having a
30% discount.
 Topic 4: Organisation Structure
1. Differentiate between tall structure and flat structure.
(10 marks)
Answer:
Tall structure
Tall structure is an organizational structure with many levels of hierarchy. Tall structure is
equipped(dilengkapi) with a narrow span of control 控制范围窄, which is the number of
employees that report to a manager. The speed of decision-making is slow in a tall structure
since there are many layers of management, which may cause communication issues 沟通问
题 and delays. Cost of managing a tall structure is costly 昂贵 because there are more layers
of staff.

Flat structure
Flat structure is an organizational structure with a limited number of levels of hierarchy. It
has a wide 宽的 span of control which means the employees report to a manager. Decision-
making is swift(pantas) with a flat structure and is highly responsive 反 应 灵 敏 to the
changes in the market but this can lead to overworked managers. Costs related to a flat
structure are relatively low 相对较低 compared to a tall structure.

2. Define delegation 代表团. Explain THREE (3) advantages of delegation.

(15 marks)

Answer:

Definition of delegation is when a manager or team leader gives another member of staff the
responsibility and authority to complete an assigned task.

Advantages of delegation:

i.Basis for Effective Functioning 有效运作的基础

Delegation of authority creates relationships and links among various jobs in the organization.
This relationship enables the smooth flow(aliran lancar) of organizational activities.

ii.Effective and Timely Decisions(Keputusan yang Berkesan dan Tepati Masa)

Delegation of authority and responsibility to the subordinates to the lowest level of the
organization enhances(mempertingkatkan) the number of decision points. Each decision point
has less number of decisions to be made. Hence, it enables the managers at each decision
point to make decisions effectively and timely.

iii.Opportunity for development(Peluang untuk pembangunan)

Delegation(Perwakilan) of authority gives a very good opportunity to the subordinate to grow.
It helps in identifying(mengenal pasti) the best person among the various subordinates for
development.

3. Explain functional organisation 职能组织. Provide THREE (3) advantages and

TWO (2)
disadvantages of this structure.
(15 marks)
Answer:
Functional organization is a common type of organizational structure in which the
organization is divided into smaller groups based on specialized functional areas 专门功能性,
such as information technology (IT), sales, marketing, manufacturing(pembuatan), finance and
so on. Each functional unit has a head and a set of employees working under them to reach
their goal. Each unit has a goal which syncs 同步 with other units’ goals to match the overall
aim of the organization. It is beneficial in a way that people with the same skills, educational
background and expertise(kepakaran) are together in a group. Their department head is also
one of them and everyone can understand each other.

Advantages of functional organization:

Proper Work Division & No Duplication of Work 适当的工作分工 无重复工作

Organizational tasks are segregated properly(diasingkan dengan betul) and allocated to the
related departments or units which helps to eliminate(menghapuskan) the duplication of work.
In functional organization structure, organizational functions are divided into small groups and
assigned to different units and departments. Highly skilled and qualified departmental heads
合格的部门主管 and employees are selected to perform the tasks which helps to increase the
performance and output.

Better Control and Supervision 更好的控制和监督

Functional organizational structure follows decentralization 权 力 下 放 in which supervision
and controlling activities are done by both departmental managers and top managers. So,
proper discipline can be maintained well in the organization.

Large Scale Production & More Profit(Pengeluaran Skala Besar & Lebih Banyak
Keuntungan)
Because of division of work and specialization 专 业 化 , operational speed(kelajuan operasi)
will be increased which facilitates mass production (memudahkan pengeluaran besar-besaran).
Large scale production minimizes the cost of production. Specialization helps to minimize
errors and wastage(pembaziran) in the production process. Large scale production lowers the
cost of production. Decrease in wastage and cost leads to increase in the earnings of the
organization.

Disadvantages of functional organizations:

Lack of common goal 缺乏共同目标

The biggest disadvantage of a functional organization is that people are focusing on their own
function rather than the company as a whole, for example, IT, Finance, Marketing, Logistic
and other special functions. They are grouped according to their special set of skills, roles and
tasks, therefore employees will be restricted(dihadkan) from viewing organizational goals
instead of functional goals 组织目标而不是职能目标.

Lack of Coordination(Kurang Penyelarasan)

Another disadvantage of a functional organization is minimal functional integration. This
means that the functional units can perform with a higher degree of efficiency 效率 however,
they may have trouble collaborating(bekerjasama) with another department, putting
collaboration at risk(风险). The various departments are segregated(diasingkan) and there are
 no employees from other departments helping or meeting with other departments.

4. Explain matrix organisation 矩 阵 组 织 . Provide THREE (3) advantages and TWO (2)
disadvantages of this structure.
(15 marks)
Answer:

A matrix organization is a work structure where team members report to multiple leaders. In a matrix
organization, team members (whether remote(jauh) or in-house 内 部 ) report to a project manager as
well as their department head.

Advantages of matrix organizational structure:

1. Collaboration between different departments(Kerjasama antara jabatan yang berbeza)

Perhaps the biggest advantage of a matrix structure is that is brings together highly skilled team
members from different departments, allowing the organization to capitalize(bermodalkan) on the
resources it already has rather than seeking expertise(mencari kepakaran) and recruiting(pengambilan)
project team members from outside of the organization. This will also help in increasing the employee
interaction and promotes a better sense of teamwork, as employee work across multiple projects and
various departments in the company.

2. Combines project and functional management structures(Menggabungkan struktur

pengurusan projek dan fungsian)
The matrix structure combines the project management structure with the functional management
structure to increase efficiency, adapt to changing markets and respond more quickly to market demand.

3. Allows interdepartmental communication 允许跨部门沟通

The matrix structure also allows for better interdepartmental communication 跨 部 门 沟 通 and
collaboration 合 作 . By allowing different departments to work together, the matrix structure
fosters(memupuk) a more open work environment, ultimately(akhirnya) making the organization more
dynamic. 动态的

While there are many benefits to this type of workplace structure, there are also a few potential
disadvantages of matrix organization structure that one may need to consider:

1. The decision-making process can be slowed down

Because of the nature of the matrix involving more than one manager, decisions that may be required to
pass through both managers can sometimes take longer to process than a traditional structure.
Furthermore, with the integration of multiple managers 多 个 管 理 器 的 集 成 and team members,
decisions that require multiple steps, for instance, in quality assurance 质量保证, can be slowed down
when guided by the matrix.

2. Too much work can cause overload.( terlebih beban)

The matrix organization structure can also sometimes lead to work overload on team members, since
their project workload is often in addition to their regular functional duties(tugas fungsi tetap).
Employees might suffer burnout(mengalami keletihan) or overlook(terlepas pandang) or fail to complete
tasks or have their quality of work suffer due to time constrain 时间限制.
Topic 5: Organisational Agility
Q1. Differentiate between mechanistic structure and organic structure.
(10 marks)
Answer:

Mechanistic structure is typically suitable for manufacturing businesses(perniagaan

pembuatan), on the other hand, organic structure is suitable for creative and innovative
businesses. 创意和创新的企业。

Mechanistic Structure
This structure has a hierarchy leadership formation; it is much more centralized authorization
implemented(kebenaran berpusat dilaksanakan) in the organization. In this type of
organization, employees have their own task directly passed down by their supervisor 导师.
Normally, this structure would have a level structure, every individual or department would
have their own specialization 专业化 to work on their task. People considered 经过考虑的
individual goals as different from organizational goals. Tasks are performed according to
position in the hierarchy which means that people at lower levels will perform comparatively
simpler tasks. 比较简单的任务。

Organic Structure

This structure has a flat organization form 扁 平 化 组 织 形 式 that allows communication

without differentiating the organization structure level. This type of structure allows
employees to communicate and participate 参加 in company’s decision-making which has a
wide span of control 控 制 范 围 广 . It is also flexible 灵 活 的 for the organization to make
changes if needed. The structure is also made up for those businesses which require teamwork
and communication. Communication is a network. It flows 流动 in all directions in the form
of suggestions, advice 建议 and information rather than orders.

Q2. Compare and contrast between big-size firm and small-size firm with appropriate
examples.
(10 marks)
Answer:
Structure
One of the clearest differences between big-size firms and small-size firms is the structure.
Large companies are normally more hierarchical 分层的, resulting in employee specialization
专 业 化 in a certain area of techniques required. The large companies have different level
positions; employees normally have their tasks assigned 分配 by their manager. On the other
hand, smaller companies are more in a bureaucratic structure. This structure allows them to
communicate flexibly and interact with each other efficiently. Moreover, it is also easier for
them in decision-making and they have much freedom to do different tasks together by
teamwork.
Q3. Discuss the THREE (3) types of technology configurations 技 术 配 置 . Support your
answer with
appropriate examples.
(15 marks)
Answer:

Small Batch
These technologies produce goods and services in low volume, and customized service 定制服
务 . Its structure tends 倾 向 于 to be organic, has lesser rules and formal procedures,
decentralized decision 分散决策 making and mutual adjustment 相互调整 among people. For
example, car repair centers and restaurants.

Large Batch
These technologies produce goods and services in high volume. They are more standardized
标准化, and have working people running the machines. It also has a mechanistic structure
which has more rules and formal procedures, centralized decision making(membuat keputusan
berpusat) and higher spans of control 更高的控制跨度. For instance, Motorcars companies
like Toyota and Honda, Food franchises like McDonalds and Burger King.

Continuous Process(Proses Berterusan)

It is a process that is highly automated(sangat automatik) and has a continuous production
flow. Its organization is more towards organic structure as less monitoring and supervision
needed and informal communication. For example, refineries(kilang penapisan) like water or
petroleum businesses.

Topic 6: Leading

Q1. Explain the FIVE (5) key behaviours 关键行为 of a good leader.
 (15 marks)
Answer:

1. Challenge the process

A good leader is someone who challenges conventional beliefs 传统观念 and practices and
create constructive changes(perubahan yang membina) to an organization to help the
organization grow and improve. They are not someone who adheres(mematuhi) to the process
blindly 盲目地 but someone who innovates 创新 in the process to lead the team to success.
For example, a good leader who works for a drink company will not only stick to a single
flavor 坚持单一口味 but will take risk and experiment with different flavors, if failed learn
from the mistakes and help the organization grow.

2. Inspire a shared vision 激发共同愿景

A good leader is someone who appeals(rayuan) to the people’s value and motivate them to
care about an important mission. They inspire the people working in an organization to have a
same and common vision for the organization and hence(oleh itu) the people working with
them will know what they are supposed to do and achieve. For example, a good leader will set
a sales target of the company to be at RM 1 million per year and hence delegate 代表 the work
and responsibilities to each of the different departments and hence create a shared goal or
vision that everyone in the organization works towards.

3. Enable others to act(Membolehkan orang lain bertindak)

A good leader is someone who gives people access 使用权 to information and give them the
power to perform to their full potential 充分发挥潜力. A good leader is not a dictator 独裁者
and hence will know how to delegate responsibilities to its followers to help them grow and
unleash their potential 释放他们的潜力 in the process as well. For example, a good leader
will delegate the responsibilities and tasks to their subordinates and motivate 激励 them when
they feel like they cannot accomplish the task 完成任务。.

4. Model the way(Model cara)

A good leader will not just tell people what to do but someone who shows the way of how to
achieve what they want to achieve. They are living examples of ideals they believe in and pave
the way 做 好 准 备 for their followers to follow. For example, a good leader will lead by
example and model the way for their subordinates so that they know what to do and how to
achieve the organizational goals.

5. Encourage the heart 鼓舞人心

A good leader shows appreciation 欣赏, provides rewards, and uses various approaches 方法
to motivate people in positive ways. A good leader is someone who constantly encourages 鼓
励 their followers to motivate them to be better at their task. For example, a good leader will
motivate their subordinates through incentives 奖 励 such as bonuses when the subordinates
are able to reach a certain goal which was set by them.
Q2. Describe the FIVE (5) sources of managerial power.
(10 marks)
Answer:

1. Legitimate 合法的
Legitimate power is also known as positional power(kuasa kedudukan). As these names
suggest, legitimate power is the power that a person in the organization holds because of
his/her position and that is considered to be legitimate 被认为是合法的. A manager who leads
a team has certain responsibilities and also the right to delegate tasks/her to his subordinates as
well as review their work and give feedback.

2. Reward
Reward power arises out of the authority that a person has to recognize(mengenali) and reward
people. Ways to do this can be for example salary increase, bonuses, paid leave, company
sponsored vacation(bercuti) or even promotions. Employees who possess(memiliki) reward
power can influence the performance of employees considerably(dengan ketara). If used, as a
motivating factor, reward power can make employees work harder and smarter and contribute
贡献 more effectively to the organization. But if this is used in an unfavorable manner(cara
yang tidak baik) and any kind of favoritism is displayed 表 现 出 偏 袒 , then it can severely
harm the morale(sangat merosakkan moral) of employees and reduce their productivity,
leading to the wastage(pembaziran) of company resources.

3. Expert(pakar)
Expert power is that kind of power which an employee has due to the knowledge and expertise
专业知识 that he/she possesses 拥有. Knowledge is wealth(kekayaan) in today’s world and is
highly sought(sangat dicari) after by organizations. Nice specializations and extensive research
work 不错的专业和广泛的研究工作 is highly valuable to businesses which are increasingly
becoming complicated and specialized.

4. Coercive(Memaksa)

Coercive power is the power that a person has which he/she uses to coerce or threaten 威胁
other employees. Coercive power is used to enforce strict deadlines(menguatkuasakan tarikh
akhir yang ketat) and punishable actions in the workplace and scare employees. Salary cut,
leave cut or even terminations(penamatan) are certain threats that are used by bosses to get the
work done by their employees. Bosses need to be strict 严 格 with their employees and are
justified in expecting professionalism(wajar dalam mengharapkan profesionalisme) and timely
completion of work. Coercive power, if used optimally 最佳地 can improve the performance
of employees and make them challenge themselves constantly.

5. Referent(Rujukan)
Referent power is power that is a resultant of the personality(terhasil) of a person. The
relationships that a person develops with co-workers 与同事一起发展 and the charisma 魅力
with which a person is able to present himself/herself to others results in a certain level of
respect and approachability towards 易于接近 that person. Referent power can also be a result
of closely knowing senior people in the organization or those who are at a position of
leadership and authority of any kind.

Q3. Discuss the FIVE (5) key characteristics of a good leader.

(15 marks)

Q4. Differentiate between autocratic, democratic, and laissez-faire leadership styles.

(10 marks)
Answer:

1. Drive
Good leaders need to have a high level of effort 努 力 , high need for achievement 成 就 ,
constant striving for improvement(sentiasa berusaha untuk penambahbaikan), ambition, and
initiative 主动. Great leaders aren’t passive 不是被动的. They’re highly motivated 积极性高,
and they truly believe in the vision of the organization. This passion is contagious 传染性的,
and their employees are motivated to work harder themselves.

2. Leadership Motivation 领导力激励

Leaders need the ability to lead a team and assertiveness 自信 because the true leaders inspire
and motivate their followers. In a work setting, a great way to do this is to show appreciation
欣 赏 for your team members and recognize their achievements. Being an excellent leader
motivates employees in and of itself. Employee engagement is higher when their manager is
doing a great job.

3. Integrity 正直
It’s essential(penting) for leaders to act with honesty, integrity, and reliability(dan
kebolehpercayaan). Employees need to know that a leader will behave ethically 行为合乎道
德. That they won’t say one thing and do another. Or that if they make a mistake, they’ll take
responsibility 责 任 rather than blaming the team. Integrity means treating employees fairly
and upholding 坚 持 the values of the company. This not only inspires trust(menimbulkan
kepercayaan) in other team members but also encourages them to act with integrity as well.

4. Self Confidence
Leaders must believe in their abilities and overcome obstacles(halangan) because leaders have
to make big decisions and these decisions often come with big risks. When you’re the one
taking the risk, you’ll also probably shoulder the blame if things go wrong. To be a leader, you
need to have confidence to act decisively 果断行动 in high-stakes situations 在高风险的情况
下 . Moreover, there are always people who disagree with the leader’s decisions. While it’s
important to listen to other viewpoints, a leader can’t back down in the face of criticism or
conflict 批评或冲突。.

5. Knowledge of the Business

Leaders should be highly skilled and knowledgeable in their field. That doesn’t always mean
technical competence 技 术 能 力 . For example, the CEO of a software company might not
know how to write code. But they should definitely(pasti) have a deep knowledge of the
industry and products. It’s that kind of expertise(kepakaran) that lets a great leader craft an
intelligent(membentuk seorang yang bijak) and achievable vision.

Q4. Differentiate between autocratic, democratic, and laissez-faire leadership styles.

(10 marks)
Answer:

Democratic leadership 民主领导

Democratic leaders take an active role in the decision-making process but they involve
others. They carry the responsibility for seeing that the decisions made achieve the desired
outcomes(hasil yang diinginkan). Democratic leaders actively participate in discussions, but
also make sure to listen to the views of others. This style often leads to positive, inclusive 包
括的, and collaborative work environments 协同工作环境. Furthermore, a good democratic
leader can bring out the group’s creativity. Under this style, the leader still retains final
responsibility 保留最终责任 for the group’s decision.

Autocratic leadership 专制领导

Autocratic leadership means that the leader has full power and makes all the decisions
themselves. They do not consult 咨 询 their team, or let them make decisions. Once the
decision has been made, they impose it and expect obedience 强加于人并期望服从. Under
time pressure, this style may work well, allowing the leader to make a quick decision and
providing the group with direct instructions. An autocratic leader who presents a clear vision
can motivate a divided group. However, autocratic leaders are more likely to disregard(tidak
mengendahkan) the good ideas of others. The style can also inspire
resentment(menimbulkan kemarahan) and stress.

Laissez-faire leadership 放任型领导

Laissez-faire leaders have very little involvement 很少参与 in decision-making and allow
group members total freedom. They do not participate in the decision-making process, and
rarely 很 少 offer opinions. This style can work well if the group is highly motivated and
competent 胜任的. However, laissez-faire leadership has many drawbacks 缺点. Without the
leader’s input 领导的意见, the group can sink into conflict 陷入冲突 as members jockey
over roles 争夺角色 and responsibilities. In addition, deliberations 审议 may continue for
far too long. Finally, by not weighing in(menimbang) on the process, the leader forfeits
control(kehilangan kawalan) of the final product.

Q5. Explain the concept of path-goal theory(teori laluan-matlamat). Discuss FOUR (4)
leadership styles under this concept.
(15 marks)
Answer:

Path-goal theory is how leaders affect their subordinates' perceptions( 看 法 ) of their work
goals and the methods they take to achieve those goals. The phrase path-goal comes from the
concept that strong leaders explain the road to assist 援助之路 their followers in achieving
their work goals. According to path-goal theory, whether a leader should be
directive(arahan), supporting, or exhibit 展 示 another behaviour 行 为 is determined by a
detailed analysis of the situation. 详细情况分析。

Directive leadership(Kepimpinan arahan)

In this leadership style, the leader understands exactly what has to be done, how tasks must
be completed, and how to fulfil deadlines(memenuhi tarikh akhir). All of this implies 暗示
that he gives a framework(rangka kerja) for his employees to follow in order for all of their
operations to be effective. As a result, this management style is more suited for novice
employees(pekerja baru) who require instruction and must be monitored on a frequent basis
经常监测.

Supportive leadership 支持性领导

In this type of leadership style, the leader pays close attention to what the employees require
to do well in their job tasks. His demeanor 他 的 风 度 is characterized by kindness and
sensitivity. It means he addresses his team respectfully and supports them where necessary
in order to make goal achievement simple for them. This management style is effective in
instances(contoh) where the employee is facing a (personal) challenge, does not have a
strong belief in himself, or has poor morale.

Achievement-Oriented leadership 以成就为导向的领导

The leader in this leadership style sets lofty goals 远大的目标. He expects and believes in
his staff' abilities 能 力 to attain the highest level of success. He persuades 说 服 them to
demonstrate exceptional job accomplishments(menunjukkan pencapaian pekerjaan yang luar
biasa) and continual improvement, and he has complete faith 完全的信心 in their abilities to
perform beyond his expectations. Employees who enjoy working alone and have excellent
problem-solving abilities would prosper under this management style(berjaya di bawah gaya
pengurusan ini).

Participative leadership 参与式领导

In this leadership style, the leader believes it is critical to collaborate 协作的关键 with his
staff and consider 考虑 their opinions during the decision-making process. This also implies
暗示 that he is open to conversations and suggestions on how to attain corporate goals 实现
企 业 目 标 . This leadership style will be adopted by the leader, especially when staff are
completely invested 投 资 and have incredible expertise and skill sets(kepakaran dan set
kemahiran yang luar biasa).

Q6. Discuss the THREE (3) contemporary perspectives on leadership 领导力的当代观点.

Support your answer with appropriate examples.
(15 marks)
Answer:
Charismatic leadership 魅力型领导
Charismatic leadership is a type of leadership that combines charm, interpersonal
connection, and persuasiveness 说服力 to motivate others. Charismatic leaders can motivate
and inspire their teams toward a greater goal by tapping 窃 听 into their team members’
emotions, creating a sense of trust, passion 热 情 , and purpose greater 更 大 的 目 的 than
themselves. For example, Martin Luther King Jr. empowered 授权 his people with hope. He
did this by conveying his feelings clearly in a storytelling-like language that resonated
deeply 引起了深深的共鸣 in the hearts of millions of his time, and millions after his time.
He never used force or violence 暴 力 but acted against it with peace and a focus on
prosperity(kemakmuran).

Transformational leadership(Kepimpinan transformasi)

Transformational leadership is a leadership style in which leaders
encourage(menggalakkan), inspire and motivate 启发和激励 employees to innovate 创新
and create change that will help grow and shape the future success of the company.
Transformational leaders trust trained employees for taking decisions on their jobs, giving
employees more room to be creative, look to the future and find new solutions to old
problems. For example, Barack Obama is well known for running the White House with
transformational style. He is approachable 平 易 近 人 的 and he encouraged everyone who
worked for him to be open about their ideas and thoughts for improvement. He wasn’t afraid
of change, and encouraged it for everyone who worked with him. This helped him use
innovation in government to make important changes for the future of the country.

Transactional leadership 交易型领导

Transactional leadership focuses on results, conforms 符合 to the existing structure 现有结
构 of an organization and measures success according to that organization’s system of
rewards and penalties 处 罚 . Transactional leaders are likely to command military
operations(perintah operasi ketenteraan), manage large corporations 公司 that require rules
and regulations(peraturan) to complete objectives on time. Therefore, transactional leaders
are not a good fit for places where creativity and innovative ideas are valued. For example,
Bill Gates was also known for his strict following in the chain of command. He delegates 代
表们 and guides through his employees on what exactly he needs and how it can be worked
on about, giving them very little freedom. Under his leadership, Microsoft has literally
changed the world.

Topic 7: Organisational Control

Q1. Define control. Explain THREE (3) types of managerial control 管 理 控 制 in an

organization with appropriate examples.
(15 marks)
Answer:
Control refers to any process that directs the activities of individuals towards the
achievement of organizational goals.
Bureaucratic control

Bureaucratic control is the use of the rules, hierarchies 层 次 结 构 , and policies of

authority(dasar pihak berkuasa) that is the form of written documentations, rewarding
systems and other formal mechanisms that can impact the behaviour of the employee and
also conduct assessment 进行评估 on the performance of the employees.

For example, a new server and a new line cook 新线厨师 each receive a handbook when
they start work. Some information is the same, such as vacation policies 休 假 政 策 ,
restaurant background and code of conduct. However, much of the information might differ
不同 because of the department in which they work. The cook and server may have different
managers, work different hours and have different expectations 期 望 . Because of clear
bureaucratic controls, the employees feel well-informed(berasa berpengetahuan) and ready
to perform the duties their different managers have assigned(ditugaskan) them.

Market controls
Market controls are a set of practices and procedures employed by firms to monitor and
regulate(memantau dan mengawal selia) their marketing activities in achieving
predetermined marketing objectives(objektif pemasaran yang telah ditetapkan). Market
control involves the use of price competition to evaluate output(menilai keluaran). Managers
compare profits and prices to determine the efficiency of their organization. In order to use
market control, there must be a reasonable level of competition in the goods or service area,
and it must be possible to specify requirements clearly(nyatakan keperluan dengan jelas).
Market control is not appropriate(tidak sesuai) in controlling functional departments unless
the price for services is set through competition and its representative(wakil) of the true
value of provided services.
Examples of market controls include market share analysis, sales analysis, quality controls,
marketing financial budgets, market ratio analysis 市场比例分析 , marketing research and
implementation of marketing information systems.( pelaksanaan sistem maklumat
pemasaran.)

Clan control 氏族控制

Clan control represents cultural values almost the opposite 相 反 of bureaucratic control.
Clan control relies on values 依赖价值观, beliefs(kepercayaan), corporate culture 企业文化,
shared norms 共同规范 , and informal relationships to regulate(mengawal selia) employee
behaviors and facilitate the reaching of organizational goals. Organizations that use clan
control require trust among their employees. Given minimal direction and standards,
employees are assumed(diandaikan) to perform well – indeed(sesungguhnya), they
participate in setting standards and designing the control systems.
For example, Google is a firm that relies(bergantung) on clan control to be successful.
Employees are permitted(dibenarkan) to spend 20 percent of their work week on their own
innovative projects 创新项目. The company offers an “ideas mailing list” for employees to
submit new ideas and to comment on others’ ideas.

Q2. Discuss the FOUR (4) steps of control cycle.

 (12 marks)
Answer:
1. Establishing Standards and Methods for Measuring Performance 建立衡量绩效的标
准和方法
Standards are, by definition, simply the criteria of performance 简单的性能标准. They are the
selected points in an entire planning program at which performance is measured so that
managers can receive signals about how things are going and thus do not have to watch every
step in the execution of plans.( pelaksanaan rancangan)
Standard elements form precisely worded(perkataan yang tepat), measurable objectives and
are especially important for control. In an industrial enterprise, standards could include sales
and production targets, work attendance goals, safety records, etc.
In service industries, on the other hand, standards might include several time customers have
to wait in the queue at a bank(beratur di bank) or the number of new clients attracted by a
revamped advertising campaign.( tertarik dengan kempen pengiklanan yang telah diubahsuai.)

2. Measuring the Performance 衡量绩效

The measurement of performance against standards should be done on a forward-looking basis
so that deviations may be detected in advance of their occurrence and avoided by appropriate
actions. Several methods are used for measuring the performance of the organization. If
standards are appropriately drawn and if means are available for determining exactly what
subordinates are doing, appraisal of actual or expected performance is fairly easy. But there
are many activities for which it is difficult to develop accurate standards, and there are many
activities that are hard to measure. It may be quite simple, for example, to establish labor-hour
standards for the production of a mass-produced item and it may be equally simple to measure
performance against these standards, but in the less technical kinds of work.
For example, controlling the work of the industrial relations manager is not easy because
definite standards cannot be easily developed. The superiority of this type of manager often
relies on vague standards, such as the attitude of labor unions, the enthusiasm, and loyalty of
subordinates, the index of labor turnover and/or industrial disputes, etc. In such cases, the
superior’s measurements are often equally vague.

3. Determining whether Performance Matches the Standard 确定性能是否符合标准

Determining whether performance matches the standard is an easy but important step in the
control process. It involves comparing the measured results with the standards already set. If
performance matches the standard, managers may assume that “everything is under control”.
In such a case the managers do not have to intervene(campur tangan) in the organization’s
operations.

4. Taking Corrective Action

This step becomes essential(penting) if performance falls short of standards and the analysis
indicates(分析表明) that corrective action is required. The corrective action could involve a
change in one or more activities of the organization’s operations.
For example, the branch manager of a bank might discover that more counter clerks 办事员
are needed to meet the five-minute customer-waiting standard set earlier. Control can also
reveal inappropriate standards 揭示不适当的标准 and in that case, the corrective action could
involve a change in the original standards rather than a change in performance. It needs to be
mentioned that, unless managers see the control process through to its conclusion, they are
merely monitoring performance(hanya memantau prestasi) rather than exercising control. The
emphasis(penekanan) should always be on devising constructive ways(merangka cara yang
membina) to bring performance up to a standard rather than merely identifying(sekadar
mengenal pasti) a past failure.

Q3. Describe the THREE (3) approaches of bureaucratic control. Support your answer with
appropriate examples.
(10 marks)
Answer:
Feedforward control(Kawalan maklum balas)

The control process used before operations begin, including policies 包括政策, procedures,
and rules designed to ensure that planned activities are carried out properly. Examples:
Standard Operating Procedures (SOP), return policy on products that you bought from a
shop (e.g., only accept items in good conditions within 3 days of purchase).

Concurrent control(Kawalan serentak)

The control process used while plans are being carried out, including directing,
monitoring(pemantauan), and fine-tuning activities 微 调 活 动 as they are performed.
Examples: Fleet tracking 车 队 追 踪 . Fleet tracking by GPS allows managers to monitor
company vehicles. Managers can plan more efficient routes and alert drivers 路线和提醒司
机 to change routes to avoid heavy traffic.

Feedback control

Control that focuses on the use of information about previous results to correct deviations 偏
差 from the acceptable standard 可接受的标准. Example: based on the profit/loss level to
adjust marketing and production quantity (e.g. if there were many left over of cheese cakes
yesterday, the café may order less today)

Q4. Discuss FIVE (5) types of budgetary control.

(10 marks)
Answer:
Production budget
Production budget is a financial plan that lists the number of units to be manufactured 制造的
during a period.
Managers use the production budget to estimate 估 计 how many units they will need to
produce in future periods based on the future estimated sales numbers. They also use this
report as a planning tool for future production processes, machine times, and
scheduling(penjadualan).

Cost budget
Cost budget is a tool to estimate the costs or necessary efforts for projects, work packages or
activities in project management
Cost budget includes the estimation of costs, setting a fixed budget and managing and
controlling the actual costs. 实际成本
The cost budget is used for areas of the organizations that incur expenses(mengeluarkan
perbelanjaan) but no revenue( 没 有 收 入 ), such as human resources and other support
departments.

Cash budget
Cash budget is an estimation of the cash flows of a business over a specific period of time.
This could be for a weekly, monthly, quarterly, or annual budget(bajet tahunan).
This budget is used to assess(menilai) whether the entity has sufficient cash 实体有足够的现
金 to continue operating over the given time frame(tempoh masa.).
The cash budget provides a company insight 公 司 洞 察 力 into cash needs and helps to
determine an efficient allocation 有效配置 of cash.

Capital budget(Bajet modal)

The capital budget is used for the cost of fixed assets 固定资产 such as plants and equipment
设 备 . Such costs are usually treated 处 理 过 的 not as regular expenses 经 常 开 支 but as
investments 投 资 because of their long-term nature and importance to the organization's
productivity.

Master budget 总预算

The master budget includes all the major activities of the business. It brings together and
coordinates(menyelaras) all the activities of the other budgets and can be thought of as a
budget of budgets.
Master budget is the central planning tool that a management team uses to direct the activities
of a cooperation(kerjasama), as well as to judge the performance 判 断 性 能 of its various
responsibility centers(pelbagai pusat tanggungjawab). It is customary 习 惯 的 for the senior
management team to review a number of iterations 迭代 of the master budget and incorporate
modifications(memasukkan pengubahsuaian) until it arrives at a budget that allocates funds 分
配资金 to achieve the desired results.( hasil yang diingini)

Q5. Explain THREE (3) types of financial control.

(10 marks)

Answer:
The Balance Sheets(Kunci Kira-kira)
The balance sheet is a snapshot 快照 of the business’s financial position at a certain point in
time. This can be any day of the year or at the end of each month. It is a statement that shows a
detailed listing of assets, liabilities, and capital(modal.). With a budget in hand, firms project
forward and develop pro forma statements 项 目 推 进 和 制 定 备 考 报 表 to monitor actual
progress against expectations.( memantau kemajuan sebenar berbanding jangkaan.)

Profit and Loss Statement （Income Statement)( Kenyataan untung dan rugi)
Profit & loss statement is prepared to determine the net profit earned or net loss incurred due to
the operations of a business. It is a financial statement that summarizes the
revenues(meringkaskan hasil), costs, and expenses incurred(perbelanjaan yang ditanggung)
during a specified period. It is an important final account of a business which shows the
summarized view of revenues and expenses for a particular accounting period. Besides that, the
expected net income in the statement is the standard for measuring a department’s performance.

Financial Ratios
Financial ratios are created with the use of numerical values taken from financial statements to
gain benefit information about a company. Ratio analysis compares line-item data from a
company's financial statements to reveal insights regarding profitability, liquidity, and
operational efficiency. The current ratio is a liquidity ratio that measures a company's ability to
pay short-term liabilities or those due within one year. The debt-equity ratio is a leverage ratio
to evaluate a company's financial leverage and is calculated by dividing a company’s total
liabilities by its stockholder equity. It is focused on long-term liabilities. Return on investment
(ROI) is a financial metric that is widely used to measure the probability of capital used or rate
of gaining a return from an investment.
Q6. Explain FIVE (5) ways that used by manager to create an effective control system.
(15 marks)
Answer:

First, managers can start by establishing effective performance standards, such as providing
high quality products in large quantities. Effective performance will save time and cost by
providing employees with the quality and quantity of things they need to do their job such as
computers, printers and more. They can work without facing any difficulties and when they
can work properly, the company can do well in the society.

The second thing is to provide enough information to the employees. This means that as a
manager, it is important to inform employees about the nature of the control system. A
management control system is a set of administrative procedures through which one group of
people in an organization intentionally influences the behavior of another group of people. In
addition, it is important to provide feedback to employees because by doing so employees will
know what mistakes they have made and what they should not do wrong. They will also know
how to correct the mistakes themselves because they already know what is wrong.

It is also important to ensure employee acceptability. Some companies have systems that help
evaluate their managers and workers. Beyond that, employees are more likely to accept
systems that have reasonable, achievable performance standards but are not overly controlling.

In addition, one way to do this is by maintaining open communication. When an employee is

willing to talk to his manager, it opens awkwardness in the environment, and when an
employee opens up to his manager, he will not hesitate to say good or bad things about anyone
in the company. This is not a bad thing because the employee and the manager will know what
they think about other people, which will help improve the workplace and eliminate any
misunderstandings.

The last one is to use multiple approaches, which means multiple controls, such as the bank
needs to control the risk from defaulting borrowers, plus profit controls, including sales
budgets, strategy maps and balanced scorecard methods that target account and customer
growth.
Topic 8: Motivation & Rewards
Q1. Describe FOUR (4) ways that a manager uses to reinforce employees’ performance.
Support your answer with appropriate examples.
(15 marks)
Answer:

Positive Reinforcement
In operant conditioning, positive reinforcement involves the addition of an reinforcing
stimulus following a behavior that makes it more likely that the behavior will occur again in
the future. When a favorable outcome, event, or reward occurs after an action, that particular
response or behavior will be strengthened. For example, the manager should create an entire
rewards system for his employees, such as providing monetary bonus, raise performance
bonuses, increased vacation days, mental health allowance etc. While this is a great thing to
do, positive reinforcement doesn’t always have to be on such a large scale. A simple pat on
the back or thank-you note serves as an everyday form of positive reinforcement.
Negative Reinforcement - employees do not like, but it is not a form of punishment
Negative reinforcement is the idea that by stopping an action or taking a negative
consequence away, that you can strengthen a certain behavior. When you remove something
unpleasant immediately following an action or behavior, you condition a person to believe
that they must behave in a certain way. Following the removal of the unwanted condition,
the behavior is much more likely to be repeated. For example, a manager should regularly
remind his team members of their productivity goals. He does this sometimes intentionally
or unintentionally and verbally or non-verbally. This constant reminder can be considered
unpleasant to team members, so in return, his team maintains the expected level of
productivity to avoid the constant reminders.

Punishment
Punishment is a term used in operant conditioning psychology to refer to any change that
occurs after a behavior that reduces the likelihood that the behavior will occur again in the
future. Punishment can be effective in stopping undesirable employee behaviors such as
tardiness, absenteeism or substandard work performance. Punishment is one of the more
commonly used reinforcement-theory strategies, but many learning experts suggest that it
should be used only if positive and negative reinforcement cannot be used or have
previously failed, because of the potentially negative side effects of the punishment. An
example of punishment might be demoting an employee who does not meet performance
goals or suspending an employee without pay for violating work rules.

Extinction
Extinction refers to a procedure in which reinforcement that is provided for problem
behavior (often unintentionally) is discontinued in order to decrease or eliminate occurrences
of these types of negative (or problem) behaviors. In other words, extinction is done to bring
to an end behavior employees have learned over a given period of time. As an example,
during a busy period, a manager may decide to give some positive reinforcement in the form
of overtime pay to encourage employees to work extra hours and come in during the
weekends. When business slows down the manager stops approving overtime a move aimed
at dissuading employees from working extra hours and weekends. So, that behavior will be
forgotten after some time because the positive reinforcement that encouraged it has been
withdrawn.
A manager should be careful how he or she does this because when an employee is no longer
receiving positive reinforcement they might feel unappreciated and the morale and
productivity could go down which will definitely impact your business negatively.

Q2. With the aid of a diagram, explain the process of expectancy theory.
(10 marks)
Answer: - consists of 25 marks in exam

Expectancy theory is a theory that propose a person will behave in a certain way because
they are motivated that their effort will lead to desired results and on how highly they value
(valence) that outcome. An outcome refers to the consequence a person receives for his or
her performance.
According to the diagram above, a person’s effort will lead to his performance and outcome,
in which they have expectancy for their performance based on the effort the person put in
and the instrumentality of the outcome based on the performance.

Expectancy
Expectancy is the employee’s belief that effort will lead to the intended performance goals.
In other words, expectancy refers to the employee’s perception of the likelihood that their
efforts will enable them to attain their performance goals. As an example to explain
expectancy, a student is confident that if she studies hard, she will get a good grade for the
finals.

Instrumentality
Instrumentality is the belief that the employee will receive a desired outcome if the
performance expectations are met. In other words, instrumentality refers to the perceived
likelihood that performance will be followed by a particular outcome. As an example to
explain instrumentality, you can be fully confident that if you do a good job, you will get a
promotion; or you can feel that no matter how well you do, the promotion will go to
someone else.

Valence – value of outcome

In addition to outcome, there is also valence which is the value an individual place on the
outcome. Valence can be positive or negative. For instance, a student who wants to get a
 CGPA of 4 puts in many hours into studying (meaning that the student puts in high effort),
his expectation would be that he will get high scores in exams (meaning good performance),
and the desired outcome the students get is CGPA of 4 (which is the instrumentality). Since
the student prefers to obtain a CGPA of 4 than not obtaining it, the valence would be
positive.

Q3. Discuss the THREE (3) levels of Alderfer’s ERG theory.

(10 marks)
Answer:

Alderfer’s ERG theory is a human needs theory postulating that people have three basic sets of
needs that can operate simultaneously. Managers must understand that an employee has various
needs that must be satisfied at the same time. According to the ERG theory, if the manager
concentrates solely on one need at a time, this will not effectively motivate the employee. This
theory condenses five Maslow’s human needs into 3 categories: Existence, Relatedness, and
Growth as shown in the image above.

Existence needs (*Maslow - physiological and security needs)

Existence needs refers to material and physiological desires. This need includes basic survival
and physiological needs like air, water, clothing, and safety.

Relatedness needs (*Maslow - social and esteem needs)

Relatedness needs refers to the relationship with other people and are satisfied through the
process of mutually sharing thoughts and feelings. Relatedness includes personal and family
relationships, social relationships, friendship, intimacy, affection, etc.

Growth needs (*Maslow - self actualisation)

Growth needs are sometimes unachievable for some people as growth needs motivate people to
change themselves or their environment productively or creatively. Growth needs are satisfied
through fully using personal capacities developing new capacities. For example, success and
being valued by others.

Q4. Differentiate between extrinsic reward and intrinsic reward. Support your answer with
appropriate examples.
(10 marks)
Answer:
Extrinsic reward
Extrinsic rewards are the physical rewards that come from an external source such as
employers, company, or another person. Pay raise, bonus, or commission and promotion are
some of the examples of extrinsic rewards.

For instance, some companies such as Starbucks rewards its employees with company shares
when the employees perform well and fulfill the required working period. This reward can
motivate the employees as they will make the effort to maintain their job performance and stay
loyal to the company in lieu of the extrinsic rewards received.

Intrinsic rewards
Intrinsic rewards are the non-physical rewards that workers drive directly from performing the
job. They cannot be seen or touched but are emotionally connected with the employees. In
other words, intrinsic rewards can be defined as the feeling of contentment, knowledge, or new
skill gained one finds in the completion of any task.

For example, Toggl lets the employee choose when and how they do their things. They focus
on measurable results, not traditional performance indicators such as hours clocked and days
absent to boost productivity. Since then they’ve seen improvements to employee’s happiness
and productivity as well as the quality and diversity of talent, because they are motivated and
they feel enjoyment from their work.

Q5. Explain the following terms:

i) Job rotation (3 marks)
Answer:
Employees are shifted between two or more tasks or positions at regular intervals in order to
expose them to all verticals of a business, which is known as job rotation. For instance, an
employer can't rotate a nurse into a doctor's role because of the differing qualifications for
those roles, but a nurse can move into a nursing role in different departments within the
same organization.

ii) Job enlargement (3 marks)

Answer:
Job enlargement is a job design technique wherein there is an increase in the number of
tasks associated with a certain job. In other words, it means increasing the scope of one’s
 duties and responsibilities. The increase in scope is quantitative in nature and at the same
level. For example, an employee who will now also manage her own planning where it was
formerly done by her manager.

iii) Job enrichment (3 marks)

Answer:
Job enrichment is a common motivational technique used by organizations to give
employees greater satisfaction in their work. It means giving an employee additional
responsibilities previously reserved for his manager or other higher-ranking positions. In
essence, an enriched job gives the employee more self-management in his duties.
*Hackman & Oldham's model

Q6. Discuss Herzberg’s two-factor theory with appropriate examples.

(10 marks)
Answer:

According to Herzberg, the factors leading to job satisfaction are separate and distinct from
those that lead to job dissatisfaction. Therefore, managers who seek to eliminate factors that can
create job dissatisfaction may bring about peace but not necessarily result in motivation. The
impact of motivating and hygiene factors are summarized in the diagram above. We will often
see motivators referred to as factors for satisfaction, and hygiene factors referred to as factors
for dissatisfaction.

Hygiene Factors - factors of dissatisfaction

The absence of hygiene factors will cause employees to work less hard. When they are
adequate, people will not be dissatisfied; neither will they be satisfied. Hygiene factors are
not present in the actual job itself but surround the job. Conditions surrounding the job such as
quality of supervision, pay, company policies, physical working conditions, relations with
others, and job security were characterized by Herzberg as hygiene factors.
Motivating factors - factors of satisfaction, also known as motivators
The presence of motivators causes employees to work harder. They are found within the
actual job itself. If we want to motivate people in their jobs, Herzberg suggested emphasizing
factors associated with motivators; the work itself or to outcomes directly derived from it, such
as promotional opportunities, opportunities for personal growth, recognition, responsibility,
and achievement. These are the characteristics that people find intrinsically rewarding.

Q7. Define quality of work life (QWL) program. Discuss FIVE (5) ways used by a manager
to create a work-life balance workforce.
(15 marks)
Answer:

Quality of work life (QWL) program is a program that is designed to create a workplace that enhances
employee well-being. There are five ways that can be used by a manager to create a work-life balance
workforce.

Provide safe and healthy working environment

The first way used by managers to create a work-life balance workforce is by providing a safe and
healthy working environment. For example, employees must be provided with proper uniforms.
Construction workers must be wearing hard hats at all times in specific zones of the job site and
firefighters must have the latest fire-retardant outfits to go along with sturdy helmets. Healthy work
environment provides the assurance of good health and psychological conditions to the employees
which enables them to perform their duty efficiently.

Offer a job that does not interfere with personal time or family needs
Another way is by offering a job that doesn’t interfere with the employee’s personal time or family
needs. This means having a culture in which employees are not expected to work after they leave the
worksite. It also means restricting how many hours are expected of any employee in a given week.
Organizations should stop contacting their employees after working hours so they can have some
personal time and fulfill family obligations.

Provide job security

Managers also can give employees job security and a chance for personal growth to create a work-life
balanced workforce. Job security is a sense of assurance that employees have that they will remain
employed for the foreseeable future. Managers should proactively communicate with employees about
how they can improve their performance and reward them when they make an improvement. Managers
can also provide employees with the right benefits which includes appropriate pay for each role, the best
health care benefits they can obtain.

Allow employees to use their skills and knowledge

Other than that, managers should also allow employees to use their skills and knowledge when doing
their job. For instance, some people are good at public speaking or communication, while some others
might shy away from it. Therefore, managers should create an environment that promotes knowledge
sharing. Managers can include different activities in their daily office tasks. This can comprise increased
interactions, team-building exercises, quizzes, and collaborations. Even with office tasks, managers can
assign groups to work together and share ideas and knowledge.

Organize CSR activities

Finally, managers should organize CSR activities with employees, CSR is a corporation’s initiative to
take up the responsibility to plan, organize and execute activities or causes that benefit the environment
or social well-being in the community. For example, managers can organize art and craft classes for the
disabled. Constant participation in such CSR activities would do an abundance of good for the
employees of the company as well. Giving them the opportunity to have a closer interaction with
disabled people will build their empathy, sentiment, and appreciation for what they own.
 Topic 9: Managing Technology and Innovation

Q1. Define innovation. Explain THREE (3) types of innovation.

(10 marks)
Answer:
Innovation is the change in method or technology. It is a process of managing an organization's
innovation procedure and starting at the initial stage of providing ideas to its final stage of
successful implementation. There are three types of innovation which are product innovation,
process innovation and business model innovation.

Product innovation
Product innovation can come from 3 different forms such as the development of new products,
an improvement of the performance of the existing product and a new feature to an existing
product.

Process innovation
Process innovation is how a product or service is delivered to the client. It is a combination of
methods and technologies for producing, supporting the products or services. For example,
Henry Ford invented the world’s first moving assembly line. The process not only simplifies
car assembly but also cuts the time it takes to produce a car from 12 hours to 90 minutes.

Business model innovation

Lastly, business model innovation is one of the types of innovation. It does not necessarily
mean a change in the product or even the production process, but in the way the product is
brought to market. For instance, a large company transforming its business model to actually
create a new industry is Amazon. Amazon has found a new way to reach and market its
customers online without going through traditional retail distribution channels.

Q2. Discuss the FIVE (5) forces of driving technological development.

(15 marks)
Answer:

Firstly, there must be a need, or demand, for the technology. If people demand for the new
technology, the businesses will be willing to develop it as they can earn more profits.

Secondly, meeting the need must be theoretically possible, and the knowledge to do so must be
available from basic science. This means that research and development needs to be carried out
to ensure that it is possible for the company to develop the technology.

Thirdly, it must be able to convert scientific knowledge into practice in both engineering and
economic terms. This means that the company must test and practice in order to meet the needs
of technology development.

Moreover, the funding, skilled labor, time, space, and other resources needed to develop
the technology must be available. For example, the company must have enough funds to hire
experts and scientists to develop the technology.
Lastly, entrepreneurial initiative is needed to identify and pull all the necessary elements
together. For example, the person must have passion, perseverance and be willing to take risks.

Q3. Describe FOUR (4) measures of current technologies with appropriate examples.
(15 marks)
Answer:

Emerging technologies
Emerging technologies are technologies that are still under development and unproven.
These technologies are expected to be available but are still unrealized. For example, Apple
has planned to enter the car market and aims to launch a self-driving electric vehicle in 2025.
The Apple Car is a fully self-driving vehicle with no steering wheel or pedals, and it is still
under processing.

Pacing technologies
Pacing technologies are technologies in an early development stage with a demonstrated
potential for changing the basis of competition. It provides a significant advantage to users
but it may be costly. For example, the flexible display paper which is unbreakable, lighter,
and thinner than glass-based displays and low-power.

Key technologies
Key technologies are effective and helpful but not every consumer will use them. For
example the delivery app of McDonald’s, consumers will more likely to use the drive-thru
service or walk-in order but not the app.

Base technologies
Base technologies are technologies that are widely used in the industry and everyone must
have them in order to function and operate. Global positioning systems (GPS) technology is
essential in tracking packages, deliveries, and drivers throughout the logistics and delivery
processes in a delivery company.

Q4. Explain the FIVE (5) factors considered by manager to make technological decisions.
(15 marks)
Answer:
The first consideration that needs to be addressed in developing a strategy around
technological innovation is market potential (Anticipated market receptiveness). In many
cases, innovations are stimulated by external demand for new goods and services. For
example, the share of Internet users who use a language other than English has been growing
rapidly. In the short run, the new technology should have an immediate, valuable application.
In the long run, the technology must be able to satisfy a market need or needs.

In addition, managers must consider the feasibility of technological innovations. Visions can
stay unrealized for a long time. Technical obstacles may represent barriers to progress. For
example, In medicine, scientists and doctors work continuously to identify the causes of and
cures for diseases such as cancer and AIDS,

Closely related to technological feasibility is economic viability. Apart from whether a firin
can "pull off" a technological innovation, executives must consider whether there is a good
financial incentive for doing so. For example, NALE The Nasi Lemak Co. applies robotics
technology (computer vision and artificial intelligence) to fast-food operations to make them
more efficient. Using this technology is economically feasible because it reduces waste,
improves customer satisfaction, and reduces employee turnover.

Accordingly, competencies are understood to be the cognitive abilities and skills, as well as
the level of knowledge that an individual possesses in order to be able to practically master a
specific problem. Competencies can be learned and thus promoted.

Last, organizational suitability is to assess the fit with culture and managerial system.Ie:
Prospector firms- Google/Amazon prioritise in developing and exploiting technology; Ie:
Defender firms- Utility firms employ complementary technologies such as investing in digital
meter technology that provides real-time electric and water usage data to customers’ mobile
devices; Ie: Analyser firms- Samsung needs to stay technologically competitive but tends to
allow Apple to demonstrate solid demand in new arenas before it responds.
 Topic 10: Ethics and CSR
Q1. Define the following terms:
i) Business ethics (2 marks)

Answer:

Business ethics is the study of proper business rules and procedures pertaining to potentially
contentious issues such as corporate governance, insider trading, bribery, discrimination and
corporate social responsibility. The moral ideas and norms that govern business action. For
example, companies use fictitious blogs to sell themselves without disclosing their
sponsorship, and even pay bloggers to make good comments about them.

ii) Universalism (2 marks)

Answer:
The ethical system states that all people must uphold certain ideals in order for society to
function. A nonprofit organization, for example, respects all of its employees who work in
different nations with fairness and decency.
iii) Utilitarianism (2 marks)

Answer:
An ethical framework claiming that the greatest good for the largest number should be the
paramount priority of decision makers. Employees of a mid-sized company, for example,
accept a 10% salary cut after losing two key customers so that no one has to be laid off.

iv) Relativism (2 marks)

Answer:

Relativism is the theory that claims that morality is relative to cultural standards. That is,
whether an activity is right or bad is determined by the moral standards of the society in which
it is carried out. The identical conduct may be morally correct in one community but not in
another. Many oil corporations, for example, operate in the United States, which believes that
men and women should be treated equally and that bribery is unacceptable, while also
operating in various Middle Eastern nations where women are considered submissive to men
and bribery is generally tolerated.
Q2. Define corporate social responsibility. Discuss the FOUR (4) main types of corporate
social responsibility.
(15 marks)
Answer:

Corporate social responsibility (CSR) is a self-regulating business model that helps a company
be socially accountable to itself, its stakeholders, and the public. By practising corporate social
responsibility, companies can be conscious of the kind of impact they are having on all aspects
of society. CSR evolved from the voluntary choices of individual companies to mandatory
regulations at regional, national and international levels. However, many companies choose to
go beyond the legal requirements and embed the idea of "doing good" into their business
models.

Economic Responsibilities
Part of being socially responsible is remaining profitable. Businesses support a lot of people,
including shareholders and investors, employees and partners. It is socially responsible for the
company to thrive and meet its revenue goals. In addition to increasing revenue, businesses
need to work to reduce expenses and costs so they can maximise their profits. However,
economic interests are not the only guideposts and should not be viewed in a vacuum.
Businesses maintain profitability and minimise expenses by keeping the broader community in
mind and not taking any actions to harm it. This means ethical sourcing of products, using
sustainable business practices, treating employees and customers fairly, and taking
responsibility for business actions.

Legal Responsibilities
From a legal perspective, it’s critical for businesses to follow the letter of the law. In addition
to being aware of local, federal and international laws, companies also need to understand the
rules of regulatory bodies for their industries. All businesses have a legal responsibility to do
so. For example, if a small business sells toys for children, it needs to ensure that the products
meet all safety regulations specified by the regulatory bodies. In addition, it needs to check
that any international manufacturers used appropriate materials, since businesses in other
countries may have different rules and regulations.

Ethical Responsibilities
As one of the most important elements of social responsibility, ethical actions define the core
values of a business. Instead of merely abiding by the law, a business that focuses on corporate
social responsibility needs to go above and beyond that and make choices based on what is
right, not just what is legal. For example, if a business pays its employees minimum wage, that
action follows a legal directive. However, if an employer chooses to pay its employees more
than minimum wage in the belief that the employees do important work and deserve to be
compensated accordingly, that is making a socially responsible decision. In addition to the
compensation, employers can offer paid vacation, education and training perks and health
coverage to improve the lives of their employees.

Philanthropic Responsibilities
One of the best-known aspects of social responsibility is philanthropy. Companies take actions
that improve the society around them, such as donating money or products and volunteering
time. By helping those in need, businesses make a positive difference in the lives of people in
their communities. For example, a bakery could send leftover bread at the end of the day to a
nearby food bank, or a hairdresser can offer free haircuts to homeless people in the
community. These philanthropic actions help the businesses to remain accountable and show
employees and customers the true values of their businesses.
Topic 11: Managing Conflict and Politics
Q1. Define organisational conflict. Explain the FOUR (4) types of organizational conflict.
(10 marks)
Answer:

Interorganizational Conflict
Conflict that is developed between organizations is called interorganizational conflict. Inter-
organizational conflict usually occurs when there is a high level of competition between two
firms. Mergers, takeovers and acquisitions may also result in interorganizational conflict. The
opposite attitudes and values of two different organizations can lead to a high level of
interorganizational conflict. We can see interorganizational conflict in disputes between two
companies in the same industry. For example, a disagreement between computer manufactures
over computer standards. Besides, the conflict between two companies in different industries or
economic sectors. For example, a conflict between real estate interests and environmentalists
over land use planning.

Interpersonal Conflict
Interpersonal conflict is an affective conflict between individual people, usually two or more.
Oftentimes interpersonal conflict presents itself when there are people that differ in personality
or perspectives come together to determine how to accomplish a goal or they may have two
competing goals. A goal conflict sometimes can occur without a party knowing that there was
conflict to being with. An example of this occurring would be if two people disagree on which
target audience they should develop their client’s website for.

Intragroup Conflict
Intragroup conflict occurs when people within an organization, group, or team have a conflict
with other members of the group. This conflict is also caused when there are people with a
variety of opinions and perspectives that may disagree on how to accomplish a goal or may
disagree on which goal should be accomplished first. Having a goal conflict in an intragroup
can also occur when there are differences in communication and personalities. An example of
this is a group being responsible for building the JavaScript for the website and having
disagreements on varying methods of organizing it.

Intergroup Conflict
Is when a group or team has conflict with another group within an organization. It is a form of
intraorganizational conflict that tends to occur when groups do not have the same goals and
involves discord or tension. For example, there are multiple groups within an organization that
have disagreements on a completion deadline for each part of a website.

Q2. Discuss FIVE (5) ways used by a manager to increase power in an organization.
(10 marks)
Answer:

Controlling Uncertainty
The first way for a manager to increase their power is controlling uncertainty, it means to
reduce uncertainty for others in the organization. For example, there are rumors that a company
is going bankrupt, causing staff to feel confused about what is really going on inside the
company. This uncertainty has damaged staff morale and productivity. The new manager's
decision to stop secrecy and assisted people in feeling more secure. By reducing uncertainty,
the manager has established himself as a good leader in the company and increased the trust of
staff members.
Making Oneself Irreplaceable
Managers can develop valuable special knowledge or skills in the firm. Employees who can
position themselves as irreplaceable can quickly gain power in an organization. If a company
sees the employee as someone they cannot replace, they have more incentive to promote them
and give them more power in their department.

Being in a Central Position

Managers have decision-making control over the firm's crucial activities and resources also can
increase the power of them. For example, if managers have greater decision-making power,
subordinates must obey their orders and increase their power.

Generating Resources
When someone can help to connect a company with important resources, they are able to
establish respect and solidify their interest in growing the company. For instance, managers can
hire skilled people or find financing when it is needed to bring in the resources to the company.

Building Alliances
The last way to help to increase the power of managers is gaining allies. For example, managers
can develop mutually beneficial relations with others inside and outside the organization to gain
power and trust from them.