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In 2017, John was employed as the manager of a bakery with 80 employees - VCE - SSCE Business Management - Question 1 - 2020 - Paper 1

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In 2017, John was employed as the manager of a bakery with 80 employees. In 2020, the business has had the following business objectives: - to increase profits by 10... show full transcript

Worked Solution & Example Answer:In 2017, John was employed as the manager of a bakery with 80 employees - VCE - SSCE Business Management - Question 1 - 2020 - Paper 1

Step 1

Define the term 'business objective'.

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Answer

A business objective refers to the specific, measurable goals that a business aims to achieve over a defined period. These objectives guide the decision-making process and provide a clear focus for the organization. For example, objectives can range from increasing sales by a certain percentage to reducing operational costs. Importantly, they should be realistic, attainable, and directly linked to the overall vision and mission of the business.

Step 2

Evaluate the suitability of the management style John has adopted for achieving the bakery's business objectives.

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Answer

The autocratic management style that John has adopted centralizes decision-making, allowing him to provide clear directives to his employees. This can lead to more straightforward execution of tasks and a quick response to issues. However, it may also hinder employee morale and motivation since employee input is often overlooked.

One positive aspect is that this style can contribute to achieving the objective of increasing profits. With clear guidelines and orders, employees may work efficiently towards this objective. However, this approach could negatively impact the goal of reducing staff absenteeism. Employees might feel undervalued and less engaged, leading to higher absenteeism rates as they may not feel a sense of belonging or satisfaction in their roles. Thus, while the autocratic style may help in swift decision-making, its overall effectiveness in achieving both objectives is questionable, and it may require a more balanced approach to enhance employee morale.

Step 3

Propose and justify one performance management strategy, other than a change in management style, that John could use to reduce staff absenteeism.

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Answer

One effective performance management strategy that John could implement is staff training and development. By offering training programs, John can equip employees with new skills, enhancing their efficiency and confidence in their roles. This not only aids in personal and professional growth but also fosters a sense of investment in the employees’ futures at the bakery.

Additionally, a focus on skill development reinforces the value that employees bring to the organization, potentially boosting morale and reducing feelings of disengagement. When employees perceive that the bakery cares about their development, they are more likely to feel valued and commit to their work responsibilities, ultimately reducing absenteeism.

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