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Allan's Advertising Agency has recently employed six graduates - VCE - SSCE Business Management - Question 6 - 2010 - Paper 1

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Allan's Advertising Agency has recently employed six graduates. After six months, three of the graduates have resigned due to low job satisfaction. a. Explain Locke... show full transcript

Worked Solution & Example Answer:Allan's Advertising Agency has recently employed six graduates - VCE - SSCE Business Management - Question 6 - 2010 - Paper 1

Step 1

Explain Locke's theory of motivation. Discuss how using this theory might assist the Human Resource Manager to motivate the remaining three graduates.

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Answer

Locke's theory of motivation, also known as goal-setting theory, emphasizes the importance of setting clear and challenging goals to enhance motivation. According to this theory, specific and difficult goals motivate individuals more than vague or easy goals because they encourage persistence and increase effort.

In the context of Allan's Advertising Agency, the Human Resource Manager can apply Locke's theory by engaging the remaining three graduates in the goal-setting process. By collaboratively setting specific and challenging objectives, employees will likely feel a higher sense of commitment and ownership towards their goals, thus improving their motivation. For example, if these employees participate in establishing their targets related to project outcomes or client satisfaction, they will be more motivated to perform well, leading to increased job satisfaction and reduced turnover.

Step 2

In addition to improved job satisfaction, discuss two other benefits to Allan's Advertising Agency that could be achieved through the use of Locke's motivational theory.

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Answer

Two other benefits of using Locke's motivational theory at Allan's Advertising Agency include:

  1. Increased Productivity: By setting clear and challenging goals, employees are more likely to focus their efforts and enhance their productivity. When staff members understand what they need to achieve, they can direct their energy more effectively, thereby driving overall efficiency within the organization.

  2. Enhanced Employee Engagement: Engaging employees in the goal-setting process fosters a sense of involvement and ownership. This increased investment in their work can lead to higher levels of enthusiasm and creativity, ultimately contributing to a positive workplace culture and improved employee retention.

Step 3

Discuss how reward management is linked to motivation in an organisation. In your answer identify and explain the way one financial and one non-financial reward could improve motivation.

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Reward management is intrinsically linked to motivation as it encompasses the strategies used by an organization to provide rewards that meet the needs of employees and drive their performance. Effective reward systems can enhance motivation by recognizing and reinforcing employee contributions.

One financial reward that could improve motivation is performance-based bonuses. This type of reward directly ties an employee's performance to their financial compensation, incentivizing them to exceed their targets.

On the other hand, a non-financial reward, such as public recognition, can also significantly boost motivation. Recognizing employees in team meetings or company newsletters not only validates their efforts but also fosters a sense of belonging and appreciation within the workplace. This can lead to increased morale and higher motivation levels among staff.

Step 4

Discuss the selection processes that could be used to ensure that the new staff meet the needs of the organisation.

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Answer

Selection processes are essential for ensuring that new hires align with the organization’s goals and culture. Here are key selection processes that the Human Resource Manager could implement:

  1. Job Analysis: Conducting a thorough job analysis will help identify the essential skills, qualifications, and attributes required for the new positions. This provides a clear framework for the selection process.

  2. Structured Interviews: Implementing structured interviews ensures consistency and fairness in evaluating candidates. These interviews can be tailored to assess specific competencies and behaviors pertinent to the roles.

  3. Psychometric Testing: Utilizing psychometric assessments can provide insights into a candidate's abilities, personality traits, and cultural fit, allowing the organization to select individuals who will thrive in their roles.

  4. Reference Checks: Conducting reference checks can verify candidates’ previous performance and suitability, ensuring that the selected graduates are reliable and capable of fulfilling their job responsibilities effectively.

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