COMPLETE REVISION PRACTICE
QUESTIONS AND ANSWERS
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,what are contingency plans? Planned responses to be implemented when and if a risk event occurs
What is crisis management? when an unexpected situation occurs and the business has to respond
What is Handy's model of organisational culture? Power culture- decision made by small number of people. will struggle if business
grows, employees more likely to resist change.
Role culture- decisions come from senior managers so employees don't get
involved. Tend to avoid risk and are slow to respond to change, employees likely
to resist as nt used to doing things differently.
Persona culture- common in loose organisations of individual workers. Objectives
defined by personal ambitions, individuals have common goals. Decisions made
jointly, so likely to accept change, but can be tricky as often think about what's
best for themselves.
Task culture- emphasis on getting tasks done. gets small teams together on
projects. Can be conflict between who gets most resources and budget.
Objectives based around products. Change is normal as used to changing teams
so not resistant.
what are Kotter and Schlesinger's four reasons for 1) self interest- more concerned with own situation
resistance to change? 2) Misunderstanding- don't know what it means for them
3) Low tolerance of change- used to doing tasks the way they know
4) Different assessments of the situation- stakeholders disagree over reasons for
change
what are Kotter and Schlesinger's 6 ways of overcoming 1) Education & communication- e.g. presentations
resistance to change 2) Participation & involvement- stakeholders help implement
3) Facilitation & support- listen to concerns, hold meetings
4) Negotiation & agreement- compromise over some points
5) Manipulation & co-option- give them a desirable role, or manipulate info given
6) Explicit & implicit coercion- imply or state to threaten their job
What is delayering Removing part of an organisation's hierarchy- flatter structure
What are Mechanistic structures Centralised, rigid, traditional structure. Tall structure, decisions made by
managers, employees specialised in certain tasks.
What is organic structure Decentralised, flat structure, employees involved in decisions. Suit fast changing
enviro. Employees work in teams
What is incremental change? involves making a series of small, gradual modifications to a system or process
over time, rather than large, sudden transformations.
What is disruptive change? Forces firm to suddenly do something in a different way to usual, lack of notice
, What is Lewin's Force Field Analysis? Shows the forces that drive and resist change which help decide whether the plan
should go ahead or not
What is automation using machines instead of human labor
what is e-commerce Conducting business on the internet (buying/selling on the internet)
What are multinationals Businesses that operate and conduct business in multiple countries
What is offshoring? moving parts of a business to cheaper countries
What is re-shoring? Bringing offshore sources back to the home country
What are methods of entering international markets? Importing & exporting= buying from/selling to consumers in other countries.
Licensing= foreign firms produce their goods under license e.g. original
company's name
Alliances= join forces with similar company abroad
Direct investment= take over or merge with business in different country
What is globalisation? Globalisation is the process by which the world is becoming increasingly
interconnected. Business operate in lots of countries and can buy from and sell to
any country.
What is a patent? protection of ownership of an invention
what is trademark Protection of a name/logo/slogan
what is copyright protection of written work or music
What is intrapreneurship? employees within a business encouraged to act like an entrepreneur and think of
new innovation
What is benchmarking Studies other businesses with excellent quality standards and aims to adopt same
methods