Marketing mix elements of Starbuck and British airways Essay

Marketing mix elements of Starbuck and British airways - Essay Example The British Airways which is located London, UK provides transport services as their commodity of trade across the globe. The pricing of their services provides the customer with a choice to get what they can afford. This therefore enables them earn profits and beat competition in the market. The prices of British Airways also promote their business. This is backed up with promotional offers during Christmas. They have also expanded their persuasive communication to customers to enable them proof the existence. This airline also has an e-business which has then enabled them to access a very wide market all over the world.According to Ambler (2004), comparing Starbucks and British Airways businesses, one of their differences is that Starbucks is a product business while the British Airways is a services business. The pricing of the two businesses also differ. British Airways offers low prices for their services while Starbucks prices are relatively higher than those of their competito rs. The process of service provision used by the British Airways is that of direct access to the customers while Starbucks Corporation uses other business intermediaries to run their businesses in other countries that their coffee stores are located. Starbucks target market was university students while British market target is people from all over the world.McDonald and Keegan (2002) explain that Starbucks offers Wi-Fi to their customers while British Airways use their pricing and other online services to promote their business.

McDonald's ethics Term Paper Example | Topics and Well Written Essays - 1250 words

McDonald's ethics - Term Paper Example ald s code of ethics likewise promises to intention any private or open clash that may take the position of budgetary , political , social , monetary and natural stance (Mcdonald s Corporation , 2006 , Online ). Mcdonalds will likewise be transparent on the strategy that they use to determination such clash . For this situation , they will be looking to cultivate great association with all the stake holders . On the budgetary additions , Mcdonalds have the moral obligation of proclaiming the comes back to the shareholders in correctness , prompt , transparent and obliged profundity . The guarantee to maintain the US and non US organizations regulations . The guarantee to act without noxiousness , with sensible forethought and with transparent truths that wont be influenced by any second or outsider weight . The partnership esteems business autonomy that they might want to exhibit to any autonomous second gathering reviewers (Mcdonald s Corporation , 2006 , Online Mcdonalds guarantees to settle on the right choices and translations that are without subordination . The code of morals additionally ties the workers to keep up indispensable organization secrecy unless appropriately approved. They have a guarantee that all representatives will have great stream of correspondence. The will be customarily redesigning the shareholders of any monetary matter that effect on the business. Rewrapping the Big Mac McDonalds was provoked to settle on the sudden choice of changing from the clamshell polystyrene cheeseburger boxes wrap to wrap because of ecological concerns. There were purchaser worries that the polystyrene wraps were contaminating natures domain regardless of the possibility that the organization had the capacity to reuse them in the past. They were currently holding the presumption that the wraps were all the more ecologically sound. Today discharges its fourth Corporate Responsibility Report, themed "Dependable nourishment for a supportable future." The

Sexual harassment in the work place

Sexual harassment in the work place Sexual Harassment in the Work Place The Clarence Thomas Supreme Court case confirmation hearings in 1991 were the first to bring the issue of sexual harassment into increased standing. Anita Hill, a former employee of Thomas, alleged that he had sexually harassed her while she was working under his supervision. Although the allegations where never sustained, the hearing made many people more aware of how often employees are sexually harassed in the work place. This, combined with other events lead to a tremendous increase in the number of sexual harassment complaints bring filed with the Equal Employment Opportunity Commission (Chapter 3, 123). In addition to the early allegations, there have been more recent incidents that have brought more attention to sexual harassment in the workplace. One major incident took place after President Clinton took office and faced a sexual harassment lawsuit by Paula Corbin Jones. Jones alleged that Clinton sexual harassed her during a business trip in a Little Rock hotel room. This caused the number of sexual harassment complaints to jump in number, again, between 1993 and 1994. However, the number of cases filed has decreased substantially since 2000 (Chapter 3, 123). There are two specific legal definitions of sexual harassment that have been established in employment law. Quid Pro Quo Harassment; this is transferred into â€Å"something for something,† or â€Å"you do something for me and Ill do something for you† (Sexual Harassment, 2009). This happens when unwelcome sexual advances are expected in exchange for certain job benefits. An example of this would be an employee being offered a raise or a promotion if they go out on a date with the particular supervisor. This also happens when an employee makes a decision, or provides or withholds certain opportunities based on another employees submission to verbal, non verbal or physical conduct (Sexual Harassment, 2009). Quid pro quo harassment is just as unlawful whether the victim resists and suffers the threatened harm or submits to avoid the harm (Sexual Harassment, 2009). The Bundy v. Jackson case illustrates quid for quo sexual harassment. Bundy was a personnel clerk with District of Columbia Department of Corrections. She received repeated sexual propositions from Delbert Jackson, who was currently another employee when this happened. He later became the director of the agency. After this she began to receive propositions from two of her supervisors. She took the issue to their supervisor, Lawrence Swain, who dismissed her complaints; telling her that â€Å"any man in his right mind would want to rape you,† then proceeded to ask her to begin a sexual relationship with him (Chapter 3, 123). When Bundy was eligible for a promotion, she was passed over because of her â€Å"inadequate work performance,† although she had never been told that her work performance was unsatisfactory (Chapter 3, 123). The second definition is Hostile Environment Sexual Harassment. This happens when an employee is â€Å"subjected to comments of sexual nature, offensive sexual materials, or unwelcomed physical contact as a regular part of the work environment† (Chapter 3, 123). Normally if this were to happen once it would not be considered hostile environment harassment unless it is extremely outrageous conduct. Under this definition the courts look to see whether the conduct is both serious and frequent. Supervisors, managers, co-workers and even customers can create a hostile environment (Chapter 3, 123). These types of behaviors are also covered under Title VII because they treat individuals differently based on their sex. Also, although most harassment cases involve male on female harassment, any individual can be harassed. For example, male employees at Jenny Craig alleged that they were sexually harassed, and a federal jury found that a male employee had been sexually harassed by his male boss (Chapter 3, 123). In addition, Ron Clark Ford of Amarillo, Texas, recently agreed to pay 140,000 dollars to six male plaintiffs who alleged that they and others were subjected to a sexually hostile work environment and treated differently because of their gender by male managers (Chapter 3, 123). There are three critical issues when dealing with sexual harassment cases. First, the plaintiff cannot have â€Å"invited or incited† the advances (Chapter 3, 123). Most of the time the plaintiffs sexual history, whether she or he wear provocative clothing, and whether she or he engages in sexually explicit conversations are used to prove or disprove that the advance was unwelcome (Elements, 648). The second critical issue if that the harassment must have been severe enough to alter the â€Å"terms conditions and privileges of the employment† (Chapter 3, 123). Many courts have used the â€Å"reasonable woman† standard in determining the severity or pervasiveness of the harassment (Elements, 648). This consists of assessing whether a reasonable woman, faced with the same situation, would have reacted similarly. This recognizes that behavior that might be considered appropriate by a man may not be considered appropriate by a woman (Elements, 648). The third issue is that the courts must determine whether the organization is liable for the actions of it employees. To determine this, the courts normally examine two things. First, did the employer know about the harassment? Second, did the employer do anything to stop this behavior? Normally if the employer knew about the actions and didnt do anything to stop them then the court would find the employer guilty of not appropriately stopping the harassment (Elements, 648). The US Equal Employment Opportunity Commission (EEOC) describes sexual harassment as a â€Å"form of gender discrimination that is in violation of Title VII of the 1964 Civil Rights Act† (Abdulaziz, S. 2009). In 1998, the US Supreme Court made employers more liable for sexual harassment of their employees. Since then, the Society for Human Resource Management has reported that 62 percent of companies now offer sexual harassment prevention training programs, and 97 percent have a written sexual harassment policy (Abdulaziz, S. 2009). The number of cases filed with the EEOC has gradually decreased. In 1997, close to 16,000 charges were filled. Ten years later in 2007, only 12,510 were filed. â€Å"A telephone poll done by Louis Harris and Associates on 782 US workers revealed the following statistics: 31 percent of the female workers and only 7 percent of male workers reported they had been harassed at work, 62 percent of targets took no action, 100 percent of female workers were harassed by men, where as, 59 percent of men reported the harasser was a woman and 41 percent said the harasser was another man† (Elements, 648). Remedies for sexual harassment depend on the severity of sexual harassment complaints and findings of the investigator, as well as, the situation. When the person lost an employment opportunity the following could happen: hiring the person for the job or opportunity lost, providing the person with the opportunity with he or she missed to the extent possible, and providing financial compensation for the lost opportunity (Discrimination, 2009). If the person has lost wages the following could happen: all or part of the lost wages or salary would be compensated, lost pension or other benefits would be compensated, lost raises, overtime, shift bonuses, or higher rates of pay which should have been earned by promotion would be compensated, and any lost wages or benefits which can reasonably be linked to the act of sexual harassment would be compensated (Discrimination, 2009). Typically all expenses attributed to the enforcement of the persons rights can be compensated. Such expenses include: medical expenses, such as psychological care, travel expenses for attending physician, preparation of reports and costs of experts attendance at a trial, travel costs to attend a hearing, and wages and/or tips lost as a result of attending a hearing (Discrimination, 2009). Sexual harassment in a work place is any form of unwanted or unwelcomed behavior, or attention of a sexual nature that interferes with your ability to function at work. It is also, largely a form of gender discrimination that is covered under Title VII of the Civil Rights Act (Sexual Harassment, 2009).There are many cases that have resulted from sexual harassment and many different forms of remedies of such harassment takes place.

Worldwide Education :: essays research papers

Around the world, education is funded in different ways, yielding different outcomes. In Europe, the state typically still pays for the institutional costs of instruction; students pay little or no tuition, but are responsible for living costs; and most universities are public. In many Asian countries (such as Japan, Korea, Taiwan, and the Philippines), most students attend private universities and colleges and pay the full cost of their education. Tuition is also charged in the small and relatively elite public higher education sector. In the United States, a mix of public and private institutions exists; 80 percent of students attend public colleges and universities, where they pay tuition amounting to something like a quarter or more of the actual cost of instruction, with public funds and other resources covering the rest. The remaining 20 percent study in private institutions, where students pay the bulk of the cost of education. Many people scowl at the idea of reforming to a European model of school funding, believing that the taxes would be exponentially higher. However, this is not necessarily true. In most EU countries, the standard rate of tax is 20%. The higher rate is 42% for those whom earn over a certain variable gross yearly income. Employees pay tax, similar to the U.S. system under the Pay As You Earn (PAYE) system. This means that tax is deducted by the employer weekly or monthly depending on how frequently you are paid. If you make more than the variable gross yearly income, tax is paid at the standard rate (20%) up to the cut-off point. Any income over the cut-off point is taxed at the higher rate of tax (42%). Unlike the U.S. system or taxation, this system seems more fair, especially because you are not paying tax on any wages that are paid towards healthcare or Old Age Pension (similar to social security). One nation that set the standard for the tax outline currently used in most countries is Ireland. In Ireland, the healthcare tax is about 2% taken out of your paycheck, unless you make under â‚ ¬400 (January 2005) per week – or self-employed people with income of â‚ ¬20,800 or less per year. Also, most employers and employees (over 16 years of age) in Ireland pay social insurance contributions into Ireland's national Social Insurance Fund. In general, the payment of social insurance is required. The social insurance contributions in Ireland are referred to as PRSI (Pay Related Social Insurance).

Acca F1 Chapter 4

Chapter 4: Leadership, management and supervision Chapter learning objectives Upon completion of this chapter you will be able to: * define the term leadership * define the term management * define the term supervision * explain the difference between a leader and a manager distinguish between the role of the manager and the role of a supervisor * explain the classical approach to management using theories of  Fayol and Taylor * explain the main duties of a manager according to  Fayol * outline the relevance of classical approach to modern data practices * explain the nature of the human relations school aâ‚ ¬Ã¢â‚¬Å"  Mayo * describe the modern school of management with reference to the theories of  Mintzberg  and  Drucker * describe the three managerial roles as per work of  H Mintzberg * explain what is meant by authority * explain what is meant by the term responsibility identify the main sources of authority * explain the relationship between authority and respon sibility * explain the situational approach to leadership using  Adair's  theory * explain the contingency approach using  Fiedler's  leadership theory * explain the differences between transactional and transformational leadership referring to the  Bennis  theory * describe the phases of the change process referring to  Kotter  theory * explain the  Heifetz  leadership theory * explain the five scores on the  Blake  and  Mouton  managerial grid * outline the usefulness of the Blake and Mouton grid describe the four leadership styles as per  Ashridge.1 Introduction 1. 1 Leadership Abasic definition of a leader is ‘someone who  exercises  influence overother people'. This can be expanded into a more complex definition:'Leadership is an interpersonal influence directed toward theachievement of a goal or goals'. * Interpersonal aâ‚ ¬Ã¢â‚¬Å" between people. * Influence aâ‚ ¬Ã¢â‚¬Å" the power to affect others. * Goal aâ‚ ¬Ã¢â‚¬Å" something that we need/want to achieve. Leadership is a conscious activity and is concerned with settinggoals and inspiring people to provide commitment to achieve theorganisation's goals. . 2 Managers Allmanagers have in common the  overall  aim of getting things done,delegating to other people rather than doing everything themselves. Management can be defined as ‘the effective use and co-ordinationof resources such as capital, plant, materials and labour to achievedefined objectives with maximum efficiency'. A leader can be a manager, but a manager is not necessarily aleader. If a manager is able to influence people to achieve the goals ofthe organisation, without using formal authority to do so, then themanager is demonstrating leadership.Illustration 1 aâ‚ ¬Ã¢â‚¬Å" Differences between managers and leaders The manager administers; the leader innovates. The manager relies on control; the leader inspires trust. The manager has his eye on the bottom line; the leader has his eye on the horizon. 1. 3 Supervision The supervisor is part of the management team. * The supervisor is a person given authority for planning and controlling the work of their group, but all they can delegate to the group is the work itself. * A supervisor, therefore, is a type of manager whose main role is to ensure that specified tasks are performed correctly and efficiently by a defined group of people. In general, supervisors will also be doing operations work and giving advice to others to help solve problems. If the more senior manager is absent, the supervisor will take over the role. Illustration 2 aâ‚ ¬Ã¢â‚¬Å" The role of a supervisor Supervisors divide their time between supervisory duties and adetailed task. For example a supervisor in  purchasing  may also regularlycomplete some clerical work like raising purchase orders. Managers must ensure that supervisors understand organisationalobjectives and communicate the power and limits of the supervisor'sauthority.Supervis ion is an important part of the task and process ofmanagement. The role of the supervisor requires direct contact with and responsibility for the work of others. * The supervisor is the interface between the management and the workforce. * Front line aâ‚ ¬Ã¢â‚¬Å" resolving problems first hand where the work is done, and often having to resolve problems quickly. * They often need to have direct knowledge of  employment  legislation. * Often have responsibility for negotiation and industrial relations within the department. * Management tasks and operational work to perform. Day-to-day detailed internal information (manager aâ‚ ¬Ã¢â‚¬Å" medium-term internal and external information). Test your understanding 1 Briefly explain in general terms the responsibilities of a supervisor.2 Theories of management 2. 1 The classical school Both  Taylor and Fayol  shared the belief that individualsmust subordinate themselves to the needs of the organisation. In returnthe organisation was obliged to provide job security and goodremuneration. * Taylor and Fayol  believed in ‘one best way', the optimum way to: * organise the firm * do the individual job emphasis on the task to be done rather that the person doing it. * some of the main features of their approach were as follows: * belief in one controlling central authority * specialisation of tasks * fair pay and good working conditions, decided by management * clear lines of command. Illustration 3 aâ‚ ¬Ã¢â‚¬Å" Theories and management Scientific thinking on motivation in the workplace included a belief that reward for effort was a key consideration. Test your understanding 2 Which of the following statements best describes the classical approach to management? A  No one best approach.B  Communication should be encouraged. C  One best approach. D  An employee is considered an input to the organisational system. Fayol  argued that management may be split into five broadsareas: forecasting and planning, organisation, command, co-ordinationand control. Expandable text – Fayol's rules of managerial conduct Fayol  applied 14 rules of managerial conduct. These are: * Division of work  aâ‚ ¬Ã¢â‚¬Å" to improve practice and familiarity and become specialised. * Authority  aâ‚ ¬Ã¢â‚¬Å" the right to give orders, linked with responsibility. * Discipline  aâ‚ ¬Ã¢â‚¬Å" respect in accordance with the agreement between the firm and its employees. Unity of command  aâ‚ ¬Ã¢â‚¬Å" each subordinate answerable to only one superior. * Unity of direction  aâ‚ ¬Ã¢â‚¬Å" only a single head and plan for a set of activities. * Subordination to the general interest  aâ‚ ¬Ã¢â‚¬Å" the general good prevails over individual or sectional interests.* Remuneration  aâ‚ ¬Ã¢â‚¬Å" should be fair to both the recipient and the firm. * Centralisation  aâ‚ ¬Ã¢â‚¬Å" inevitable in organisations, but the degree should be appropriate. * Scalar chain  aâ‚ ¬Ã¢â‚¬Å" graduated lines of authority should exist from the top to the bottom of the organisation. * Order  aâ‚ ¬Ã¢â‚¬Å" workers and materials should be in their prescribed place. * Equity  aâ‚ ¬Ã¢â‚¬Å" combining clemency with justice. Tenure of personnel  aâ‚ ¬Ã¢â‚¬Å" adequate time for settling into jobs should be allowed. * Initiative  aâ‚ ¬Ã¢â‚¬Å" should be encouraged within the boundaries of authority and discipline. * Esprit de corps  aâ‚ ¬Ã¢â‚¬Å" harmony and teamwork should be encouraged in the organisation. Fayol  believed that a manager obtained the best performancefrom his workforce by leadership qualities, by his knowledge of thebusiness and his workers, and by his ability to instil a sense ofmission. Test your understanding 3 Which of the following are elements of management as identified by  Fayol. AControl. BMotivation. CCommunication. DCompromise.The implications of  Taylor's  scientific management are as follows: * Workers should be set high ta rgets, but should be well rewarded for achieving them. * Working methods should be analysed ‘scientifically', including the timing of work. * Management should plan and control all the workers' efforts, leaving little discretion for individual control over working methods. While there may be areas where these principles are still relevant,most modern theorists would argue that a more progressive approach isneeded where: * It is recognised that there is not always a ‘best' way of doing a particular job. Employees can often have considerable insight into a job and can make important suggestions for improvements. * Many workers can be motivated by other methods than tight control and financial reward. These issues are discussed in more details later in this chapter. Illustration 4 aâ‚ ¬Ã¢â‚¬Å" Theories of management The classical approach is still being utilised today since this isthe principle applied in most call centres: targets are set for thenumber of calls to be ta ken in a predetermined time period and reward isbased on the achievement of the target. Test your understanding 4Which one of the following statements is closest to the beliefs of the classical school? AEmphasis on social groups. BEmphasis on the task to be done rather than the person doing it. CEmphasis on the person rather than the task. DEmphasis on encouraging people to reach their full potential. 2. 2 The human relations school Research carried out by  Mayo  at the General ElectricCompany in Chicago concluded that group relationships andmanagement-worker communication were far more important in determiningemployee behaviour than were physical conditions (e. . lighting andnoise) and the working practices imposed by management. Also, wagelevels were not the dominant motivating factor for most workers. Further research established the following propositions of the human relations school.* Employee behaviour depends primarily on the social and organisational circumstances of wo rk. * Leadership style, group cohesion and job satisfaction are major determinants of the outputs of the working group. * Employees work better if they are given a wide range of tasks to complete. Standards set internally by a working group influence employee attitudes and perspectives more than standards set by management. The usefulness of the human relations approach The school explicitly recognised the role of interpersonalrelations in determining workplace behaviour, and it demonstrated thatfactors other than pay can motivate workers. However, the approachpossibly overestimates the commitment, motivation and desire toparticipate in decision making of many employees. Test your understanding 5 Which one of the following statements is closest to the beliefs of the human relations school?AEmphasis on social groups. BEmphasis on the task to be done rather than the person doing it. CEmphasis on one best approach. DEmphasis on hierarchy of management. 2. 3 Modern writers Contributions made by modern writers on management include: * Contingency approach (‘no one best approach')  aâ‚ ¬Ã¢â‚¬Å" contingency theorists do not ignore the lessons learnt from earlier theorists, but adapt them to suit particular circumstances. * Behaviouralism  aâ‚ ¬Ã¢â‚¬Å" concerned with the personal adjustment of the individual within the work organisation and the effects of group relationships and leadership styles. Systems theory  aâ‚ ¬Ã¢â‚¬Å" expresses a manger's role as being a co-ordinator of the elements of a system, of which people are only one part. Expandable text – systems theory Systems theory takes the view that an organisation is a socialsystem, consisting of individuals who co-operate together within aformal framework, drawing resources from their environment and puttingback into that environment the products they produce or the servicesthey offer: * in doing so the input is converted into the final product or service, hopefully with value being added * an organisation does not exist in a vacuum.It depends on its environment and is part of larger systems, such as society, the economic system and the industry to which it belongs. Examples of the other systems include an information system, production system and a communication system. Drucker  identified five basic operations in the work of a manager. Managers: Expandable text * Set objectives  aâ‚ ¬Ã¢â‚¬Å" determining what they should be and what the goals in each area should be. They decide what has to be done to reach these objectives and make them effective by communicating them to the people who are going to perform them. Organise  aâ‚ ¬Ã¢â‚¬Å" analysing the activities, decisions and relations needed. They classify the work, divide it into manageable activities and further divide the activities into manageable jobs. They group the units and jobs, and select people for the management of the units and for the jobs to be done. * Motivate and communicate  aâ⠀š ¬Ã¢â‚¬Å" making a team out of the people that are responsible for various jobs. * Establish yardsticks  aâ‚ ¬Ã¢â‚¬Å" by making measurements available, which are focused on the performance of the whole organisation and which, at the same time, focus on the work of the individual and help them to do it.Managers analyse, appraise and interpret performance. * Develop people, including themselves. Mintzberg  identified ten skills which managers need if theyare to develop greater effectiveness, and grouped them together underthree categories, interpersonal, informational and decisional. Test your understanding 6 Is the following statement in line with  Mintzberg's  approach? ‘The manager in the informational role combines being a spokesperson and disseminator with being a monitor of information. ‘ 3 Managerial authority and responsibilityAuthority refers to the relationship between the participants in an organisation. * Authority is the right to give orders and t he power to exact obedience  (Fayol). * Authority is the right to do something, or ask someone else to do it and expect it to be done. * Authority is thus another word for legitimate power. Illustration 5 aâ‚ ¬Ã¢â‚¬Å" Managerial authority and responsibility When analysing the types of authority which a manager or department may have the following terms are often used: * Line authority  aâ‚ ¬Ã¢â‚¬Å" the authority a manger has over a subordinate, down the vertical chain (or line) of command. Staff authority  aâ‚ ¬Ã¢â‚¬Å" is the authority one manager or department may have in giving specialist advice to another manager or department, over which there is no line authority. (HR department advising the accounts manager on interviewing techniques. )* Functional authority  aâ‚ ¬Ã¢â‚¬Å" is a hybrid of line and staff authority, whereby a manager setting policies and procedures for the company as a whole has the authority in certain circumstances, to direct, design or contr ol activities or procedures of another department. (A finance manager has authority to require timely budgetary control reports from other departmental/line managers. Test your understanding 7 If a manager justifies an instruction to a subordinate by saying'because I am your superior' the manager is relying on which of thefollowing bases of authority? AFunctional BStaff CLine Responsibility is the liability of a person to be called to account for his or her actions. * Responsibility expresses the obligation a person has to fulfil a task, which he or she has been given. A person is said to be responsible for a piece of work when he or she is required to ensure that the work is done. * Responsibility is the obligation to use delegated powers. The important point is that managers and supervisors are ultimately responsible for the actions of their subordinates; the term ‘accountable' is often used. * It is accountability for the performance of specified duties or the satisfactory achievement of defined company objectives. * Because responsibility is an obligation owed, it cannot be delegated. * No superior can escape responsibility for the activities of subordinates, for it is the supervisor who delegates authority and assigns the duties. Test your understanding 8 Which of the following statements could be a definition of responsibility?ALiability to be called to account. BAccountability for actions. CAn obligation owed. John French and Bertram Raven  identified five sources or bases of power. * Reward  power aâ‚ ¬Ã¢â‚¬Å" is based on one person having the ability to reward another person for carrying out orders or meeting other requirements. * Coercive  power aâ‚ ¬Ã¢â‚¬Å" is based on one person's ability to punish another for not meeting requirements, is the negative side of reward power. * Expert  power aâ‚ ¬Ã¢â‚¬Å" is based on the perception or belief that a person has some relevant expertise or special knowledge that others do not. Refere nt  power aâ‚ ¬Ã¢â‚¬Å" is based on one person's desire to identify with or imitate another. * Legitimate  power aâ‚ ¬Ã¢â‚¬Å" the power derived from being in a position of authority within the organisational structure aâ‚ ¬Ã¢â‚¬Å" according to the position they hold within the organisation. Illustration 6 aâ‚ ¬Ã¢â‚¬Å" Managerial authority and responsibility If a manager justifies an instruction to a subordinate by saying'because I am a qualified accountant' the manager is relying on which ofthe following bases of power? AReferent BReward CLegitimate DExpert Solution D Test your understanding 9If a manager justifies an instruction to a subordinate by saying'because I am your superior' the manager is relying on which of thefollowing bases of authority? AReferent BReward CLegitimate DExpert In every position authority and responsibility should correspond (principle of correspondence): * Having responsibility without authority  aâ‚ ¬Ã¢â‚¬Å" supervisor may be held res ponsible for time keeping but does not have the authority to discipline subordinate for poor time-keeping. The supervisor is powerless to achieve the levels upon which his or her performance is being judged.This supervisor is likely to become frustrated, stressed and demotivated. Performance is likely to suffer. Conflict will occur if the supervisor fails the task due to lack of co-operation caused by lack of authority. * Having authority without responsibility  aâ‚ ¬Ã¢â‚¬Å" personnel department employ an individual but will have no responsibility for the employee; they are in a position of false security. Managers not held accountable for their authority may exercise their authority in an irresponsible way, which may not be to the benefit of the organisation.They may take unacceptable risks, because the consequences of decisions will not rebound on them. The control mechanisms of the organisation depend on accountability. Test your understanding 10 John has just joined a small accounts department. The financialcontroller is taken ill. John has been told that he needs to prepare themanagement accounts and requires information regarding salaries. Thepayroll department are not happy about giving John the informationrequired. What is the underlying cause of the problem? 4 Theories of leadership approaches 4. 1 The action-centred approach (Adair) Adair  suggests that any leader has to strive to achieve three major goals while at the same time maintaining a position as an effective leader. * Adair's action-centred leadership model looks at leadership in relation to the needs of the task, individual and group. Test your understanding 11 The table below includes needs that managers have to action. Suggest whether they are likely to be associated with individual, taskor group needs. 4. 2 The contingency approach (Fiedler) Contingency theory sees effective leadership as being dependenton a number of variable or contingent factors.There is no one right wayto lead that will fit all situations; rather it is necessary to lead ina manner that is appropriate to a particular situation. Fiedler's contingency theory * Fiedler  studied the relationship between style of leadership and effectiveness of the work group. Two styles of leader were identified. Psychologically distant managers (PDMs). * Maintain distance from their subordinates by formalising roles and relationships within the team. * Are withdrawn and reserved in their interpersonal relationships. * Prefer formal communication and consultation methods rather than seek informal opinion. Judge subordinates on the basis of performance and are primarily task-orientated. * Fiedler found that leaders of the most effective work groups actually tend to be PDMs. Psychologically close managers (PCMs) * Do not seek to formalise roles and relationships. * Prefer informal contacts to regular formal staff meetings. * They are more concerned to maintain good human relationships at work to ensure that t asks are carried out efficiently. * Fiedler  concluded that a structured (or psychologically distant) style works best when the situation is either very favourable or very unfavourable to the leader. On the other hand, a supportive (or psychologically close) style works best when the situation is moderately favourable to the leader. * He further suggested that group performance would be contingent upon the appropriate matching of leadership styles and the degree of favourableness of the group situation for the leader. Fiedler  went on to develop his contingency theory in ‘Atheory of leadership effectiveness', in which he argued that theeffectiveness of the workgroup depended on the situation. The leadershipsituation is made up of three key variables: * The relationship between the leader and the group (trust, respect and so on). The extent to which the task is defined and structured. * The power of the leader in relation to the group. Illustration 7 aâ‚ ¬Ã¢â‚¬Å" Theorie s of leadership approaches Fiedler  suggested that a situation is favourable to theleader when the leader is liked and trusted by the group, the tasks ofthe group are clearly defined and the power of the leader to reward andpunish the team, with organisational backing, is high. Test your understanding 12 The accounts manager holds a departmental meeting every Monday at 10. 00 am. How would  Fiedler  define this manager? 4. 3 Transformational leadership (Bennis)Some of the values used to distinguish between managers and leaders have also been identified as: * Transactional leaders aâ‚ ¬Ã¢â‚¬Å" see the relationship with their followers in terms of a trade: they give followers the rewards they want in exchange for service, loyalty and compliance. * Transformational leaders aâ‚ ¬Ã¢â‚¬Å" see their role as inspiring and motivating others to work at levels beyond mere compliance. Only transformational leadership is said to be able to change team/organisational cultures and crea te a new direction. Expandable text Bennis  is an influential American author on leadership andchange.He focuses on the need to inspire change rather than imposingit. He identifies five ‘avenues of change': * Dissent and conflict aâ‚ ¬Ã¢â‚¬Å" top management impose change by means of their position of power, the result being rancour amongst those affected. * Trust and truth aâ‚ ¬Ã¢â‚¬Å" management must gain trust, express their vision clearly, and persuade others to follow. * Cliques and cabals aâ‚ ¬Ã¢â‚¬Å" cliques have power, money and resources; cabals have ambition, drive and energy. Unless the cliques can co-opt the cabals, revolution is inevitable. * External events aâ‚ ¬Ã¢â‚¬Å" forces of society can impose change, e. . by new government regulation or through overseas competition. * Culture or paradigm shift aâ‚ ¬Ã¢â‚¬Å" changing the corporate culture is the most important avenues of change. Test your understanding 13 When organisational change requires a change in structure and/orculture would the organisation require a transformational ortransactional leader? 4. 4 Managing change (Kotter) Kotter  set out the following change approaches to deal with resistance: Test your understanding 14 Training in the use of a new information system is a means of overcoming resistance to change by: AFacilitation and support.BEducation and communication. CParticipation and involvement. DNegotiation and agreement. 4. 5 Leadership to mobilise (Heifetz) Heifetz  argues that the role of the leader is to help people face reality and to mobilise them to make change. Heifetzsuggests that the old approach to leadership was that leaders had theanswers, the vision and then needed to persuade people to sign up forthe change. Heifetz believes that leaders provide direction but do nothave to offer definite answers and should mobilise people to tackle thetough challenges for themselves. Leaders have two choices when resolving a situation: Technical change aà ¢â€š ¬Ã¢â‚¬Å" the application of current knowledge, skills and or tools to resolve a situation. * Adaptive change aâ‚ ¬Ã¢â‚¬Å" is required when the problem cannot be solved with existing skills and knowledge and requires people to make a shift in their values, expectations, attitudes or habits of behaviour. This is often required to ensure organisational survival. Expandable text Heifetz  suggests four principles for bringing about adaptive change: * Recognition that the change requires an adaptive approach and understanding the values that need to be shifted and the issues that need to be resolved to make the shift possible. Adaptive change causes unhappiness in the people being led; adaptive change requires the right level of stress to be applied: too little stress and people do not appreciate the need for change: too much stress and there will be no ‘buy-in'. * Keep focused on the real issue of realising the change; do not spend too much time on stress-reducing distrac tions. * Ensure the people who need to make the change take responsibility and face the reality of doing the work of change for themselves. Leaders provide the direction, posing well-structured questions, rather than offering definite answers. Leadership styles 5. 1 Blake and Mouton Robert Blake and Jane Mouton  carried out research intomanagerial behaviour and observed two basic dimensions of leadership:concern for production (or task performance) and concern for people. Based on the results of staff questionnaires, managers can then be plotted on  Blake and Mouton's grid. 1. 1 Management impoverished  aâ‚ ¬Ã¢â‚¬Å" this manager only makesminimum effort in either area and will make the smallest possible effortrequired to get the job done. 1. ‘Country Club' management  aâ‚ ¬Ã¢â‚¬Å" this manager is thoughtfuland attentive to the needs of the people, which leads to a comfortablefriendly organisation atmosphere but very little work is actuallyachieved. 9. 1 Task mana gement  aâ‚ ¬Ã¢â‚¬Å" this manager is only concerned with production and arranges work in such a way that people interference is minimised. 5. 5 ‘Middle of the road management'  aâ‚ ¬Ã¢â‚¬Å" this manager is able to balance the task in hand and motivate the people to achieve these tasks. 9. 9 Team management  aâ‚ ¬Ã¢â‚¬Å" this manager integrates the two areas to foster working together and high production to produce true team leadership.Blake and Mouton's  grid can be used to assess the currentbehavioural style of a manager and then plan appropriate training anddevelopment to enable them to move towards 9. 9. Test your understanding 15 Using the scores shown on the above grid, make suggestions as tohow this particular manager could improve his/her managerial style. 5. 2 Ashridge The research unit at  Ashridge Management  College distinguished four different management styles. Tells (autocratic)  aâ‚ ¬Ã¢â‚¬Å" the manager makes all the decisions and issue s instructions which must be obeyed without question. Strengths: * Quick decisions can be made when required. The most efficient type of leadership for highly-programmed work. Weaknesses: * Communications are one-way, neglecting feedback and potential for upward communication or team member input. * Does not encourage initiative or commitment from subordinates, merely compliance. Sells (persuasive)  aâ‚ ¬Ã¢â‚¬Å" the manager still makes all thedecisions, but believes that team members must be motivated to acceptthem in order to carry them out properly. Strengths: * Team members understand the reason for decisions. * Team members may be more committed. * Team members may be able to function slightly better in the absence of instruction.Weaknesses: * Communications are still largely one-way. * Team members are not necessarily motivated to accept the decision. * It still doesn't encourage initiative or commitment. Consults (participative)  aâ‚ ¬Ã¢â‚¬Å" the manager confers with the team and takes their views into account, although still retains the final say. Strengths: * Involves team members in decisions, encouraging motivation through greater interest and involvement. * Consensus may be reached, enhancing the acceptability of the decision to team members. * The quality of the decision may benefit from the input of those who do the work. * Encourages upward communication.Weaknesses: * May take longer to reach decisions (especially if consensus is sought). * Team member input may not enhance the quality of the decision. * Consultation can be a faA §ade for a basic ‘sells' style. Joins (democratic)  aâ‚ ¬Ã¢â‚¬Å" the leader and the team members make the decision together on the basis of consensus. Strengths: * Can provide high motivation and commitment from team members. * Empowers a team member to take the initiative (e g. in responding flexibly to customer demands and problems). * Shares other advantages of the ‘consults' style (especi ally where team members can add value). Weaknesses: May undermine the authority of the manager. * May further lengthen the decision-making process. * May reduce the quality of the decision because of the politics of decision making. Test your understanding 16 For each of the statements made by managers listed below, choose an Ashridge leadership style that best describes the statement. Chapter summary Test your understanding answers Test your understanding 1 * Planning the work of the department. * Ensuring by adequate supervision that the work is completed as far as possible according to plan. * Maintaining discipline in the department. * Undertaking the task when required. Having knowledge and ability in all aspects of health, safety and employment legislation that applies to his or her subordinates. Test your understanding 2 C Test your understanding 3 A only Test your understanding 4 B Test your understanding 5 A Test your understanding 6 Yes Test your understanding 7 C Test you r understanding 8 A, B and C Test your understanding 9 C Test your understanding 10 John has been given the responsibility for completing a task but without the authority. Test your understanding 11 Test your understanding 12 Psychologically distant manager. Test your understanding 13Transformational. Test your understanding 14 A Test your understanding 15 The manager illustrated in the above grid is showing good concernfor production (although this can be strengthened further) but is weakin terms of concern for employees. Further investigation would then becarried out to determine why this is the case and in what ways such alack of concern is exhibited. Then rectifying action can be taken. For example: * Attend a training course on people skills and motivation. * Involve staff in more decisions. * Treat staff as valuable assets; adopt an open door policy. Test your understanding 16

“Inevitable vs. Amendable” Essay

The film â€Å"Inequality for All† tries to explain; what is the current status of the distribution of wealth and that of income equality? Why this is happening and if this is a problem. Yes, as stated in the film, social inequality is inevitable. But, there is without a doubt a problem with United States distribution of wealth. One of the facts that really opened my eyes was the fact that the 400 richest Americans, together hold more wealth than the poorest 150 million Americans have together. This said, it is scary to think about how obscure was the knowledge we had on the one percent with given how much economic influence they have. The minimum wages vs. growth of productivity graph is one that I found very interesting. Why is â€Å"just† in today’s society to be part a more productive workforce that gets paid less than the workforce we had a few decades ago? The line graph for productivity growth is rising every year, meaning that more work is being done. On the other hand, the minimum wages growth rates were rising but after a while they seem to have plateau and they have been like this for about 30 years. Advances in globalization and technology are also inevitable because it is simple economics that a product shall be produced in the cheapest way possible. Yes, technology does create jobs but as we see in the film companies like Amazon are also opting to operate with high tech machinery instead of the traditional assembly line. Women going to work, general workforce working for longer hours and borrowing money from the financial sectors are coping mechanisms that the middle class used to keep up with their good lifestyles, but in my opinion these are more like defense mechanisms in order to survive in the concrete jungle with the same wages they had 30 years ago. One other comparison that I liked was how the widening inequality leads to a deficiency cycle and when the wealth is equally distributed economic stability is transfused from sector to sector creating a domino effect leading to a virtuous cycle.