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On completion, the student should be able to:
1 Define management;
2 Identify the importance of management skills in areas such as home,
school, local community, Government departments and business start-up;
3 List the characteristics of managers;
4 Explain the basic management skills;
5 Explain the central role of communications in business and management;
6 Identify and explain the main barriers to effective communications;
7 Demonstrate business data in the following written forms: memos, reports,
and business letters; draft a visual presentation from given data;
8 Identify the duties of a chairperson and secretary and draft an agenda
and minutes of a meeting;
9 Distinguish between the methods of communication;
10 Discuss the importance of general communication skills (HL);
11 Differentiate between enterprise and management (HL);
12 Explain the contribution of both managers and entrepreneurs to business
(HL);
Ms. Marshall
Management is the process of getting
objectives and activities completed
efficiently and effectively with and
through other people. Managers must
be skilled leaders, motivators and
communicators. The key activities of
management include planning,
organising and controlling.
 E.g. Michael O’Leary of Ryanair.
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In the Home:
Parents are the
managers in the
home. They must
motivate their
children to work hard
and behave. They
plan the family
budget and
organise family
outings.
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In the Community:
E.g. the Tidy towns
committee must use
manpower planning
to assess how many
volunteers are
needed. They must
communicate with
the locals and
motivate them to
make a difference.
In Schools:
 The Principal is the
manager and must show
leadership to the
teachers. Effective
communication is
needed to avoid
misunderstandings.
Principals often plan
timetables and control
the school budget.
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Ms. Marshall
In Government:
 Politicians must provide
leadership, e.g. by
taking a pay cut
themselves when
expecting the general
public to. They must
communicate e.g. with
an upcoming
referendum they must
convince the Irish public
to vote a certain way
while providing neutral
literature.
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In Business:
Have to organise work
schedules, plan
where the company
is going, control the
budget, lead by
example,
communicate
clearly to motivate
staff.
Ms. Marshall
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Decisive – analyse issues and implement
effective solution.
Initiative – don’t have to be told what to do.
Good with People –get the best out of them.
Hard worker – may have to work long hours,
they are responsible.
Flexible- can change the business with
circumstances.
Charismatic –able to charm people, e.g. to
make them work harder.
Confident and Inspirational – lead by example.
Ms. Marshall
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Setting Up: Entrepreneurs set up the business,
the manager runs the business and answers to
the entrepreneur. The manager turns the
entrepreneurs ideas into reality.
Risk: Entrepreneurs take financial and personal
risk. In some cases they can lose their personal
assets if the business fails, whereas the
manager risks losing their job.
Future: The entrepreneur thinks of the big
picture – the future direction of the business.
The manager organises the day to day
activities and staff.
Ms. Marshall
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There are three main management skills;
leading, motivating and communicating.
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Chapter six looks at two of these skills –
leading and motivating.
Ms. Marshall
3.
Importance
of
Leadership
What you need to
know
2. Delegation
Ms. Marshall
1. Leadership
Styles
LaissezFaire
Autocratic
The three leadership
styles vary on the basis
of 1. Trust in staff, 2.
Decision making ,3.
Persuasion.
Democratic
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Explain the term autocratic (authoritarian) leader.
• The autocratic leader has very little trust or
confidence in his/her staff.
• He/she is unwilling to delegate power and
responsibility to subordinates.
• He/she makes all decisions and ignores the opinion
of others.
• He/she uses authority to force agreement and may
use intimidation or fear/shouting. He expects his
orders to be obeyed without question.
• This leads to poor motivation / lack of cooperation /
industrial relations problems.
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Advantages
Quick decision making
Work gets done as the
manager wanted
Suits organisations
where discipline is
crucial, e.g. army
Useful in crisis situation
e.g. getting the
business out of debt.
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Disadvantages
Managers can
become overworked
and stressed.
Staff become demotivated and
resentful due to lack of
training and trust.
Industrial relations
disputes are more
common due to lack
of trust and effective
communication.
A democratic leader encourages
people to contribute to the decisionmaking process. Shared solutions to
problems are sought, motivation and cooperation levels are very high and there
is excellent job satisfaction.
 He delegates work and responsibility and
trusts employees to carry out their duties.
 He persuades employees rather than
giving orders
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Advantages
Better quality decisions
Less stress and more
time for managers
Staff are more
motivated leading to
less industrial relations
disputes
Staff are encouraged
to use their initiative,
leading to
intrapreneurship.
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Disadvantages
Slower decision
making
Too many opinions
may be taken on
board
The leader allows complete democracy
in all matters.
 The employee is given a goal and
allowed to use their initiative to achieve
it.
 This style of leading is only appropriate
when the employees are highly
trustworthy and motivated.
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Advantages
Speedy decisions
can be made by
staff closest to the
issues.
Staff are motivated
and challenged.
Intrapreneurship is
fostered.
Ms. Marshall
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Disadvantages
Staff may not be
able for the
responsibility, leading
to stress.
Poor decision
making could result if
staff are not up to
the challenge.
Delegation involves the assignment of authority to another
person, generally from a manager to a subordinate, to
undertake a specific work task or project. Successful
delegation requires that the manager is clear about:
􀁸 Details including deadline of the assigned task/project
􀁸 The extent of the authority delegated, including reporting
requirements to the manager
 The manager must also ensure that the person to whom
the task/project has been delegated has the necessary
skills and competencies, and is provided with the
necessary resources to complete the task/project.
 The ultimate responsibility for the task /project remains
with the manager.
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Efficiency
􀁸 More efficient completion of tasks or projects, as manager is
not required to do all the work. Managers can prioritise tasks
that need their attention, thereby having more time for the
completion of these tasks.
Quality
􀁸 Task/project may be completed to a higher standard due to
level of personal accountability provided by delegation.
Staff Retention & Morale
􀁸 Increased employee motivation from job enrichment and
increased involvement, leading to improved staff morale and
better work.
Ensures a supply of future managers
􀁸 Higher skilled workforce will provide greater flexibility for
manager and will train them to become managers. This ensures
a steady supply of managers for the future of the business.
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Heavy workload: the manager will become
overburdened and may make costly mistakes.
Deadlines may be missed: without delegating
work does not get done as quickly, leading to
delays.
Employees are not trained in management
skills. The company may have to recruit
externally for new managers.
Employees may become demotivated and
feel management does not trust them or
respect their judgement. This could lead to
high labour turnover and absenteeism.
Ms. Marshall
Improved Efficiency – a good leader gives
clear direction, leading to less waste and
mistakes.
 Improved Co-ordination – employees
believe in the company and are motivated
to work harder as a result.
 Employee Retention – lowers cost involved
in hiring. Won’t lose best staff to
competition.
 Change – lead by example and staff will be
more willing to accept change.
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Definition
Importance
of Motivation
What you need to
know
Maslow
McGregor
Ms. Marshall
(i) Explain Maslow’s Theory of Motivation.
 Motivation is the willingness of people to
work. It is what drives, influences and
encourages people to work toward a
particular goal.
 Maslow put forward a theory on motivation
based on a hierarchy of needs.
 As one need is satisfied then the need
immediately above it on the pyramid
becomes the dominant motivator/takes
precedence.
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Self
Actualisation
Esteem
Social
Safety
Physiological/ Basic
Ms. Marshall
In life
 The need to realise
one’s full potential.
 The need for status,
respect &
appreciation by
others.
 The need for love and
friendship.
 The need for Security
and predictability.
 Food /Shelter
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In the workplace
Becoming an
entrepreneur
Promotion, titles,
company car, perks…
Good relationships
with colleagues
Permanent, Solvent
business.
Wages, canteen.
Illustrate how a manager could motivate workers by
applying Maslow’s Theory in the workplace.
 Physical Needs. A manager can motivate his workers by
ensuring they receive a fair wage, bonuses, profit-sharing
schemes in order that the physical needs for food, clothes,
shelter etc. can be met.
 Safety Needs. Managers can make employees feel safe
and secure by:
o Offering long term contracts of employment.
o Providing a grievance procedure
o Providing free medical check-ups.
o Sending workers on health and safety courses.
o Providing a safe working environment e.g. safety goggles,
boots, gloves, hard-hats, high visibility jackets for
construction workers.
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Social Needs. The social needs of employees can be
met through offering flexi-time which allows
employees to spend more time with their families.
Teamwork and social events can help workers form
new friendships and relationships.
Esteem Needs. Managers can facilitate a worker’s
esteem needs through offering praise and rewards
such as a new job title or an attractive office.
Self-Actualisation Needs. Management offering
workers a career plan, training and development
opportunities, empowerment and promotion to
positions of responsibility can meet these needs.
Ms. Marshall
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Theory X – Controller Manager
The average human being has a natural inbuilt dislike for work.
People are lazy and have to be watched
closely, controlled and threatened with
punishment.
Employees will try to get as much money out of
the company as possible – safety needs
motivate.
Employees will avoid responsibility and are
uncooperative.
Theory X suits the autocratic manager.
Ms. Marshall
Characteristics/Implications of a Theory X
Manager may include:
􀁸 Manager keeps control/ possible conflict
between management and employees.
􀁸 Little trust/employees less likely to use their
own initiative.
􀁸 No consultation when making
decisions/lower productivity and lower
quality
􀁸 Little delegation/fewer opportunities for
employee promotions.
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Theory Y – Facilitator Manager
The individual enjoys work. They want responsibility
and challenging work (Self Actualisation is a
motivator).
Strict control over people is not necessary if people
are committed to shared objectives.
All members of the organisation can help solve
problems.
Employees can be motivated by praise, promotions,
titles and delegation. (Esteem needs & self
actualisation).
Theory Y would suit a democratic style of
management and results in hard working, motivated
employees.
Ms. Marshall
Theory Y managers should:
 Provide interesting and challenging work
 Provide staff with freedom
 Consult regularly with staff
 Provide plenty of encouragement and
praise.
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Ms. Marshall
Disadvantages of
Theory X
 Reduced Motivation
 Less Creativity
 Poor reputation
 High turnover
 Productivity declines
 Reduced profitability
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Advantages also relevant to
“importance of motivating
staff”
Ms. Marshall
Advantages of Theory
Y
 High Motivation
 More Creativity
 Better reputation
 Lower staff turnover
 Positive industrial
relations
 Increased profitability
 Increased productivity
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Greater
Intrapreneurship: more
creativity in finding
solutions to problems
when staff are
consulted.
Employee Retention: a
more motivated staff
leads to lower staff
turnover and
absenteeism.
Ms. Marshall
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Positive industrial
relations: staff and
management are
more likely to come to
a solution through
negotiation and
consultation. This will
reduce the likelihood
of strikes.
Increased productivity
& profitability: a more
motivated staff will
work harder and
cooperate more.
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Management
Leadership
Motivation
Autocratic
Democratic
Laissez Faire
Delegation
Self-Actualisation
Esteem Needs
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Ms. Marshall
Social Needs
Safety Needs
Physiological Needs
Theory X
Theory Y
2012: Q4 (C) Outline two leadership
styles and illustrate how each of these
styles may be appropriate to different
business situations. (20 marks).
 2011: Q4 (B) Explain Maslow’s Theory of
Motivation.
 (ii) Illustrate how a manager could
motivate workers by applying Maslow’s
Theory in the workplace.
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Higher Level Questions for Chapter Five and Chapter Six.
2009
Q1. Illustrate the difference between ‘enterprise’ and
‘management’. (10 marks).
Q2. (A) (i) Explain the term ‘delegation’.
(ii)Describe the benefits of delegation for a manager. (20
marks).
(B) Analyse the implications for a business of a manager
adopting a Theory X approach to managing.
(20 marks).
2007
Q3. Maslow identified, in his hierarchial model, self actualization,
as a human need.
(i)Self-actualisation means:
(ii)Name two other human needs he also identified.
(10 marks)
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2006
Q4. Define management.
(10 marks).
Q5. (A) Describe one motivational theory
commonly used in management. (10
marks).
(B) Discuss three styles of leadership (30
marks).
2005
Q6. Evaluate the motivational theories of
Maslow and McGregor. (25 marks).
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2003
Q7. Managers are said to take on a wide range of roles in pursuing the
objectives of an organisation. They are accountable for the work of
others as well as their own work and they work with, and through, other
people at al levels in the organisation.
Evaluate, in the above context, the Management Skills of:
Leading
Motivating
(40 marks)
2002
Q8. Illustrate the importance of management skills in any one of the
following areas:
Home
The local community.
Government Department.
A business start up.
Ms. Marshall